Dollar Tree, Inc.
Climate Impact & Sustainability Data (2022)
Reporting Period: 2022
Environmental Metrics
Total Carbon Emissions:18,052,024 tCO2e/year
Scope 1 Emissions:421,840 tCO2e/year
Scope 2 Emissions:955,841 tCO2e/year
Scope 3 Emissions:18,052,024 tCO2e/year
Renewable Energy Share:0%
Total Energy Consumption:3,170,120 MWh/year
ESG Focus Areas
- People
- Climate
Environmental Achievements
- Recycled 370,679 tons of cardboard, paper, plastic, and pallets
- Opened 464 new stores meeting In-Store Energy Efficiency Standard
- Invested $45 million in energy efficiency upgrades (2022)
- 584 new stores equipped with LED lighting and EMS technology (2022)
Social Achievements
- Invested over $360 million in hourly wages for associates
- Promoted more than 63,000 associates
- Reduced store leadership turnover rate by almost 14%
- Conducted racial equity assessments with Russell Reynolds Associates and Ivy Planning Group
- Launched a Comprehensive Approach to Store Safety (CASS)
Governance Achievements
- Established a Sustainability and Corporate Social Responsibility Committee (SCSRC) in 2022
- Appointed a Chief Sustainability Officer (CSO) in October 2022
- Completed a TCFD-aligned climate risk assessment
Climate Goals & Targets
Long-term Goals:
- Net Zero emissions by 2050
Medium-term Goals:
- Achieve Net Zero emissions by 2050 (science-based target to be set by June 30, 2024)
Short-term Goals:
- Reduce scope 1 and 2 emissions by 25% per square foot by 2031
Environmental Challenges
- Increased frequency and severity of extreme weather events impacting operations and supply chain
- Rising average temperatures impacting associate productivity, health, safety, and wellbeing
- Climate-related regulations on products and operations
- Increased cost of goods sold due to supplier compliance with carbon taxes
- Cost of adopting renewables/clean energy
Mitigation Strategies
- Disaster planning for stores and critical infrastructure
- Precautions for extended power outages (e.g., dry ice for freezers)
- Associate Relief Fund for weather-related hardship
- OSHA-compliant heat safety program
- Climate-controlled stores and (eventually) distribution centers
- Energy efficiency measures (cool roofs, low-emissivity windows)
- Monitoring environmental regulations and compliance
- 25% reduction in scope 1 and 2 emissions per square foot by 2031
- LED lighting transition
- HVAC upgrades
- Freezer/cooler replacements
- EMS technology implementation
- Working with suppliers to reduce scope 3 emissions
- Due diligence on cost-effective renewable energy procurement
Supply Chain Management
Responsible Procurement
- Safer Chemistry plan
- Commitment to Cage-Free Eggs
- Sustainable Sourcing Commitment (including Palm Oil and Pollinator Protector Policies)
- Working with suppliers to reduce GHG emissions
Climate-Related Risks & Opportunities
Physical Risks
- Extreme weather events
- Rising average temperatures
Transition Risks
- Climate-related regulations
- Increased cost of goods sold due to supplier compliance with carbon taxes
- Cost of adopting renewables
Opportunities
- Waste reduction
- Improved energy efficiency
- Customer preference for sustainable products
Reporting Standards
Frameworks Used: SASB, TCFD, CDP, WRI GHG Protocol
Awards & Recognition
- Newsweek Great Workplace for LGBTQ+ associates (2023)