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Last week, the cloud-based software company Salesforce notified its thousands of suppliers that it will include language in all future procurement contracts requiring them, among other things, to set science-based targets to reduce their greenhouse gas emissions.
And it set financial penalties for those that don’t.
It was an unprecedented and bold move that, if emulated by others and aggressively enforced, could transform companies and markets far faster than any regulation ever could.
Welcome to the growing world of trickle-down sustainability.
Salesforce’s four-page Sustainability Exhibit, as the company called it, asks suppliers to commit to a science-based target aligned with the 1.5 degrees Celsius goal of the Paris Agreement; to develop and implement a plan to reduce “the carbon footprint and the environmental impact” of any products or services provided to Salesforce; and to publicly disclose their Scope 1, 2 and 3 emissions.