Our approach and targets
We are actively working towards reducing both our operational and supply chain emissions, as well as managing our near and long-term climate-related risks and building climate resilience.
We are focused on reducing Scope 1 and 2 emissions from activities within our direct control and reducing our Scope 3 emissions through engagement and partnership across our supply chain.
Our long-term aim, supported by a number of climate-related targets, is to strengthen the climate resilience of our operations and help build a more resilient food system in Australia.
Our climate-related targets are:
- deliver net zero Scope 1 and 2 greenhouse gas emissions by 2050.
- reduce combined Scope 1 and 2 greenhouse gas emissions by more than 75% by the end of FY30 (from a FY20 baseline)1
- maintain sourcing of 100% renewable electricity2
- achieve Scope 3 supplier engagement target (SET) of: 80% of suppliers by spend (covering purchased goods and services, upstream transportation and distribution, capital goods, waste generated in operations, and upstream leased assets) to have science-based emissions3 reduction targets by the end of FY29.
- deliver 30.3% reduction in Scope 3 Forest, Land and Agriculture (FLAG) sector emissions by the end of FY30 (FY24 baseline year).
In 2026, Coles released its first
Climate Transition PlanView PDF, file size 2.45MBOpens in new window
which outlines our approach and the actions we are taking in relation to our climate-related risks and opportunities; reducing emissions and improving resilience across our own operations; decarbonising and strengthening resilience across our value chain; enabling climate transition through internal and external mobilisation; and broadening sustainability priorities including nature and circularity.
Climate Transition Plan, View PDF, file size 2.45MBOpens in new window
Read our Climate Transition Plan
hereClimate Transition Plan, View PDF, file size 2.45MBOpens in new window.
In FY26, Coles has reported in accordance with Australia’s mandatory climate-related financial disclosure regime under the Australian Sustainability Reporting Standards. Our climate-related financial disclosures are included in our Annual ReportView PDF, file size 16MB, covering our climate-related risks and opportunities, governance, risk management, metrics and targets.
1 Coles does not plan to rely on the use of carbon offsets for the achievement of our FY30 Scope 1 and 2 emissions reduction target.
2 Renewable electricity percentage includes voluntary LGC surrendered by us, RPP, JRPP and onsite solar within Coles’ operational control. The JRPP is only applicable in the Australian Capital Territory, where the electricity supply is legislated to be 100% renewable. For all other Australian jurisdictions, the RPP is used to represent the renewable content of grid electricity unless specific renewable procurement (e.g. LGC surrender) is demonstrated.
3 Coles uses the SBTi’s Supplier Engagement Guidance to assess whether a supplier’s emissions reduction target is science-based. This guidance defines the key criteria that includes, but is not limited to: a) target boundary (coverage of scopes, emission types and subsidiaries), b) target coverage (≥95% of Scope 1 and 2 emissions, ≥67% near-term Scope 3 and ≥90% long-term Scope 3), c) target type (absolute, intensity, or engagement), d) base year (≥2015), e) target year (near-term maximum 10 years and long-term maximum 2050), and f) target reduction/ambition (Scope 1 and 2 1.5°C, Scope 3 near-term well below 2°C and long-term 1.5°C).
