The LVMH (LVMH, Paris) Carbon Fund has achieved its objective for 2018, raising 11.3 million euros in financing for 112 projects designed to control and reduce the Group’s greenhouse gas emissions, the company said in the statement.
This result is that LVMH doubled the price per metric ton of CO2 generated from 15 to 30 euros in 2018. By mechanically increasing the carbon contributions of each Maison, LVMH signals its intent to accelerate initiatives to reduce CO2 emissions.
-The success of our Carbon Fund once again underlines the major and decisive commitment of LVMH management and all our teams to help protect the environment and fight climate change. The LIFE environmental program is a top priority for all our employees. We thank them for their engagement and we continue to count on them to help us achieve all our environmental targets for 2020,” said Antonio Belloni, LVMH Group Managing Director.
The 112 projects deployed in 2018 have eliminated nearly 2,500 CO2 equivalent metric tons of emissions annually. This is equivalent to the annual emissions of 1,600 European households.
Created in 2016, the LVMH Carbon Fund is a pillar in the Group’s environmental policy, which has announced a 25% reduction in CO2emissions by 2020 as one of its main objectives. This aligns the Group with the 2°C climate target agreed in the COP21 climate conference in Paris.
The annual contribution of each LVMH Maison is calculated by multiplying the greenhouse gas emissions from its activities by the carbon price set by the Group. The amount must then be invested the following year in eligible projects designed to reduce these emissions.
The investments were in all the Group´s locations: 29% in France, 34% in Europe (excluding France), 15% in Asia, 6% in Japan and 16% in the United States.
The projects included for example:
- 80% of the projects concern energy efficiency: LED relamping, building insulation, upgrading to install more efficient air-conditioning and heating systems, energy consumption monitoring systems;
- 13% of the projects enable production of renewable energy;
- 6% of the projects concern other areas (purchasing of electric tractors, for example);
28 Maisons are actively engaged in this program: Acqua di Parma, Belvedere, Benefit, Berluti, Bulgari, Celine, Chandon India, Christian Dior Couture, DFS, Fendi, Fred, Fresh, Givenchy, Glenmorangie, Guerlain, Hennessy, Hublot, Le Bon Marché, Loewe, Loro Piana, Louis Vuitton, LVMH Fragrance Brand, MHCS, Parfums Christian Dior, Royal Van Lent, Sephora, TAG Heuer and Zenith.