Reflect, Refine, and Report on Your Procurement
Once all contracts are secured and RECs or electricity have begun to flow, you can evaluate the impact of your procurement and the procurement process overall. It is crucial to calculate and report out results from the procurement, both internally and externally. Also, learnings from the procurement process can help inform future procurements and position your company as a leader.
- There are several ways to measure the success of your procurement. You should refer back to your company's priorities to report out on these key progress indicators to internal stakeholders.
- It is important to publicize environmental and economic results from your new renewable energy procurement for brand reputation or marketing purposes and to encourage other companies to follow suit.
- You may reflect upon the entire procurement process to identify challenges and successes to help inform future procurement processes for your company.
First, See This
It is important to share the economic results from the renewable energy investment with both internal stakeholders and a public audience. Measuring the economic impact to your organization as a result of the procurement is a key metric for internal stakeholders. Significant cost-savings should also be publicized to encourage other organizations to transition to renewable energy sourcing.
The Godrej Group in India targeted and achieved close to INR 50 million (~830 USD) savings per annum by securing wind and solar PPAs. This serves as a leading example for other Indian companies looking to fulfill sustainability priorities and reduce electricity costs.
Now, Understand This
You now have the opportunity to present your company as a leader in renewable energy procurement. To do so, you must publicize and report your impacts. There are various examples of how to report on the impact of your procurement for different procurement methods.
Read Excerpt: Pages 17-21 from Describing Purchaser Impact in U.S. Voluntary Renewable Energy Markets by Letha Tawney, Mary Sotos & Ed Holt.
Next, Consider This
It can be important to evaluate the environmental benefits and share out internally as well as externally. RECs can be associated with PPAs and turnkey purchases as well as REC-based programs, but you must ensure that your company owns the RECs before claiming ownership.
Read Excerpt: Pages 3-6 from Guide to Purchasing Green Power by the U.S. EPA.
And Understand This
It is important to accurately represent the tangible impacts from the procurement. When doing so, there are a number of best practices to consider.
Read: Best Practices on pages 7-9 from Guide to Purchasing Green Power by the U.S. EPA.
Finally, Read This
Once your procurement has been in place for some time, you can reflect upon the purchasing process as a whole and document best practices internally.
Suggested Actions & Next Steps
- Measure: Gather data on cost-savings and environmental impact from your renewable energy procurement.
- Report: Look at your organization's original priorities and report on these key results to internal stakeholders.
- Publicize: Publish key findings to broader external audiences.
- Remember: Monitor and check on policy as it could impact your procurement now and in future procurement processes.
- Regularly keep in touch with your regulator, read local industry publications, or contact credible NGOs that are working on updating policies to accelerate the energy transition.
- Some examples of NGOs and other organizations working on clean energy policy in Southeast Asia and internationally are: TARA, CEIA, REBA, IEA, IRENA, Allotrope Partners. Subscribe to their newsletters or form relationships with representatives of these organizations.
- Enlist support: If you have a Regulations and Compliance team, task them with providing regular updates on any relevant policy changes.
- Reference: Use tools and platforms such as GHG Protocol and Carbon Disclosure Project to calculate greenhouse gas emissions and disclose your environmental impact.
Need guidance on making claims and optimizing the publicity of your renewable energy procurement?You may want to get expert support through our free Ask an Expert service. We can connect you.
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