Renewable Energy

Kraft Heinz is committed to operating responsibly and doing its part in the critical global efforts to reduce the harmful impacts of climate change. A big component of that commitment is both reducing how much energy we consume, and thereby reducing the associated emissions where applicable, as well as rethinking our energy sources.

Decarbonizing our Operations at Kitt Green U.K.

In 2021, we signed a Memorandum of Understanding with HyNet, a leading decarbonization project in the U.K., that will supply low carbon hydrogen to fuel our Kitt Green facility. Kitt Green is one of Europe’s largest food processing facilities, producing more than 1 billion cans of food per year.

Procure majority of electricity from renewable sources by 2025.

ON TRACK: 7%

Switching to low carbon hydrogen is a critical piece of the Net Zero puzzle and will enable a switch away from fossil fuels starting in 2025. From 2025, HyNet and North Wales will produce, store and distribute low carbon hydrogen, as well as capture and safely store carbon dioxide (CO2).

Long- Term Renewable Energy Sale and Purchase Agreement

Kraft Heinz entered into a multiyear virtual power purchase agreement (VPPA) with Repsol. The VPPA, entered into in 2021, is linked to one of the Delta II wind farms, Repsol’s largest renewable project to date, which is already under development and, once completed, will have a total capacity of 860 MW distributed among 26 wind farms located in Aragon, Spain. This wind farm is expected to start operations in early 2025. Once completed, Kraft Heinz is expected to source the equivalent of approximately 90 percent of its European manufacturing sites electricity needs through this renewable energy agreement. The VPPA is expected to generate enough renewable electricity to power approximately 25,000 average EU households per year at its peak.

Net Zero and Science Based Targets

In 2021 we announced our pledge to achieve net zero greenhouse gas (“GHG”) emissions across our operational footprint (Scope 1 and Scope 2) and entire global value chain (Scope 3) by 2050, establishing our major commitment to contribute to global efforts to reduce the ongoing threat of climate change. As a milestone on our path to achieve net zero emissions, we will target a near-term emissions reduction of 50 percent by 2030 across all three scopes. We anticipate submitting and receiving approval of our quantitative goals from the Science Based Targets Initiative over the next year.

Key focus areas of our net zero program include:

  • Promoting regenerative and sustainable practices across the Company’s agricultural supply chain through its Sustainable Agricultural Practices Manual, which guides efforts to source 100 percent of Heinz ketchup tomatoes sustainably by 2025.
  • Transitioning to more circular and recyclable consumer packaging.
  • Procuring a majority of the Company’s electricity from renewable sources by 2025, and continuing to transition key on-site manufacturing facilities to renewable energy sources.

Achieve Net Zero carbon emissions by 2050, halving same by 2030.

EARLY STAGE

A considerable portion of our total carbon footprint is produced from our Scope 3 emissions, and more specifically originate in our supply chain (see graphs below for emissions breakdown). Agriculture related emissions are particularly significant and provide the greatest opportunity for reduction through increased collaboration.

Overall, our highest impact Scope 3 categories in order of magnitude, are:

  • Ingredients
  • Packaging
  • Upstream and downstream transportation
  • Use of sold products
  • End-of-life

We will remain focused on optimizing our immediate operational footprint to lessen our impact on the climate, while we increasingly investigate joint initiatives with our suppliers to help ensure the highest quality products are produced. We expect to share more details on our Scope 3 reduction strategy in future reports.

Please refer to our ESG Metrics for detailed Scope 1, 2, and 3 data.