Royal Philips is a Dutch multinational conglomerate that operates in the healthcare sector. Established in 1891, the company has a long-standing history of innovation and has been at the forefront of the healthcare industry for over a century. Today, Philips is a global leader in medical equipment, healthcare technology, and consumer electronics. The company is headquartered in Amsterdam, Netherlands, and has operations in over 100 countries around the world.
Philips is committed to sustainability and decarbonisation. The company recognizes the urgent need to reduce carbon emissions and mitigate the impact of climate change. Philips has set ambitious targets to reduce its carbon footprint and become carbon-neutral by 2025. To achieve this goal, the company is implementing a range of measures, including energy efficiency improvements, renewable energy sourcing, and decarbonisation of its supply chain.
One of the key strategies that Philips is pursuing to achieve its decarbonisation goals is the use of renewable energy. The company has set a target to source 75% of its electricity from renewable sources by 2025. To achieve this target, Philips is investing in renewable energy projects, such as wind and solar, and is also exploring corporate power purchase agreements (PPAs) to secure long-term renewable energy supply.
Corporate PPAs are contracts between corporations and renewable energy developers that enable companies to purchase renewable energy directly from the source. By entering into a PPA, companies can secure a long-term supply of renewable energy at a fixed price, which can help them to reduce their carbon footprint and lower their energy costs. Philips has already signed several corporate PPAs for renewable energy, including wind and solar projects in Europe and the United States.
In addition to sourcing renewable energy, Philips is also implementing energy efficiency measures to reduce its energy consumption and carbon emissions. The company has set a target to improve its energy efficiency by 50% by 2025, compared to its 2015 baseline. To achieve this target, Philips is implementing a range of measures, including the use of energy-efficient lighting and appliances, building automation systems, and energy management software.
Philips is also committed to decarbonising its supply chain. The company recognizes that its supply chain is a significant source of carbon emissions and is working to reduce the carbon footprint of its suppliers. Philips has set a target to reduce the carbon footprint of its supply chain by 20% by 2025, compared to its 2015 baseline. To achieve this target, the company is engaging with its suppliers to encourage them to adopt more sustainable practices, such as energy efficiency improvements and renewable energy sourcing.
Overall, Philips is a leader in sustainability and decarbonisation in the healthcare sector. The company recognizes the urgent need to reduce carbon emissions and mitigate the impact of climate change, and is taking ambitious steps to achieve its decarbonisation goals. By sourcing renewable energy, implementing energy efficiency measures, and decarbonising its supply chain, Philips is demonstrating its commitment to sustainability and setting an example for other companies to follow.