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Greenhouse Gas Emissions

 

Greenhouse gas (GHG) emissions contribute to climate change. Understanding and

managing GHG emissions is important for companies to effectively mitigate
climate impacts and assess associated business threats and opportunities.

  Our Position
 

 
AT&T is committed to measuring and reducing our GHG emissions.
 

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Key Performance 2017 2018 2019 2020 2021

Indicators¹

U.S. carbon
footprint (Scopes
1, 2 & 3 in metric
10,716,169 11,081,005 9,387,488 7,932,357 6,736,954
tons [MT] CO₂
equivalent
[CO₂e])²

Global carbon
footprint (Scopes
11,639,219 12,035,873 10,419,308 8,614,713 7,380,987
1, 2 & 3 in MT
CO₂e)²

Greenhouse gas
emissions
intensity (Scopes 1 49,956 45,383 36,012 33,700 32,846
& 2 in MT CO₂e/$
billion of revenue)

Greenhouse gas
emissions
intensity (Scopes 1
36.61 38.21 30.59 25.39 22.45
& 2 in MT
CO₂e/1,000
subscribers)³

 
1 All
2021 data is inclusive of all AT&T operations (including DIRECTV, Vrio, Xandr and
WarnerMedia). Note: In July 2021, we completed a transaction with TPG Capital
involving our North America video business – including DIRECTV, AT&T TV and U-
verse – to form a new company called DIRECTV. In November 2021, we completed
the sale of our Latin America video operations, Vrio, to Grupo Werthein. In April
2022, we completed a transaction to combine our WarnerMedia segment, subject
to certain exceptions, with a subsidiary of Discovery Inc. In June 2022, we
completed the sale of the programmatic advertising marketplace component of
Xandr Inc to Microsoft.

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2 Carbon footprint does not include supplier emissions.

3 Intensity metrics relative to our total number of subscribers include North
America wireless, wireline voice and domestic broadband subscribers, as identified
in our fiscal year 2021 Form 10-K.

 
 

  Our Goals
 

  Our Action
 

AT&T has been measuring and disclosing our GHG emissions annually since 2008. In
2020, we committed to reaching carbon neutrality by 2035 across our entire global
operations. We will achieve net zero Scope 1 and 2 emissions 4 through steps such
as scaling our renewable energy use, accelerating network optimization and
energy efficiency projects, and transitioning our fleet to electric vehicles (EVs). For
more information, please see our Climate Strategy & Transition Plan. 

In 2021, AT&T joined the Science Based Targets initiative (SBTi) – a joint effort of
the Carbon Disclosure Project (CDP), World Wide Fund for Nature, United Nations
Global Compact and World Resources Institute to reduce our GHG emissions in line
with international consensus on limiting global temperature increases to 1.5°C.
AT&T’s SBTi-approved goals are to:

Reduce absolute Scope 1 and 2 GHG emissions 63% by 2030 (2015 base year).
Between 2015 and 2021, we reduced Scope 1 and 2 emissions 37.2% and are
currently ahead of our timeline to achieve our target by 2030. 1
Work to ensure 50% of our suppliers (covering purchased goods and
services, capital goods and downstream leased assets as a portion of spend)
set their own science-based Scope 1 and Scope 2 targets by 2024. Through
the end of 2021, 47% of our suppliers by spend have set such targets.

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Since most of our emissions are tied to energy use, we aim to meet these targets
by optimizing energy use in our facilities and networks, purchasing renewable
energy and engaging our key suppliers to encourage emissions reductions
upstream. Read more in our Energy Management issue brief.
The AT&T Implementation, Provisioning and Optimization organization oversees
numerous aspects of our business that impact GHG emissions, including energy
efficiency and energy conservation measures, decommissioning activities, and
renewable energy programs and purchases. Other measures affecting our
emissions – such as our fleet, employee travel and expense policies – are managed
within distinct departments in accordance with organizational directives and
procedures.
We evolve our GHG emissions management program and reporting tools to keep
pace with the changing landscape and scope of our company, as well as with
relevant standards, protocols and best practices. We work with an integrated
energy services provider to compile, analyze and produce annual reports related to
our GHG emissions. The content and methods related to data calculation,
estimation and aggregation are reviewed each year to identify opportunities for
improvement.
We also obtain annual, independent assurance of our Scope 1, 2 and 3 (select
categories) emissions, as well as select energy figures. For our 2021  reporting, S&P
Global Sustainable1 conducted this assurance effort. Its rigor in this process helps
us realize continual, year-over-year improvements in accuracy. Learn more in
the Independent Accountant’s Report.

Performance
In 2021, AT&T’s combined Scope 1 and market-based Scope 2 emissions decreased
4.16% relative to 2020. 1

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Scope 1 (Direct Emissions)

Scope 1 (direct) emissions account for 13.5% of our total reported emissions. 6 In
2021, we emitted 997,129 metric tons (MT) CO2e. 7 This represents a 4.56% year-
over-year decrease in Scope 1 emissions. 1

FLEET
AT&T expects to reduce its fleet emissions – which currently account for
approximately 52% of our Scope 1 emissions – at least 76% by 2035. Through the
end of 2021, our fleet emissions have decreased 131,386 MT CO2e – or 20.6% – from
our 2015 base year. This represents a year-over-year decrease of 27,421 MT CO2e –
or 5.1% – from 2020. 1 Although we expanded the fleet that supports our fiber and
5G network build-out, we reduced our overall fleet count. This overall vehicle
decrease drove our Scope 1 emissions reduction.

We are members of the Corporate Electric Vehicles Alliance, which serves as a

collaboration platform for companies to increase corporate demand for EVs and
identify challenges and opportunities with adding EVs to their fleets. Additionally,
in 2021, we began developing a Fleet Emissions Roadmap that will map our
expected progress over the next 10 years. The plan will identify work needed on
utility upgrades, plan site-specific readiness efforts and help us execute the
procurement of EV supply equipment and EVs.
REGRIGERANTS
Refrigerants account for more than 26% of AT&T’s Scope 1 emissions. 1 We are
developing an inventory database to account for all refrigerant usage and actual
fugitive emissions as opposed to the current methodology based on

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Environmental Protection Agency leakage rates. This will allow us to identify

hydrofluorocarbon (HFC)-free refrigerant replacements and develop a plan to
reduce fugitive emissions.

STATIONARY ENGINES

More than 11% of AT&T’s Scope 1 emissions come from our use of stationary
generator engines, which provide critical backup power to help maintain our
network reliability. 1 We are currently evaluating opportunities to use fuel cells and
other power generation options that will reduce our reliance on fossil-fuel backup
generation.

Scope 2 (Indirect Emissions)

AT&T reports emissions using market-based Scope 2 emissions in accordance with
the GHG Protocol, enabling us to account for renewable electricity in our portfolio.
Scope 2 emissions (from purchased electricity and steam – CO2,CH4, N2O) account
for the majority of our total operational emissions (Scope 1 and Scope 2, i.e., direct
and indirect). Our market-based Scope 2 emissions account for 82% of our
operational emissions and nearly 62% of our total reported (Scopes 1, 2 & 3)
emissions. In 2021, our year-over-year market-based Scope 2 emissions footprint
decreased 4.07%. 1

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Since purchased electricity represents our greatest opportunity for emissions

savings, we have multi-year transition plans in place to reduce electricity
consumption where possible and accelerate energy efficiency efforts. In addition
to reducing our energy use, we purchase renewable energy so that the energy we
do consume is sustainably generated. The primary reduction in Scope 2 emissions
resulted from additional renewable energy in our portfolio, the decommissioning
of network and real estate assets, and network radio resource efficiency
improvements. We also implemented various internal efficiency projects, including
building optimization modifications and repairs including HVAC upgrades and
lighting retrofits.

See our Energy Management issue brief for more information about our energy
programs.

Scope 3 (Other Emissions)

AT&T reports on 6 Scope 3 emissions categories that are material to our business.
In 2022, we are again evaluating the materiality of all 15 of the GHG Protocol
categories. Our most relevant sources of Scope 3 emissions include:
Scope 3 Emissions Sources
MT CO2e

2020 Emissions – Supplier Emissions 8

Purchased Goods and Services 1,499,797

Capital Goods 182,192

Upstream Transportation and Distribution 116,591

2021 Emissions

Waste Generated in Operations 9 73,053

Business Travel  10 102,171

Downstream Leased Assets 10 , 11 1,658,054

 
SUPPLIER EMISSIONS: PURCHASED GOODS AND SERVICES, CAPITAL GOODS,
UPSTREAM TRANSPORTATION AND DISTRIBUTION

We work with the CDP Supply Chain program to collect emissions data from our
top suppliers. This data enables us to estimate 3 Scope 3 supplier emissions
categories, including purchased goods and services, capital goods, and upstream
transportation and distribution. 8 We apply the economic allocation model to
calculate emissions estimates. Each year, CDP receives data from the previous

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year’s emissions, so data received in 2021 covers 2020 supplier emissions. Given the
annual 1-year lag in supplier emissions availability, those figures are not included in
our overall 2021 Scope 3 emissions total. Please see our Responsible Supply Chain
issue brief for further details about our supply chain efforts.

WASTE GENERATED IN OPERATIONS

To calculate our emissions related to waste generation, we use the Environmental
Protection Agency’s Waste Reduction Model. We delineate our waste material by
corrugated containers, office paper, dimensional lumber, yard trimmings, mixed
paper, mixed metals, mixed plastics, mixed recyclables, food waste, mixed organics
and mixed municipal solid waste.

BUSINESS TRAVEL
Our business-related travel includes air and rail travel and rental car use. It does
not include rideshare or taxi use.
DOWNSTREAM LEASED ASSETS
We track emissions from the operation of assets owned by AT&T and leased to
other entities (e.g., customers) that are not already included in Scope 1 or Scope 2.
Total emissions for leased assets for 2021 were 1.66 million MT CO2e, a 39.1%
decrease from 2020. 1

1All 2021 data is inclusive of all AT&T operations (including DIRECTV, Vrio, Xandr and
WarnerMedia). Note: In July 2021, we completed a transaction with TPG Capital involving our
North America video business – including DIRECTV, AT&T TV and U-verse – to form a new
company called DIRECTV. In November 2021, we completed the sale of our Latin America video
operations, Vrio, to Grupo Werthein. In April 2022, we completed a transaction to combine our
WarnerMedia segment, subject to certain exceptions, with a subsidiary of Discovery Inc. In June
2022, we completed the sale of the programmatic advertising marketplace component of
Xandr Inc to Microsoft.

4Scope 1 emissions include direct emissions from sources owned or controlled by the
company (such as the fleet). Scope 2 emissions include indirect emissions that result from the
generation of purchased energy.

5 Data does not include DIRECTV or Vrio.

6 Inclusive of global Scopes 1, 2 & 3 non-supplier emissions.

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7 Our Scope 1 total emissions of 997,129  MT CO2e can be further broken down by component –
CO2: 726,862 MT CO2e (726,862 MT CO2), CH4: 895 MT CO2e (32 MT CH4), N2O: 3,746 MT CO2e (14
MT N2O) and HFCs: 265,626 MT CO2e. These figures were calculated using average emission
factors.

8Purchased goods and services, capital goods, and upstream transportation and distribution
data is estimated based on economic allocation of 2020 supplier GHG emissions, revenue and
spend data for AT&T Communications. DIRECTV, Vrio, Xandr and WarnerMedia are not included.
The emissions are calculated from supplier responses to CDP Supply Chain using the industry-
accepted economic allocation model.

9 Data is inclusive of DIRECTV, Xandr and WarnerMedia for the full year. Note: In July 2021, we
completed a transaction with TPG Capital involving our North America video business –
including DIRECTV, AT&T TV and U-verse – to form a new company called DIRECTV. In June
2022, we completed the sale of the programmatic advertising marketplace component of
Xandr Inc to Microsoft. In April 2022, we completed a transaction to combine our WarnerMedia
segment, subject to certain exceptions, with a subsidiary of Discovery Inc.

10Data is inclusive of DIRECTV, Xandr, Vrio and WarnerMedia for the full year. Note: In July 2021,
we completed a transaction with TPG Capital involving our North America video business –
including DIRECTV, AT&T TV and U-verse – to form a new company called DIRECTV. In
November 2021, we completed the sale of our Latin America video operations, Vrio, to Grupo
Werthein. In June 2022, we completed the sale of the programmatic advertising marketplace
component of Xandr Inc to Microsoft. In April 2022, we completed a transaction to combine our
WarnerMedia segment, subject to certain exceptions, with a subsidiary of Discovery Inc.

11AT&T TV and U-verse set-top boxes are included through July 2021. In July 2021, we
completed a transaction with TPG Capital involving our North America video business –
including DIRECTV, AT&T TV and U-verse – to form a new company called DIRECTV. Vrio set-top
boxes are included through EOY 2021 because the exclusion of December emissions is
immaterial. In November 2021, we completed the sale of our Latin America video operations,
Vrio, to Grupo Werthein.

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