Pact Group has committed to reducing its greenhouse gas emissions by 50% in Australia and New Zealand by 2030.

Pact’s target relates to the emissions the company is directly and indirectly producing. Direct, or scope 1 emissions, covers sources that Pact either owns or controls such as the gases generated at its facilities from furnaces, boilers, heavy machinery and LPG forklifts.

Indirect, or scope 2 emissions, are emissions that Pact causes indirectly from purchasing electricity from the grid to power its facilities.

Pact Group CEO and Managing Director Sanjay Dayal said: “Our business activities have a direct impact on the environment and as a leader of the circular economy, it is our responsibility to ensure we contribute positively to the global action on climate change. Our 50% reduction target also means we are aligning ourselves with the expectations of our suppliers, customers, and society.”

Pact will initially focus on reducing emissions at its operations in Australia and New Zealand, where the company has its biggest footprint.  Pact’s greenhouse gas emissions reduction target will expand to include its operations throughout the Asia Pacific in the coming years.

The emissions reduction target is the latest in Pact’s drive for a more sustainable future.

“Our vision is to lead the circular economy with a focus on investing in new plastic recycling facilities to divert waste from landfill and to upgrade our manufacturing plants to increase the amount of recycled materials in our packaging and industrial products,” Mr Dayal said.

Pact currently operates five plastic recycling facilities in Australia, including the recently opened PET recycling plant in Albury-Wodonga which has the capacity to recycle up to 1 billion 600ml beverage bottles a year.

A second PET recycling facility with similar capacity is under construction in Melbourne while a mixed plastics recycling plant is also being constructed in Melbourne.

In addition, Pact is investing $76 million to install new technology and equipment at its packaging manufacturing facilities around Australia to have the capability and capacity to increase the recycled content in retail products such as milk bottles and food packaging.

Pact recently announced it is establishing a strategic partnership Woolworths Group that will see Pact manufacture and supply recycled packaging for Woolworths’ own brand range, including milk bottles, meat trays, fruit and vegetable punnets, and beverage bottles.

It is estimated that using recycled resin for Woolworths’ packaging instead of virgin (newly made) resin will decrease annual carbon emissions by almost 25,000 tonnes – which is the equivalent of planting more than 37,000 trees – and save around 1.2 million kilolitres of water a year.

“Pact has an unwavering focus on ensuring our products, services and all related activities minimise harm to the environment and consider the needs of future generations,” Mr Dayal said.