100%

Sasol Climate Change Report 2023 - Book - Page 8

INTRODUCTION
TRANSFORMING FOR RESILIENCE
GOVERNANCE
CLIMATE ADVOCACY AND POLICY
DATA AND ASSURANCE
PROGRESSING EFFORTS TO ACHIEVE OUR TARGETS
// 2030 TARGET AND NET ZERO AMBITION BY 2050
Low impact
Sasol unequivocally supports the Paris Agreement.
We are committed to playing our part in the global
effort to meet the Agreement's goals and have
used a science-based approach to set our targets.
On track with milestones
Sasol Energy and
Chemicals’ 2017 combined
scope 1 and 2 baseline of
65,9 MtCO2e
1
2023 performance
~5% reductions
from 20172
As a reminder, Sasol’s GHG
targets are:
1
2
3
Reduce by 30% absolute
scope 1 and 2 GHG emissions
by 2030 for the Sasol Energy
and Chemicals businesses
Reduce by 20% absolute
scope 3 emissions by 2030 for
Category 11: use of our sold
energy products
Reduce absolute scope 1, 2
and 3 (Category 11) GHG
emissions to achieve a net
zero emissions ambition
by 2050 for the Sasol Energy
and Chemicals businesses
1. Re-baselined our 2017 target base year, removing
divestments and including methodological changes.
2. For combined Sasol Energy and Chemicals baseline and
largely due to production variances and mitigation.
3. Residual risk remains as National Treasury has yet to
issue its document detailing future allowance design
options.
High impact
OUR CURRENT DECARBONISATION CHALLENGES AND HOW WE ARE ACTIVELY RESPONDING
WHY TARGETS WERE SET
PROGRESS
TOWARDS
2030 TARGET
Medium impact
In South Africa, Sasol is a significant scope 1 and 2
GHG emitter. Although we had achieved reductions
in emissions since 2004, in 2019 we set initial
targets, which were increased for greater ambition
in 2021. We did so in response to the need to
do much more to meet the Agreement’s goals.
SHORT- TO MEDIUM-TERM
CHALLENGES
UNMITIGATED
IMPACT
MITIGATION
Affordability and lack of incentives
for sustainable products in
emerging markets
• Advocating for incentives in the South
African economy. The Presidential Climate
Commission’s (PCC) recommendations
to the Presidency support incentives for
green hydrogen.
Unreliable electricity supply and
transmission grid in South Africa
• Integrating large-scale renewable energy
into our operations, relieving demandside pressure on the grid.
Sasol’s scope 3 emissions accounted for ~37% of
our total GHG emissions over the period 2019 – 2023.
Our most significant scope 3 emissions arise from
Category 11, which is the reason behind setting a
target for this category.
• Developing on-site renewable energy
to obviate reliance on grid transmission.
• Generating additional power, when
possible, to supplement national
electricity supply.
Targets have been set to enable the achievement
of a Future Sasol that is sustainable in a low-carbon
future.
• Advocating for government introduction
of grid queuing rules for advanced
renewable energy projects.
HOW TARGETS WILL BE MET
• Actively working with business
associations and industry bodies to
support project development and
funding for additional electricity and grid
upgrade projects.
Our 2030 medium-term target is a foundation to
support achievement of our 2050 net zero ambition.
We are implementing a three-pillar emissionreduction framework (Reduce, Transform and Shift)
housed within the Reset, Transition and Reinvent
phases of the Future Sasol strategy. In reducing
emissions (Reduce/Reset phase), we are using
existing assets and applying energy and process
efficiencies and integrating larger amounts of
renewable energy. Thereafter, we will Transform/
Transition our business by reconfiguring assets to
use low- and lower-carbon feedstocks, such as
green hydrogen and sustainable carbon, where
viable. Lastly, we will Shift/Reinvent our business
and operating model to produce sustainable fuels
and chemicals through the integration of large
quantities of lower- and low-carbon feedstocks.
Lack of enabling GHG accounting
methodologies in international
sustainable-fuels policies for the
co-processing of sustainable and
fossil feedstocks - to incrementally
transition FT processes
Uncertainty over the possible future
redesign of South African carbon tax
allowances
• Advocating for a flexible attribution
accounting methodology in applicable
policies (see pages 43 and 65).
• Developing business cases with market
optionality.
• Confirmation from South Africa’s National
Treasury that carbon tax allowances do
not have a ’sunset clause’3.
• Advocating for the retention of most
allowances to enable a just transition.
Affordability and acceptability
of transition gas
We are unable to achieve our ambitions on our
own. For this reason, we prioritise collaboration
with like-minded technology and other partners
(see page 35). Over the past year, we partnered
with ArcelorMittal South Africa, ITOCHU, Vertree
and others to advance our decarbonisation and
growth ambitions towards Future Sasol.
SASOL CLIMATE CHANGE REPORT 2023
• Extending the gas plateau from 2026
to 2028 and exploring opportunities
to extend the plateau further, reducing
capital and operational expenditure.
• Deferred decisions on LNG and placed on
hold additional gas reforming capacity
due to cost.
• Implementing a responsible transitiongas sourcing strategy and advocating for
the use of transition gas.
7
RESIDUAL
IMPACT

Sasol Climate Change Report 2023 - Book - Page 1
Sasol Climate Change Report 2023 - Book - Page 2
Sasol Climate Change Report 2023 - Book - Page 3
Sasol Climate Change Report 2023 - Book - Page 4
Sasol Climate Change Report 2023 - Book - Page 5
Sasol Climate Change Report 2023 - Book - Page 6
Sasol Climate Change Report 2023 - Book - Page 7
Sasol Climate Change Report 2023 - Book - Page 8
Sasol Climate Change Report 2023 - Book - Page 9
Sasol Climate Change Report 2023 - Book - Page 10
Sasol Climate Change Report 2023 - Book - Page 11
Sasol Climate Change Report 2023 - Book - Page 12
Sasol Climate Change Report 2023 - Book - Page 13
Sasol Climate Change Report 2023 - Book - Page 14
Sasol Climate Change Report 2023 - Book - Page 15
Sasol Climate Change Report 2023 - Book - Page 16
Sasol Climate Change Report 2023 - Book - Page 17
Sasol Climate Change Report 2023 - Book - Page 18
Sasol Climate Change Report 2023 - Book - Page 19
Sasol Climate Change Report 2023 - Book - Page 20
Sasol Climate Change Report 2023 - Book - Page 21
Sasol Climate Change Report 2023 - Book - Page 22
Sasol Climate Change Report 2023 - Book - Page 23
Sasol Climate Change Report 2023 - Book - Page 24
Sasol Climate Change Report 2023 - Book - Page 25
Sasol Climate Change Report 2023 - Book - Page 26
Sasol Climate Change Report 2023 - Book - Page 27
Sasol Climate Change Report 2023 - Book - Page 28
Sasol Climate Change Report 2023 - Book - Page 29
Sasol Climate Change Report 2023 - Book - Page 30
Sasol Climate Change Report 2023 - Book - Page 31
Sasol Climate Change Report 2023 - Book - Page 32
Sasol Climate Change Report 2023 - Book - Page 33
Sasol Climate Change Report 2023 - Book - Page 34
Sasol Climate Change Report 2023 - Book - Page 35
Sasol Climate Change Report 2023 - Book - Page 36
Sasol Climate Change Report 2023 - Book - Page 37
Sasol Climate Change Report 2023 - Book - Page 38
Sasol Climate Change Report 2023 - Book - Page 39
Sasol Climate Change Report 2023 - Book - Page 40
Sasol Climate Change Report 2023 - Book - Page 41
Sasol Climate Change Report 2023 - Book - Page 42
Sasol Climate Change Report 2023 - Book - Page 43
Sasol Climate Change Report 2023 - Book - Page 44
Sasol Climate Change Report 2023 - Book - Page 45
Sasol Climate Change Report 2023 - Book - Page 46
Sasol Climate Change Report 2023 - Book - Page 47
Sasol Climate Change Report 2023 - Book - Page 48
Sasol Climate Change Report 2023 - Book - Page 49
Sasol Climate Change Report 2023 - Book - Page 50
Sasol Climate Change Report 2023 - Book - Page 51
Sasol Climate Change Report 2023 - Book - Page 52
Sasol Climate Change Report 2023 - Book - Page 53
Sasol Climate Change Report 2023 - Book - Page 54
Sasol Climate Change Report 2023 - Book - Page 55
Sasol Climate Change Report 2023 - Book - Page 56
Sasol Climate Change Report 2023 - Book - Page 57
Sasol Climate Change Report 2023 - Book - Page 58

Powered by

Paperturn flipbook viewer

Print

Print

Download as PDF