The Business of The Business Has Transformed To Do Green Business

Published on December 19, 2019 by Binayak Ransingh

There was a time when it was said ‘The business of the business is only to do business”. But the increasing awareness for climate change has forced businesses to adopt doing green business. Sustainability has transformed from a concept to a business strategy. We have multiple examples where companies have shown that sustainability can reap profits. Today, every nation is actively working to promote green energy as well as encouraging players from various sectors to decarbonize their operations. Subsidies, favorable regulatory mechanism and renewable energy adoption policies have accelerated the green economy growth.

2018 will be remembered as the year was 1.5 degrees Fahrenheit warmer than the 1951 to 1980 mean and also the year ranked the 4th warmest since 1880. But the better part of the year is that, the corporate movement for renewable electricity started its pace and businesses have started transforming their traditional approach for revenue generation to sustainable approach. The falling renewable energy cost and stronger CSR concerns have encouraged companies to consider renewable energy as an asset which can provide real competitive advantage. World’s two third of the electricity is consumed by the companies and it is their responsibility to bring in clean energy systems for tomorrow.

In 2014, the Climate Group in association with the CDP Global launched RE100 mechanism in Climate Week NYC 2014, to bring in all the global players together to comitt for 100% renewable energy utilisation for their operation across the globe. More than 155 companies joined the movement and created opportunity of more than 188 TWh of renewable power annually.

MARKET INSIGHTS

» In 2018, majority of the companies participating in the RE100 mechanism are based in US, having a share of 33%, followed by UK and Rest of Europe having 29 companies and 25 companies respectively

» In Japan, the number of companies participated in the RE100 movement has witnessed highest y-o-y (333.3%) in 2018 and the organizations are taking active initiative to promote and influence other Japanese companies to adopt renewable energy

CASE STUDIES ON KEY CORPORATE INFLUENCERS

Companies are actively participating in the RE100 mechanism across the globe to transform their existing business to renewable energy dependent business. But renewable markets vary significantly around the world, hence business leaders are taking multi-dimensional approach to meet their ambitious targets. Here at Acuity Knowledge Partners, the Energy & Utilities team has been actively supporting its clients to adopt the transformation happening around different geographies. The team has supported its partners in various areas such as market and competitive intelligence, strategy research, financial modelling, M&A support, valuations, and supplier management research support. The team has already executed projects on trending themes such as smart grid, renewable energy, EV and charging infrastructure, small-scale LNG, process automation, home generation, and connected homes.

Source:

https://qz.com/1712654/ikeas-retail-arm-is-investing-2-8-billion-in-renewable-energy/

https://www.blog.google/outreach-initiatives/sustainability/our-biggest-renewable-energy-purchase-ever/

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