Tag Archives: PepsiCo

Companies bet carbon labels can help the climate. Will consumers catch on?

At-a-Glance:

The world is littered with labels – markers that tell you how many calories are in a candy bar or if a tomato is organic. Now, companies are creating labels to show consumers the environmental costs of their daily habits. To learn more, read “Companies bet carbon labels can help the climate. Will consumers catch on?” Reading this article may require a subscription from the news outlet.

Key Takeaways:

  • Carbon labels estimate a product’s environmental impact from cradle to grave as a carbon equivalent reflecting the greenhouse gas emissions or CO2e spent in its creation, transportation, use and end of life, as measured in grams or kilograms of carbon.
  • Eco-labeling is not entirely new. In 2007, PepsiCo rolled out a carbon label for its popular Walkers Crisps. Weighing at 34.5 grams by mass, the chips came with a 75-gram carbon price tag, including emissions required to grow the potatoes, then dehydrate, deep-fry, and package them.
  • Recently, interest in carbon labeling has skyrocketed.
    • Allbirds, a San Francisco-based shoe brand, began including carbon labels on all its products in April 2020, starting with the Dasher running shoe which clocks in with 9kg carbon emissions.
    • Priscilla Tsai, founder of CocoKind, worked with a third party in 2020 to calculate the carbon emissions of her beauty products. The carbon footprint of CocoKind’s Rosewater Toner – 24.5 grams CO2e – is displayed like a nutrition label on its packaging.
    • Panera Bread partnered with World Resources Institute to create a carbon label that identifies meals that fall below a threshold of 5.38kg of carbon emissions – a number WRI says is needed to cut food-related emissions 25% by 2030.

Path to 100% Perspective:

Countless governments have set ambitious carbon neutral targets. Now, they must adopt clear strategies to drive action, developed in collaboration with all sectors of the economy and setting clear milestones for transformation. Carbon labeling is one strategy that can be used to raise awareness about carbon footprints and rethink how products are manufactured to meet the carbon reduction targets identified in the 2015 Paris Climate Agreement.

 

Photo by Markus Spiske on Unsplash

PepsiCo Pledges to Achieve Net-Zero Carbon Emissions by 2040

At-a-Glance:

PepsiCo Inc. has pledged to achieve carbon neutrality by 2040, adding to the growing list of major companies including Amazon.com Inc. that aim to reach net-zero greenhouse gas emissions a decade ahead of scientists’ guidance. To learn more, read “PepsiCo Pledges to Achieve Net-Zero Carbon Emissions by 2040.” Reading this article may require a subscription. 

Key Takeaways:

  • PepsiCo’s goals include curbing absolute emissions across its direct operations by 75% and its Scope 3 emissions by 40% from 2015 levels by the end of this decade. Scope 3 emissions are generated in the supply chain or by customers using their products.
  • Approximately 1,400 businesses have set or pledged to set net-zero emission goals under the Race to Zero Initiative convened by the United Nations, while the Biden administration has vowed to put the U.S. on a path to 100% clean energy by no later than 2050.
  • PepsiCo already announced plans to use renewable electricity across all company owned businesses by 2030 and across all third-party operations a decade later.
  • The emission reduction plan also includes an expansion of the company’s network of “Demonstration Farms,” which provide local farmers with sustainable tools and practices. It’s targeting a reduction in virgin plastic use and more recycled content in packaging as well.

Path to 100% Perspective:

Leaning into ambitious carbon reduction goals will be necessary to make world-wide decarbonization a reality. Global leaders like PepsiCo and Amazon are paving the way to 100% clean energy for the rest of the world through bold and innovative thinking. Integrating renewables, finding the optimal mix of energy for each power system, and looking for ways to improve clean energy practices at every level will accelerate grid decarbonization globally.

 

Photo by Björn Antonissen on Unsplash