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Global corporate renewable energy purchases continue to increase

Global corporate renewable energy purchases continue to increase

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A new report from the International Renewable Energy Agency (IRENA) shows that in 2017, companies from 75 countries purchased a total of 465 TWh of renewable energy, which is roughly equivalent to the total electricity demand in France that year. The report points out that as the cost of renewable energy continues to decline, and companies continue to seek to reduce electricity costs, hedge against future price spikes and address sustainability issues, companies' demand for renewable energy will continue to increase.
 
At the 9th Clean Energy Ministerial Conference in Copenhagen, the International Renewable Energy Agency released the report “Enterprise Renewable Energy Procurement: Markets and Industry Trends”. This is the first global assessment of corporate renewable energy procurement trends and policies.
 
The report points out that environmental and sustainability issues, social responsibility and reputation management, and economic and financial goals are the three main drivers of corporate procurement. As long as there is an appropriate policy framework, corporate renewable energy procurement can be a key force in driving global transformation into sustainable energy.
 
Amin, Director-General of the International Renewable Energy Agency, said: "Renewable energy procurement has become an important part of corporate strategy in recent years. Although companies initially focused on environmental protection, renewable energy is increasingly economically Price stability also gives the company a real competitive advantage and supports the company's sustainable growth."
 
Of the more than 2,400 companies analyzed in this report, half are voluntarily purchasing or investing in self-generated renewable electricity for their businesses. In more than 200 companies, renewable electricity accounts for more than half of its total electricity consumption. Self-generation is the most common procurement model, followed by unbundled energy attribute certificates (EACs) and power purchase agreements (PPAs).
 
Amin also pointed out that "company electricity accounts for two-thirds of the world's final total electricity demand, which makes enterprises become key players in energy transformation. As governments recognize the huge potential of enterprises, they formulate policies to support enterprises' power purchases. This will help renewable energy attract more investment.” The report also found that most of the renewable energy is used in the materials industry in terms of procurement scale; from the proportion of renewable energy to total electricity consumption, the highest proportion It is the financial industry (24%) and the information technology industry (12%). Geographically, European and North American companies are still the mainstay of corporate procurement.

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