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Sustainability Simplified™ | Climate & Claims

Understanding Corporate Climate Targets

What Does Net Zero Mean in Packaging?

Net Zero generally refers to reducing greenhouse gas emissions as deeply as possible and then balancing the limited residual emissions that remain with appropriate greenhouse gas removals.

Quick Answer Net Zero is a climate goal focused first on reducing greenhouse gas emissions.

Organizations pursuing credible Net Zero strategies typically work to reduce emissions across their own operations and value chains before addressing remaining residual emissions.

For packaging teams, this can create pressure to reduce emissions associated with materials, manufacturing, transportation and end-of-life.

Net Zero does not mean that a company, package or supply chain literally produces no greenhouse gas emissions. It describes a balance achieved after substantial emissions reductions and treatment of the residual emissions that remain.

How Net Zero Works How Packaging Can Contribute
Net Zero Image Placeholder Show emissions declining through operational efficiency, renewable energy, lighter packaging, recycled-content options, supplier improvements and transportation efficiency, followed by a small amount of residual emissions balanced with removals.

The Fundamental Concept

What Does Net Zero Actually Mean?

Net Zero is a greenhouse gas reduction objective. The basic principle is to reduce emissions across the relevant boundary as deeply as practical and then address the smaller amount of residual emissions that remain.

A Net Zero target can apply to an organization, business operation or other defined boundary. The exact meaning depends on the standard, methodology, emissions included, target year and reporting framework being used.

That is why a company making a Net Zero commitment should clearly define its boundary, baseline, reduction pathway and treatment of residual emissions.

Packaging Example

A Manufacturer With a Net Zero Target

A consumer-products manufacturer may establish a corporate Net Zero target that includes reducing emissions associated with its own facilities and its broader supply chain.

Purchased bottles, jars, closures and other packaging can contribute to that company's value-chain emissions, particularly when packaging is manufactured by outside suppliers.

Key takeaway: Packaging is not “Net Zero” simply because one attribute changes. Packaging decisions can instead contribute to a company's broader emissions-reduction strategy.

A Simplified Net Zero Pathway

How Does a Company Move Toward Net Zero?

Exact approaches differ by organization, but a credible emissions-reduction pathway generally places direct reductions ahead of balancing residual emissions.

1
Measure Establish an emissions inventory and understand the baseline.
2
Set Targets Define reduction objectives, boundaries and timelines.
3
Reduce Cut emissions from operations, energy use and the value chain.
4
Track Progress Measure changes and update the greenhouse gas inventory over time.
5
Address Residuals Balance remaining residual emissions with appropriate removals.

An Important Distinction

Does Net Zero Mean Zero Emissions?

No. Net Zero does not usually mean that every greenhouse gas emission has been eliminated.

Some emissions may remain after feasible reduction measures have been applied. Those remaining emissions are commonly referred to as residual emissions.

A Net Zero framework generally requires deep reductions first, followed by balancing those residual emissions with appropriate greenhouse gas removals.

Term What It Generally Means Important Context
Zero Emissions No greenhouse gas emissions are produced within the defined activity or boundary. This is different from balancing residual emissions.
Net Zero Emissions are reduced deeply and remaining residual emissions are balanced with appropriate removals. Reduction is the primary strategy; residual emissions remain limited.
Carbon Neutral Emissions within a defined boundary are balanced through reductions, credits, offsets or other recognized mechanisms depending on the claim framework. The term can be used differently across standards and programs, so the underlying claim should be reviewed carefully.

The Packaging Connection

How Can Packaging Relate to a Net Zero Strategy?

Packaging can be one source of greenhouse gas emissions within a company's larger value chain. Raw materials, manufacturing, transportation and end-of-life can all contribute to packaging-related emissions.

For companies with significant Scope 3 emissions, packaging suppliers may therefore become part of the larger emissions-reduction conversation.

Material Reduction
Recycled Content
Supplier Improvements
Transportation Efficiency
End-of-Life Design

Practical Packaging Strategies

What Packaging Changes May Influence Greenhouse Gas Emissions?

The effect of any packaging change should be evaluated using appropriate data rather than assumptions. Depending on the package, several strategies may be worth evaluating.

Lightweighting

Reducing package weight while maintaining performance can lower material use and may reduce transportation-related impacts.

Recycled Content

PCR options may change material-related greenhouse gas emissions depending on the resin, recycling process, sourcing and underlying data.

Alternative Materials

Different materials may have different emissions profiles, but comparisons should use equivalent functional and performance requirements.

Supplier Efficiency

Supplier manufacturing technology, energy sources and operational efficiency can influence the emissions associated with purchased packaging.

Transportation

Sourcing distance, freight mode, pallet efficiency and package geometry may affect logistics-related emissions.

Product Protection

Any emissions-reduction strategy must preserve package performance because product loss or damage can create additional environmental impacts.

Connecting the Climate Framework

How Do Scope 1, Scope 2 and Scope 3 Relate to Net Zero?

Organizations pursuing Net Zero targets typically evaluate greenhouse gas emissions across defined parts of their operations and value chain.

Scope What It Includes Potential Packaging Connection
Scope 1 Direct emissions from sources a company owns or controls. Fuel used in company-owned manufacturing, warehouse equipment or vehicles.
Scope 2 Indirect emissions associated with purchased electricity, steam, heat or cooling. Electricity used in company-operated filling, packaging or manufacturing facilities.
Scope 3 Other indirect emissions across upstream and downstream value-chain activities. Purchased bottles, jars, closures, resin, supplier manufacturing, freight and packaging end-of-life.

Frequently Confused Terms

Net Zero vs. Carbon Neutral: What's the Difference?

The terms Net Zero and Carbon Neutral are often used interchangeably in casual conversation, but they can represent different approaches depending on the standard or claim framework being used.

Net Zero generally emphasizes deep greenhouse gas reductions across a defined boundary before balancing limited residual emissions with removals.

Carbon-neutral claims may use a different boundary or rely on carbon credits, offsets or other mechanisms to balance calculated emissions.

Because definitions and requirements can vary, companies should clearly identify the standard, boundary and methodology supporting either claim.

Claims Matter

Avoid Using the Terms Interchangeably

A supplier saying a package is “carbon neutral” does not automatically mean that the supplier or product has achieved Net Zero.

Likewise, a corporate Net Zero commitment does not mean every individual product or package is currently carbon neutral.

Key takeaway: Always ask what boundary, emissions, methodology and supporting documentation sit behind a climate claim.

Reduction Comes First

Are Carbon Offsets the Same as Net Zero?

No. Purchasing carbon credits or offsets by itself does not automatically establish that an organization has achieved Net Zero.

A strong Net Zero strategy prioritizes reducing emissions within the company's operations and value chain. Only residual emissions that remain after deep reductions should be addressed through the mechanisms required by the applicable Net Zero framework.

This distinction is important when evaluating supplier or product climate claims. A claim based primarily on purchased offsets can represent something different from a long-term emissions-reduction strategy.

Evaluating Net Zero Claims

What Should Packaging Buyers Ask About a Net Zero Claim?

What Is the Boundary?

Does the commitment cover the entire organization, selected operations, specific products or only certain emissions categories?

What Is the Baseline?

What year or emissions inventory is being used as the starting point for reductions?

Which Scopes Are Included?

Determine whether Scope 1, Scope 2 and relevant Scope 3 emissions are included.

What Is the Target Year?

Understand when the organization expects to achieve the stated Net Zero goal.

What Reductions Are Planned?

Look for measurable emissions reductions rather than relying only on offsetting or broad claims.

How Are Residual Emissions Handled?

Understand what approach, removals or other mechanisms are used for emissions that cannot be eliminated.

Common Misconceptions

What Should Packaging Teams Avoid Assuming?

“Net Zero means a company produces no emissions.” No. Net Zero generally allows for limited residual emissions after deep reductions, with those residual emissions balanced by appropriate removals.
“A Net Zero company automatically sells Net Zero packaging.” No. A corporate climate target does not automatically create a product-level Net Zero claim for each package.
“Buying offsets alone makes a company Net Zero.” Not necessarily. Net Zero strategies generally require substantial emissions reductions before residual emissions are addressed.
“Net Zero means the same thing as carbon neutral.” Not always. Definitions, boundaries, reduction requirements and treatment of remaining emissions can differ between claim frameworks.
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Sustainability Simplified™ in Under a Minute

What Does Net Zero Mean?

Suggested Narration

“Net Zero does not mean producing absolutely no emissions. It generally means reducing greenhouse gas emissions as deeply as possible and then balancing the limited residual emissions that remain with appropriate removals. For packaging teams, that can mean evaluating material use, recycled content, manufacturing, transportation and suppliers as part of a company's broader climate strategy.”

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Sustainability Simplified™ — At a Glance

Three Things to Remember About Net Zero

Reduce First A credible Net Zero pathway focuses on deep greenhouse gas reductions before addressing residual emissions.
Net Zero Is Not Zero Emissions Some limited residual emissions may remain after reduction measures have been implemented.
Packaging Can Be Part of the Strategy Materials, manufacturing, suppliers, transportation and package design can influence value-chain emissions.

Frequently Asked Questions

Net Zero FAQs

What does Net Zero mean?
Net Zero generally means reducing greenhouse gas emissions as deeply as possible and balancing limited residual emissions that remain with appropriate greenhouse gas removals.
Does Net Zero mean zero emissions?
No. Net Zero generally allows for limited residual emissions after deep reductions. Those remaining emissions are then balanced using approaches required by the applicable Net Zero framework.
What does Net Zero mean for packaging?
Packaging can contribute to a company's greenhouse gas emissions through raw materials, manufacturing, transportation and end-of-life. Packaging changes may therefore be one part of a broader corporate Net Zero strategy.
What is the difference between Net Zero and Carbon Neutral?
Net Zero generally emphasizes deep emissions reductions followed by balancing limited residual emissions. Carbon-neutral claims can use different boundaries and mechanisms depending on the applicable standard or claim framework.
Are carbon offsets the same as Net Zero?
No. Offsets or carbon credits may play a role in some climate strategies, but purchasing offsets alone does not automatically establish a credible Net Zero position. Emissions reductions are a core part of the Net Zero concept.
Can lightweight packaging support Net Zero goals?
It may. Lightweighting can reduce material use and sometimes transportation impacts, but results depend on the complete package system and the package must continue to protect the product effectively.
Can recycled content support Net Zero goals?
Potentially. Recycled-content packaging may influence material-related greenhouse gas emissions, but the result depends on resin type, processing, energy, transportation and the methodology used to calculate emissions.
Is a Net Zero company automatically selling sustainable packaging?
No. A corporate Net Zero target relates to greenhouse gas emissions and does not automatically establish that every packaging format is environmentally preferable across all sustainability considerations.
How does Scope 3 relate to Net Zero?
Many companies pursuing Net Zero targets evaluate value-chain emissions as part of their climate strategy. Purchased packaging, supplier manufacturing, transportation and end-of-life may contribute to relevant Scope 3 emissions.

Turn Climate Goals Into Practical Packaging Decisions

Your Packaging Strategy Can Support Broader Emissions-Reduction Goals.

Empire EMCO helps manufacturers evaluate rigid packaging options based on material, package weight, recycled content, supplier capabilities, manufacturing, sourcing, transportation, product compatibility, performance, availability, cost and sustainability objectives.

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Educational Information: Sustainability Simplified™ provides general packaging education and is not intended as legal, regulatory, greenhouse gas accounting, climate-target, carbon-market, assurance or environmental-claims advice. Net Zero definitions, target requirements, emissions boundaries, reduction pathways, treatment of residual emissions and claim requirements can vary by standard, organization and market. Manufacturers should review the applicable framework and obtain appropriate qualified guidance before making Net Zero or other climate claims.