Behind PepsiCo's US$4.8m Investment in UK Solar

PepsiCo is stepping deeper into the UK’s clean energy transition with a £3.6m (US$4.8m) investment in solar generation at its Southern Region Distribution Centre (SRDC) in Leicester.

The move will allow the site to generate its own renewable electricity, aligning energy efficiency with operational resilience.

Climate Minister Katie White says: “We welcome PepsiCo’s decision to embrace our rooftop solar revolution in powering their Walkers crisps distribution centre in Leicester – adding extra crunch to our clean energy mission.

“It’s a great example of how businesses in Britain can cut emissions, lower bills and strengthen our energy security.”

Inside the project

Covering 30,000 square metres of roof space – equivalent to four football pitches – the SRDC installation will be one of the most technically advanced rooftop systems in the UK’s food logistics sector.

The project is being delivered by Ineco Energy, an energy infrastructure specialist.

Once operational, the solar array will supply 100% of the logistics centre’s annual electricity demand, generating approximately 2.84 GWh of power each year. That output equates to the energy use of around 1,000 homes and will significantly reduce dependency on the national grid.

Surplus energy will be used at the neighbouring Walkers crisps manufacturing site, one of the largest crisp factories worldwide, further integrating renewable supply into PepsiCo’s energy operations.

Andy Smethurst, UK Warehousing & Logistics Director at PepsiCo, says: “Leicester is already home to one of the world’s largest crisp factories and now we’re delivering one of the most complex solar power systems, right here in the East Midlands.

“It’s a major milestone for PepsiCo UK and shows how we’re continuing to find new ways to power our sites and operate more sustainably.”

Driving energy efficiency across the supply chain

The £3.6m project follows a £14m (US$18.6m) upgrade to the Leicester distribution centre in 2021, one of the biggest logistics investments in PepsiCo’s UK history.

The site plays a key role in the company’s UK supply chain, distributing snack and beverage products produced across six domestic factories.

The solar initiative builds on a wave of energy optimisation projects across PepsiCo’s portfolio.

The company has recently introduced electric ovens at the Leicester plant, efficient machinery in Coventry and high-efficiency fryers at its Brigg site, efforts which collectively cut carbon emissions by around 2,400 tonnes annually.

PepsiCo has recently switched to electric ovens at its site in Leicester, installed efficient machinery on its manufacturing line in Coventry and invested in new efficient fryers at its Brigg site.

These initiatives have worked to reduce the company’s greenhouse gas emissions by around 2,400 tonnes per year.

The newest project aims to add to this number, further reducing PepsiCo’s emissions and working towards its environmental targets.

Angus Rose, Director at Ineco Energy, says: “Ineco is incredibly proud to be delivering this flagship solar project for PepsiCo.

“Once operational, it will be one of the largest rooftop systems of its kind in the UK food manufacturing sector, generating the same amount of energy that the SRDC uses in a full year.

“This project has required a collaborative and highly technical approach and we’re delighted to now be moving into the construction phase. We look forward to continuing our strong relationship with the PepsiCo team.”

Construction on the solar power system at the site is underway, with the installation expected to be completed by September 2026.