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Engaged suppliers on management practices and the impacts on biodiversity.
to landfill by   PROGRESS: 27% increase in waste to landfill, however we have increased diversion by 77% compared to 2020.31 Our commitment to make a positive impact on the planet extends beyond our direct operations, and on to strategies that engage with the community and our supply chain.
WASTE landfill by 202531 Identify key biodiversity hotspots throughout our operation by 2025 30Emission reductions are compared to a 2019 baseline. 312020 waste baseline.
Our profitability depends in part on our ability to anticipate and react to changes in commodity costs, including ingredients, paper, supplies, fuel, utilities and distribution, and other operating costs, including leasing costs and labor.
This is due to factors such as limited resources, seasonal shifts, climate conditions, and industry demand.
Additionally, animal disease outbreaks in other parts of the world, international commodity markets, food safety concerns, product recalls, and government regulation have also caused increased fluctuations.
WORKING TOWARD CLIMATE CHANGE ADAPTATION Along with all our partners and competitors, Chipotle continues to assess how to anticipate business risks resulting from climate change.
In addition, our supply chain is subject to increased costs arising from the effects of climate change, greenhouse gasses, and diminishing energy and water resources.
The ongoing and long-term costs of these impacts related to climate change and other sustainability related issues could have a material adverse effect on our business and financial condition if not properly mitigated.
We also could be adversely impacted by price increases specific to meats raised in accordance with our sustainability and animal welfare criteria, and ingredients grown in accordance with our Food with Integrity specifications.
Goal: Reduce Scope emissions 50% by 2030 from a 2019 base year.
Scope emissions increase 2022 PROGRESS 34Metric tonnes of carbon dioxide equivalents.
We have consulted Leadership in Energy and Environmental Design (LEED®) green building standards in several of our restaurants and continue to consider them when we construct new restaurants.
We developed, and piloted various scalable kitchen equipment that can reduce our energy needs.
We tested stovetop equipment, developed a more efficient rice cooker with our supplier, and evaluated changes in our cookline design that can help us decrease the amount of energy consumed by the hood fans.
We are committed to the responsible development of renewable energy resources to support a clean energy future.
Supporting renewable energy adoption and growth reduces greenhouse gas emissions, increases resilience, and supports job creation in the industry.
As part of our strategy, we are exploring and determining applicability based on location, and energy demand of our restaurant operations for: on-site renewable projects, community solar projects, green tariffs, power purchase agreements, virtual power purchase agreements, tax equity investments, and energy attribute c...
Over the years, we have worked diligently to reduce energy use in our restaurants by evaluating every aspect of our restaurant designs.
We have standardized the installation of energy management systems at every restaurant to manage heating and cooling, refrigeration temperatures, and other equipment.
We are committed to identifying strategies for greenhouse gas emission reductions in our value chain.
Our Scope goods and services, capital goods, fuel and energy-related activities, logistics, waste disposal, business travel, and employee commuting.
We have created working groups to support development of strategic emission reduction activities with key suppliers.
These pillar groups focus on approaches for: Restaurants, Transportation and Warehousing, Food Supply Chain, and Waste & Packaging.
our suppliers is an ongoing endeavor and it will take time to execute new practices to result in reduced emissions.
In our supplier survey we found that improving soil health is our most widely adopted philosophy and that most of our suppliers have adopted one or more regenerative agriculture management principles or philosophies.
HowGood aggregates information from Chipotle’s suppliers and over scientific literature, industry findings, and research from government and non-governmental organizations, to evaluate the average impact of Chipotle’s 53 real ingredients on the environment and animal welfare.
We manage water use in our restaurants through recovery, reuse, recycling, and proper wastewater disposal.
In drought-prone areas such as California, we use native and drought-tolerant plants in our landscaping to reduce exterior water use.
At many of our new, freestanding restaurants, we include on-site water retention for rainwater when permissible.
Water is an important resource for our operations and to support production of all ingredients used at Chipotle.
We have taken the first step in developing a contextbased locally relevant water stewardship program.
In areas of our operations and supply chain operating in water stressed regions.
We have prioritized suppliers with a high water footprinthigh or extremely high water stressed areas for further engagement to collaborate on water stewardship strategies.
We are exploring ways to reduce the amount of waste generated at all levels of our operations.
We set a goal of baselining our construction waste by 2022.
We conducted a construction waste audit to identify the opportunities for diversion, primarily reclamation and recycling of mixed metals, concrete, asphalt, and gypsum board.
Small batch cooking also allows us to minimize the amount of food waste from our line each day.
WASTE “I want to express our heartfelt gratitude for the generous donation of meals from the three restaurant openings in Tacoma and University Place.
As packaging makes up nearly one-third of our waste, improving the environmental impact of our packaging is a top priority.
We source recyclable and compostable materials to enable greater opportunities to divert waste from landfill.
BURRITO BOWL Although our burrito bowls are to evaluate materials that will lower our environmental impact.
Bamboo is less carbon intensive since it does not require the use of pesticides and requires less water to grow.
This feature gives the guest an opportunity to reduce unnecessary single-use items and prevent waste.
Our suppliers have confirmed that they do not use PFAS in the manufacturing of the packing products they supply to us; the only PFAS found in these items (if any) would come from naturally occurring or environmental factors and fall within the allowable limits of PFAS according to BPI.
Our packaging suppliers, and internal packaging team, continue to invest in the research and expertise to re-conceptualize the products, processes, systems, and sources to keep food safety a top priority in our packaging for all the communities we serve.
Certain statements in this report, which relate to our Food & Animals, People, and Environment goals, and statements regarding our goals and plans with respect to staffing, employee benefits, our supply chain standards and auditing, and environmental goals, as well as other statements of our expectations and plans, are...
Greenhouse Gas Protocol’s “A Corporate Accounting and Reporting Standard, Protocol).
All emissions are expressed in metric tonnes of carbon dioxide equivalents.
(controls, (ii) understanding material risks facing the Company and overseeing the Company’s enterprise risk assessment and risk mitigation process, (iii) determining with management what constitutes an appropriate level of risk for the Company, and (iv) assisting management in the oversight of the Company’s compliance...
The Nominating & Corporate Governance Committee oversees and at least biannually assesses the effectiveness of the Company’s policies and programs relating to environmental, sustainability and social responsibility policies, goals and programs, and public policy issues significant to the Company and make recommendation...
Chipotle’s Executive Leadership Team meet regularly to evaluate environmental risk, opportunities, and ensure strategies to address these issues are implemented across the operations.
RISKS CHRONIC PHYSICAL (long-term) USDA has reported that seasonal shifts are already observed across the country and vary regionally.
particularly volatile due to limited resources and these seasonal shifts.
extended droughts, which could increase the frequency and duration of weather impacts on our operations.
The ongoing and long-term costs of these impacts related to climate change and other sustainability-related issues could have a material adverse effect on our business and financial condition if we are not able to mitigate them.
We incorporate sustainable design to lower our energy demand, increase efficiencies, and plan for flexibility in our design and layout to support retrofits that may arise from technological advancements.
Our suppliers are integral to our business, and we help our suppliers develop environmental standards and sustainability goals.
We completed a water risk assessment to identify areas of our operations and supply chain operating in water stressed regions to identify opportunities to build resiliency.
We are prioritizing engagement with suppliers with high water use and operating in either high or extremely water stressed areas to collaborate on water stewardship strategies.
Working together to create resilient water strategies to operate with greater efficiency and reduce overall water demand, while also assessing and creating plans to address local watershed needs.
Our restaurants are the largest source of our direct emissions, primarily because of the energy requirements for operations.
Natural gas and electricity are required for all of our operations, for cooking, cleaning, heating, and cooling.
We have completed energy audits of restaurants to identify areas to potentially focus on.
For product design, our internal packaging team collaborates with packaging suppliers to re-conceptualize the products, processes, systems, and sources to reduce greenhouse gas emissions.
The optimization in shipping may reduce the fossil fuels consumption in logistics as a result of improved load configurations.
We are engaging with our partners to bring forward ideas such as regenerative farming, dairy pasture access, and animal development.
We are evaluating compostable and recyclable materials and continuously looking for ways to eliminate waste and reduce our carbon footprint.
In addition, we have advanced our animal welfare programs and continue to make great strides with the help of our farming community.
As energy resources may become limited with climate change and the need to transition to low carbon fuels, we have explored opportunities to push innovation in this space.
We have made investments to elevate delivery services and reduce the emissions from on-road vehicles.
green building standards in several of our restaurants and continue to consider them when we construct new restaurants.
We work with the Food Service Technology Center, a national resource for commercial foodservice energy efficiency, to test the efficiencies of our restaurant equipment.
energy management systems, low-flow plumbing fixtures, tankless water heaters, EnergyStar-rated kitchen equipment, and finishes with low volatile organic compounds (VOCs).
Our real ingredients are responsibly sourced and classically cooked keeping people, animals, and the environment in mind.
This is due to factors such as limited sources, seasonal shifts, climate conditions, and industry demand.
mitigate future price increases through forward contracts, diversification of our suppliers, and reducing greenhouse gas emissions in our operations and supply chain.
In the quantitative model we used actual energy consumption for Scope 1 and 2 from 2019 data (used as a baseline).
a 4.2% linear annual reduction consistent with an emission reduction pathway in line with limiting warming below 1.5 degrees Celsius.
We also assessed the emission reduction trajectory at 2.5% linear reduction through 2030 (in line with a well below 2-degree pathway).
Representative Concentration Pathway of global greenhouse gas emissions by 2100 if there are not significant global actions to reduce emissions.
Under this scenario we assume severe climate impacts including warming above scarcity, changes in seasonal patterns, and an increased number of extreme weather events.
Increasing our energy efficiency and continued evolution in the way we design our restaurants and source products would help us adapt to the changing climate while engaging with suppliers to implement or increase low-carbon practices can shore up resiliency.
Actual energy consumption for Scope be required from the baseline emissions for Scope 1 and 2 emissions.
The teams also provide recommendations to mitigate the potential impacts.
Mitigation strategies are implemented with approval from the leadership and Board.
2-4 RESTATEMENTS OF INFORMATION MATERIALITY; ENVIRONMENTAL GOALS; EMISSIONS 2-5 EXTERNAL ASSURANCE CHIPOTLE MEXICAN GRILL (CMG) FOLLOWS AN INTERNAL ASSURANCE AND DISCLOSURE APPROVAL PROCESS TO ENSURE THE REPORTED CONTENT IS RELEVANT, ACCURATE, AND COMPLETE.
WATER AND EFFLUENTS 303-1 INTERACTIONS WITH WATER AS A SHARED RESOURCE WATER 303-2 MANAGEMENT OF WATER DISCHARGE-RELATED IMPACTS CHIPOTLE IS COMMITTED TO MAINTAINING COMPLIANCE WITH FEDERAL, STATE, AND LOCAL WATER REGULATIONS.
BIODIVERSITY VALUE OUTSIDE PROTECTED AREAS CHIPOTLE HAS A GOAL TO IDENTIFY KEY BIODIVERSITY HOTSPOTS THROUGHOUT OPERATIONS BY 2025.
AND SERVICES ON BIODIVERSITY CHIPOTLE HAS A GOAL TO IDENTIFY KEY BIODIVERSITY HOTSPOTS THROUGHOUT OPERATIONS BY 2025.
CHIPOTLE HAS A GOAL TO IDENTIFY KEY BIODIVERSITY HOTSPOTS THROUGHOUT OPERATIONS BY 2025.
ENVIRONMENT ........................................................................ 16 CLIMATE IMPACTS AND GHG EMISSIONS ................................
6 7 apply our leadership, skills and innovative spirit to demonstrate how we can achieve and document our positive environmental and social impacts.
We believe strongly that for our business to participate in the marine and energy economies of tomorrow, we must establish environmental, social and governance objectives that are relevant to who we are, that are achievable and that create value for our stakeholders.
In this inaugural sustainability report, we highlight some of the areas that have long characterized our work, including our commitment to protecting the environment and to working safely, with integrity, teamwork and a commitment to excellence.
We also highlight some new initiatives, including collection of baseline measurements of our greenhouse gas emissions, participation in the emerging offshore wind and renewable energy industry and our aspirations relating to our workforce and corporate governance.
We believe that oil and gas will continue to play an important role in ensuring a reliable, secure energy supply for many years.
But we also recognize that energy sources and usage will change.
Hornbeck Offshore will be a part of the energy transition as well as a marine platform that provides innovative solutions to a broad variety of customers outside of the fossil fuel industries, just as we always have.
We will do so with the same dedication to safety, protection of the environment, quality and integrity that has defined the first quarter-century of our operation.