Schneider, Marks & Spencer team up on supply chain decarbonization

Schneider Electric has been on a roll, entering into partnerships to help corporations rid supply chains of oil and natural gas. The latest is with Marks & Spencer, the 141-year-old London retailer.

The RE:Spark program, announced Nov. 19, involves aggregated clean-energy purchases paired with advisory services, regional support and tracking software.

Schneider teamed up with Levi’s on the similar LEAP program, announced Sept. 23. Schneider, based in a Paris suburb, has applied the model to other industries, including its Energize program for healthcare, Catalyze for the semiconductor industry and REnew with PepsiCo.

“By acting as a facilitator, we can help our suppliers build networks and resilience for the long term — sparking a movement of change across the industry and beyond,” stated Katharine Beacham, Marks & Spencer’s head of sustainability and materials in fashion, home and beauty.

Marks & Spencer holds a net zero goal for 2040, validated by the Science-Based Targets initiative, which hinges upon its thousands of global suppliers. All but 5 percent of its overall emissions stem from Scope 3, including purchased goods and services. The retailer in May reported 9 percent annual business growth and a 6 percent rise in emissions.

Steve Wilhite, executive vice president of Schneider Electric Advisory Services, in a statement called RE:Spark an example of “how collaboration can drive scalable, impactful change across global supply chains.”

Marks & Spencer has been working since 2023 with the nonprofit Apparel Impact Institute’s Carbon Leadership Program. It offers a toolkit for driving down emissions among 45 of the company’s mills. Last year the retailer sponsored 24 suppliers to engage in the nonprofit’s Carbon Target Monitoring project for additional support.

The RE:Spark initiative with Schneider indicates a deepened commitment by Marks & Spencer to supplier-level decarbonization. It enables companies to pool their demand for Power Purchase Agreements (PPAs), giving smaller firms a chance to access renewable electricity that would otherwise be hard to obtain.

Help for smaller suppliers

Ceres’ Company Network Senior Director Mary Ann Ormond called the effort encouraging. “The most impactful approach to this work combines access to diverse renewable electricity options in key markets — especially for smaller suppliers — with investments in supplier success through favorable pricing and financing terms,” she said.

In addition, the partnership may be a template for other brands or retailers. “Companies are also leveraging collaboration with their sector peers to further accelerate uptake,” Ormond said.

The software for RE:Spark is based on Schneider’s Zeigo Hub, launched in July. Suppliers submit data there, enabling companies to set targets and track suppliers individually.

The involvement by a retailer to help numerous vendors phase out fossil fuels is unique. Some of the earliest efforts in this space are by brands, such as H&M Group’s heat battery initiative. 

Everlane, Reformation and Eileen Fisher are the latest latest brands to join with the Apparel Impact Institute to electrify their supply chains. The nonprofit asks brands to contribute $10 million toward its $250 million Fashion Climate Fund to help suppliers execute their low-carbon transitions.