A framework for future-oriented environmental impact assessment of companies considering Science-Based Targets

Abstract

The irreversible impacts of human activities on the Earth have led to the introduction of planetary boundaries that define a safe operating space for humanity to act within. Subsequently, Science-Based Targets (SBTs) have been set for companies as Greenhouse Gas (GHG) emissions reduction targets consistent with the required decarbonisation level to limit the temperature rise to less than 2 °C above the pre-industrial level. On the other hand, Life Cycle Assessment (LCA) has been applied as a suitable decision-making tool to integrate the environmental impacts of products in strategic and long-term planning. Many Future-oriented LCA approaches with relatively short-term perspectives have been published. However, the operationalisation of SBTs requires quantification of companies' Environmental Impacts in the far future. There are a few studies on the future-oriented Environmental Impact Assessment of companies with SBTs consideration. This paper aims to develop a framework for future-oriented Environmental Impact assessment of companies towards operationalisation of SBTs. The proposed framework employs scenario analysis and SBTs for Future-oriented Environmental Impact Assessment of product families and companies. Accordingly, it quantifies companies’ Environmental Impact Reduction Requirement (EIRR) to provide Environmental impact Targets (ETs) for product families and proposes pathways for product families to reach SBTs. In this research, Apple Inc. is considered as the case study and the application of the proposed methodology. It is concluded that the 86.51% Environmental Impact Reduction Requirement (EIRR) of Apple Inc. will not be satisfied considering different scenarios.