The webpage by ENGIE (2013) states that ENGIE is top in the European market and also the world's biggest independent provider of urban cooling networks, providing constant comfort needs to public and private sectors while ensuring environmental sustainability by cutting down carbon dioxide release. It also have a global influence on the heating and cooling network due to its extensive operation, ranging from Malaysia to Italy. ENGIE customizes solutions for different demands. The company uses renewable energy to generate heat for its heating networks alongside the use of freshwater for their cooling networks. Such an approach is more environmentally friendly compared to competitors in the market. These are part of its plan to increase renewables to 50% across its European urban network starting from 2018. The reason behind ENGIE's success in the market is because of its environmental sustainability effort in terms of carbon neutrality and reducing carbon footprint.
Due to social medias and technological advancement, news and messages are able to spread like wildfire across the internet, enabling more people to learn and understand about different global issues such as environmental sustainability and global warming. With the increased amount of attention, more actions are taken to tackle the issues. According to a study by GreenPrint, an environmental technology company, "77% of Americans are concerned about the environmental impact of products they buy and 76% of Americans would switch their preferred packaged goods brand if they were offsetting carbon emissions. 74% would switch gasoline brands in the same situation" (GreenPrint, 2021).
As people are getting more concerned about the environment, ENGIE provides solutions for consumers that can play a part in environmental sustainability. This allow more people to transit towards utilizing ENGIE's services as they have similar goal, which is to contribute towards being environmentally friendly. Statistics published by ENGIE states that its customers prevented 21 megaton of carbon dioxide equivalent emission in 2020 by using ENGIE's products and services (ENGIE, 2021a). The company aim to spread awareness of its comprehensive solutions to customer which can help to decarbonize the economy on a global scale (ENGIE Impact, 2021). This allow more people know about its effort and will join in to support. In return, this help to make ENGIE successful in the market as well due to the cohesion with its clients.
In order to cater towards the population of potential clients, ENGIE customize their services to satisfy their needs. ENGIE provides a carbon- free energy supply and consumption control solutions. It offers clients an energy mix which consist of more than 70% of renewable energy. It also provide electricity contracts that are fully hydro and wind powered, from production locations that are located only in France. Electricity contracts offered by ENGIE consist of green electricity. This means that an equal amount of renewable energy is administer into the network for every KWh of electricity consumed (ENGIE, 2021b). These efforts are all inline with ENGIE's strategy which is "to act to accelerate the transition towards a carbon-neutral economy, through reduced energy consumption and more environmentally-friendly solutions" (ENGIE, 2021a).
Apart from working towards reducing carbon footprint alongside its clients, ENGIE is also trying to create a carbon neutral economy. ENGIE announced that it will cease the operation of coal-fired power plants and will stop building any new coal plants in 2015, with the goal of completely phasing it out by 2025 in Europe and 2027 across the world. Following the announcement, ENGIE proceeded to sell 4 of its coal-fired powerplants in the Netherlands and Germany. This led to coal to constitute only 4% of its global power generation capacities, a decrease from 13% in 2015 (ENGIE, 2019). Based on ENGIE's 2021 key figures, carbon dioxide released from the production of electricity was reduce by 52% compared to 2012. Renewables constitute 31% in its electric capacity mix as well (ENGIE, 2021a).
However, ENGIE's success may not be fully due to its environmental sustainability efforts. ENGIE's history dates back to the early 19th century in France and Belgium, during the peak of the Industrial Revolution (ENGIE, n.d.). This means that ENGIE have a long history and experience in the market. Customers have a tendency to rely on a brand that can showcase its firm commitment, honesty, and transparency with its clients. The company's history represents its commitment to its customers (Müllerhaus Legacy, 2020). The history of a company showcased its accomplishments throughout the years. Hence, ENGIE's history and longevity in the market may also be the reasons behind its success.
There are numerous factors that can lead an organization or company to success. All efforts made can contribute to the success of the organization. I believe for a company to be successful, it should have a couple of unique points to differentiate itself from the rest. ENGIE's goal of building towards an environmentally friendlier earth is an unique selling point. Thus, I stand by my statement that the reason behind ENGIE's success in the market is because of its environmental sustainability effort in terms of carbon neutrality and reducing carbon footprint.
References:
ENGIE. (2013). District heating and cooling systems. https://www.engie.com/en/businesses/district-heating-cooling-systems
ENGIE. (2019). ENGIE to sell its German and Dutch coal assets and boosts the implementation of its strategy. https://www.engie.com/en/journalists/press-releases/sell-german-dutch-coal-assets
ENGIE. (2021a). ENGIE Key figures. https://www.engie.com/sites/default/files/assets/documents/2021-09/ENGIE-ChiffresCle2021-EN-WEB_0.pdf
ENGIE. (2021b). ENGIE makes a commitment to the European Commission to help consumers reduce their carbon footprint. https://www.engie.com/en/journalists/press-releases/engie-makes-a-commitment-to-the-european-commission-to-help-consumers-reduce-their-carbon-footprint
ENGIE Impact. (2021). Accelerating Decarbonization of the Energy Sector https://www.engie.com/en/news/client-decarbonization-approach. https://www.engie.com/sites/default/files/assets/documents/2021-07/Accelerating%20Decarbonization%20Of%20The%20Energy%20Sector_0.pdf
ENGIE. (n.d). The History of the ENGIE Group | ENGIE. Engie.com. https://www.engie.com/en/group/history-engie-group.
GreenPrint. (2021). GreenPrint survey finds consumers want to buy eco-friendly product but don't know how to identify them.. https://greenprint.eco/greenprint-sustainability-index/
Müllerhaus Legacy. (2020). What Is Company History & Why Is It Important? [Blog]. https://mullerhauslegacy.com/blog/what-is-company-history-and-why-is-it-important/.
updated 12.13pm 15 Oct 2021
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