Carlsberg Group’s new ESG program targets net zero emissions by 2040

22 Aug 2022 --- Carlsberg is launching a new Environmental, Social and Governance (ESG) program to achieve net zero carbon emissions before 2040. The program builds on previous targets, updating measures surrounding environmentally sustainable packaging and various other topics.

The new ESG program is titled Together Towards ZERO and Beyond (TTZAB).

In addition to its net zero aim , the global brewer is sharpening targets for other topics such as water, responsible drinking, diversity, inclusivity, human rights and community engagement.

“We are a brand-driven company, and when our packaging ends up as waste, our brand suffers. Packaging makes up 41% of our total value chain carbon emissions, which is driven primarily by glass packaging and aluminum, as these packaging types require large amounts of energy when being produced,” Simon Boas Hoffmeyer, senior director group ESG at Carlsberg Group, tells PackagingInsights.

“We do not only look at the importance of packaging from a carbon emissions perspective, however, we also see our role in facilitating the circular economy, and ensuring that our packaging remains as a valuable input into continuous resource loops.”

Glass and aluminum contribute the majority of emissions to group's portfolio.Mitigating packaging footprint
A central part of the TTZAB strategy is achieving zero packaging waste. To do this, Carlsberg says it is targeting 100% recyclable, reusable or renewable packaging materials by 2030.

By the same year, it wants a 90% collection and recycling rate for bottles and cans, a 50% reduction in virgin fossil-based plastic, and 50% recycled material in all bottles and cans.

“With our new targets, we support an industry transformation towards more sustainable business practices through, for example, shifts in farming practices, sourcing procedures, and product design, as well as the scaling-up of efficient deposit return schemes,” says Boas Hoffmeyer.

“Across all our ESG focus areas, we will continue improving our performance while increasing disclosure and transparency for all our stakeholders. We will continue to tackle these challenges through a sustained focus on partnerships with suppliers and partners.”

TTZAB is embedded into the company’s corporate strategy, SAIL’27, as a key mechanism for mitigating risks, driving positive change, and demonstrating the company’s purpose through concrete targets, actions and results.

The new net zero’s
Currently, carbon impacts associated with agriculture and the processing of raw materials, as well as the production and disposal of packaging, together amount to more than 65% of total beer-in-hand emissions, highlights Carlsberg.

The implementation of regenerative agriculture practices – which enhance biodiversity, soil health and natural carbon sequestration on farmlands – alongside the implementation of circular packaging solutions will enable “critical carbon reductions,” states the company.

The company’s green ambitions are supported by its approved Science Based Targets, which are aligned with the 1.5°C target in the Paris Agreement on Climate Change.

Avantium and Carlsberg
This year, Avantium and Carlsberg began advancing the commercialization of the Fibre Bottle, a 100% plant-based, fully recyclable beer bottle with a wood fiber outer shell and PEF lining.

Carlsberg will sample 8,000 bottles across Western Europe to test performance and determine consumer satisfaction.

The two companies previously signed a conditional offtake agreement to secure a fixed volume of the 100% plant-based, recyclable and “high-performance” polymer PEF (polyethylene furanoate) bioplastic from Avantium’s FDCA Flagship Plant in the Netherlands.

By Louis Gore-Langton

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