Anheuser-Busch InBev has joined RE100, a global initiative by the influential business firms that is focused to sourcing the 100 percent renewable electricity. By 2025, the brewing giant pledges to source all of its power purchases from renewable resources rather than fossil fuel. This means that in some years, your cold Budweiser will be made with the renewable energy sources such as the wind or solar power.
President Trump recently signed an executive order cutting measures to battle the climate change; continuing the project ‘Clean Power Plan’ formerly announced by the ex-President Obama. Surprisingly, Budweiser took the same day to announce their plan to derive the power from renewable energy sources by 2025, reports Bloomberg.
According to the feed by AB InBev CEO Carlos Alves De Brito, the timing of their switch over from fossil fuel power usage to energy from renewable sources is a coincidence. To make it clear, Carlos says that the shift has no political connotations and the step-over into RE100 is because it is good for their business and environment, reports Bloomberg.
AB InBev in a statement said that six terawatt-hours of fossil fuel generated would eventually be derived from solar, wind and other renewable sources. This move by Budweiser would reduce the brewer’s carbon footprint by 30 percent; the equivalent of removing 500,000 cars from the road.
Currently, only about 7 percent of the company’s electricity comes from renewable sources. The brewing giant is widespread with 264 branches worldwide with about 200,000 employees in more than 50 countries. Budweiser if succeeds in achieving the RE100 goal then almost 6 terawatt hours of the company’s electricity would get convert into renewable; equivalent to the energy produced annually by 400 soccer-size fields of solar panel.
According to the CEO Carlos Brito, by adopting the shift to a renewable source, they owe an opportunity to play a leading role in the battle against climate change and thereby to drive a positive change. The primary renewable source that the company will be adopting is wind and solar, but that may vary depending on the market. The company’s renewable energy will come mostly from power purchase agreements and on-site technologies. According to US Energy Information Administration, the definition of renewable energy is the finite energy sources that regenerate.
According to InBev, renewable energy bought through power purchase agreements would be cheaper than grid electricity. Additionally, business point of view, the shift to the RE100 electricity production is an intelligent decision. Moreover, the agreement would protect the company from market volatility.
The RE100 is a group of 89 influential companies worldwide that are dedicated to going cent percent renewable. With the shift, the AB InBev is now a part of this list of these great giants combating climate change. Under RE100, Apple in 2015 use 93% renewable energy, IKEA to convert to renewable energy sourcing firm by 2020 and also Coca-Cola will power its operations from a renewable source by 2020.
The AB InBev will initiate the major shift at it biggest brewery in Zacatecas, Mexico. The brewing giant signed a power purchase agreement with electric utility Iberdrola. The company by this move is attempting to bag the title of world’s “largest corporate director purchaser of renewable electricity in the consumer goods sector”.