Arcos Dorados, the largest franchise of McDonald's operating in 20 countries across Latin America and the Caribbean, has made significant strides in its sustainability efforts by reaching a remarkable 50% of its energy consumption from renewable sources. This milestone is largely attributed to a recent power purchase agreement (PPA) with Capex, which commenced in February 2025. Under this agreement, Arcos Dorados will receive 15,000 Mega Watts-hour of solar energy from the La Salvación solar park located in the province of San Luis over a seven-year period.
The La Salvación park, which boasts a capacity of 20 MW, is expected to produce an estimated annual output of 54,000 MWh of renewable energy. This contract enables 78 McDonald's branches in Argentina to operate solely on green energy. Daniel Arenas, Corporate Manager of Social Commitment and Sustainable Development for Arcos Dorados in Latin America, emphasized the importance of this achievement, stating, "This achievement is the largest in volume and duration in the history of the company in Argentina." He further noted that, with this agreement, the company has increased its coverage of energy demand through clean sources from 30% to 50%.
Arcos Dorados has been on a progressive path towards sustainability, having initiated its renewable energy journey in 2021 with a contract with Pampa Energía for 400 MWh. This was followed by a collaboration with PCR in 2024, which allowed the company to supply 30% of its total energy consumption from clean sources through partnerships with wind farms such as Vivoratá and Mataco. This recent agreement with Capex marks a significant leap forward in the company's renewable energy strategy.
Arenas articulated a broader vision for the company, revealing that Arcos Dorados has established agreements in several countries, including Colombia, Chile, Mexico, Puerto Rico, and Brazil, all contributing to the goal of achieving 50% renewable energy across Latin America and the Caribbean. He expressed, "Our goal is ambitious; we aim to be 100% renewable by 2030. These agreements have opened up markets and allowed generators to understand our business model, paving the way for us to exceed the 50% mark, even in countries where we currently have no agreements in place." This ambitious target reflects the company’s commitment to environmental sustainability and its proactive approach to energy consumption.
In addition to securing renewable energy through contracts, Arcos Dorados is also exploring solar self-generation projects, which can potentially cover up to 30% of the energy consumption of individual locations, depending on available rooftop or parking space. Arenas noted, "I believe that alternatives are not mutually exclusive; they are complementary," referring to the coexistence of distributed generation and external supply agreements with private energy sector agents.
One of the key advancements in Arcos Dorados' sustainability strategy is the reduction of greenhouse gas emissions. In Argentina, the company has successfully cut CO2 emissions associated with refrigerant gases by 36%. Furthermore, it has set ambitious targets to reduce its total scope 1 and 2 emissions by 15% by 2025 and by 36% by 2030. Arenas stated, "We are very close to meeting our targets," emphasizing that the progress made thus far is not only a corporate agenda but also a long-term vision for environmental responsibility.
He added, "We want to be a change agent that drives and promotes this transformation. To achieve this, we engage our value chain and suppliers, as we always strive for collaborative efforts, understanding that this is the right way forward." This collaborative approach is indicative of Arcos Dorados' commitment to not only achieving its own sustainability goals but also to fostering a broader movement towards renewable energy within the fast-food industry.
In conclusion, Arcos Dorados' partnership with Capex represents a significant step in the company's journey towards sustainability, demonstrating a commitment to renewable energy and environmental responsibility. With a clear roadmap set to achieve 100% renewable energy by 2030, the company is not only leading by example in the fast-food sector but is also contributing to the broader goals of reducing carbon emissions and promoting sustainable practices across Latin America.
