Greenhouse gas (GHG) emissions are one of the major causes of rising global warming, and the companies from the consumer sector including FMCG, retail, packaging, food, and beverages account for a significant amount of the global emissions. CO2, Methane & NOx gases form a major part of greenhouse gases released from Fossil Fuels such as gas and oil. Due to rising GHG emissions from companies, it became important among major contributing sectors to report gas emissions during their operations.
Companies from the consumer sector are under increasing pressure to reduce their carbon footprint. Consumers are becoming more aware of excess carbon dioxide emissions' detrimental environmental effects. Their consumption behavior changes due to this, and they take an active interest in sustainability issues.
Asahi Group Holdings Ltd (Asahi Group) manufactures, markets, and sells alcoholic beverages, soft drinks, and food products. The company’s product portfolio includes whiskey, spirits, wine, beer, ready-to-drink (RTD) beverages, coffee, and tea, carbonated drinks, water, and fruit drinks. It also offers confectioneries, nutritional snacks, supplements, baby products, and freeze-dried foods.
In 2021, Asahi Group’s total emissions were 7,733 million tonnes of CO2 equivalents (MtCO2eq), an increase of 22.2% on an annual basis.
GHG emissions are generally classified into Scope 1,2 & 3 emissions. Scope 1 includes direct GHG emissions from energy generated from fossil fuels and refrigerants. Scope 2 encompasses indirect GHG emissions from the on-site generation and purchase of electricity. Scope 3 involves all other indirect GHG emissions of Asahi Group’s value chain.
In 2021, Scope 3 emissions form the major portion of Asahi Group’s total GHG emissions, accounting for 6,933 million tonnes of CO2 equivalent (89.6% of total GHG emissions). In 2021, the company's Scope 2 emissions were 306 million tonnes of CO2 equivalent, which decreased by 16.6% over 2020, and Scope 1 emissions were 494 million tonnes of CO2 equivalent, an increase of 6.7%.
The Asahi Group has set a target to reduce CO2 emissions in Scope 1 and Scope 2 by 70% by 2030, compared with emission levels in 2019 and the company will invest around JPY50 billion ($350 million) by 2030 to reduce carbon emissions.
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