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Despite economic challenges, execs are spending on sustainability

Survey data indicates Fortune 1000 leaders believe energy challenges will negatively impact their businesses this year.
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Despite a challenging economy and an ever-warming climate, a majority of Fortune 1000 companies will increase their spending on sustainability initiatives in the next 12 months, investing in technologies like battery storage and energy optimization software.

That’s according to a survey of Fortune 1000 C-suite executives conducted by Wakefield Research on behalf of clean energy storage provider Stem, Inc., which found that the vast majority of surveyed executives (93%) said energy challenges, including record temperatures, high prices, and limited power supply during periods of peak demand, will have a negative impact on their businesses in the next year.

To mitigate those challenges, they’re taking advantage of a wide range of technologies, including smart energy storage, energy optimization software, and artificial intelligence, Stem CTO Larsh Johnson told Tech Brew.

This diverse approach demonstrates a high level of “detail and understanding of what it’s going to take” to reach sustainability goals, Johnson said.

“That level of understanding appeared stronger than I thought it would,” he added.

While investor demand is still a driving pressure behind corporate sustainability investments, the survey data also indicated that C-suite executives are increasingly viewing such initiatives as a “revenue margin opportunity,” Larsh said; 39% of respondents reported that they see their sustainability efforts as a “potential source of revenue,” per the survey.

Respondents from industries including retail, construction, hospitality, and information technology answered multiple-choice questions about the types of technologies they planned to invest in or leverage in the coming year.

Three-fifths said they have adopted or plan to adopt battery storage technology or energy optimization software, while 46% pointed to carbon capture and 40% indicated investment in solar power. When it comes to digital technologies, executives said their organizations are planning to leverage data integration (53%), AI software (52%), and cloud computing (47%), among others.

Keep up with the innovative tech transforming business

Tech Brew keeps business leaders up-to-date on the latest innovations, automation advances, policy shifts, and more, so they can make informed decisions about tech.