Hershey moves to strengthen its science-based targets environmental performance
Hershey at the recent Sweets & Snacks Expo in Indianapolis Pic: Neill Barston
After unveiling key environmental targets in its latest ESG report, Hershey has moved to enhance its 2030 science-based greenhouse gas (GHG) emissions, attaining a total of 43% of its goals, which it is seeking to accelerate, writes Neill Barston.
As previously reported, the company’s latest 2023 report on its achievements noted some significant performance gains, though it acknowledges areas that remain to be improved upon, including reducing energy usage across its global operations.
Notably, as with many other corporations operating within the confectionery sector, it has engaged with the science-based targets initiative as a means of honing its performance further, as part of the wider scheme’s bid to deliver net zero emissions by 2050 at the latest through driving best practice in industry.
Significantly, supply chains within the confectionery sector have historically been sources of notable emissions, through the energy usage in factory facilities around the world, as well as the impact caused from widespread deforestation from within cocoa production, which many companies, including Hershey and dozens of other major manufacturers have signed up to with the CFI forests initiative within West Africa launched in 2017.
Moreover, the company stated that preventing deforestation remains a core area of focus for the business in reducing Scope 3 emissions. In 2023, Hershey accelerated its commitment by five years to achieve a deforestation and conversion-free supply chain for cocoa, palm oil, pulp and paper, and soy to December 31, 2025.
Among its achievements in this area, are restoring forest habitat with the Arbor Day Foundation, planting one million trees and restoring more than 2,300 acres of forest as part of this partnership since 2017. It has also partnered with the Foundation for Parks and Reserves of Ivory Coast on conservation of the Mabi-Yaya Nature Reserve to restore forest on 687 hectares of degraded land.
Rachel Grunberg, senior manager of environmental sustainability at The Hershey Company commented on the company’s progress. She said: “At Hershey, our business depends on ingredients grown around the world and the health of those ecosystems.
“We have a responsibility to reduce our carbon footprint to build resiliency for our business and the planet and are doing so with challenging goals aligned with best-in-class science to inform our strategy.”
As the company noted, its target to reduce scope 1 and 2 GHG emissions by 50% by 2030 from a 2018 baseline was re-validated by the Science Based Targets initiative (SBTi).
To date, the business has achieved a 43% reduction against this target and is seeking to drive an increased rate of delivery. The company has also set near-term Forest Land and Agriculture (FLAG) and non-FLAG targets. It is committed to reduce scope 3 Forest Land and Agriculture (FLAG) emissions by 36% and non-FLAG emissions by 30% by 2030. These newly validated targets are in line with climate science and are consistent with levels necessary to meet the Paris Agreement’s goals to limit global warming to 1.5 degrees Celsius.
Furthermore, to improve energy consumption and efficiency, Hershey has created a cross-functional team to oversee delivery of plant-level energy reduction targets. In 2023, Hershey sourced approximately 80% of electricity from renewable and zero-emission sources, an increase made through a combination of solar Power Purchase Agreements, Renewable Energy Credits, and Zero Emission Credits and investments in, including:
In addition it has directly sourced hydropower for facilities in Brazil and Canada, as well as 100% renewable or zero-emission electricity for manufacturing facilities for confectionery in the U.S. and Canada and several of our salty brands
Moreover, the company leveraged partnerships to promote good agricultural practices and technology to mitigate risks from climate change in cocoa, dairy and sugar supply chains. This includes investing in farmers to improve livelihoods and manage climate variability through implementation of soil health improvement and agroforestry with the Hershey Income Accelerator Programme. The company has also promoted regenerative agricultural initiatives such as the North Dakota Trusted Advisor Partnership to promote the use of cover crops and reduced tillage.