Sasol Climate Change Report 2023 - Book - Page 42
INTRODUCTION
TRANSFORMING FOR RESILIENCE
GOVERNANCE
CLIMATE ADVOCACY AND POLICY
DATA AND ASSURANCE
SCOPE 3
Our scope 3 emissions and accounting maturity
STRENGTHENING OUR SCOPE 3 ACCOUNTING //
Our scope 3 reduction approach balances improving baseline accounting and identifying
reductions with longer-term portfolio changes and other measures to reduce emissions
across our value chain.
Several measures were undertaken in 2023 to strengthen the robustness of our scope 3
accounting and improve baseline accuracy.
We have made good progress on refining our baseline, developing a deeper understanding of our
emissions and identifying and delivering opportunities for scope 3 reductions. The largest contributor to
our scope 3 emissions inventory is from Sasol Energy9s sold products (Category 11), predominantly in
South Africa. Reducing these emissions requires fundamental changes to our business model, which we
are assessing in line with our 2050 net zero ambition. We aim to undertake our most significant portfolio
and product changes after 2030, coinciding with our sustainable fuels and chemicals aspirations.
2023 Scope 3 emissions
Purchased goods and services
4,78
Capital goods Fuel- and energy-related activities
0,23
Upstream transportation
0,41
Waste generated in operations
0,08
Business travel
0,004
Employee commuting
0,04
Upstream leased assets
0,004
Downstream transportation
0,23
Processing of sold products
-
Use of sold products
29,11
End-of-life treatment of sold products
-
Downstream leased assets
-
Franchises
0,14
1,64
Investments
0
Category1
1. Purchased goods and services
2. Capital goods
3. Fuel- and energy-related activities2
4. Upstream transportation
5. Waste generated in operations2
6. Business travel2
7. Employee commuting
8. Upstream leased assets
9. Downstream transportation
10. Processing of sold products
11. Use of sold products2
12. End-of-life treatment of sold products
13. Downstream leased assets
14. Franchises
15. Investments3
Total
5
2023
(tCO2e)
4 780 323
232 099
408 021
75 981
3 576
36 986
3 662
230 114
29 108 286
143 007
1 642 528
36 664 583
30
Mt CO2e
2022
(tCO2e)
2021
(tCO2e)
5 247 445
5 432 140
N/A
249 435
240 993
402 850
478 974
77 345
70 159
2 007
600
36 237
32 584
3 725
4 785
273 038
253 280
N/A
29 585 273
30 831 235
Baseline under development
N/A
148 389
141 412
1 531 284
1 330 133
37 557 028
38 816 295
2020
(tCO2e)
Accounting
accuracy
5 978 086
285 641
449 465
78 608
4 105
50 471
4 906
211 901
Moderate certainty
Low certainty
29 661 747
144 131
737 234
37 606 295
Unknown
In 2021/2022, more accurate reporting and
emission-reduction opportunities were evaluated
for our purchased crude oils. These studies
enabled an update to our methodologies and
established a more accurate baseline, which is
reviewed annually. During this reporting cycle,
we implemented a database of crude oil emission
factors based on our monthly crude purchases.
The database provides a useful tool to evaluate
the impact of purchasing crude oils with different
carbon intensities that could potentially reduce
emissions for the Energy Business.
CATEGORY 11: Emission factors for energy
products
We supported an industry study conducted by the
University of Pretoria on behalf of the South
African Department of Forestry, Fisheries and the
Environment (DFFE). This study set out to
determine country-specific emission factors for
a range of fuel products (illuminating paraffin,
jet fuel, heavy fuel oil and petrol and diesel). The
study culminated in the publication of updated
GHG methodological guidelines and countryspecific emission factors by the department in
October 2022.
Research has also been conducted to improve the
accuracy of Sasol-specific emission factors related
to the combustion of our fuel products. We
expanded the range of products under evaluation
and collected additional data to provide a baseline
of emission factors for our products. We found
that our measured emission factors were within
an accepted uncertainty level of ~5% relative to
the United Kingdom9s Department of Environment,
Food and Rural Affairs (DEFRA) database.
Sasol proposed a methodology to address the
DFFE9s requirements to provide Tier 2 (countryspecific) emission factors for our fuel oil
products. In March 2023, the department
approved this methodology. A study has since
begun to provide analytical data to support this
1. Explanation of data changes and further details on our calculation methodology are indicated in the Appendix pages 75 3 77.
2. Subject to external assurance.
3. See page 69 for a further breakdown of equity investment emissions.
Highly certain
CATEGORY 1: Crude oil emissions reporting
methodology
Not applicable
SASOL CLIMATE CHANGE REPORT 2023
41
initiative and equipment is being procured to
provide more accurate measurements of heating
values for liquid fuels.
We developed a methodology for a countryspecific emission factor for natural gas, which
was approved by the department in January 2023,
with the updated emission factor published on
the South African Greenhouse Emissions
Reporting System (SAGERS).
CATEGORIES 1 AND 12: Baseline
assessment relevant to our Chemicals
Business
In 2022, we initiated a programme to better
understand how relevant categories contribute
to our scope 3 emissions and to establish a
mature baseline from which to plan reduction
opportunities. Calculation approaches were
established for seven scope 3 categories, with
Category 1 and 12 being the most material.
Development of a robust Category 12 accounting
approach has been prioritised and our approach
will be reviewed by an independent third party
to ensure alignment with current best practice.
TCFD case study - Best practice on
scope 3 reporting
This year Sasol was invited by the TCFD
Secretariat to share, through a case
study, our approach for estimating and
disclosing scope 3 GHG emissions.
This is testament to the leading work
Sasol is undertaking in baseline and
methodological improvements. The
case study is expected to be published
later in 2023.
