Submitted by Viatris
As a healthcare company with a global reach, we are committed to taking action against climate change, which poses health dangers on a worldwide scale. Our work to reduce the effects of climate change helps improve the health of those we serve, build resilience in our operations and protect the communities where we live and work.
Setting Science-Based Targets
The SBTi independently assessed and approved our greenhouse gas (GHG) emissions targets in line with its strict, globally recognized criteria in 2022. Science-based targets provide clearly defined pathways to reduce GHG emissions in line with the Paris Agreement’s goal of limiting global warming to 1.5°C of preindustrial levels. Having the targets validated and approved by the SBTi provides credibility to the relevance of our targets as we continue to work to do our part to fight climate change. The SBTi classified Viatris’ scope 1 and 2 target ambition and has determined that it is in line with the 1.5°C trajectory.
To establish our science-based targets, we collaborated with internal and external stakeholders over an eight-month period to review and validate the data required. The process included three phases:
We are also working to reduce carbon emissions across our supply chain. We work across all three of our freight transportation modes - road, ocean and air - to that end. Transport efficiency is a primary objective. We focus on full truck loads and double stacking of pallets where possible. Full truck loads are considered the most efficient mode of transit. The sourcing of transportation providers considers sustainability as a factor. Our key logistics suppliers have sustainability programs and are active in reducing GHG emissions. To enable the shift to ocean and road freight - which is less GHG intensive than air - we have been building in more time for transportation into our processes, which hinges on good demand data and forecast planning. We have a rapid response system and have established a standard operating procedure to make ocean freight our standard mode. In 2022, road and ocean represented 89% of all transport. As timely access to medicine is the priority, there are exceptions when speed is of the essence.
Building Readiness via Climate Scenario Analysis
Building readiness and improvement where needed starts with information. Viatris concluded its climate scenario analysis in 2022 to re-assess and better understand our exposure to physical and economic risk drivers based on different climate change scenarios. With a global operational presence and supply chain, understanding how the exposure to climate-related events looks across geographies and to what extent locations are vulnerable to these impacts helps us understand our associated risks and opportunities. Using this information will help inform future business strategies. Our areas of focus have been protecting and enabling stable access to water, helping protect public water resources and maintaining operations during extreme weather events. The climate scenario analysis confirmed the relevance of these activities.
A key strategy to achieve our GHG-reduction goal is to take advantage of cost-effective renewable electricity. The supply of renewable electricity and low-carbon fuels looks very different across the world, which informs our approach in different geographies. Examples of actions implemented across our sites includes the following:
Continually working to make improvements, finding ways to be more efficient and optimizing processes and operations are key to reducing environmental impact overall and to reducing the impact on and from climate change. Viatris’ sciencebased targets confirm and underscore the importance of this approach, which has always been a focus of our environmental standards and management system. Some examples from 2022 include:
We have reported to the CDP climate program since 2017 and make our climate and water responses available on CDP’s public response web page to better inform stakeholders.
2022 CDP Scores
Water security B
Climate change B–
Introducing Cleaner Fuel Sources in Our India Facilities
In 2022, we introduced heat pump technology at two facilities: the OSD facility in Chatillon, France, and the Injectable facility in Bangalore, India. These systems enable us to transfer waste heat from one process to support another, thereby minimizing the need for boiler-supplied heat. The two systems combined to reduce our carbon emission by approximately 1,170 mt.
Viatris Inc. (NASDAQ: VTRS) is a global healthcare company empowering people worldwide to live healthier at every stage of life. We provide access to medicines, advance sustainable operations, develop innovative solutions and leverage our collective expertise to connect more people to more products and services through our one-of-a-kind Global Healthcare Gateway®. Formed in November 2020, Viatris brings together scientific, manufacturing and distribution expertise with proven regulatory, medical, and commercial capabilities to deliver high-quality medicines to patients in more than 165 countries and territories. Viatris’ portfolio comprises more than 1,400 approved molecules across a wide range of therapeutic areas, spanning both non-communicable and infectious diseases, including globally recognized brands, complex generic and branded medicines, and a variety of over-the-counter consumer products. With more than 38,000 colleagues globally, Viatris is headquartered in the U.S., with global centers in Pittsburgh, Shanghai and Hyderabad, India. Learn more at viatris.com and investor.viatris.com, and connect with us on Twitter at @ViatrisInc, LinkedIn, Instagram and YouTube.
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