Targets

Greenhouse gas targets

WACKER is firmly committed to the Paris Agreement. Our voluntary targets to cut greenhouse gases are science-based ones (business ambition of 1.5 °C) consistent with the “1.5 °C” target set out in the Paris Agreement. Not only the targets for 2030 but also our aim of achieving net zero by 2045 have been validated by the independent Science Based Targets initiative (SBTi). Targets include biogenic emissions from land use and biomass.

An increase in GHG emissions due to growth and future market trends was taken into account when the target was set. To be compliant with the SBTi, significant changes (> 5 percent), for example due to acquisitions, require a recalculation of the basic target value. The basic target value did not change in the year under review since there was no significant change to the greenhouse gas inventory or calculation method.

Medium-term Group target: 50-percent reduction in absolute greenhouse gas emissions (Scopes 1 and 2) by 2030

On our journey to net zero, we are striving to cut absolute greenhouse gas emissions (Scopes 1 and 2) within the Group to half of our 2020 value by 2030. The target includes 100 percent of Scope 1 and 2 emissions (market-based). The target cannot be broken down into Scope 1 and Scope 2 emissions due to the large number of production processes and potential portfolio shifts.

Medium-term Group target: 25-percent reduction in absolute greenhouse gas emissions (Scope 3, cat. 1 + 3) by 2030

WACKER is also committed to reducing its absolute greenhouse gas emissions from purchased goods and services, as well as fuel- and energy-related activities (Scope 3, categories 1 and 3), by 25 percent between 2020 and 2030. In line with SBTi requirements, 87 percent of category 1 emissions and 75 percent of category 3 emissions have been included for the purposes of the target.

Long-term Group target: Net zero by 2045

In line with the SBTi’s Corporate Net-Zero Standard, WACKER has undertaken to cut its absolute greenhouse gas emissions (benchmark value: 100 percent Scope 1 and 2 emissions, market-based) by 95 percent by 2045 compared with 2020. Furthermore, WACKER has undertaken to cut its absolute greenhouse gas emissions (benchmark value: 100 percent Scope 3 emissions) in the same period by 90 percent. It will then neutralize any remaining emissions to achieve net zero.

Target achievement status

The WACKER Group’s greenhouse gas emissions (Scopes 1-3) are calculated on a yearly basis and the results then compared with the yearly targets specified in our SBTi target setting.

The target setting of the GHG reduction targets for Scopes 1 and 2 and for Scope 3 in the year under review and compared with the previous year are presented in the following table.

Scopes 1 and 2 reduction target
During the year under review, emissions were down 30 percent, so that reductions in emissions were well above the linear trajectory that had been mapped out for a 20-percent reduction in 2024 relative to 2020. This was achieved mainly by the decrease in purchased energy and reduced refrigerant losses compared with the prior year.

Scope 3 (cat. 1 and 3) reduction target
In the reporting year, despite an increase of 13 percent year over year, we have exceeded both the 10-percent reduction announced as against 2020 and, once again, the target for 2030 with just under 30 percent of emissions saved (Scope 3) as against 2020.

This marked reduction as against 2020 is due primarily to the use of much lower quantities of raw materials and energy, as well as to the purchase of raw materials with a lower carbon footprint and a lower-carbon electricity mix compared with the base year. We do not yet rate the substantial reduction as against the base year as a final target achievement, because this particular year was not representative in terms of the quantities procured.

Compared with the previous year, CO₂ emissions from the purchase of raw materials were up, mainly due to larger quantities of raw materials, whereas emissions from the upstream purchased-energy chain continued to fall due to the use of renewable energy sources.

Energy target

As an energy-intensive company, efficient use of energy is a top priority for us. Such use is also indirectly tied to the release of greenhouse gases.

Medium-term Group target: 15-percent reduction in specific energy consumption by 2030

To further cut our specific energy consumption (energy volume per net production output), we have voluntarily set ourselves the target of reducing it by 15 percent by 2030 compared with the 2020 base year. The calculation is based on the standardized energy consumption values and net production amounts of the production sites. We report the value as an index value. This target is not science-based.

With specific energy consumption 5 percent up relative to 2020, reductions in the reporting year were above the trajectory that had been mapped out. Despite declining energy consumption overall, portfolio shifts and lower plant-utilization rates, and hence the lower net production output as against the base year, have an adverse impact on the target value.