Small logo Subscribe to leading news on impact investing. Learn More
The Brief Originals Dealflow Signals The Impact Alpha Impact Voices Podcasts Agents of Impact Open
What's Next Capital on the Frontier Measure Better Investing in Racial Equity Beyond Trade-offs Impact en las Americas New Revivalists
Local and Inclusive Climate Finance Catalytic Capital Frontier Finance Best Practices Geographies
Slack Agent of Impact Calls Events Contribute
The Archive ImpactSpace The Accelerator Selection Tool Network Map
About Us FAQ Calendar Pricing and Payment Policy Privacy Policy Terms of Service Agreement Contact Us
Locavesting Entrepreneurship Gender Smart Return on Inclusion Good Jobs Creative economy Opportunity Zones Investing in place Housing New Schooled Well Being People on the Move Faith and investing Inclusive Fintech
Clean Energy Farmer Finance Soil Wealth Conservation Finance Financing Fish
Innovative Finance
Personal Finance Impact Management
Africa Asia Europe Latin America Middle East Oceania/Australia China Canada India United Kingdom United States
Subscribe Log In

Economics behind U.S. corporate push to adopt renewables

President Trump’s announcement that he will pull the U.S. out of the Paris climate agreement came on Thursday, June 1. By the next Monday, 1,200 political leaders, university presidents and business execs vowed to continue efforts to combat climate change.

Corporations continue to diverge from the president on climate and renewables, driven by economics, not politics (see “From ‘Condemn and Disband’ to ‘Invest and Transform.’”)

A survey of 94 U.S. corporations, including 40 of the Fortune 500, finds that interest in renewables among American businesses is robust and growing, even after Trump’s announcement. More than 70% of the companies surveyed by Smart Energy Decisions have completed at least one renewable-energy purchase. A solid 60% report their interest in renewables has grown since last year.

Reducing energy costs was the single most important factor cited in the survey (29%), thanks to declining prices for wind and solar. Only 8% of the companies said brand image was the motivation. “This finding explodes the myth that brand image/marketing value is the leading reason to source renewable energy,” says SED’s John Failla. Adds Rob Threlkeld, a manager for renewable energy at General Motors, “Basic math initially drove businesses to get serious about energy efficiency, and the same is happening with renewables today.”

You might also like...