Climate Insider Brief:
- Veolia has become the first company to receive both the Science Based Targets initiative (SBTi) approval for its decarbonization targets and an “Advanced” rating from Moody’s for its net zero transition plan.
- Veolia launched its GreenUp program for 2024-2027, which aims for a 50% reduction in Scope 1 and 2 emissions by 2032 through initiatives like phasing out coal and capturing biogas, with a long-term goal of carbon neutrality by 2050.
- The program also targets the elimination of 18 million tons of CO2 emissions by 2027 and aims to increase Scope 3 emissions avoidance by 50% by 2030.
France-based water and wastewater services and energy provider Veolia has achieved a significant milestone in its environmental sustainability journey. The company recently announced that its decarbonization targets have been approved by the Science Based Targets initiative (SBTi) and that its net zero transition plan has been rated as “Advanced” by the international ratings agency Moody’s. This dual recognition makes Veolia the first company to obtain such comprehensive validation of its climate commitments.
Earlier this year, Veolia launched its new strategic program, “GreenUp,” for 2024-2027. This program outlines ambitious ecological objectives aimed at positioning the company as a leader in decarbonization, depollution, and the regeneration of natural resources. The GreenUp program sets a goal for Veolia to achieve a 50% reduction in Scope 1 and 2 emissions by 2032. This target will be pursued through accelerated investments to phase out coal in Europe and capture biogas at waste storage sites, with the ultimate aim of reaching carbon neutrality by 2050.
Additionally, the GreenUp program includes a “Scope 4” avoided emissions goal, which targets the elimination of 18 million tons of CO2 emissions by 2027. It also aims to increase the avoidance of Scope 3 emissions for customers by 50% by 2030.
The SBTi is a prominent organization focused on aligning corporate environmental sustainability actions with global climate goals. It plays a crucial role in defining and promoting best practices in emissions reductions and net-zero targets that align with climate science. The SBTi also provides technical assistance and independent assessment and validation of companies’ emissions reduction targets. According to Veolia, the SBTi has praised its net zero ambition as the most ambitious among those it tracks.
Moody’s launched its Net Zero Assessment (NZA) scoring system last year to help investors evaluate and compare companies’ decarbonization plans and actions. The NZAs assess the strength of a company’s carbon emissions reduction profile relative to a global net zero pathway consistent with the Paris Agreement’s most ambitious goals. The assessments consider a company’s ambitions, plans, and governance around emission reductions, utilizing a 5-point scale from NZ-1 (highest score) to NZ-5 (lowest score). Moody’s assigned Veolia’s transition plan a score of NZ-2, or ‘Advanced.’
Estelle Brachlianoff, CEO of Veolia, commented on the achievement, stating, “Veolia is a major player in decarbonization and a company resolutely focused on action. With the GreenUp program launched earlier this year, we have accelerated the pace of our decarbonization objectives, the credibility and robustness of which are now reinforced by the SBTi validation, which recognizes our commitment to ecological transformation.”
Veolia’s pioneering status in obtaining dual validation from both SBTi and Moody’s underscores its commitment to environmental sustainability and positions it as a leading force in the global fight against climate change.
SOURCE: ESG Today
Featured Image: Credit: Veolia
