Accelerate, Transform, Regenerate:

Nestlé’s Net
Roadmap
December 2020
Contents 3 
4 
We commit to net zero by 2050
The Nestlé Net Zero Roadmap
9 Sourcing our ingredients
sustainably – Dairy and livestock
19 Driving toward cleaner logistics
21 Removing carbon
5 Measuring our carbon footprint 11 Sourcing our ingredients from the atmosphere
6 Our total emissions sustainably – Soil and forests 22 Moving toward carbon-
by Scope 13 Transforming our neutral brands
7 Emissions covered product portfolio 24 Using our voice to
by our pledge 15 Evolving our packaging galvanize action
8 Our key actions at a glance 17 Using renewable energy to 26 Glossary
manufacture our products
We commit
Climate change is one of society’s greatest challenges. The work behind all of this is detailed, rigorous and
It is also one of the greatest risks to the future of intense. It requires us to examine not only our operations
our business. but also each of our products to see how we can make

to net
them better for the planet. And as most of our emissions
Solving it requires all of us to act with great urgency. occur outside of our own four walls, we must go on the
As the world’s biggest food and beverage company, ground to collaborate with our suppliers and help them

by 2050
we have the size, scale and reach to influence others improve their production processes.
and to inspire collective action.
At the other end of the value chain, we look forward to
Now we are going beyond our commitments: we are working with our customers to shape their offering and
specifying our plan to halve Nestlé’s greenhouse gas with our consumers to encourage more sustainable
(GHG) emissions by 2030 and to achieve net zero by purchasing and consumption. We need action from
2050 – even as our business continues to grow. We are governments and regulators to create clear and fair rules
making our footprint transparent and will make our for companies to make progress.
progress clear.
But Nestlé must first lead by example. It is only by
People will be at the heart of our climate actions. taking tangible actions that we can convince others to
We strive to ensure that our initiatives promote a just do the same. And it is only together that we can make
transition toward a regenerative food system for all. a positive difference.

3 Nestlé’s Net Zero Roadmap

 Nestlé’s Net Roadmap
Our path to Moving faster Scaling up Delivering our promise
regeneration We’re excited to hit the soil running. We’re accelerating our work in manufacturing,
packaging and carbon-neutral brands. We’re also investing CHF 1.2 billion to help
Further down the greener path, we will
invest in new technologies and fundamental
Advanced agricultural techniques will deliver
a regenerative food system at scale, supported by
for future spark regenerative agriculture across our supply chain, as part of a total investment
of CHF 3.2 billion by 2025.
changes to our products and businesses
around the globe.
zero emission logistics and company operations. We
will balance any remaining emissions through high-
generations quality natural climate solutions that benefit people
and the planet.
Solving the problem means Our milestones
identifying the problem. We found 100% Switch our 100% certified 100% Use more Source 50% of
Nestlé emitted 92 million tonnes of deforestation global fleet sustainable renewable renewable key ingredients
greenhouse gas emissions in 2018*. free for primary of vehicles to palm oil by electricity in thermal through
Now we know the extent, we know supply chain lower emission 2023 all our sites energy in our regenerative
the road ahead. by 2022 options by 2022 by 2025 manufacturing agricultural
Source methods by
*Total GHG emissions were 113 million
tonnes (CO2 equivalent) in 2018, 100% of our 100% certified 20% of key Cut virgin Plant 200 2030
92 of which are in scope of our UN packaging sustainable ingredients plastic in our million trees
1.5°C pledge. cocoa and through
recyclable or packaging by by 2030
reusable by coffee by 2025 regenerative a third by 2025
Companies and their emissions 2025 agricultural
grow over time. That’s why we’re Nestlé Waters methods by
promising to be net zero based on Plant 20 million becomes 2025
our 2018 baseline, no matter how trees a year carbon neutral
much our company grows. by 2025

net
Path to zero emissions by 2050
Business as usual
By 2050, we will reach
By 2025, we
will reduce our

zero
Emissions by operation By 2030, we
(million tonnes of CO2e, 2018) emissions by 20%
will reduce our
65.6 Sourcing our ingredients emissions by 50%
7.0 Manufacturing our products
11.0 Packaging our products
7.5 Managing logistics
0.8 Travel and employee commuting

2018 2021 2025 2030 2050

Measuring our
carbon footprint

We take a whole life cycle approach to determining the carbon

footprint of our products. It is a process that involves working
with many others, such as farmers, logistics providers and
consumers. To achieve net zero GHG emissions by 2050,
we need to act throughout our value chain.

Product emissions from farm to fork

UPSTREAM DOWNSTREAM

Suppliers to Nestlé Nestlé operations Customers, consumers and end of life

Agriculture Raw material suppliers Manufacturing Packaging Logistics Retail and Consumers End of life
business channels
Sourcing high-quality Sourcing materials and Making products. Packaging our Storing and delivering Our consumers For products
ingredients from suppliers, ingredients and transporting manufactured products. our products around Offering and selling products enjoying Nestlé’s products and packaging.
co-operatives and direct them to Nestlé. the world. to shoppers in stores. wherever they are.
from farmers.

5 Nestlé’s Net Zero Roadmap

Our total emissions Nestlé’s total GHG emissions by Scope
million tonnes of CO2e, in 2018

by Scope

Emissions from our direct operations, known as Scope 1 Scope 1

and Scope 2, accounted for just 5% of our GHG emissions.
Emitted directly 3.3 3.0%
The vast majority of our GHG emissions (95%) come from from sources we own or control such
3.3 2.5
activities in our supply chain. As a result, that is where as on-site combustion (coal, natural
we focus most of our efforts. gas, fuel for company’s vehicle fleet).

Scope 2
Emitted indirectly 2.5 2.2%
from the generation of purchased
energy like electricity and heating/

113
cooling network.
Total
Scope 3
All other indirect 107.3 94.8%
emissions
in our value chain, both upstream and
downstream, such as sourcing and use
of sold products.

Figures have been rounded.

million tonnes of CO₂e

107.3

6 Nestlé’s Net Zero Roadmap

Emissions covered Nestlé’s in-scope GHG emissions by operation (92 out of 113)
million tonnes of CO2e, in 2018

by our pledge

Progress toward net zero will be measured against our 2018 Scope 3
GHG emissions. We calculated this baseline and defined our Sourcing our 65.6 71.4%
footprint in partnership with South Pole, an external consultant. ingredients
65.6
Dairy and livestock 34.2
In setting our targets, we have followed the Science Based Soil and forests 25.0
Other 6.4
Targets initiative’s (SBTi) criteria. They provide a clearly defined Scope 1, 2 & 3
pathway for coupling future-proof growth with reductions in Manufacturing 7.0 7.7%
our products
GHG emissions. As our Scope 3 emissions make up 95% of our
footprint, we are addressing more than 80% of these. The SBTi
approved our targets in November 2020.

92
Scope 3
Packaging 11.0 11.9% Total
This data is our starting point. As we enhance our ability to our products
identify and measure emissions, and better use the data that
has been disclosed by our suppliers and others, our monitoring
will improve. We intend to also share our science-based Scope 3 7.0
methodology for calculating GHG emissions to help push Managing 7.5 8.2%
logistics
new frontiers in climate data transparency for the food and
beverage industry.
million tonnes of CO2e
Scope 3
What’s not included Travel and 0.8 0.8%
As a company at the start of its net zero journey, following SBTi guidelines employee 11.0
commuting
for now we have excluded the following emissions from our net zero pledge:

Scope 3 Figures have been rounded.

Consumer use of sold products
7.5
12.7 million tonnes of CO2e

Scope 3
Purchased services, leased assets, capital goods, investments
8.6 million tonnes of CO2e
0.8

7 Nestlé’s Net Zero Roadmap

Our key ACTIONS
at a glance

Sourcing our Transforming our Evolving our Using renewable Driving toward Removing carbon Moving toward Using our voice to
ingredients product portfolio packaging energy to cleaner logistics from the atmosphere carbon-neutral galvanize action
sustainably manufacture brands
our products
We work closely with farmers, Using our know-how and Packaging helps keep our Achieving net zero emissions A key part of our 2050 Using nature’s own solutions Our more than 2,000 brands We know that we cannot
suppliers and communities resources, we aim to transform food safe and fresh, but plastic will involve big changes to the ambition depends on creating will counterbalance the will play a critical role in our achieve net zero alone. We will
where we operate to our portfolio with products waste in the environment is way we make our products. a cleaner, leaner logistics emissions we cannot journey toward net zero. As continue working with farmers,
source our ingredients in that are good for consumers a pressing global challenge. We will switch to 100% network. We are optimizing eliminate. Establishing new consumer tastes change and suppliers, industry, employees,
a way that generates positive and good for the planet. We continue to invest in renewable electricity in our routes, filling vehicles more standards for our farmers preferences move toward consumers, governments,
environmental and This means creating new, packaging innovations, facilities by 2025, invest in efficiently and working with in agroforestry, soil more transparent and NGOs and communities where
social impacts. low-carbon offerings, and alternative delivery systems energy efficiency measures to logistics providers to switch to management, restoring sustainable products and we operate, to forge new and
We are launching initiatives to reformulating existing products and new business models that reduce the overall amount of low-emission fuels. These peatlands, forests and other services, our brand teams will deeper levels of engagement
protect ecosystems, enhance using ingredients and help stop waste going to energy we use, and switch to include green electricity, green natural landscapes will draw continue to adapt, embracing on climate issues.
biodiversity and reduce processes with a lower landfill or ending up as litter renewable fuels for thermal hydrogen, and biofuels made GHGs from the atmosphere, sustainability and meeting We will transparently advocate
emissions caused by farming in carbon footprint. and reduce carbon emissions. heating or other processes. from waste rather than locking them in the ground. market demand. for clear and fair standards and
our supply chain. Our work will Page 13 Page 15 Page 17
virgin crops. Page 21 Page 22 regulation that support sector
help the half a million farmers We expect to also use more wide efforts, and for necessary
we directly and indirectly rail and intermodal transport public policies to enable the
purchase ingredients from options, and our warehouses transformation of economic
adopt sustainable practices are minimizing energy and social systems for a net
and enhance livelihoods. It will consumption, switching to zero carbon future.
also help create economic renewable electricity and Page 24
opportunities in rural reducing waste.
communities and protect Page 19
food security.
Dairy and livestock page 9
Soil and forests page 11

8 Nestlé’s Net Zero Roadmap

Sourcing our Dairy and livestock ingredients are our largest single
source of emissions. Charting a course to net zero
Making farms more productive through better herd management
Supporting agripreneurship will help increase the productivity and

ingredients sustainably
livelihoods of farmers, by developing sustainable business models and
means driving a major shift in the way we source and helping them adopt successful business practices. The use of training,
produce these nutritious ingredients, investing in investments, better technologies and professional herd management all
innovations and new business models. play a significant role in driving continuous improvement.
Dairy and livestock
Some of the most exciting agricultural innovations are in dairy and Grassland management and increasing carbon storage in the soil
livestock farming, making them a vital part of the overall solution to Soil is an excellent carbon sink. By introducing regenerative
achieve net zero agriculture. By strengthening our programs with agricultural practices such as better paddock management and
livestock farmers to restore land, for instance, we can scale up initiatives silvopasture – the practice of integrating trees into areas where
to absorb more carbon from the atmosphere. livestock forage – and switching to organic fertilizers, we can
improve the ability of farmland to store carbon.
34.2 As we do so, we aim to continue improving livelihoods, investing in
Helping suppliers become more innovative
climate and nature with university-led research that will help develop
Our support for R&D into new technologies will help increase the
climate-resilient and more equitable farming communities. Continuously
efficiency of dairy farms, maximizing output while using minimum
improving animal welfare will remain a primary focus throughout
energy and improving animal welfare.
our work.
Sourcing our ingredients
Measures include:
Our dairy and livestock supply chains
• Improving manure management, including the use of
accounted for 34.2 million tonnes of CO2e in Our key actions biogas digesters.
2018 – more than half of the emissions created
To find the most effective ways of reducing emissions, in partnership • Creating an R&D accelerator to drive innovation in dairy.
in sourcing our ingredients.
with the Sustainability in Business Lab at ETH Zurich, we developed a
simulation tool to evaluate actions and costs for dairy, which represents • In China, expanding our Dairy Farming Institute and launching
a Grain Competence Center to coordinate research and encourage
most of our livestock emissions.
knowledge sharing.
 utting the methane produced by animals
C • Piloting net zero farms, including partnering with the US dairy
Methane produced during digestion, known as enteric fermentation, industry and academia to implement new technologies and
is the most challenging source of emissions to mitigate in cattle. We economically viable practices.
will support innovation in rumen modification that reduces
Working with our suppliers, we will focus on collecting and
emissions, mainly through the inclusion of feed additives and dietary
validating emissions data, helping improve accuracy and enabling
supplements, with the help of dedicated research and development
us to work more effectively together in different countries.
(R&D) support for the Agriculture team.

Feeding livestock with more sustainable feed

We need to work with our farmers to ensure the feed used comes
from regenerative agricultural practices. This will help avoid
deforestation and reduce the carbon impact of feeding livestock.

9 Nestlé’s Net Zero Roadmap

Sourcing our ingredients sustainably –
dairy and livestock

Dairy and livestock supply chain emissions Actions to reach our 2030 emissions goal1 Our projected reductions by 2030
and reductions, 2018 to 2030 Our actions will reduce the emissions from
million tonnes of CO2e sourcing our dairy and livestock ingredients by
21 million tonnes by 2030. This represents 23%

-8.4
of our in-scope 2018 carbon footprint.
 aking farms more productive
M
through training and better For fresh milk, reductions in emission intensity
By 2030, herd management will largely be made through improvements in
reduce emissions to productivity in less advanced economies. For
milk derivatives, some of our suppliers are
already developing ingredients with a lower
carbon footprint and we will continue working

-3.2
Caring for grassland to store more closely with them in this complex area.
carbon by using regenerative
Projected 2030 agriculture and organic fertilizers

50.6 29.3
business-as-usual emissions Looking to 2050
We will continue to support family-operated

-3.2
Cutting the methane produced by farming systems through regenerative
animals during digestion through agricultural practices that help reduce the
million tonnes nutrition changes carbon footprint of dairy farming. Activities will
of CO2e also include investing in partnerships to
million tonnes develop technologies to help take farming to
of CO2e the next level of sustainability.

-2.7 Feeding livestock with more

sustainable feed

2018 emissions baseline

plus our forecast company growth
(16.4 million tonnes of CO2e) to 2030
-2.3 Other livestock actions

Helping suppliers become

-1.0 more energy efficient

Making the most of manure

-0.5 and using biogas digesters
1 These actions have been defined based on research and data as at
December 2020. The contributions to emissions reductions may be
subject to change over time.

10 Nestlé’s Net Zero Roadmap



Sourcing our Good food depends on diverse and quality

ingredients, so protecting the ecosystems where they
We also support alley cropping, or planting between hedgerows,
which can bring similar benefits when growing crops such as

ingredients sustainably
cereals, fruits and vegetables.
grow is vital to our long-term success.
Improving soil health
A significant quantity of the ingredients we purchase come from natural Improving soil health makes land more productive. We will help
Soil and forests ecosystems, which are under pressure from agriculture: 27% of our in-
scope 2018 footprint can be linked back to these agricultural ingredients.
improve agricultural practices such as no tillage, cover cropping,
multiple crop rotation and switching to organic fertilizers for most
We are going to accelerate our efforts to protect and restore these of our soil-grown ingredients. These practices will support nutrient
areas, working with farmers and suppliers to enhance biodiversity and uptake, water retention and fertility, and restore the soil’s
limit GHG emissions. This includes avoiding/eliminating deforestation carbon content.
and natural habitat conservation as well as planting hundreds of millions Composting of agricultural waste, such as empty fruit bunches
of trees to unlock the power of agroforestry and reforestation from palm oil plantations, is another inexpensive way of
25.0
in tackling emissions. enriching the soil.
A key step in this journey will be to work with our suppliers and farmers Agroforestry in border areas
to improve transparency around where our ingredients come from and Field margins and farm borders offer important opportunities to
Sourcing our ingredients how they are produced, as part of an overall commitment to drive up support our climate goals. Forest and peatlands can be restored,
standards. This will include working with others to strengthen land rights or specific projects such as windbreaks introduced, helping to
25 million tonnes of CO2e emissions in
for local communities and the concept of Free, Prior and Informed enhance ecosystem resilience.
2018 were generated through the sourcing
Consent (FPIC).
of our agricultural ingredients.
Preventing and remediating land use change
People remain at the heart of our climate actions, whatever the initiative
The conversion of natural landscapes for ingredients in our supply
or scheme. We aim to deliver new economic opportunities for young
chain is estimated to account for between 25–35% of our total
people and women in rural communities, and protect food and nutrition
ingredient emissions. For key crop supply chains, such as cocoa,
security. We will support young agripreneurs to implement regenerative
coffee, palm oil and soybean, the proportion can be even higher.
agricultural practices.
Our zero deforestation commitment forms a critical element of our
journey to net zero. Alongside new partnerships and initiatives,
Our key actions farm-level assessments, sustainability certifications and satellite
monitoring systems will continuously scrutinize and prevent forest
With the support of South Pole, we have developed a model to calculate cover and land use change.
the GHG mitigation potential of agricultural land that assesses various
actions and their costs. Where forest degradation has happened, we have ambitious
reforestation plans and are set to plant at least 3 million trees in key
Delivering against our zero deforestation commitment and removing sourcing locations by 2021, and a further 3 million by 2023. We have
carbon through agroforestry and regenerative agriculture are key to also invested CHF 2.5 million in critical forest conservation and
reaching net zero. As part of a strategy of more ambitious engagement restoration in Côte d’Ivoire.
with our suppliers, we are now broadening these programs to
This is the start of a broader and much larger global conservation
accelerate progress.
and restoration strategy to remove more carbon and deliver
Agroforestry and shade management important ecosystem services in the landscapes we source from.
Some crops, such as cocoa and coffee, grow better in the shade. Our ambition is to make conservation and restoration standard
We are encouraging farmers to plant more shade trees to protect practice throughout our supply chains.
these crops from heat stress and other threats such as excessive
rainfall. Shade trees also improve water management and
biodiversity, and absorb carbon from the atmosphere to drive
down emissions.

11 Nestlé’s Net Zero Roadmap

Sourcing our ingredients sustainably –
soil and forestS

Soil and forests supply chain emissions Actions to reach our 2030 emissions goal2 Our projected reductions by 2030
and reductions, 2018 to 2030 By 2030, we forecast a 44% reduction in GHG
million tonnes of CO2e emissions from investing in soil health and
forests compared to our 2018 in-scope

-8.0
baseline. Up to 80% of the target can be
 reventing deforestation
P addressed through carbon removals delivered
By 2030, in our supply chain by agroforestry, improved agricultural practices
and tackling deforestation.
reduce emissions to
Forest conservation and the restoration of
natural landscapes are some of the most cost-
effective and impactful ways we can mitigate
GHG emissions. Other measures, such as

-5.0
On-farm agroforestry – planting changing agricultural practices, may be more
Projected 2030

14
expensive in the short term but are better

37
trees and other plants around
business-as-usual emissions and among crops suited to local conditions. An important part of
what we need to do next is to help find the
right actions for different local contexts.

-5.0
million tonnes Looking to 2050
Improved agricultural practices
of CO2e
like cover cropping, using organic We want our work to support resilient
million tonnes
fertilizers and multiple crop rotation landscapes and communities. In the coming
of CO2e
years, we aim to transform our relationship
with suppliers and move to a collective level of
engagement, investing in collaborative actions

-2.0 Agroforestry off-farm

that impact wider regions.
We must work to ensure no further loss of
2018 emissions baseline
plus our forecast company growth high‑carbon stock or high-conservation value
(12 million tonnes of CO2e) to 2030 land, and implement policies and initiatives

-2.0 Restoring degraded forests that restore these ecosystems. This is part of
and peatlands our ambition to deliver sustainable landscapes
where production, sustainable livelihoods
and protection go together.

Installing palm oil mill effluent

-1.0 methane capture systems 2 These actions have been defined based on research and data as at
December 2020. The contributions to emissions reductions may be
subject to change over time.

12 Nestlé’s Net Zero Roadmap



Transforming our Using our R&D experience and resources, we are

accelerating innovation and making our portfolio fit
Our key actions

product portfolio for the future. Trends show growing consumer

demand for low-carbon products such as plant-
We will lower the environmental impact of our recipes
Our process of constant improvement is our competitive advantage,
reducing our environmental footprint while continuing to contribute
based foods and drinks. Our core strategy is in line to healthy and nutritious diets.
with this shift and that means engaging the one
It is crucial that we educate our employees about climate change
billion consumers a day who buy our products by and provide them with the knowledge, skills and tools they need to
offering more foods and beverages that are good make informed decisions around product development.
for them and good for the planet. We will help our portfolio and product managers incorporate GHG
emissions information more effectively into their decision-making,
including selecting which ingredients to use and continuously
improving our ecodesign tools used in R&D. To support this, we will
make more environmental impact data about ingredient supply
chains available at the product level.

We will improve how we measure and manage emissions

We will establish clear key performance indicators (KPIs) and refine
our central data tracking systems to better measure progress and
improve the allocation of emissions and reductions to
specific businesses.
More broadly, we expect to align GHG accounting methodologies
across our brands so that it is easier to make comparisons and
consult with brand managers around translating corporate targets
into business-specific ones.

13 Nestlé’s Net Zero Roadmap

Transforming our
product portfolio

Reducing future emissions growth: our 2030 goals3 Our projected reductions by 2030 Looking to 2050
million tonnes of CO2e • The forecasted growth of 44 million tonnes of Dietary shifts – particularly toward plant-
CO2e refers to the total forecast company based diets – are the most important thing
growth by 2030. that we, as a global community, can do to
keep our food system within
• As product portfolio actions encompass the

-4.2
environmental limits.
full scope of a product life cycle, including
Evolving product offering toward
more sustainable options sourcing, packaging, manufacturing and We will strive to continuously reduce the
logistics, we have chosen to showcase them environmental impact of our ingredients
By 2030, reduce in a separate way to avoid double counting. and recipes and investigate ways to
emissions by transparently communicate these impacts.
• The levers already identified by our
By engaging with consumers, we can
businesses will mitigate 14% of the GHG
Shifting toward more sustainable increase demand for these products, which

-6
-1.4
emissions associated with our forecasted
alternative ingredients like in turn will help us toward our net
44 million tonnes of CO2e by 2030.
plant‑based foods zero pledge.
They include:
• Evolving our product offering to include
more sustainable options.
Implementing more sustainable, • Switching to plant-based ingredients –
-0.2 circular business models specifically in our frozen meals and pizzas
and dairy categories.
• Implementing more sustainable, circular
-0.2 Improving the efficiency business models.
of our machines
• Improving the energy efficiency of equipment
such as machines.

3 These actions have been defined based on research and data as at December 2020. The contributions to emissions reductions may be subject to change over time.

14 Nestlé’s Net Zero Roadmap

EVOLVING OUR Packaging helps to keep our food safe and fresh
and is essential for the distribution and storage of
Our key actions

Packaging
Transforming how we make, use, reuse and recycle our packaging can
our products. play an important role in our journey to net zero. For 2030, that means:
Although it reduces food waste and associated emissions, packaging • Improving packaging design, including switching from composites
itself can be a significant source of GHG emissions. It accounts for to single materials, and introducing reusable and refillable options.
around 12% of our in-scope 2018 carbon footprint. The issue of plastic
• Leading the shift from virgin plastics to food-grade recycled plastics
waste ending up in the environment is also one of the most pressing
by developing a market for these materials.
global challenges the world faces.
• Helping to increase end-of-life recycling rates to tackle packaging
Building on a decade of action, we have committed to make 100% of our
waste and reduce the amount of raw materials we use.
packaging recyclable or reusable by 2025 and to reduce our use of virgin
plastics by one-third in the same period. So far, 87% of our total • Increasing the amount of low-carbon energy used for the production
11.0 and recycling of packaging.
packaging and 66% of our plastic packaging is recyclable or reusable.
Tackling this challenge requires a wide range of actions and we know we • Collecting and co-processing post-consumer waste (in the absence of
need to go further. a well-functioning waste management system) to prevent the further
Key to our efforts is our Institute of Packaging Sciences in Lausanne, flow of plastic into the environment and to provide a valuable resource
Packaging our products
Switzerland. The Institute is the first of its kind in the food industry and for energy and other new products.
We emitted 11 million tonnes of CO2e is working on research to accelerate efforts to bring safe packaging
in 2018 through our product packaging solutions to the market that have a low environmental footprint. Expanding the market for food-grade recycled plastics
ready for sale. At the time of writing, more than 3% of the packaging we use
This work requires collaboration and innovation on a global scale. contains recycled plastics – this will increase significantly. We have
By working with partners from materials scientists and packaging made a significant commitment to lead the shift from virgin plastics
specialists to community groups, NGOs, governments, suppliers and to food-grade recycled plastics and to accelerate the development
other companies, we want to create lasting and impactful change. of innovative sustainable packaging solutions under the principles of
the circular economy. Less use of virgin plastics means less use of
fossil-based derivatives and associated emissions.

Scaling up reusable and refillable options for consumers

We continue to offer consumers a shopping experience free of
single-use packaging through collaboration with companies like
Loop, MIWA and Algramo.

Improving waste management infrastructure

We support the design and implementation of effective, mandatory
Extended Producer Responsibility schemes. We are also working to
improve recycling rates and infrastructure in 20 countries, which
account for more than 50% of our plastic usage.
In 12 countries, we aim to collect and co-process as much plastic as
we sell, addressing over 10% of our total plastic usage.
While we implement these activities, we will continue to support the
respect and promotion of human rights in the downstream recycling
waste supply chain of Post-Consumer Resin (PCR) material through
accountability and engagement of the most relevant actors – the key
waste stream suppliers.

15 Nestlé’s Net Zero Roadmap

evolving our
Packaging

Packaging and products supply chain emissions Actions to reach our 2030 emissions goal4 Our projected reductions by 2030
and reductions, 2018 to 2030 We expect that significant reductions in
million tonnes of CO2e emission intensity will be achieved from

-1.8
2025 onward by further increasing the
Recycling more packaging recycled content in our packaging, the use
at end of life of low-carbon energy in our supply chain,
By 2030, and the broadening of recycling and
co-processing infrastructures where
reduce emissions to we operate.

-1.7 Switching to low-carbon

energy for plastic production
Looking to 2050
From 2030, there is huge potential to
Projected 2030 increase our ambitions around reusable

16.2 10.1
business-as-usual emissions packaging and bio-based plastics. This will
-0.7 Reducing packaging and
scaling up reuse and refill
be driven by new technologies that enable
further emissions reductions, such as net
zero synthetic plastics made from CO2
converted to hydrocarbons, using
million tonnes
of CO2e
-0.6 Increasing PET plastic recycled content
renewable electricity.
million tonnes
of CO2e
Switching from composite/mixed
-0.5 materials to mono-materials

Increasing the recycled content

2018 emissions baseline -0.4 of other plastics
plus our forecast company growth
(5.2 million tonnes of CO2e) to 2030
Other actions, including moving
-0.4 from plastic to paper packaging

4 These actions have been defined based on research and data as at

December 2020. The contributions to emissions reductions may be
subject to change over time.

16 Nestlé’s Net Zero Roadmap

Using renewable We are the world’s largest food and beverage
company. That means our manufacturing has a
Our key actions

energy to manufacture significant footprint, and accounts for around 7% of

our in-scope 2018 emissions. Building on our existing
We will power our manufacturing renewably
We will increase the proportion of renewable electricity that we use

our products
through power purchase agreements, green tariffs, renewable
track record, we are making fundamental changes to energy certificates and on-site production to achieve 100%
reduce this even further. renewable electricity by 2025.

Cutting emissions begins with energy efficiency and continues with Alongside established forms of renewable electricity, such as wind
the move toward less energy-intensive processes. At the same time, and solar, we will also work with suppliers to increase the availability
we will continue to ramp up our use of renewable electricity to of renewable thermal energy generated from sources, such as
reach 100% by 2025. In 2018, 34.5% of our electricity came from biogas and biomass, by 2030.
7.0 renewable sources.
We will improve efficiency to lower emissions
As we increase the use of electricity from renewable sources, we also Further emissions reductions will be delivered by increasing the
increase market demand, incentivizing providers to invest in new efficiency of our operations. Many energy efficiency projects are
infrastructure such as wind and solar farms. already planned for sites across the globe, ranging from LED lighting
Manufacturing our products systems to optimizing energy consumption during non-production
Making our products accounted for times and recovering heat energy.
7 million tonnes of our CO2e emissions in 2018.
We will phase out refrigerants with a high global
warming potential
We will continue to phase out refrigerants with high global warming
potential (GWP), such as hydrofluorocarbons, in our industrial
refrigeration systems. We will replace these with new, natural
refrigerants with zero or low GWP, such as ammonia, CO2
and hydrocarbons.

17 Nestlé’s Net Zero Roadmap

Using renewable
energy to manufacture
our products

Manufacturing supply chain emissions Actions to reach our 2030 emissions goal5 Our projected reductions by 2030
and reductions, 2018 to 2030 We are working hard to improve the
million tonnes of CO2e efficiency of our operations, and the

-2.7
projections in our roadmap are the
minimum we expect to achieve. We expect
to maximize gains in efficiency first,
Increasing the share
By 2030, of renewable electricity supplying our remaining energy needs
through renewable sources.
reduce emissions to
We will reduce emissions by 20% by 2025
and 50% by 2030, driven by energy
efficiency measures and increasing the
amount of renewable electricity we use to
achieve 100% by 2025. The amount of
Projected 2030 renewable thermal energy we use will

9.7 3.8 -1.8

business-as-usual emissions increase by 2030.
Increasing the share of
renewable thermal energy
Looking to 2050
million tonnes By 2050, we will reduce our direct
of CO2e emissions related to energy to zero by
using 100% renewable energy.
million tonnes

-0.7
of CO2e Improving energy efficiency Based on today’s technology, we expect
at our plants that a small fraction (around 1%) of direct
emissions linked to refrigerants will remain.
There may also still be some Scope 3
emissions related to fuel and waste, which
2018 emissions baseline we expect to address through close

-0.7
Reducing FERA (fuel and collaboration with our suppliers.
plus our forecast company growth energy related activities)
(2.7 million tonnes of CO2e) to 2030 emissions

-0.04 Reducing waste

5 These actions have been defined based on research and data as at

December 2020. The contributions to emissions reductions may be
subject to change over time.

18 Nestlé’s Net Zero Roadmap

Driving toward Limiting global warming to 1.5°C will require major
changes to the way we move goods around the
Maintaining and improving operational efficiency
Investments in IT will allow us to fill vehicles and plan journeys more

cleaner logistics
efficiently. This helps avoid empty miles by connecting inbound and
world. Our 2050 ambition will be realized through outbound transport, further reducing emissions.
a cleaner, leaner logistics network that delivers
We need to use transport modes in a smart way, such as shifting to
ingredients from the farm to our factories, and our lower emission intermodal transport routes like rail and shipping.
products to distribution centers around the world. This also means minimizing air freight as much as possible.
We will continue to reduce emissions across transportation by Our lean-logistics transportation hub (T-Hub) program will play an
maximizing the use of space in our vehicles, reducing fuel important role in the short and medium term. The program will
consumption and switching to lower emission fuels. create 19 offices at regional and local levels, and centralize the
management and coordination of transport, using real-time visibility
In our distribution centers, we will cut energy use, switch to renewable
7.5 tools and advanced analytics to enable the proactive management
electricity, phase in natural refrigerants and replace fossil fuel-based
of goods movements and vehicle optimization. By 2022, T-Hubs will
machine handling equipment. We are also reducing waste for disposal,
be responsible for 80% of our total transport spend.
and will cut waste caused by products that have gone bad or reached
their end of life by 5% year on year. In our top 100 distribution centers, Shifting to the lowest emission options
Managing logistics GHGs decreased by close to 40% between 2016 and 2020. In our own operations, we will switch our global fleet of vehicles to
Transporting and distributing our ingredients Technology plays a crucial role in helping us meet our objectives. We are lower emission options by 2022 and to offset any remaining
and products accounted for 7.5 million tonnes already a digitally enabled, data-powered business, and we are exploring emissions. We will initially reduce emissions by shifting to vehicles
of our CO2e emissions in 2018. new ways in which we can use analytics, automation, artificial adhering to the EURO V and VI emissions standards.
intelligence and machine learning to make our operations even In partnership with our logistics suppliers, we will shift away from
Our primary sources of logistics emissions
more efficient. fossil fuel-powered transport to fuels with lower or zero tailpipe
in 2018 (million tonnes CO2e):
emissions. These include hydrogen, electricity and biofuel powered
• Inbound transportation: 3.2
vehicles, where these fuels have not been produced in competition
• Outbound transportation: 3.6 Our key actions with food crops.
• Energy: 0.4 By modeling emissions reductions across eight geographical clusters,
we have identified 11 important areas where we can make significant We can enable this transformation through:
• Waste: 0.02 • Helping develop the right regulatory environment, specifically
cuts to emissions. These include improving existing transport modes
and shifting to less carbon-intensive ones, implementing lean logistics policies and public investment supporting intermodal transport
and rail corridors.
and developing roadmaps tailored to specific regions and businesses.
• Supporting technological development, commercialization
and public investment, for electric, hydrogen and biogas
infrastructure, including charging stations.
• Engaging logistics providers (especially truck and ocean freight,
and truck manufacturers) to accelerate the provision of low-
carbon solutions.
Because no company can achieve this alone, we are actively
connecting with green logistics programs, the logistics industry,
government organizations and NGOs, as well as benchmarking and
auditing organizations.

19 Nestlé’s Net Zero Roadmap

Driving toward
cleaner logistics

Logistics transportation emissions Actions to reach our 2030 emissions goal6 Transportation: projected
and reductions, 2018 to 2030 reductions by 2030
million tonnes of CO2e
We will reduce absolute emissions by
3.5 million tonnes of CO2e from inbound and
outbound transportation, or a 4% reduction

-1.4
from our in-scope 2018 baseline. In relative
Introducing electric trucks
By 2030, for short-haul trips
terms, we can reduce emissions per tonne
reduce emissions to kilometre of transported goods by 11% by
2025 and 35% by 2030.
Until 2025, the operational efficiencies of
vehicle fill, reduction of empty backhaul, route
-0.6 Introducing electric trucks
for long-haul trips
optimization and switching to intermodal
transport will make the biggest contribution to

6.5
Projected 2030 emissions reduction. Electric vehicles for short

10
business-as-usual emissions haul will make a significant contribution toward

-0.5 Increased intermodal transport

our 2030 emissions reduction objectives.

Transportation: looking to 2050

million tonnes
of CO2e -0.4 Making sure we fill vehicles efficiently The new infrastructure and technologies
needed to transform transport and help the
million tonnes
of CO2e switch to alternative forms of fuel are
developing rapidly. By 2050, hydrogen and
-0.3 Introducing hydrogen-powered
trucks to our fleet
long-haul electric powered vehicles, with their
zero tailpipe emissions7, will play a key role in
our transportation mix across all distances.
Removal of EURO 4 and below Biofuels will also play an important role in the
2018 emissions baseline -0.1 diesel trucks decarbonization of ocean freight.
plus our forecast company growth
(3.22 million tonnes of CO2e) to 2030
-0.07 Launching trucks powered by biogas

-0.05 Improving the sustainability

of ocean freight

-0.04 Switch more journeys to rail

6 These actions have been defined based on research and data as at
December 2020. The contributions to emissions reductions may be
subject to change over time.

-0.002 Avoid air freight 7 Real emissions (distinct from tailpipe emissions) from hydrogen and
electric trucks depend on their source. If electricity for a truck is generated
through coal, emissions are still high.

20 Nestlé’s Net Zero Roadmap

Removing carbon We see enormous potential for the removal of GHG
emissions from the atmosphere as a way to
How we will remove 13 million tonnes of CO2e
from the atmosphere by 2030
from the atmosphere counterbalance those emissions that we cannot
reduce directly. Plant vegetation around water sources and wildlife corridors
Riparian buffers are uncultivated green areas that protect water sources
More than two-thirds of our emissions come from sourcing ingredients, from pollutants and erosion typically caused by nearby land use. They
so this is where we see the biggest opportunities. By 2030, we plan to act as filtration systems between agricultural and urban land and bodies
remove 13 million tonnes of CO2e emissions from the atmosphere by of water, improving water quality while also capturing carbon.
prioritizing actions we can take now, while we develop projects that will
pay off in the future. Integrate trees into grazing land in a synergistic way
Trees on grazing land can support grass yields or enhance production,
Removing GHGs using natural solutions, as well as technologies such as providing additional fodder.
direct air capture and carbon storage, are not alternatives to tackling
high emitting activities. However, these developments will play a role in Use local compost
helping us reach our net zero goal. By investing in these solutions now, Using compost made from organic waste such as coffee pulp can enrich
we can help ensure they are ready to deliver at scale by 2050. the soil, building up organic matter and improving both soil structure
and its potential to store carbon.

Harnessing nature’s own solutions Switch to organic fertilizers wherever possible

Natural climate solutions (NCS), such as agroforestry, silvopasture and Organic fertilizers also improve the structure of the soil and its ability to
the restoration of forests and peatland, are actions that physically hold water and nutrients while avoiding the damaging runoff caused by
remove CO2 from the atmosphere. They are the most important synthetic alternatives.
methods we currently have for carbon removal. They allow us to
Adopt more sustainable agriculture practices
maximize carbon storage and deliver a wide range of co-benefits.
Farming techniques like no tillage, crop rotation and cover crops reduce
This includes supporting a transition away from intensive monoculture
soil disruption. This helps to avoid nitrogen depletion, reduce soil
farming toward more diverse agriculture that benefits biodiversity and
erosion and control pests and weeds.
supports community resilience to climate change.
As well as on-farm actions, we strive to work in local partnerships to Plant trees and shrubs to create natural protection
prevent the loss of high-carbon stock and high-conservation value land, Natural barriers created through intercropping and alley cropping protect
and invest in the restoration of degraded forests and peatland across crops against severe weather and erosion. This improves yields and
our sourcing regions. Throughout, our actions will support robust helps capture carbon.
livelihoods in the areas where we source our ingredients.
Shade management agroforestry
Shade trees protect crops such as coffee from excessive heat. They also
increase organic matter in the soil, increasing its capacity to retain water
and store carbon. Trees planted for shade also sequester
carbon themselves.

Restoring forests and peatlands

Healthy ecosystems store significant amounts of carbon. Forest
restoration creates carbon sinks and protects waterways, wildlife and
biodiversity. Peatland restoration, in addition to capturing large amounts
of carbon, maintains water tables and reduces fire risks.

21 Nestlé’s Net Zero Roadmap

Moving toward carbon- In parallel with our corporate net zero emissions
pledge, individual Nestlé brands are on a journey to
Brand highlight: Nestlé Waters

neutral brands
Nestlé will make its global water category carbon
achieving product or brand carbon neutrality. neutral by 2025, prioritizing international brands
Perrier®, [Link]®, Acqua Panna® and Vittel®
Nespresso France delivered carbon-neutral coffee through insetting in
to achieve carbon neutrality by 2022.
2016, and Ready Refresh became carbon neutral through emission
reductions and the purchase of carbon offsets in 2020. Other brands We’ll get there by driving action to:
already committed to carbon neutrality include Garden of Life, Garden
Tackle plastic waste – much of Nestlé Waters’ packaging is already
Gourmet and Nespresso by 2022, and Sweet Earth by 2025. Many more
100% recyclable or reusable. We will build on this by committing to
are set to follow.
using 50% recycled PET globally by 2025, and supporting the rollout
of alternative delivery systems.
Switch to renewable and alternative fuels in our supply chain – by
2025, we are committed to 100% renewable electricity and will look to
switch to biomass fuels for our trucks.
Achieve carbon neutrality – as well as addressing waste and energy
use, we are purchasing high-quality offsets that remove and
reduce carbon.
Enhance water stewardship – we will maintain watersheds by
replenishing 100% of the water we use, through locally tailored solutions
that also reduce GHG emissions. These include investments in nature-
based solutions like wetland restoration and water conservation
programs. We will deliver on our commitment to certify all water sites
globally to the international Alliance for Water Stewardship (AWS)
Standard, which also covers the right to safe water and sanitation
of communities.

22 Nestlé’s Net Zero Roadmap

Moving toward carbon-
neutral brands

Scope Emissions reduction rules

How brand carbon neutrality differs

from the corporate net zero pledge
As well as contributing to our corporate
pledge by delivering emissions reductions A minimum reduction in
Brands
before claiming carbon neutrality, some of our
emissions, with insetting and
Carbon
brands are pursuing their own climate journey.
Here, we explain how the journey of our offsetting allowed for the rest.
brands differs from the overarching Nestlé net
zero pledge. neutrality Farm to fork
Brands (includes consumer use and end-of-life packaging)
To become carbon-neutral certified, our
brands need to assess all their GHG Guided, among others, by ISO and local regulations
emissions. They must reduce and remove part
of these emissions before offsetting the
remainder through high-quality, verified
schemes. Offsetting is the practice of
balancing GHG emissions by compensating
the equivalent elsewhere, outside of a
company’s direct value chain. Insetting, on
the other hand, occurs inside the value chain 20% reduction by 2025
and is a form of carbon removal.
Carbon neutrality claims for our brands
Corporate 50% reduction by 2030
are guided by local regulation. In the
Net zero Net zero by 2050
absence of this, we follow ISO or other
Farm to store (against a 2018 baseline plus
international standards.
target (excludes consumer use, but does company growth)
Corporate
include end-of-life packaging)
To achieve our corporate net zero pledge, Offsetting is not allowed; all remaining
emissions contained in the established carbon Guided by the Science Based Targets initiative (SBTi) emissions must be balanced by insetting.
footprint baseline must first be reduced as far
as possible. Removals within our value chain
can then be used to address what is left.
The corporate net zero pledge is guided by
the SBTi, related to the United Nations 1.5°C
Paris Agreement.

23 Nestlé’s Net Zero Roadmap

Using our voice to Limiting global warming to 1.5°C requires
transformational change across industries,
Advocating clear and fair rules

galvanize action governments and society. Nestlé will expand its

advocacy for ambitious government policies and
Insetting and offsetting
Clear, widely accepted international standards that legitimize high-
quality insetting and offsetting as valid carbon compensatory tools.
private sector leadership to ensure all sectors move
more quickly toward this target. Natural climate solutions (NCS)
Recognition of these solutions and their role in the net zero journey,
Our own journey to net zero depends on important new technologies, regulated by the GHG Protocol and SBTi with clear reporting rules.
business approaches and low-carbon infrastructure. It also relies on
supportive legislation that, among other things, reduces barriers to Carbon pricing/Carbon markets
renewable energy markets, incentivizes innovation in the agriculture and Transparent carbon pricing that reflects the true cost of CO2e
forestry sectors to capture more carbon, and helps to establish common emissions and forms the basis of effective carbon markets,
standards for carbon claims. supported by internationally recognized standards.
Without the right regulatory and policy environment in place, it will be Environmental claims
more challenging for Nestlé and other organizations to reach net zero Internationally recognized standards to ensure that environmental
emissions by 2050 and for our collective actions to have a positive claims are standardized, and can be communicated by companies
impact on altering the current trajectory of climate change. in a transparent, comparable and truthful way.
Because we cannot achieve our goals alone, we need to shape our
advocacy and communications around our roadmap and engage with
others. Along the way, we will communicate our advocacy positions and Policies to transform industries
share our interactions with governments and civil society. We intend to
also use industry-leading data to transparently show our progress Agriculture
throughout our reporting. Support for regenerative agriculture and policies that halt
deforestation, as well as certification schemes that incorporate low-
carbon agriculture into their standards.

Energy
Infrastructure that increases the availability of renewable energy and
public policy that promotes its uptake, as well as aligned definitions
for reporting consumption.

Logistics and infrastructure

Regulations and investment that support intermodal transport,
especially rail, and the development of electric, hydrogen and
biogas vehicles.

Packaging
Waste management schemes and legislation that increase
recycling in every country.

24 Nestlé’s Net Zero Roadmap

Using our voice to Clear and fair rules advocacy
Environmental claims Energy
galvanize action Net zero, carbon neutral, climate positive and carbon Infrastructure that increases the availability of renewable
Insetting and offsetting negative are among many terms now being used by energy is needed, as are more energy efficiency initiatives
We want to see clear standards that legitimize high-quality companies to communicate how corporate roadmaps and the adoption of best available technology, supported by
insetting and offsetting as valid carbon compensation tools and products are helping them reduce their public investment.
and focus on outcomes rather than certifications. We also environmental footprint.
Pledges and policies that promote the uptake of clean
want to see widely adopted international standards that As a result, these claims can be valuable for companies and energy are important, as are clear standards on
ensure transparency and quality for the actions behind brands, but they lack clear and widely accepted definitions. methodology for calculating the Scope 3 impacts of
carbon credits. This causes confusion and mistrust among consumers renewable energy and alternative fuels. We would like to
and stakeholders. see aligned definitions on accepted mechanisms for
Natural climate solutions claiming renewable energy consumption.
NCS are conservation, restoration and improved land We want to see clear international standards so companies
management actions in landscapes and wetlands that can make credible claims based on life cycle assessments Logistics and infrastructure
remove GHGs or avoid emissions. They could deliver (LCA) for products. We want to see government policy and public investment
almost one-third of the emissions reductions needed to that supports intermodal transport and rail corridors, as
limit global warming, while costing less than comparable well as the development and commercialization of electric,
actions and supporting agricultural resiliency
Policies to transform industries hydrogen and biogas infrastructure.
and biodiversity. Agriculture We need logistics providers, especially of truck and ocean
We believe NCS must be widely accepted and promoted by Through financial incentives, we want governments to freight, to accelerate the provision of low-carbon solutions,
governments and agencies, along with clear accounting, better support a wide range of regenerative agriculture and and truck manufacturers must increase the availability of
reporting and monitoring rules. We want to see NCS as an low-carbon practices, and to halt deforestation. To electric, hydrogen and biogas vehicles.
allowed and recommended GHG insetting tool, regulated incentivize voluntary action, we would like to see
under the GHG Protocol and SBTi. We also want them to certification schemes incorporate low-carbon agricultural Packaging
feature in government Nationally Determined Contributions practices into their standards. We want to see waste management schemes set up in
and National Biodiversity Strategies and Action Plans. every country, and legislation that increases recycling rates
We also need a broad societal understanding of the current
and facilitates circular economies (reducing the generation
state of soils and biodiversity, our collective dependency on
Carbon pricing/carbon markets of virgin plastics from oil and gas). It is also important that
natural ecosystems and the value of regenerative agriculture.
Carbon pricing is a way to recognize the external cost of there is legislation that allows recycled plastics to be in
GHG emissions and tie them to their source. Carbon pricing We support increased R&D into low-carbon agriculture, direct contact with food.
gives an economic signal to emitters, while allowing them including seeds that support regenerative agriculture and
Packaging suppliers should switch to renewable sources of
to decide whether to transform their activities to reduce low-carbon fertilizers, and solutions for the traceability of
energy, and suppliers with innovative technologies should
emissions or to pay for those emissions instead. raw materials.
be linked with recycling infrastructure.
Regardless of the type of carbon pricing system, we are in
favor of a transparent and adequate price that reflects the
true cost of GHG emissions. We also support internationally
recognized standards on how to price GHG emissions and
the functioning of transparent, robust and reputable
carbon markets.

25 Nestlé’s Net Zero Roadmap

Glossary Explaining some
important terms
The Paris Agreement
In 2015, to respond to the threat of climate
Greenhouse gases (GHGs)
Gases that trap heat into the atmosphere,
Carbon neutral at the product level
(based on ISO 14021, 2016)
change, countries around the world therefore contributing to the warming of All the GHG (or CO2e) emissions from all
convened in Paris under the United Nations the planet. They are often expressed as stages of the product life cycle, and within
Framework Convention on Climate CO2e (carbon dioxide equivalent) in terms the specified processes, have been
Change. They agreed to keep global of their GHG impact levels over time using reduced, removed or, as a last resort,
temperature rises below 2 degrees Celsius CO2 as a reference. accounted for through a system of offsets
(°C) above pre-industrial levels, and to resulting in a product that has a carbon
work toward a 1.5°C limit. Carbon dioxide equivalent (CO2e) footprint of zero.
Carbon dioxide equivalent is a simple way
of comparing the warming potential of a Net zero at the corporate level (based
range of GHGs (including carbon dioxide on the Science Based Targets initiative)
and methane) by converting their amounts Net zero emissions are achieved when
to the equivalent amount of carbon dioxide. anthropogenic emissions of GHGs to the
atmosphere are balanced by anthropogenic
removals over a specified period. The
climate metric used here is CO2 equivalent
(CO2e), and all GHG emissions are
in scope.

26 Nestlé’s Net Zero Roadmap

 Official version (English).
[Link] Translations in other languages may vary.