HelloFresh unveils new climate targets, eyes SBTi approval
Recipe box brand HelloFresh has set new targets to cut emissions, following strong progress in this field since 2019. It has pledged to get the new goals verified by the Science-Based Targets Initiative (SBTi).
The new targets are detailed in HelloFresh’s latest annual non-financial report, published on Monday (13 March). The report confirms that, since 2019, HelloFresh has halved the emissions intensity of its meal kit production facilities. This progress is attributed to improved energy and material efficiency, as well as increased procurement of clean energy.
Building on this progress, HelloFresh will aim for a further 66% reduction in emission intensity from meal kit production facilities by the end of 2025. It is also targeting a 30% reduction in emission intensity from its other production sites within the same timeframe.
HelloFresh has confirmed that it has submitted these targets to the SBTi. Per SBTi rules, it now has a maximum of two years to have them verified. The SBTi is in the process of phasing out 2C-aligned targets, so HelloFresh’s targets will need to be 1.5C-aligned to gain approval.
“Setting ourselves science-based targets means we are committed to doing our part for the environment to limit global warming to 1.5C or less, which marks a big milestone for HelloFresh,” said the firm’s UK chief executive Adam Park.
Food waste footprint
Also confirmed in HelloFresh’s new non-financial report are fresh targets to cut food waste. The business is already doing this by improving efficiencies and partnering with organisations like the Felix Project to facilitate food redistribution in communities near its facilities.
The report confirms that the business has reduced the amount of food sent to landfill or incineration from its own facilities, per euro of revenue, by 42% since 2019. It is aiming to bring the reduction to 52% against the 2019 baseline by the end of 2025.
Reducing food waste continues to be an integral part of HelloFresh’s sustainability targets/ambition. In 2022, more than 12,040 tonnes of unsold edible food was donated to charities. HelloFresh UK continues to work with organisations such as the Felix Project to ensure communities in the surrounding areas of its distribution centres receive surplus food supply.
The delivery of this target, as well as the new climate target, will be directly linked to the KPIs of middle and senior management. Additionally, 20% of the compensation paid to the HelloFresh Management Board will be tied to delivering strong progress on food waste and emissions.
A recent study of executive pay at 50 blue-chip companies in Europe, conducted by PwC and the London Business School, found that more than three-quarters have now linked executive pay outcomes to climate targets, up from less than 50% in 2020.