lenzing.com

Lenzing Group’s current carbon footprint

[GRI 302-1, 302-3, 305-1, 305-2, 305-3, 305-4, 305-5; ESRS E1-1, E1-2, E1-3, E1-4, E1-5, E1-6]

Lenzing’s Scope 1, 2 & 3 emissions

The Greenhouse Gas Protocol classifies emissions into three Scopes: scope 1 emissions cover all direct emissions from a company’s activities or activities under their control, including fuel combustion on site, e.g. from burning coal and own vehicles. Scope 2 emissions cover indirect emissions from electricity and heat purchased and used by the company.

Scope 3 emissions are defined as all other indirect emissions from the organization’s activities occurring from sources that it does not own or control and covering emissions along the value chain, for example, purchased goods and services such as chemicals and logistics.

Carbon footprint

Carbon footprint (illustration)

Despite Lenzing’s business model, which is firmly rooted in the use of wood from well-managed forests and plantations that sequester carbon, the company does not assume that this alone is enough, given the current climate science. Lenzing goes further by drastically reducing the current fossil-based emissions from its own production and supply chain and innovating new technologies for further decarbonization to pave the way towards carbon neutrality by 2050. The Group advocates this bold approach to its industry rather than being complacent about the inherent climate advantage of the wood-based fibers business model.

Fuel sources used in the Lenzing Group

Lenzing, Austria

Biomass and waste, natural gas, coal

Heiligenkreuz, Austria

Natural gas, biomass and biogas

Paskov, Czech Republic

Biomass and biogas, natural gas

Grimsby, UK

Natural gas

Mobile, USA

Natural gas

Nanjing, China

Coal, natural gas

Purwakarta, Indonesia

Coal, natural gas

Prachinburi, Thailand

Biomass

Indianópolis, Brazil

Biomass and oil

Energy sources

Energy sources (bar chart)
Sources: World Energy Outlook 2018, Lenzing AG. Includes own energy consumption and energy from providers, excluding grid power, which is a minor fraction of total scope 1 and 2 energy consumption in the Lenzing Group. The production sites in Paskov, Grimsby, Mobile, and Heiligenkreuz do not use coal as a fuel source in their own operations, whereas the Asian sites, i.e. Nanjing and Purwakarta, predominantly use coal.

The production volume of pulp and cellulosic Fibers is directly linked to the amount of consumed energy and, hence, emissions related to energy use. In 2022, the economic crisis and correspondingly challenging market environment forced temporary shutdowns of production lines or even whole sites, which led to a significant decrease in primary energy consumption (table 11). Total primary energy consumption was on the same level as 2020, but the share of renewable fuels increased slightly. The specific energy consumption index improved by 0.2 percent compared to 2021.

In 2022, absolute CO2 emissions in all Scope’s decreased significantly. CO2 intensity of scope 1, 2 & 3 also strongly decreased in 2022 compared to 2021. Reason for these is the slightly lower production volume as well as the implementation of various improvements (see the section “Highlight 2022” in this chapter).

Primary energy consumption of the Lenzing Group

Million GJ

2014

2020

2021

2022

Primary energy consumptiona

43.10

37.97

42.45

38.62

Fossil primary energy

23.39

18.30

21.78

18.51

Renewable primary energy

19.71

19.67

20.67

20.11

Specific primary energy consumptionb
(index in percentage based on GJ/t, 2014 = 100 %)

100 %

97.30 %

97.40 %

97.60 %

a)

Lenzing discloses both direct and indirect energy consumption. According to the Greenhouse Gas Protocol, scope 1 relates to energy consumed directly by the Lenzing Group and Scope 2 concerns energy purchased from energy suppliers and from the public grid. Primary energy here includes all forms of energy such as electricity and steam. All energy sources such as fossil (coal, oil, natural gas) and renewable (biomass, waste fuels, hydro, wind, etc.) were included.

b)

Specific indicators are reported per unit of production. This applies to all specific indicators in this report, except for CO2 emissions.

Greenhouse gas emissions of the Lenzing Group

Million metric tons CO2 eq.

2017a (baseline year)

2020

2021

2022e

Direct emissions, scope 1

1.16

0.88

1.08

0.92

Indirect emissions, scope 2

0.63

0.50

0.53

0.35

Total scope 1 & 2 GHG emissionsb

1.78

1.38

1.61

1.27

Indirect emissions, scope 3c

1.89

1.46

1.82

1.45

Total scope 1, 2 & 3 GHG emissions

3.67

2.84

3.43

2.72

Total biogenic CO2 emissions, scope 1

 

1.52

1.90

1.83

Greenhouse gas emissions intensityd

 

 

 

 

Specific emissions, scope 1 & 2
(tons CO2 eq. per ton product sold)

1.67

1.40

1.47

1.33

Specific emission index, scope 1 & 2
(index in percentage based on t CO2 eq./t, 2017 = 100 %)

100 %

83.60 %

88.00 %

79.30 %

Specific emissions, scope 3c
(tons CO2 eq. per ton product sold)

1.77

1.54

1.66

1.51

Specific emission index, scope 3c
(index in percentage based on t CO2 eq./t, 2017 = 100 %)

100 %

86.40 %

93.80 %

85.10 %

Specific emissions, scope 1, 2 & 3c
(tons CO2 eq. per ton product sold)

3.45

2.94

3.14

2.84

Specific emission index, scope 1, 2 & 3c
(index in percentage based on t CO2 eq./t, 2017 = 100 %)

100 %

85.00 %

91.00 %

82.30 %

a)

2017 has been chosen as a baseline year, because in 2018 the science-based targets (SBT) were developed and 2017 was the most recent year during the target development

b)

Includes both scope 1 & 2 emissions of all greenhouse gases (CO2, CH4, N2O, HFCs, PFCs, SF6, NF3), expressed as CO2 equivalents. Scope 1 emissions are calculated based on emission factors from the EU Emission Trading System and scope 2 emissions are calculated according to a market-based method. Scope 2 emissions according to the location-based approach are 0.52 mn tons CO2 equivalents in 2022.

c)

Recalculation of scope 3 emissions from 2017 to 2021 based on updated data from market pulp suppliers.

d)

Intensity indicators (i.e. specific CO2 emissions) are reported based on pulp and fiber sold as in SBT

e)

GHG accounting regarding GHG protocol using GWP potential for greenhouse-gases from IPCC Fifth Assessment Report (AR5 – 100 year). Scope 1 emissions factor source: measurements and Ecoinvent values. Scope 2 emissions factor source: suppliers. Scope 3 emission factor source: Ecoinvent, Ecotransit and supplier data.

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