We have set two ambitious key targets for minimizing our greenhouse gas emissions.
- We reduce CO2 equivalent emissions in our own operations by 50% by the end of 2025 from 2018 level (scope 1 & 2 without compensation actions).
- We reduce carbon intensity in our value chain (scope 1 & 2 & 3) by 50% by the end of 2030 from 2020.
We have achieved -44% reduction of our own operations emissions from 2018 level. After excluding Nevel divested operations from the comparison, the emissions reduction is -20%. Majority of the reduction comes from soil emissions from our peat production areas, which have already reduced by -18%.
We will evaluate options to increase carbons sinks utilising our land assets, as well as pilot alternative horticultural peat harvesting techniques such as using peat mass transfer method to reduce CO2 emissions.
Effective land use reduces emissions
Currently 91% of Neova Group’s emissions in Finland are soil emissions. Our main efforts for reducing emissions from our own operation focus in implementing effective next land use for closed peat production areas.
Towards renewable electricity
In our factory operations, our main efforts for reducing emissions are increasing energy efficiency and reducing fossil fuel use in our sites. In Kekkilä-BVB operations 44% of our CO2 emissions are caused by use of electricity. In the Netherlands we already produce 25% of our electricity consumption through solar panels on our own roofs. Our aim is to move towards renewable electricity totally by 2025.
Emissions are counted according to international protocol
Neova Group greenhouse gas emissions are counted according to GHG Protocol and validated by external party. The carbon footprint calculation includes Neova Group and all its subsidiaries. In 2021 the emissions were 4.28 million tonnes CO2 equivalent. The largest share of emissions, 77% of the total footprint, is caused by the use and end-of-life of products sold by Neova Group. Looking at scope 3 in more detail, the use of energy peat accounts for 59% of these emissions. Out of our scope 1 direct emissions, peat land emissions cause 89%.
Logistics CO2 reporting is part of new logistics agreements
During 2021 we implemented CO2 emission reporting for our Group logistics and based on that data created action plan for logistics CO2 reduction in 2022. Reporting cycle for logistics emissions is July-June annually. Overall, our logistics CO2 emissions are 1.3% of our total scope 3. We target to ~4% relative logistics CO2 reduction (kg CO2 / delivered tonne) between 7/2021 and 6/2022. In 2022 we will start to request regular logistics CO2 reporting from our logistics providers in new agreements.
Moving forward, we will focus on greenhouse gas emissions in our value chain covering scope 1+2+3, and aim to reduce our carbon intensity by 50% by end of 2030 (from 2020). In addition, we will publish our CO2 emissions in Carbon Disclosure Project (CDP) in 2022, and evaluate the options for setting Science Based Targets (SBTi).