One step closer to our net-zero emissions goal
Siemens Gamesa is carbon neutral
Late 2019, our carbon reduction strategy bore its first fruits and we became carbon neutral – a major milestone towards our long-term ambition of net-zero CO2 emissions by 2050. This was achieved with a combination of actions such as energy reduction and efficiency measures, relying on electricity from renewable energy-based sources, a green mobility plan to reduce fleet emissions, and offsetting non-avoidable emissions through compensation projects.
Climate change is a profound, systemic challenge. In 2019, its impact was felt by people across the globe: Venetians waded through the worst flooding in 50 years and Australian firefighters battled huge blazes described as unprecedented in their size and intensity. In Antarctica, the daily Arctic sea-ice extent minimum in September 2019 was the second lowest in satellite record. We recognized this challenge in 2018 by pledging to becoming carbon neutral by 2025 as part of our Sustainability Strategy 2018-20 (CSR Strategy 2018-20).
“Nobody can sit by and wait for others to solve the climate challenge for them, and the corporate world must play an active and leading role in the fight,” said Ben Hunt, Global Head of Corporate Affairs at Siemens Gamesa. “As a company, we recognize that the impact we have through the deployment of our wind energy technology must be matched by commitment to manage our own business in a sustainable and responsible manner.”
In fiscal year 2019, many energy efficiency projects were implemented that reduced absolute emissions coming from operations and construction. Measures included switching to LED lamps, exchanging diesel-fueled equipment to electric and making sustainable transportation options available to employees – just to name a few. These efficiency measures led to an overall reduction of 24% of our energy intensity. Noteworthy is also the 38% reduction of Siemens Gamesa’s greenhouse gas (GHG) emissions intensity in 2019.
Another step towards achieving carbon neutrality was to minimize the use of electricity from non-renewables by means of different corporate sourcing models. In 2019, 62% of Siemens Gamesa’s electricity needs were met by renewable sources. 100% electricity from renewable sources has already been achieved in Denmark, Germany Spain and the United Kingdom. Also notable is the fact that Siemens Gamesa owns wind farms and solar plants that produce enough clean electricity to exceed the company’s current energy demand.
Moreover, Siemens Gamesa has invested in the development of compensation projects focusing on renewable energy to balance out its carbon footprint. The wind power project Bii Nee Stipa in Oaxaca, Mexico, was registered as a Clean Development Mechanism (CDM) under the United Nations Framework Convention for Climate Change (UNFCCC). In fiscal year 2019, Siemens Gamesa voluntarily cancelled Certified Emission Reductions (CERs) on behalf of the Bii Nee Stipa project where energy could not be reduced, or renewables could not be sourced.
Not forgetting, Siemens Gamesa’s products support our customer’s efforts to reduce emissions: where our installed fleet of over 100 GW abates more than 260 million tons of CO2 emissions annually.
“We can be very proud of this achievement even by including off-setting in our measures. After all, we are not simply buying carbon credits from a third party, but have chosen a sustainable way to invest in renewable energy projects that in parallel enables us to cancel CERs,” said Gregorio Acero, Global Head of Quality Management & Health, Safety and Environment at Siemens Gamesa. “Our new status of carbon neutrality shows that we are walking the talk and not just making empty promises. Let me be clear, from here on out there is only one way and that is forward. Meaning, we cannot not be carbon neutral in the future so we will be working diligently towards fulfilling our long-term commitment of becoming net-zero CO2 emissions by 2050.”
“One strategic focus going forward will be on our Scope 3 emissions, which are indirect emissions thatoccur in our value chain. For that purpose, we aim to further strengthen our collaboration with suppliers to reduce the CO2 emissions from our supply chain. Thus, we are increasing the focus on sustainable business practices in the supplier selection process and performance management, for example urging transportation companies, primary marine and terrestrial companies to move away from fossil fuels in their activities” said Gregorio Acero.
We will of course continue our work with other decarbonization initiatives such as the Paris Pledge for Action or the American Business Act on Climate Pledge.Especially noteworthy though is Siemens Gamesa commitment to the Science Based Targets initiative (), which began in September 2018. The is a joint initiative by CDP, the UN Global Compact (UNGC), the World Resources Institute (WRI) and WWF intended to increase corporate ambition on climate action by mobilizing companies to set greenhouse gas emission reduction targets consistent with the level of decarbonization required by science to limit warming to less than 1.5/2°C compared to preindustrial temperatures.GregorioAcero’s team is currently finalizing the company’stargets, to be submitted for the initiative’sapproval. This will be the next big milestone on Siemens Gamesa’s carbon reduction journey.