Electrolux is now preparing to become climate neutral

With quantified targets, the household appliance giant is systematically tackling all its emissions. The pioneering company is leading the way in its sector. Meet Henrik Sundström, chef orchestrator of this low-carbon transition.

INTERVIEW

Sustainability MAG: Electrolux is one of the first 100 companies to join the Science-Based Targets (SBT) initiative. Why prompted this choice?

Henrik Sundström: Reducing the climate impact, throughout the lifecycle of our products, is a top priority for Electrolux, and we set our first carbon reduction target in 2013 for 2020. As the company is setting targets that go beyond 2020, we aligned our targets with the Science-Based Targets Initiative.

In concrete terms, what are your targets? Where is Electrolux in the journey towards SBT?

Electrolux’s targets for 2025, with 2015 as a base line, are to reduce our Scope 1 and 2 emissions by 80% and the Scope 3 by 25%. (See emissions scopes explanation page 60) The results for Scope 1 and 2 in 2018 show that we are on track. Our Scope 1 and 2 targets have also been verified to be in line with the 1,5°C climate objective for 2100. Electrolux is now preparing to set targets to become climate neutral.

What transformations does this imply along your value chain?

The SBT focus on Scope 1 and 2 as we have full control of the result. Our priority is also to reduce the impact from the use phase of the product we are selling, as it accounts for approximately 85% of the lifecycle impact of products. This means that we are currently investing in R&D of new product platforms with improved efficiency, but also in new, and more efficient factories.

The question of indirect impacts of Scope 3 type is complex. How did you approach it? How do you promote more conscious consumerism beyond your products?

Electrolux mapped the impact of the entire value chain of our products. The result showed that the total emissions of Scope 3 were approximately 90 million tonnes of CO2(eq). To set SBT, we selected products for which we can calculate the energy consumption, how they are being used, and their expected life time. This means that the SBT cover more than 2/3 of the total Scope 3. In addition to improving the energy consumption, we are also taking initiatives to promote a user behaviour that reduces the energy consumption. One example is the new control panel for dishwashers where we promote the eco wash cycle with lower energy consumption.

Commitment to a low-carbon future is an increasingly important requirement for consumers. From a more general point of view, how do you see Electrolux's mission in terms of sustainability?

We are convinced that household appliances are fundamental for both environmental and social sustainability. Refrigerators preserve food which reduces carbon emissions but they also free up time so people can spend more time on education, work and with their families. Washing machines and dish washers have the same benefits. Still, as so many more people need and want to have access to these products, we continuously have to improve their efficiency. Science-Based Targets tell us if we are on the right track.

Defining objectives is a long and complex process, what would be your advice to companies that want to join the movement?

Start by mapping the lifecycle impact of your business, from raw materials to end-of-life. This helps the organization to focus on the most material aspects of the business.

To be read also in the dossier "Science-Based Targets":

• Alexander Farsan: companies called to listen to science to define their emission reduction paths
• A Green Desk to finance the energy transition