Gap signs renewable energy deal in latest sustainability effort

Fashion giant Gap Inc. is tackling its carbon footprint with a new wind power agreement.

The conglomerate -- whose brand portfolio includes Old Navy, Gap, Banana Republic, Athleta and Intermix -- has signed a 12-year, 90-megawatt virtual power purchase agreement for the Aurora Wind Project with Enel Green Power North America.

According to Gap, the deal will enable it to achieve its 2020 goal of reducing scope 1 and 2 greenhouse gas emissions for its facilities by 50% compared to 2015.

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Gap estimates that the wind electricity output included in this purchase will mean a reduction in greenhouse gas emissions equivalent to removing 60,000 passenger cars from the road every year.

"We have a responsibility to reduce our climate impact," said Art Peck, president and chief executive officer, Gap Inc., in a statement. "For Gap Inc., being a part of the climate solution means making strategic investments in clean energy generation."

Peck added that the company has also pledged to reach 100% renewable energy across its global owned-and-operated facilities by the year 2030.

Gap is not the only fashion player taking major steps to reduce its carbon footprint.

Last month, Levi Strauss & Co. unveiled a series of science-based targets to cut greenhouse gas emissions in its owned-and-operated facilities by 90% by the year 2025. Sportswear giant Puma recently announced that it wants to reduce its greenhouse gas emissions by 35% by the year 2030.

Similar pledges have been made by luxury brands Ralph Lauren and Burberry.