Climate change
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We're taking action from the lab to the patient to accelerate the delivery of net-zero, sustainable healthcare. Through our Ambition Zero Carbon strategy, we’re investing over $1 billion to decarbonise our business and value chain and we are also investing $400 million in our AZ Forest programme.
The interconnection of climate and health
The science is clear: climate change is increasing levels of ill-health around the world. The most vulnerable populations are the most impacted and health inequities are being worsened as a result of the climate crisis. This is adding pressure to health systems which are already under strain due to the rise in chronic diseases and ageing populations.1
At the same time, the healthcare sector is responsible for approximately 5% of greenhouse gas (GHG) emissions globally, with the majority of emissions coming from the supply and delivery of healthcare.2
Acknowledging the climate’s impact on health and healthcare’s impact on the climate, we are playing our part to support health systems become more sustainable, equitable and resilient.
We're taking steps to achieve our Ambition Zero Carbon targets to decarbonise our business and value chain and were one of the first companies globally to have our net zero pathway verified by the Science-Based Targets Initiative Net Zero Corporate Standard. We are following a hierarchy to eliminate, reduce, and substitute emissions across Scopes 1, 2, and 3 and aim to balance our residual footprint through high-quality, nature-based projects.
Our Ambition Zero Carbon targets
98% reduction
50% reduction
90% reduction
Decarbonising our operations and fleet (Scopes 1 and 2)
Energy productivity and renewables
We are reducing our energy consumption and have achieved a 20% absolute reduction in total energy consumption at our sites from a 2015 baseline.
We have also doubled our energy productivity (unit of revenue per unit of energy used at our sites) since 2015.
And, we are investing in new sources of renewable energy to accelerate health sector decarbonisation and reach science-based net zero by 2045.
Electric vehicles
We are transitioning our company-owned and leased vehicles to battery electric vehicles (BEVs) by the end of 2025, where technically feasible.
By reducing emissions from our fleet, we are benefiting the health of people and the planet. We procure renewable electricity certificates equivalent to the BEV electricity requirements.
Reducing F-gases
F-gases released during the production process of current pressured metered dose inhaler (pMDI) medicines accounted for 80% of our global Scope 1 F-gas emissions in 2024, making them a priority for mitigation.
We have significantly reduced F-gas emissions, for example by purging empty canisters in a vacuum instead of using a propellant. We are also using cryogenic technology to liquefy the F-gas emissions, enabling storage and removal for either incineration or recycling.
Decarbonising our value chain (Scope 3)
Over 95% of our total emissions are Scope 3 emissions from across the value chain.
Product use
An important element of our Ambition Zero Carbon strategy is to tackle 20% of our Scope 3 footprint by transitioning our pressurised metred dose inhalers (pMDIs) to a next-generation medical propellant HFO-1234ze(E), which has near-zero global warming potential (GWP).
pMDIs deliver essential, life-saving medicines for millions of people living with respiratory diseases worldwide, including vulnerable populations such as children and the elderly. Our transition to a near-zero GWP propellant is important to ensure continuity of patient care and access to essential pMDI medicines, while reducing impact on the planet.3,4
Supplier engagement
We are engaging with suppliers, encouraging them to adopt validated science-based targets (SBTs) through contract clauses. Our suppliers’ science-based, climate action targets support our decarbonisation goal to halve emissions by the end of 2030.
We are founding members of Energize, an initiative to increase access to renewable energy for pharmaceutical suppliers. In addition, we are part of the Activate programme, which aims to decarbonise active pharmaceutical ingredient (API) supply chains.
Through the Sustainable Markets Initiative (SMI) Health Systems Task Force, we are supporting suppliers to decarbonise, including in China.
By identifying emissions hotspots with sector partners, we are supporting system wide decarbonisation.
Product distribution and travel
Reducing our Scope 3 footprint from product distribution and business travel is key. To achieve this, we are switching key distribution routes from air freight to sea and prioritising more sustainable employee business travel.
We are also supporting innovation in alternative technologies and fuels.
Carbon removal
Through our global AZ Forest programme, we are planting 200 million trees across six continents with ecological experts and local partners to restore land and biodiversity.
Through this initiative, we are investing in nature-based solutions to absorb carbon dioxide from the atmosphere, helping to balance our residual emissions over time through carbon certificates.
AZ Forest projects also deliver multiple ecological, health, economic, and social co-benefits to the communities where the reforestation is located.
Collaborating across our sector and beyond
Through the Sustainable Markets Initiative Health Systems Task Force chaired by our CEO Pascal Soriot, we are partnering with healthcare leaders to accelerate the delivery of net zero health systems.
Climate adaptation and resilience
Understanding the potential impacts of climate change is critical for our workforce, local communities, suppliers and partners as we continue to deliver medicines to patients around the world.
We have followed guidance from the Taskforce on Climate-related Financial Disclosures (TCFD) to address the physical and transitional risks and opportunities presented by climate change. For physical risks, our climate adaptation strategy is aligned to a high-emission scenario for significant sites which supports us to build resilience. For transition risks and opportunities, our climate strategy is designed to address a low-carbon scenario and a pathway aligned with our science-based targets of limiting global warming to 1.5°C.
Best practices in target setting
We were one of the first seven companies to have our climate targets verified by the Science-Based Targets Initiative's Net-Zero Corporate Standard. We were also the first pharmaceutical company to join all three of the following Climate Group initiatives:
References
1. Romanello M. et al. The 2024 report of the Lancet Countdown on health and climate change: facing record-breaking threats from delayed action. Published online November 9, 2024, Available at: http://www.thelancet.com/journals/lancet/article/PIIS0140-6736(24)01822-1/fulltext [Accessed: April 2025].
2. Romanello M. et al. The report of the Lancet Countdown on health and climate change: health at the mercy of fossil fuels. Published online October 25, 2022, Available at: http://www.thelancet.com/ journals/lancet/article/PIIS0140-6736(22)01540-9/fulltext [Accessed: April 2025].
3. World Health Organization Model List of Essential Medicines – 23rd List, 2023. In: The selection and use of essential medicines 2023: Executive summary of the report of the 24th WHO Expert Committee on the Selection and Use of Essential Medicines, 24 – 28 April 2023. Geneva: World Health Organization; 2023.
4. Bell J, et al. An Assessment Of Pressurized Metered-dose Inhaler Use In Countries In Europe And The Rest Of The World. Abstract 24041. The International Primary Care Respiratory Group IPCRG 2024 World Conference, 9-11 May, 2024. [Online]. Available at: http://www.ipcrg.org/24041. [Accessed April 2025].
Veeva ID: Z4-74569
Date of preparation: May 2025