Greenhouse gas (GHG) emissions are one of the major causes of rising global warming, and the companies from the FMCG, retail, packaging, and food service sectors 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.
PepsiCo Inc (PepsiCo) is a manufacturer and marketer of non-alcoholic beverages and food products. The company’s product portfolio comprises potato chips, cereals, oatmeal, rice, pasta, rice cake, packaged water, sports and energy drinks, juice, and fountain syrups. It markets these products under various brands, including Pepsi, Pepsi Max, Mountain Dew, Lay's, Frito-Lay, Gatorade, Quaker, and Yachak.
Total GHG emissions of PepsiCo in 2021 were 4,280 thousand tonnes of CO2 equivalents, a decrease of 0.7% on an annual basis.
GHG emissions are generally classified into Scope 1, 2, and 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 indirect GHG emissions in the company’s value chain, such as purchased goods and services, downstream transportation and distribution, and end-of-life treatment of sold products.
In 2021, Scope 1 emissions form the major portion of PepsiCo’s total GHG emissions, accounting for 3,597 thousand tonnes of CO2 equivalent (84.4% of total GHG emissions). The company's Scope 2 emissions (683 thousand tonnes of CO2 equivalent) decreased by 20.3% in 2021.
PepsiCo aims to achieve net zero carbon emissions of Scope 1 & 2 by 2030 and decarbonize its Scope 3 emissions by 2050.
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