SustainabilityReport 2023 high - Flipbook - Page 19
3.2.3. Scope 3: Reducing negative environmental impact from our business
Terratech’s main focus connected to Scope 3, has
previously been to reduce emissions caused by
transportation of purchased goods and sold products.
We are now starting to analyze types of materials used
throughout the process and how to recycle and reuse
these in the best possible way.
TRANSPORTATION UPSTREAM AND DOWNSTREAM
When it comes to transportation, we are constantly
working on optimizing the logistics 昀氀ow in general,
both upstream and downstream. Upstream we
strive to set order quantities to sizes where they
昀椀t naturally on a pallet or in a container in order to
minimize unnecessary transportation. We also work
with our suppliers so that each supplier can perform
more steps under the same roof, again to minimize
transportation.
When selecting new suppliers, we have a supplier
quali昀椀cation process whereby suppliers are evaluated
based on performance factors related to quality,
environmental awareness, personnel involvement in
improvement processes and of course adherence to
our code of conduct. Suppliers are reviewed in regard
to these performance factors annually. Where possible
we prefer to use local suppliers to minimize the
negative environmental impact though unnecessary
transportation.
the production facilities to reduce
unplanned fast deliveries by air. During
2023 we 昀椀nalized the “work tool delivery
hub” at Sjørring which makes it possible
to reduce the number of transports.
Inbound transports are reduced by more
production inhouse at Sjørring where
steel plates are stored by our suppliers,
as well optimizing bulky deliveries from
suppliers. Outbound we can optimize
deliveries to our subsidiaries by scheduled
freights and container shipments. .
Despite the work with optimizing transport
both upstream and downstream emissions
increased during 2023 compared to the
year before. However, the downstream emissions
where we are more in control ourselves increased by
some 5% which is signi昀椀cantly lower than the actual
business growth.
Upstream transportation and emissions saw a
dramatic increase of above 50% which to a big
extent is due to a sharp increase in express inbound
transportations, in some cases with heavy goods due
to low delivery precision from a few large suppliers to
Steelwrist.
MATERIAL HANDLING AT TERRATECH
Downstream we work on trying to reduce the number
of deliveries. For example, we continue to optimize
our transports by improving packaging methodology
and new packing materials to improve the possibility
to stack gods. We have a 昀椀xed scheduled for our
container deliveries to subsidiaries far away from
Terratech aims to having products and processes free
from harmful substances whilst containing as much
renewable and sustainable materials as possible.
By looking at what type of waste we create and what
happens to this waste after leaving our premises,
we also get an indication of what materials are
UP- AND DOWNSTREAMS – EMISSIONS SCOPE 3
more harmful and can with this information reduce
those materials. We have for several years gathered
data regarding the amount of material we recycle
in di昀昀erent waste categories. We can also see what
happens to our waste after it has left our premises.
Overall waste has during the last years increased
which is directly related to the growth of Terratech.
During 2023 some 2790 tons of waste was generated
of which some 2% or 64 tons were classi昀椀ed as
hazardous. At present we cannot get perfect data for
classi昀椀cation of hazardous waste from the Sjørring
factory but the 64 tons are what it would have been
if we had used the same classi昀椀cation as in Sweden.
About 76% of the total waste in tons come from waste
steel material and shot blasting operations in the
production process at Sjørring of which all is going to
material reuse. On the total Terratech level some 91%
measured in tons goes to material reuse.
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