Best Buy Co.
At a Glance
Industry
Retail and Apparel
Project Types
Clean and Renewable Energy, Data Analysis, Goals/Targets, Supply Chain, Sustainability and Energy Management Strategy
Year
2018
Location
Richfield, MN
Goals
To advance its sustainable products workstream, Best Buy worked to develop a carbon and energy reduction goal based on the sale of energy efficient and energy reducing products. EDF Climate Corps fellow Daniel Katzenberger was engaged to help shape a goal that conforms to the Science-Based Targets Initiative. To accomplish this, Katzenberger needed to research SBTi goal-setting requirements, validate Best Buy’s approach and methodologies, and help create initial reporting and communication tools required for goal delivery.
Solutions
Katzenberger helped finalize Best Buy’s Scope 3 GHG emissions calculations, where it was determined that emissions from “Use of Sold Products” are the company’s largest contributor to GHG emissions. This information was used to draft Science-Based Targets that included Scope 1, 2 and 3 emissions. With the high-level target set, he moved on to establish supporting goals and measurements. For operational GHG emissions (Scope 1 and Scope 2), he determined that the short-term (3-year) and medium-term (12-year) targets could be met by addressing primarily Scope 2 (electricity) emissions. Longer-term (2050) carbon neutrality goals can be met by electrification of all Scope 1 energy end uses. For Scope 3, specifically for Use of Sold Products, a combination of efforts would be needed to meet Science-Based Targets, including working with manufacturers, vendors and Best Buy merchants to improve product efficiencies; working with utilities to improve the carbon efficiency of the electricity grids; and educating Best Buy employees to in turn help consumers purchase the most energy-efficient products.
Katzenberger also analyzed operational energy use patterns and GHG emissions of all of Best Buy’s properties and calculated the carbon impacts of in-progress energy efficiency projects, such as LED lighting retrofits and HVAC equipment replacement. This analysis will help Best Buy project future operational (Scope 1 and Scope 2) GHG emissions. It was determined that a combination of energy-efficiency projects, and on-site and off-site renewable energy and grid efficiency improvements would be needed to meet both existing carbon goals and new Science-Based Targets.
For on-site renewable electricity, specifically rooftop solar, Katzenberger completed life-cycle financial analyses for the Best Buy 60-million-square-foot owned and/or leased rooftop. He determined a prioritization of the projects based on building ownership, lease terms, financial returns, carbon impacts, and reputational value, and helped draft a capital allocation request for these solar projects.
Potential Impact
The EDF fellow’s work demonstrated that if Best Buy set and met a SBTi target by 2030, the reduction of Scope 1 and Scope 2 emissions by 2030 would equal more than 250,000 MTCO2e