Schneider Electric, an energy management business, is partnering with Carnstone, corporate responsibility and sustainability consultancy, to expand renewable energy access to ten major pharmaceutical companies. Their initiative, known as the Energize program, will assist enterprises in addressing their operational Scope 2 greenhouse emissions by procuring green power, which will lower the participants’ Scope 3 emissions.
Energize will educate businesses on the renewable energy market, specifically how to obtain clean energy. In practice, this entails providing businesses with the instruments necessary to enter into PPP (power purchase agreements). PPAs bring together an energy developer and a buyer of energy. The developer constructs a power plant on the buyer’s property, retains ownership, and sells the generated electricity to the buyer at agreed-upon rates for a set period – usually between 10 to 25 years. The buyer can choose to prolong the contract, have the contractor remove the system, or even offer to acquire the power plant entirely at the end of the period.
AstraZeneca, Pfizer, Sanofi, MSD, Novartis, Novo Nordisk, Biogen, GSK, Johnson & Johnson, and Takeda are among the companies that have signed up for Energize. The initiative was created to address common market hurdles such as a lack of awareness about renewable energy operations, load size, credit constraints, and the need for advice throughout a lengthy contracting procedure.
Schneider and Carnstone will first target energy load suppliers in Europe and North America, to expand globally as interest as well as renewable energy market opportunities coincide. “Limiting global warming to acceptable levels would depend on converting the entire world to renewable energy,” said Glynn Roberts, who works as the Senior Partner at Carnstone. Companies will not be able to achieve this on their own. Glynn Roberts, a Senior Partner at Carnstone, said, “We believe in the power of collaboration and are thrilled to be gathering the pharmaceutical sector together to push the uptake of renewable energy in its supply chains.”
Schneider Electric SE (Societas Europaea) is a global corporation based in France that specializes in energy and automation digital solutions for increased efficiency and sustainability. It combines energy technology, real-time automation, software, and services to target homes, infrastructure, buildings, data centers, and industries. The corporation employs over 135,000 people and operates in over 100 countries. Schneider Electric is now a Fortune Global 500 firm that is listed on Euronext Exchange and is incorporated in Euro Stoxx 50 stock market index.