50% absolute reduction in CO2 emissions by 2027 based on a 2021 baseline

Directly invest in the local environment of GANNI’s suppliers to promote biodiversity by 2025

In 2023, climate action remained one of our primary focuses at GANNI. With our new GAMEPLAN 2.0 strategy, we continue to map and measure our carbon footprint, opting for proven lower-carbon alternative materials and intensifying our focus on decarbonisation through our 7 by 27 strategy (more on that later!). Additionally, we're concentrating on carbon insetting, involving direct investments and collaboration with our supply chain. This includes implementing solar panels on factory roofs to reduce emissions. We've also initiated biodiversity projects with our manufacturers to enhance the wildlife and biodiversity around the factories. However, we're exploring ways to scale up such initiatives. In 2023, this work permeated GANNI, thanks to the efforts of our Carbon Squad.

In 2022, our emissions across scopes 1, 2, and 3 experienced a notable rise, marking a 16% increase from our 2021 baseline, reaching a total of 19,061.17 tCO2e. Much of this increase can be attributed to expanding our operations into additional locations, including China, which internationalised our supply chain and necessitated an increase in transportation logistics. Simultaneously, our business travel increased as it was the first year with unrestricted travel since the Covid-19 pandemic. On the other hand, we celebrated a reduction in the footprint of our used materials, which was lowered by 2% despite the total purchased volume in kg increased by 14%. While this reduction may seem marginal, materials constituted roughly half of our total carbon footprint then, making emissions reduction in this category a great focus for us. This reduction reassured us of our commitment to preferred and innovative, low-emission materials over conventional ones. Similarly, the emission intensity of our packaging decreased as we opted for recycled content for all of our polybags.

In 2023, our emissions across scopes 1, 2 and 3 amounted to 15,514.88 tCO2e, resulting in a 20% reduction compared to last year, and a 7% decrease to our 2021 baseline. The overall positive result was achieved thanks to a combination of factors. Firstly, the carbon footprint for our purchased materials dipped below 2022 and 2021 levels. Since materials constituted almost 60% of our total carbon footprint in 2023, reductions in this area can significantly influence our overall impact. Additionally, we achieved a decline in both upstream and downstream transportation, a change made possible not only by our decarbonisation efforts but also by our commitment to collect more granular data allowing for a more detailed analysis of our environmental impact. For example, in 2023, we tracked more detailed information about our transportation and distribution processes, leading to methodological 

improvements and more accurate results. Last but not least, we're glad to share that emissions related to the use phase of our garments have decreased. Similar to the above, this progress owes some credit to the finer details in our data, which refined our calculation methodology and eliminated some of the assumptions used in previous years.

Overall, 2023 reassured us of our commitment to our ‘Preferred’ materials strategy and underscored the importance of detailed data in our decarbonisation journey. Granular data not only enables the use of more accurate methodologies but also reduces the need for assumptions to fill in data gaps persistent in the fashion industry. Most importantly, detailed data enhances our understanding of our operations and helps us identify emission-heavy business categories. This, in turn, equips us to make evidence-based decisions and sheds light on our next decarbonisation projects. Moving forward, we will remain committed to improving our data to make better choices every day and work towards our goal of reducing our absolute emissions by 50% by 2027.

GOAL 1

Launch GANNI’s 7 by 2027 plan to reduce carbon emissions 50% by 2027

GANNI has committed to a very ambitious 50% absolute reduction in carbon emissions by 2027, from a 2021 baseline. This is a pretty outlandish goal for a company that is still growing. Still, it's extremely important for us to rally around a moonshot goal and do our absolute best to make it a reality because it’s what is needed and necessary to reach the 1.5 degree target set out in the Paris Agreement. We won’t achieve this goal alone; we are heavily reliant on legislation, research, data and systemic level change. We also can’t wait around for this to be in place, so we need to get creative and work with what we have.

Thinking outside the box, in 2022, we developed the 7 by 27 strategy, which encompasses seven key focus areas. We believe that by centring our efforts on these 7 workstreams, we have a real chance of achieving the 50% absolute reduction goal. 

GOAL 2

Develop and roll out a carbon removal scheme for unavoidable scope 1 & 2 emissions in 2023

In 2023, implementing a carbon removal scheme wasn't a priority for us, and the same holds for 2024. Our primary commitment remains directed towards reducing our emissions and decarbonising our value chain, aligning with our goal of achieving a 50% absolute emission reduction by 2027, based on a 2021 baseline. As we progress, we will explore and introduce carbon removal schemes specifically for the emissions we find challenging to decrease or avoid.

GOAL 4

Scale and evolve carbon insetting to 5 more suppliers by 2025

GOAL 5

Pilot 2 measurable biodiversity projects in Portugal by 2023