PepsiCo South Africa has partnered with Standard Bank on a sustainability-linked working capital facility to support its renewable energy commitments and local procurement initiatives. This collaboration aligns with PepsiCo’s global sustainability agenda, focusing on energy-efficient manufacturing and renewable electricity.
PepsiCo, a leading global food and beverage company, operates in over 200 countries. In South Africa, its brands include Weet-Bix, Simba, Lay’s, Doritos, Liqui Fruit, SASKO, White Star, and Spekko. The company aims to achieve net-zero emissions by 2040, with a target of 100% renewable electricity in its operations by 2030.
Standard Bank, acting as lender and sustainability coordinator, has provided PepsiCo South Africa with a facility that supports these goals. PepsiCo has implemented several initiatives to meet its renewable energy targets. The company is working with Independent Power Producers to source electricity from wind and solar plants and using renewable energy certificates to offset non-renewable consumption.
Currently, PepsiCo South Africa has 15 sites generating onsite solar capacity totaling 11.5 MW. Additionally, it is constructing an anaerobic digester plant at its Isando facility, which will convert organic waste into biogas for electricity production.
PepsiCo South Africa is also committed to advancing equity and inclusion within its business partnerships and local communities. The partnership with Standard Bank aims to drive localisation in its value chain, with a focus on supporting local small, medium, and micro enterprises (SMMEs), as well as black-owned and women-owned suppliers.
“Creating a sustainable value chain is not easy, but with the right approach, it is a powerful means to meet our sustainability goals, create a more resilient organization and fuel improved business performance,” said Riaan Heyl, Chief Executive Officer for PepsiCo South Africa.
This partnership underscores PepsiCo’s dedication to reducing its carbon footprint while fostering socio-economic growth and job creation in South Africa.