Sasol Integrated Report 2022 - Book - Page 22
INTRODUCTION | ABOUT SASOL
STRATEGIC OVERVIEW
CREATING VALUE
DELIVERING
GOVERNANCE AND REWARDS
ADMINISTRATION
OPERATING CONTEXT (CONTINUED)
PLANET
DRIVERS
Decarbonisation and adaptation
THE PAST YEAR
• Increased efforts globally
to decarbonise, with expanded
regulatory and reporting
requirements.
• Continued to come under pressure
to address our emissions profile;
adaptation response; and to
improve the resilience of our
communities, employees and
facilities.
• Set up a Just Transition office that
will serve to coordinate and drive
our Just Transition plans.
• Expedited action toward unlocking
green hydrogen opportunities
through projects such as
Boegoebaai.
• Increased geopolitical complexities
and tensions.
• Flash floods rendering Natref’s
facility in Durban inoperable since
all electrical infrastructure was
submerged and the control room
damaged.
HOW WE WERE IMPACTED/RESPONDED
OUTLOOK
• Announced updated strategy, our 2050 ambition to be Net Zero and a tripling of our target to reduce our
scope 1 and 2 GHG emissions by 2030. Made clear choices to enable our transition strategy.
• Working to position ourselves to lead the energy transition in South Africa. Progressed pathways to decarbonise
our existing operations to enable a just transition, creating shared value through localisation of emerging
value chains.
• Started pursuing demonstration opportunities and partnerships as well as exploring repurposing assets to
unlock green hydrogen opportunities. This includes work on ecomobility, the HyShiFT Consortium on cleaner
aviation fuels and our partnership with the Industrial Development Corporation to develop South Africa’s
hydrogen economy.
• Established Sasol ecoFT to provide Sustainable Aviation Fuels (SAF) and related sustainable chemicals solutions.
Concluded four Memorandums of Understanding to advance feasibility studies relating to SAF production
opportunities in Sweden and Germany. Engaging potential ecosystem partners to pursue competitive SAF
opportunities using Sasol’s FT technology across the globe.
• Signed agreements with Northern Cape Development Agency to lead the pre-feasibility study to explore the
potential of Boegoebaai as an export hub for green hydrogen via ammonia as a carrier.
• Signed agreements with Gauteng provincial government to leverage special economic zones to unlock green
hydrogen market potential.
• Energy Council of South Africa launched, with Sasol as inaugural Chair, to enable a sustainable energy sector.
• With gas a crucial transitionary energy source to lower Sasol’s emissions, we prioritised sourcing LNG. Partnered
with CEF and Empresa Nacional de Hidrocarbonetos (ENH) to explore, optimise gas supply and pool demand to
lower the cost of gas into the region.
• Approved the first commercial-scale green hydrogen project at Sasolburg complex. Facility will produce 3,5 tons
of green hydrogen a day from existing electrolysers by end 2023.
• Progressed studies for repurposing Sasolburg’s existing assets to produce low-carbon waxes, methanol, ammonia
and SAF.
• Explored further integration possibilities with Natref to accelerate the production of sustainable fuels and chemicals.
• GHG emissions reduced by approximately 7% off a combined Sasol Energy and Sasol Chemicals restated 2017
baseline. Reductions are largely due to lower production and operational issues.
• Committed to procure 1 200 MW of renewable energy for our South African operations by 2030.
• Concluded renewable Power Purchase Agreements for 29 MW for Sasol Chemicals’ sites in Brunsbüttel
and Augusta.
• Secured 3,7 million offset credits in 2022, resulting in a saving of R258 million in carbon tax liability.
• At Natref Durban site, we restored critical substations and control systems, enabling resumption of
crude oil pumping. A combined effort between the Natref team and our service providers was mobilised to
repair and restore infrastructure. This intervention was achieved with no occupational safety, process safety
or environmental incidents.
• Contributed R7,5 million to support emergency relief and infrastructure rebuilding in KZN.
SASOL INTEGRATED REPORT 2022
21
• Our proprietary Fischer-Tropsch (FT) and catalyst
technology are uniquely placed to enable the
production of sustainable synthetic fuels and
chemicals. In partnership with Topsoe, our
commercial FT solution will be a winning technology
for Sustainable Aviation Fuel (SAF).
• As part of our plans to reduce GHG and sulphur
dioxide (SO2) emissions in an integrated manner,
we will be turning down some of our boilers at
Secunda Operations, with the first boiler turndown
expected by end 2025.
• Significant progress has been made in procuring
renewable energy for both our Energy and
Chemicals businesses. In South Africa, we
have agreed the key terms with Independent
Power Producers (IPPs) to secure approximately
600 megawatts (MW) of solar and wind power to
start coming online before end 2025. Regulatory
approval processes are ongoing.
• Our first SAF production is targeted for 2025
from our Secunda Operations (through HyShiFT
Sustainable Aviation Fuel project).
• Deliver incremental gas options into our South
African Operations and the market.
• Expect South Africa to enact the Climate Change bill
which will regulate the allocation of carbon budgets.
• Increased carbon taxes to support South Africa’s
transition and achieve the Nationally Determined
Contribution target.
• Successful implementation of the US$8,5 billion
JET facility that South Africa was pledged at COP26
to support the shift from coal has the potential to
unlock additional funding.
• Complete the significant rebuild and restoration
work at Natref Durban site.
• Continue to monitor the resilience of our portfolio
through robust risk assessments and scenario
analyses.
• To mitigate the impact of uncertainty into the
future, we developed several pathways to realise
our Net Zero ambition in the event that technology
maturity and availability does not progress as we
anticipate.
• Implementing artificial intelligence carbon dioxide
measurement tool at our Lake Charles Chemicals
Complex.
