Progress against 2030 targets

Low-carbon society

Target text – detail

Target

2019 Baseline*

2021 Status

Support our customers in reducing their annual CO2e emissions by >100 million tons CO2e***

100 million tons CO2e/year

n/a

11.5 Mt

Achieve ABB carbon neutrality** by 2030;
reduce own emissions at least 80%

80%

668 kilotons CO2e

39% (28% in 2021 alone)

Deploy a systematic approach on CO2 emissions reduction with impactful suppliers

n/a

6,400 kilotons of CO2e

The target for the reduction of upstream Scope 3 emissions is not yet defined. The production of steel, aluminum, copper and plastic materials make up the bulk of the emissions in our supply chain. In 2022, we will pinpoint a selection of our main suppliers to engage with to reduce the GHG emissions in our supply chain. Reducing GHG emissions in the supply chain for these materials can be achieved by switching to a higher recycled content, a low-carbon primary material, or low-carbon transportation between tiers of suppliers.

*

where a baseline applies

**

Approach to reporting

***

Savings in the year 2030 from solutions provided to customers 2021-30

Preserving resources

Target text – detail

Target

2019 Baseline*

2021 Status

Cover at least 80% of ABB's portfolio of products, solutions and services with circularity approach

80%

n/a

In 2021, we defined our circularity approach that applies to all four Business Areas at ABB. We also developed a qualification/scoring system to evaluate our products, solutions and services against our circularity approach. In 2022, we will calculate the baseline and will implement the methodology across the company. The value of sales of products, solutions and services covered by our circularity approach is targeted to represent 80% of total sales by 2030. The qualification process will cover all four phases of the product lifecycle (supply - manufacturing - use - end of life).

Zero waste to landfill while taking measures to prevent waste generation

Zero waste to landfill where compatible with local conditions

17.6 KT (equivalent to 8.5%)

12.6 KT (equivalent to 6.9%)

*

where a baseline applies

Social progress

Target text – detail

Target

2019 Baseline*

2021 Status

Zero harm through LTIFR

0

0.246

0.142

Increase proportion of women in senior management roles

25%

11.70%

16.30%

Top-tier employee engagement score (out of 100)

n/a

71

74

80% of supply spend in focus countries covered by Sustainable Supply Base Mgmt (SSBM) - covering topics from human rights to environment

80%

n/a

Using a risk-based approach, an interim 2025 target has been set, focusing on high-risk suppliers in focus countries**

Interim target for 2025 (spend on high-risk suppliers in focus countries**)

80%

n/a

27%

Common program for community engagement

Common programs in place

n/a

Common ABB program to be defined in 2022

*

where a baseline applies

**

Argentina, Brazil, Bulgaria, China, Colombia, India, Indonesia, Malaysia, Mexico, Peru, Poland, Saudi Arabia, South Africa, Thailand, Turkey, Vietnam

Integrity and transparency

Target text – detail

Target

2019 Baseline*

2021 Status

Include Supplier Code of Conduct (CoC) compliance in procurement T&Cs

n/a

n/a

Prepared stronger integrity and sustainability clauses for agreements, terms & conditions with counterparties to include:

  • clauses with regards to acknowledgement of ABB's Supplier Code of Conduct
  • agreement to comply with anti-bribery, anti-corruption (ABAC) and human rights laws and right to audit

Apply a CoC-based approach to projects and counterparties

n/a

n/a
  • New procedures addressing both joint integrity and human rights associated with third party management
  • Training of our internal ABB stakeholders on the new process
  • Start testing compliance with the new process

Management sustainability incentive

Yearly rotating target

n/a
  • Safety target by Division
  • ABB CO2 Scope 1&2 action plan by Division as a "boundary condition"
  • Achievement against 2021 targets set has been assessed by the Board of Directors' Governance and Nomination Committee and Compensation Committee and are considered as reached

*

where a baseline applies