Simon Boas Hoffmeyer

New York, September 2017@Simonhboas

Project Background and ApproachThe project was delivered in three workstreams

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Workstream 2Science Based Targets

Workstream 3Carbon Reduction Strategy

Workstream 1Value Chain Footprint

› Calculate Carlsberg’s operational and value chain carbon footprint to serve as a robust baseline for the target-setting process.

› Calculate science based targets in accordance with a recognised science based target methodology and aligning with Carlsberg’s Sail 2022 strategy.

› Develop a robust, cost-effective strategy to reduce Carlsberg’s operational carbon footprint in line with the commitments made under its science based targets

Project Background and ApproachBroad stakeholder engagement process to develop strategy

of raw material and packaging spend directly covered through engagement

30

40%

key suppliers engaged to understand their carbon impact and reduction opportunities

30+ internal stakeholders engaged to collect data, create buy-in and validate findings

Data CollectionStrategy

DevelopmentValidation of

Findings

breweries individually appraised for carbon reduction investments and opportunities85

Context for Science based TargetsIncreasing global cooperation on carbon reductions

• The Paris Climate Accord (COP21)

• Agreed to hold the increase in global average temperatures well below 2°C and pursue efforts to limit the increase to 1.5°C

• Emissions should peak as soon as possible, and rapidly reduce thereafter

• Mitigation performance to be reviewed every five years and national plans (NDCs) improved (“ratchet mechanism”)

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Context for Science based TargetsSBTs translate global pledges to the company level

• Targets adopted by companies to reduce carbon emissions are considered “science based” if they are in line with the level of decarbonisation required to keep global temperature increase below 2°C

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How do you calculate science based targets?Calculating science based targets involves 3 key steps

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1. Assessing the global carbon budget

How large is the pie?

2. Calculating your business’ carbon budget

How large is my slice?

3. Compare your budget and your footprint

Am I eating too much?

› Different methodologies will take slightly different approaches to these steps

Emissions occur in our breweries as well as our value chain – both have to be addressed!

Carlsberg’s Carbon Footprint Carlsberg’s footprint for the “beer in your hand”

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17%

4%

15%

42%

14%

8%Agriculture

Malting & Processing

Breweries

Packaging Materials

Distribution

Trade Refrigeration

52.3 kgCO2e/hl

Science Based Targets were calculated and presented, but wedecided to go even further…

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ZERO CARBON FOOTPRINT

2030• 0% carbon emissions at our breweries

• 30% reduction in beer-in-hand carbon footprint

2022• 50% reduction in carbon emissions at our breweries

• 15% reduction in beer-in-hand carbon footprint

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2022

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COAL0%

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RENEWABLE ELECTRICITY

100%

SOLAR PANELS

DALI, CHINA

8000

2022

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ZEROCARBON BAR

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THANKYOU

CARLSBERG GROUP PRESENTATION

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Carlsberggroup.com/sustainability#TowardsZERO v3