The Science-Based Targets initiative is a collaboration between Carbon Disclosure Project, the UN Global Compact, World Resources Institute (WRI), and the World Wide Fund for Nature (WWF) which helps companies to set emissions reduction targets in line with the latest climate science and aligned with the Paris agreement.
The mass balance concept
Mass balance is an important mechanism to drive the large-scale transformation from virgin fossil raw materials to renewable or recycled materials. We apply Traceable Mass Balance which acknowledges the basic principles of mass balance but applies chemical and physical traceability.
Internal price on carbon emissions
Perstorp has implemented Internal Carbon Pricing for Scope 1, 2, and 3 emissions. Internal Carbon Pricing is a way to future-proof a company by driving investments that improve sustainability and reduces CO2 emissions. It is a mechanism to put an internal price on our CO2 emissions and take this into account in business cases and as the guiding principle for our decision-making.
“Reaching our science-based targets will require big efforts, including reducing energy consumption at our production sites and shifting to renewable or recycled energy and raw materials sources,” says Anna Berggren, VP Sustainability at Perstorp Group. “The investments and decisions we make today will generate emissions in the long future. Therefore, we need to take informed decisions where this risk factor is taken into account to support our journey towards our targets in 2030 and beyond. Internal Carbon Pricing is one very concrete way to implement sustainability aspects into our financial decision-making process.”
Sustainability Improvement investments
We have established a new investment category that is dedicated to investments in projects with sustainability benefits. This includes everything from large investment projects in our processes to smaller improvements such as installing more energy-efficient windows and electric vehicle charging stations. This category is intended to enable investments that have sustainability benefits and will be an important driver toward our 2030 sustainability targets. Projects in this investment category can have lower ROI requirements to ensure we prioritize important sustainability-driven investments.
Project Air – Chemistry for climate neutrality
Project Air is an initiative to make the chemical industry climate neutral, with far-reaching benefits throughout value chains. Together with partners Fortum and Uniper, Perstorp will produce 200,000 tons of sustainable methanol for chemical manufacturing using circular production methods. This will reduce carbon dioxide emissions in various value chains by about 500,000 tonnes per year, corresponding to the annual emissions of around 340,000 new cars running on fossil fuel.
We have started the work of converting a large majority of the polyols produced at our largest plant in Perstorp to Pro-Environment grades of our intermediate polyols Penta, Neo, and TMP. By doing this, we will enable reduced greenhouse gas emissions for our polyol customers and downstream value chains. The transition is an exciting and important step towards reaching our sustainability targets and in line with Perstorp's mission of being the sustainable solutions provider in our strategic segments.