5 Q&A with Lisa Morden Kimberly-Clark has been engaged in sustainability efforts for almost two decades. In this Q&A, our Vice President of Safety, Sustainability and Occupational Health, discusses how that engagement is evolving in response to the needs of our people, our customers, and our planet. How is Kimberly-Clark taking action to address climate change? When we set goals, we do so with a vision for how to achieve them while ensuring they are meaningful and robust. This applies to our climate goals and the pipeline of initiatives designed to cut our Scope 1 and 2 emissions in half by 2030. We also know that we must continue to push ourselves to go further by exploring technologies and pathways that would help unlock net zero as a feasible future ambition. Our climate efforts have been centered on our energy transition, with a shift from fossil fuel-based energy sources towards alternatives while also improving our energy efficiency. In 2021, renewables accounted for 30% of the electricity purchased at our manufacturing and distribution sites, a 12% improvement from 2020. This has been driven in part through incorporation of renewable power purchase agreements. We also recognize the role forests play in mitigating climate change and will continue to work to reduce impacts in our extended supply chain through responsible fiber sourcing practices. In addition to our efforts to minimize emissions associated with climate change, we are also considering the impacts that a changing climate can have on our business. In 2021, we conducted Kimberly- Clark’s first climate risk assessment and communicated the findings in line with the Task Force on Climate-related Financial Disclosures (TCFD) framework. How have Kimberly-Clark’s sustainability efforts evolved, particularly over the past year? In the past year, we have continued to align these efforts to Kimberly-Clark’s purpose: Better Care for a Better World. This includes pursuing sustainability initiatives that address concerns shared by our stakeholders and the scientific community, while reinforcing our brands’ purpose. Through this approach, we further our aspiration to improve the lives of consumers, communities, and others across our value chain. We are also continuing to explore new and emerging technologies in our quest to develop more sustainable alternatives to natural forest-derived fibers and traditional plastics. While few such alternatives are currently technically and economically viable at scale, the teams continue to work to make progress for the long term. At the same time, we are continuing to make our operations more efficient by enhancing our energy and water management systems with digital capabilities, progressing waste reduction efforts, and finding ways to convert scrap materials into secondary products. We also continue to advance strategic partnerships, including with organizations such as Deltares, with whom we launched WaterLOUPE 2.0, a tool that supports development of sustainable water management plans in collaboration with local stakeholders. This tool will continue to be refined as we progress the sustainability of key operations in water-stressed regions. continued → About This Report Social Impact Our Strategy Inclusion & Diversity Environment, Health and Safety Product Quality & Safety Plastics Footprint Forest Footprint Carbon Footprint Water Footprint
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