HPE reports progress towards net-zero target by 2040

Hewlett Packard Enterprise (HPE) has published its annual Living Progress Report, outlining the company's dedication to sustainable and responsible technology solutions.

The report reveals HPE's progress towards achieving a net-zero target by 2040, a goal endorsed by the Science Based Targets Initiative's Net-Zero Standard.

Antonio Neri, HPE President and CEO, stated, "The drive toward a thriving and sustainable society—where access to basic needs like food and healthcare are achieved within Earth's ecological boundaries and while maintaining security and privacy protections—is being propelled forward by technology. At HPE, we are working hard to innovate in an ethical and sustainable manner so we can truly accelerate what's next."

HPE's commitment to becoming a net-zero company involves a comprehensive approach to sustainability. The company is focusing on reducing emissions through cleaner energy sources and has already surpassed its 2025 target of sourcing 50% renewable electricity ahead of schedule. However, HPE acknowledges that Scope 3 emissions—those beyond its direct control—pose the greatest challenge and opportunity for reducing its overall greenhouse gas footprint.

In 2023, HPE's overall emissions increased by 8% year-over-year, attributed to business growth and changes in the product mix. The company's roadmap to achieving Scope 3 reductions will require substantial investments and innovations to decarbonise the electricity on which HPE, its suppliers, and customers depend. HPE leaders are now held accountable for their contribution to the company's net-zero goals through variable compensation linked to climate metrics and organisational goals aimed at reducing carbon intensity.

HPE's efforts in 2023 included significant investments in research and development, totaling USD $2.35 billion. These investments focus on next-generation technologies that enhance power consumption management, capacity, and allocation, moving both HPE and its customers toward net-zero carbon emissions.

The company's portfolio reflects a strong commitment to environmental sustainability.

HPE's sustainable IT offerings, launched in 2023, aim to address challenges from data centres to individual devices. For instance, the HPE Right Mix Advisor and the HPE Edge-to-Cloud Adoption Framework help customers plan for modernisation while meeting environmental goals. Additionally, the HPE Sustainability Insights Centre offers energy and carbon emissions reporting, enabling customers to make data-informed decisions to reduce costs and achieve their sustainability objectives.

HPE's supercomputing systems have also demonstrated progress in energy efficiency. A total of 103 HPE systems were ranked on the Green500 list of the world's most energy-efficient supercomputers, with six among the top ten. The latest generation of HPE ProLiant Gen11 servers has been designed to consolidate and expand compute capabilities within a smaller footprint, reducing power, cooling, floor space, and licensing costs.

In terms of social responsibility, HPE has focused on respecting human rights across its operations. In 2023, the company set new supply chain responsibility targets, including worker training and the elimination of recruitment fees.

HPE also expanded its AI Ethics Principles to guide product development, partnerships, and sales, and established an AI Ethics Advisory Board to ensure alignment with ethical standards.

HPE has also maintained a culture of unconditional inclusion, reflected in its leadership diversity. In 2023, 46% of HPE Board members were women, and 15% were ethnically diverse, with the Executive Committee being 50% female. The company's efforts to engage and retain top talent are evident in team member engagement scores and voluntary turnover rates, both of which surpass industry averages.

Furthermore, HPE's commitment to equity extends beyond its workforce. The company has launched several tech accelerator programmes aimed at supporting startups with social impact missions. These programmes, initiated in September 2023, offer these startups the technology and funding necessary to pursue their goals, particularly in combating climate change.

HPE has also received various recognitions for its ethical standards and business practices. In 2023, HPE was ranked first on the JUST100 list and received several other accolades, including MSCI ESG Rating AAA, EcoVadis Platinum recognition, and being named one of Ethisphere's World's Most Ethical Companies for the sixth consecutive year.