The framework we use to calculate and report our greenhouse gas emissions is the world’s most widely utilized standard for an organization’s carbon footprint: The Greenhouse Gas Protocol Corporate Standard. According to the standard, CO2 emissions are calculated in three categories: Scope 1 (direct process emissions), Scope 2 (indirect emissions from the generation of purchased energy), and Scope 3 (all remaining emission sources). We have done the calculations with a tool provided by the Greenhouse Gas Protocol.
In 2018, our baseline year, we calculated our Scope 1 and 2 emissions entirely and of the Scope 3 we calculated logistics and travel, excluding manufacturing. As our goal is to be carbon neutral by our own operations in 2022, we'll focus on reporting that, and exclude purchased goods and services and overseas upstream logistics. In 2019 our own operations Scope1 &2 carbon footprint was 137256 kg CO2-eq and reduced by 73% to 79201 kg CO2-eq in 2020. You can find our full report since 2019 here. (“Halti Carbon Footprint, year 2019”)
In addition, we have started to gather information from our suppliers to be able to also count the manufacturing emissions of Scope 3.
We are proud to say that we have reduced our own operation’s (headquarters') waste footprint from 8,2 tonnes (2019) to 6,8 tonnes (2020). For more information please read here. We recycle all paper, cardboard, bio, glass and plastic according to Finnish waste recycling regulations. To minimize our waste, we use 3D design program, pack tightly and send larger number of items at once. We print only when necessary and have changed our paper catalogues to digital. See our own operations' waste report here. In our retail stores, the staff is trained to recycle all waste according to the regulations of each property owner.
In 2019 our own operations Scope 1 & 2 carbon footprint was 137256 kg CO2-eq and reduced by 73% to 79201 kg CO2-eq in 2020. To reduce our environmental footprint in scope 1, 2 and 3, we have made several decisions and actions:
- We have started to use bio-diesel in all our company owned diesel vehicles in the beginning of 2020. This is estimated to reduce our emissions by 45% (scope 1). By using bio-diesel and changing car fleet to hybrid models we are estimating 70% less emissions in 2021.
- In 2018 our own electricity production emissions (scope 2) was 31289 kg CO2-eq. To reduce that we have changed our own facilities’ (headquarters) energy source to 100% renewable hydro power in the beginning of 2020. Addition to this, we have solar panels that provide 33,2% of all energy we use in the facility. We have retail shops which use the energy provided by the facility owner. We encourage them to use renewable energy.
- All our downstream domestic parcel all climate neutral by POSTI and our international courier parcel are climate neutral by our logistics partner UPS.
When it comes to packaging, we are using environmentally friendly recyclable cardboard and since SS21 we are using 100% recycled plastic in our bulk production polybags. The carbon footprint of our plastic poly bags was 0,9 CO2/kg and by changing our poly bags to recycled plastic, we are able to reduce the carbon footprint, according to studies, by 24%. Our target is to ensure that all our plastic packaging is reusable, recyclable, or compostable by 2025 in the countries where we sell our products.
As we cannot completely get by without plastics as the polybags play an important role in protecting the product from moisture, mold and damage during transportation, we are nevertheless trying to cut down on the use of plastic or reduce the size of our plastic bags where possible. To do this, we have started to fold products differently so that we can use smaller bags, even though the products may come out wrinkled.
Furthermore, we’re looking at packaging waste in the context of the local recycling infrastructure. If systems are in place to recycle packaging – and capture the value contained in the packaging that’s been thrown away – this reduces the overall environmental impact of the packaging waste.
Efficient and on-time transportation from production to our customers lays the groundwork for customer satisfaction while reducing environmental impact and greenhouse gas (GHG) emissions. On the other hand, delays of any kind cause GHG emissions to increase. This is because freight with shorter lead times, such as air freight releases significantly more GHG emissions than sea freight. Air transport is used in exceptional cases when fast delivery must be prioritized for various reasons. Our transport from Asia to Finland mainly occurs by sea freight, while transport from European producers to our central warehouse to stores mainly take place by train and road.
Over the past three years, the number of transportations from our suppliers to our warehouse has decreased and in consequence emissions of GHG have decreased by 7,67% from 759757 (kg CO2-eq) tons CO2e in 2018 to 701458 (kg CO2-eq) tons CO2e in 2020.
There are multiple reasons for the decrease in GHG emissions, the main one being the decrease of number of transportations thanks to accurate forecasting and strict material and production planning both by us and our suppliers. And by using 3D design program, we have reduced the amount of salesman samples over 50% from SS20 to SS21 season. According to our logistics partner, air freight of the salesman samples from Asia to Finland equals to 299,6 Co2 (KG) less emissions with this 50% reduction.
Furthermore, our online shops' shipments to customers in Finland are 100% carbon neutral through our warehouse and logistics partner Posti starting from July 2020 (for more information please read here) and all our upstream UPS logistic parcels are compensated through UPS (for more information please read here). Additionally, we are minimizing business travelling by using remote working tools and instructing our staff to travel light. In long-haul air travel we choose Finnair because of their new, more fuel-efficient aircrafts. We are also constantly looking for more manufacturers inside Europe to largely reduce the logistic emissions.
Interested in the numbers? Here's our Road Map towards carbon neutrality.
When manufacturing and shipping something it is unfortunately not possible to operate without at least a small trace. This is why we compensate those parts that we don’t have the power to reduce down to zero.
Since 2020 we have been compensating all our courier export logistics and our business air travelling (scope 3).