Food and drink giant PepsiCo will offtake biomethane from French energy group Engie under a newly signed agreement.
Engie will build an anaerobic digestion plant in the north of England, which will supply 60 GWh of biomethane per year to PepsiCo’s supply chain for a total of 10 years. The contract is expected to begin in 2027, once the plant is operational.
According to a company statement, this is expected to help reduce PepsiCo UK’s emissions by over 10,900 tonnes per year. The agreement marks the UK food and drink industry’s first biomethane purchase agreement of this kind.
“As a low carbon, domestically produced energy source, biomethane will be a key lever in our broader decarbonisation strategy,” said Sian Hamson, Sustainability Senior Manager at PepsiCo UK.
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