ORIGINALLY PUBLISHED:
8 May 2024
Globally, road transport is a major source of greenhouse gas (GHG) emissions. Limiting global temperature increases to avoid the worst impacts of climate change and tackling air pollution, requires a transformation of the transport sector. Battery electric vehicles (BEVs) have a key role to play.
As part of our Ambition Zero Carbon programme, we have set ourselves the bold target to transition our company leased and owned fleet to battery electric vehicles (BEV) where technically feasible by the end of 2025. Over 50% of our fleet is now fully electric, including in the EU, Japan and the US. We’re also making progress across our International region, having reached 60% in Turkey. With over 10,000 battery electric vehicles, we’re leading EV100 in the deployment of BEVs across the highest number of markets globally.
Our BEV transition is about building a sustainable business and supporting the adoption of new technology. In Europe and Canada, we have already reached our first fully BEV market – the Netherlands, and at the end of 2023, BEVs made up 50% or our regional fleet
Find out more about our transition to battery electric vehicles
Ambition Zero Carbon
We are taking a science-led approach to decarbonising our operations and fleet. Through our Ambition Zero Carbon programme, we are on track to reduce GHG emissions from our global operations and fleet — Scope 1 and 2 — by 98% by 2026 (from a 2015 baseline) and halve our entire value chain footprint by 2030 on the way to a 90% reduction by 2045 (from 2019 baseline).
To support our transition, we have also committed to switching to 100% renewable electricity by 2025, which includes the electricity used to charge our fleet.
With over 10,000 BEVs we’re leading the pharma sector in the deployment of full EVs across the highest number of markets globally. By electrifying our fleet, we're advancing our Ambition Zero Carbon targets to reduce our directly controlled GHG emissions from our global operations and fleet – Scope 1 and 2 – by 98% by 2026.
Creating a healthier environment for our communities
Across their life cycle, BEVs produce fewer GHGs and air pollutants compared with internal combustion engine (ICE) vehicles.1,2 By investing in BEVs, we’re reducing harmful emissions, and promoting cleaner air, helping to reduce pollution-related respiratory diseases and other related conditions.
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Calling for action together with EV100
As members of the global EV100 platform, we are working with others to showcase corporate leadership and enable best practice sharing, as well as supporting engagement and dialogue with governments to address barriers to EV uptake and infrastructure roll-out.
We were the first pharmaceutical company to sign up to all three of the following Climate Group initiatives, making the commitments below:
EP100
RE100
EV100
Driving a successful transition
Vehicle availability, infrastructure readiness and political landscapes vary greatly across our markets, which span over 60 countries and six continents. Within this context, several factors have been critical in enabling our BEV transition, including clear overarching targets, backed by science and supported by senior leadership, knowledge-sharing, strong local leadership, and clear and compelling change management principles.
For senior leaders, BEV transition and fleet GHG emission targets are included annual objectives. At a regional level, a centralised team cascades information and expectations linked to the BEV transition, including exceptions due to supply or infrastructure challenges.
Local teams own the BEV transition, which means local leadership is critical to unlocking the successful transition to BEVs and adapting global policy to the local sales force. This allows for differentiated market expectations in line with sales territory sizes, vehicle capabilities, and ability to use home and public charging infrastructure.
Our approach to the BEV transition:
- Combined bottom up and top-down approach, integrating external assessment of market readiness to set the right level of ambition in different markets
- Global car fleet policy, driving global alignment
- Rigorous process to assess non-BEV additions to the fleet, with regular review process to monitor changing market readiness, and ensure these are limited to places with insurmountable infrastructure or supply issues
Challenges to global BEV adoption
We still face challenges in our global transition to BEVs, including lack of vehicles and charging infrastructure. While there have been improvements in both vehicle range and fast charging there is still some way to go before moving to BEVs is a viable option across all our markets.
To accelerate the BEV transition, a variety of measures are needed to expand public and private charging infrastructure around the world, as well as clear and stable BEV incentives to facilitate long-term planning.
Decarbonising transport
Under Ambition Zero Carbon, we are also looking at business travel and logistics, exploring ways to travel less, travel more sustainably, and decarbonise freight.
We have committed to reducing business travel by 50% (against a 2019 baseline) by 2030. To encourage a shift in mindset we launched our Every Mile Matters campaign, encouraging employees to: take the train instead of the plane, reduce one-day trips and fly sustainably with recommended airlines.
In Ireland, Alexion, AstraZeneca Rare Disease, and DHL Global have partnered to commence Ireland's first sustainable fuel deliveries using Hydrogenated Vegetable Oil (HVO) for the pharmaceutical industry. The partnership aims to reduce annual GHG emissions from road freight of Alexion medicines from Ireland, across Europe, by up to 90% by converting diesel to HVO.
We also aim for 95% of our key partners to have science-based targets (SBTs) by 2025, including airline partners.
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References
1. American Lung Association (February 2024) Boosting health for children.: Benefits for Zero-Emissions Transportation and Electricity. Available from: http://www.lung.org/getmedia/dec4362b-0467-4609-9639-2e62301409a4/EV-Boosting-Health-for-Children.pdf (Accessed March 2024)
2. European Environment Agency (EEA) Electric Vehicles. Available at : http://www.eea.europa.eu/en/topics/in-depth/electric-vehicles?activeTab=07e50b68-8bf2-4641-ba6b-eda1afd544be&activeAccordion= (Accessed March 2024)