Mapping Our Path to Lower CO2 Emissions — Transition Plans for Scope 1 & 2

Published on 22-11-2024 - Written by Kemin

Climate change is on everyone’s lips, and at Kemin, we know that we must also play a role in reducing our emissions. A big part of our effort to do so has involved creating a solid Transition Plan — or strategy — for tackling Scope 1 and 2 emissions.

So, what exactly are Scope 1 and 2 emissions? Scope 1 refers to the direct emissions from sources that we as a company own or control — think company-operated boilers, spray dryers, and vehicles. Scope 2 covers the indirect emissions from buying electricity, steam, heating, and cooling — essentially, the emissions generated at facilities producing that energy.

Over the last few years, we have focused on better understanding our own Scope 1 and 2 emissions, tracking, analysing, and reporting to ensure we can take targeted actions and drive meaningful change.

Below, we share details of how we developed our Transition Plan for Scope 1 and 2 emissions, its essential elements, and the strategies we use to reduce emissions and build a more sustainable future.

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"Our sustainability journey began with clear, ambitious goals, practical actions, and a commitment to continuous improvement. Reducing emissions is a challenge for any company, but it’s a responsibility we take seriously at Kemin. Through close collaboration between our Sustainability Team and our Operations and Engineering Departments, we’ve developed a practical, achievable roadmap that aligns reduction targets with real-world expertise. Together, we’re driving meaningful change — for the planet, future, and all of us." — Lode Verbruggen, Associate Director Sustainability, Kemin EMEA.

How we developed our Transition Plan

As you can imagine, creating a Transition Plan to reduce Scope 1 and 2 emissions is a particularly complex process, involving various stakeholders and several critical steps:

  • Baseline Assessment — We began by thoroughly assessing current greenhouse gas emissions, collecting data on all Scope 1 and 2 emissions sources and establishing a baseline year.
  • Setting Targets — Based on the baseline assessment, we set challenging but achievable emission reduction targets for 2030, 2040, and 2050. These targets are aligned with global climate goals, such as those set by the Paris Agreement, which aims to limit global warming to 1.5°C.
  • Strategic Actions — We have identified specific actions to help meet our targets. To prioritise measures for reducing Scope 1 emissions, we use an abatement curve, focusing on actions like improving building insulation, making production lines more energy-efficient, and switching to electric cooling and heating. For Scope 2 emissions, we’re investing in on-site renewable energy, conducting energy audits, and sourcing green electricity through partnerships with energy suppliers. Thanks to these efforts, we now use 100% renewable electricity and have achieved near-zero Scope 2 emissions.

Abatement cost is the cost of cutting one tonne of greenhouse gas emissions. It’s calculated by dividing the total cost of an action — like installing a heat pump, for example — by the amount of emissions it reduces. This cost can be positive or negative, meaning some actions might save money overall. To reduce emissions efficiently, it’s best to start with the actions that have the lowest or negative abatement costs. These are the most cost-effective ways to cut emissions.

  • Monitoring and Reporting — We ensure data collection, analysis, and transparent reporting to stakeholders, which are critical to our Transition Plan. This ensures our accountability and tracks progress.
  • Continuous Improvement—Emission reduction is an ongoing process for us. We are committed to regularly reviewing and updating our Transition Plan to incorporate new technologies, practices, and regulatory requirements. We also believe engaging stakeholders to gather feedback and steer continuous improvement is important.

Our strategic path to overcoming barriers in reducing emissions

The abatement curve is, therefore, a powerful tool to tackle the challenges of reducing Scope 1 and 2 emissions. It helps us prioritise actions by balancing cost-effectiveness and technical feasibility, ensuring we focus on solutions with the greatest impact.

Solutions to reduce the energy intensity of our products rely on technologies still under development and require significant investment. Thus, by applying the abatement curve, we can navigate any hurdles and sequence target emission reduction measures that might make more sense today.

Reducing Scope 1 and 2 emissions is a big part of our sustainability journey, now guided by our Transition Plan. We know that real progress can happen when we work with our employees and stakeholders to lower our carbon footprint, support global climate goals, and reinforce our commitment to sustainability. These efforts benefit the environment, boost efficiency, cut costs, and support our people and communities, driving long-term success in a low-carbon economy.

Explore our dedicated Sustainability Journey webpage to learn more about our progress on Scope 1 and 2 emissions and other sustainability-related topics.