Pernod Ricard's Net-Zero Targets Approved by SBTi for 1.5°C Trajectory

Pernod Ricard's ambitious climate goals have received validation from the Science Based Targets initiative (SBTi), confirming alignment with a 1.5°C warming trajectory. The approval covers both the company's near-term and long-term emissions reduction commitments, encompassing its own operations and its extensive value chain.

The company commits to a 54% reduction in absolute Scope 1 and 2 emissions by fiscal year 2030, using a fiscal year 2022 baseline. Concurrently, it aims to reduce absolute Scope 3 emissions from forests, land, and agriculture (FLAG) by 30.3% and other Scope 3 emissions, such as purchased goods and upstream transportation, by 25% within the same timeframe. Additionally, Pernod Ricard seeks to eliminate deforestation linked to its primary commodities by the end of 2025.

Looking further ahead, by fiscal year 2050, the company targets a 90% reduction in absolute Scope 1 and 2 emissions, as well as non-FLAG Scope 3 emissions. The long-term goal for FLAG Scope 3 emissions is a 72% reduction.

Given that 95% of Pernod Ricard's emissions originate in its value chain – with agriculture, packaging, and transport being significant contributors – the strategy involves working closely with suppliers. Key initiatives include transitioning distilleries to renewable electricity and alternative fuels, improving energy efficiency, redesigning packaging for reduced weight and increased recycled content, optimizing logistics, shifting to lower-emission transport, and promoting regenerative agricultural practices.