Retailers sign up to CDP programme, promising to work with their suppliers to cut carbon emissions
Three retail giants – Tesco, Target and CVS Health – have joined a programme to cut carbon emissions, reduce deforestation, and boost water security across their supply chains.
The firms revealed today they have signed up to CDP’s supply chain programme, as new research shows emissions in retail supply chains can be up to seven times greater than for other firms.
With the three new additions CDP now has 113 companies, representing a cumulative purchasing power or $3.3tr, signed up to the supply chain programme – up from 99 last year. Drinks giant AB InBev and Royal Bank of Canada are also among the new recruits.
It means more than 11,000 global suppliers are now being asked to provide environmental data on their sustainability activities and urged by the retailers to step up their action on climate issues.
“It’s very encouraging to see so many of the world’s biggest buyers taking supply chain sustainability seriously,” said Sonya Bhonsle, head of supply chain at CDP. “By requesting data from their suppliers, they are shining a light on the risks hidden deep within their production chains – and uncovering a myriad of opportunities for reducing their overall environmental footprint, boosting innovation and cutting costs.”
Many retail companies are seeking to cut supply chain emissions having pledged to set Science-Based Targets, which have been independently rubberstamped as being in line with the goals of the Paris Agreement to keep temperature increases well below 2C.
For example, Walmart, which is also part of CDP supply chain programme, has promised to cut emissions across its supply chain by one gigaton (one billion metric tonnes) by 2030 as part of its Science-Based Target.
“Walmart is collaborating with CDP’s supply chain program to accelerate action and track suppliers’ progress toward Project Gigaton,” the retailer’s senior manager of sustainability Ariane Grazian said. “In year one, Project Gigaton has helped inspire action that has led to the avoidance of 20 million metric tons of emissions and has expanded into China and the UK with participation from over 400 suppliers with operations in over 30 countries.”