Sasol Climate Change Report 2023 - Book - Page 6
INTRODUCTION
TRANSFORMING FOR RESILIENCE
GOVERNANCE
CLIMATE ADVOCACY AND POLICY
DATA AND ASSURANCE
SASOL’S CLIMATE CHANGE MANAGEMENT APPROACH CONTINUED
Sasol Energy’s 2050 roadmap
Globally, Sasol and other entities are pursuing decarbonisation
in the face of a future underpinned by uncertainties. Achieving
our 2050 ambition is dependent on a number of variables –
technological, cost and market related. Consequently, we are
following an agile approach to 2050, offering optionality and
flexibility in the long term.
In 2021, we defined our fossil-fuel-free vision, which is predicated on affordable
green hydrogen, sustainable carbon and large quantities of renewable energy
becoming available for us to achieve close to zero scope 1 and 2 emissions at our
Secunda facility (see our 2021 CCR ). However, achieving the net zero ambition by
2050 does not require this scenario to eventuate, as we can pursue a number of
pathways. By deliberately not locking ourselves into a single 2050 pathway, we can
REDUCE
Transitioning
to net zero
by 2050
TRANSFORM
Efficiencies and low-carbon energy
SHIFT
Reducing coal use and alternative feedstocks
2030 LEVERS //
GHGs covered:
carbon dioxide,
methane and
nitrous oxide
optimise costs, avoid large-scale infrastructure lock-in and minimise the likelihood
of stranded assets and ‘regret’ capital. The incremental introduction of certain
technologies and feedstocks in the short to medium term offers optionality. Should
particular technologies prove to be more cost-effective, we would be in a position
to potentially integrate them into our operations. This agile approach is supported
by conclusions reached by the IEA in its 2021 Net Zero 2050 report, and others.
Low-carbon product slate and value pools
LEVERS TO ACHIEVE NET ZERO //
Align GHG and environmental
compliance through synergies
Up to 1 200MW renewables
for Sasol Energy3
Green hydrogen and sustainable
carbon feedstocks
Further reductions in coal
Reduce coal use
Energy and process efficiency
Creation of new product
streams/value pools
CDRs: technology and
nature-based solutions4
Transition gas2
Aligning asset and product
portfolio with market demand
Electrification and renewables
Gas and asset
optimisation2
SIGNPOSTS TO INFORM OUR CHOICE OF LEVERS //
Technology cost changes5
Macro-trends, including price of gas and hydrogen, biomass
availability, electric vehicle penetration and advancement of
hydrogen mobility solutions
Regulation changes6
Broad customer sentiment, including views
on product premiums
Scope
1 and 2
63,0
MtCO₂e
Scope 3
Scope
1 and 2
35,6
MtCO₂e1
~44,1
MtCO₂e
Scope 3
28,5
MtCO₂e1
2017
2019
1. 2019 baseline, Energy Business scope 3 (Category 11) emissions.
2. Subject to economic viability.
3. Applies to Southern Africa operations including Mining. Renewable energy for Secunda site
includes Air Liquide’s portion (400MW), with 800MW being Sasol’s.
2026
2030
2040
4. Biological carbon sequestration, eg forestry projects, geological carbon capture and storage
(CCS) and direct air capture and storage (DACS).
5. Including support to others, own research and development of key technologies.
6. An enabling policy environment.
SASOL CLIMATE CHANGE REPORT 2023
5
The worst-case net zero scenario leaves ~< 35% hard-to-abate residual
scope 1, 2 and 3 (Category 11) emissions, which will require CDRs to neutralise
and in a best-case scenario the fossil-fuel-free vision materialises.