The retail industry plays a significant role in the
global economy, providing consumers with
access to a wide range of products and
services. However, the industry's growth and
success have come at a cost to the
environment, contributing significantly to
greenhouse gas emissions and environmental
damage. In fact, the retail sector accounts for
roughly 25% of global emissions, according to a
report from Boston Consulting Group and
Ascential's World Retail Congress, with much of
these emissions occurring in the retail value
chain. The current shift in retail towards online
platforms is also exacerbating carbon
emissions, as e-commerce continues to grow at
a rate of 10-20% annually.
It is important to remember that the retail
industry is both impacted by and contributing
to climate change. Retailers face increasing
supply chain disruptions and risks associated
with a changing climate. In addition, retailers
are at increased risk of being subject to
regulations concerning emissions and investor
pressure to complete sustainability disclosures.
The main sources of GHG emissions and
environmental damages from retail
How retailers can prepare for SEC
climate-related disclosures
What sustainability in the retail industry
looks like, why it should be prioritized,
and steps for implementation
How WatchWire can help guide your
organization's sustainability journey
through data
Retailers worldwide are increasingly
adopting science-based targets to enhance
the credibility and accountability of their
sustainability initiatives. According to the
National Retail Federation, out of the
millions of retailers in the US, nearly 40 top
companies have either set science-based
targets to reduce their total carbon
footprints in line with the Paris Agreement
or pledged to do so. This is one of many
steps retailers can take in order to advance
their sustainability agendas and prepare for
future mandates to publicly report on their
emissions totals and climate risks.
At the end of the day, global consumerism
from retail has had the most substantial
environmental impact of any human
activity, and no single actor can solve this
issue alone. However, by setting goals and
tracking emissions data, improving the
sustainability of their products, and utilizing
their vast influence over supply chains to
promote decarbonization in the energy,
transportation, and building sectors, retail
companies can make significant progress
toward global carbon reduction.
In this whitepaper, we'll explore:
Because of their vast scope 3 footprints, retailers are
responsible for roughly 25% of global emissions. Supply
chain emissions are by far, the largest share of retail's
footprint with indirect scope 3 emissions accounting
for 90%, and sometimes up to 98% of retailers' total
emissions. Large retailers will need to effectively
manage their carbon to stay compliant with existing
and future legislation such as the SEC climate
disclosure rules, minimize waste, and increase
efficiency.
INTRODUCTION
Sustainability & Energy Management Simplified
