The company has also brought to market a compostable bag for its Off the Eaten Path brand that’s made with plant-based materials; as part of Pep+, it will license to other CPGs at no cost.
“We’re now getting to a point where we recognize as PepsiCo and Frito-Lay [that] we have a very large footprint, and we need to lead in the space and lead our industry,” said Bart LaCount, VP of consumer insights for PepsiCo Foods North America, on the company’s sustainability ambitions in a recent panel.
“We recognize we have a responsibility as leader of a category to help drive the change that we want to see. … It can be good for business, and it can be good for consumers.”
[See also: Topics in 10 With PepsiCo’s John Phillips]
This latest energy initiative aligns with PepsiCo’s goal to achieve 100% renewable electricity by 2030 and net-zero emissions by 2040. Fifteen of its markets have transitioned to renewable electricity — including the United States and Mexico, which are its first and second largest markets.
Jim Andrew, chief sustainability officer at PepsiCo, noted in a statement that the food and beverage company can’t achieve its net-zero emissions goal without its partners. “Through Pep+ REnew, we will encourage our partners to reduce their Scope 2 emissions through renewable electricity procurement, helping us meet our own Scope 3 goals,” he added.
PepsiCo is inviting partners to apply to participate in the first cohort of the program, and it expects to finalize a first buyer's cohort for an aggregate PPA by the end of this year.
Steve Wilhite, president of Schneider Electric’s sustainability business, said the partnership aspires to add more renewable electricity capacity to power grids around the world. The company will facilitate an education and project selection process across multiple phases with the intent of advancing supplier progress towards aggregated renewable electricity purchases.