Decarbonizing the Supply Chain Amazon utilizes an extensive supply chain to deliver goods and services to our customers. Our carbon accounting process addresses all three Scopes of emissions under the Greenhouse Gas Protocol. Since 2019, we have shared the Scope 1, 2, and 3 emissions included in our footprint through our annual Sustainability Report, along with a detailed description of the comprehensive methodology underlying our calculations. Measurement is critical as we work toward our goal of net- zero carbon by 2040—we have to measure and understand emissions in order to eliminate them. Like other companies, we are working to improve the granularity of data available and will continue to seek improvements to our reporting processes. We already work with organizations and regulatory bodies around the globe to promote transparent and comparable climate reporting. One example of this is through our partnership with the We Mean Business Coalition, a group of nonprofits focused on accelerating the transition to a net-zero economy. We support the Coalition’s SME Climate Hub—a global initiative that gives small and medium-sized enterprises, like those in our supply chain, free tools and resources to measure and report their emissions. With the Hub’s support, these companies are committing to halve their emissions by 2030 and to reach net-zero by 2050. We Thrive on Big Challenges The challenges we collectively face on the path to net-zero carbon are considerable. Many new technologies are showing promise in their ability to reduce carbon emissions, but may still require significant development. We need to both invent new solutions and scale and drive down the costs of known solutions. In 2021, we reached 85% renewable energy across our operations, and we are on a path to achieve 100% by 2025—five years ahead of the original target of 2030. Progress is not easy, and we are far from done. However, our success in deploying renewable energy globally provides us with a playbook that we are deploying to tackle big challenges like transportation, building construction, and supply chain decarbonization strategies. With our relentless culture of innovation, and a tenacious team of sustainability scientists and professionals, we are committed to reaching our 2040 target. But we can’t do it alone. We will continue to work with partners in the public and private sectors to drive innovation, technology advancements, and global policy change. To the public sector, we say: We support and encourage policies and public-private partnerships that will help accelerate climate solutions. And as one of more than 300 signatories to The Climate Pledge, we say to the innovators, scientists, builders, and entrepreneurs: Our door is open. We all need to decarbonize. The work may not make the headlines or bring immediate rewards, but a challenge like this will never be resolved overnight. These are the hard steps that need to be taken. We welcome you to join us in finding solutions to this global crisis. 2021 Sustainability Report Introduction I Environment I Society I Governance I Appendix 12
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