To achieve net-zero carbon dioxide emissions by 2050, the United Nations estimates that at least four trillion dollars must be invested annually in renewable energy worldwide by 2030. According to UN calculations, reducing pollution and climate impact over the next eight years could save 4.2 trillion dollars annually.
The reasons for transitioning to clean energy, according to the UN, are that it is available everywhere, cheaper, healthier, creates jobs, and therefore makes economic sense. Efficient renewable energy technologies, such as introducing various power supply options, can also create a system that is more resilient to market shocks, according to the UN.
Leader in sustainable development
Energy efficiency is, of course, a business requirement and challenge for companies as well. However, the benefits of efficiency in terms of reduced business costs, increased self-sufficiency, or enhancing brand reputation among consumers show that such decisions are profitable in the long run. Podravka is making significant strides towards efficiency, being among the top five companies in Croatia that consumers consider socially and environmentally responsible, and is the recipient of the ‘Sustainable Development Leader 2021’ award. In April, Podravka also established the Business Sustainability and Green Transformation sector and has implemented several projects this year that enhance the company’s energy efficiency and self-sufficiency.
In September, the construction of the Podravka – Danica solar power plant was completed on the rooftops of the Baby Food and Cream Spreads Factory, the Soups and Vegeta Factory, and the Meat Products and Meat Processing Factory. This is the largest integrated solar power plant in Croatia, with an investment of 12.9 million kuna, of which 5.1 million kuna was secured from the European Agricultural Fund for Rural Development. With a capacity of 3 MW and 9,272 panels, the total annual electricity production is expected to be around 3,200 MWh. According to the current electricity price, Podravka estimates that this will save approximately 3.2 million kuna, or about 3,000 kuna in savings for each sunny hour.
Significant energy savings
The second phase of the solar power plant construction is also being prepared, in which panels will be installed on all remaining factory rooftops next year. At the Kalnik Vegetable Processing Factory in Varaždin, a solar power plant with a connection capacity of 350 kW (installed capacity 721 kW) has been continuously operating since mid-2020. Furthermore, there is a biomass boiler, or wood chips, in the Danica industrial zone, which meets 50 percent of the thermal energy needs of the Danica industrial zone (not all of Podravka). Project documentation is also being prepared for the expansion of the boiler by an additional 4 MW next year, which would cover 90 to 95 percent of the thermal energy needs of the Danica industrial zone from renewable sources.
– Currently, Podravka obtains 13 percent of its electricity consumption and 31 percent of its thermal energy from renewable sources. Upon completion of the investments in renewable energy planned for 2023, more than 50 percent of Podravka d.d.’s needs for electricity and thermal energy will be met from renewable sources. The energy and IT renovation of Podravka’s headquarters in Koprivnica will reduce energy consumption for heating by 80 percent – they emphasized at Podravka.
Investment in self-sufficiency
This year, Podravka invested eight million kuna in increasing self-sufficiency and reducing dependence on imported raw materials by strengthening the production of deficit vegetables such as peppers, tomatoes, and cucumbers. Additional investments are planned for next year, including irrigation of its own agricultural land and the procurement of agricultural machinery.
– To have our own vegetable production, it is necessary to meet the first prerequisite: irrigation. This year, we increased the irrigated areas and purchased a drip irrigation system for 47 hectares of agricultural land where peppers, cucumbers, chili peppers, and eggplants are produced. To start the production of new crops more seriously and with less risk and to increase vegetable production, we had to ensure conditions for that production to be as successful and profitable as possible, in addition to irrigation. It was necessary to carry out agrotechnical operations on time, reduce dependence on agricultural operation providers, and protect crops in a timely manner. We also invested in agricultural machinery and equipment such as tractors, trailers, vegetable harvesting belts, or planters. The investment in agricultural machinery and irrigation in Croatia was realized in the second quarter of this year and will result in a threefold increase in the irrigated area. Namely, in 2023, more than 150 hectares of agricultural land will be irrigated – they state at Podravka.
