On February 7, Lenovo Group officially released the net-zero emission target (Net-zero) roadmap, which will achieve net-zero greenhouse gas emissions of the entire value chain in the 2049/50 fiscal year. Lenovo Group has become the first high-tech manufacturing company in China to pass the net zero target verification by the Scientific Carbon Target Initiative (SBTi).

The SBTi is an international initiative jointly launched by the Centre for Global Environmental Information Research, the United Nations Global Compact, the World Resources Institute and WWF. More than 4,000 companies around the world are adjusting their emissions reduction targets based on the SBTi methodology and verification process, and currently just over 100 companies from various industries have set net zero emission targets and are certified by the SBTi.

Different from the much-discussed carbon neutrality goal in the early days, the net zero goal is considered to be the gold standard for deep decarbonization of industries and enterprises. The goal is not just to achieve “neutral” emissions and absorption, but to require companies to commit to reducing all greenhouse gas emissions that can be reduced, and then through other ways to achieve and maintain net zero status in the long term, to reduce absolute emissions in support of global climate goals. Compared with carbon neutrality, the net zero goal has higher requirements for enterprises to reduce emissions, and the low-carbon transition is more thorough.

The SBTi is the first body in the world to standardize the definition of net zero and proposes four steps on the overall path to achieving net zero: near-term scientific carbon reduction targets, long-term carbon reduction targets, mitigation actions beyond the value chain, and long-term neutralization of residual emissions. Under the SBTi, companies adopting the Net zero standard are required to set both near-term (5-10 years) and long-term (2050 and before) science goals.

“As a global technology company, Lenovo Group began to pay attention to greenhouse gas emissions as early as 2006 and developed an annual emission reduction plan. More than 10 years of carbon reduction practice has convinced us that only strengthening collaboration and responsible action is the main path to scientifically address climate change, “said Yang Yuanqing, Chairman and CEO of Lenovo Group. “Lenovo’s net Zero emissions goal is guided by the latest climate science and through a standardized verification mechanism to continuously verify our emission reduction targets and progress, in order to contribute to the long-term goal of limiting global temperature rise to 1.5°C.”

Luiz Amaral, CEO of the SBTi, said: “Climate science shows that we must act quickly to drastically reduce greenhouse gas emissions in order to reach the global net zero goal to avoid catastrophic climate change. Lenovo’s net zero target is consistent with the urgency of the climate crisis and sets an example for industry companies to follow.”

From “Barometer” to “Progress Bar”

Steady and steady to maintain net zero strategic focus

Compared with other earlier published carbon neutral action road maps, Lenovo Group’s net zero emission roadmap has clearer, more scientific and more detailed characteristics, and truly realizes the transformation of net zero transition from “barometer” to “progress bar”.

In the roadmap, Lenovo’s long-term goal is to reduce the absolute greenhouse gas emissions of Scope 1, 2 and 3 by 90% from the baseline level of fiscal year 2018/19 by fiscal year 2049/50. “Scope 1” refers to direct emissions from factory-owned machinery, “Scope 2” includes indirect emissions from energy purchases, and “Scope 3” covers all other emissions that occur along the entire value chain, such as Lenovo Global Logistics, customer use of products, and so on.

In order to ensure the realization of the overall net zero goal, Lenovo Group has made significant adjustments on the basis of the scientific carbon target for fiscal year 2029/30 submitted in 2020, namely:

Scientific carbon target
• Reduce the absolute greenhouse gas emissions of Scope 1 and Scope 2 by 50 per cent by FY2029/30 from FY2018/19 baseline levels;
• Reduce Scope 3 greenhouse gas emissions from the use of products sold by Lenovo by an average of 35% by fiscal year 2029/30, compared to comparable products;
• Reduce scope 3 greenhouse gas emissions from goods and services purchased by 66.5 percent per $1 million of gross profit by fiscal year 2029/30;
• Reduce Scope 3 greenhouse gas emissions from upstream transport and distribution by 25 per cent for each tonne kilometre of product transported by fiscal year 2029/30.

In addition, Lenovo Group has committed to mitigation actions and long-term neutral residual emissions beyond the value chain, and will move forward with relevant plans and disclose more detailed progress.