Mahindra to go carbon neutral by 2040
17th Sep 2018 3:33 pm
The Indian UV manufacturer announces its goal to achieve carbon neutrality in the next 22 years.
Mahindra has announced its commitment to become a carbon-neutral company by 2040. India’s leading manufacturer of utility vehicles has stated that it will focus on energy efficiency and the use of renewable power to achieve this target. Residual emissions will be addressed through carbon sinks.
“We are doing our part in the global fight against climate change with this ambitious new target,” said Anand Mahindra, chairman, Mahindra Group. “Mahindra will leverage the latest technological advances and its recently announced Carbon Price to work towards being carbon neutral by 2040.”
“Targets based on science are the only effective way to meet the challenges we face,” added Mahindra; and it is known to face environmental challenges head-on. Mahindra was the first company in the world to commit to doubling energy productivity of the automotive business by signing on to The Climate Group’s program EP100 and is now almost 12 years ahead of schedule. The farm equipment business is also ahead of schedule in achieving its goal and is more than half-way there.
The company was also the first Indian company to announce its internal Carbon Price – $10 per tonne of emitted carbon – to fund investments required to pursue the path of carbon neutrality. Mahindra assessed the goals for energy efficiency and renewable energy that it set for itself; and decided on its carbon price based on what was required to meet these goals. International benchmarks were also factored into setting the price.
The company has more than 10 years of experience in creating carbon sinks. It looks forward to using this experience to deal with residual emissions in a manner that is world-class and follows the best established protocols.
The automaker says it will be working on its carbon-neutrality commitment with the Environmental Defense Fund (EDF), an international non-profit organisation that works with leading companies to raise the global bar for corporate sustainability leadership. It will continue to work with EDF and other leading partners as it implements actions towards achieving carbon neutrality.
Mahindra is also a signatory of the 'Science-Based Targets' initiative which provides companies with a clear pathway for reducing emissions in line with the goals of UNFCC's Paris Agreement – limiting global warming to well below 2degC above pre-industrial levels. These existing commitments prove helpful for the company on its path to carbon neutrality.