Lion is one of Australasia’s leading brewers and manufacturers of adult beverages majority based in Australia and New Zealand. The organisation comprises a vast network of sites to produce beer, cider, wine, spirits, alcoholic ready-to-drink and non-alcoholic beverages.
In December 2021, Lion Pty Ltd acquired Fermentum Group as a wholly-owned subsidiary. Upon acquisition, the Fermentum Group is assumed in Lion’s organisation structure and will be included within the boundary of the Climate Active carbon neutral organisation certification. Relevant emissions from the Fermentum Group will be reported and offset as part of Lion’s certification in the upcoming CY2021 report due for submission in April 2022.
“The carbon neutral certification acts as a mechanism for carbon pricing in our business and provides a framework to evaluate opportunities across our sites.”
Type of certification
Organisation and Product.
How long have you been certified carbon neutral?
Since March 2020.
For more information about XXXX ZERO, refer to Lion's product certification page.
Why did you choose to go carbon neutral?
We believe businesses must lead the way towards the low-carbon future we all need for economic, environment and social sustainability. We are focused on sending a strong signal to our people and supply chain that we recognise our collective responsibility to measure, manage and reduce our emissions.
Our decision to attain carbon neutral certification aligns with our existing science-based target to limit global warming to under 1.5°C. This sets a reduction target of 55% by 2030 for our Scope 1 and 2 emissions from a 2019 baseline and a 30% reduction of our Scope 3 emissions over the same timeframe. These commitments are aligned with those made by our parent company, Kirin, in July 2020.
What are the anticipated benefits of your carbon neutral certification?
The carbon neutral certification acts as a mechanism for carbon pricing in our business and provides a framework to evaluate opportunities across our sites. Examples of these initiatives include renewable energy procurement, and technologies to increase energy efficiency.
We also recognise that most of our products’ lifecycle emissions come from indirect emission sources, including ingredients, packaging and logistics services throughout the supply chain. We anticipate our carbon neutral certification will strengthen our engagement with key suppliers as we work together to identify opportunities to reduce emissions sources across our entire value chain.
What offset projects do you support?
An Indigenous fire management project in the Northern Territory, Australia, forestry projects in Queensland, Australia, renewable energy wind farm projects in India, and an avoiding deforestation and protecting biodiversity project in Malawi.
Why did you choose these projects?
Lion supports accredited domestic and international carbon offset projects. When procuring offset projects, we consider the co-benefits of our investment to the community, including supplying employment opportunities and sustainable infrastructure for economic, cultural and social resilience.
Protection of biodiversity is another co-benefit of selected projects, particularly in the forest regeneration project located in Queensland, which works with landholders to regenerate and protect native vegetation. The offset project in Malawi protects areas of national parks and wildlife reserves, including protecting threatened elephants, lions and birds.
How can your customers support you?
We recognise a shift in the way consumers connect with brands and their expectations of businesses. There is a growing trend towards environmental and social responsibility, which continues to drive our commitment to our broader sustainability goals. We encourage consumers and the broader community to support products and businesses that have committed to transparent sustainability goals, including working towards a low-carbon future.
What else are you doing to reduce emissions?
In addition to our science-based targets to reduce carbon emissions, Lion has also committed to using 100% renewable electricity across our Australian and New Zealand sites by 2025.
We continue to focus on several initiatives to increase energy efficiency at our manufacturing sites, including converting brewery wastewater to biogas to reduce our reliance on natural gas. We have also installed rooftop solar at two of our major breweries.
As part of Lion’s scope 3 commitments, we are engaging with our key suppliers in our network to measure and reduce our collective lifecycle emissions. We anticipate increased engagement and commitment from our suppliers as we progress our carbon reduction targets.
What has been the impact of your action?
Lion achieved a significant reduction in Scope 2 carbon emissions from NSW due to the 100% renewable Power Purchase Agreement commencing in January 2020. This has eliminated almost all Scope 2 carbon emissions from NSW, equating to an annual reduction of over 15,000 tonnes.
We continue to explore initiatives across our network and look forward to sharing further emission reduction achievements.
What advice would you give to a business considering certification?
Engagement and commitment from key stakeholders in the business are critical to achieving an organisation’s carbon neutral certification. The process requires consultation and contribution from stakeholders in different areas of your business who may not be familiar with the certification process. Use this time to have conversations with stakeholders to discuss the relevance of day-to-day operations in your business’s carbon reduction commitments and broader sustainability goals.
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