Marelli outlines plans to become carbon neutral in operations by 2030

Marelli, a leading global automotive supplier, announced today its commitment to become carbon neutral within its operations (Scope 1 and Scope 2) by 2030. The goal, which is a key part of the company’s broader commitment and transition towards building a sustainable business, will be achieved through a series of different measures aimed at minimizing energy consumption, ensuring the use of renewable energy and neutralising remaining unavoidable emissions.

Further to the environmental and CO2 reduction targets that the company set within its mid-term strategy, this new step defines a more ambitious objective and specific plans to attain this. The actions will reduce greenhouse gas emissions from direct sources owned or controlled directly by the company, as well as indirect emission from energy purchased and used by the organization.

Dinesh Paliwal, Executive Chairman, Marelli, said, “The automotive industry has a critical role to play in creating a cleaner, greener world. In addition to our role as a supplier of technologies which enable the responsible transition towards full electrification, this significant investment in achieving full operational carbon neutrality is a milestone in building a stronger, more sustainable Marelli.”

Beda Bolzenius, President and CEO of Marelli said, “This is a first step for Marelli in outlining firm plans to reduce our overall carbon emissions. Our next step will be to define clear goals and measures across indirect emissions, which includes working with suppliers, customers, as well as internally within our own product and manufacturing processes. We have a long way to go, but the investments being announced today are a significant step forward.”

First of all, Marelli will achieve this target by abating energy consumption and related emissions through continuous implementation of “energy efficiency Monozukuri”. “Energy efficiency Monozukuri” was introduced in recent years and is a series of strategies and activities directly aimed at reducing energy usage at plants, including the introduction of high-efficiency and energy saving equipment, as well as improvement activities like streamlining operating lines in production sites. Within this stream of activities, further actions will be implemented to minimise energy consumption in our facilities, with a focus on improving the efficient use of utilities, and in our processes, with the introduction of new and even more efficient equipment and machinery.

Another important part of the strategy is the commitment to ensure that 100% of electric energy used in operations is from renewable sources or neutralised by certified carbon credits: the focus will be on photovoltaic and wind generated power. Renewable energy will be either self-generated, through developing on-site systems, or purchased through specific certified contracts as Power Purchasing Agreements and green supply contracts.

Finally, any residual emissions that cannot be captured within our primary efforts will be neutralized through participating in certified carbon projects worldwide. The company will also continue to monitor new technologies and solutions in renewable sources aimed at decarbonisation, which can support Marelli in achieving its goals.

Marelli will continue to play a leading role in developing innovative solutions to improve vehicle efficiency and support the transition toward a low-carbon society. This includes electrification technologies and solutions that improve efficiency of internal combustion engines.