2021 Owens Corning Sustainability Report | Reducing Our Environmental Footprint | Combating Climate Change | 149 Science-Based Targets Our goals for the reduction of greenhouse gas emissions are in line with the standards set by the Intergovernmental Panel on Climate Change, which urges that temperature increases be held less than 1.5° C above pre-industrial levels. The 2030 goals we have set to combat climate change have been approved by the Science Based Targets initiative as meeting these standards. We follow the World Resources Institute (WRI) and World Business Council for Sustainable Development (WBCSD) GHG protocol to account for Scope 1, 2, and 3 emissions. HCFC emissions are optionally included in Scope 1 in addition to the Kyoto gases (carbon dioxide, methane, and others). They are outlined in Appendix C. Strategies for Reducing Greenhouse Gas Emissions Owens Corning has identified a number of drivers for reducing greenhouse gas emissions, most notably the following: Renewable electricity. Our climate aspirations are tied closely to our energy efficiency goals. Learn more in the Energy Efficiency & Sourcing Renewable Energy chapter of this report. Electrification. Switching to renewable electricity will enable us to take full advantage of the benefits of electrification. For example, converting from coke cupolas to electric melters would lead to significant reductions in our overall emissions. We could also see benefits across all three of our businesses as we switch our natural gas processes over to electricity or other innovative technologies. Efficiency improvements. It is estimated that a 2% improvement in energy efficiency could lead to an approximately 10% improvement in greenhouse gas emissions. Our teams around the world are using the principles of Total Productive Maintenance to increase efficiencies in our equipment and our processes. Product and technology innovation. By working to develop products with lower embodied carbon, we can make great progress toward achieving our greenhouse gas reduction goals. Learn more about embodied carbon on page 151. Circular economy initiatives. There is increasing scientific evidence that the circular economy model — in which the raw materials and resources extracted for our products and processes are kept in the economy indefinitely — can be a significant tactic for reducing carbon dioxide emissions and combating climate change. More information about our initiatives can be found in the Circular Economy chapter of this report. Scope 3 Emissions Transportation Sustainability As part of our strategies to reduce our Scope 3 footprint, we focus in part on emissions related to transportation. We remain optimistic about the prospect of a shift toward electric fleets in transportation. Currently, the demand for electric vehicles outpaces the supply, but we expect to see the possibility for advancement in the coming years. By 2030, we anticipate that electric vehicles will be a much larger part of our transportation strategy. In the meantime, Owens Corning continues to focus on improving efficiencies in planning, as well as addressing the root causes of any inefficiencies in our movement of goods. This includes identifying logistical and sourcing strategies that leverage sustainable solutions. ■ To help reduce the number of shipments made each day, we are working to reduce the number of stock transfer orders, in which finished goods are moved from one warehouse location to another. Stock transfer orders lead to double handling and increase the number of miles a product travels before arriving at a customer location. One way to achieve this is to optimize storage capacity at our warehouses. ■ We are maximizing the amount of product on each shipment and, wherever possible, collaborating with our partners to haul heavier loads on specific roads as allowed by special permit. We are also working to reduce the weight of certain products (shingles, for example), without sacrificing product quality. In doing so, we can fit more pallets on a truck, thus further increasing our efficiency. ■ We are focused on using the most energy-efficient modes of transportation, opting for rail transport over trucking whenever possible and avoiding the use of air transport for our goods. ■ We use a range of analytics to leverage available data and identify further opportunities for improvement. For example, we can use analytics to determine which carriers, modes, and routes can deliver the efficiencies and results needed to reduce our Scope 3 emissions.