The world’s largest publicly listed property and casualty insurance firm has set new carbon emission reduction targets, in line with the 2C trajectory outlined in the Paris Agreement.
Multinational insurer Chubb is now aiming to reduce its absolute carbon footprint by 20% by 2025, against a 2016 baseline, after the target was approved by the Science-Based Targets Initiative (SBTi).
The firm has also set a long-term goal of reducing its absolute greenhouse gas (GHG) emission footprint by 40% by 2035, also against a 2016 baseline – a move which Chubb claims will mitigate the emission of 45,000 metric tonnes of CO2e annually.
Both of the targets encompass Chubb’s Scope 1 (direct), Scope 2 (power) and Scope 3 (indirect) emissions.
The targets are the third set of emissions aims to be published by Chubb since it was founded in 2006. In 2006, the company pledged to reduce its GHG emissions per employee by 8% by 2012. After surpassing this and achieving a 27% reduction within this timeline, it committed in 2014 to cut its absolute GHG emissions by 21%, against a 2012 baseline, and has recorded a 21% reduction to date.
“We recognise the reality of climate change and the substantial impact of human activity on our planet,” Chubb’s chairman and chief executive Evan Greenberg said.
“We have made significant progress since we launched our corporate environmental program more than a decade ago and we look forward to having an even bigger impact in the coming years by adopting these leading science-based standards. This initiative is aligned with Chubb’s commitment to citizenship, which recognises that we must do our part as a steward of the Earth.”
Chubb now sits in a group of more than 160 companies, with the likes of home improvement retailer Kingfisher, health and beauty giant L’Oreal and sportswear brand Asics, to have had their 2C goals rubber-stamped.
A further 350 companies have pledged to set approved targets within the next two years, including confectionary giant Hershey Company. In total, more than 800 firms have publicly voiced their support for the SBTi.
However, progress in getting companies to align their goals with the Paris Agreement’s more ambitious 1.5C trajectory has proven slower. Only four companies – BT, Carlsberg, Tesco and Pukka Herbs – have set verified targets in line with a 1.5C pathway to date.
In a bid to change this trend – in light of the Intergovernmental Panel on Climate Change’s (IPCC’s) assertation that exceeding 1.5C would leave millions of people facing drought, floods, extreme heat and poverty – the SBTi recently updated its target validation criteria and resource package for businesses. A key change is that a “well-below 2C” pathway will become a minimum requirement, up from the current 2C criteria.
Scope 3 emissions and science-based targets webinar
Sustainability, energy and reporting professionals looking to gain insight on tackling Scope 3 emissions as part of science-based target setting are invited to register and tune into a free webinar, featuring Multiplex Construction Europe on Thursday 30 May 2019.
This one-hour webinar, hosted in association with Carbon Credentials, will help businesses overcome the challenge of calculating, reporting and ultimately reducing ‘Scope 3’ supply chain emissions on the path to achieving approved science-based targets.