Rio Tinto and cable solution provider Prysmian are collaborating to establish a sustainable North American supply chain for materials needed for expanding power grids for the energy transition.
The US’s renewable power generation is projected to rise from 21% in 2021 to 44% by 2050, necessitating substantial investments in power grids and increased demand for innovative electrification materials.
Rio Tinto and Prysmian have signed a five-year supply agreement for low-carbon aluminium sourced from renewable hydropower from Rio Tinto’s Canadian operations to help meet the projected increase in demand. The agreement will also aid Prysmian in achieving carbon neutrality by 2050 through decarbonisation.
Additionally, the parties have also executed a joint development agreement to develop multi-material solutions to meet North America’s increasing electrification demand.
“We are proud to work together with Prysmian to strengthen their North American supply chain for aluminium produced to the highest sustainability standards and develop the materials needed to produce more advanced power cables. These types of products are critical for the power grid expansion that is needed for the transition to renewable energy sources and a low carbon future,” Rio Tinto Vice President of Aluminium Sales Amy Abraham said.
Prysmian Group North America’s Chief Executive Officer Andrea Pirondini commented, “It is an exciting time to work with Rio Tinto and source this green aluminium that will guide us towards a more sustainable value chain for cable production. At Prysmian, we prioritize collaboration with our customers and suppliers as we steer North America towards a greener future, leading in the sustainable energy transition. With strategic partners such as Rio Tinto, Prysmian is committed to achieving net-zero emissions across our entire value chain by 2050.”
