General Motors races to carbon neutrality

General Motors announced that it plans to become carbon neutral in its global products and operations by 2040 and has committed to setting science-based targets to achieve carbon neutrality. The company has also signed the Business Ambition Pledge for 1.5⁰C, an urgent call to action from a global coalition of UN agencies, business, and industry leaders.

“General Motors is joining governments and companies around the globe working to establish a safer, greener, and better world,” said Mary Barra, GM Chairman and CEO. “We encourage others to follow suit and make a significant impact on our industry and on the economy as a whole.”

The company says it follows the carbon neutrality definition as achieved when anthropogenic CO2 emissions are balanced globally by anthropogenic CO2 removals over a specified period, according to the Intergovernmental Panel on Climate Change‘s IPCC SR15.

The science-based targets provide a clearly defined pathway for companies to reduce GHG (greenhouse gas) emissions, helping prevent the worst impacts of climate change and future-proof business growth. Targets are considered science-based if they are in line with what the latest climate science deems necessary to meet the goals of the Paris Agreement—limiting global warming to well below 2°C above pre-industrial levels and pursuing efforts to limit warming to 1.5°C.

The company worked with the Environmental Defense Fund (EDF) to develop a shared vision of an all-electric future and an aspiration to eliminate tailpipe emissions from new light-duty vehicles by 2035. GM’s focus will be offering zero-emissions vehicles across a range of price points and working with stakeholders, including EDF, to build out the necessary charging infrastructure and promote consumer acceptance while maintaining high-quality jobs, which the company says will all be needed to meet these ambitious goals.

“With this extraordinary step forward, GM is making it crystal clear that taking action to eliminate pollution from all new light-duty vehicles by 2035 is an essential element of any automaker’s business plan,” said Environmental Defense Fund President Fred Krupp. “EDF and GM have had some important differences in the past, but this is a new day in America—one where serious collaboration to achieve transportation electrification, science-based climate progress, and equitably shared economic opportunity can move our nation forward.”

To reach its goals, GM plans to decarbonize its portfolio by transitioning to battery-electric vehicles and other zero-emissions vehicle technology, sourcing renewable energy, and leveraging minimal offsets or credits.

In decarbonizing, companies seek to mitigate their impact on the climate by eliminating the sources of emissions. This is often achieved by avoiding activities that generate emissions and/or by preventing the release of emissions that continue to be generated—that is, through the capture and permanent sequestration before they are released into the atmosphere.

In the context of corporate climate neutrality, offsetting refers to the balancing of emissions with an equivalent amount of carbon credits originated from activities that avoid or remove emissions somewhere else. Carbon credits are often issued from two types of project activities: carbon removal projects and avoided emission projects.

Carbon removal projects remove and sequester atmospheric carbon as a result of a specific intervention. In this case, a carbon credit is issued for every ton of carbon dioxide effectively removed and sequestered over a predefined period.

Avoided emission projects result in lower emissions scenarios compared to hypothetical business-as-usual scenarios as a result of a specific intervention. A carbon credit is issued for every ton of CO2 equivalent effectively avoided, in comparison to the hypothetical business-as-usual scenario, over a certain period.

Some project activities can remove and avoid carbon as a result of the same intervention. Prime examples of this are REDD+ programs or projects reducing emissions from deforestation and forest degradation and the role of conservation, sustainable management of forests, and enhancement of forest carbon stocks in developing countries developed by the UNFCCC (United Nations Framework Convention on Climate Change).

Primary focus on fleet electrification

The use of GM’s products accounts for 75% of the carbon emissions related to this commitment. The company plans to offer 30 all-electric models globally by mid-decade, and 40% of the company’s U.S. models will be battery-electric vehicles by the end of 2025. GM recently announced it is investing $27 billion in electric and autonomous vehicles in the next five years, up from the $20 billion planned before the COVID-19 pandemic.

This investment includes the continued development of Ultium battery technology, updating facilities such as Factory ZERO in Michigan and Spring Hill Manufacturing in Tennessee to build electric vehicles, and investing in new sites like Ultium Cells LLC, the collaboration with LG Chem in Ohio, and manufacturing and STEM jobs.

More than half of GM’s capital spending and product development team will be devoted to electric and electric-autonomous vehicle programs. In the coming years, the company says it plans to offer an EV for every customer.

Among the offerings already announced are the GMC Hummer EV, promoted as the first “all-electric supertruck,” and the crossover version of the Chevrolet Bolt, the EUV.

At CES 2021, Barra and other GM execs offered a glimpse of Cadillac’s ultra-luxury electric future in a high-profile digital keynote. They revealed a bit more on the Lyriq SUV, Celestiq range-topping sedan, and two even more future-oriented design concepts in the roboshuttle-like PAV (Personal Autonomous Vehicle) and companion single-seat VTOL (vertical takeoff and landing) personal drone.

The company also launched a new business called BrightDrop at CES to improve goods delivery with an integrated ecosystem of electric products, software, and services for first to last-mile delivery. That effort starts with the EP1 electric pallet in early 2021 and the EV600 electric commercial vehicle in late 2021.

GM will also promote its electrification initiatives through high-profile racing like the new sustainability-focused Extreme E series that kicks off this year. GMC just announced a multi-year sponsorship with Chip Ganassi Racing (CGR) for the team’s first electric racing venture. CGR’s 410-kW electric SUV features a unique grille, graphics, and bodywork inspired by the Hummer EV.

“Both GMC Hummer EV and the Extreme E series are designed to be revolutionary—to challenge perceptions of electric vehicles and to showcase their true capability,” said Jim Campbell, General Motors U.S. Vice President, Performance and Motorsports.

“The new GMC Hummer EV is going to be a game-changer in terms of how the world views off-road EV capability,” said Chip Ganassi, CGR team owner.

GMC’s production 2022 supertruck will be powered in top form by GM’s new Ultium battery system and a three-motor e4WD propulsion system with an estimated 1000 hp (745 kW) and 11,500 lb·ft (15,600 N·m). With 800-V DC fast charging capability, the truck is expected to have industry-best charging capabilities at any of the new 350-kW high-output public DC fast-charging stations—the fastest method supported by current charging standards.

The Extreme E five-race global championship will take place in some of the world’s most remote locations and promotes the ecosystems that will benefit from the adoption of electric vehicles. Fans can follow along on GMC’s social channels.

More sustainable infrastructure

To address emissions from its own operations, GM will source 100% renewable energy to power its U.S. sites by 2030 and global sites by 2035, which represents a five-year acceleration of the company’s previously announced global goal. Currently, the company says it is the 10th largest off-taker of renewable energy in the world.

To account for the expected remaining carbon emissions, GM expects to invest in carbon credits or offsets. The company will assess solutions in the coming years as the most efficient, equitable, and inclusive ideas mature. It recognizes that offsets must be used sparingly and should reflect a holistic view of mitigating the effects of climate change and helping people thrive around the world.

GM’s carbon-neutral commitment applies to its global product portfolio and owned operations. The automaker is implementing plans to reduce the impact associated with its supply chain while supporting grids and utilities to power electric vehicles with renewable energy. The company has worked with some of its largest suppliers to create a sustainability council to share best practices, learn from each other, and create new standards for the industry. In addition to the council’s work, it is collaborating with suppliers to set ambitious targets for the supply chain to reduce emissions, increase transparency, and source more sustainable materials.

While EVs do not emit tailpipe emissions, GM says it is critical that they be charged with electricity generated from renewable sources like wind and solar. The company has worked with utilities and developers to support investments in renewable energy found in and around communities with its facilities via power purchase agreements and green tariffs.

GM is also working with LS Power’s EVgo to triple the size of the nation’s largest public fast-charging network by adding more than 2700 new fast chargers by the end of 2025, a move it hopes will help accelerate widespread electric vehicle adoption. The new fast chargers will be powered by 100% renewable energy. The automaker believes that the energy sector is well on its way to a decarbonized grid and that an all-electric future will be supported by renewable infrastructure.