Climate Change Data

Kyndryl Holdings, Inc.

Climate Impact & Sustainability Data (2024)

Reporting Period: 2024

Environmental Metrics

Scope 1 Emissions:33890 tCO2e/year
Scope 2 Emissions:258113 tCO2e/year (market-based)
Scope 3 Emissions:587393 tCO2e/year
Renewable Energy Share:51.4%
Total Energy Consumption:1583148 MWh/year
Water Consumption:1237000 m3/year
Carbon Intensity:18.2 tCO2e/unit currency total revenue

ESG Focus Areas

  • Climate Change
  • Biodiversity
  • Water

Environmental Achievements

  • Published greenhouse gas baseline emissions with limited third-party assurance.
  • 2040 net-zero targets and 2030 near-term emissions reduction targets validated by the Science Based Targets initiative.
  • Obtained global ISO 14001 and 50001 certifications for our integrated Environmental and Energy Management System.

Social Achievements

  • Launched Plastics-Free Rivers Hackathon in collaboration with REVA University.

Governance Achievements

  • Incorporated corporate citizenship goals as part of the Annual Incentive Plan for executive compensation.
  • Established a credible climate transition plan aligned with a 1.5°C world.

Climate Goals & Targets

Long-term Goals:
  • Net zero emissions by 2040
Medium-term Goals:
  • Achieve 100% renewable energy by 2030
  • 50% reduction of overall GHG emissions by 2030
Short-term Goals:
  • Reduce water consumption intensity

Environmental Challenges

  • Increased compliance costs due to energy efficiency requirements and stringent ESG regulations, particularly in Europe.
  • Increased cost of procuring renewable energy and reduced market availability in Kyndryl’s areas of operation.
  • Increased stakeholder pressures due to perceptions of Kyndryl’s climate resiliency and overall sustainability impacts.
  • Acute physical risks (flooding, water stress, etc.) to a small number of facilities.
  • Chronic physical risks (extreme heat, cold, water stress, etc.) to a small number of facilities.
Mitigation Strategies
  • Increasing energy efficiency through IT equipment modernization, workload consolidation, and cooling efficiency projects.
  • Developing a renewable procurement strategy to assess future availability and accessibility of renewable energy.
  • Engaging in multi-stakeholder initiatives and keeping stakeholders updated on ESG efforts.
  • Establishing resiliency in data centers to avoid disruption from climate-related disasters.
  • Implementing and continually testing robust redundancy measures for power and cooling systems within datacenters.

Supply Chain Management

Supplier Audits: 90% of high-impact suppliers engaged in FY2024

Responsible Procurement
  • RBA Code of Conduct
  • Ecovadis platform

Climate-Related Risks & Opportunities

Physical Risks
  • Flooding
  • Water stress
  • Extreme heat
  • Extreme cold
  • Wildfires
  • Tropical cyclones
  • Landslides
Transition Risks
  • Increased compliance costs
  • Increased cost of renewable energy
  • Regulatory changes
  • Market shifts
  • Stakeholder pressures
Opportunities
  • Enhanced climate resiliency
  • Renewable energy programs
  • Energy efficiency management
  • Expansion of Sustainability linked Services to customers
  • Increased upstream value chain resilience
  • Increased resilience to impacts of climate change

Reporting Standards

Frameworks Used: GRI, SASB, TCFD

Certifications: ISO 14001, ISO 50001

Third-party Assurance: ERM CVS

UN Sustainable Development Goals

  • Goal 7
  • Goal 13

Initiatives contribute to Goal 7 (Affordable and Clean Energy) through renewable energy procurement and energy efficiency projects, and to Goal 13 (Climate Action) through emissions reduction targets and climate transition planning.

Sustainable Products & Innovation

  • Sustainable Data Centers
  • Cloud technologies
  • Automation, AI, and Data solutions
  • Digitizing the workplace

Awards & Recognition

  • 100 Best Ideas award from El Mundo’s Actualidad Económica (ReforestAI project)