Energy

REDUCING OUR ENERGY CONSUMPTION

Sourcing renewable energy is a critical component of VF’s environmental sustainability strategy and is central to reducing our greenhouse gas (GHG) emissions across our global value chain. To achieve our SBTi-approved science-based targets, we’ve made renewable energy sourcing, green buildings and sustainable logistics central components of our global renewable energy strategy.

Achieving 100% Renewable Energy

In 2016, VF joined RE100, a global corporate renewable electricity initiative bringing together hundreds of large and ambitious businesses committed to 100% renewable electricity.

As a RE100 member, VF has committed to utilizing 100% renewable energy across our owned-and-operated facilities by end of FY2026. To achieve this goal, we’re adopting real-time lighting, heating and cooling monitoring systems across our global operations to increase efficiency and reduce consumption.

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ADVANCING RENEWABLE ENERGY

To achieve our goal, VF has developed a global renewable energy strategy to explore new sourcing options that will help reduce our consumption of non-renewables. We’re also working with our suppliers in strategic sourcing countries to encourage a transition to renewable energy. Learn more about our strategy and achievement in our Sustainability & Responsibility Report.

“VF’s renewable energy sourcing strategy is a commitment to source clean energy while maximizing benefits for neighboring communities and minimizing environmental and social impacts in the supply chain.”

 – Matthew Hamilton

Director of Corporate Sustainability

VF’s State-of-the-art Distribution Center

In 2021, VF’s new distribution center in Bardon, UK began operations for The North Face®, Timberland® and Vans® brands. The 600,000 sq. ft. center features state-of-the-art automation capabilities and was designed with energy efficiency in mind.

With a 1 MW solar array with battery storage, the Bardon distribution center is a model of success in our efforts to achieve 100% renewable energy. The Center has achieved a BREEAM ‘Outstanding’ rating, and the 338-KwH battery system is expected to feed up to 236 kilowatts of electricity onto the grid. Allowing our Bardon center to reduce the estimated power requirement from the local utility by 50% during peak operating times and more than 70% during non-peak operating times.

GREEN BUILDINGS

Green buildings present a significant opportunity in achieving progress towards both our RE100 goal and science-based target. In FY2021, VF facilities accounted for over 90% of our Scope 1 and 2 GHG emissions and the adoption of green building standards can enable enhanced control real-time lighting, heating and cooling monitoring systems across our global operations to increase efficiency and reduce consumption.

VF’S New LEED Platinum Headquarters

In FY2021, we moved into our headquarters to downtown Denver, Colorado. In alignment with VF’s Green Building Standards, the building’s real-time energy monitoring, electric car charging stations and waste management system reduce the facility’s environmental footprint while aiming to improve associate health and well-being.

Our Denver headquarters is certified to LEED Platinum, the highest rating level from the U.S. Green Building Council. The building is also VF’s first to be wellness certified, earning Fitwel 1-Star recognition and offers employees a variety of wellness amenities, including a climbing wall, expansive outdoor space and an altitude training room.

PROMOTING RENEWABLE ENERGY ADOPTION IN THE SUPPLY CHAIN

Most of the environmental impacts of our business, approximately 65%, occur in our supply chain. That’s why we are collaborating with industry associations, supply chain partners and key stakeholders to measure our impact, share best practices and implement programs to drive meaningful change beyond our direct operations. To date, VF has trained 1,000+ supplier factory representatives on energy efficiency and resource management best practices and is expanding our supplier sustainability programs across several key sourcing countries.

Expanding Renewable Energy Access

QuangViet, one of our Vietnam partner factories, celebrated the installation of 3 MWp (megawatt peak) solar panels in 2020. And they plan to add another 3 MWp installation in 2021. With that addition, 90% of the factory’s captured sunlight will be used for energy, decreasing carbon emissions by an estimated 75,000 tons over a 20-year period.  

The Vietnam Improvement Program, in partnership with the International Finance Corporation (IFC) and with the support of VF’s sponsorship, made this installation possible. Beyond our supplier sustainability programs, VF is also working with industry peers to promote Vietnam as a renewable energy model for the ASEAN region through support of Vietnam’s Direct Power Purchase Agreement.  

ADVANCING SUPPLIER ENVIRONMENTAL SUSTAINABILITY

VF is working across the supply chain to improve environmental sustainability, increase energy efficiency and reduce GHG emissions. Through VF supported supplier sustainability programs, factories in Bangladesh, Vietnam and others have generated more than 606 million MJ in energy savings since 2018. We share our learnings and have expanded our collaboration efforts for greater positive outcomes. Strategic partnerships enable us to scale our impact by engaging suppliers to pursue best practices in energy, water and chemical management. Together, we’re producing results where it counts: on factory floors. Recent and current partnerships include:

  • A partnership with the German Agency for International Cooperation (GIZ) to promote the adoption of rooftop solar projects at supplier factories in Bangladesh, Cambodia, Jordan and Vietnam.
  • An energy-efficiency pilot collaboration with the UN Industrial Development Organization (UNIDO) to increase suppliers’ knowledge of environmental efficiency management systems.
  • A partnership with the Apparel Impact Institute’s Clean by Design (CbD) program, supporting wet-processing suppliers to implement systems focused on energy and wastewater management.
  • A partnership with the International Financial Corporation (IFC), a member of the World Bank Group, aimed at promoting resource efficiency and renewable energy adoption in supplier factories in key sourcing regions.

ADDITIONAL RESOURCES