Lego Group plans to double its annual spending on emissions discount and sustainability measures between 2023 and 2025, investing a complete of $1.4 billion over the interval.
The Danish firm this week dedicated a small portion of that cash to a $2.4 million carbon removing contract with Climeworks, which makes know-how that filters carbon dioxide emissions out of the air. The family-owned holding firm behind Lego, Kirkbi A/S, additionally disclosed a separate $405,000 contract. That is Lego’s first carbon removing contract.
Switzerland-based Climeworks operates the most important direct-air seize (DAC) facility on this planet, known as Orca, which is sited in Iceland. The plant is succesful of capturing and storing 4,000 metric tons of carbon dioxide yearly. Boston Consulting Group, Microsoft, Swiss Re and UBS, amongst others, are clients. Climeworks is planning an enormous U.S. enlargement; three of its DAC proposals had been chosen in 2023 for funding by the U.S. Division of Vitality.
Lego and Climeworks declined to reveal how a lot carbon dioxide will likely be captured beneath the contracts. The transfer is being made alongside different measures. “Along with our ongoing efforts to cut back our personal emissions, we wish to discover and assist impactful local weather options which have the potential to completely take away and sequester exhausting to abate greenhouse fuel emissions,” stated Michael Skou, head of technique and sustainability for Kirkbi, in an announcement.
The Lego playbook
Lego submitted its intention to develop a validated company net-zero beneath the Science Based mostly Targets initiative in August 2023. It has a deadline of two years to have a particular plan validated. In the meantime, it made a near-term, science-based pledge to lowering absolute carbon emissions by 37 p.c by 2032, throughout Scope 1 (for its personal operations), Scope 2 (its vitality purchases) and Scope 3 (items and providers bought via provide chain companions).
Among the many steps the toymaker is taking to achieve that purpose:
- Persevering with to spend money on onsite and offsite investments in renewable vitality for its manufacturing websites (as of its newest environmental report, it has a peak producing capability of 5 megawatts at its manufacturing websites).
- Adopting an inside “shadow” value that requires carbon emissions to be included in choices about key investments.
- Tying some govt compensation to efficiency on emissions reductions, beginning in 2023.
- Creating insurance policies that scale back worker journey, particularly worldwide air journey.
- Utilizing stricter emissions requirements for the development of recent buildings.
Recasting its purpose to cut back plastic
Lego’s most well-known product — the interlocking plastic bricks that litter the properties of households with younger kids — is maybe its thorniest environmental problem.
About 80 p.c of Lego bricks are made out of oil-based supplies, and the corporate acknowledged in September 2023 that it will be unable to satisfy a 2021 pledge to make use of recycled plastic with out boosting manufacturing emissions. The corporate sells an estimated 60 billion bricks yearly.
In early March, Lego reiterated its dedication to provide all merchandise from supplies which are renewable or recycled by 2032. About 18 p.c of the resin it already sources are made out of non-petro substances, similar to cooking oil, and it plans to extend that quantity this yr.
That’s not a long-term answer, although, and Lego has to date examined greater than 600 totally different alternate options to petro-plastics. For instance, it already has transformed some items, together with Minifigure equipment, to a sort of bio-polyethylene that’s made out of starches somewhat than oil — though they nonetheless aren’t biodegradable.
Lego can also be introducing a brand new materials known as arMABS made out of a sort of recycled synthetic marble sometimes present in kitchens. This materials will discover its manner into gadgets similar to home windows, and it is going to be utilized in about 60 p.c of the corporate’s units beginning this yr. Up subsequent for launch is a substance known as ePOM, which comprises carbon dioxide from biowaste. ePOM will likely be present in components similar to wheel axles sooner or later, the corporate stated.