Tapping Into the Net Zero Future

The impact of the beer industry on our planet is, unfortunately, undeniable and it is not limited to just carbon emissions, land-use, or energy consumption. In fact, the beer industry’s water-intensive nature has become a significant issue in Mexico as droughts have become more frequent and severe. The National Water Commission reported that eight of Mexico’s 32 states experienced moderate to extreme drought in July, resulting in more than half of its municipalities facing water shortages. As a result, brands have taken steps to reduce their use of water, and create value for the communities. For example Heineken, a leading player in the industry, agreed to temporarily transfer the water it does not use to municipalities, along with a delivery of water from its wells equal to about 20% of the brewery’s consumption.

According to the Carbon Trust report, the global beer industry annually emits 298.3 million tonnes of CO2. This equals the emissions of about 63 million passenger vehicles driven for a year!

Why hurry?

The global food system is responsible for approximately one third of global greenhouse gas emissions caused by human activity, with most of the emissions coming from the supply chains of food and beverage companies, as stated by the Climate Action 100+. When you think about the fact that Scope 3 emissions accounted for 92% of Heineken’s total carbon footprint in 2021, it is obvious that beer brands need to come up with solutions that cover the entire value chain of their products to help save the planet as well as meeting the global ambition expected for corporate emissions reductions. Some analyses even suggest that even if all non-food system emissions immediately ceased, emissions from the food system alone would likely exceed what is needed for limiting global warming to 1.5-degrees. So it is believed that a net-zero future is not possible without concrete action from food and beverage companies.

The beer industry should feel the urgency to take action, since it is reported that achieving the Paris Agreement goal of limiting global temperature rise to no more than 1.5 degrees above pre-industrial levels will not be possible without concrete action and supply chain management from companies that produce, source, manufacture, distribute, and sell food and beverage products. With sustainability taking over the world, it is time for beer brands to take bold steps towards sustainability and create a better, and greener future for all.

“Smart disruptors improve their products and drive upmarket.”

Enough with the bad news. Now let’s dive into the opportunities and possibilities that sustainable transformation presents for the industry, as the late founder of disruptive innovation theory Clayton Christensen once said, “Smart disruptors improve their products and drive upmarket.”

One example of a brand taking steps towards a net zero future is Molson Coors. The company has recently renovated its Golden Brewery with a focus on sustainability, known as G150, a nod to the upcoming 150th anniversary of Coors Brewing’s founding. This renovation is aimed to reduce the facility’s energy and water usage by 20% and waste by 35%, while also reducing the amount of water it uses by 100 million gallons annually. 

Did you know that Pubinno, the partner of Molson Coors, has saved more than 650 million  liters of water so far. 

Besides innovative technologies aimed at reducing the waste materials, a more efficient way to minimize the environmental impact of the beer industry lies in preventing the waste in the first place. In order to do that, 3 of the top 10 brewers in the world are partnering with Pubinno and seizing the opportunity its end-to-end, connected product ecosystem presents. Through the use of Pubinno’s advanced, patented technology leveraging AI and Robotics, the Smart Tap reduce the waste of beer up to 20%, manage their inventory efficiently thanks to the real-time data Pubinno offers, and make smarter and sustainable purchasing decisions.

The growing movement towards sustainable practices in the beer industry is not only necessary but also inevitable. As brands need to take accountability for their impact on the environment and work towards creating a more sustainable future, they realize they are not just doing this because of the need to survive, but also because there is significant opportunity. With the sustainability and green technology market on track to hit $51 billion by 2029, and sustainable industries on track to reach a 20.6% CAGR, it is clear that sustainability is taking over the world. It is time for beer brands to join this movement and take bold actions to protect our planet.

We have covered just a scope of examples of the actions and steps that beer brands can take to contribute to a better future for the next generations. Stay tuned to find out more and visit pubinno.com

Cheers! 🍻