LEGO Group, the world’s largest toymaker, has pledged to achieve net zero greenhouse gas emissions by 2050 with a key focus on Scope 3.
The Danish manufacturer has submitted its intention to the Science Based Targets initiative (SBTi) and will work with the initiative to develop a target which will cover all three scopes of emissions: Scope 1, which are direct emissions from owned or controlled sources; Scope 2, which are indirect emissions from the generation of purchased energy; and Scope 3, which are all other indirect emissions that occur in the value chain.
This pledge is an extension of LEGO’s existing near-term climate target to reduce GHG emissions by 37% by 2032 from a 2019 base, which was previously approved by the SBTi.
Niels Christiansen, CEO of the LEGO Group, said: “Our immediate priority is to meet our 2032 carbon reduction targets and we’re making progress across a range of initiatives. This new, long-term goal will ensure that the decisions we make today will reduce our carbon footprint over the coming decades. It will also encourage future generations of LEGO employees, partners and suppliers to continue working with a sense of urgency to reduce the environmental impact of our business.”
To achieve this decarbonisation goal, LEGO plans to triple its investment in environmental sustainability over the next three years, spending more than $1.4 billion (£1.1bn) on sustainability-related activities.
In terms of direct initiatives, LEGO plans to ensure all new buildings and factories are designed to be carbon neutral and meet the Gold LEED standard, the second-highest rating from the certifier.
The company will meet its energy needs with carbon-free energy, by increasing its production of on-site renewable energy. In cases where it is not possible to install renewables, the company will buy renewable energy from other sources.
According to LEGO, its supply chain is responsible for the vast majority of its emissions (98%). The company is committed to reducing these emissions and has been working with its suppliers since 2014 through its Engage-to-Reduce program. In 2022, the number of suppliers asked to complete the CDP climate questionnaire increased by more than 60% to 138 of its most carbon-intensive suppliers.
In addition to these activities, the company will also invest in carbon reduction initiatives that go beyond its SBTi-approved target. This includes exploring compensation actions, such as supporting carbon capture programs, and scaling up a mass balance approach to reduce reliance on fossil fuels.
Christiansen said: “Our first priority is to measurably reduce our carbon emissions, but the challenge is vast, and we are taking steps across all areas of our business to reduce our environmental impact.”
The SBTi recently released its latest Monitoring Report, finding that the number of companies setting science-based targets is growing. In 2022, more companies set science-based targets than in the previous seven years combined.
However, companies that fail to provide updated, and clear targets are not safe from being removed from its list. Earlier this month, around 120 companies were removed from its list, including US technology giant Amazon. These companies were removed for not setting credible goals to reduce their carbon emissions by the deadline.
You can read the full press release here.
