THE DECISIVE DECADE
Our warming world requires urgent and concrete action. The Intergovernmental Panel on Climate Change (IPCC) has challenged us all to reverse climate change. For coffee-producing regions, where unpredictable weather can affect yield and quality, the stakes are high. The scientific community has set a target of limiting global warming to 1.5°C to curb the worst impacts of climate change and protect the future of the planet. The target requires companies to reach net-zero greenhouse gas (GHG) emissions before 2050, with a milestone of halving emissions by 2030. We have signed up to this commitment.
ACTING ON THE CAUSES AND CONSEQUENCES OF CLIMATE CHANGE
Every cup of coffee has a carbon footprint, resulting from all the activities undertaken across its lifecycle – from farm to end-of-life. Since 2009, Nespresso’s climate roadmap has focused on developing solutions that decrease the GHG emissions of specific activities within this lifecycle. Our target has been those activities responsible for major impacts – both within and outside our direct control. From machine energy efficiencies to renewable energy, farming practices to recycling, these efforts have led to the reduction of the carbon footprint of a Nespresso cup of coffee.
Coffee farmers are already seeing the impacts of climate change. In the regions where we source our coffee, extreme weather patterns are becoming more prevalent with farmers needing to find ways to adapt to them. Scientific forecasts predict that by 2050, climate change could in fact reduce the global area suitable for coffee production by as much as 50%.
The supply of green coffee is responsible for almost 49% of Nespresso’s carbon footprint and is therefore central to our focus. Planting trees in these coffee sourcing regions enables farmers to adapt and better cope with the adverse effects of climate change, while leveraging the ability of trees to sequester carbon from the atmosphere. This approach – insetting – not only removes the carbon from the atmosphere but also enables coffee farmers to transition their farms into regenerative agricultural models that will stand them in good stead in the decades to come.
Insetting, as defined by the International Platform for Insetting (IPI), has been part of our climate journey since 2014 and will be instrumental in achieving our net-zero ambition.
A CARBON NEUTRAL CUP OF COFFEE
In 2020, we made a commitment that all Nespresso customers would be able to enjoy a carbon neutral cup of their favourite coffee by 2022. We are proud to say that this milestone has been achieved in 2022 and has allowed us to define the next steps of our climate journey.
TOWARDS NET-ZERO GHG EMISSIONS BY 2050 AT THE LATEST
Achieving carbon neutral certification has enabled us to better understand the scale of the challenge ahead and to define the steps we must take next in our climate commitment. Reaching net-zero, especially while our business grows, demands bold action. Our focus now is on making deep and rapid reductions that will enable us to cut emissions in half by 2030 and reach net zero by 2050 at the latest.
To do this, six levers of action will be employed across our value chain:
- Regenerative coffee production: Accelerate the work that we do with the farmers we source our coffee from, encouraging and enabling the adoption of regenerative farming practices such as agroforestry, organic fertilisation, and soil cover.
- Ecodesign: Focus on circularity and innovation, increasing the use of recycled and recyclable materials in the design of our capsules, accessories, and machines, and promoting refurbished machines.
- Renewable energy: Continue to increase energy efficiency and move towards 100% renewable electricity across all Nespresso sites and boutiques.
- Recycling: Work with our customers and consumers to continue to drive up recycling rates for Nespresso capsules, investing in initiatives that make recycling easier and simpler, and that make used coffee grounds a source of energy.
- Logistics optimisation: Continue to work closely with our supply chain partners to introduce solutions and innovations that reduce carbon emissions throughout our operations, transport and delivery of our materials, goods, and products.
- Tree planting and reforestation: Scale our track record of 5 million trees planted within and around coffee farms to further expand carbon sinks in the regions where we source coffee.
Together, these transformative actions will be leveraged to deliver against our net-zero climate commitment.