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Chinese tech giant Tencent pledges carbon neutrality by 2030 -Breaking

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© Reuters. FILE PHOTO – Tencent booth in Beijing at the World 5G Exhibition, China. November 22, 2019. REUTERS/Jason Lee

By Brenda Goh

SHANGHAI, (Reuters) –China’s Tencent Holdings Ltd (OTC:) Ltd announced Thursday that it plans to reach carbon neutrality by the end of this decade in both its supply chains and operations.

This company has a range of businesses including messaging apps WeChat and games as well as cloud-based services. It also committed to using 100% green electricity for its entire electricity needs by 2030.

Tencent claimed it was aiming to decrease energy consumption per unit production in its operations, and boost use of renewable energies.

The company will be involved in green power trading, explore renewable energy investments, and adopt carbon offsets in some business segments. It also promotes a low-carbon philosophy to consumers and businesses.

It stated that the total company’s greenhouse gas emissions amounted to 5.111 Million tonnes of carbon dioxide in an internal audit.

In comparison, fellow tech giant Alibaba Group Holding Ltd stated that its 2020 greenhouse gas emissions were 9.51 million tonnes.

“Tencent wants carbon neutrality,” stated Xu Hao (Vice President of Tencent’s Sustainable Social Value Organisation), who is responsible for its green initiatives.

“And… We also hope to help the country transform to carbon neutral.”

China stated last year it wanted to be carbon neutral by 2060. That goal has put immense pressure on the largest companies to develop their roadmaps for “net zero”.

China’s top tech companies are still heavily dependent on the coal-dominated power system, and very few of them have made promises to change to renewable energy.

Alibaba announced in December it would be aiming for the end of the decade to achieve carbon neutrality through its operations and reduce transport emissions.

Baidu (NASDAQ) announced in June that they aimed to have carbon neutral operations by 2030. However, it did not specify what goals.

Ye Ruiqi (project leader for Greenpeace), stated that Tencent is now more committed to supply chain commitments then Alibaba or Baidu on Thursday.

The firm hoped that more disclosures would be made about financed emission, since it was an important corporate investor globally.

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