Sasol Climate Change Report 2022 - Book - Page 47
INTRODUCTION
RISKS AND OPPORTUNITIES
OUR FUTURE SASOL STRATEGY
GOVERNANCE
DATA AND ASSURANCE
GOVERNING CLIMATE CHANGE (CONTINUED)
Our Board (continued)
Shareholder input into our climate change response
Sasol recognises that shareholders are concerned about climate change
and that they expect us to report on our risks, opportunities and
approach to reduce our GHG emissions. In 2021, the Board sought to
obtain shareholders’ perspectives on Sasol’s climate change response
through a mechanism consistent with South African corporate law and
determinations by the United States Securities and Exchange Commission
and other instruments on sound governance. We accordingly tabled at the
2021 AGM, on a non-binding advisory basis, the Future Sasol strategy and
our related targets, as contained in the 2021 Climate Change Report.
The SSEC provides integrated strategic direction
and independent oversight, which includes
recommendations to the Board for final approval
on climate-related matters, primarily
encompassing:
the net zero ambition (2050), interim targets
(2030) and associated roadmaps to achieve
scope 1, 2 and 3 (Category 11) reductions and
undertaking a just transition;
Shareholders overwhelmingly supported the strategy and targets.
The resolution focuses on Sasol’s:
performance, reporting and disclosure against
our targets and roadmaps;
• support for the goals of Articles 2.1 and 4.1 of the Paris Agreement,
as set out in its 2030 and 2050 emission-reduction roadmap in
particular its just transition plans towards a low carbon future “holding
the increase in global average temperature to well below 2°C above preindustrial levels and pursuing efforts to limit the temperature increase
to 1,5°C above pre-industrial levels”;
progressive advancement of our disclosures
to align with the TCFD recommendations;
monitoring continued resilience of our
portfolio through robust risk assessments
and scenario analyses; and
• short-, medium- and long-term quantitative GHG targets (scope 1 and 2)
in support of the goals of Articles 2.1(a) and 4.14 of the Paris Agreement
for operations in Eurasia, the North America and South Africa; and
addressing stakeholder concerns on our
decarbonisation approach, including
providing for direct stakeholder engagement
by Board members, as and when required.
• medium- and long-term quantitative GHG emission-reduction targets
(scope 3: Category 11) and commitment to continue work to set out its
scope 3 GHG emissions’ baseline and other targets.
Executive management
Sasol’s President and CEO is the
highest executive decision-making
authority on climate change matters.
Our President and CEO has, in turn, delegated
authority to the GEC, the highest collective
executive decision-making structure at Sasol.
The GEC is consequently accountable for
recommending approval on the company’s
strategy and long-term plans, including
climate change management, to the Board.
Our 2030 targets and 2050 ambition, as
well as our roadmaps are also part of the
GEC’s mandate. The GEC is supported by
the corporate Portfolio Strategy and
Sustainability Function, which includes its
climate change management team and the
various business sustainability managers.
Additionally, support is provided by the other
business specialists and experts in areas such
as green hydrogen and renewables.
We continue to disclose our progress in various engagements and through
our annual publications.
CLIMATE CHANGE DISCUSSIONS AT THE BOARD
In 2022, the following matters were discussed, considered and where required, approved:
August 2021
November 2021
February 2022
May 2022
August 2022
• Revised GHG targets
approved
• Progress against GHG
targets and milestones
discussed (procurement of
renewables, gas sourcing
and green hydrogen)
• IPCC analysis considered
• Progress against GHG
targets and milestones
discussed (procurement of
renewables, gas sourcing
and green hydrogen)
• Progress on updated offsets
strategy considered
• Future Sasol strategy
approved
• Special Audit/SSEC joint
sitting to approve the
2021 CCR
• COP 26 conclusions and
implications for Sasol
considered
• Progress against GHG
targets and milestones
discussed (procurement of
renewables, gas sourcing
and green hydrogen)
• Deep-dive into the scope 3
work programme discussed
SASOL CLIMATE CHANGE REPORT 2022 46
• Progress against GHG targets
and milestones discussed
(procurement of renewables, gas
sourcing and green hydrogen)
• Air quality and GHG reductions
at Sasol Energy discussed
• Special Audit/SSEC joint sitting
to approve the 2022 CCR
