As the push for climate change gains more attention, electronic payment card providers like Visa do not want to be left out.
The largest payment card company in the world is targeting net-zero emissions by 2040. As part of commemorating the World Earth, Visa outlined plans to become a climate-positive company through new partnerships. It also expanded initiatives to support sustainable commerce and the transition to a low-carbon economy beyond the company’s own footprint.
It is already on track given the company achieved carbon neutrality across its operations in 2020.
“Visa is committed to creating a more sustainable future,” said Al Kelly, chairman and chief executive officer of Visa. “Our new net-zero commitment and enhanced efforts across our network in support of sustainable initiatives are immediate ways we will achieve our goals to help build a better future for our planet.”
It is a mission that is fast becoming a trend with big payment card providers. Some of the big four providers including Visa and Mastercard are promoting the use of sustainable credit cards, helping issuers in different countries offer cards made from recyclable, bio-sourced, chlorine-free, degradable, and ocean-safe plastics.
A recent report showed the industry currently produces over 6 billion cards a year made out of traditional PVC plastics. These cards are replaced every three to four years, and expired cards end up in the world’s landfills.
A Pew Research Centre survey also showed that two-thirds of US adults said their government is not doing enough to reduce the effects of climate change or to protect air and water quality.
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To tackle the challenge, payment companies like Visa are collaborating with environmental advocates such as The Climate Pledge, an initiative co-founded by Amazon and Global Optimism, as well as a new member of the Climate Business Network, a World Wildlife Fund (WWF). Visa is expecting this to accelerate action towards a net-zero future.
Visa’s net-zero commitment is aligned with emerging global standards and definitions and will include efforts with suppliers to abate a significant portion of the greenhouse gas footprint of the company’s purchased goods and services. Visa also has committed to set science-based targets through the Science Based Target initiative at the 1.5 degree Celsius ambition level. These new commitments join Visa’s existing sustainability leadership, including its transition to 100 percent renewable electricity usage in 2020.
“This Earth Month Visa is using the power of our network to accelerate transformation in sustainability and economic recovery while helping ensure that the planet and economies around the world thrive,” said Douglas Sabo, chief sustainability officer of Visa. “By prioritizing clean energy and sustainable practices, investing in environmentally innovative initiatives and engaging with corporate and civil society leaders on climate, we are committed to being a part of the global solution to climate change.”
Visa is expanding its initiatives to use its products, services, network, data, payments expertise and brand to support sustainable commerce and the transition to a low-carbon economy.
The payment card providers have also announced its collaboration with the Cambridge Institute for Sustainability Leadership (CISL) to work together to identify new opportunities to apply electronic payments capabilities and the Visa network toward realizing a sustainable future. Results of the collaboration are anticipated in Summer 2021.
Visa’s new goals and efforts to support sustainable commerce build upon the company’s existing recognized industry leadership in sustainability, including inclusion on the following: Dow Jones Sustainability North American Index, America’s Most Responsible Companies, 100 Best Corporate Citizens and 100 Most Just Companies.
