Nike has signed a virtual power purchase agreement (VPPA) with global trading and investment company Mitsui & Co. The agreement aims to meet all of Nike Japan’s electricity needs from solar-generated electricity.
Mitsui and its subsidiary MPS will supply Nike Japan with electricity generated from 16 domestic solar projects.
New deal will boost Nike’s current 96% sustainability figure
In its most recent sustainability report, Nike’s 2024 Sustainability Data lists the company’s renewable electricity consumption at 96%. The report, which covers Nike’s fiscal year 2024 (June 1, 2023 - May 31, 2024), also lists renewable energy consumption of 74%.
This new agreement looks set to take Nike beyond a 96% renewable electricity consumption.
Nike could meet goal of 100% renewable energy
Nike is a member of RE100, the global initiative committed to 100% renewable electricity. Nike signed up to RE100 in 2015, with a target of 100% renewable electricity by 2025.
The new agreement with Mitsui looks set to allow Nike to reach the target in its Japan-owned and operated facilities this year.
In the breakdown by country in the 2024 Sustainability Data, Japan was listed as having no onsite solar or wind electricity. A “green power purchase” of 10,342 MWh boosted the 15,947 MWh grid electricity used across distribution centres, stores and offices in 2024.
The 2026 agreement with Mitsui covers 18 MWh. Meaning Nike should meet its target of 100% renewable electricity in its Japanese operations this year.
In February this year Nike was one of five sporting goods companies included in the 2026 Clean200, a global ranking of the largest public companies by sustainable revenue. The list covers 8,229 companies worldwide, with Nike achieving the highest placement among pure sporting goods brands at rank 57. Adidas followed at 58, with cycling components specialist Shimano Inc ranked 175, bicycle manufacturer Giant Manufacturing ranked 136, and Puma securing the 180th position.
