Schott Abandons Climate-Neutral Production Goal in Favor of Science-Based Targets
German multinational Schott has discontinued its internal goal of achieving carbon-neutral production by 2030, shifting focus towards reducing emissions across its value chain.
Schott, a German multinational, has announced that it is abandoning its internal goal of achieving carbon-neutral production by 2030. The company has instead chosen to focus on reducing emissions across its value chain.
The goal was set in 2019, targeting carbon neutrality across Scopes 1 and 3 by 2030. However, Schott has now shifted its focus towards a stronger emphasis on reducing emissions throughout its value chain.
According to Schott chief executive Dr. Torsten Derr, the company's climate targets set several years ago provided an important foundation for its transformation. The company is now taking the next step by continuing to rely on renewable electricity while advancing the technological development of its manufacturing processes.
Schott aims to maintain its focus on clean power, while also continuing to improve energy efficiency and implement new, more sustainable manufacturing technologies. The company has already cut Scopes 1 and 2 emissions by around 70% since its 2019 baseline.
## Achieving 'Real' Supply Chain Decarbonisation
Schott has credited the sharp drop in emissions to cleaner energy procurement, which started in 2021. The company has used Power Purchase Agreements (PPAs) and procured electricity backed by Energy Attribute Certificates (EACs) from renewable sources.
The company aims to maintain its focus on clean power, while also continuing to improve energy efficiency and implement new, more sustainable manufacturing technologies. In the last fiscal year, over 80% of the company's carbon footprint came from value chain emissions.
Schott is particularly focusing on Scope 3 decarbonisation. Its new target, validated by the Science Based Targets initiative (SBTi), aims for a 27.5% Scope 3 reduction by 2030.
| Scope | Emissions Reduction Target | | --- | --- | | 1 and 2 | 46.2% (compared to 2019) | | 3 | 27.5% (by 2030) |
The company has already exceeded its SBTi-validated goal of cutting Scope 1 and 2 emissions by 46.2% compared to 2019. In line with SBTi requirements, the new Scope 3 target does not include carbon offsetting.
Schott's head of sustainable procurement, Dr. Martin Bleider, stated that the company sees significant opportunities to reduce Scope 3 emissions together with its suppliers. The company will continue expanding its engagement across the value chain through pilot projects.
## Ditching Offsets
Pip & Nut, another company, has also decided against a carbon-neutral headline goal. Instead of spending money on carbon offsets, the company is reallocating funds to other interventions in its direct supply chain that address the root causes of its emissions.
According to Pip & Nut's supply chain and sustainability director, Adam Thompson, giving up carbon neutrality can look like a backwards step, but the greater risk would be to keep paying for offsets while moving too slowly on the emissions within the supply chain.
