- Comprehensive roadmap covers the reduction of direct and indirect emissions, including product transportation, business travel, and employee commuting
- Will source 100% renewable energy by 2027
- Intermediate milestone, to be achieved by 2025, with full compliance to the 1.5°C scenario defined at the Paris COP21, endorsed by the Science-Based Targets Initiative (SBTi)
STMicroelectronics (NYSE: STM) announced its goal to become carbon neutral by 2027, the earliest date anticipated for any semiconductor company globally. ST’s comprehensive roadmap to carbon neutrality includes two specific targets: compliance with the 1.5°C scenario defined at the Paris COP21 by 2025, which implies a 50% reduction of direct and indirect emissions compared to 2018, and the sourcing of 100% renewable energy by 2027.
ST’s action plan will reduce:
- Its direct emissions of greenhouse gases (scope 1), mainly through investment in equipment to burn the gases remaining after manufacturing;
- Its overall energy consumption (scope 2);
- Its emissions from product transportation, business travel, and employee commuting (scope 3);
- Remaining emissions through the identification and implementation of the most credible and relevant carbon avoidance and sequestration programs.
ST will also source 100% renewable energy by 2027 through a combination of on-site solar installations, green-power purchase agreements, and green certificates. The target compares to a baseline of 26% in 2019.
ST will also implement collaborative programs and partnerships in all its ecosystems to promote carbon neutrality among all stakeholders and to encourage environmental innovations.
Within the framework of this program, ST has joined the Science Based Targets Initiative (SBTi). The SBTi has approved ST’s targets related to 1.5°C compliance, on direct and indirect greenhouse gas emissions and sourcing of renewable energy.
“Sustainability is part of our DNA, values, and business model, and we have achieved strong results across all key metrics throughout the last 25 years. The innovative technologies we develop play a key role in helping to solve our customers’ challenges, and we believe they also bring an important contribution to overcome global environmental, social, and societal challenges. We have obtained solid results with our previous plans, but we will do more,” said Jean-Marc Chery, STMicroelectronics’ President & CEO. “ST is stepping up its ambition and plans for the sustainability of its operations. We will become carbon neutral by 2027, for the 40th anniversary of ST’s creation. We have built a comprehensive program with very ambitious targets for a company with such a large, global manufacturing footprint, and we will be working with key partners and stakeholders in a collaborative approach.”
ST has been actively working on reducing its environmental footprint through dedicated programs for many years. In 2019 it had already achieved the goals it had set for 2025 regarding greenhouse gas emission reduction, with a 21% reduction per unit of production compared with 2016.
The Science Based Targets initiative is a collaboration between the Carbon Disclosure Project (CDP), the World Resources Institute (WRI), the World Wide Fund for Nature (WWF), and the United Nations Global Compact (UNGC). It encourages companies to set targets for reducing Greenhouse Gas emissions based on scientific data, in order to meet the goals of the Paris Agreement. It already includes more than 1,000 companies worldwide.