The biggest names in the global beverage industry have launched a new consortium, REfresh Alliance, with the aim of accelerating the adoption of renewable energy throughout their supply chains.
Through this initiative, the companies hope to pool and scale their resources in a bid to remove barriers to the adoption of renewable energy, support the sector’s move to Net Zero, and give advice on general best practices.
The consortium boasts an impressive array of market-dominating participants, including Bacardi, Carlsberg, Diageo, Heineken, and The Coca-Cola Company – all of which also have their own separate strategies that are geared towards increasing their use of clean power.
Italy-based energy solutions provider Enel X is managing the program, connecting the participants with renewable energy providers and supporting transactions through its Advisory Services Division.
The program is further supported through the use of an educational platform that the group believes will help their supply chains prepare for the increased adoption of renewable energy in a cost-effective way.
The consortium says that Scope 3 emissions, which are produced in the supply chain rather than by the drinks companies themselves, may account for roughly 90% of their total carbon footprint.
REfresh is already in discussions with 300 companies involved in the supply chain regarding their participation in the program. It is hoped that issues such as limited capabilities, restricted access to information, and lack of economically viable projects can be overcome with the consortium’s help.
Initially, the program will be launched in Europe and North America, where renewable energy markets are already comparably mature due to existing networks, before expanding into other territories.
On the launch of the consortium, Diageo’s chief procurement officer Jane Liang commented: “The climate crisis is the most pressing issue of our time and the transition to Net Zero is becoming increasingly important. However, there is only so much we can do as individual businesses.
“The REfresh Alliance will drive collective action within the industry to accelerate the adoption of renewable energy. We are calling on all companies and suppliers within the industry to join us and support the industry in its transition to Net Zero.”
The beverage industry has been pioneering the use of renewable energy for some time now, with encouraging results. In collaboration with E.ON, Diageo recently installed 7700 solar panels at its packaging facility in Fife, Scotland.
This solar farm, reportedly one of the largest in Scotland, has a power capacity of 4.2MW – which is enough to power 2500 homes for a year. This output reportedly covers 22% of the facility’s annual needs (rising to 60% in summer) and reduces carbon emissions by 830 tonnes per year.
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