Listen on your Preferred Podcast Player »
In this episode of Smart Energy Voices, host Debra Chanil speaks with Andrew Dempsey, Director of Climate at REI, about the cooperative’s evolving approach to sustainability. Andrew shares REI’s commitment to local and accessible renewable energy and how the co-op is working to ensure its energy procurement has meaningful community impact. They explore the growing convergence of energy and climate within corporate structures, and how REI’s climate strategy is directly tied to protecting the outdoor experiences that define its brand. Andrew discusses the role corporates can play in advancing climate solutions beyond compliance by leading with voluntary commitments and supporting innovation.
You will want to hear this episode if you are interested in…
- REI’s cause and its structure as a co-op (01:29)
- How REI approaches its sustainability work (04:51)
- How REI’s corporate sustainability team operates (07:05)
- The co-op’s renewable energy journey and strategy (10:10)
- REI’s climate programs and tools to achieve their goals (14:15)
- REI’s approach to community impact and accessibility (20:45)
- Role of corporates in driving climate action (24:43)
Sustainability and REI’s “Quadruple Bottom Line”
Dempsey discusses the company’s origins, emphasizing the cooperative model’s focus on benefiting members. He explains his professional journey, transitioning from architecture to sustainability and joining REI in 2019 to lead the climate strategy. Dempsey details REI’s commitment to sustainability, particularly through their “quadruple bottom line” approach, which focuses on business profitability, societal impact, employee welfare, and community service. Dempsey also shares how REI’s sustainability efforts extend across its entire value chain, highlighting its role in engaging both internal teams and customers in environmental action.
How REI’s Sustainability Team Drives Change
Dempsey explains how REI’s corporate sustainability team is structured to support its climate and sustainability goals. The team operates in a hub-and-spoke model, with three core pillars aligned to REI’s value chain. These include a team in Asia working with suppliers on compliance issues, a product sustainability group focused on REI co-op brands and external partners, and Andrew’s own climate team, which handles climate strategy, energy programs, and waste diversion. He emphasizes that success relies on deep cross-functional collaboration within the sustainability team and across the entire organization to scale impact and avoid siloed operations.
REI’s Energy Strategy
Dempsey shares the origins and evolution of REI’s climate and energy strategy, explaining that although the company’s environmental stewardship dates back to its founding in 1938, more formal sustainability efforts began 20 to 25 years ago. One major milestone was REI’s 2013 commitment to use 100% renewable electricity across all U.S. operations, a goal they’ve successfully maintained for over a decade. Dempsey outlines REI’s current energy strategy, which includes maturing renewable energy sourcing by considering where the energy comes from and its community impact. Additionally, he explains that the company’s overarching climate goal is to cut emissions by more than half by 2030 with a heavy focus on renewable energy in their global supply chain, where the bulk of emissions occur.
REI’s Collaborative Approach to Emission Reductions
Dempsey discusses REI’s efforts to support its brand partners and suppliers in setting and achieving sustainability targets, particularly around GHG emissions. REI requires its brand partners to set science-aligned greenhouse gas reduction targets, but recognizes that many smaller brands might not have the resources or knowledge to do this. To help, REI offers workshops and tools, such as providing guidance on how to calculate carbon footprints and set targets. They have also partnered with organizations like the Clean Energy Buyers Alliance to launch the Clean Energy Procurement Academy or CEPA, which provides workshops on procuring renewable energy and improving energy efficiency. These programs help suppliers develop emissions reduction action plans and better understand the steps to take for sustainability, further extending REI’s commitment to guiding their partners through their sustainability journeys.
REI’s Model for Accessible Renewable Energy Procurement
Dempsey talks about how REI’s renewable energy strategy aims to be both localized and more accessible. By focusing on community-based renewable energy projects, REI seeks to bring clean energy to regions that are less developed in terms of renewable sources. He highlights a procurement deal with Sol Systems in North Carolina, which helped bring a new solar project online, and the collaboration with Nester Hosiery, a supplier that had never procured renewable energy. A partnership with REI enabled Nester Hosiery to join the renewable energy market.
The Role of Corporates in Driving Climate Action
Dempsey discusses the evolving relationship between energy and sustainability, particularly at REI. He explains that energy and climate are becoming intertwined, with sustainability teams increasingly focused on climate action. REI’s climate strategy ensures that outdoor experiences are protected from environmental disruptions like wildfire smoke or inconsistent snowfall. Dempsey also emphasizes that addressing emissions at the root level often leads back to decarbonization and the importance of renewable energy. He believes that corporations like REI have a unique role in leading sustainability efforts, taking risks, and setting aspirational goals that can inspire broader societal change.
What’s Next for Corporate Sustainability
Dempsey reflects on the evolution of the clean energy space, particularly within REI, which has shifted from having no formal climate strategy to a more regulatory and compliance-focused approach. He acknowledges the urgency of decarbonization goals set by corporations and the tension between aiming for perfection and prioritizing action. A significant challenge for his team is how to connect their sustainability work to employees and customers in a relatable way, beyond technical details. Despite challenges, Dempsey remains optimistic, focusing on innovation opportunities that arise from tackling climate issues, such as developing better products with less environmental impact. He is particularly excited about advancements in materials research and the broader clean energy landscape.
Connect with Andrew Dempsey
Andrew Dempsey is the Director of Climate at REI, where he focuses on driving transformational change throughout the organization by leading the co-op’s climate, energy, and waste strategies. His work is centered on achieving impactful outcomes for REI’s business, employees, and broader community of members. Prior to REI, Andrew worked at Google, focusing on sustainable design and organizational strategy at the intersection of technology, experience, and human health. Andrew holds a Master of Science in Civil and Environmental Engineering from Stanford University and a Bachelor of Environmental Design from the University of Colorado at Boulder.
Connect with Smart Energy Decisions
- Smart Energy Decisions
- Follow us on LinkedIn
Subscribe to Smart Energy Voices on Apple Podcasts, Google Podcasts, Android, Spotify, Stitcher, TuneIn Radio, aCast, PlayerFM, iHeart Radio
If you’re interested in participating in the next Smart Energy Decision Event, visit smartenergydecisions.com or email our Community Development team at [email protected]