Amazon reported that carbon emissions declined 0.4% between 2021 and 2022. Additionally, it revealed that its carbon intensity (emissions per dollar of sales) decreased by 7% in the said period. On Tuesday, the company announced that it was revising its supply chain standards to include a requirement for suppliers to disclose their carbon emissions data and set objectives to reduce emissions.
Amazon reported in its annual sustainability report Tuesday that its carbon emissions had fallen 0.4% from 2021, marking the first time since it started disclosing the figure four years ago that emissions have decreased. Despite the decline, emissions are still 40% higher than 2019. To improve efficiency, the e-retailer invested in renewable energy. Consequently, its carbon intensity, which measures emissions per dollar of sales, dropped 7%, and its scope 2 emissions, which accounts for electricity usage, decreased by 29%. The company's scope 3 emissions, which includes building construction and third-party transportation, had dropped 0.7% after increases in the past three years. Amazon attributed the decrease in emissions to a shift to electric delivery vehicles, such as the 100,000 Rivian vans slated to be on the road by 2030, along with the purchase of renewable energy and the 9,000 electric vehicles in its global fleet. Despite these efforts, some have questioned Amazon's climate commitments and the environmental impact resulting from the rapid construction of its warehouses, particularly in minority communities. In response, Amazon has eliminated the Shipment Zero goal that focused on one area of its business instead focusing on the Climate Pledge. To ensure suppliers are meeting their emissions reduction targets, Amazon also plans to update its supply chain standards so that data will be shared regularly. This change will take effect in 2021.
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