GlobalData offers a comprehensive analysis of Standard Motor, providing key insights into its Environmental, Social, and Governance(ESG) factors. By closely monitoring and aggregating mentions of climate change and associated ESG keywords, GlobalData delivers valuable information on Standard Motor’s ESG performance. GlobalData’s company profile on Standard Motor offers a 360-degree view of the company, SWOT analysis, key financials, and business strategy including insights on ESG implementation among other information. Buy the report here.
Standard Motor has set a goal to achieve net-zero total Scope 1 and Scope 2 greenhouse gas (GHG) emissions by 2050. The company recognizes the importance of addressing climate change and is assessing the resiliency of its strategy to climate-related risks and opportunities. Standard Motor is committed to expanding its parts coverage to include a broader product mix in categories such as electrification and connectivity to meet the growing demand for alternative energy vehicles. In 2022, the company reported 6,572.6 MTCO2e in scope 1 GHG emissions and 28,409.2 MTCO2e in scope 2 GHG emissions, totaling 34,981.8 MTCO2e for Scope 1 & 2. The company aims to achieve a 25% reduction in total Scope 1 and Scope 2 greenhouse gas (GHG) emissions by 2030 compared to the 2019 baseline year. Additionally, by 2040, the goal is to achieve a 67% reduction in total Scope 1 and Scope 2 GHG emissions compared to the 2019 baseline year.
From 2022 onwards, the company has successfully transitioned approximately 38% of its sales fleet vehicles. This transition is estimated to result in an annual reduction of approximately 284.6 metric tons of carbon dioxide equivalent (MT CO2e), reflecting a 44% decrease compared to the emissions from the previous vehicles. The company anticipates completing this transition by 2024, further achieving an estimated annual reduction of approximately 476.9 MT CO2e based on miles driven in the past year, representing a 44% reduction compared to the emissions from previous vehicles. The company is pleased to announce a reduction in the total intensity of Scope 1 and Scope 2 greenhouse gas (GHG) emissions for 2022. This reduction amounts to 11% compared to 2021 and a significant 30% compared to the 2019 baseline year. The company's emission control system products, designed to reduce emissions and improve fuel economy, and alternative energy products utilizing cleaner burning fuels, are well positioned to benefit from the transition to a low-carbon economy. Standard Motor believes that regulations on vehicle emissions and fuel efficiency have had a favorable impact on its business and sales of ignition, emission control, fuel, and safety-related system parts.
To achieve its net-zero targets, Standard Motor has implemented various initiatives. It has formed an environmental impact team, appointed environmental champions at its principal facilities, and implemented an environmental scorecard system to track its Scope 1 and Scope 2 GHG emissions. The company has also invested in an ESG software solution to accurately capture and track its emissions and engaged a renewable energy consultant to develop a roadmap for GHG emissions reduction.
Standard Motor is committed to waste management and recycling initiatives to reduce waste generation and increase recycling. It has implemented packaging optimization initiatives and transitioned to reusable packaging materials, resulting in reductions in transportation costs, packaging costs, fuel consumption, and carbon emissions. The company has also focused on remanufacturing key categories within its product portfolio, saving energy and reducing waste.
Overall, Standard Motor is taking proactive steps to address its carbon footprint and achieve its net-zero targets. The company is committed to reducing emissions, improving energy efficiency, and promoting sustainability throughout its operations.