Inside Coca-Cola & Heineken's Renewable Energy Partnership

Some of the world's leading global beverage companies have come together to form the REfresh Alliance.

This new initiative, designed to speed up the adoption of renewable energy across the sector, brings together 10 beverage organisations including Coca-Cola and Heineken, both of which are already taking proactive steps to decarbonise.

By pooling resources, expanding education and diminishing barriers to renewable energy, the alliance hopes to set a path that all the players in the industry can follow in the pursuit of net zero.

A breath of fresh air: About the REfresh Alliance

Managed by Enel X, an expert in energy solutions, the REfresh Alliance allows participants to connect with renewable energy providers and access best practices and advisory support to streamline their sustainability journey.

Additionally, the programme includes a dedicated educational platform to arm the industry with the crucial skills and knowledge needed for implementing renewable energy solutions.

This collaborative effort particularly aids in reducing costs and energy footprints more efficiently than what would be achievable by individual companies alone.

The alliance aims to intensify renewable energy adoption throughout the supply chain, helping each company meet their net zero targets while marking a significant shift in the industry to face climate challenges collectively.

Teaming up to tackle Scope 3

The primary challenge in cutting carbon emissions for beverage companies (and companies in any industry) is Scope 3 emissions.

These emissions are not directly produced by the companies themselves but occur throughout their supply chain. For many companies, Scope 3 emissions represent around 90% of a company’s total emissions, so reducing them is pivotal for any company wanting to achieve net zero.

Reducing these emissions is complex as they often originate from suppliers’ activities, which are outside the direct control of the brands. The problem is that many suppliers face obstacles in adopting renewable energy due to a lack of capacity, resources or even knowledge about financially viable options.

The REfresh Alliance is attempting to combat these challenges by supporting suppliers to shift their energy use to renewables Things are looking good - over 300 suppliers have already joined discussions to explore renewable energy possibilities and there's plenty more where that came from.

Ralf Peters, CPO at Coca-Cola Europacific Partners, says: “We have long recognised the need for industry collaboration to deliver the most impact and to accelerate the transition across our supply chains."

Likewise, Hervé Le Faou, CPO at Heineken, says: “Scope 3 emissions are one of the biggest challenges that the industry faces in delivering on our net zero ambitions.

"We must work together to identify areas of our supply chains where we can pool our resources to accelerate this transition for our suppliers.”

Global reach and impact

The REfresh Alliance's initial focus is on Europe and North America due to the more developed renewable energy infrastructures in these regions which can yield quicker results. But as the programme evolves, the aim is to broaden its scope globally, encouraging more beverage companies and suppliers in emerging markets to join and take advantage of accessible renewable resources.

Furthermore, the alliance not only bridges connections between brands and green energy suppliers but also fosters a proactive educational environment. It equips companies with essential knowledge for implementing green solutions effectively.

Jane Liang, Chief Procurement Officer at Diageo, underlines the climate crisis as an urgent issue, highlighting the alliance’s mission to foster collective actions for faster adoption of renewable energy, inviting industry-wide participation to bolster the movement towards Net Zero.

“The climate crisis is the most pressing issue of our time and the transition to net zero is becoming increasingly important," she says.

"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.”

Through its commitment to addressing Scope 3 emissions broadly across the industry, the REfresh Alliance paves a feasible path for beverage companies towards comprehensive sustainability, supporting wide-scale emission reductions globally.

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