Sasol Limited Climate Change Report 2021 - Book - Page 3
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INTRODUCTION
Our targets and approach at a glance
SASOL'S JUST TRANSITION APPROACH
THREE-PILLAR EMISSION-REDUCTION FRAMEWORK
TRANSFORM
REDUCE
ADAPTATION RESPONSE
SHIFT
RESILIENCE
our emissions
our operations
our portfolio
•Short to medium term reductions,
including switching to low-carbonintensive energy sources (renewable
energy) and additional energy and
process efficiency improvements.
•Integration of cleaner alternative
feedstocks, eg gas and green hydrogen.
•Employing new processes and
sustainable carbon feedstocks to modify
our emissions profile.
•Collaboratively finding opportunities
to beneficiate our concentrated carbon
dioxide (CO2) sources for unlocking
broader societal value.
•Creating sustainable products for
new value pools using our FischerTropsch (FT) technology.
•Actively reviewing equity in assets
not aligned with our long-term
strategy.1
• Creating a notable green hydrogen
production and market footprint.
to physical weather impacts
•Proactively responding to the
physical risks associated with
climate change.
•Continuing to take steps to
understand and respond to current
and projected future weather
and climate risk for our business,
employees and surrounding
communities.
OUR AMBITION AND TARGETS
Reduction in scope 1, 2 and 3 GHG emissions to achieve a
net zero emissions ambition by 2050 for the Energy and
International Chemicals Businesses3, 4, 5
Targeting a 30% reduction in absolute scope 1 and 2 emissions by
2030 for the Energy6 and International Chemicals Businesses
Targeting a 20% reduction in absolute scope 3 emissions
by 2030 for Category 11: Use of our sold energy products7
1 200 MW renewable energy target for the Energy
Business by 20308
100% purchased renewable electricity target for the
International Chemicals Business by 20309
GHG targets have been incorporated into our incentive scheme (see page 37).
2030 AND 2050 GHG EMISSIONREDUCTION ROADMAPS
•Assess and define interventions to reduce emissions
in the short to medium term and transform our
operations in the medium to long term.
ENABLING INITIATIVES AND PARTNERSHIPS
•Use of appropriate carbon offsetting as a last resort measure to complement our three-pillar emission-reduction framework.
• A Just Transition2 plan, with prioritised interventions.
•A global network of research, partnerships and community initiatives to accelerate the change.
•Climate change disclosures to communicate with our stakeholders.
3. Scope 1 and 2 targets represent 95% of Group scope 1 and 2 emissions.
4.Target includes Energy Business scope 3 Category 11 (>80% of Group scope 3 emissions); scope
3 Category 12 for International Chemicals Business may be relevant for integration into the
target once the baseline is finalised.
5.Net Zero targets follow a strict mitigation hierarchy prioritising on-site reduction before offsets.
6.Scope 1 and 2: baseline 2017, excluding National Petroleum Refiners of South Africa (Pty) Ltd
(Natref).
7. Scope 3: baseline 2019.
8.Excluding load factor and metric relates to the full Secunda site.
9.Excludes our operations in Nanjing due to lack of clarity on the regulatory landscape. These
emissions are considered non-material. Self-generation of electricity is also excluded.
PRIORITISED ACTIONS AND INTENDED OUTCOMES
Implement mitigation projects in line with our committed roadmaps, to significantly reduce our absolute scope 1 and 2 emissions
from our Energy and International Chemicals Businesses progressing towards a NET ZERO EMISSIONS AMBITION BY 2050
A Future Sasol, on a net zero emissions basis, operating in a thriving green hydrogen economy in 2050, creating shared value
Implement mitigation actions to reduce absolute scope 3: Category 11 emissions from our Energy Business products
progressing towards a NET ZERO EMISSIONS AMBITION BY 2050
A shifted portfolio producing FT sustainable fuels and chemicals operating in a low-carbon net zero future by 2050
Grow FT SUSTAINABLE SOLUTIONS INTO A BUSINESS that is contributing to South Africa's GREEN HYDROGEN economy by producing
sustainable fuels and chemicals
A successful FT sustainable solutions business that is delivering growing returns
Sign requisite RENEWABLE ELECTRICITY Virtual Power Purchase Agreements (VPPAs) and Power Purchase Agreements (PPAs), source
TRANSITION GAS and develop GREEN HYDROGEN
A foundation laid for green hydrogen at scale in the medium term to decarbonise operations
REDUCE PHYSICAL VULNERABILITY to climate
change impacts by implementing proactive measures for our people, communities and infrastructure
A sustainable business, fenceline community and society that is resilient to the impacts of climate change
Read more on page 10-21, 26 and 27.
Read more on page 12, 13, 15 and 22.
Read more on page 12 and 22 - 23.
Read more on page 11 - 13 and 18.
Read more on page 26 and 34 - 35.
PARTNERSHIPS: BE A CHANGE AGENT FOR CLIMATE CHANGE ACTION
Progress partnerships to unlock technology opportunities and markets. Advocate for progressive and enabling climate change policy cognisant of national
circumstances. Report on climate change matters using TCFD.
Read more on page 17 - 18, 38 - 42 and 49.
1. Climate change risks are considered as part of the asset review process and might be pursued to exceed ambition or meet targets.
2.A framework that has been developed by the trade union movement to encompass a range of social interventions needed to secure workers’ jobs and livelihoods when economies are shifting to sustainable production, including management of climate change, protecting biodiversity and ending war, among other challenges.
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Sasol Climate Change Report 2021