PepsiCo and Schneider Electric Work Together to Increase Value Chain Partner Access to Renewable Electricity
PepsiCo, the American multinational food and beverages company, has joined hands with Schneider Electric, the French global consultant providing corporate renewable purchasing, to announce pep+ REnew, a first collaboration in the food and beverage industry to accelerate the adoption of renewable electricity among value chain partners.
The companies have collaborated to speed up the adoption of renewable electricity and ensure a more resilient and carbon-efficient food system as part of PepsiCo's pep+ (PepsiCo Positive) transformation.
The new initiative involves two goals: first, to spread awareness among PepsiCo's value chain partners and educate them about their renewable electricity choices. Second, to expedite the transformation into renewable electricity through aggregate power purchase agreements (PPAs) and other renewable alternatives.
Jim Andrew, Chief Sustainability Officer, PepsiCo, said: "The creation of pep+ REnew directly supports our ambitious goal to achieve net-zero emissions across our value chain by 2040 – one decade earlier than called for in the Paris Agreement. Net-zero cannot happen without our value chain partners taking bold climate action. Through pep+ REnew, we will encourage our partners to reduce their Scope 2 emissions through renewable electricity procurement, helping us meet our own Scope 3 goals."
The initiative is launched to help several small and medium businesses overcome hurdles to take part in the renewable electricity market. Not all organisations can ensure their participation in the market due to size constraints and need support regarding specific mechanics of renewable electricity transactions or guidance to steer through the difficulties of a PPA. Both companies look forward to solving these barriers through pep+ REnew.
Steve Wilhite, President, Schneider Electric Sustainability Business, said: "By creating greater access to large-scale renewable electricity, our partnership with PepsiCo aspires to add more renewable electricity capacity to power grids globally. This is a much-needed step as we work towards a net-zero economy and a more sustainable future for all."
Schneider Electric advises several companies on PPA purchases in Europe, India, Australia and Latin America for over 11,000 megawatts of wind and solar power. The leading experts in the company will clear the way for a multi-phase education and project selection process to enhance supplier progress towards aggregated renewable electricity purchases.
Schneider's NEO Network, an international platform designed to increase renewable electricity decision-making and decarbonisation, will carry out the initiative.
pep+ is the company's strategy of end-to-end transformation, putting sustainability and human capital at the heart of how it will generate growth and value while operating within planetary boundaries and inspiring good change for the earth and people. Fifteen of the business's markets, including the United States and Mexico, the company's first and second-largest markets, have already made the switch to renewable energy, bringing the company closer to its objective of using 100 per cent renewable energy in its direct operations by 2030.
