Colorcon Inc

Carbon per million dollars of revenue. The legacy industry-standard reference (CDP, MSCI). Useful for cross-sector context, but distorted by margin — high-margin firms appear artificially efficient. Read alongside the operational and asset intensities for the full picture.

OpEx (operating expenditure) is the running cost of the business — staff, services, energy, materials. This shows how carbon-intensive operations are per million dollars of spend. Removes the margin distortion that revenue-based ratios introduce.

EVIC (Enterprise Value Including Cash) is the firm's total capital footprint — equity + debt + cash + minority interest. The EU's standard intensity measure (SFDR PAI 3) — answers: how much carbon does each million of capital deployed in this business produce?

PP&E (Property, Plant & Equipment) plus leased real-estate assets is the firm's physical infrastructure on the balance sheet. This shows the carbon intensity of that physical footprint — uses Scope 1+2+3 for consistency with the other headline intensities. Surfaces stranded-asset risk for asset-heavy firms.

Colorcon sources 24% of electricity from renewables in 2024 (up from 0% in 2021 baseline) through a mix of on-site solar generation and renewable energy credits. India locations have implemented on-site solar providing 30% and 5% of electricity at two sites respectively. The remainder is from purchased renewable energy credits. Climate action goal is to achieve a minimum of 90% renewable electricity usage by 2030.

The report does not discuss durable carbon removals (DAC, BECCS, biochar) or nature-based removal credits. Decarbonisation strategy relies on direct emissions reduction (renewable electricity procurement, energy efficiency, HVAC upgrades) rather than removals or offsets.

• HVAC and natural gas reduction (Scope 1)

  Since 2021, natural gas consumption has declined 23% (from 2,503,509 m³ to 1,933,328 m³), contributing to a 39% reduction in Scope 1 emissions through upgrades such as new HVAC systems. Energy audit plan to be developed by end of 2025 followed by comprehensive action plan.

• Energy efficiency at facilities (LEED, airflow optimization)

  All new Colorcon facilities required to incorporate resource-efficient operations including energy, HVAC, compressed air, lighting and water systems. Corporate HQ in Harleysville, PA has LEED Gold certification; LEED Silver is minimum standard for new construction. Optimizing airflow and upgrading air conditioning has lowered electricity consumption 1.6% since 2021 despite four additional sites.

• Renewable electricity procurement and on-site solar (Scope 2)

  Scope 2 market-based emissions reduced 14% vs 2021 baseline despite adding 8 new sites, driven by 24% renewable electricity sourcing in 2024. Plans for additional PPAs and on-site solar at India sites (30% and 5% of electricity already supplied at two sites). Target 90% renewable electricity by 2030.

• Product life cycle assessment and recycled packaging

  Life cycle assessment process to be implemented in 2025; target of LCAs for 25% of products by 2026. 100% of new controlled atmosphere packaging products to be tested for recyclability starting 2025. Assessing use of recycled materials in packaging where regulatory limits (pharmaceutical/food contact) allow.

• Supplier engagement and CSR risk assessment

  All suppliers assessed for CSR risks (corruption, slavery, child/forced labor, environmental). Goal: 100% supplier Code of Conduct signatures by 2030; physical audits for all high-risk suppliers by 2030. New/renewed contracts to contain formal environmental, labor and human rights clauses by 2027. Colorcon has conducted webinars and developed supplier engagement plan targeting highest CSR-risk suppliers.