The request often arrives in a supplier questionnaire or an annual business review: your customer has committed to 100% renewable electricity recently and now wants to discuss how you can comply to their plan.
In a way, your represent their Scope 3 and have an impact on their strategy as well.
RE100 brings together companies committed to using 100% renewable electricity across their global operations. New members are expected to reach this goal by 2040 or earlier, although later deadlines up to 2050 may be accepted in certain markets.
For suppliers, this does not mean you must join RE100 or follow the same deadline. What matters is understanding your customer’s expectations and showing credible, measurable progress towards meeting them.
Start with your electricity consumption per site over the past 12 months, and the share already from renewable sources, if any. Without a baseline, no target or plan will be credible.
Ask precise questions. Which sites are in scope? By what year? Which renewable sources and certificates will they accept? Do they require progress reports, and in what format? The answers will determine which solutions count.
Most suppliers combine these over time. Physical projects tend to carry more weight with customers who look for real, additional emissions reductions.
Prioritise the sites with the largest consumption and the best technical potential. A clear sequence, with dates and expected reductions, is often what customers want to see first.
Suppliers that respond early with a concrete plan are better placed in their customer relationships.
Onsite renewable power can also reduce exposure to rising grid prices, so the same project supports both your customer commitments and your margins.
Here are some key examples of 2 key suppliers of big industrial groups
and how much cost savings they unlocked:
Peak Energy develops, finances, builds, owns and operates renewable energy projects for industrial companies across Asia Pacific, under structures that can avoid upfront investment. Our local teams know the procurement options available in each market.
Next step: talk to our team about a renewable roadmap your customer can track, starting with your highest-consuming sites.
Explore the financial considerations and procurement options for your renewable electricity roadmap.
What should a CFO check before approving a PPA? →
Onsite, offsite or virtual: a simple guide to choosing the right PPA →