PepsiCo Extends Climate Goals Amid Shifting Global Support

PepsiCo has announced significant adjustments to its corporate sustainability objectives, most notably extending its net-zero emissions target by a decade, now aiming for 2050 instead of 2040. The food and beverage giant also recalibrated its near-term goals related to Scope 3 emissions, which are generated throughout its supply chain. These modifications come in response to a perceived slowdown in expected global action and legislative support for climate and plastic waste initiatives.

Furthermore, PepsiCo has modified its commitments concerning plastic packaging. The company has abandoned an aggressive target for reusable containers and has relaxed its objective for the percentage of recycled content within its plastic packaging. Executive Vice President Jim Andrew cited a realization that the company could not accelerate systemic changes faster than the world was moving, attributing the revisions to a 'pragmatic reset' based on five years of learning.

Despite these adjustments, Andrew emphasized that some goals have become more stringent, aligning emissions reductions with science-based targets for the Paris Agreement's 1.5-degree Celsius threshold. PepsiCo is also focusing on sustainable agriculture, acknowledging its critical role in Scope 3 emissions, and is actively investing in projects like Project Oro in Brazil to promote soil health and biodiversity among farmers.