May 2024
5 multinationals take action to improve climate
Of the more than 660 companies committed to bold climate action through the We Mean Business coalition's Take Action campaign, many are going further and faster to reverse global greenhouse gas emissions.
Talks were held with BT, Ingersoll Rand, Mars, Unilever and HP Inc on their progress in using climate action as an engine for innovation, competitiveness, risk management and growth.
BT on the road to progress
BT has raised the ambition of its science-based target to align its climate goals with the goal of limiting global warming to 1.5°C. The communications company's updated goal is to reduce the intensity of carbon emissions by 87% by 2030, having reached its 2020 target four years ahead of schedule. In the same time frame, BT also aims to reduce carbon emissions from its supply chain by 29%.
"We are doing this because it increases efficiency within our business, so we are saving on our energy costs and we are also looking at the opportunity to generate revenue," said Gabrielle Ginér, head of sustainable business policy at BT.
BT has saved more than £220 million since 2009 thanks to energy efficiency improvements stemming from the company's carbon reduction targets. Meanwhile, BT has developed a portfolio of products and services, such as video conferencing and smart transport solutions, that help customers reduce their own emissions. That portfolio was worth £5.3 billion in 2016, or 22% of BT's total revenues.
"We want to be a sustainable and responsible business leader, we want to look at the future of our supply chain and our business," Ginér said, adding, "This is the right thing to do."
Ingersoll Rand on global impact
Ingersoll Rand is well on its way to achieving its bold, science-based goal. The industrial manufacturer has already managed to avoid 6.7 million tons of CO2 equivalent emissions - about what it takes to power all the homes in a city the size of Philadelphia, Pennsylvania, in the US.
"We take this seriously, we account for this quarterly, and I can say that through 2016 we are on or ahead of schedule to meet our 2020 goals," said Jeffrey Moe, Global Director of Product Advocacy, Center for Energy Efficiency and Sustainability, at Ingersoll Rand.
Ingersoll Rand is already halfway to achieving the 50% reduction in greenhouse gas emissions for its refrigerant portfolio by 2020, compared to a 2013 baseline, and has managed to reduce its own greenhouse gas emissions by 16% while working toward its goal of a 35% reduction by 2020. The company has also earmarked $500 million to invest in new products and solutions to help with its climate efforts.
In terms of global impact, Moe pointed out that Ingersoll Rand's emissions target for its refrigerant portfolio could result in a "4-8% global reduction in greenhouse gas emissions from this one industry."
"Imagine if we have half a dozen companies acting like us in each of their respective sectors - transportation, food production and supply - these six companies we can really help change the world, we can really help mitigate climate change."
Mars on collective action
Mars is pushing ahead with its science-based goals and 100% renewable electricity through RE100, an initiative of The Climate Group in partnership with CDP. The global food and beverage giant is going further, seeking to "transform agriculture" and calling on the entire business community to join hands to limit global warming to well below 2°C.
"We have about 150 plants around the world and in each of them we are switching from fossil fuels to renewable energy as soon as possible. We're already using 100% renewable electricity in the U.S. and the U.K., and by the end of 2018 that will be the case in 11 countries around the world," said Barry Parkin, Chief Sustainability Officer at Mars.
"But beyond our own operations, we are also trying to transform agriculture. 70% of our carbon footprint is linked to agriculture through approximately one million farmers around the world. We are working with farmers to develop new methods and higher productivity agriculture that sequesters more carbon so they can become a real engine of change," he said.
Parkin said we should see the world's small farmers as the "heroes of climate action" in the future. "They are going to help us on this journey and by doing so they will increase their income and become more resilient," he said.
"All business must join hands for climate action, just as all countries must join hands. We can only collectively meet the goal of less than 2°C if everyone cooperates on this. We have set ambitious, science-based targets for our entire value chain; everyone must do it. Every company needs to think about its entire footprint and set a science-based goal to reduce it," he added.
Unilever on intensification
The Paris Agreement has sent a clear signal to decarbonize the global economy, said Paul Polman, CEO of the multinational consumer goods company.
This has spurred activity in the private sector as companies look to capitalize on the huge opportunities ahead, while financial markets are also driving change through initiatives such as carbon pricing, the divestment movement and the green bond market, he said.
"What we need to focus on now more than ever is to raise our ambitions higher and scale for impact," Polman said. "There is a lot of evidence that we can do this - what we need now is the leadership and willpower to make it happen."
"To accelerate the transition to a low-carbon global economy, it is obviously very important that we disclose the carbon-related risks, something our investors are increasingly demanding," he said.
He added that both companies and countries need to put a price on carbon to level the playing field and encourage further decarbonization.
HP Inc on leadership
David Eichberg, Sustainability and Social Innovation at HP Inc, highlighted the critical need for corporate leadership to address the issue of climate change.
"At HP, we believe that climate change is one of the most important and urgent issues facing society today. And companies, including HP, must play a leading role in promoting progress toward a circular and low-carbon economy," he said.
"We believe that not only is it our responsibility to take action on climate, but it is vital to the long-term success of our own business and also to the success of our customers."
Reference(s) .. www.wemeanbusinesscoalition.org
References for the text... wikipedia.org
