Tuesday, July 23, 2024

Net-zero emissions by 2040: Krones defines more stringent sustainability targets

It has been officially confirmed: Following a resolution taken by the Executive Board, Krones aims to reduce its greenhouse gas emissions to net zero by 2040 – along the entire value chain.

Net-zero target submitted to the SBTi

“In view of the latest forecasts issued by climate researchers, each and every one of us needs to know that our planet has reached a dangerous turning point,” explains Krones’ CEO Christoph Klenk. “As far as climate change is concerned, all of us – businesses, politicians, individuals – are in this together. Even now, it is still possible to protect the conditions necessary to ensure humankind’s continued existence, and we must therefore take the chance while we still can.”

Following the standard of the Science Based Targets initiative (SBTi), the Krones Group intends to cut its greenhouse gas emissions by 90 per cent along the entire value chain (Scopes 1 to 3) and neutralise the remaining ten per cent by 2040. 2019 is the base year for that and also for the near-term targets already validated by the SBTi. Krones submitted its net-zero target to the Science Based Targets initiative in early April, and the Krones sustainability team expects final validation to be issued by autumn this year.

More stringent reduction target by 2030

“Our decision represents the end of a comprehensive review of all the sustainability targets we’d set ourselves. This revealed that we also have to specify more stringent targets for the medium term up to 2030,” explains Martina Birk, Head of Sustainability at Krones. That applies particularly to the emissions in the upstream and downstream supply chains (Scope 3). The reduction target specified in the previous climate strategy was 25 per cent compared to the base year 2019, however it has now been raised to 30 per cent. For Scopes 1 and 2 (covering in-house emissions), the 80-per-cent reduction target remains unchanged.

Quantifiable KPIs for all fields of ESG

Krones is just as ambitious in all its other efforts to create a sustainable future. Based on the existing sustainability targets, the group has now specified twelve quantitative (unambiguous and measurable) goals to be reached by 2030 in the three ESG areas: Environmental, Social, Governance, which cover the complete range of Krones’ sustainability activities. These include, for example, efforts to increase the proportion of women in managerial positions to 20 per cent, and moves to reduce the water footprint of products sold by 20 per cent.

“We’ve put in place a comprehensive sustainability controlling system focused entirely on this set of ESG KPIs. This system includes not only the strategic goals but also external requirements like CSRD (Corporate Sustainability Reporting Directive), ESRS (European Sustainability Reporting Standards), GRI (Global Reporting Initiative) and ratings such as EcoVadis or CDP,” says Peter Steger, Head of Corporate Sustainability.

You will find the complete details about Krones’ ESG targets on the company’s website under ‘Sustainability’.

Transparent sustainability

Krones is a member of the “Business Ambition for 1.5°C” campaign launched by the Science Based Targets initiative (SBTi). As a consequence, the group has committed itself to systematically reducing its emissions, following the findings and recommendations issued by climate researchers. In order to provide the requisite transparency for customers, investors and analysts, the company has also adopted recognised rating and auditing formats. In 2023, Krones was given an A rating by CDP in the category of climate change (water security: B). Its current EcoVadis Scorecard was awarded a gold medal.

A message from the Editor:

Thank you for reading this story on our news site - please take a moment to read this important message:

As you know, our aim is to bring you, the reader, an editorially led news site and magazine but journalism costs money and we rely on advertising, print and digital revenues to help to support them.

With the Covid-19 pandemic having a major impact on our industry as a whole, the advertising revenues we normally receive, which helps us cover the cost of our journalists and this website, have been drastically affected.

As such we need your help. If you can support our news sites/magazines with either a small donation of even £1, or a subscription to our magazine, which costs just £31.50 per year, (inc p&P and mailed direct to your door) your generosity will help us weather the storm and continue in our quest to deliver quality journalism.

As a subscriber, you will have unlimited access to our web site and magazine. You'll also be offered VIP invitations to our events, preferential rates to all our awards and get access to exclusive newsletters and content.

Just click here to subscribe and in the meantime may I wish you the very best.

Latest news

Related news

By continuing to use the site, you agree to the use of cookies. more information

The cookie settings on this website are set to "allow cookies" to give you the best browsing experience possible. If you continue to use this website without changing your cookie settings or you click "Accept" below then you are consenting to this.