Clearloop targets the dirtiest grids for its solar development work

Clearloop targets the dirtiest grids for its solar development work

The power purchase agreement deserves plenty of credit for the rapid buildout of clean energy in the U.S. over the past decade.

Through contracts often lasting 20 years or more, corporations are able to match annual energy consumption with clean electrons generated by solar and wind power plants, while also granting developers much-needed financial security.

But the traditional the PPA doesn't work for all corporate clients, especially smaller ones without the credit rating to enter into multi-decade offtake deals. Plus, the PPA treats every clean megawatt-hour the same, whether or not a solar or wind project is sited to displace as much carbon as possible.

That's where Laura Zapata and her company Clearloop step in.


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Clearloop's business model aims to turn the clean energy procurement process on its head— contracting with corporate partners through up-front, one-time payments for the solar project's environmental benefits.

Businesses can opt to buy the project's Renewable Energy Credits or carbon offsets, whichever they prefer.

Using WattTime analysis and the concept of "emissionality," Clearloop sites projects where they can have the greatest impact. Their efforts began in the Southeast, home to what some of the country's dirtiest grids.

For example, Tennessee’s grid is powered by just 0.4% solar, and a megawatt-hour of electricity in Tennessee emits around 32% more carbon than a megawatt-hour in northern California, according to WattTime.

The goal for Clearloop co-founder and CEO Laura Zapata is to leverage as much of the economy as possible to decarbonize the grid.

Clearloop CEO and co-founder Laura Zapata

"There are only so many companies that can sign a PPA," Zapata said on a recent episode of the Factor This! podcast. "That vehicle was so instrumental in having this great demand, but now it's time to then transition and say, 'okay, how do we bring more companies to the table?'"

Clearloop is off and running with support from Silicon Ranch, which acquired the company in 2021.

Earlier this summer, solar panels arrived at Clearloop's first project— a 1 MW solar farm in Jackson, Tennessee.

And in May, Clearloop partnered with electric vehicle maker Rivian to develop a 6.75 MW solar farm in Puryear, Tennessee.

The company is accepting sales for two new projects, totaling 10 MW of capacity, in Panola County, Mississippi.

"As we've had this renewable energy transition happen, it's only gone deep in certain parts of the country," Zapata said. "How do we make sure that we have an actual just transition, and really look at the places where the dollar invested in renewables not only makes the most sense from a carbon perspective but also from a social economic investment perspective."

By selling a solar project's environmental attributes, and maintaining long-term ownership, Clearloop aims to make clear and visible investments in the communities they serve.

In some cases, Clearloop's projects will be the first introduction to solar-generated electricity for many people living in rural Tennessee and Mississippi.

Zapata said those kinds of occurrences are a feature of Clearloop's strategy and not an accident.

"The first impression that communities have of these solar projects is really important," she said. "We want to make sure that they want to welcome more."