Neste revises some of its climate targets
In Finland, SAF producer Neste revised some of its climate targets due to the company’s current financial position and streamlined investment portfolio.
Reaching the original climate targets by the previously communicated very ambitious target years would have required significant investments that are currently not realistic, the firm said. Neste said it continues to drive growth in renewable fuels, providing alternatives to fossil fuels to mitigate climate change.
Neste sets a carbon footprint target of reducing greenhouse gas emissions in its own operations (Scope 1 & 2) by 80% by 2040, replacing the target of reaching carbon neutral production by 2035. The timeline for the related interim target of 50% emission reduction is extended from 2030 to 2035. With these changes Neste focuses solely on absolute emission reductions in its own operations and removes the option of using emission compensation from its climate target setting. Two of Neste’s climate targets remain unchanged: the carbon footprint target to reduce the use-phase emission intensity of sold products by 50% by 2040, and the carbon handprint target to help customers reduce their greenhouse gas emissions by 20 tons annually by 2030.
“The company’s original targets to reduce its carbon footprint were based on a plan to transform Neste’s Porvoo refinery into a renewable and circular solutions refining hub by 2035. Since we announced the delay of Porvoo refinery transformation earlier this year, we have conducted a careful assessment of our climate targets to ensure they are ambitious but realistic. Neste’s current financial position does not allow further major capital expenditure beyond the ongoing investment in expansion of our renewables refinery in Rotterdam. As investment projects in our industry take years to complete, the timelines of our climate targets have to be delayed under the current circumstances,” said Neste’s CEO Heikki Malinen.
Category: SAF
