Alcatel-Lucent Enterprise Sets Ambitious Net-Zero Emissions Target for 2050, Following SBTI Recommendations

ALE (Alcatel-Lucent Enterprise), a leading provider of communications, networking, and cloud solutions tailored to customers’ industries, has announced it is pursuing a new strategy to actively address climate change. Aligning with the Science Based Targets Initiative (SBTI), ALE has committed to supporting the target of limiting global warming by 1.5 degrees Celsius. To accomplish this, ALE must reduce greenhouse gas emissions by 2030 across Scopes 1, 2, and 3¹ by 40% using ALE 2022's emissions as a baseline. The ultimate objective is to reach net zero emissions by 2050.

This commitment is part of ALE’s transformation from Corporate Social Responsibility (CSR) to Environmental Social and Governance (ESG) across all levels of the organization. A key strategy change is the increase in governance for ESG across the company and its culture.

An ESG Council, composed of members from both the Executive Management Team (EMT) and the ESG Development Committee, has been created to monitor initiatives and track progress. The Council is the cornerstone of ALE’s commitment to ESG and will ensure that best practices are being implemented and the organization stays on track to reach the 2050 target.

As part of the evolution from CSR to ESG, ALE performed a double materiality assessment to identify the areas of the organization which impact the world the most to understand how global sustainability trends impact them. This was performed in line with the Corporate Sustainability Reporting Directive (CSRD) issued by the European Union. From there, ALE set meaningful targets for 2030 and beyond.

The new strategy encompasses the following eight pillars, the first of which is the focus of the SBTI recommendations:

1. Climate change mitigation
2. Product environmental adaptation
3. Human rights
4. Labor practices and employee development
5. Diversity, equity and inclusion
6. Ethics, transparency and compliance
7. Data privacy and security
8. Strategy and risk management

Rasheed Mohamad, Global Revenue and Operations Officer, Alcatel-Lucent Enterprise, comments: “The evolution of our approach to sustainability reflects our understanding and commitment to the impact of not only our organization but to the wider industry and the world. To make real change, we must embed sustainability into all elements of our organization and create a culture of accountability and inclusivity. Our targets are intentionally ambitious as we seek to lead by example and drive meaningful action against climate change.”

¹ Scope 1 are those direct emissions that are owned or controlled by a company, whereas scope 2 and 3 indirect emissions are a consequence of the activities of the company but occur from sources not owned or controlled by it. Source: https://www.nationalgrid.com/stories/energy-explained/what-are-scope-1-2-3-carbon-emissions#:~:text=Essentially%2C%20scope%201%20are%20those,owned%20or%20controlled%20by%20it.

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