Signify has announced new targets to drastically reduce its greenhouse gas emissions across its operations and value chain by 2040, aiming for a 90% reduction in scope 1, 2, and 3 emissions without relying on carbon credits.
Long-time readers of Electrical Review may be confused to hear this announcement, given Signify previously stated that it had achieved carbon neutrality across all of its operations back in 2020. However, it’s important to note that the company achieved that feat with the use of carbon credits – something that it will be weaning itself off of to meet its new target.
Maurice Loosschilder, Global Head of Sustainability at Signify, stated, “We believe we have an important role to play in the transformation toward a low-carbon economy. Our dedication to sustainable innovation has enabled us to continuously break through energy efficiency technology barriers with our LED products and connected systems.
“Absolute emissions reduction has always been the backbone of our climate action. We have reduced more than 75% of our operational carbon footprint since 2010. Through the combination of radical improvements in the efficiency of our products and hundreds of initiatives implemented in factories, offices, and across our operations, we have reduced our full scope greenhouse gas emissions by half since 2019.”
Signify’s plan has been independently validated by the Science Based Targets initiative (SBTi), and the company’s climate action progress includes exceeding its 2025 emission reduction targets. Building on this success, the company has outlined a new set of targets:
- Overall Net Zero Target: Achieve Net Zero greenhouse gas emissions across the value chain by 2040.
- Near-Term Targets: Reduce absolute scope 1 and 2 GHG emissions by 50% by 2030 from a 2019 base year, alongside a 50% reduction in scope 3 GHG emissions within the same timeframe.
- Long-Term Targets: Achieve a 90% reduction in absolute scope 1 and 2 GHG emissions by 2040 from a 2019 base year, and a similar reduction in scope 3 emissions.
Since 2019, Signify has achieved a cumulative reduction of 334 million tonnes CO2e, surpassing the requirements of the Paris agreement’s 1.5-degree pathway. The company’s sustainability initiative, ‘Brighter Lives, Better World 2025’, aims to double the pace of decarbonisation required by the Paris Agreement by the end of 2025.
As part of those plans, Signify is actively encouraging its suppliers to adopt science-based targets through its participation in the CDP Supply Chain program.
Loosschilder concluded, “We are proud to be part of the global movement for ambitious corporate decarbonisation. This validation of our targets sets an example our peers and the broader industry must follow as we redouble our efforts to reduce emissions across the value chain in line with the Paris agreement’s 1.5-degree pathway.”
Later this year, Signify plans to introduce a detailed Climate Transition Plan to further outline steps towards achieving its goals.
