Mars announces commitment to Net Zero by 2050

Mars, Incorporated has announced its commitment to achieve net zero greenhouse gas (GHG) emissions across its full value chain by 2050.

Mars is joining the Science Based Targets Initiative’s Business Ambition for 1.5C pledge and the Race to Zero, as the company accelerates its work to achieve net zero emissions by focusing on:

  • Absolute emissions reductions across its entire GHG footprint including all scope 3 emissions such as indirect emissions (e.g., business travel, retail customer emissions, use of sold products, and product end-of-life) and setting 5-year milestones to drive action and track progress
  • Eliminating deforestation in its supply chain – particularly in key raw materials that have the greatest impact on emissions
  • Linking executive pay to delivering GHG value chain emission reductions
  • Challenging 20,000+ suppliers in the Mars value chain to take climate action and to set meaningful targets

Mars Chief Executive Officer Grant F. Reid said: “The scale of global intervention must be bolder and faster. Climate change is already impacting the planet and people’s lives.

“To mitigate this real and tangible threat, the science tells us net zero targets must be broad in their reach, capturing emissions across the entire value chain and plans need to have material, interim targets. We can’t wait decades to see progress.

“However, all too often, this simply isn’t the case – and the gaps that exist in some net zero commitments risks undermining their credibility, and even more importantly, the climate action movement. We can’t allow that to happen.

“To deliver meaningful impact and ensure it is fit for purpose, our net zero target covers our entire GHG footprint, from how we source materials through to how consumers use our products and, we’re mobilizing our entire business around taking action now and hitting interim targets every five years.

“This is going to be a significant challenge, and it we won’t be able to achieve net zero without the collaboration of our Associates, suppliers, customers, consumers and industry partners. It’s so important that we work together to drive scale and reach.

“We need to overhaul the supply chains which power global business and put an end to deforestation and the conversion of natural ecosystems to drive meaningful change now. We can’t use long-term ambitions as an excuse for inaction and delay.”

Delivering Net Zero

A full roadmap will be developed and published in 2022 to align with the anticipated Science-Based Target Initiative rules on net zero commitments, expected by the end of 2021.

To achieve net zero, some of the numerous initiatives active across Mars include:

  • Transitioning to 100% renewable energy. Mars has already made strong progress towards its commitment to reach zero GHG emissions in its direct operations by 2040 (including factories, offices, and veterinary practices). It now sources 100% renewable electricity for the entirety of its direct operations in 11 countries, accounting for more than 54% of its global electricity needs, with plans to make the switch in another 8 countries by 2025. This includes accounting for the growth of the business – such as in the U.S. where Mars recently announced a new power purchase agreement with the Ford Ridge Wind Farm in Illinois, which will not only cover the recent growth of the Mars Veterinary Health business in the U.S., but also includes two of its U.S. suppliers.
  • Urgently redesigning its supply chains to stop deforestation. Mars is redesigning its supply chains to help stop deforestation and conversion of natural ecosystems in five key raw materials identified as having the greatest risk: cocoa, beef, palm oil, pulp and paper and soy. Action will include a continued shift away from purchasing ingredients based on cost alone – and will focus on enhanced transparency and traceability around the commodities it sources. Mars recently delivered a deforestation-free palm oil supply chain, reducing the number of palm mills from 1,500 to less than 90 mills this year to enable the implementation of strict standards and satellite monitoring. Additionally, it has a goal for all its high-forest risk commodities (beef, palm oil, pulp and paper, and soy) and cocoa to be deforestation-free by 2025.
  • Scaling up initiatives in sustainable and regenerative agriculture. Mars will strengthen its programs with farmers to limit GHG emissions and move towards regenerative agriculture. This includes working with farmers and suppliers to promote improved agricultural practices, to promote sustainable land use and to support science and technology, such as genomics research, that pinpoints how to produce more resilient and higher yielding crops. Mars will also take further action to improve soil health to unlock crop yield potential and provide other environmental and climate change benefits. Projects underway include the Cool Soil Initiative, which is supporting resilience in wheat production in Australia, the Sustainable Dairy Partnership, which is scaling up collaboration between dairy suppliers and buyers around the globe, and Oryzonte, a program to improve rice agriculture in Spain, reducing both water use and methane emissions.
  • Challenging its 20,000 suppliers to take climate action. Mars is prioritizing collaboration and partnership with suppliers to drive change through the full value chain. This includes its Pledge for Planet program and the recently announced Supplier Leadership on Climate Transition (S-LoCT) which aims to encourage suppliers to calculate their own GHG footprints and to set their own science-based targets. The program provides training and capability building with the ambition to sign up other brands to join and scale the project throughout the supply chain.

For further information on the Mars Sustainable in a Generation Plan and climate commitments, visit mars.com/sustainability-plan.

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