GHG Emissions, Finance, Sourcing Renewables - July 22, 2022
PepsiCo Closes Green Bond
PepsiCo announced the closing of a new $1.25 billion 10-year green bond to fund eligible green projects.
The new green bond is PepsiCo's second since 2019 with $858 million in equivalent proceeds from the $1 billion first green bond already allocated to eligible green projects across six continents in categories of sustainable plastics and packaging, decarbonization of the operations and supply chain, and water sustainability.
"We were one of the first food and beverage corporations to issue a Green Bond and that initial funding has played a critical role in our sustainable transformation so far," said Jim Andrew, Chief Sustainability Officer of PepsiCo in a statement. "While tackling the climate crisis requires a collaborative effort, it is clear that the private sector must play a leadership role. Our new green bond will be pivotal to channeling investment into the critical areas required to build a more sustainable and resilient food system."
The funding can be allocated to adopt regenerative agriculture practices across PepsiCo's supply chain, including s farmer training, practices to reduce fertilizer and watershed enhancement and improvement projects, adding on-site sustainable energy generation such as solar installations, investments in greener buildings that receive third-party verified certifications, energy efficiency and/or reducing GHG emissions at facilities and upgrading of vending and cooling equipment. The funding may also be used towards the expansion of cleaner transportation, such as EVs.