From the SEE Impact Report: Mitigating Climate Change

Rhea-AI Summary

Global packaging provider SEE is driving strategic initiatives to manage and reduce greenhouse gas emissions, committing to net-zero carbon dioxide emissions by 2040. The company has implemented sustainability workstreams focusing on energy efficiency, waste reduction, and renewable energy. SEE has also set science-based targets to reduce absolute Scopes 1 and 2 GHG emissions by 46% by 2030, receiving recognition for its climate efforts from CDP.

Positive

• SEE is committed to achieving net-zero carbon dioxide emissions by 2040 across its operations.
• The company has initiated sustainability workstreams focusing on energy efficiency, waste reduction, and renewable energy, resulting in a reduction in compressed air leaks, SF6 gas, and water usage.
• SEE has set science-based targets to reduce absolute Scopes 1 and 2 GHG emissions by 46% by 2030, aligned with a rate of decarbonization consistent to keep global temperature increase to 1.5°C.
• SEE has received recognition for its climate efforts from CDP, receiving scores of A or A- for the past nine years and being recognized as a leader in supplier engagement for four years.
• The company has measured a 31.6% reduction in GHG intensity from a 2019 base year.

Negative

• None.

Environmental Sustainability Analyst

SEE's commitment to achieving net-zero carbon dioxide emissions by 2040 is a proactive step towards environmental sustainability and reflects a growing trend among corporations to address climate change. The focus on reducing Scope 1 and 2 emissions, which pertain to direct emissions from owned or controlled sources and indirect emissions from the generation of purchased energy, is particularly noteworthy. This approach aligns with the Science-Based Targets initiative (SBTi), which provides a clear pathway for companies to reduce their carbon footprint in line with the Paris Agreement's goal to limit global warming.

From an investor's perspective, SEE's strategic initiatives in sustainability could potentially lead to operational cost savings in the long term due to reduced energy consumption and increased efficiency. Furthermore, the company's high scores from CDP indicate a strong performance in environmental stewardship, which can enhance its reputation and appeal to socially responsible investors. However, the transition to low-carbon operations may require significant capital expenditure in the short term, which could affect financial performance. It is essential for investors to consider the balance between long-term gains from sustainability initiatives and the short-term financial impacts.

Financial Analyst

The reported reduction in greenhouse gas intensity, with a 31.6% decrease from the 2019 base year, suggests SEE is improving its operational efficiency relative to net trade sales. This efficiency gain can be a positive signal to investors, indicating that the company is effectively managing its resources and potentially reducing costs. Moreover, SEE's alignment with SBTi and its ambitious Scope 3 targets may position the company favorably in markets increasingly influenced by environmental, social and governance (ESG) factors.

Investors should note that SEE's actions could mitigate risks associated with regulatory changes and carbon pricing mechanisms, which are becoming more prevalent as governments tighten environmental regulations. Additionally, SEE's proactive climate strategy may offer competitive advantages by appealing to customers who prioritize sustainability in their supply chain. However, the capital investment required for such sustainability measures and the reliance on renewable energy certificates and power purchase agreements must be scrutinized for their financial viability and impact on the company's bottom line.

Market Research Analyst

SEE's sustainability efforts and subsequent recognition by CDP with high scores could influence consumer perception and brand value positively. In an era where consumers are increasingly aware of environmental issues, companies like SEE that demonstrate a strong commitment to sustainability can differentiate themselves in the marketplace. This differentiation could translate into increased market share and customer loyalty, which are crucial factors for long-term business success.

However, it is important to monitor how SEE's sustainability targets are received in the broader market and whether they translate into tangible business outcomes, such as increased sales or partnerships. The company's ability to continue reducing emissions while maintaining profitability will be a critical factor for investors to watch, as it will indicate the effectiveness of SEE's sustainability strategy in delivering both environmental and economic value.

NORTHAMPTON, MA / ACCESSWIRE / February 5, 2024 / SEE®:

Originally published in the SEE Impact Report 2022

To mitigate the impacts of climate change across the value chain, global packaging provider SEE drives strategic initiatives to manage and reduce greenhouse gas (GHG) emissions.

Net Zero by 2040

SEE has committed to achieving net-zero carbon dioxide emissions by 2040 across its operations (Scopes 1 and 2). Since the development of our net-zero road map in 2021, SEE has initiated five sustainability workstreams with clear objectives that are designed to achieve our ambitious commitment. The workstreams focus on energy-efficient projects, energy conservation measures, waste reduction, reduction in water use, electric vehicles, and renewable energy. Through the efforts of these sustainability workstreams, we have seen a reduction in compressed air leaks, SF₆ gas, and water usage while increasing opportunities to recover and recycle waste materials. Through our renewables workstream, we are using renewable energy certificates, pursuing the viability of power purchase agreements, and investigating solar energy opportunities at multiple global sites. Our net-zero road map is a key component to our pledge to leave our world better than we find it.

Greenhouse Gas Emissions

SEE follows the revised edition of the GHG Protocol Corporate Accounting and Reporting Standard with a centralized approach to quantify GHG emissions. SEE measures and manages GHG emissions generated by its operations on a monthly basis. Scope 1 includes GHG emissions from fleet, operations, or sources owned by SEE. Scope 2 is the indirect GHG emissions from purchases of electricity. The values for global warming potential for each source of GHG emissions are obtained using the Intergovernmental Panel on Climate Change Fourth Assessment Report. SEE calculates total metric tons of GHG emissions, expressed as CO₂eq. A third party performed limited assurance verification of SEE's emissions and usage data for the 2022 reporting year in accordance with ISO 14064-3. The third party verified 85% of SEE's GHG emissions. SEE did not generate perfluorocarbons nor nitrogen trifluoride emissions during reporting year 2022.

Science-Based Targets

In 2021 SEE committed to reduce absolute Scopes 1 and 2 GHG emissions 46% by 2030 from a 2019 base year and to reduce absolute Scope 3 GHG emissions from purchased goods and services, as well as use of sold products by 15% within the same time frame. According to the Science Based Targets initiative's (SBTi's) target validation team, which defines and promotes best practices in emissions reductions and net-zero targets in line with climate, SEE's proposed reduction in Scopes 1 and 2 emissions is aligned with a rate of decarbonization consistent to keep global temperature increase to 1.5°C compared to preindustrial temperatures. SEE's Scope 3 target exceeds the minimum ambition for the 2°C pathway in the target year of 2030 and is, therefore, considered ambitious.

Absolute Emissions - Scopes 1¹ , 2² , and 3³ (Tonnes CO₂eq - tCO₂eq)

Scope 1

2022: 109,301
2021: 146,113
2020: 123,025
2019: 131,377

Scope 2

2022: 269,678
2021: 285,848
2020: 342,145
2019: 323,950

Scopes 1 & 2

2022: 378,979
2021: 431,961
2020: 465,170
2019: 455,327

Scope 3

2022: 2,549,914
2021: 3,077,772
2020: 3,159,286
2019: 3,342,000

1. Scope 1 = GHG emissions in SEE facilities and fleet. Contributing factors from refrigerants and fire suppressants have not been included in Scope 1 emissions calculations. The breakdown of gross Scope 1 emissions by type are as follows: CO₂ - 74.5% CH₄ - 0.09% N₂O - 0.35% SF₆ - 25.06%

2. Scope 2 = GHG emissions from the electricity SEE purchases and includes owned and leased offices and facilities. For consistency in reporting against SBTi-aligned goals, market-based emission factors are used whenever possible and supplemented with location-based data where market-based data is not available

3. Scope 3 = GHG emissions from upstream, specifically the purchased goods and services, and downstream, processing of sold products and use of sold products. This does not include all categories of Scope 3 emissions.

Through 2022, SEE reduced absolute Scopes 1 and 2 GHG emissions by 16.8% from the 2019 base year. Absolute Scope 3 emissions for the categories defined were reduced by 23.7% between 2019 and 2022. While the reductions in absolute Scope 3 emissions well exceeded our 2030 SBTi target of 15%, SEE continues to pursue opportunities for further reductions in these emissions and other categories of Scope 3 emissions.

Climate Recognition

SEE discloses its climate change impacts through CDP, a global nonprofit that runs the leading environmental disclosure platform. For the past nine years, SEE has received scores of A or A- from CDP for its climate efforts. In 2022, SEE received a CDP climate change score of A-, which is in the CDP leadership band. This is higher than the North America and global average scores of C and higher than the plastic product manufacturing sector average score of C. SEE also received a supplier engagement rating of A, which is also in the CDP leadership band. This is higher than the North America regional average of C and higher than the plastic product manufacturing sector average of C-. SEE has been recognized by CDP as a leader in supplier engagement for four years.

Greenhouse Gas Intensity

In addition to its Science-Based Targets to reduce absolute emissions, SEE has committed to reduce GHG intensity (Scopes 1 and 2) 30% by 2025 and 46% by 2030 from a 2019 base year. Intensity is calculated by dividing the total tonnes of CO₂eq by the net trade sales. To normalize foreign exchange rates and inflation fluctuations, net trade sales are adjusted to 2019 foreign exchange rates, except for one currency that has been designated as highly inflationary under U.S. Generally Accepted Accounting Principles (GAAP) and continues to use 2022 foreign exchange rates.

Greenhouse Gas Intensity of Operations

2022: 0.065 kg CO₂eq/USD
2021: 0.078 kg CO₂eq/USD
2020: 0.094 kg CO₂eq/USD
2019: 0.095 kg CO₂eq/USD

SEE measured a 31.6% reduction in GHG intensity from a 2019 base year.

Read the full SEE Impact Report 2022

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Contact Info:

Spokesperson: SEE®
Website: https://www.3blmedia.com/profiles/seer
Email: info@3blmedia.com

SOURCE: SEE(R)

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FAQ

What is SEE's commitment regarding carbon dioxide emissions?

SEE has committed to achieving net-zero carbon dioxide emissions by 2040 across its operations.

What are the focus areas of SEE's sustainability workstreams?

The sustainability workstreams focus on energy-efficient projects, energy conservation measures, waste reduction, reduction in water use, electric vehicles, and renewable energy.

What are SEE's science-based targets for reducing GHG emissions?

SEE has set science-based targets to reduce absolute Scopes 1 and 2 GHG emissions by 46% by 2030, aligned with a rate of decarbonization consistent to keep global temperature increase to 1.5°C.

How has SEE been recognized for its climate efforts?

SEE has received scores of A or A- from CDP for its climate efforts for the past nine years and has been recognized as a leader in supplier engagement for four years.

What is the reduction in GHG intensity measured by SEE?

SEE has measured a 31.6% reduction in GHG intensity from a 2019 base year.