Bayer’s climate targets: SBTi validates emission reduction targets; CDP awards top marks

Bayer’s climate targets have again been reinforced by external validation: The Science Based Targets initiative (SBTi) has confirmed Bayer’s greenhouse gas (GHG) emission reduction targets and validated its Net Zero pathway. The company is adhering to SBTI’s rigorous standards and is now also applying SBTI’s latest update for reducing Scope 3 emissions to 25 percent by 2029. The company’s commitment to sustainability has been further confirmed by the renowned ratings agency Carbon Disclosure Project (CDP) which has awarded Bayer top marks (″A″) in the areas of climate and water.

Bayer applies new SBTi criteria for Scope 3 emissions

The SBTi encourages companies and organizations to set GHG emission reduction targets that reflect the latest climate science and are consistent with the goal of limiting global warming to 1.5 degrees Celsius above pre-industrial levels.

As part of Bayer’s comprehensive Climate Transition and Transformation Plan published in 2024, Bayer aims to reduce 90 percent of its GHG emissions across its entire value chain by 2050 or earlier. Remaining and unavoidable emissions will be compensated for with long-term carbon removals. As part of this commitment, the company aims to reduce its own GHG emissions (Scope 1 and Scope 2) by an absolute 42 percent by the end of 2029, compared to the base year 2019. Scope 3 remains an industry-wide challenge with many dependencies, as it covers all other emissions resulting from the organization's operations not directly controlled or owned by Bayer. While setting the 2050 long-term target, Bayer has applied the new SBTi criteria and set itself a stricter Scope 3 reduction target, which is now at 25 percent by 2029. With this, Bayer is increasing its ambition to reduce emissions in the value chain.

CDP rates Bayer’s engagement in climate and water with top marks

The CDP has evaluated Bayer’s performance and transparency in the areas of climate and water awarding their top score ″A″. This means that Bayer has maintained its very good rating of previous years; Bayer has never had a lower score than ″A-″ in these two categories since 2015.

CDP operates a rating system for sustainability reporting that helps investors, companies and governments reduce their ecological footprint. In the most recent evaluation, Bayer was awarded top marks (″A″) for climate and water and the rating ″B″ for forests. As such, Bayer was able to improve on its already very good ″A-″ rating from the previous year in the climate and water categories. CDP’s annual evaluation process is generally recognized as the gold standard for transparency in corporate actions in the area of environmental issues. CDP applies a detailed and independent methodology to evaluate companies, awarding marks ranging from ″A″ to ″D-″. The assessment is based on the completeness of disclosure, awareness and management of environmental risks and demonstration of best practices. Companies that provide insufficient or no information are awarded an ″F″ rating.

″Bayer is serious about its global commitment to people and nature, and we are already on a good path to reduce greenhouse gas emissions. With the validation by SBTi and the CDP rating, we once again emphasize how important our climate goals are, and we will certainly adhere to them. If global warming continues at the current pace, the consequences for agriculture would otherwise become increasingly far-reaching. We are also demonstrating our commitment to transparency and accountability. This empowers us to measure our progress and enhances our credibility with stakeholders, including investors, customers, and communities,″ says Matthias Berninger, Executive Vice President Public Affairs, Sustainability & Safety at Bayer.

Bayer is working on achieving its decarbonization targets through efficiency measures, process and portfolio innovation, switching to renewable energies, and by offsetting remaining emissions. Bayer has reached significant milestones by signing contracts with Currenta, Wuppertaler Stadtwerke and CatCreek to advance the company’s renewable energy needs. Bayer recognizes that the majority of its Scope 3 emissions originate from purchased goods and services (Category 3.1, more than 70 percent). To effectively address these emissions, Bayer is implementing extensive measures that support Sustainable Development Goal 13 (SDG 13) on climate action. Through the Scope 3 Accelerator Program, Bayer actively engages with its suppliers to promote sustainability practices. By working closely with them, the company aims to encourage its suppliers to adopt energy-efficient processes and use renewable energy. This collaboration helps reduce emissions associated with the production and transportation of raw materials.