Schneider Electric, the leader in the digital transformation of energy management and automation, today announced exciting progress for the Energize supply chain decarbonization program, on behalf of the program’s sponsors. The first buyers’ cohort from the Energize program brings eight companies together to procure renewable energy through seven new solar projects in Spain with two developers.
Healthcare systems account for nearly 5% of all global emissions with the majority falling under Scope 3 emissions. The Energize program aims to address the current and future challenges of climate change and its impact on human health by supporting decarbonization across the global industry supply chain.
Together, three sponsors of the Energize program, Takeda Pharmaceuticals International AG, Teva Pharmaceutical Industries, and UCB, and suppliers, Avantor, Organon LLC, Perrigo, and West Pharmaceutical Services Inc., have collaborated to execute an aggregated total purchase of 305 GWh of renewable energy from Zelestra. Additionally, Takeda, Teva Pharmaceuticals, Labcorp, and West Pharmaceutical Services have purchased 258.7 GWh of renewable energy from Bruc.
In total, the eight companies executed 27 PPAs for 563.7 GWh of renewable energy per year for a 10-year term. This represents an estimated 393,795 metric tons of CO2 avoided per year, or the equivalent of 51,355 households’ annual energy consumption[1]. The combined investment will support three new solar projects built by Zelestra and four new solar projects built by Bruc in Spain; the total capacity of these projects exceeds 280 MW.
This multi-buyer PPA exemplifies Energize’s mission of increasing access to renewable electricity for the pharmaceutical and healthcare supply chain, while mitigating the overall environmental impact of the industry. To date, the program (established in 2021) has provided education and support on renewable electricity procurement to over 750 suppliers. Five new sponsors – Almirall, Bayer, Kenvue, Sandoz, and Schott – have also joined Energize this year. The group of 24 sponsoring companies has extended their commitment to the program until 2028.
Schneider Electric’s Sustainability Business served as the advisor to the eight cohort participants throughout the PPA procurement and negotiation process. The Sustainability Business will continue to serve as the Energize program manager supporting the collaboration with program sponsors and the Pharmaceutical Supply Chain Initiative (PSCI) to increase access to new and innovative renewable electricity procurement options.