Climate Change Data

Canadian Pacific Kansas City Limited (CPKC)

Climate Impact & Sustainability Data (2022, 2023)

Reporting Period: 2022

Environmental Metrics

Total Carbon Emissions:3,050,198 tCO2e/year
Scope 1 Emissions:3,008,855 tCO2e/year
Scope 2 Emissions:41,343 tCO2e/year
Scope 3 Emissions:1,626,646 tCO2e/year
Total Energy Consumption:11,143,663 MWh/year
Waste Generated:4,772 tons/year
Carbon Intensity:0.0003461 tCO2e per CAD of total revenue

ESG Focus Areas

  • Climate Change

Environmental Achievements

  • Improved locomotive fuel efficiency by 43 percent since 1990
  • Completed successful movement and freight service testing with the first converted hydrogen locomotive
  • Launched a web-based Carbon Emissions Calculator for rail customers

Social Achievements

  • Became the first freight rail company in North America to participate in the United Nations Global Compact

Governance Achievements

  • Established a Carbon Reduction Task Force (CRTF)
  • Board-level oversight of climate-related issues through the Risk and Sustainability Committee (RSC)

Climate Goals & Targets

Long-term Goals:
  • Develop a GHG emissions reduction target aligned with a 1.5°C future within two years
Medium-term Goals:
  • Reduce locomotive well-to-wheel GHG emissions per revenue ton-miles by 38.3 percent by 2030

Environmental Challenges

  • Increased direct costs due to carbon pricing mechanisms
  • Decreased revenues due to reduced demand for products and services (particularly coal, crude oil, and petroleum products)
  • Decreased revenues due to business interruptions from acute physical risks (wildfires and flooding)
Mitigation Strategies
  • Investments in locomotive modernization and retrofitting, efficient grain hopper cars, the Hydrogen Locomotive Program, and a solar farm
  • Investments in infrastructure upgrades to increase network capacity (e.g., DRU project)
  • Infrastructure improvements, emergency preparedness planning (Severe Weather Management plan, Winter Contingency Plan), and a pilot study to evaluate climate risks

Supply Chain Management

Supplier Audits: 25.4% of suppliers by procurement spend have to comply with ESG questionnaire

Responsible Procurement
  • Supplier Code of Conduct
  • Supplier ESG questionnaire

Climate-Related Risks & Opportunities

Physical Risks
  • Wildfires
  • Flooding
Transition Risks
  • Carbon pricing
  • Market shifts in coal, crude oil, and petroleum products
Opportunities
  • Increased demand for low-carbon rail services
  • Hydrogen fuel cell technology
  • Expanding renewable fuel markets

Reporting Standards

Frameworks Used: Greenhouse Gas Protocol, TCFD

Third-party Assurance: GHD

Sustainable Products & Innovation

  • High-efficiency product grain train (HEP train)
  • Hydrogen-powered locomotives

Reporting Period: 2023

Environmental Metrics

Total Carbon Emissions:Not disclosed
Scope 1 Emissions:Not disclosed
Scope 2 Emissions:Not disclosed
Scope 3 Emissions:Not disclosed
Renewable Energy Share:Not disclosed
Total Energy Consumption:Not disclosed
Water Consumption:Not disclosed
Waste Generated:Not disclosed
Carbon Intensity:Not disclosed

ESG Focus Areas

  • Climate Change

Environmental Achievements

  • Reduced well-to-wheel (WTW) locomotive emissions by 36.9% per gross ton-mile by 2030 from a 2020 base year.

Social Achievements

  • Not disclosed

Governance Achievements

  • Established a Carbon Reduction Task Force (CRTF) in 2022, composed of industry-leading engineers and operations experts to evaluate, recommend and implement climate action measures.

Climate Goals & Targets

Long-term Goals:
  • Develop a CPKC emissions reduction target aligned with a 1.5ºC future within the next two years.
Medium-term Goals:
  • Not disclosed
Short-term Goals:
  • Reduce well-to-wheel (WTW) locomotive emissions by 36.9% per gross ton-mile by 2030 from a 2020 base year.

Environmental Challenges

  • Integrating the operations of CP and KCS, harmonizing emissions inventories, engaging with the extended value chain on potential carbon mitigation opportunities, updating climate scenario analysis, and updating external reporting practices.
Mitigation Strategies
  • Working to develop a CPKC climate transition plan, integrating data management systems, engaging with the extended value chain, working with SBTi to establish a 1.5°C aligned emissions reduction target, and assessing climate risks and opportunities.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement
  • Not disclosed

Climate-Related Risks & Opportunities

Physical Risks
  • Not disclosed
Transition Risks
  • Not disclosed
Opportunities
  • Not disclosed

Reporting Standards

Frameworks Used: SBTi, TCFD, GRI, SASB

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

  • Not disclosed

Not disclosed

Sustainable Products & Innovation

  • Hydrogen Locomotive Program

Awards & Recognition

  • Not disclosed