Energy Efficiency, GHG Emissions, Industrial  -  October 11, 2024

LEO Pharma Sets 2050 Goals

LEO Pharma announced its commitment to achieving a net-zero climate target by 2050, which involves developing an extensive decarbonization plan across the company’s operations and aligning with the Paris Agreement and climate science recommendations.

This commitment builds on LEO Pharma’s earlier ambition to reduce carbon emissions by more than 50% by 2030 from a 2019 baseline.

“The climate crisis is the most urgent issue of our time, and companies must take action to find necessary solutions. We acknowledge our impact on the planet as a result of our operations and therefore, a net-zero target is a natural continuation of our current commitments. We need to run a sustainable business to ensure that we can help people with skin diseases for the next many years to come,” said Christophe Bourdon, CEO of LEO Pharma, in a statement.

LEO Pharma, a Denmark-based dermatology pharmaceutical company, will continue to implement a number of energy-saving measures in its operations and significantly expand its use of renewable energy. In 2023, LEO Pharma optimized energy efficiency, using renewable energy and transitioning toward a more sustainable car fleet, resulting in a reduction of the company’s Scope 1 and 2 emissions by 39% compared to a 2019 baseline.

Emissions from suppliers and other sources outside of LEO Pharma’s operations account for the majority of the company’s carbon footprint. In 2023, 83% of LEO Pharma’s suppliers by emissions had set their own science-based climate targets or announced commitments to reduce CO2, representing a significant first step toward greater carbon reductions.

Achieving the 2050 net-zero target requires a long-term, deep decarbonization across all scopes, making collaboration with key suppliers to further reduce carbon emissions essential. This will involve considering SBTi commitments in the company's  supplier assessment and selection process.

LEO Pharma will develop a detailed Carbon Reduction Plan subject to validation from the SBTi within 24 months of the public commitment.