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5 reasons to integrate renewable energy into your climate journey
29
August
2024
29 August, 2024

5 reasons to integrate renewable energy into your climate journey

In a context where the fight against climate change has become a global priority, every organization is encouraged to embark on a climate journey to reduce its environmental impact. Among the actionable levers, integrating renewable energy is essential, and we explain why in this article.

What does integrating renewable energy into the climate journey mean?

Before diving deeper into the reasons that should drive you to integrate renewable energy into your climate strategy, it’s important to understand what this actually means for your organization.

Integrating renewable energy means adopting sustainable energy sources, such as solar, wind, hydropower, or biomass, to ensure the operational functioning of your business. Renewable energy can thus cover your organization’s electricity or heating consumption, notably through:

  • The installation of on-site renewable production facilities (e.g., solar panels, wind turbines) to consume the energy directly produced on-site: this is known as “self-consumption”.
  • The acquisition of Energy Attribute Certificates (EACs): this involves purchasing renewable energy from external sources. These certificates are more commonly known as Guarantees of Origin (GOs) in Europe and Renewable Energy Certificates (RECs) in the United States. The acquisition of an EAC generated by any renewable energy installation grants the organization the right to claim the environmental benefits associated with that energy production.
  • Signing Power Purchase Agreements (PPAs): this refers to a long-term electricity purchase contract that the organization signs directly with an energy producer. Both parties agree on the purchase and production of a certain amount of energy at a fixed price per MWh from the beginning to the end of the contract.

Renewable energy is a significant and effective lever to ensure that your climate strategy delivers tangible results.

1. Reducing carbon footprint

Renewable energy is undoubtedly the most effective lever to reduce your organization’s carbon footprint. Unlike fossil fuels, energy production from renewable sources does not emit greenhouse gases 1.
By replacing conventional energy sources with renewable alternatives, your organization actively and concretely contributes to the fight against climate change while positively impacting the environment and public health.
Moreover, reducing the carbon footprint is a genuine commitment to sustainable development, increasingly valued in Corporate Social Responsibility (CSR) strategies.

2. Less reliance on fossil fuels

The more renewable energy is used, the less reliance there is on fossil fuels. Fossil energy sources such as coal, gas, and oil are limited and their excessive exploitation is highly greenhouse gas-intensive.
For comparison, producing one kWh of electricity from coal emits 1060g of CO2eq/kWh, while it emits only 6g of CO2eq/kWh when produced from a hydropower plant 2.
On a larger scale, opting for renewable alternatives reduces our dependence on fossil fuels and, by extension, our economic dependence on countries exporting these energies.

3. Economic benefits for the company

A third strong reason to integrate renewable energy into your climate journey is the economic benefits. In the medium to long term, energy costs associated with your energy consumption will significantly decrease, which will be reflected in your energy bills.
Furthermore, the use of renewable energy is generally supported by subsidies and tax incentives, providing an additional financial advantage for companies that make this choice.
Finally, relying on renewable energy for your energy consumption also enhances your company’s competitiveness in the market, offering a competitive edge that can boost your revenue.

4. Strengthening brand image and creating a virtuous circle

Adopting renewable energy not only improves your organization’s environmental performance but also strengthens its brand image with your stakeholders. This includes your customers, business partners, suppliers, and investors. Taking concrete actions in favor of the climate is a true marker of quality and trust, positively impacting your reputation.
This can even create a virtuous circle that encourages your business partners (and even competitors!) to adopt a similar approach, benefiting your entire sector.

5. Preparing for future regulations

Whether in Europe or the United States, the urgency of climate change is increasingly recognized by government policies. Many countries and regions have already implemented strict environmental regulations for businesses.
By integrating renewable energy into your climate strategy now, your organization is preparing for future environmental regulations that are evolving rapidly. By anticipating these changes, you avoid potential future costs associated with delayed compliance and demonstrate to your partners that you are a leader in sustainability.


In summary, reducing your carbon footprint, decreasing reliance on fossil fuels, the associated economic benefits, strengthening brand image, and preparing for a rapidly evolving legal landscape are compelling reasons to integrate renewable energy into your climate strategy. It is an essential and effective lever for any organization seeking to engage sustainably in the fight against climate change.

Nvalue is here to help you start and succeed in your climate journey by focusing on renewable energy. Together, let’s build a future where clean energy is at the heart of your strategy.

For any information request or to get a quote, contact us today.


Note

  1. Only the manufacturing, maintenance, and decommissioning of renewable production facilities emit greenhouse gases. These emissions are included in the life cycle analysis (LCA) of these installations.
  2. Source: ADEME 2023 data, considering the entire life cycle.