Practices and initiatives to reduce emission intensity
Stakeholder Capitalism Metrics Dimension (WEF)
Related Material Issues
Suzano has a CAPEX line exclusively for modernization projects, which include efficiency in the use of fuel, reduction in consumption of fossil fuels, reduction in the use of energy, and purchase of more efficient equipment, among others.
In addition, Suzano has been working to obtain funds to improve performance in social and environmental projects, such as those that allow for increasing the use of renewable energy, optimizing the efficiency of the biomass boilers, restoring native forests, and conserving biodiversity. These projects are closely related to climate, and can be funded in whole or in part by net revenues from the sale of the notes.
The company has multidisciplinary working groups (WGs) that develop projects focused on finding more efficient and less emitting forms of production, as is the case of the Recovery and Utilities WG and the Energy WG, among others.
In order to measure and verify the impact on emissions of the most strategic projects, the technical team identifies risks and opportunities and incorporates carbon trading into their analysis, considering regulatory scenarios or opportunities associated with the carbon market. To establish pricing values, Suzano has been mapping the different values applied in regulated and voluntary markets and making price projections and studies for new pricing mechanisms in order to establish a price for engineering projects and forest implementation and a value for the development of new products and businesses (to be tested). In addition, Suzano has been working and evolving in a project to expand the use of internal carbon pricing.
At the industrial units, the company seeks to reduce emissions by retrofitting old machinery and increasing efficiency in a gradual movement from strongly emitting fuels (such as heavy oil) to less emitting fuels (such as natural gas or even black liquor), among others. In addition, the company has also been seeking to increase generation of renewable energy (based on biomass and black liquor).
In the forestry area, the company aims to reduce emissions by employing state-of-the-art technologies in the use of equipment in forestry operations, in wood transportation, and in the recommendation of the best transportation mode and best operation route. The company also has projects in place to reduce the average distance, as well as studies for the use of alternative fuels, and efficient route operation, among others.
For product logistics, the company is looking into the use of technologies that increase efficiency in transportation, such as optimized shipments (paper and pulp, paper and consumer goods with other products), route reviews, and is studying alternative models for using fuels that are less intense in greenhouse gas emissions, such as the use of electric vehicles.
It is also worth mentioning that Suzano, today, is already carbon positive. In other words, the company’s removal of CO2 is greater than its emissions. This is in addition to the fact that its operations occur exclusively in Brazilian territory, which means that there is no need/obligation for any offsetting measure. However, the company is constantly investing and pursuing a reduction in its emission intensity and working to expand its removal capacity.