Producing Packaging for the Retail and Food Sectors Using 100% Green Electricity
7th December 2014: Irish energy supplier Naturgy has signed a gas and renewable electricity deal with AB Group Packaging, one of Ireland’s biggest manufacturers of packaging products for the retail and food sectors. Valued at €250,000 per annum, the agreement will see Naturgy supply AB Group with gas and 100% green electricity to meet the year-round energy requirements for its production facility in Blessington, Co. Wicklow.
Established in 1985, AB Group Packaging Ireland specialises in paper carrier bags, waxed bread paper and printed films products. Its customers include some of Ireland and the UK’s largest retailers and food manufacturers, who are increasingly seeking 100% recycled packaging products. Its customers include O’Briens Sandwich Cafés, Primark, TK Maxx, Debenhams, Vodafone, O2 and Clarks.
As part of its environmental sustainability programme, AB Group Packaging uses locally sourced materials and works closely with both the Programme for the Endorsement of Forest Certification (PEFC) and the Forest Stewardship Council (FSC) to maintain and replenish forests. The company has achieved enormous progress to date through initiatives that significantly reduce waste throughout the production chain.
A critical consideration for AB Group in choosing Naturgy as its energy partner was the ability to source fully traceable, green electricity for its production facility, thereby helping to further reduce the company’s carbon footprint and minimise its impact on the environment. Naturgy is the only energy company in Ireland to supply all its business customers with electricity 100% attributed to renewable sources. This means that the carbon footprint of Vayu’s customers is zero in terms of the electricity they consume.
The energy deal allows AB Group to achieve significant savings in energy costs with direct access to wholesale market prices for both electricity and gas. As part of a fully managed agreement, Naturgy will provide AB Group with the procurement tools and advice to purchase energy at the best price available in the market. Naturgy will also provide AB Group with a tailored energy management system to monitor the company’s energy performance in real time to reduce overall energy costs.
Gabriel McCabe, Business Unit Manager, AB Group Packaging Ireland said: “Environmental sustainability is a key focus for us across all aspects of our businesses. We believe passionately in minimising our impact on the environment and have achieved enormous progress to date through initiatives focused on minimising waste, using locally sourced sustainable materials at every opportunity and keeping our carbon footprint to an absolute minimum.”
“In particular, minimising energy use is a key focus for us, and our partnership with Naturgy will help reduce our environmental footprint even further by providing us with electricity that has a 100% renewable rating,” says Mr Brady. “The deal also gives us direct access to wholesale gas and electricity prices backed up by Vayu’s expertise in the Irish energy market. This will enable us to manage our energy procurement more effectively and significantly reduce our energy costs.”
Kate Nolan, energy specialist at Naturgy said: “Energy costs are becoming a greater consideration for Irish businesses as they look to achieve savings by better managing their energy procurement activities. This is significantly changing the way energy is being supplied with businesses moving away from traditional commodity approach to tailored solutions that minimise the per-unit cost of energy purchased.”
“Environmental considerations are having a greater influence on Irish businesses when it comes to purchasing electricity in particular. Access to renewable sources has become a very important issue for businesses looking to minimise their carbon footprint and limit their environmental impact. This is having a direct impact on the way businesses procure electricity in Ireland.”