Our net zero ambition - Science Based Targets
Sustainability isn't a box to tick, it is a continuous effort. We work together with our customers and communities to make innovative changes that bring a real difference.
Climate change is one of the biggest challenges of our time, and issues, as well as concerns about energy availability, are expected to continue to intensify.
We are committed to improving the communities where we live and work and are determined to do what we can toward net zero greenhouse gas emissions, as the sustainability leader in our industry.
Hence, Alleima has committed to set targets in line with the Science Based Targets initiative, consistent with the Paris Climate Agreement of keeping global warming below 1.5° C. We also commit to becoming a net-zero carbon emissions company by 2050 at the latest.
Joining the Science-based Target initiative (SBTi), supported by United Nations, although a strong sustainability timeline already, is, so far, the most significant milestone in the sustainability journey at Alleima.
“Sustainability is present in all aspects of our operations and is an integral part of our commercial strategy. The main contribution to sustainability is through our product offering, enabling the transition to renewable energy sources, electrification of industries, innovation in the medical sector and much more. We also actively seek to minimize the impact on the environment via our operations”, says Göran Björkman, President and CEO of Alleima.
We base our production on more than 80% recycled steel and use more than 94% fossil-free electricity to name a few examples.
"This is a natural step for us in doing our part in combatting climate change. As scientists have shown, the CO2 emissions must come down to much lower levels and the Paris Agreement with its 1.5-degree target is clear"
Our long-term sustainability targets reflect our commitment to be at the forefront of sustainability and to advance industries through sustainable offerings and operations, and to halve our scope 1 and 2 CO2 emissions by 2030, which is aligned with SBTi and part of their process.
“Joining the Science Based Target initiative is a further demonstration of our sustainability ambition. Our advanced materials have been produced with a low carbon footprint and enable customers to be more sustainable. The SBTi will add credibility, clarify our ambition for our customers, and enable us to actively work with our supply chain to address their carbon footprint”, Björkman continues.
Alleima, is already a signatory to several international principles and initiatives, including the UN's global goals for sustainable development and the UN's Global Compact. The principles form the basis of the company's code of conduct and the code of conduct for suppliers.
Why is Alleima committing?
We constantly work with customers and suppliers to develop more productive, safer and more sustainable solutions, The Science Based Targets strengthen the commitment to our sustainability agenda, doing this in an even more transparent way, and pushing a positive collaborative effort.
“This is a natural step for us in doing our part in combatting climate change. As scientists have shown, the CO2 emissions must come down to much lower levels and the Paris Agreement with its 1.5-degree target is clear”, says Håkan Sundström, Head of Governance and Sustainability at Alleima.
“Now, we will develop and get approval for a plan that shows how our scope 1, 2 and 3 CO2 emissions are reduced to net zero by 2050. As of the date of commitment, we have 24 months to get our targets ratified by SBTi”, says Johnny Ulander, Sustainability Specialist and Project Lead for SBTi at Alleima.
“We already have a good understanding of our scope 1 and 2 CO2 emissions and what is needed to reduce these emissions. The challenge with this commitment is within scope 3 emissions, which are those coming from products and services we buy from someone else. Two examples are raw materials used in steel production and transports of goods to customers”, Ulander continues.
Sustainability driver at our core
“To me, this decision shows in a clear way how we as a company will do what’s needed to reach net zero CO2 in our own operations and supply chains, at the same time as we continue to supply products to our customers that reduce their own emissions. Strategically, this is a very strong position to have”, ends Sundström.
What is Scope 1, 2 and 3 emissions?
Scope 1 emissions are direct greenhouse (GHG) emissions that occur from sources that are controlled or owned by an organization (e.g., emissions associated with fuel combustion in boilers, furnaces, vehicles and process emissions).
Scope 2 emissions are indirect GHG emissions associated with the purchase of electricity, steam, heat, or cooling.
Scope 3 emissions are the result of activities from assets not owned or controlled by the reporting organization, but that the organization indirectly impacts in its value chain. Scope 3 emissions include all sources not within an organization's scope 1 and 2 boundaries. The scope 3 emissions for one organization are the scope 1 and 2 emissions of another organization. Scope 3 emissions, also referred to as value chain emissions, often represent the majority of an organization's total GHG emissions.
About SBTi
The SBTi is a partnership between CDP, the United Nations Global Compact, World Resources Institute (WRI) and the World Wide Fund for Nature (WWF). More than 4,000 businesses and financial institutions are working with the Science Based Targets initiative (SBTi) to reduce their emissions in line with climate science.
Through the 2015 Paris Agreement, world governments committed to limiting global temperature rise to well below 2°C above pre-industrial levels and pursuing efforts to limit warming to 1.5°C. In 2018, the Intergovernmental Panel on Climate Change (IPCC) warned that global warming must not exceed 1.5°C above pre-industrial temperatures to avoid the catastrophic impacts of climate change. To achieve this, greenhouse gas (GHG) emissions must halve by 2030 – and drop to net zero by 2050.
Read more about https://sciencebasedtargets.org/