With its vibrant and influential environment, the fashion industry is a powerhouse of creativity that drives economic growth. This evolving industry faces a significant environmental crisis, emitting around 2-10% greenhouse gas (GHG). This has called for Decarbonization, an immediate solution to the pressing issue of carbon emissions in the fashion industry.
What Are Carbon Emissions In The Fashion Industry?
Carbon emissions in the fashion industry originate from various stages of the production and consumption cycle. For this, decarbonization is crucial to mitigate the carbon emissions in the fashion industry. To understand carbon emissions in the fashion industry, it is important to understand the source of these emissions and how to tackle them through decarbonization.
Raw Material Production
Nitrous oxide, a potent greenhouse gas, is released from the use of fertilizers and pesticides in cotton farming. They require a substantial amount of energy and water. Livestock emissions, like methane from cows and sheep, along with energy consumption in animal husbandry. The creation as well as recycling of polyester is resource-intensive as it is derived from petroleum, involving extraction and processing of fuels, releasing large quantities of CO2.
Packaging
Packaging materials like paper, plastic, etc. increase emissions significantly. To worsen it, recycling, landfilling, or incineration for disposal also increases energy consumption.
Transportation And Distribution
Transporting raw materials from extraction sites to manufacturing units (upstream) as well as finished goods from these units to retail stores, etc. (downstream) involves emissions from ships, trucks, planes, etc.
Retail Operations
Retail stores, office spaces, and warehouses consume a lot of energy for heating, cooling, lighting, and electronic devices depending on grid electricity, which may be extracted using fossil fuels.
Consumer Use
Naturally, consumers play a huge part in emissions of greenhouse gases. The frequency of using and buying products affects the product’s life cycle as well, and washing, ironing, and drying them adds to the emission.
Minor processes like employees commuting to and from work using transportation along with corporate activities like sales, marketing, and other events, every little thing adds up to the emissions. Hence, reducing carbon emissions in the fashion industry is crucial as it also influences suppliers and partners to adopt sustainability practices.
Understanding Carbon Emissions In The Fashion Industry
For the most part, factors contributing to the increase in carbon emissions of the fashion industry are resource-extensive production processes, transportation, and waste generation.
For this, many pledges and labels like the Sustainable Apparel Coalition (SAC), Science-Based Targets Initiative (SBTi), and the Fashion Pact have been introduced by the industry, but really, there’s minimal change at the ground level. They are notably off track in decarbonization, especially in Scope 3 emissions, which hold the most significance.
H&M’s global target goal to cut emissions by 56% by 2030 shows a great effort, but with merely 7% of reduction targets achieved so far, it highlights the hurdles ahead.
H&M’s progress in their Climate Transition Plan
This comes from the complex web of global supply chains, lack of high-quality data, and economic pressures, pushing companies to choose cost over sustainability. Companies that emphasize carbon intensity over reductions don’t help either. Initiatives like supply chain transparency projects, green bonds, industry coalitions, etc. are crucial. To achieve a decline in carbon emissions in the fashion industry, over $1 trillion in financing and a shift in investor mindset are required, to invest more funds into innovative and sustainable technologies.
Understanding the generation of direct and indirect emissions is important to reduce carbon emissions in the fashion industry.
Understanding The Impact On The Environment
The fashion industry’s impact on the environment holds a dominant position. Here, numerous issues are considered :
Waste Generation
Scraps and defective products from manufacturing processes lead to industrial waste. Fast fashion trends of purchasing and disposing of more adds to the waste. Releasing microfibers into oceans and rivers after washing synthetic garments threatens marine life.
Greenhouse Gas Emissions
Representing 2-10% of the total emissions, this contribution stems from fibers obtained from fossil fuels like polyester because they have a high carbon footprint. The use of fertilizers and energy-consuming farming practices like spinning, weaving, dyeing, etc. also play their part in the increase in emissions. The emissions from shipping and logistics of raw materials and products are notably high.
Chemical Usage
Traditional cotton requires plenty of fertilizers and pesticides, which are harmful to the environment. The chemicals from textile processes like dyeing can lead to pollution as well as a risk to workers and nearby communities like respiratory issues, skin problems, etc.
Water Usage And Pollution
It takes around 2,700 liters of water to produce one cotton t-shirt. This proves the amount of water that is required for cotton farming. Moreover, releasing untreated wastewater into water bodies leads to water pollution.
Resource Depletion
The use of non-renewable sources like fossil fuels leads to environmental degradation. The increased use of land contributes to biodiversity loss and deforestation.
Social Impact
The harmful chemicals also pose a huge risk to the workers, leading to poor labor conditions like low wages, awful working conditions, and exploitation.
Reducing Carbon Emissions In The Fashion Industry
Decarbonization is an important practice, primarily because, it aims to reduce carbon emissions in the fashion industry and maintain the earth’s ecological balance. Additionally, fashion companies need to comply with sustainable practices to avoid penalties and any other threat to their reputation. The government and other regulatory bodies are stringent with certain regulations that must be followed. The practices should also be in sync with the global climate goals, playing their part in achieving them.
Naturally, reducing carbon emissions in the fashion industry will also lead to less waste and operational costs. Companies that prioritize sustainable practices are in a stronger position to navigate future regulations and market trends. Reducing carbon emissions in the fashion industry also helps in building better and healthier communities with less pollution and better living conditions.
Through Decarbonization, innovative concepts pave their way into business operations, reducing carbon emissions in the fashion industry.
Regulations like the Corporate Sustainability Reporting Directive (CSRD) by the European Union (EU) have also been put in place for companies to reduce and report their carbon emissions, especially Scope 3. Software platforms like Carbon Trail assist companies in measuring emissions with transparency, carbon accounting, etc. according to the CSRD standard.
Direct emissions are greenhouse gas emissions from sources that are owned or controlled by the company, such as emissions from manufacturing processes and company vehicles. Indirect emissions, on the other hand, are emissions that result from the company’s activities but occur at sources owned or controlled by another entity, such as purchased electricity and supply chain emissions. For a detailed discussion on this, refer to Scope 1, 2, and 3 Emissions.
Strategies To Reduce Carbon Emissions In The Fashion Industry
With a huge carbon footprint, robust plans to reduce carbon emissions in the fashion industry are needed.
Renewable Energy Sources
Shifting towards non-renewable energy by installing solar panels or wind turbines at manufacturing units will help reduce dependency on fossil fuels. Energy-saving measures like energy-efficient HVAC systems, smart building technologies, and LED lighting must be incorporated into offices and retail stores. Brands that have replaced electricity with renewable sources include Burberry, Levi Strauss & Co., Gucci, Calvin Klein, Tommy Hilfiger, etc.
Transportation-Related Emissions
Manufacturing units and sourcing of materials must be set up near the place of sale to reduce transportation. Streamlining logistics can be done to minimize distance and increase efficiency. Electric and Hybrid vehicles should be incorporated into business operations. Apart from this, brands can also partner with shipping companies that offer low-emission or carbon-neutral shipping options.
Sustainable Materials
Replace raw materials with sustainable sourcing of eco-friendly materials like organic cotton, bamboo, recycled polyester and nylon, mushroom leather, algae-based fabrics, and bio-fibers with lower environmental damage and less use of synthetic fertilizers.
Circular Economy Practices
As much as possible, companies should encourage recycling and reusing products through creative innovations, initiatives like take-back schemes, and consumer engagement programs. H&M’s garment collecting program, Levi’s SecondHand program, Nike’s Reuse A Shoe program, etc. were all focused on reducing carbon emissions in the fashion industry by reusing and recycling products.
The products should also be high-quality and long-lasting equipped with parts that can easily be replaced or repaired, to extend the product’s life cycle. Prominent brands like Stella McCartney and Patagonia have implemented decarbonization through sustainable business practices, including reducing waste and recycling materials.
Energy-Efficient Manufacturing
The streamlining of manufacturing processes and the use of energy-efficient machines for spinning and weaving is another way to optimize the process.
Collaboration With Suppliers And Partners
Collaboration with suppliers to ensure sustainable practices are adopted with less water and chemical usage. Additionally, getting involved with certification programs like Fair Trade, Global Organic Trade Standard, etc. to ensure materials are sourced responsibly and ethically. Brands like Nike, Puma, H&M, etc. collaborate with their suppliers by providing them with technical assistance, financial support, initiatives, etc.
Other Strategies
Carbon offsetting programs, virtual fashion shows, digital sampling, 3D printing and customization, renting, and subscription models, are other strategies that can be used to reduce carbon emissions in the fashion industry.
Nike – Decarbonization Case Study
One of the most popular sportswear brands, Nike, has been an emerging leader in decarbonization. They are aiming to achieve 100% renewable energy by 2025, of which they have achieved 96% for their global operations. In FY23, they successfully achieved a 69% and 93% reduction in Scope 1 and 2 emissions respectively, from an FY20 baseline. Additionally, Scope 3 emissions like transportation and manufacturing have been reduced by 19%.
The percentage of units transported via air freight also reduced from 0.9% to 1% in FY22. Hence, total outbound emissions have also been reduced to 21%. Focusing on renewable energy, Nike also invested in installing wind turbines at global distribution centers like Australia, Belgium, China, Etc. Moreover, around 46 stores have received LEED (Leader in Energy and Environmental Design) certification.
With frameworks like the Global Reporting Initiative (GRI) and Carbon Disclosure Project (CDP), Nike reports their sustainability progress transparently. Their design approach is focused on the resilience and durability of the products, contributing to a circular economy. By 2030, Nike aims to further reduce their carbon emissions in Scope 1 and 2 by 65% and Scope 3 by 30% from a 2015 baseline.
Nike’s summary of sustainability efforts for FY23
Challenges And Opportunities To Reduce Carbon Emissions In The Fashion Industry
One of the prime challenges to reducing carbon emissions in the fashion industry is the lack of transparency in the supply chain. Companies find it challenging to secure accurate data from their suppliers, making it difficult for them to reduce these emissions, especially Scope 3. Our blog thoroughly covers Scope 3 emissions, highlighting its impact on the fashion industry’s carbon footprint.
To work towards reducing carbon emissions in the fashion industry, setting science-based targets is a must. SBTs are greenhouse gas reduction targets backed by the latest climate science, wherein companies are required to cap global warming to well below 2°C above pre-industrial levels. Companies with SBTs showcase leadership in the industry, building credible relations with stakeholders like customers, investors, and suppliers.
Companies can conduct lifecycle assessments while investing in technologies, and urge suppliers to disclose emissions data.
Conclusion
It has become imperative to reduce carbon emissions in the fashion industry, one of the largest contributors to carbon emissions. To successfully reduce these carbon emissions in the fashion industry, companies need to adopt strategies like circular economy, supply chain transparency, material innovation, and energy efficiency. These will help reduce the reliance on fossil fuels, conserve resources, and minimize environmental damage.
Collaborating with governments, NGOs, etc. is crucial to bringing systematic change, by fostering relations, and sharing best practices within the industry. This will enhance resilience and competitiveness in an ever-evolving global market. The journey towards reducing carbon emissions in the fashion industry and achieving net zero requires determination, constant efforts, and continuous innovations.
When we look at innovative brands and current initiatives, it becomes apparent that a long-term dedication to reducing carbon emissions in the fashion industry is vital in driving positive change and securing a sustainable future for generations to come.
