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Food and beverage company PepsiCo aims to reduce net greenhouse gas emissions across its entire supply chain to zero by 2040. That’s 10 years earlier than called for in the Paris Agreement.
Two phases
The US company wants to initially reduce greenhouse gas emissions by 75% in its direct operations by 2030, and by 40% in the part of the value chain outside its own operations. PepsiCo thus aims to reduce emissions by 26 million tonnes over the next decade. By 2040, the soft drink and snack company wants to reduce its net emissions to zero.
“The severe impacts from climate change are worsening, and we must accelerate the urgent systemic changes needed to address it,” explains Ramon Laguarta, PepsiCo’s CEO. “Our ambitious climate goal will guide us on the steep but critical path forward — there is simply no other option but immediate and aggressive action.”
PepsiCo’s efforts are in four areas: agriculture, packaging, distribution and operations. For example, the company wants to further scale up sustainable agriculture, promote biodiversity and curb deforestation. The company wants to expand its global network of demonstration farms, which provide local training and tools to implement sustainable practices and improve farmers’ livelihoods.
In addition, PepsiCo plans to use less virgin plastic and rely more on recycled raw materials for packaging. Other measures include reducing business flights for employees and using renewable energy in offices and distribution centres.
