Greenhouse gas (GHG) emissions are one of the major causes of rising global warming. CO2, Methane & NOx gases form a major part of greenhouse gases released from fossil fuels such as oil and gas. Due to rising GHG emissions from the operations of companies, it became important among major contributing sectors to report GHG emissions during their operations.
Several retailers, including Walmart, already measure their carbon footprints and climate change programs. Retailers generate a significant portion of their carbon footprint in their stores. Heating, lighting, air conditioning, ventilation, cooking, and refrigeration are the main factors for a retail outlet's carbon emissions.
Alibaba Group Holding Ltd (Alibaba Group) is a provider of e-commerce and technology infrastructure services. The company provides fundamental technology infrastructure services to merchants, brands, retailers, and businesses to market, sell and operate using the Internet. Alibaba Group provides services through its subsidiaries, including Taobao, Tmall, Freshippo, Aliexpress, Lazada, Alibaba.com, 1688.com, ele.me, Youku, DingTalk, Alimama, Alibaba Cloud, and Cai Niao.
The total GHG emissions of Alibaba Group in 2022 were 13.23 million tonnes of CO2 equivalents, an increase of 39% over 2021.
GHG emissions are generally classified into Scope 1,2 & 3 emissions. Scope 1 includes direct GHG emissions from stationary fuel combustion and refrigerant gases. Scope 2 encompasses indirect GHG emissions from the on-site generation and purchase of electricity. Scope 3 involves all other indirect GHG emissions in the company’s value chain.
Scope 3 emissions form the major portion of Alibaba Group’s total GHG emissions, accounting for around 7.9 million tonnes of CO2eq in 2022. The Group’s Scope 1 emissions were 0.93 million tonnes of CO2eq, and Scope 2 emissions were 4.4 million tonnes of CO2eq.
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