Carlsberg’s ESG Report: Reducing the Carbon Output of Beer

As one of the world's largest breweries (based on revenue) Carlsberg has released its first integrated report.

Carlsberg’s report highlights the company's ESG achievements, providing transparency for investors and stakeholders.

The company is set on producing zero water waste whilst also providing a carbon footprint of zero.

What’s inside Carlsberg’s report?

Carlsberg Group's 2024 Annual Report highlights significant progress in ESG initiatives, as part of its 'Together Towards ZERO and Beyond' programme. 

The report states that the company has seen a 2% reduction in carbon emission at breweries since 2023 – a 58% decrease since 2015.

The company aims to have a zero farming footprint, forming the initiation of regenerative agriculture pilots in France, the UK and Finland – hoping to expand to Denmark in 2025.

Simon Boas Hoffmeyer, VP Sustainability & ESG at Carlsberg Group comments: “Our performance in 2024 is due in large part to the long-standing commitment to our ESG agenda, and our focus on creating impact through partnerships and collaboration. A prime example is in the area of packaging. 

“We could not achieve a 76% collection and recycling rate of our bottles and cans without years of hard work in industry-wide partnerships for efficient deposit return schemes and recycling infrastructure across our markets. This is really what we mean when we say Together Towards ZERO and Beyond.” 

It's estimated that in the US, 30 billion cans end up in landfill every year.  

To help manage this, Carlsberg has achieved a 76% collection rate and recycling rate for bottles and can – a 4% increase since 2019.

Carlsberg's packaging is 94% recyclable, reusable or renewable with an increase of recycled content in packaging to 43%.

The global brewery company is also establishing new water replenishment partnerships in Asia – replenishing 16% of water consumed at breweries in high risk areas in India, Cambodia, China and Laos.

For the first time, Carlsberg's financial and non-financial results are presented side by side, reflecting the company's commitment to integrating ESG into its business operations. 

Ulrica Fearn, CFO at Carlsberg Group explains: “We have made great strides in recent years to weave ESG into the fabric of the business, ensuring that this essential work gets properly measured, tracked and embedded into our business planning processes. 

“Launching our first combined Annual Report is a great milestone on this journey, and a key enabler for reaching our targets.”

Carlsberg & carbon capture

In 2021, Carlsberg joined forces with WWF to help restore seagrass meadows around the UK coastline.

The project allowed for consumers to donate to the project by buying special edition beer packs.

The project is part of Carlsberg’s Together Towards Zero sustainability strategy, which includes targets to halve carbon emissions at its breweries by 2022.

The need for this partnership is because seagrass can absorb CO₂ up to 35 times faster than rainforests – when the seagrass is massed together in meadows.

Other sustainable breweries

Another sustainable brewery company is Heineken, reducing its Scope 1 and 2 emissions by 34% since 2018.

Heineken's initiatives like switching from steam to hot water helped reduce the company’s water consumption by 20%.

By 2030, inline with the Paris Agreement, the company aims to replenish 100% of water in high-stress regions by 2030.

Similar to Carlsberg, Heineken offers recyclable packaging but at a rate of 99%,  including a goal of 50% recycled content by 2030.

Like Heineken,  stout brewery Guinness operates with 99.5% of its packaging being recyclable.

Guinness also reuses its kegs for up to 30 years, emphasising the importance of a circular economy. 

With ESG performance now fully integrated into its business planning, Carlsberg is setting a benchmark for sustainable brewing.

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