MasterCard and the UN have joined forces to produce a credit card that measures your ‘carbon footprint’. Once you reach your limit, you can no longer make purchases.
Mastercard unveils new Carbon Calculator tool for banks globally, as consumer passion for the environment grows
April 12, 2021 | Purchase, NY
- New study of consumers in 24 countries shows the pandemic is prompting billions1 to consider more sustainable behaviors
- A large proportion of adults (85%) state they’re willing to take personal action to combat environmental and sustainability issues in 2021
- New Mastercard feature enables banks to equip people with carbon footprint data and insights to help inform consumer spending and offer ways to contribute to reforestation
New research on sustainability, commissioned by Mastercard, reveals a marked increase in consumer passion for the environment as a result of COVID-19. More than half of those surveyed across the world (54%) see reducing their carbon footprint as more important now than pre-pandemic. This signals a growing trend toward eco-conscious spending and consumption among people who want to turn their purchases and rewards redemption into meaningful action for the planet.
To address this, Mastercard, in collaboration with Swedish fintech Doconomy, developed the Mastercard Carbon Calculator. Now integrated across Mastercard’s global network, this feature is easy for banks to adopt and customize for eco-conscious consumers who are looking for more ways to be informed about their spending. It provides access to insights and data about carbon impact and enables people to easily contribute to preserving the environment.
“Companies, consumers and communities must work together to make the significant changes needed to effectively address climate change,” said Jorn Lambert, Chief Digital Officer, Mastercard. “The Mastercard Carbon Calculator informs consumers about the carbon footprint of their purchases, so that they can make more mindful spending decisions and contribute to forest restoration. By embedding sustainability into the very fabric of our business, we can unlock the power of our network, reaching billions of consumers and partners, to create positive change for the environment. This builds on the creation last year of the Priceless Planet Coalition, which unites businesses and consumers to restore 100 million trees.”
The Carbon Calculator enables consumers to receive a snapshot of the carbon emissions generated by their purchases across spending categories. The calculations are powered by the independently verified Åland Index and can be further enhanced with relatable and easy-to-understand equivalents (such as the number of trees required to absorb the same amount of CO2), and tips about living more sustainably. Consumers also have the option to contribute to forest restoration projects of the Priceless Planet Coalition – whether by donating (using Mastercard Donate APIs) or using banks’ loyalty rewards programs. Banks can seamlessly integrate the Carbon Calculator into their mobile apps through new APIs that are now available on Mastercard Developers.
“By engaging a whole industry in enabling individual insights as well as collective action, Mastercard has redefined the role the financial industry can play every day in tackling the climate crisis,” said Mathias Wikström, Chief Executive Officer, Doconomy. “When others are talking of the importance of ESG, Mastercard is putting it to work at the fingertips of the consumer.”
Read More (MasterCard.com)
