Pepsi Curbs Fuel Consumption, Avoids CO2 Emissions

Pepsi truck

by | Nov 3, 2014

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Pepsi truckPepsiCo has kept 55,000 metric tons of carbon dioxide out of the atmosphere by reducing fuel consumption in its transportation fleet by 24 percent since 2010, and is looking to further reduce fuel consumption for its trucks and vehicles, according to Green Century Capital Management, which has been in discussions with Pepsi about its climate change efforts.

In addition, Green Century says Pepsi has outlined several new initiatives to reduce the carbon intensity of its trucking fleet, which involve working with suppliers to seek lower carbon fuel alternatives.

The US transportation sector produces about 30 percent of the nation’s carbon emissions.

To fuel its trucks, Pepsi purchases oil from a variety of sources — including oil strip mined from the Alberta tar sands. Currently, most refining and processing plants combine fuel from all sources into their final product, meaning that changes need to be made along the supply chain to make lower carbon fuels available.

Pepsi’s plan includes implementing a formal request for proposal process seeking low carbon fuel alternatives from its suppliers. In addition, Pepsi will work through the Business for Social Responsibility’s (BSR) Future of Fuels program on finding ways to reduce the carbon intensity of its fleet.

Concerned about the risks associated with extracting tar sands, Green Century filed a shareholder proposal urging Pepsi to avoid purchasing fuel sourced from tar sands wherever possible. After several weeks of negotiations, Green Century withdrew its shareholder proposal in recognition of the efforts Pepsi had underway to identify tar-sands free fuel options.

In September, Pepsi set a goal that by 2020 all of its future point-of-sale equipment (coolers, vending machines and fountain dispensers) purchased in the US will be hydroflourocarbon-free.

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