H&M to Cut Absolute Scope 1, 2, and 3 Emissions by 56% by 2030
H & M Hennes & Mauritz AB (publ)
At COP27, the Swedish multinational clothing company H&M said its intermediate goal is to reduce the group's absolute scope 1 and 2 emissions and scope 3 emissions by 56% by 2030. This will help the company reach its long-term goal of achieving net zero emissions by 2040.
The company has also set aside a budget of about $287 million per year to gradually get rid of carbon from its value chain.
This funding will be used for investments to phase out coal and boost the share of more sustainable materials, among other things, according to a press release from the company.
H&M Group went to the 27th United Nations Climate Change Conference (COP27) in Sharm El Sheikh, Egypt, to build momentum for working together and discussing the company's successes and challenges.
In its quest to reduce its carbon footprint, the company has also launched some initiatives, such as the green fashion initiative, which will assist the company in reducing greenhouse gas emissions across its supply chain by making funding available to supplying factories to invest in the technologies and processes required to reduce energy demand and replace fossil fuels across the fashion industry.
H&M Group has also become a lead funder of the Fashion Climate Fund, which is designed to drive collective action to tackle fashion’s supply chain emissions. The fund will help make fundamental improvements to the supply chain, such as switching to renewable electricity, making energy use more efficient, getting rid of coal in manufacturing, using more sustainable materials and practices, and making next-generation materials available faster.
H&M Group and Guidehouse have started a sustainable supplier facility to reach people outside of their own circle. Other brands and investors will be able to co-invest to share the financial responsibility of a project and provide more ways to help suppliers on their journey to decarbonise.
The company has also started an internal carbon price initiative, which is a tool used by the H&M Group to change the way its buying, design, and merchandising teams, as well as its production and logistics teams, behave. This project encourages the company to buy materials with less carbon and choose production units with low emissions.
In 2022, H&M Group also made a long-term deal with Climeworks to get rid of 10,000 tonnes of CO2 from the atmosphere.
“Instead of measuring the success of these initiatives by financial gain, we measure effective emission reductions. To turn our company growth, profit, and greenhouse gas reduction into equal KPIs is a very ambitious decision that underlines the importance and value of our sustainability work for our business,” said Leyla Ertur, head of sustainability, H&M Group.
Source: Fibre 2 Fashion