More and more businesses are implementing ESG policies, publishing regular updates on their green activity, and seeking to reassure customers and stakeholders alike that being sustainable is a high priority, and in many cases, this is being driven by a genuine desire to contribute to efforts to save the environment.
However, against the backdrop of increasing environmental consciousness amongst consumers, other commercial factors are at play. According to Deloitte’s most recent consumer sentiment research, a quarter of consumers are prepared to pay more for products and services that are sustainable, so it is little wonder that businesses are increasingly conscious of embedding sustainability into their operations.
But when it comes to sustainable practices, it could be argued that doing is only half the battle. Deloitte’s research also finds that 34% of consumers would have greater trust in brands if they were recognised as a sustainable provider by a third party. Clearly, the old adage ‘show, don’t tell’ is a vital part of a successful pivot to sustainability.
The problem with ‘showing’ and sustainable energy
However, in seeking to demonstrate strong sustainability credentials to customers and stakeholders, businesses may find a snagging point when it comes to their energy consumption.
On the basis that all sources of energy, renewable or otherwise, feed into and essentially mix within the grid, it used to be virtually impossible to pinpoint exactly where a business’ energy had come from other than a broad brush aspiration. In an effort to resolve this, the European Union introduced a directive in 2001 to certify production from renewable sources and in the UK the government implemented this with the introduction of Renewable Energy Guarantees of Origin (REGO) certificates.
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