- Ahold Delhaize’s climate targets are in line with the UN's goal of keeping global warming below 1.5°C.
- To achieve this, the company today commits to an updated interim CO2 emissions reduction target for its entire value chain (scope 3) of at least 37% by 2030.
- Ahold Delhaize remains committed to become net-zero across its entire value chain by 2050.
- For its own operations (scope 1 and 2), the company remains committed to become net-zero by 2040 with an interim target of a 50% reduction by 2030.
Zaandam, the Netherlands, 29 November 2022 – Ahold Delhaize today announces the update of its interim CO2 emissions reduction target for its entire value chain (scope 3) to at least 37% by 2030, and to become net-zero by 2050. For its own operations (scope 1 and 2), the company remains committed to become net-zero by 2040 with an interim target of a 50% reduction by 2030. With this updated scope 3 interim target, Ahold Delhaize aims to achieve the decarbonization of its entire value chain and ensures that all of its climate targets are in line with the UN's goal of keeping global warming below 1.5°C.
The updated interim target is aligned with the Science Based Targets initiative’s Net-Zero Standard. In accordance with the recommendation by the Science Based Targets initiative, Ahold Delhaize is using its latest available emission profile from 2020 as baseline for its 37% 2030 reduction target, updated from a 2018 baseline before. In November 2021 the company joined the Business Ambition for 1.5°C, a global coalition of UN agencies, business and industry leaders, in partnership with the Science Based Targets initiative (SBTi) and the UN led campaign ‘Race to Zero’. The update today is part of the annual climate reporting cycle as per the Business Ambition agreements.
Whereas scopes 1 and 2 involve the CO2 emissions of Ahold Delhaize’s own operations (mainly consisting of energy, refrigeration systems, and owned and leased transport), scope 3 represents the indirect CO2 emissions across our entire value chain. This value chain consists of thousands of suppliers, producers and farmers who supply hundreds of thousands of products that are sold to millions of customers across the United States and Europe each day.
Jan Ernst de Groot, Chief Sustainability Officer of Ahold Delhaize: “As a group of mainstream supermarkets and retailers, we want to provide customers with sustainable and healthy products, while keeping shelf availability and affordability top of mind. Our commitment is to future generations, to continue to play a leading role in the transition to a more sustainable food system. We are proud of frontrunners like Albert Heijn, who inspire other brands within the Ahold Delhaize group – and the sector - to take sustainability performance to the next level in their market.”
The updated interim target is the result of extensive review, which started in November 2021 together with external experts. This review shows that the main drivers of emission reduction in scope 3 can be structured in three categories: suppliers and farmers, low-carbon products and customer engagement.
Suppliers and farmers
A key element of our decarbonization efforts is encouraging and supporting our suppliers in setting their own emission reduction targets in line with the latest scientific evidence, and signing up to the Science Based Targets initiative. These emission reduction commitments will accelerate improvements in livestock farming, raw material sourcing, deforestation reduction, processing, food waste reduction, packaging and transport. Our brands can contribute by supporting their suppliers and farmers with concrete environmental actions. They can do this, for example, by setting up long-term contracts with farmers.
Several of Ahold Delhaize’s brands continue to introduce more plant-based protein products in their assortments, driving the improvement of existing assortments and the development of new assortments with less embedded emissions. Our Dutch local brand Albert Heijn, for example, committed to achieve a distribution of 60% plant-based and 40% animal-based protein sales by 2030. All our brands in Europe will commit to baseline their current protein ratio and set protein ratio targets by the end of 2024.
Helping customers understand the impact of their buying decisions and make choices that fit their needs, their tastes and their values is an important part of our approach. This includes stimulating and rewarding more sustainable choices through loyalty programs and discounts, increasing product transparency through navigation systems and product labelling, improving assortments with more vegan and vegetarian products, and increasing awareness and knowledge about a healthy lifestyle.
As a result of this new target the Ahold Delhaize climate plan has been updated, and is available on the corporate website.
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This communication includes forward-looking statements. All statements other than statements of historical facts may be forward-looking statements. Words and expressions such as target(s), goal, at least, to become, by, remains, committed, aims, will or other similar words or expressions are typically used to identify forward-looking statements.
Forward-looking statements are subject to risks, uncertainties and other factors that are difficult to predict and that may cause actual results of Koninklijke Ahold Delhaize N.V. (the “Company”) to differ materially from future results expressed or implied by such forward-looking statements. Such factors include, but are not limited to, the risk factors set forth in the Company’s public filings and other disclosures. Forward-looking statements reflect the current views of the Company’s management and assumptions based on information currently available to the Company’s management. Forward-looking statements speak only as of the date they are made and the Company does not assume any obligation to update such statements, except as required by law.
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About Ahold Delhaize
Ahold Delhaize is one of the world’s largest food retail groups and a leader in both supermarkets and e-commerce. Its family of great local brands serves 55 million customers each week, both in stores and online, in the United States, Europe, and Indonesia. Together, these brands employ more than 413,000 associates in 7,452 grocery and specialty stores and include the top online retailer in the Benelux and the leading online grocers in the Benelux and the United States. Ahold Delhaize brands are at the forefront of sustainable retailing, sourcing responsibly, supporting local communities and helping customers make healthier choices. The company’s focus on four growth drivers – drive omnichannel growth, elevate healthy and sustainable, cultivate best talent and strengthen operational excellence – is helping to fulfil its purpose, achieve its vision and prepare its brands and businesses for tomorrow. Headquartered in Zaandam, the Netherlands, Ahold Delhaize is listed on the Euronext Amsterdam and Brussels stock exchanges (ticker: AD) and its American Depositary Receipts are traded on the over-the-counter market in the U.S. and quoted on the OTCQX International marketplace (ticker: ADRNY). For more information, please visit: www.aholddelhaize.com.