0 Introduction Environmental Social Governance Indexes and Glossary SDG Index About This Report GRI Index SASB Index SDG Index TCFD Index UNGPRF Index Glossary Aligned SDG Targets and Related SDGs Aligned Target F orward Ambition SDG Our Goals and Accomplishments Who Is Impacted 13. Climate Action Take urgent action to combat climate change and its impacts. SDG Business Benchmark: Science-based emissions reduction in line with a 1.5°C pathway. Our Goals: • By 2040, Target commits to net zero greenhouse gas emissions across our enterprise (scopes 1, 2 and 3). • By 2030, Target commits to achieve 50% absolute reduction in operations emissions (scopes 1 and 2) from a 2017 baseline. • By 2030, Target commits to achieve 30% absolute reduction in supply chain emissions (scope 3) covering retail PGSs from a 2017 baseline. • By 2023, 80% of Target’s suppliers by spend (covering all purchased goods and services) will set science-based scope 1 and scope 2 targets. • By 2025, Target commits to engage suppliers to prioritize renewable energy and collaborate on solutions that protect, sustain and restore nature. Our Accomplishments: • Current projects and partnerships are anticipated to result in nearly 50% of electricity purchased to be from renewable resources. For example, Targets first net z ero energy store generates more energy than it needs to operate each year through renewable sources and Texas wind power project offsets electricity used of 60 areas stores. • Set science-based targets for emissions reductions across scopes 1, 2 and 3. • Committed to join the Business Ambition for 1.5⁸C. • In 2021, we achieved our goal of 30% absolute reduction in emissions (scopes 1 and 2) from a 2017 baseline, 9 years ahead of our goal date (2030). Subsequently, in 2022, we updat ed the scope 1 and 2 emissions reduction goal to 50% by 2030 from a 2017 baseline. • In 2022, retrofitted our first net zero energy store, generating more energy than it needs to operate each year through renewable sources. • Through our climate supplier engagement program, we continue to support suppliers as they calculate their carbon footprint, set science-based emission r eduction targets, track progress and drive collaborative action. 32% of top 80% of suppliers by spend have set emission reduction targets by end of 2021. • Target provided more than $3 million to support communities impacted by natural disasters and humanitarian crises in 2021. See chapters: Climate Action For more details: Climate & Energy, Climate Goals, Climate Policy, Target Forward, Supply Chain Environmental Responsibility, Sustainable Operations, Go Behind the Scenes at T arget’s First Net Zero Energy Store — Our Most Sustainable Facility Yet , Target’s Charging Up Its Electric Vehicle Program to Reach More Than 20 States • Civil society or ganizations • Communities where we oper ate • Communities within our supply chain • Environment • Guests • Team members • Vendors SDG Targets: 13.1, 13.2 Related SDGs: 6, 7, 14, 15 14. Life Below Water Conserve and sustainably use the oceans, seas and marine resources for sustainable development. SDG Business Benchmark: Net-positive water impact in water-stressed basins. 100% resource recovery with all mat erials and products recovered and recycled or reused at end of use. Our Accomplishments: • Target uses the World Resource Institute Aqueduct tool to understand water risk for domestic and international facilities. • Our Freshwater Stewardship Program helps to safeguard freshwater quality, quality, quantity and access, tailoring our approach to manage impact in high-priority ar eas, products and processes. • Universal Thread and Everspring have integrated circular design principles and committed to sustainable packaging after Target became signatories to the Ellen MacAr thur Foundation’s Plastics Pact (formerly New Plastics Economy) and the U.S. Plastics Pact. • We have launched a refreshed smart salting training program to reduce water runoff contamination. See chapters: Responsible Resource Use, Investing in Circularity For more details: Sustainable Operations, Water , Commitment to Sustainable Seafood, Here’s a First Look at Target’s Fresh Approach to Sustainable W ater Management • Communities where we oper ate • Communities within our supply chain • Environment • Team members • Vendors SDG Target: 14.2 Related SDG: 6 2022 Target ESG Report 94