LCAW: Unilever Discusses Roadmap to 100% Renewables by 2030

Global consumer goods manufacturer Unilever is stepping up its clean electricity strategy by joining the Climate Group's 24/7 Coalition, as it seeks to match its power demand with renewable generation around the clock.

The announcement was made during the Climate Group's Opportunity Summit, held as part of London Climate Action Week, where the business outlined how it intends to strengthen the role of renewable electricity in cutting operational emissions.

Rianne Buter, Global Head of Sustainability at Unilever, said joining the coalition will help businesses work together to solve some of the energy transition's most complex challenges.

“At Unilever, we are incredibly proud of the progress we've made so far on renewable energy. Last year, we achieved 85% renewable energy across our operations. That, of course, is also a key driver of our Scope 1 and 2 decarbonisation,” says Rianne.

Unilever says the next phase of its energy transition is not simply about buying more renewable electricity, but ensuring clean power is available precisely when and where it is needed.

“But we also know that the next phase of the transition requires us to go much further. And many of you in this room will share that joining this coalition represents the next step, or at least part of it," Rianne explains.

“It's about building upon our existing strategy to develop a much more granular understanding of when and where carbon-free electricity will be available and aligning our electricity procurement approach and demand more closely to the reality that matters.

“Because in many markets, particularly here in Europe, the challenge is no longer simply about adding more renewable capacity, but rather about making sure that it's available at the right time and at the right place,” she continues.

Unilever joins a growing group of organisations signing up to the initiative, including AirTrunk, AstraZeneca, Cathay Financial Holdings, Cathay Life, Google, Princeton Digital Group and Shree Cement.

A new kind of procurement

Unlike conventional renewable procurement, which often relies on annual accounting through power purchase agreements or renewable energy certificates, the 24/7 approach focuses on matching electricity consumption with carbon-free generation every hour of every day.

This means businesses can reduce reliance on fossil fuel-generated electricity whenever renewable supplies fluctuate, creating a closer link between electricity demand and clean energy generation.

Achieving round-the-clock renewable electricity will require significant changes across energy markets, according to Buter, who believes collaboration throughout the sector is essential.

“I think we all know that we cannot do this alone. Companies like Unilever require significant electricity demand across many of our markets,” she says.

“That means renewable generation in the right locations, at the right times and alongside storage and flexibility," she adds.

“It requires policymakers, grid operators and market specialists to enable the right market rules, the infrastructure and also the data systems.

“It requires energy suppliers and developers to respond with new offerings and it requires more companies to step forward, to build at scale, to share standards, but also to share our confidence. And that is why we are joining this coalition today."

The comments underline the growing importance of electricity storage, flexible demand and modern grid infrastructure in enabling companies to operate on carbon-free power throughout the day rather than relying on annual renewable matching.

The company's wider climate targets include eliminating absolute operational Scope 1 and 2 emissions by 2030 against a 2015 baseline, while achieving a 42% absolute reduction in Scope 3 energy and industrial greenhouse gas emissions by 2030 compared with a 2021 baseline.

Buter said wider adoption of 24/7 carbon-free electricity will be critical if businesses are to accelerate the energy transition.

“Today our message is very clear," Rianne concludes. "Progress is happening, but it needs to accelerate. And to do that we need many, many more organisations to explore the scaling up of 24/7 carbon-free electricity.

"This coalition is a step in the right direction to achieve this acceleration.”