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One of the keys to stopping climate change is decarbonization. Countries and companies have embarked on a decision-making process to reduce CO₂ emissions in the coming years, with a goal of 2030 and 2050. Using electricity from renewable energy sources or green hydrogen is one key, but there are other decisions that affect when that electricity is used when it comes to reducing your carbon footprint. For example, in the world of tech companies, there are decarbonization goals and becoming carbon neutral by using recycled and renewable materials.

However, other industries, such as fashion, also have high emissions. Now we will look at which companies emitted the most CO₂ in 2022. Some of them may come as a surprise not because they are on the list, but because of their distance from their competitors, but before we continue, let’s take a look at the graph prepared. By Visual Capitalist:

co2 emissions fashion industry

Branded clothing and carbon footprint. In the graph we can see in these lines, we find the 10 fashion companies with the highest CO₂ emissions in 2022. Nike’s production of 18.2 metric tons is quite remarkable, if we take into account that it is not a holding, for example, Inditex (which has brands such as Zara, Pull and Bear, Massimo Duti, Bershka, Stradivarius, Oysho or Zara Home).

The Spanish company follows the North American company from afar, but in third place we find the German Adidas. These are the top 10, some of which have a carbon footprint greater than that of certain European countries:

Scope 1 emissions

Scope 2 emissions

Scope 3 emissions

Total metric tons

Nike

50,868

248,935

17,922,226

18,222,029

Inditex

11,232

451,430

17,223,486

17,686,148

Adidas’s

21,856

142,293

7,527,498

7,691,647

H&M

23,056

511,533

7,092,988

7,627,577

LVMH

67,393

654,790

6,135,000

6,857,183

Fast Retailing

9,738

445,160

5,740,872

6,195,770

Kering

21,660

105,958

2,813,225

2,940,843

Strips

1,823,972

lululemon

3,910

24,950

1,691,008

1,719,868

TJX Companies

128,450

1,039,219

61,800

1,229,469

Ross Stores

29,832

481,229

100,604

611,665

Maths. Beyond the graph, there is a lot of information in the table. The most important thing here is to calculate the carbon footprint. There are several ways to calculate our carbon footprint and, for example, the UN has an app to calculate our own carbon footprint (or the carbon footprint of our home) taking into account both our lifestyle and our consumption and transportation at home.

Although there are various stages throughout the life cycle of any product or service, the mathematical formula used to calculate carbon footprint in general terms is as follows:

Carbon footprint = Activity data x Emission factor

Three scopes. One thing we can also see in the table is that there are three scopes: type 1, 2 and 3; the metric ton CO₂e is much, much higher in scope 3. It should be noted that the emissions scope is 3. These are the most difficult to measure because they are not directly controlled by the company and the quality of the data is usually low. And these scopes refer to:

  • Scope 1 – Direct emissions of greenhouse gases released by the firm itself or by an individual at the location where the activity is carried out. An example of this is combustion in boilers, air conditioners, vehicles, ovens, etc.
  • Scope 2 – These are indirect emissions related to energy. That is, greenhouse gases associated with the purchase of electricity by the company, which in most cases originate from sources controlled by another entity. These data are known thanks to the scope 1 GIE audit of the energy company in question.
  • Scope 3 – Direct and other indirect emissions. These are a result of the company’s or individual’s activities, but are from sources that the company itself does not control. For example, the extraction or production of raw materials that the company purchases, or waste management. Scope 3 data may be over- or under-sized because these are really complex to measure.

And different types. Now, in addition to different scopes, there are also various types of carbon footprint. Depending on the activity, there is a personal carbon footprint (which each of us depends on daily food, household expenses or transportation), a product carbon footprint (which includes everything from the extraction of raw materials to the production process, the energy or transportation required for it) and corporate. The second is the GIE inventory of a company and is used to take action in this regard.

As part of the decarbonisation process that both countries and companies have been implementing in recent years, reducing the corporate and product carbon footprint is of vital importance. For example, it is a good idea not to ship mobile phones in plastic packaging. Another consideration is the use of recycled materials or the provision of facilities for recycling or re-use after their useful life. The use of new materials, such as laptop cases made from sustainable materials, is also important.

Images | Visual Capitalist

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