Reduction in carbon emissions is a major priority of all countries of the world at this time as they grapple with the effects of global warming and climate change. The businesses across the globe are facing considerable pressure to do their bit for reducing the carbon emissions from their operations, not only by the administrations of the countries they are based in, but also their investors, customers and other stakeholders. With this consideration, let us look at top five Science Based Targets driven companies across the world in 2022.
Science-Based Targets Initiative
With an aim to help businesses set emission reduction targets based on current climate science, the Science-Based Targets Initiative, or SBTi, was founded in 2015. Science-Based Targets Initiative is a collaboration between the CDP, the UN Global Compact, the World Resources Institute, and the World Wildlife Fund.
The initiative identifies and promotes best practices in science-based target setting, provides resources and assistance to overcome adoption barriers, and objectively analyses and approves company targets. When a result, as they transition to a low-carbon economy, firms can be pushed to adopt science-based goals and increase their competitiveness.
Top five Science Based Targets Driven Companies 2022
1. Pfizer
Pfizer is a multinational pharmaceutical firm headquartered in New York that develops and manufactures drugs and vaccines for a variety of medical conditions, including immunology, cancer, cardiology, endocrinology, and neurology.
Pfizer has long recognised the risks of global climate change to human health and has made significant voluntary steps to reduce its own GHG emissions.
Between 2000 and 2014, the company cut its GHG emissions by around half, and by 2020, it aimed to meet a third GHG reduction goal of 20%. It has devised a strategy to attain carbon neutrality across its internal operations by 2030, as well as to influence emission reductions across the value chain by 2025.
2. Procter & Gamble (P&G)
P&G, an American international consumer goods firm headquartered in Ohio, was founded by William Procter and James Gamble. P&G reviewed the most recent IPCC science and set a short-term goal that would allow it to achieve reductions in accordance with the IPCC’s current report. It has just set a goal of net-zero GHG emissions across its supply chain and operations by 2040, from raw material to retailer, as well as interim 2030 targets to make substantial progress this decade.
In 2015, P&G pledged to decrease absolute GHG emissions by 30% by 2020 as part of the WWF’s Climate Savers programme. P&G and the WWF partnered to develop this new ambitious science-based goal, which meets the minimum requirements of multiple approaches, including The 3 percent Solution, SDA, and Context-Based Carbon Measurement.
P&G plans to achieve this new goal by increasing its usage of renewable energy, which will be aided by its energy portfolio, which includes renewable projects in North and South America, Asia, and Europe, as well as energy conservation.
3. Jacobs
Jacobs Engineering Group Inc. is an international technical professional services corporation based in the United States. For a diverse variety of clients worldwide, including enterprises, organisations, and government agencies, the company provides engineering, technical, professional, and construction services, as well as scientific and speciality consulting.
Jacobs sees reducing business travel as both a challenge and an opportunity, with the potential to lower Scope 3 emissions dramatically. Jacobs just launched a carbon pricing initiative to encourage employees to think about whether they need to travel and, if so, which model will save the most carbon.
Each business unit will pay $50 each metric tonne of CO2e produced. The Carbon Reduction Fund will invest in new methods to address the climate crisis and reduce emissions dramatically.
By 2025, Jacobs aims to have science-based targets in place for 65 percent of its goods and services spending. Jacobs intends to cut absolute Scope 1, 2, and 3 GHG emissions by 90% by 2040, utilising the Net-Zero Standard to drive its decarbonisation efforts.
4. The Kellogg Company
The Kellogg Company, founded in Battle Creek, Michigan, is a multinational food manufacturing company. Kellogg’s is a cereal and convenience food firm that makes cookies, morning cereals, frozen waffles, and vegetarian foods, among other things.
By 2020, the company promises to reduce emissions by 15% (tonnes of CO2e per tonne of food produced). Between 2015 and 2030, Kellogg pledges to reduce absolute value chain emissions by 20%. Kellogg also has a long-term target of reducing emissions by 65 percent in absolute terms by 2050 compared to a base year of 2015, as well as a 50 percent decrease in value chain emissions from 2015 to 2050. Aside from emissions, this company sets goals to reduce water consumption and landfill waste.
5. Ørsted
Ørsted A/S, situated in Fredericia, Denmark, is a Danish international power corporation. The firm is the world’s largest developer of offshore wind power by number of developed offshore wind farms as of January 2022.
Ørsted was the first energy company to have its net-zero target validated. Ørsted has established a supply chain decarbonisation programme to work with strategic suppliers to increase climate disclosure, set science-based targets, and manufacture using only green electricity in order to meet its science-based reduction targets in Scope 3 – including a 50% absolute reduction by 2032.
While Ørsted had previously declared a net-zero goal for 2040, the essential step was taken last year, with a 99 percent decrease in Scopes 1-3 emissions (relative to 2018) and a 90 percent reduction in absolute Scope 3 emissions from the usage of products sold, including its natural gas portfolio (compared to 2018). By 2040, the company will have used high-quality, verified carbon abatement initiatives to offset any leftover emissions.
