Module: Introduction

Transcription

CDP 2014 Investor CDP 2014 Information Request
CDP
Stora Enso Oyj
Module: Introduction
Page: Introduction
CC0.1
Introduction
Please give a general description and introduction to your organization.
Stora Enso is the global rethinker of the paper, biomaterials, wood products and packaging industry. We always rethink the old and expand to the new to offer our
customers innovative solutions based on renewable materials. The Group has some 28 000 employees in more than 35 countries worldwide, and is a publicly traded
company listed in Helsinki and Stockholm. Our customers include publishers, printing houses and paper merchants, as well as the packaging, joinery and
construction industries. Our annual production capacity is 5.4 million tonnes of chemical pulp, 11.7 million tonnes of paper and board, 1.3 billion square metres of
corrugated packaging and 5.6 million cubic metres of sawn wood products, including 2.9 million cubic metres of value added products. Our sales in 2013 were EUR
10.5 billion, with an operational EBIT of EUR 578 million.
Stora Enso uses and develops its expertise in renewable materials to meet the needs of its customers and many of today’s global raw material challenges. Our
products provide a climate-friendly alternative to many products made from competing non-renewable materials, and have a smaller carbon footprint. Our solutions
based on wood therefore have wide-reaching benefits for us as a business, for people and for the planet. Being responsible and fulfilling our corporate purpose –
‘doing good for the people and the planet’ – underpins our thinking and our approach to every aspect of doing business.
Stora Enso’s wider business strategy is to achieve a transformation from a European pulp and paper company into a value-creating renewable materials company
focusing on growth markets. We will focus more on growth markets in Asia, especially China, and Latin America, fibre-based packaging, plantation-based pulp and
competitive paper grades. As the core of Stora Enso’s business is our aim to replace non-renewable materials with products and solutions based on renewable
materials. Fibre-based packaging offers steady long-term growth in most segments and has vast innovation potential, offering sustainable new solutions for our
customers. Plantation-based pulp allows us to secure low-cost fibre for production. Our wood-based solutions and products manufactured on a large industrial scale
help our customers in the construction industry and society at large to reduce CO2 emissions.
Global Responsibility and Ethics are emphasised throughout Stora Enso’s corporate governance, starting from our Board of Directors and its Global Responsibility
and Ethics Committee, the CEO and our Group Leadership Team. Our CEO and Group Leadership Team (GLT) are ultimately responsible for Stora Enso’s
strategies on Global Responsibility and Ethics, and related Key Performance Indicators (KPIs) and policies, which include climate change mitigation and the Group’s
CO2 performance. Our CEO and GLT also monitor and assess their implementation.
Everyday sustainability issues are handled by Stora Enso’s divisions which are responsible for the operational management of responsibility issues, with the support
of the Global Responsibility corporate function, the Global Ethics and Compliance function, and the Global People and Organisation function. Global responsibility
issues are additionally monitored by the Group’s Global Responsibility Council, whose members come from divisions and key corporate functions. The role of the
Global Responsibility Council is to develop, support and follow up Stora Enso’s Global Responsibility strategy, and ensure that policies, guidelines and targets on
Global Responsibility are duly realised.
CC0.2
Reporting Year
Please state the start and end date of the year for which you are reporting data.
The current reporting year is the latest/most recent 12-month period for which data is reported. Enter the dates of this year first.
We request data for more than one reporting period for some emission accounting questions. Please provide data for the three years prior to the current reporting
year if you have not provided this information before, or if this is the first time you have answered a CDP information request. (This does not apply if you have been
offered and selected the option of answering the shorter questionnaire). If you are going to provide additional years of data, please give the dates of those reporting
periods here. Work backwards from the most recent reporting year.
Please enter dates in following format: day(DD)/month(MM)/year(YYYY) (i.e. 31/01/2001).
Enter Periods that will be disclosed
Tue 01 Jan 2013 - Tue 31 Dec 2013
CC0.3
Country list configuration
Please select the countries for which you will be supplying data. This selection will be carried forward to assist you in completing your response.
Select country
Select country
Finland
Sweden
Germany
France
Poland
China
Russia
Belgium
Spain
Brazil
United States of America
Estonia
Latvia
Hungary
Lithuania
United Kingdom
Austria
Czech Republic
India
CC0.4
Currency selection
Please select the currency in which you would like to submit your response. All financial information contained in the response should be in this currency.
EUR(€)
CC0.6
Modules
As part of the request for information on behalf of investors, electric utilities, companies with electric utility activities or assets, companies in the automobile or auto
component manufacture sectors, companies in the oil and gas industry, companies in the information technology and telecommunications sectors and companies in
the food, beverage and tobacco sectors should complete supplementary questions in addition to the main questionnaire.
If you are in these sectors (according to the Global Industry Classification Standard (GICS)), the corresponding sector modules will not appear below but will
automatically appear in the navigation bar when you save this page. If you want to query your classification, please email [email protected].
If you have not been presented with a sector module that you consider would be appropriate for your company to answer, please select the module below. If you
wish to view the questions first, please see https://www.cdp.net/en-US/Programmes/Pages/More-questionnaires.aspx.
Further Information
Attachments
https://www.cdp.net/sites/2014/29/23129/Investor CDP 2014/Shared Documents/Attachments/InvestorCDP2014/CC0.Introduction/Stora_Enso_Rethink_E_2013.pdf
https://www.cdp.net/sites/2014/29/23129/Investor CDP 2014/Shared
Documents/Attachments/InvestorCDP2014/CC0.Introduction/Stora_Enso_E_Financial_Report_2013.pdf
Documents/Attachments/InvestorCDP2014/CC0.Introduction/Stora_Enso_Global_Responsibility_Report_2013.pdf
Module: Management
Page: CC1. Governance
CC1.1
Where is the highest level of direct responsibility for climate change within your organization?
Individual/Sub-set of the Board or other committee appointed by the Board
CC1.1a
Please identify the position of the individual or name of the committee with this responsibility
The Global Responsibility and Ethics committee of Stora Enso Board of Directors regularly reviews our Global Responsibility strategy and oversees its
implementation, in accordance with Stora Enso’s corporate governance. Our Group Leadership Team (GLT) holds responsibility for our overall business strategy
which is approved by our Board of Directors. The GLT is responsible for sustainability issues, including climate change, and our Global Responsibility strategy.
Sustainability issues, of which Climate Change is an integral part, are frequently discussed at GLT meetings.
A key component of our Global Responsibility strategy is ‘Environment and Efficiency’, which sets Stora Enso's approach on strategic environment related priorities,
including tackling climate change. The performance against Stora Enso’s CO2 reduction target is reported quarterly to the GLT by Vice President, Environment of
Stora Enso’s Global Responsibility function. Our VP Environment continuously follows-up environmental regulations, policies and other best practices to evaluate
Stora Enso's climate change risks and opportunities. Periodic progress updates on large scale energy investments, energy efficiency investments at mills and of
outcomes of continuous improvement work, including energy efficiency, are provided to the GLT by Head of Group Energy Services, the Investment Working Group
and/or Business Areas depending on the case.
Stora Enso’s divisions and other key functions also have their own respective environmental specialists who coordinate environmental issues, manage
environmental liabilities, and cooperate with the respective environmental authorities, federations and lobbying organisations.
CC1.2
Do you provide incentives for the management of climate change issues, including the attainment of targets?
Yes
CC1.2a
Please provide further details on the incentives provided for the management of climate change issues
Who is entitled to benefit
from these incentives?
The type of
incentives
Energy managers
Monetary
reward
All employees
Monetary
reward
Incentivized performance indicator
Reduction targets of electricity and heat consumption are linked to the bonus payments of Energy Managers. The
performance is measured by the reduction of the kWh consumption per saleable tonne of pulp, paper and board.
In our Performance Appraisal scheme individual and department-level targets, covering all of our employees, are
selected from four different areas of which one is sustainability. Individual and department-level targets related to
climate change mitigation are embedded in the ´Sustainability’ area. The Performance Appraisal scheme is linked
to the individual share of the annual Group-wide bonus payments. We also have a suggestion scheme for energy
efficiency initiatives which is open for all employees. When there is made a good proposal how energy can be
Who is entitled to benefit
from these incentives?
The type of
incentives
Management group
Monetary
reward
Business unit managers
Monetary
reward
Environment/Sustainability
managers
Monetary
reward
Incentivized performance indicator
saved it will be rewarded financially according to the quality of the suggestion and the expected benefit. Also nonmonetary recognition might be the incentive in some cases. Besides energy savings also other improvements are
covered by the employee suggestion scheme.
Reduction targets of electricity and heat consumption are linked to the bonus payments of two of our divisional
managers with responsibility for several mills.
Reduction targets of electricity and heat consumption are linked to the bonus payments of several mill managers.
The performance is measured by the reduction of the kWh consumption per saleable tonne of pulp, paper and
board.
Following up and disclosure of climate change and energy related matters are embedded in the individual targets
of our environment and sustainability managers.
Further Information
Attachments
Documents/Attachments/InvestorCDP2014/CC1.Governance/Stora_Enso_Global_Responsibility_Report_2013.pdf
Documents/Attachments/InvestorCDP2014/CC1.Governance/Stora_Enso_E_Financial_Report_2013.pdf
Page: CC2. Strategy
CC2.1
Please select the option that best describes your risk management procedures with regard to climate change risks and opportunities
Integrated into multi-disciplinary company wide risk management processes
CC2.1a
Please provide further details on your risk management procedures with regard to climate change risks and opportunities
Frequency of
monitoring
To whom are results
reported
Six-monthly or
more frequently
Individual/Sub-set of the
Board or committee
appointed by the Board
Geographical areas considered
Stora Enso's Enteprise Risk Management (ERM)
process covers all the Group's operations. The Group
has production units and/or forestry operations in
Europe, Asia, Russia, South America and the USA.
How far into
the future are
risks
considered?
> 6 years
Comment
Please also find additional
information in the attached
description of Stora Enso's risk
assessment criteria and risk
universe.
CC2.1b
Please describe how your risk and opportunity identification processes are applied at both company and asset level
Stora Enso assesses Group-wide risks and opportunities according to the Enterprise Risk Management (ERM) process. ERM is an integrated part of the
management processes and is tied to the company strategy.
Stora Enso’s overall risk appetite and risk tolerance are determined annually by the Board of Directors in conjunction with the annual strategy meeting and review of
Stora Enso’s Risk Assessment Criteria, and conveyed specifically through corporate policies, instructions or guidelines.
The Board of Directors has established the Financial and Audit Committee and Global Responsibility and Ethics Committee to provide support to the board related
to the monitoring of the risk management process within Stora Enso.
In connection of the annual strategy process, divisions and Group service and support functions are instructed to conduct a holistic baseline risk assessment linked
to strategic objectives. Significant changes in identified risks or material new risks are required to be included in monthly performance reports.
Additionally at asset level Stora Enso’s production units follow regulatory requirements regarding environmental risk assessment. As part of third party certified
systems (ISO 14001), each mill has implemented procedures for systematic identification of environmental risks and handling of related effects, if such situation
should occur at the production site.
In this setup climate change risks are identified as separate events and are identified across all of the risk sources. In addition to the ERM, on a company-level a
core team representing the Global Responsibility Council and Environment and Efficiency Working Group are continuously managing the overall risk identification
and assessment from environmental and climate change point of view.
Internal Audit evaluates the effectiveness and efficiency of the Stora Enso Risk Management Process.
CC2.1c
How do you prioritize the risks and opportunities identified?
The identified material risks and opportunities are prioritized based on their potential impact and likelihood. The assessment of risks and opportunities takes place at
all levels in the organization as an integral part of our risks and opportunities identification process on a quarterly basis.
Within this process the impact and likelihood of individual risks are evaluated in accordance with the Stora Enso Risk assessment criteria and scored based on their
potential impacts and likelihood. The evaluation and following prioritization takes into account e.g. financial, personnel, occupational health and safety and
reputational aspects of each individual risk or opportunity.
For further information, see the attachment with the description of Stora Enso's risk assessment criteria and risk universe.
CC2.1d
Please explain why you do not have a process in place for assessing and managing risks and opportunities from climate change, and whether you plan
to introduce such a process in future
Main reason for not having a process
CC2.2
Do you plan to introduce a process?
Comment
Is climate change integrated into your business strategy?
Yes
CC2.2a
Please describe the process of how climate change is integrated into your business strategy and any outcomes of this process
(v) A key issue for Stora Enso is how to build consumer awareness to make responsible choices minimizing the carbon footprint and environmental impact. We
recognize a strategic opportunity and competitive advantage toward companies producing non-renewable materials since our products are based on renewable
materials with comparatively low carbon footprints. We believe that consumers will, in response to climate change and resource scarcity, demand low-carbon
product alternatives. Stora Enso’s wood-based products store carbon throughout their life-cycle, after which they can be either recycled or incinerated to produce
energy. Through our R&D we have developed solutions to replace non-renewable materials, such as fibre-based consumer and industrial packaging and wood
based solutions for construction industry.
(iv) Stora Enso reviews business strategy annually in a process owned by the CEO and approved by the Board of Directors. The process takes place in conjuction
with the Enteprise Risk Management (ERM) process described in 2.1b. Stora Enso is going through transformation into a company that will use renewable materials
to create long term value on a global scale and focus on growth markets in Asia and Latin America, fibre-based packaging, plantation-based pulp and competitive
paper grades.
(iv) During 2013 we continued to develop the sustainability performance of our operations in line with our Purpose and Values. Our Purpose to “Do good for the
people and the planet”, launched in 2012, explains how and why we can succeed in a turbulent world as well as the role of sustainability in the Group's
transformation strategy. Our values “Lead” and “Do What’s Right” express our desire to make the world a better place for future generations. This also means that
personal choices count to be able to change the world, and that it matters whether you use renewable or non-renewable materials and whether you recycle or not.
The Values are rooted in everyday work and is defined in our Code of Conduct.
(iv vi) As an integral part of our business strategy, our Global Responsibility Strategy defines three Lead Areas of our Global Responsibility: Environment and
Efficiency (including Climate Change and Energy); People and Ethics; and Forests and Land Use. Our Global Responsibility Strategy emphasizes a systematic,
transparent and well-managed business approach which meets the increasing expectations of our stakeholders around the world, when we expand and involve in
growth markets, entailing challenges and risks related to sustainability. Climate change is a clear element both in the short and long term view. Our management
approach and strategic actions are described in our Climate Change Statement as well as in our Energy Guidelines for energy procurement and generation. Both
documents are publicly available at www.storaenso.com/sustainabilitypolicies.
(iii) A key element in our business strategy is to promote sustainable management of forests and tree plantations and promote third-party-verified forest and chainof-custody certification to guarantee that our wood originates from sustainably managed forests and tree plantations. This is the license to operate, and one
important part of this work is active combat of illegal logging, which is one important reason for deforestation. We restore and conserve Atlantic rainforest habitats in
and around the tree plantations we own through our joint venture Veracel in Brazil, thus also creating a significant carbon sink. Tree plantations sequester more
carbon than the previous land uses, which almost entirely has consisted of grass lands for cattle grazing or unused lands.
(iii) We are working to reduce carbon dioxide (CO2) emissions all along our value chain and the aspects of climate change has a clear influence both on our
business strategy and climate change mitigation. This involves promoting sustainable forestry and tree plantation management practices, creating innovative
products based on renewable raw materials, and developing cleaner and more efficient production processes. At the same time, we are helping to build a less
carbon-intensive global economy by further improving our energy efficiency, by increasing the share of bioenergy in our total energy use, and through our products,
which are recyclable and based on renewable raw materials. Climate change also affects the way our business is communicated; taking a more active approach in
communicating the benefits of our products in comparison to non-renewables (As an example, see attached Rethink 2013 Magazine, e.g. pages 14-15).
(vi) In 2013 Stora Enso decided to invest EUR 13.5 million to replace oil with dried sawdust at our Enocell Mill in Finland. This investment will enable us to replace
over 85% of the fossil fuels used at Enocell with biomass. This is expected to reduce the mill’s annual fossil carbon dioxide emissions by 30 000 tonnes and energy
costs by EUR 5 million. This project is due to be finalised by the end of 2014. In 2013 Stora Enso also decided to invest EUR 32 million in building a state-of-the-art
biorefinery at Sunila Mill in Finland. The biorefinery will reduce the mill’s CO2 emissions by replacing up to 90% of the natural gas used at the mill with lignin
extracted from black liquor. Our centralised 10 M€ energy efficiency fund allocated for energy saving investments supported 38 projects during 2013. These projects
should generate energy savings amounting to at least 223 000 MWh per year.
(iv) Climate change mitigation and our business strategy go hand in hand. At the core of our business is our aim to replace non-renewable materials with products
and solutions based on renewable materials. In 2013 0.8% of our sales (amounting to EUR 80 million) were reinvested in R&D activities. The Group’s R&D platforms
cover issues including bio-based barriers, micro-materials, composites, biochemistry and wood based building solutions.
(iii) In 2013 we continued to carry out a major investment in fibre-based packaging based on renewable materials at Beihai City in China. The first phase of the
investment involves the construction of a consumer board machine scheduled to become operational in the beginning of 2016. Another example in 2013 was that we
completed an agreement to establish a joint venture, Bulleh Shah Packaging, including operations at Kasur and Karachi in Pakistan with focus on renewable
packaging products.
(vi) In 2013 our Group-level CO2 intensity was 28% lower than the 2006 benchmark level. Reductions in our CO2 intensity in previous years have been achieved
through investments in biomass boilers that have reduced use of fossil fuels and through increases in internal production of power and heat. Other contributing
factors have included improved productivity, the use of more efficient equipment, and streamlined processes.
CC2.2b
Please explain why climate change is not integrated into your business strategy
CC2.3
Do you engage in activities that could either directly or indirectly influence public policy on climate change through any of the following? (tick all that
apply)
Direct engagement with policy makers
Trade associations
Funding research organizations
CC2.3a
On what issues have you been engaging directly with policy makers?
Focus of
legislation
Other: Climate
protection plan
North Rhine
Westfalia
Other: Cogeneration
(CHP)
Corporate
Position
Details of engagement
Proposed legislative solution
Support with
minor
exceptions
As representative of the trade association of the paper
industry in Nort-Rhine-Westfalia, Germany, we actively
supported the work on a climate protection plan which was
initiated by the local government of the German state NorthRhine-Westfalia. We participated besides other industry and
stakeholders in several working groups, headed by the
ministry of envrionment. The target was to develop measures
to achieve the state's climate protection targets under the
climate protection law.
The idea was to develop a bunch of measures under the
umbrella of the land use regulation, but also independent from
this to further push the local economy into a low carbon
economy without hampering the competitiveness of the local
industry. All collected measures will be discussed publicly and
later the state parliament will vote on the implementation of the
plan and the measures.
Support with
minor
exceptions
Industrial Combined Heat and Power (CHP) Association. The
CHP Association in Spain supports reasonable climate
change policy through efficiency given by the CHP process
installed in all sorts of industries, including most paper mills
in Spain.
Stora Enso’s Managing Director in Spain has been directly
involved and emphasized the position that the Spanish
government must abide by the Cogeneration Directive, which
states that CHP must be promoted and helped in the various
countries to attain maximum fossil fuel efficiency. This has
been advocated through active participation in lobbying
activities and press media articles to promote such policies
CC2.3b
Are you on the Board of any trade associations or provide funding beyond membership?
Yes
CC2.3c
Please enter the details of those trade associations that are likely to take a position on climate change legislation
Trade association
Wirtschaftsverband der
rheinisch-westfälischen
papiererzeugenden
Industrie e. V.
Is your
position
on climate
change
consistent
with
theirs?
Consistent
CEPI - confederation of
European paper industry
Consistent
FFIF - Finnish forest
industry federation
Consistent
SFIF - Swedish Forest
Industry Federation
Consistent
VDP - association of
Consistent
Please explain the trade association's position
The position is to support actions to mitigate climate
change, supporting the EU ETS system and at the same
time making sure that carbon leakage can be avoided.
Position on renewable energy generation is that most
effective and most efficient choice should be made.
CEPI is supporting a reasonable climate change policy
and was the first industrial association presenting a 2050
roadmap of its own which was appreciated by the EU
climate comissioner Hedegaard. CEPI strives for climate
change mitigation measures that ensure a level playing
field for the industry and takes carbon- as well as
investment-leakage into consideration.
The FFIF supports measures against climate change.
One of the focus areas is sustainability and the usage of
biomass, which should be used as a raw-material first
before being used as an energy source. The association
has i.e. actively contributed to the introduction of
regulations to prevent illegal logging. The position on
climate change and emission trading is very close to the
CEPI position.
The SFIF is supporting activities to mitigate climate
change and has developed a clear view on how
sustainable forest management can contribute in
providing carbon sinks. A global agreement is promoted
and such must take the use and positive impact of
harvested wood products into consideration. Measures
against deforestation are seen as a must. One current
issue is the EU Commission framework on climate and
energy for 2030 expressing a new ambitious climate
target which is good, but should be conditioned with the
fact that forest industry put under global competition
should be compensated for both direct and indirect cost
increases following the EU ETS.
The German Paper Industry association supports a
How have you, or are you attempting to, influence the
position?
Active participation in discussions internally and when
meeting politicians and other decision makers. Support of
position papers by delivering background material for the
preparation like figures and statistics.
Stora Enso supports the work of CEPI and is active in
working groups like i.e. climate change and energy
committee. It as well was part of the so called "Two Teams
Project" aiming at the development of break through
technologies for a low carbon paper industry.
Stora Enso is not only represented in the Board of
Directors but also has the chair of the executive committee
and by this supports the activities of the association,
besides participating in several working groups as well.
Stora Enso is represented in the Board of the SFIF as well
as in the Presidium (Executive Committee). Stora Enso’s
senior experts are also directly involved in specific SFIF
expert committees for Forestry, Environment & Energy,
Product Safety and Transportation. In these committees,
upcoming national and international policy with regards to
regulatory issues concerning climate change and energy
affecting our company is dealt with and we actively
propose changes to proposed legislation in
communications to the government.
Stora Enso is represented in the committee for energy and
Trade association
Is your
position
on climate
change
consistent
with
theirs?
German Paper Industry
WBCSD - World Business
Council for Sustainable
Development
CC2.3d
Please explain the trade association's position
reasonable climate change policy that is effective and
does not create any carbon leakage for the energy
intensive industry. It also argues for a fare burden
sharing regarding the support for renewable energy
generation.
Consistent
WBCSD’s primary platform for supporting business to
help the world achieve a sustainable future is called
Action 2020. Action 2020 provides a platform for the
dialogue with local, national and regional policy-makers
that will be critical to allowing Business Solutions to
reach a much greater scale. Action 2020 is also the
roadmap for how business can positively influence
environmental and social trends while strengthening their
own resilience to issues such as climate change. The
members of WBCSD ha agreed on a vision called
“Vision 2050” including “must haves” which are intended
to work as a springboard for further dialogue and debate.
Must haves include: • Incorporating the costs of
externalities, starting with carbon, ecosystem services
and water, into the structure of the marketplace; •
Doubling agricultural output without increasing the
amount of land or water used; • Halting deforestation
and increasing yields from planted forests; • Halving
carbon emissions worldwide (based on 2005 levels) by
2050 through a shift to low-carbon energy systems; •
Improved demand-side energy efficiency, and providing
universal access to low-carbon mobility.
How have you, or are you attempting to, influence the
position?
climate change policy and the emission trading working
group. They follow the political debate and suppport
decision makers with input to better assess the effects
from energy and climate change regulations on climate
and industrial value creation. We actively support the work
and sometimes deliver also real figures from our German
mills to illustrate the effects of any planned or existing
regulations, as much as protection of our business secrets
and competition law allows us.
The Forest solution working group, within WBCSD,
develop key messages and reports to support the forest
products industry and highlight how the industry can be
part of the solution to combat climate change. One
example is our involvement in making the issue brief
regarding Biomass Carbon Neutrality which is a framework
for understanding climate neutrality. The issue brief distills
and synthesizes the complexity of the debate and
underlines the importance of carbon neutrality in public
policy.
Do you publically disclose a list of all the research organizations that you fund?
No
CC2.3e
Do you fund any research organizations to produce or disseminate public work on climate change?
Yes
CC2.3f
Please describe the work and how it aligns with your own strategy on climate change
For example in Sweden, Stora Enso partly finance the “Foundation for Water and Air related research (SSVL)” including climate and energy in the scope. Stora Enso
is holding a position in the SSVL Board as well as in the Project management team. The key is to participate in cost efficient projects representing Stora Enso’s mills
interest together with peers. E.g. in 2008, SSVL published the Swedish forest industry’s emissions and capture of GHG’s (IVL Report B1774) and in this specific
case it was serving the interest to get recognition for Stora Enso and the forest products industry, which is based on renewable resource and to have that reflected in
national policy.
CC2.3g
Please provide details of the other engagement activities that you undertake
CC2.3h
What processes do you have in place to ensure that all of your direct and indirect activities that influence policy are consistent with your overall climate
change strategy?
Global Responsibility and Ethics are emphasized throughout Stora Enso’s corporate governance, starting from our Board of Directors, the CEO and our Group
Leadership Team, and further in the three Business Divisions. Stora Enso has established Group functions for Global Responsibility (including Environment and
Climate) and Energy Services, which are steered and coordinated centrally.
Our internal governance structure is set up and formed to ensure that all our delegates in associations mentioned above have the same basic understanding
regarding our climate change policy. Our common Global Responsibility Strategy (in which Climate Change is an integral part) and our Ethics and Compliance
Strategy direct us in the daily work and the Global Responsibility strategy defines three Lead Areas in which Stora Enso is especially working to enhance operational
sustainability and take leadership. One Lead Area “Environment and Efficiency” drives our direct and indirect activities related to Energy and Climate actions which
influence and ensure policy consistency after being anchored with the Business Divisions.
Following our Global Responsibility strategy and guiding our influence of consistent policy development, we have established the following supporting documents:
-Stora Enso Climate Change Statement
-Stora Enso Energy Guidelines
Our internal governance structure is set up and formed to ensure that all our delegates in associations mentioned above have the same basic understanding
regarding our climate change policy. To facilitate, Stora Enso has established policies and guidelines which all employees being active in industry associations and
external interaction follow.
-Stora Enso Code of Conduct
-Stora Enso Business Practise Policy
CC2.3i
Please explain why you do not engage with policy makers
Further Information
Attachments
https://www.cdp.net/sites/2014/29/23129/Investor CDP 2014/Shared Documents/Attachments/InvestorCDP2014/CC2.Strategy/Stora Enso
Climate_Change_Statement.pdf
https://www.cdp.net/sites/2014/29/23129/Investor CDP 2014/Shared Documents/Attachments/InvestorCDP2014/CC2.Strategy/Stora Enso Energy_Guidelines.pdf
https://www.cdp.net/sites/2014/29/23129/Investor CDP 2014/Shared Documents/Attachments/InvestorCDP2014/CC2.Strategy/Stora Enso Code of Conduct
Booklet.pdf
Documents/Attachments/InvestorCDP2014/CC2.Strategy/Stora_Enso_Global_Responsibility_Report_2013.pdf
Documents/Attachments/InvestorCDP2014/CC2.Strategy/Stora_Enso_E_Financial_Report_2013.pdf
https://www.cdp.net/sites/2014/29/23129/Investor CDP 2014/Shared Documents/Attachments/InvestorCDP2014/CC2.Strategy/Stora_Enso_Rethink_E_2013.pdf
https://www.cdp.net/sites/2014/29/23129/Investor CDP 2014/Shared Documents/Attachments/InvestorCDP2014/CC2.Strategy/Stora Enso Business Practise
Policy.pdf
https://www.cdp.net/sites/2014/29/23129/Investor CDP 2014/Shared Documents/Attachments/InvestorCDP2014/CC2.Strategy/Stora Enso ERM 2014.pdf
Page: CC3. Targets and Initiatives
CC3.1
Did you have an emissions reduction target that was active (ongoing or reached completion) in the reporting year?
Intensity target
CC3.1a
Please provide details of your absolute target
ID
Scope
% of
emissions in
scope
% reduction from
base year
Base year
Base year
emissions
(metric tonnes
CO2e)
Target year
Comment
CC3.1b
Please provide details of your intensity target
ID
Int1
CC3.1c
Scope
Scope
1+2
% of
emissions in
scope
100%
% reduction
from base
year
35%
Metric
metric tonnes CO2e per metric tonne
of product
Base year
2006
Normalized
base year
emissions
0.502
Target year
2025
Comment
Please also indicate what change in absolute emissions this intensity target reflects
Direction of
change
anticipated in
absolute Scope
1+2 emissions
at target
completion?
ID
Int1
Decrease
% change
anticipated in
absolute Scope
1+2 emissions
48
Direction of
change
anticipated in
absolute Scope
3 emissions at
target
completion?
% change
anticipated in
absolute Scope 3
emissions
No change
0
Comment
The estimates of absolute Scope 1+2 emissions are based on historical
figures from 2006 to 2013 and a logaritmic trendline in excel to predict
reduction at target completion.
CC3.1d
For all of your targets, please provide details on the progress made in the reporting year
ID
Int1
% complete (time)
37%
% complete (emissions)
Comment
80%
CC3.1e
Please explain (i) why you do not have a target; and (ii) forecast how your emissions will change over the next five years
CC3.2
Does the use of your goods and/or services directly enable GHG emissions to be avoided by a third party?
Yes
CC3.2a
Please provide details of how the use of your goods and/or services directly enable GHG emissions to be avoided by a third party
Wood is Stora Enso’s most important raw material and by substituting fossil based products with ours third parties can reduce their climate change impact as
described below:
E1:
i) Stora Enso has one of the biggest biomass procurement organizations in Europe which supply forest energy biomass to both 3rd party customers and own mills.
Our revenues from forest energy biomass supplies was in Sweden appr 103 MEUR (5.1 TWh) and in Finland 23 MEUR (1.2 TWh) totaling 126 MEUR (6.3 TWh) for
Stora Enso in 2013. Third party customers accounted for 75 % of sales and consisted of CHP and district heating plants. Avoided emissions impact the third party’s
Scope 1 emissions.
ii) Stora Enso’s forest energy biomass would replace coal for their internal heating processes and reduce Scope 1 emissions.
iii) We estimate that forest energy biomass sold by Stora Enso in 2013 and replacing coal for heating would result in a CO2 reduction for the end-users amounting to
2.2 million tonnes of CO2e/annum.
iv) 1 tonne of forest energy biomass=2,7 MWh; emission factor for coal = 95 kg CO2/GJ = 92,7 kg CO2/GJ, 0,001kgCH4/GJ, 0,002kgN2O/GJ, GWP CH4=25,
N2O=298, average energy content of 2.6 MWh/tonne; moisture content of 45 %.
v) We are not considering generating CERs or ERUs.
E2:
i) In 2013, Stora Enso produced 248 000 tonnes of wood pellets, a highly refined biomass fuel used for heating directly replacing e.g. oil. We manufacture pellets
using sawdust and wood shaving residues generated during the sawmilling process and sell it to private homes, small community heating plants and industrial
heating plants to reduce 3rd party Scope 1 emissions.
ii) Stora Enso’s wood pellets would replace/substitute light fuel oil for heating purposes and reduce Scope 1 emissions.
iii) We estimate that pellets produced in 2013 (1 279 GWh) and replacing light fuel oil for heating would result in CO2 reductions for the end-users (Scope 1)
amounting to 430 000 tonnes of CO2e.
iv) 1 tonne of pellets=4.8 MWh, calorific intensity of pellets is 41% compared to oil; emission factor for light fuel oil = 74,1 kg CO2/GJ, 0,003kgCH4/GJ,
0,0010kgN2O/GJ, GWP CH4=25,N2O=298.
E3:
i) As a partner to local stakeholders we offer innovative ways to use resources and benefit communities around our mills. One way to increase competitiveness and
business profits is district heating and in 2013 a number of 12 of Stora Enso’s pulp-, paper-, board- and wood products mills were integrated with local district
heating systems (Scope 1). Local district heating networks are supplied by mills in Anjala, Ala, Heinola, Hylte, Kvarnsveden, Nymölla, Oulu, Pfarrkirchen, Skoghall,
Skutskär, Varkaus and Ybbs.
ii) Stora Enso’s district heating would replace light fuel oil for heating and thus reduce Scope 1 emissions.
iii) Supply of heat from these mills is mostly directly replacing oil and this business creates shared values and is directly supporting the EU targets to reduce fossil
CO2 emissions. In 2013 a total of 964 GWh heat was sold to district heating. It is estimated to potentially replace light fuel oil for heating resulting in CO2 reductions
for the communities amounting to 257 000 tonnes of CO2.
iv) Emission factor for light fuel oil = 74,1 kg CO2/GJ, 0,003kgCH4/GJ, 0,0010kgN2O/GJ, GWP CH4=25,N2O=298.
E4:
i) In 2013 Stora Enso sold 1,01 million tons of fibre based liquid packaging board for beverage cartons and other liquid food, equaling the packaging material needed
for approximately 42 billion one litre beverage cartons. This board is a renewable material and produced at mills which use major quantities of biomass energy. Due
to a 90% share of bioenergy in total energy production, it makes it possible to report low fossil CO2 emission of liquid packaging boards (Scope 3).
ii) The substitution effect by using Stora Enso’s renewable material, fibre based liquid packaging, would bring third party emissions of Scope 3 down.
iii) Average CO2 (eq) emissions of 1 ton of Stora Enso aseptic pack from cradle to gate is 500 kg. If even 1 billion HDPE bottles were replaced with renewable liquid
packaging board, it would result in the avoidance of 44 000 ton of CO2 equivalent annually, when assuming that fibre part of one 1 litre carton weights 24 grams.
iv) Based on our customer LCA study on food packages (http://www.sig.biz/sig-global/en/teaser-global/life-cycle-assessment/life-cycle-assessment/) carton packs
can save CO2 emissions by up to 63 per cent, and consumption of fossil resources by up to 69 per cent.
CC3.3
Did you have emissions reduction initiatives that were active within the reporting year (this can include those in the planning and implementation
phases)
Yes
CC3.3a
Please identify the total number of projects at each stage of development, and for those in the implementation stages, the estimated CO2e savings
Stage of development
Under investigation
To be implemented*
Number of projects
88
43
Total estimated annual CO2e savings in metric tonnes
CO2e (only for rows marked *)
20046
Stage of development
Implementation commenced*
Implemented*
Not to be implemented
Number of projects
0
37
3
Total estimated annual CO2e savings in metric tonnes
CO2e (only for rows marked *)
0
9091
237
CC3.3b
For those initiatives implemented in the reporting year, please provide details in the table below
Activity
type
Description of activity
Estimated
annual
CO2e
savings
(metric
tonnes
CO2e)
Annual
monetary
savings
(unit
currency as
specified in
CC0.4)
Investment
required
(unit
currency as specified
in CC0.4)
Payback
period
Energy
efficiency:
Processes
Reductionof the consumption of fossil fuels in
Nymölla mill by replacing them with evaporated Ultra
Filtration concentrate. This voluntary measure will
affect the mill's scope 1 emissions.
2290
270000
294000
1-3
years
Energy
efficiency:
Processes
Improved oxygen injection to gasifier of boiler 7 in
our Varkaus mill to reduce the use of oil. This
voluntary investment will reduce scope 1 emissions.
2876
475000
1000000
1-3
years
Energy
efficiency:
Processes
Increased flue gas fan capacity to replace oil by bio
fuel in our Skoghall mill. This is a voluntary measure
to reduce the scope 1 emissions.
3160
240000
560000
1-3
years
Estimated lifetime
of the initiative,
years
The lifetime of the
investments is
calculated to reach
at least 10 years.
The lifetime of the
investments is
calculated to reach
at least 10 years.
The lifetime of the
investments is
calculated to reach
at least 10 years.
Comment
Activity
type
Energy
efficiency:
Processes
Energy
efficiency:
Processes
Description of activity
Modernization of the gas heated air dryer hoods in
our Ingerois mill by changing the slit nozzles to
special nozzles resulting in a decrease of natural
gas consumption and higher drying efficiency in the
coating section. The effect will reduce the scope 1
emissions and is voluntary.
Installation of a modern adsorption cooling machine
in our Sachsen mill and thereby permanent
shutdown of a compression cooling machine with
lower efficiency. This voluntary improvement will
reduce the mill's scope 1 emissions as the electricity
is produced by the mill itself.
Estimated
annual
CO2e
savings
(metric
tonnes
CO2e)
650
115
Annual
monetary
savings
(unit
currency as
specified in
CC0.4)
75000
15000
Investment
required
(unit
currency as specified
in CC0.4)
Payback
period
Estimated lifetime
of the initiative,
years
140000
1-3
years
The lifetime of the
investments is
calculated to reach
at least 10 years.
60000
4-10
years
The lifetime of the
investments is
calculated to reach
at least 10 years.
Comment
CC3.3c
What methods do you use to drive investment in emissions reduction activities?
Method
Dedicated budget for energy
efficiency
Employee engagement
Comment
Stora Enso granted a dedicated budget for energy efficiency measures in 2013. Business units proposed measures and
Energy Services unit evaluated them. Finally the so called Investment Working Group, a Stora Enso group body, decided on
the best proposals to be realized.
In 2012 we established a network of energy dedicated persons that was structured in 3 Forums. In 2013 we added another
Forum especially for chemical pulp mills. The purpose of the Froums is to share best practise and ensure know how transfer
between the mills. Our energy efficiency manager serves as a secretary to the Forums and steers the process to keep focus
Method
Compliance with regulatory
requirements/standards
Other
Financial optimization
calculations
Other
Comment
on achieving the energy saving targets set by the Divisions. Besides this our employee suggestion scheme offers every
employee the possibility to contribute by own proposal to energy savings or emission reductions.
In all countries Stora Enso complies with regulatory requirements and standards. When standards are announced to be
changed Stora Enso proactively develops plans how to cope with the future requirements. This can trigger investments in more
environmentally friendly porcesses or equipment.
Since 2012 bigger investment projects are checked regarding their expected energy efficiency performance before
implementing them. Examples are the planned board mill in China or the planned power plant in Bulleh Shah, Pakistan, where
we are a minority shareholder in. We want to ensure to implement the most efficient and by that also environmetally friendly
technique available and avoid and copy-and-paste processes of older or outdated solutions.
The European Union emission trading scheme has put a cost on all CO2 emissions. We do financial optimization calculations
on all levels of the company. Cost decrease by avoiding emissions can have a major impact on the financial result. These cost
savings can be a driver in many kind of investment projects.
In some countries we participate in national energy efficiency programs and use this tool to identify opportunities for energy
saving investments. Good example for this is Sweden, where all our mills have a certified energy management system (ELS)
as part of our participation in the National Swedish Program for Energy Efficiency (called PFE-program). Stora Enso joined this
program already 2005. By taking part in PFE we are constantly mapping out energy consumption and identifying potential and
implementing the most profitable energy saving projects. All our Finnish mills participate in the Finnish Energy Efficiency
Agreement (valid 2008-2016) and have established an energy efficiency system. Our efforts to systematically monitor and
continously decrease the specific use of energy are audited yearly mill by mill. In all these schemes the identification of
investment opportunities for energy- and thereby emission-reductions is a key element. In Germany all our mills are certified
according to ISO 50001 which is the European energy management standard. Our plan is to also have the Finnish mills be
certified under this scheme before 2016 to have a more uniform and thereby effective approach to energy management in
Stora Enso.
CC3.3d
If you do not have any emissions reduction initiatives, please explain why not
Further Information
Page: CC4. Communication
CC4.1
Have you published information about your organization’s response to climate change and GHG emissions performance for this reporting year in places
other than in your CDP response? If so, please attach the publication(s)
Publication
Page/Section reference
Attach the document
In mainstream
financial reports
(complete)
30/Climate change risks
Documents/Attachments/CC4.1/Stora_Enso_E_Financial_Report_2013.pdf
In voluntary
communications
(complete)
5/Message from the CEO; 5560/Climate actions, Energy,
Environmental impacts from
logistics; 66-68 Sustainability data
by unit
Documents/Attachments/CC4.1/Stora_Enso_Global_Responsibility_Report_2013.pdf
Stora Enso's public Climate
Change Statement
Documents/Attachments/CC4.1/Policies_Climate_Change_Statement_2012_english.pdf
Stora Enso's public Energy
Guidelines
Documents/Attachments/CC4.1/Policies_Energy_Guidelines_2012_english.pdf
9-11, 14-29, 54-57, 68-71/Strategy
and more environmental friendly
products, 34-37/the Board's Global
Responsibility and Ethics
Committee
Documents/Attachments/CC4.1/Stora_Enso_Rethink_E_2013.pdf
In voluntary
communications
(complete)
In voluntary
communications
(complete)
In voluntary
communications
(complete)
Further Information
Module: Risks and Opportunities
Page: CC5. Climate Change Risks
CC5.1
Have you identified any climate change risks that have the potential to generate a substantive change in your business operations, revenue or
expenditure? Tick all that apply
Risks driven by changes in regulation
Risks driven by changes in physical climate parameters
Risks driven by changes in other climate-related developments
CC5.1a
Please describe your risks driven by changes in regulation
Risk driver
Cap and
trade
schemes
Description
The EU
emission
trading system
(ETS) is a
cornerstone of
the EU’s efforts
to combat
climate change,
and a tool for
cost-effective
reduction of
industrial GHG
emissions. The
ETS in effect
imposes a cost
on all CO2
emissions. The
Potential impact
Increased
operational cost
Timeframe
Up to 1
year
Direct/
Indirect
Direct
Likelihood
Very likely
Magnitude
of impact
Mediumhigh
Estimated
financial
implications
Management
method
Cost of
management
Increased
competition for
biomass =
higher costs for
wood and
purchased
electricity.
Carbon leakage
status was
granted to us
for 2013–2014.
If status will be
changed we
have to
purchase
allowances
meaning
-Stora Ensos
Energy Services
function
manages
procuring
energy, fossil
fuels, and
hedging with
regard to energy
prices, and the
trading of green
certificates and
the monitoring of
emission trading
trends. The
team ensures
that the energy
-Energy
Services
function: cost for
the entire
function was 2,1
MEUR, not only
related to risk
management. In 2012 Stora
Enso started to
apply a new
approach by
investing in a
software tool for
energy savings.
The tool covers
electricity,
Risk driver
Description
ETS affects
Stora Enso in
two main ways;
(1) It is
expected to
intensify the
competition for
biomass, which
may lead to
higher wood
prices; (2) ETS
will indirectly
increase
energy
generation
costs for our
electricity
suppliers when
emission
allowances now
have to be
completely
purchased from
2013. During
the second
commitment
period of 2008–
2012 the EU
ETS impacted
Stora Enso
indirectly
through
European
electricity
prices. At the
same time we
Potential impact
Timeframe
Direct/
Indirect
Likelihood
Magnitude
of impact
Estimated
financial
implications
additional costs
EUR 42 million
if the CO2 price
is EUR 5/tonne.
With higher
EUA price
costs would
increase
accordingly. In
2013 we
recorded
Operating
Income of 18
MEUR related
to emission
rights. The
surplus of
allowances
represents a
value of roughly
4 MEUR.
Management
method
Cost of
management
efficiency
strategy is duly
implemented. Perform
sensitivity
analyses and
consistent
calculations of
the financial
impacts
(cost/benefit) of
potential price
increases on
emission
allowances. Calculate effects
and financial
impacts on our
business in case
of electricity and
fossil fuel price
increases
including
external sales of
heat. -Reduce
use of fossil
fuels and
increase the
share of selfsufficiency in the
energy supply
(CHP
production). In
2013 our
electricity selfsufficiency level
steam and the
efficiency of
heat exchangers
and it may also
be expanded to
cover water use.
During 2012 the
software, at the
cost of 200 k€,
was piloted at
Sachsen mill in
Germany. It will
be subsequently
installed at other
mills.
Risk driver
Description
were able to
profit by selling
emission
allowances
allocated to us
under the forest
industry’s
carbon leakage
status. Carbon
leakage status
has been
granted for
industries
where it is
expected that
costs related to
climate policies
would cause
businesses to
transfer
production to
countries with
laxer
constraints on
greenhouse
gas emissions.
All our mills
participating in
ETS have
applied for the
second
commitment
period 2013 2020. The
change of the
allocation
Potential impact
Timeframe
Direct/
Indirect
Likelihood
Magnitude
of impact
Estimated
financial
implications
Management
method
increased to
39% and our
total energy selfsufficiency
increased to
60%. -Energy
efficiency
management:
Our Group-wide
target is to
reduce specific
electricity and
heat
consumption per
tonne of
production by
15% by year
2020 compared
with 2010. In
2013 this
indicator was
3,2% lower than
2010. -Energy
Efficiency Fund:
This centralized
investment fund
amounted to 10
MEUR in 2013
available for
allocation to
energy saving
investments on
an annual basis.
It was used to
support 38
projects. -
Cost of
management
Risk driver
Renewable
energy
regulation
Description
system from a
historical
emission driven
to a benchmark
based puts a
high financial
pressure on
those units
depending on
fossil fuels or
lacking any bio
based own
power
production.
This pressure
increases year
by year as the
free allocation
is reduced
every year by
roughly 1,75%.
The increased
demand for and
competition on
biomass is a
risk which
would increase
if broad scale
subsides are
introduced for
biomass based
energy
generators in
the EU. This
will impact on
Potential impact
Timeframe
Direct/
Indirect
Likelihood
Magnitude
of impact
Estimated
financial
implications
Management
method
Cost of
management
Energy Forums:
This is a
network of
forums for the
largest mills in
the Nordics and
Continental
Europe. The
fourth forum for
chemical pulp
production was
introduced in
2013. They work
systematically to
share best
practices and
find ways to
improve energy
efficiency.
Increased
operational cost
1 to 3
years
Direct
Very likely
Medium
Managing the
risk proactively
gives us an
opportunity.
Renewable
power from
biomass
produced in
Sweden,
Belgium and
Poland are
entitled to
Green
Certificates for
-Use biomass:
In 2013 the
share of
biomass in our
internal energy
production was
77% incl. byproducts black
liquor, bark,
sludge and
biomass from
harvesting
residues and
recovered wood.
In 2013; our 10
M€ energy
efficiency fund
was used to
support 38
projects which
should generate
reductions abt.
223 000
MWh/year.
Annual savings
are 9 k t CO2
and 7 M€.
These figures
Risk driver
Description
both our
profitability and
the availability
of biomass,
resulting in
additional
operational
variable costs
for Stora Enso
mills in Europe.
If managed
well, this is also
an opportunity,
which Stora
Enso
recognizes in
the fact that our
products are
based on
renewable
materials. Stora
Enso works
widely with
forest biomass
and we are an
important
contributor in
enabling new
forms of
biomass-based
renewable
energy
production. The
EU Renewable
Energy
Directive (RED)
Potential impact
Timeframe
Direct/
Indirect
Likelihood
Magnitude
of impact
Estimated
financial
implications
onward sale to
electricity
retailers for
fulfilling their
renewable
power quota
obligations. In
2013 the
income from
the total sale of
green
certificates
amounted to 37
MEUR. From
2013 the
majority of the
Swedish
renewable back
pressure
production
does not create
any new green
certificates
having a
negative impact
on profitability.
Management
method
Cost of
management
-Access to clean
energy through
strategic
partnerships
with external
energy
suppliers.
Contracts and
electricity
generation
capacity are
estimated to
cover 84% of
our needs for
the next 5 years.
In 2013, 82% of
purchased
electricity was
generated from
e.g. nuclear and
renewable
energy. -Procure
all assortment
biomass: We
are one of the
biggest biomass
procurement
organizations in
Europe. Supply
is directed to
own mills and
third parties.
are equivalent to
0.6% of annual
electricity
consumption
and 0.4% of
annual heat
consumption. 13.5 M€
invested to
replace oil with
sawdust at
Enocell Mill. -32
M€ invested in a
biorefinery at
Sunila Mill. Since 2010 we
invested 400 M€
in 3 multi-fuel
power plants in
Belgium,
Germany and
Poland.
Risk driver
Description
emphasizes the
potential for
biomass-based
energy
production in
industry,
transport and
housing. Stora
Enso has
extensive
operations in
Europe and to
reach the
overall EU
(20%
renewable
energy),
individual
member states
have set
targets
(Sweden 49%,
Finland 38%
and Germany
18%). We also
generate
income from
the internal
renewable
power
generation in
Sweden,
Belgium and
Poland.
Following the
EU climate and
Potential impact
Timeframe
Direct/
Indirect
Likelihood
Magnitude
of impact
Estimated
financial
implications
Management
method
Cost of
management
Risk driver
Fuel/energy
taxes and
regulations
Description
energy
package with
targets for 2020
and the
Commission
2050 roadmaps
for energy and
competitive
low-carbon
economy, a
new EU
framework on
climate and
energy for 2030
has been
issued by the
European
Commission.
The review of
the EU Energy
Efficiency
Directive (EED)
is to be
concluded in
2014. In the
EED is
foreseen a
mandatory
energy
reduction target
for energy
distributors in
absolute terms
to be applied
for their
Potential impact
Reduction/disruption
in production
capacity
Timeframe
1 to 3
years
Direct/
Indirect
Direct
Likelihood
Very likely
Magnitude
of impact
Medium
Estimated
financial
implications
Management
method
Cost of
management
Any mandatory
energy
reduction target
(EED) for
energy
distributors
would limit
Stora Enso’s
growth potential
and put further
pressure on
Stora Enso in
terms of a need
for direct
investments in
energy
infrastructure at
-Energy
efficiency
management:
Energy accounts
for 9% of our
total costs.
Improving
efficiency is a
key to reduce
climate impact
and increase
profitability. A
cornerstone of
our energy
efficiency
strategy is a
global target to
-Energy
Services
function: cost for
the entire
function was 2,1
MEUR. -In
2013; our 10 M€
energy
efficiency fund
was used to
support 38
projects which
should generate
reductions abt.
223 000
MWh/year.
Annual savings
Risk driver
Description
customers. This
would
eventually limit
Stora Enso’s
growth potential
and put further
pressure on
Stora Enso in
terms of a need
for direct
investments in
energy
infrastructure at
our European
pulp, paper and
board mills.
Any mandatory
energy
reduction
targets for
energy
distributors in
the Energy
Efficiency
Directive would
limit our growth
potential and
might put
pressure on the
our industry.
Studies by the
UNECE/FAO
Timber indicate
a gap of 230430 mio m³ of
wood between
Potential impact
Timeframe
Direct/
Indirect
Likelihood
Magnitude
of impact
Estimated
financial
implications
our European
pulp, paper and
board mills.
Since 2010 we
have e.g.
invested 400
M€ in 3 multifuel power
plants in
Belgium,
Germany and
Poland.
Management
method
Cost of
management
reduce specific
electricity and
heat
consumption per
tonne of
production by
15% by 2020
(baseline 2010).
In 2013 it was
3,2% lower than
baseline. -To
reach the target
we have set up
an internal team
of energy
efficiency
specialists, an
Energy Forum
Network, and a
centralized 10
M€ energy
efficiency fund. Local energy
efficiency work
done at mills is
guided by
internal tools
and certified
management
systems. In
2013 we
conducted basic
energy audits at
11 mills and
follow-up audits
at 9 mills.
are 9 k t CO2
and 7 M€.
These figures
are equivalent to
0.6% of annual
electricity
consumption
and 0.4% of
annual heat
consumption.
Risk driver
Description
expected
supply and
demand if the
targets should
be reached and
the forest
industry
consuming
wood according
the European
Forest Sector
Outlook Study.
We expect
increased
competition for
wood, related
to higher raw
material cost
and threat of
production
curtailments
due to lack of
raw material.
This may lead
to mobilization
of unused
harvesting
potential at
small private
forest owners
and increased
EU imports.
CC5.1b
Potential impact
Timeframe
Direct/
Indirect
Likelihood
Magnitude
of impact
Estimated
financial
implications
Management
method
Cost of
management
Please describe your risks that are driven by change in physical climate parameters
Risk driver
Description
Change in
precipitation
extremes
and
droughts
Extreme
weather
events
include
storms,
flooding and
in certain
areas
droughts and
can impact
negatively on
the stability of
raw material
supply. We
include here
also the risks
on "Change
in
precipitation
pattern"
category as
its potential
impact, time
frame etc. to
wood supply
are similar.
Storms are
the most
significant
factors for the
raw material
supply to
Stora Enso as
they can
cause heavy
Potential impact
in production
capacity
Direct/
Timeframe Indirect Likelihood
Up to 1
year
Direct
More likely
than not
Magnitude
of impact
Medium
Estimated
financial
implications
Management
method
Cost of
management
- Decreased
precipitation
reduces tree
growth (which
either
prolongs the
rotation
periods or
reduce yield)
and increases
risk for forest
fires Increased
precipitation
may lead to
re-design of
plantation
layout,
influence soil
properties and
increase
harvesting
costs in
certain areas Increase in
frequency of
extreme
whether
events, such
as storms,
increase the
harvesting
cost by 1020%. In
general,
- We have
advanced tree
breeding
programmes
in place develop and
improve soil
preparation
and
fertilization
methods train and
maintain
harvesting
and transport
capacity source fibre
from multiple
sources and
have wide
geographical
presence with
good logistic
solutions maintain
diversity of
forest types
and
structures,
which
increase
resilience
toward
disturbances take IPCCC
- No substantial
addition costs as: (i)
tree breeding and
developing soil
preparation and
fertilization methods
are integral part of
the plantation
operations, (ii)
training and
maintenance of
sufficient harvesting
and transport
capacity are part of
normal wood
procurement
actions/preparedness
- Maintenance of
diversity of forest
types and structures
increase costs e.g.
due to additional
requirements for setaside areas by forest
certification systems
Risk driver
Sea level
rise
Description
wind breaks
with usually
short term
oversupply
and midterm
reduced
supply of
wood raw
materials.
The expected
sea level rise
(Global)
varies a lot
depending on
the source of
information.
IPCC predicts
in the 2007
report a sea
level rise of
0,18 to 0,59
m by 2100,
while other
publications
talk about up
to 5 m sea
level rise.
This long
term risk may
cause
problems at
our mills
located by the
sea e.g. in
Europe as
well as
Potential impact
Direct/
Magnitude
of impact
Estimated
financial
implications
harvesting
costs account
some 1/3 of
total wood
costs
in production
capacity
>6 years
Direct
More likely
than not
Medium
No
quantifications
are available.
Management
method
Cost of
management
projections for
changes in
precipitation
and other
climatic
parameters
into account
in planning
Stora Enso
manages
these risks
through the
following
method: Effects from
sea level rise
are part of our
risk
management
model and
evaluated
when new
scientific
evidence
becomes
available Risks
managed
according to
the enterprise
risk
management
process as
part of our
Group-wide
Costs are an integral
part of Stora Enso’s
overall management
costs.
Risk driver
Induced
changes in
natural
resources
Description
causing
logistic
problems in
harbours from
where our
end products
are
distributed to
customers.
Induced
changes in
natural
resources
(Europe):
Expected
increases in
the
temperature
will lead to
changes in
the tree
species
composition
of forests
accelerated
by insect
outbreaks (for
example bark
beetles Ips
typographus).
Spruce will be
in certain
areas
replaced by
broadleaf
trees.
Potential impact
Direct/
Magnitude
of impact
Estimated
financial
implications
Management
method
Cost of
management
assessment
work, and
through thirdparty certified
management
systems like
ISO 14001 at
our mills
in production
capacity
>6 years
Direct
More likely
than not
Lowmedium
Warmer
climate
induces
change in tree
species
composition,
e.g. spruce
replaced with
beech and
pine, in
Central
Europe. This
will in 20 - 40
years affect,
supply of
spruce
mechanical
pulpwood and
saw logs.
Diversification
of raw
material
supply.
No substantial
additional costs
expected since
changes in one item
can be balanced with
another due to
efficient and
geographically well
spread procurement
organization
Maintaining a
diversity of forest
types and structures
increase costs related
to planning and
management etc.
Risk driver
Description
Change in
mean
(average)
precipitation
Soft forest
soils and
roads
(Finland,
Sweden,
Baltics and
Russia):
Milder winters
with more rain
and less
snow and
reduced
periods of
frozen soils
will impact
harvesting
and transport
of wood and
thus affect
stability of
raw material
supply and
increase
costs We
include here
also the risks
on "Change
in (mean
average)
temperature"
category as
its potential
impact, time
frame etc. to
harvesting
and transport
of wood are
Potential impact
Increased
operational cost
Direct/
Up to 1
year
Direct
More likely
than not
Magnitude
of impact
Medium
Estimated
financial
implications
Management
method
- Milder
winters and
changes in
precipitation
patterns can
cause softer
soil and force
harvesting
operations to
move
temporarily to
other areas.
This can
cause
increase costs
in the thinning
or harvest
planning
phases. If soft
soil stands
cannot be
harvested
during the
frozen period
they have to
be kept until
the next year.
This causes
capital costs
which are
depending on
the interest
rate
respectively
the WACC.
- We are
training of
personnel on
harvesting in
soft soils plan carefully
e.g. new
checklists for
planning and
harvesting on
peatland sites
introduced,
new planning
technology
(airborne
laser
scanning) use specially
equipped
harvesting
machinery for
soft soils and
develop new
machine
types implement
Best Practices
of Wood
Harvesting in
Soft Soils
guidelines source fibre
from multiple
sources and
have wide
geographical
presence with
Cost of
management
Wood harvesting
costs in soft soils is
more than 10-15%
higher than "normal"
(dry) harvesting
conditions. In
general, harvesting
costs account some
1/3 of total wood
costs
Risk driver
Snow and
ice
Description
similar in
Europe.
Sea
Transports in
the Baltic Sea
(Baltic /
Nordic): Cold
winters in
Northern
Europe have
caused
problems for
railway
transports
(snow in
Sweden
2010) and
sea
transports
(thick ice in
the Baltic sea
2011). In both
cases the
temporary
solution to the
problems
have been
trucking. If the
extreme
situations will
be more
regular, it
might favour
trucking over
time, and that
could
Potential impact
Direct/
Magnitude
of impact
Estimated
financial
implications
Management
method
Cost of
management
good logistic
solutions
Increased
operational cost
Up to 1
year
Direct
More likely
than not
Lowmedium
For the
problems for
railway and
sea
transports, in
both cases the
temporary
solution to the
problems has
been trucking
to meet
customer
needs, in
some cases
with a risk to
be more
expensive. If
such extreme
weather
situations will
be more
regular, it
might favour
trucking over
time, and
could increase
the CO2
emissions.
For the
problems for
railway and
sea transports
the temporary
solution to the
problems is
trucking to
meet
customer
needs, in
some cases
with a risk to
be more
expensive.
Additional costs of
trucking compared to
railway and sea
transportation.
Risk driver
Change in
temperature
extremes
Change in
precipitation
pattern
Description
increase the
CO2
emissions.
Changes in
temperature
extremes
(China,
Uruguay):
Temperature
extremes may
include
occurrence of
severe frost
periods in the
subtropics,
which causes
damage to
eucalypt
species
grown in
Stora Enso's
plantations
there.
Change in
precipitation
pattern
through
decreased
precipitation
or change in
the timing can
have adverse
impacts to
water
reservoir
levels and
Potential impact
in production
capacity
Increased
operational cost
Direct/
1 to 3
years
>6 years
Direct
Direct
More likely
than not
Likely
Magnitude
of impact
Estimated
financial
implications
Management
method
Cost of
management
Lowmedium
Severe frost
damages for
many
eucalyptus
species
commonly
grown in tree
plantations in
the tropics and
subtropics.
The damage
causes growth
losses and
increased
operational
costs due to
additional
harvesting and
replanting.
Plantation
planning to
avoid frost
sensitive
areas and
tree breeding
programmes
to increase
tolerance of
extreme
temperatures.
Minor additional costs
due to modification of
planning methods.
Mediumhigh
If the
electricity
price would
increase with
5 % it would
cause an
increase of
operational
costs with 1,2
M€. The
estimate is
short term
perspective
-Long term
contracts with
electricity
suppliers to
reduce risk. Own
production of
combined
heat and
power in our
European
paper mills.
Costs for the Stora
Enso Energy
Services function was
2,1 MEUR in 2013.
Risk driver
Description
Potential impact
Direct/
Magnitude
of impact
cause
electricity
price
increases in
Europe.
Estimated
financial
implications
Management
method
Cost of
management
only including
hedging and
fixed price
contracts.
CC5.1c
Please describe your risks that are driven by changes in other climate-related developments
Risk driver
Changing
consumer
behaviour
Description
Forests only
seen as carbon
sink globally:
Certain
ENGO’s are
opposing
harvesting and
push the idea
to use forests
entirely as
carbon sinks
and avoiding
emissions due
to harvesting.
This potential
requirement for
reduced
harvesting
Potential impact
in production
capacity
Timeframe
>6 years
Direct/
Indirect
Indirect
(Supply
chain)
Likelihood
Unlikely
Magnitude
of impact
Mediumhigh
Estimated
Financial
Implications
Management
method
Cost of
management
Significantly
higher wood
cost for Stora
Enso, thus
impacting our
mills variable
costs, can be
caused due to
supply
restrictions
e.g. if forests
are used
entirely as
carbon sinks.
In 2013, the
total amount
of wood
procured by
Stora Enso
participates in
R&D work,
information
campaigns and
lobbying to get
broader
stakeholder
acceptance for
harvested
wood products
e.g. as
additional
carbon pool
and for our
products to be
alternatives to
other materials.
Managing forest
with the goal to
maximize the
forest carbon
pool can lead to
reduced
harvesting levels
and availability of
raw material.
Some NGOs
might use the
momentum to
demand
harvesting stops,
when other
climate change
mitigation actions
fails. Companies
Risk driver
Increasing
humanitarian
demands
Description
could impact
negatively on
global climate
change
mitigation as
well as on
Stora Enso.
Harvesting of
stands leads to
short-term
releases of
carbon from
soil and wood
debris, making
a forest stand a
short-term
source of CO2.
However, as
the new trees
grow the stand
is turned back
to a carbon
sink and the
carbon balance
is positive over
long time
period.
Increasing
demand and
prices for food
globally: The
demand for
agricultural
crops is
steadily
increasing with
Potential impact
Increased
operational cost
Timeframe
>6 years
Direct/
Indirect
Indirect
(Supply
chain)
Likelihood
About as
likely as
not
Magnitude
of impact
Medium
Estimated
Financial
Implications
Management
method
Cost of
management
Stora Enso in
Finland,
Sweden and
Russia was 26
million cubic
metres. For
instance, 1
EUR/cubic
meter
increase in
average wood
prices in these
areas would
mean annual
cost increase
of EUR 26
million.
E.g. wood used
as construction
material for
houses fixes
CO2 over a
long period.
The same is
valid for books
stored in the
book shelves.
using wood as
raw material
might be
perceived
negatively. All
communications
related direct
costs across the
Group totalled
roughly to EUR
15-20 million in
2013 and 0.8% of
our sales (80
MEUR) was
reinvested in
R&D activities.
Climate
change
through
droughts and
flooding is
impacting
annual
agricultural
production
Agroforestry, a
combination of
production of
wood and
agricultural
crops or
animals,
integrates the
different land
Costs of
agroforestry
establishment are
largely
compensated by
new wood
producing
possibilities
through access to
Risk driver
Other drivers
Description
Potential impact
Timeframe
Direct/
Indirect
Likelihood
Magnitude
of impact
Estimated
Financial
Implications
the growing
world
population and
additional
demand for bio
energy.
and hence the
prices.
Changing
climate
patterns
influence
negatively
agricultural
production in
certain areas
and increase
competition on
land, thus
increasing
land price and
bearing a risk
to reduce
availability of
land for tree
growing and
thus impact
Stora Ensos
operational
costs
negatively,
Supply
chain/process
disruption in
Europe:
Extreme
weather events
and related
damages to
infrastructure
can disrupt the
Implications
can result
from
production
losses due to
damages to
infrastructure
and logistics
restrictions.
Social unrest
in production
capacity
>6 years
Indirect
(Supply
chain)
About as
likely as
not
Medium
Management
method
Cost of
management
use forms and
mitigates
competition on
land. Thus it
mitigates also
the effects of
raising food
prices and
improves local
livelihoods.
Stora Enso has
established
agroforestry
systems with
good results
Laos (rice
production and
cattle grazing
for local
communities),
Uruguay (cattle
grazing and
bee keeping)
and Brazil
(agricultural
crops).
This risk is
managed
through
flexibility in the
sales and
market
organization
attempting to
minimize
impact on the
new areas. The
additional costs
remain marginal.
In Laos the
establishment of
agroforestry of
upland rice
production had
minor costs for
soil preparation
as the major work
is done by the
members of the
local communities
for their own
benefit, as the
rice grown
between the
Eucalyptus rows
belongs to them.
Costs related to
production losses
due to damages
to infrastructure
and logistics
restrictions
including regional
social unrest are
difficult to
quantify. Limited
Risk driver
Description
supply chains
and limit the
availability of
wood raw
material for a
certain period
of time and
cause
disruption in
production
processes.
Potential impact
Timeframe
Direct/
Indirect
Likelihood
Magnitude
of impact
Estimated
Financial
Implications
can impact the
demand for
products and
disturb
logistics
solutions. One
example was
the political
turbulence in
North Africa
which is an
important
market area
for the
European
sawmilling
business of
Stora Enso.
The demand
and markets in
several
countries was
disturbed and
had a negative
financial
impact on the
sawmilling
business.
Management
method
Cost of
management
demand for
products and
the disturbance
on logistics
solutions
applied.
availability of raw
materials may
translate into
increased
variable costs.
CC5.1d
Please explain why you do not consider your company to be exposed to risks driven by changes in regulation that have the potential to generate a
substantive change in your business operations, revenue or expenditure
CC5.1e
Please explain why you do not consider your company to be exposed to risks driven by physical climate parameters that have the potential to generate a
substantive change in your business operations, revenue or expenditure
CC5.1f
Please explain why you do not consider your company to be exposed to risks driven by changes in other climate-related developments that have the
potential to generate a substantive change in your business operations, revenue or expenditure
Further Information
Stora Enso’s business risks and risk management are further described in Stora Enso’s Financial report 2013 (attached below p.p. 28-32). Stora Enso categorizes
risks into four key areas: Marketplace, Infrastructure (incl. Climate change), Reputational and Financial risks. Stora Enso's Group Leadership Team, Divisions,
Group Functions, production units and projects are responsible for managing risks that could have an adverse effect on the achievement of their objectives and
goals. To achieve this Stora Enso has implemented an enterprise risk management process for identifying and treating risks as well as exploiting opportunities,
thereby increasing the likelihood of achieving objectives. The Stora Enso Group Risk Policy sets out the overall approach to governance and management of risks.
The aim is continuous monitoring of identified material risks and prioritizing of risks based on their likelihood at all levels in the organisation and taking them into
account in the strategic and business planning processes. Our renewable products can be used as substitutes for fossil fuel-based materials. We believe that this
market will continue to grow. Stora Enso is committed to contributing to mitigating the effects of climate change by actively seeking opportunities to reduce the
Group’s carbon footprint. Risks related to climate change are managed via activities related to finding clean, affordable and safe energy sources for production and
transportation, and reducing energy consumption. Additional measures include energy efficiency initiatives, use of carbon-neutral biomass fuels, maximizing
utilisation of combined heat and power, and sequestration of carbon dioxide in forests and products. The Group’s wood-based products are a better alternative for
minimising climate change than more carbon-intensive products. International climate/energy policies have a significant impact on uncertainties. Changes and
inconsistencies in regulations may significantly impact on individual mills’ competitiveness. Our verified emissions under the EU ETS in 2013 were 2 520 115 metric
tonnes. It is difficult to estimate effects of increased competition from bioenergy sector to wood prices. Usually external biomass plants, due to subsidies and short
transport distances for raw material, have a higher paying capability than pulp and board mills with higher wood consumption and longer transport distances.
Financial impacts of emission allowances and on risks related to raw material and energy prices are included in Note 5 and Note 25 in the Financial Report 2013.
Attachments
Documents/Attachments/InvestorCDP2014/CC5.ClimateChangeRisks/Stora_Enso_E_Financial_Report_2013.pdf
Page: CC6. Climate Change Opportunities
CC6.1
Have you identified any climate change opportunities that have the potential to generate a substantive change in your business operations, revenue or
expenditure? Tick all that apply
Opportunities driven by changes in regulation
Opportunities driven by changes in physical climate parameters
Opportunities driven by changes in other climate-related developments
CC6.1a
Please describe your opportunities that are driven by changes in regulation
Opportunity
driver
Description
International
agreements
Stora Enso’s
entire value
chain is
largely based
on the
utilization of
biomass,
Potential impact
Reduced
operational costs
Timeframe Direct/Indirect
>6 years
Direct
Likelihood
More likely
than not
Magnitude
of impact
Medium
Estimated
financial
implications
Management
method
Cost of
management
In 2013 our
net income
from emission
rights was
EUR 1 million
(EUR 13
million in
The most
effective way
for Stora Enso
to reduce fossil
CO2 emissions
is to further
improve our
In 2013, the
investment
decisions
which will
increase the
share of
biomass in our
Opportunity
driver
Description
renewable
material. All
biomass
related
national,
regional and
international
regulation,
and subsidies,
taxes and tax
exemptions
have financial
impacts on the
Group’s
businesses,
especially in
Europe. The
combined
effect is very
difficult to
estimate.
Regulations
following the
EU climate
and energy
package,
Emission
Trading
Scheme
(ETS) and
Renewable
Energy
Directive
(RED)
emphasize
biomass
based energy
Potential impact
Likelihood
Magnitude
of impact
Estimated
financial
implications
2012). The
Group also
generates
income from
its renewable
power
generation in
Sweden,
Belgium and
Poland, and
the Group is
entitled to
Green
Certificates.
The income
from the sale
of these green
certificates
amounted to
EUR 37
million in 2013
(EUR 66
million). In
2013 the fair
value of
shareholding
in hydro
power (PVOVesivoima Oy)
was EUR 122
million and in
nuclear power
(Teollisuuden
Voima Oy)
EUR 223
million.
Management
method
Cost of
management
energy
efficiency and
to increase the
share of
bioenergy in
our total energy
use. In 2013
Stora Enso
decided to
invest EUR
13.5 million to
replace oil with
dried sawdust
at our Enocell
Mill. This
investment will
enable us to
replace over
85% of the
fossil fuels used
at Enocell with
biomass. This
is expected to
reduce the
mill's annual
fossil carbon
dioxide
emissions by
30 000 tonnes
and energy
costs by EUR 5
million. This
project is due to
be finalised by
the end of 2014
In 2013 Stora
Enso also
internal energy
production
totaled to EUR
45.5 million.
Our energy
efficiency
investment
fund
amounted to
EUR 10 million
in 2013 and
supported 38
projects.
Opportunity
driver
Description
production in
many sectors
of society. The
EU
Commission’s
Bioeconomy
Strategy
supports the
broader
development
of biomass
based
industries and
partial
replacement
of nonrenewable
products by
more
sustainable
bio-based
alternatives.
Favorable
agreements
within these
schemes
regarding
incentives to
use solutions
based on
renewable
raw-materials,
and biomass
and other
carbon free
energy
production
Potential impact
Likelihood
Magnitude
of impact
Estimated
financial
implications
Management
method
decided to
invest EUR 32
million in
building a stateof-the-art
biorefinery at
Sunila Mill in
Finland. The
biorefinery will
reduce the
mill's CO2
emissions by
replacing up to
90% of the
natural gas
used at the mill
with lignin
extracted from
black liquor.
The Group has
representatives
in the Boards of
PVO-Vesivoima
Oy and
Teollisuuden
Voima Oy, the
two energy
companies with
minority
shareholdings.
Stora Enso’s
energy
efficiency
program
includes
several different
methods, such
Cost of
management
Opportunity
driver
Other
regulatory
drivers
Description
can mean
competitive
advantage for
Stora Enso.
Improvement
in our energy
efficiency and
climate
friendly
energy use in
Europe are
additionally
rewarded
within the
ETS. Stora
Enso’s
biomass
based energy
production
and
shareholdings
in carbon free
hydro-,
nuclear- and
wind-power
production
also represent
strategic
assets from
climate
change
regulation
perspective.
All Stora
Enso’s wood
based
Potential impact
Likelihood
Magnitude
of impact
Estimated
financial
implications
Management
method
Cost of
management
as the internal
team of energy
efficiency
specialists,
energy forums
to share best
practices and
energy
efficiency
investment fund
to finance
projects (for
more details,
see 3.3).
Increased
demand for
existing
>6 years
Indirect
(Client)
More likely
than not
Lowmedium
The sales of
our timber
business
Stora Enso
invests in the
production of
During past 6
years Stora
Enso has
Opportunity
driver
Description
Potential impact
products such
as paper and
packaging
board, and
most
importantly
timber
products and
wooden
construction
solutions,
work as
carbon
storages
during their
life cycle.
During their
lifecycle wood
based
buildings store
the carbon,
absorbed by
trees, for 5060 years at
least. Both the
superior
energy
efficiency in
construction
phase and the
role of wood
buildings as
carbon
storages have
an effect in
related
international
products/services
Likelihood
Magnitude
of impact
Estimated
financial
implications
(Building and
Living
Business
Area)
increased to
EUR 1 867
million in 2013
(EUR 1 684
million in
2012). The
operational
EBIT
increased to
EUR 75
million (EUR
29 million in
2012).
According to
the Group's
sensitivity
analysis +10%
increase in
volumes
would
increase the
profit by EUR
34 million
based on the
results in
2013.
Management
method
Cost of
management
CrossLaminated
Timber (CLT)
solutions, which
enable our
customers in
construction
industry to use
wood in urban
construction
and multi-storey
buildings.
invested
approximately
EUR 40 million
in the
production of
CrossLaminated
Timber (CLT)
solutions for
our customers
in the
construction
industry. In
addition, Stora
Enso has
acquired two
units in
Finland (in
Hartola and
Pälkäne)
which are
pioneering
roof and hall
constructions,
as well as
large-scale
quick-to-install
building
solutions. We
have not
disclosed the
purchasing
value of these
two
acquisitions.
Opportunity
driver
Fuel/energy
taxes and
regulations
Description
and national
regulation. For
instance, in
Finland, the
promotion of
wood
construction is
part of the
Strategic
Programme
for the Forest
Sector in the
Ministry of
Employment
and the
Economy.
In addition to
own energy
generation
from biomass
Stora Enso
supplies wood
pellets to third
parties.
Regulations
following the
EU climate
and energy
package e.g.
the
Renewable
Energy
Directive
emphasize
biomass
based energy
Potential impact
Increased
demand for
existing
products/services
>6 years
Indirect
(Client)
Likelihood
Virtually
certain
Magnitude
of impact
Lowmedium
Estimated
financial
implications
Management
method
Cost of
management
In 2013 our
pellet sales
amounted to
EUR 49
million,
increasing by
6% from 2012.
We produce
pellets in
Estonia, Russia
and Sweden
using sawdust
and wood
shaving
residues
generated
during the
sawmilling
process. We
sell pellets both
to private
homes, small
community
heating plants
and industrial
heating plants.
In 2013, we
Stora Enso
has invested
EUR 36 million
in operations
for pellets
manufacturing
since 2008.
Opportunity
driver
Description
production in
many sectors
of society
such as
industry,
transport and
housing. Stora
Enso as a
major forest
biomass
fractionating
company is an
important
contributor to
enabling new
biomass
based energy
production. In
2013, Stora
Enso’s
Building and
Living
Business Area
produced 248
000 tonnes of
wood pellets,
a highly
refined
biomass fuel
used for
heating
directly
replacing oil
and coal. This
business is
directly
supporting the
Potential impact
Likelihood
Magnitude
of impact
Estimated
financial
implications
Management
method
invested in a
new pellet mill
in Kitee sawmill
in Finland.
Production
started in
February 2014,
estimated
annually
production is
approximately
12 000 tonnes.
Cost of
management
Opportunity
driver
Fuel/energy
taxes and
regulations
Description
Potential impact
EU targets to
reduce fossil
CO2
emissions.
During 2013 it
is estimated
that pellets
produced by
Stora Enso,
amounting to
1 279 GWh,
and replacing
light fuel oil for
heating would
result in
significant
CO2
reductions for
the end-users
amounting to
345 000
tonnes of CO2
(1 tonne of
pellets = 4.8
MWh, calorific
intensity of
pellets is 41%
compared to
oil; emission
factor for light
fuel oil = 74 kg
CO2/GJ).
Regulations
following the
EU climate
and energy
Increased
demand for
existing
products/services
>6 years
Indirect
(Client)
Likelihood
Magnitude
of impact
Virtually
certain
Lowmedium
Estimated
financial
implications
Management
method
Cost of
management
Our revenues
from forest
energy
biomass
Our business
on forestry
energy biomass
is an integral
The logistics
and refining of
forest energy
biomass in the
Opportunity
driver
Description
package e.g.
the
Renewable
Energy
Directive
emphasize
biomass
based energy
production in
many sectors
of society
such as
industry,
transport and
housing.
Alongside
Stora Enso's
own energy
generation
from biomass,
internally used
in the Group’s
units, we
supply forest
energy
biomass to
third parties.
Stora Enso is
one of the
biggest
biomass
procurement
organisations
in Europe with
focus on
Sweden,
Finland,
Potential impact
Likelihood
Magnitude
of impact
Estimated
financial
implications
supplies was
in Sweden
approximately
EUR 103
million (5.1
TWh) and in
Finland
approximately
EUR 23
million (1.2
TWh), totaling
to EUR 126
million (6.3
TWh) in 2013.
Third party
customers
accounted
approximately
for 75 % of
sales and
consisted
mainly of CHP
plants and
district heating
plants.
Management
method
Cost of
management
part of our
wood
procurement
organization
processes. Our
strategy is to be
present in the
market place as
‘all assortment
buyers’ which is
the best starting
position
possible.
procurement
process is
conducted by
Stora Enso’s
contractors
and logistic
suppliers and
related
operational
costs are part
of our direct
business
costs. In the
past three
years, Stora
Enso has
invested EUR
137 000 in
related
Information
Technology
and biomass
terminals.
Opportunity
driver
Description
Western and
Eastern
Europe,
Russia and
the Baltic
countries. Our
supply of
forest energy
biomass
(often called
GROT= tree
bransches
and tops) is
directed to
both own mills
and third party
customers.
Forest energy
biomass is a
fuel directly
replacing coal
supporting the
EU targets to
reduce the
fossil CO2
emissions.
During 2013 it
is estimated
that forest
energy
biomass sold
by Stora Enso
and replacing
coal for
heating would
result in a
significant
Potential impact
Likelihood
Magnitude
of impact
Estimated
financial
implications
Management
method
Cost of
management
Opportunity
driver
Description
Potential impact
Likelihood
Magnitude
of impact
Estimated
financial
implications
Management
method
Cost of
management
CO2 reduction
for the endusers
amounting to
2.2 million
tonnes of CO2
(1 tonne of
forest energy
biomass = 2,7
MWh;
emission
factor for coal
= 95 kg
CO2/GJ).
CC6.1b
Please describe the opportunities that are driven by changes in physical climate parameters
Opportunity
driver
Induced
changes in
natural
resources
Description
Studies predict
an enhanced tree
growth and
timber yield for
the boreal forests
in the supply
areas of Stora
Enso in Sweden,
Finland and
Potential
impact
Increased
production
capacity
Timeframe
>6 years
Direct/
Indirect
Indirect
(Supply
chain)
Likelihood
More likely
than not
Magnitude
of impact
Medium
Estimated
financial
implications
Management
method
Cost of
management
Higher growth
and higher
harvesting levels
will increase the
value of Stora
Enso's forest
assets. Increased
growth will also
potentially reduce
No special actions
are necessary as
this opportunity
will be taken care
in the normal
forest
management
activities.
Increased growth
The actions
related to this
opportunity are
not expected to
incur special
costs in addition
to our normal
variable and fixed
costs of forestry
Opportunity
driver
Description
Western Russia
as a result of
gradual
increases in
temperature,
precipitation and
CO2 levels in the
atmosphere. This
is an opportunity
for Stora Enso as
the enhanced
tree growth
increases raw
material
availability for
Stora Enso from
private forest
owners in these
regions and the
value and
revenue from the
Group’s
associated
companies with
forestland assets
in Finland and
Sweden. Stora
Enso procures
and uses more
than 2/3 of the
total wood
consumption
(about 34 million
m3 annually) in
Sweden, Finland
and Russia.
Stora Enso is a
Potential
impact
Timeframe
Direct/
Indirect
Likelihood
Magnitude
of impact
Estimated
financial
implications
wood
procurement
costs as more
wood is
available. In 2013
the total amount
of wood procured
by Stora Enso in
Finland, Sweden
and Russia was
26 million cubic
metres. For
instance, 1
EUR/cubic meter
decrease in
average wood
prices in these
areas would
mean annual
cost saving of
EUR 26 million.
Management
method
will be identified
by the regular
forest inventories
and new forest
management
plans will be
established based
on the results. If
possible the
annual allowable
cut will be
increased and
higher harvesting
will take place.
Cost of
management
operations.
Opportunity
driver
Description
minority
shareholder in
Bergvik Skog in
Sweden and
Tornator in
Finland with in
total more than
2.5 million
hectares of
productive forest
land (Stora
Enso’s share of
these biological
assets were EUR
2 067 million in
2013). In addition
Stora Enso has
long term lease
rights in Russia
in the amount of
419 000
hectares. The
forests and the
forests of our
suppliers in
Finland, Sweden
and Russia will
most probably
gain in annual
growth and
hence allow
higher
sustainable
harvesting
volumes. Higher
annual
harvesting levels
Potential
impact
Timeframe
Direct/
Indirect
Likelihood
Magnitude
of impact
Estimated
financial
implications
Management
method
Cost of
management
Opportunity
driver
Other
physical
climate
opportunities
Description
also help
securing our
actual raw
material demand
and the expected
growth in
biomass usage
for energy
production.
Increased winds
in Northern
Europe might
make the
investments in
renewable wind
power more
profitable.
Currently Stora
Enso is a
minority
shareholder in
the Swedish wind
power company
VindIn AB, of
which Stora Enso
owns about 18%.
In 2009 the first
wind farm with 5
five wind turbines
and 10 MW
installed capacity
was erected on
the premises of
Stora Enso’s
Skutskär pulp mill
in Sweden.
Potential
impact
Investment
opportunities
Timeframe
>6 years
Direct/
Indirect
Indirect
(Supply
chain)
Likelihood
About as
likely as
not
Magnitude
of impact
Lowmedium
Estimated
financial
implications
Management
method
Cost of
management
VindIn
investment
planning and
related decisions
are taken in the
VindIn company.
The wind park
(built by VindIn
AB) at Skutskär
Mill generated 32
200 MWh during
2013 (30 600
MWh). Stora
Enso is also
participating in
VindIn’s second
wind farm project
in Sweden
(Trattberget).
This wind park
has a capacity of
69 MW. In 2013
the Trattberget
wind park
generated
193000 MWh.
Stora Enso’s
Stora Enso is well
positioned to take
advantage of the
expected growing
demand for
renewable
electricity. Plans
and
environmental
impact
assessments for
more VindIn wind
park projects in
Sweden and
Finland are
currently ongoing.
In 2013 some
82% (81%) of the
Group’s total
purchased
electricity was
generated from
low-carbon
sources including
nuclear energy
and renewable
energy.
Stora Enso’s total
investment in the
Trattberget wind
park, taken into
operation in
2013, was EUR
19 million.
Opportunity
driver
Description
Potential
impact
Timeframe
Direct/
Indirect
Likelihood
Magnitude
of impact
Estimated
financial
implications
Management
method
Cost of
management
annual savings
due to this
investment are
expected to be
EUR 290 000.
Change in
mean
(average)
precipitation
Increased
precipitation will
make tree
growing possible
in new areas.
Some studies
predict increased
precipitation in
the regions which
are adjacent to
Stora Enso's
current tree
plantations and
mills, but where
the growing
conditions are
not currently
optimal due to
insufficient
rainfall. This may
create an
opportunity for
increased
production
capacity and new
investment
opportunities.
Today insufficient
precipitation
limits tree
growing in many
Increased
production
capacity
>6 years
Indirect
(Supply
chain)
About as
likely as
not
Lowmedium
In 2013 the value
of Stora Enso’s
biological assets
(tree plantations)
in Brazil and
Uruguay were
EUR 115 million
and EUR 120
million,
respectively.
Estimated
financial
implicatons
depend on
possible
investment
opportunities.
Surveys and
monitoring of
physical
conditions.
Surveys and
monitoring are an
integral part of
the business
planning and
thus do not carry
additional costs.
Potential costs
will consist of
potential new
purchase/lease
of land,
plantation
establishment
and investment in
processing
facilities.
Opportunity
driver
Description
Potential
impact
Timeframe
Direct/
Indirect
Likelihood
Magnitude
of impact
Estimated
financial
implications
Management
method
Cost of
management
otherwise
prominent
regions.
Predicted
increase in
precipitation e.g.
in parts of Brazil
and Uruguay,
may create
investment
opportunities for
new reforestation
projects and
expansion of the
existing tree
plantation
projects. These
investments may
enable increasing
the production
capacity.
CC6.1c
Please describe the opportunities that are driven by changes in other climate-related developments
Opportuni
ty driver
Description
Reputation
Stora Enso has a
competitive advantage
Potential
impact
Increased
demand for
Timefram
e
Direct/
Indire
ct
Likelihoo
d
Magnitud
e of
impact
>6 years
Direct
Very
likely
High
Estimated
financial
implications
The climate
friendliness of Stora
Management
method
Our corporate
reputation is
Cost of
management
Communicatio
ns related
Opportuni
ty driver
Description
since all our papers,
boards, packages,
pulp and solid wood
products are based on
renewable raw
materials with
comparatively low
carbon footprints. We
believe that
consumers and
societies at large will
demand low-carbon
product alternatives in
response to climate
change and related
resource scarcity. This
will make us an
attractive investment
and partner for our
stakeholders since we
offer products based
on renewable
materials, substituting
fossil based nonrenewable materials.
The recognized
climate friendliness of
Stora Enso’s main raw
material - wood - is an
important goodwill
factor in our
packaging products
and solutions
(Renewable
Packaging Division),
pulp products to
external customers
Potential
impact
existing
products/servic
es
Timefram
e
Direct/
Indire
ct
Likelihoo
d
Magnitud
e of
impact
Estimated
financial
implications
Enso’s main raw
material, wood, is
an especially
important
reputational factor in
our
packaging,(Renewa
ble Packaging
Division) and pulp
(Biomaterials
Division) products,
and in our solutions
to construction
industry (Building
and Living Business
Area). In 2013 the
operational profits of
our Renewable
Packaging Division,
Biomaterials
Division and
Building and Living
Business Area were
EUR 318 million,
EUR 77 million and
EUR 75 million,
respectively .
Management
method
Cost of
management
defined by all our
actions with our
stakeholders in
which climate
change mitigation
and the climatefriendliness of our
products are
integral elements.
In addition to
investments in
improving energy
efficiency and
reducing
dependence on
fossil fuels,
examples of our
internal and
external
stakeholder
engagements in
2013 included: We launched our
new corporate
Purpose ‘Do good
for the people and
the planet’ and our
values ‘Lead’ and
‘Do what’s right’ in
2012. During 2013
we have continued
to build awareness
of these issues,
including
environment and
climate issues as
one aspect,
direct costs
across the
whole Group
totaled roughly
to EUR 15-20
million in
2013. Our
major energy
efficiency
related
investment
decisions in
2013 (at our
Enocell and
Sunila Mills)
totaled to EUR
45.5 million.
0.8% of our
sales
(amounting to
EUR 80
million) was
reinvested in
research and
development
(R&D)
activities in
2013.
Opportuni
ty driver
Description
(Biomaterials Division)
and in our products
and solutions serving
construction industry
(Building and Living
Business Area). We
are also striving to
make our office and
publication papers
lighter, without
compromising on
product quality, so as
to save on materials
and energy in
production and
transportation.
Potential
impact
Timefram
e
Direct/
Indire
ct
Likelihoo
d
Magnitud
e of
impact
Estimated
financial
implications
Management
method
throughout the
company. - The
importance of
energy efficiency
and our aim to
reduce our
dependence on
fossil fuels are
included in Stora
Enso Code of
Conduct. In 2013 a
total of 10 418 of
our employees
underwent our new
Code of Conduct elearning. - Stora
Enso was a
sponsor at the
World Climate
Summit 2013 held
in Warsaw. Product labeling:
all divisions have
calculated
greenhouse gas
emissions for their
main products. We
also conduct life
cycle inventory
(LCI) surveys on all
of our main
products. - We
continued to
engage
stakeholders in the
materiality review
for annual Global
Cost of
management
Opportuni
ty driver
Changing
consumer
behaviour
Description
Stora Enso foresee an
increased market
share for products
made from renewable
materials with low
carbon footprint and
wood from third party
certified sustainable
managed forests. We
already today achieve
higher product prices
for some certified
products. It will be
crucial to build
consumer awareness
to make responsible
choices minimizing
e.g. carbon footprint.
Our offer is products
Potential
impact
Increased
demand for
existing
products/servic
es
Timefram
e
>6 years
Direct/
Indire
ct
Likelihoo
d
Indirec
t
Likely
(Client)
Magnitud
e of
impact
High
Estimated
financial
implications
In 2013 the
operational profits of
our Renewable
Packaging Division,
Biomaterials
Division and
Building and Living
Business Area were
EUR 318 million,
EUR 77 million and
EUR 75 million,
respectively. The
general sensitivity
analyisis on the
volume and price
change effect on
our profits is
available on page
30 in our Financial
Management
method
Cost of
management
Responsibility
Report and in our
Global
Responsibility
Strategy through
Online Advisory
Panel. - Our
communications
and marketing
have climatefriendliness and
low carbon
footprint of our
products as one of
the messages in
stakeholder
engagements.
Our investments in
new capacity in
Asia are designed
to respond to the
rapidly increasing
demand for
sustainable
packaging in the
region. In 2013,
Stora Enso for
instance
inaugurated a new
production unit at
Jiashan, with the
focus on consumer
packaging
products, and
continued the
implementation of
The
acquisitions
costs in Asia
during past 3
years total
approximately
to EUR 163
million. In
Beihai,
southern
China, the
capital
expenditure
for the
construction of
a consumer
board machine
is estimated to
be
Opportuni
ty driver
Description
that contribute to a
low carbon world with
renewable materials
used as a substitute to
fossil based materials
leading to positive
financial
implications/opportunit
ies and investments.
Potential
impact
Timefram
e
Direct/
Indire
ct
Likelihoo
d
Magnitud
e of
impact
Estimated
financial
implications
Report 2013.
Management
method
Cost of
management
an integrated pulp
and paperboard
production
investment in
Beihai, southern
China, to respond
to the growing
consumer demand
for hygienic and
high quality
consumer board.
Our Biomaterials
Division is actively
developing new
markets for
cellulose
derivatives, and
produces
dissolving birch
pulp for the textile
industry. Annual
capacity is 150 000
tonnes. Dissolving
pulp is used today
in textile industry,
but different kinds
of cellulose
derivatives can
also be applied for
many end-uses,
from home
furnishings to
clothes, tyres or
food and medicine.
Renewable
Packaging Division
actively develops
approximately
EUR 760
million. In
2013 0.8% of
the Group’s
revenue
amounting to
EUR 80 million
was
reinvested into
R&D activities.
During past 6
years Stora
Enso has
invested
approximately
EUR 40 in the
production of
wood based
construction
elements (CLT
elements).
Opportuni
ty driver
Description
Potential
impact
Timefram
e
Direct/
Indire
ct
Likelihoo
d
Magnitud
e of
impact
Estimated
financial
implications
Management
method
new more climatefriendly, fibrebased packaging
solutions.
Examples of recent
product
development
include packaging
solutions that
function both as
transportation and
sales packages,
reducing costs and
environmental
impacts. Our paper
business also
develops
lightweight paper
grades that
achieve greater
material efficiency
and lower
environmental
impacts. Our
Building and Living
Business Area has
invested in new
capacity for woodbased construction
solutions, as the
use of wood grows
in urban
construction in
several market
areas partly due to
its superior
environmental/clim
Cost of
management
Opportuni
ty driver
Description
Potential
impact
Timefram
e
Direct/
Indire
ct
Likelihoo
d
Magnitud
e of
impact
Estimated
financial
implications
Management
method
Cost of
management
ate performance.
CC6.1d
Please explain why you do not consider your company to be exposed to opportunities driven by changes in regulation that have the potential to
generate a substantive change in your business operations, revenue or expenditure
CC6.1e
Please explain why you do not consider your company to be exposed to opportunities driven by physical climate parameters that have the potential to
generate a substantive change in your business operations, revenue or expenditure
CC6.1f
Please explain why you do not consider your company to be exposed to opportunities driven by changes in other climate-related developments that
have the potential to generate a substantive change in your business operations, revenue or expenditure
Further Information
Attachments
Documents/Attachments/InvestorCDP2014/CC6.ClimateChangeOpportunities/Stora_Enso_E_Financial_Report_2013.pdf
Documents/Attachments/InvestorCDP2014/CC6.ClimateChangeOpportunities/Stora_Enso_Global_Responsibility_Report_2013.pdf
Module: GHG Emissions Accounting, Energy and Fuel Use, and Trading
Page: CC7. Emissions Methodology
CC7.1
Please provide your base year and base year emissions (Scopes 1 and 2)
Base year
Sun 01 Jan 2006 - Sun 31
Dec 2006
Scope 1 Base year
emissions (metric tonnes
CO2e)
3825000
Scope 2 Base
year emissions (metric
tonnes CO2e)
3580000
CC7.2
Please give the name of the standard, protocol or methodology you have used to collect activity data and calculate Scope 1 and Scope 2 emissions
Please select the published methodologies that you use
The Greenhouse Gas Protocol: A Corporate Accounting and Reporting Standard (Revised Edition)
CC7.2a
If you have selected "Other" in CC7.2 please provide details of the standard, protocol or methodology you have used to collect activity data and
calculate Scope 1 and Scope 2 emissions
CC7.3
Please give the source for the global warming potentials you have used
Gas
CH4
N2O
CO2
Reference
IPCC Fourth Assessment Report (AR4 - 100 year)
CC7.4
Please give the emissions factors you have applied and their origin; alternatively, please attach an Excel spreadsheet with this data at the bottom of this
page
Fuel/Material/Energy
Emission Factor
Unit
Distillate fuel oil No 5
77.4
Distillate fuel oil No 2
74.1
Anthracite
96.3
Bituminous coal
92.7
Lignite
99.2
Sub bituminous coal
94.2
Natural gas
56.1
Liquefied Natural Gas (LNG)
63.1
Peat
106
Other: Package derived fuel (PDF)
fossil fuel portion
73.4
Other: Sludge, fossil portion
110
Diesel/Gas oil
2.21
Liquefied Natural Gas (LNG)
2.9996
Liquefied petroleum gas (LPG)
2.8689
Motor gasoline
2.63
Refuse-derived fuel
73.4
Electricity
246.9
Other: kg CO2 per
GJ
Other: kg CO2 per
GJ
Other: kg CO2 per
GJ
Other: kg CO2 per
GJ
Other: kg CO2 per
GJ
Other: kg CO2 per
GJ
Other: kg CO2 per
GJ
Other: kg CO2 per
GJ
Other: kg CO2 per
GJ
Other: kg CO2 per
GJ
Other: kg CO2 per
GJ
kg CO2 per liter
metric tonnes CO2
per m3
metric tonnes CO2
per m3
kg CO2 per liter
Other: kg CO2 per
GJ
kg CO2 per MWh
Electricity
400
kg CO2 per MWh
Electricity
60.0
kg CO2 per MWh
Reference
IPCC Guidelines for National Greenhouse Gas Inventories
Company analyses and mill averages
US Dept of Energy Center for Transportation Analysis
Company analyses and mill averages
Austria - Suppliers specific factors for our sawmills
Belgium - Supplier specifc factor. Factor linked to the energy
covenant with the Flemish authorities
Brazil - Supplier specific factor
Fuel/Material/Energy
Emission Factor
Unit
Electricity
Electricity
Electricity
Electricity
Electricity
Electricity
Electricity
1007.0
497.5
1476.0
164.0
75.7
506.0
404.0
kg CO2 per MWh
kg CO2 per MWh
kg CO2 per MWh
kg CO2 per MWh
kg CO2 per MWh
kg CO2 per MWh
kg CO2 per MWh
Electricity
820.0
kg CO2 per MWh
Electricity
Electricity
Electricity
Electricity
Electricity
Electricity
Electricity
Electricity
976.0
1159.0
540.0
692.0
1760.0
29.0
394.0
734.0
Heat
0.1057
Heat
0.0489
Heat
0.104
Heat
0.029
kg CO2 per MWh
kg CO2 per MWh
kg CO2 per MWh
kg CO2 per MWh
kg CO2 per MWh
kg CO2 per MWh
kg CO2 per MWh
kg CO2 per MWh
metric tonnes CO2
per GJ
metric tonnes CO2
per GJ
metric tonnes CO2
per GJ
metric tonnes CO2
per GJ
Reference
China - UNCTAD Eco Efficiency indicators
Czech Republic - Supplier specific factor
Estonia - UNCTAD Eco Efficiency indicators
Finland - Supplier specific factor for all Finnish units
France - Supplier specific factor for our units
Germany - Supplier specific factor for our German units
Hungary - Supplier specific factor
India - CO2 Baseline Database 2009 (Government of India,
Ministry of Power, Central Electricity Authority)
Latvia - Supplier specific factor
Lithuania - Supplier specific factor
The Netherlands - UNCTAD Eco Efficiency indicators
Poland - PGE published data for 2013
Russia - UNCTAD Eco Efficiency indicators
Sweden - Calculated company national average mix
UK - UNCTAD Eco Efficiency indicators
USA - EPA’s eGRID value for the region of Wisconsin
Dawang mill China - Supplier specific factor
Kabel mill Germany - Supplier specific factor
Ostroleka mill Poland - URE published avg data for heat
produced in Poland
Wisconsin core board mill USA - Supplier specific factor
Further Information
Our system also uses factors for CH4 and N2O for our fuels. When calculated with the GWP we get the CO2e.
Page: CC8. Emissions Data - (1 Jan 2013 - 31 Dec 2013)
CC8.1
Please select the boundary you are using for your Scope 1 and 2 greenhouse gas inventory
Operational control
CC8.2
Please provide your gross global Scope 1 emissions figures in metric tonnes CO2e
2776000
CC8.3
Please provide your gross global Scope 2 emissions figures in metric tonnes CO2e
1953000
CC8.4
Are there are any sources (e.g. facilities, specific GHGs, activities, geographies, etc.) of Scope 1 and Scope 2 emissions that are within your selected
reporting boundary which are not included in your disclosure?
Yes
CC8.4a
Please provide details of the sources of Scope 1 and Scope 2 emissions that are within your selected reporting boundary which are not included in your
disclosure
Source
Relevance of Scope
1 emissions from
this source
Building not linked to our production units. E.g. head
quarter, regional and sales offices, warehouses.
Harvesting of wood and transportation of roundwood,
chips and sawdust with our own harvesting machines.
Emissions are not
relevant
Emissions are not
relevant
Relevance of Scope 2
emissions excluded
from this source
Emissions are not
relevant
No emissions from this
source
Explain why the source is excluded
Contributions are minor. The effect on our total
Scope 1 and 2 is marginal, ie. much less than 1%.
Contributions are minor. The effect of our total
Scope 1 and 2 is marginal, less than 0,5%.
CC8.5
Please estimate the level of uncertainty of the total gross global Scope 1 and 2 emissions figures that you have supplied and specify the sources of
uncertainty in your data gathering, handling and calculations
Scope 1
emissions:
Uncertainty
range
More than 2%
but less than
or equal to
5%
Scope 1
emissions:
Main sources
of uncertainty
Metering/
Measurement
Constraints
Scope 1 emissions: Please expand on the
uncertainty in your data
Stora Enso collects and consolidates all
environmentally relevant data in a group
common database system, SDM. The system
itself does not allow any data gaps as we have
established a data input review process that
requires the internal review principles. Data
entered to the system are also reviewed and
compared to production volumes and historical
emissions. Metering/Measurement constraints:
According to our internal reporting procedures
GHG emissions can be determined according to
the following methods: a) Fuel volumes and the
Scope 2
emissions:
Uncertainty
range
More than 2%
but less than
or equal to
5%
Scope 2
emissions:
Main sources
of uncertainty
Metering/
Measurement
Constraints
Scope 2 emissions: Please expand on
the uncertainty in your data
Stora Enso collects and consolidates all
environmentally relevant data in a group
common database system, SDM. The
system itself does not allow any data
gaps as we have established a data input
review process that requires the internal
review principles. Data entered to the
system are also reviewed and compared
to production volumes and historical
emissions. The majority of the emissions
comes from purchased electricity and are
calculated with emission factors from our
Scope 1
emissions:
Uncertainty
range
Scope 1
emissions:
Main sources
of uncertainty
Scope 1 emissions: Please expand on the
uncertainty in your data
Scope 2
emissions:
Uncertainty
range
Scope 2
emissions:
Main sources
of uncertainty
application of a standard default emission factor
b) Fuel use and the application of supplier or
mill specific emission factors. Both methods for
determining GHG emissions are a potential
source for inaccuracy and thus linked to an
uncertainty in the provided data. Portion of our
Scope 1 emissions in Europe are subject to the
EU ETS and thus to directives and requirements
of the Monitoring and Reporting Guidelines of
the European Commission (EU Directive
2007/589/EG). All emissions subject to EU ETS
have to be reported with a maximum uncertainty
of +/-1.5 %.
Scope 2 emissions: Please expand on
the uncertainty in your data
suppliers. If supplier emission factors are
missing country default grid factors are
being used. Purchased heat is based on
supplier specific emission factors only.
CC8.6
Please indicate the verification/assurance status that applies to your reported Scope 1 emissions
Third party verification or assurance complete
CC8.6a
Please provide further details of the verification/assurance undertaken for your Scope 1 emissions, and attach the relevant statements
Type of
verification or
assurance
Limited
assurance
Page/section
reference
Attach the statement
Documents/Attachments/CC8.6a/Stora_Enso_Global_Responsibility_Report_2013.pdf
Page 76.
Relevant
standard
AA1000AS
Proportion
of reported
Scope 1
emissions
verified (%)
100
CC8.6b
Please provide further details of the regulatory regime to which you are complying that specifies the use of Continuous Emissions Monitoring Systems
(CEMS)
Regulation
% of emissions covered by the system
Compliance period
Evidence of submission
CC8.7
CC8.7a
Please provide further details of the verification/assurance undertaken for your Scope 2 emissions, and attach the relevant statements
Type of
verification
or assurance
Limited
assurance
Page/Section
reference
Page 76.
Relevant
standard
AA1000AS
Proportion of
Scope 2
emissions
verified (%)
100
CC8.8
Please identify if any data points other than emissions figures have been verified as part of the third party verification work undertaken
Additional data points verified
Comment
Year on year change in emissions
(Scope 1 and 2)
Year on year emissions intensity
figure
Progress against emission reduction
target
The auditors verify all claims in our Global Responsibility report and included in our report are annual trend diagrams and
figures concerning our Scope 1 and 2 emissions.
figures concerning intensity data of our Scope 1 and 2 emissions.
figures to show progress of our Scope 1 and 2 reductions targets.
The auditors verify all claims in our Global Responsibility report and included in our report are described our reduction
activites which are being verified.
Emissions reduction activities
CC8.9
Are carbon dioxide emissions from biologically sequestered carbon relevant to your organization?
Yes
CC8.9a
Please provide the emissions from biologically sequestered carbon relevant to your organization in metric tonnes CO2
13031000
Further Information
Page: CC9. Scope 1 Emissions Breakdown - (1 Jan 2013 - 31 Dec 2013)
CC9.1
Do you have Scope 1 emissions sources in more than one country?
Yes
CC9.1a
Please break down your total gross global Scope 1 emissions by country/region
Country/Region
Finland
Sweden
Germany
Poland
China
Spain
Rest of world
Scope 1 metric tonnes CO2e
1254600
164500
446000
380500
140500
192400
197500
CC9.2
Please indicate which other Scope 1 emissions breakdowns you are able to provide (tick all that apply)
By business division
By GHG type
CC9.2a
Please break down your total gross global Scope 1 emissions by business division
Business division
Printing and Reading
Building and Living
Renewable packaging
Biomaterials
Scope 1 emissions (metric tonnes CO2e)
1556600
33000
1053100
133300
CC9.2b
Please break down your total gross global Scope 1 emissions by facility
Facility
Latitude
Longitude
CC9.2c
Please break down your total gross global Scope 1 emissions by GHG type
GHG type
CO2
N2O
CH4
2639707
100679
35890
CC9.2d
Please break down your total gross global Scope 1 emissions by activity
Activity
CC9.2e
Please break down your total gross global Scope 1 emissions by legal structure
Legal structure
Further Information
Page: CC10. Scope 2 Emissions Breakdown - (1 Jan 2013 - 31 Dec 2013)
CC10.1
Do you have Scope 2 emissions sources in more than one country?
Yes
CC10.1a
Please break down your total gross global Scope 2 emissions and energy consumption by country/region
Country/Region
Finland
Sweden
Germany
Poland
China
Rest of world
Scope 2 metric tonnes CO2e
451500
143000
587500
162000
252000
356500
Purchased and consumed
electricity, heat, steam or cooling
(MWh)
3020300
4729100
1483900
204000
390200
1788800
Purchased and consumed low carbon electricity,
heat, steam or cooling accounted for CC8.3 (MWh)
1624000
4424000
CC10.2
Please indicate which other Scope 2 emissions breakdowns you are able to provide (tick all that apply)
By business division
CC10.2a
Please break down your total gross global Scope 2 emissions by business division
Business division
Printing & Reading
Building & Living
Renewable packaging
Biomaterials
1953000
170000
523500
7600
CC10.2b
Please break down your total gross global Scope 2 emissions by facility
Facility
CC10.2c
Please break down your total gross global Scope 2 emissions by activity
Activity
CC10.2d
Please break down your total gross global Scope 2 emissions by legal structure
Legal structure
Further Information
Page: CC11. Energy
CC11.1
What percentage of your total operational spend in the reporting year was on energy?
More than 5% but less than or equal to 10%
CC11.2
Please state how much fuel, electricity, heat, steam, and cooling in MWh your organization has purchased and consumed during the reporting year
Energy type
Fuel
Electricity
Heat
Steam
Cooling
CC11.3
MWh
44274174
10086904
290689
1239831
0
Please complete the table by breaking down the total "Fuel" figure entered above by fuel type
Fuels
Natural gas
Peat
Wood or wood waste
Refuse-derived fuel
Biogas
Liquefied petroleum gas (LPG)
Diesel/Gas oil
Other: Heavy fuel oil
Waste plastics
Anthracite
Other: Blacl liquor
Other: Pitch oil
Other: Bio based fuels
Other: Fossil based fuels
MWh
4309622
1587484
10450280
559994
84675
300044
79366
843977
93769
1840555
21988324
615941
1210941
309203
CC11.4
Please provide details of the electricity, heat, steam or cooling amounts that were accounted at a low carbon emission factor in the Scope 2 figure
reported in CC8.3
Basis for applying a low carbon
emission factor
Power Purchase Agreements (PPA)
not backed by instruments
MWh
associated with
low carbon
electricity,
heat, steam or
cooling
4424000
Comment
This electricity amount refers to a specific contract we have in Sweden where the supplier guarantees
that the power is produced only in nuclear power plants. We counted the emissions from this electricity
emission factor
MWh
associated with
low carbon
electricity,
heat, steam or
cooling
Comment
generation as scope 2.
Grid connected low carbon
electricity generation owned by
company, instruments created and
retired by company
retired by company
retired by company
315550
During the reporting period our Langerbrugge mill in Belgium produced on-site certified green electricity
which was entirely consumed for our internal production processes. (The electricity generation belongs
to scope 1)
59688
During the reporting period our Ostroleka mill in Poland produced on-site certified renewable electricity
which was entirely consumed for our internal production processes. (The electricity generation belongs
to scope 1)
65564
company, no instruments created
77838
242540
169686
257788
48866
1302000
During the reporting period our Fors mill in Sweden produced on-site green electricity which was
entirely consumed for our internal production processes.In November 2013 the unit was registered into
the national database (CESAR) and therefore 2014 production will show up as certified GoO
generation. (The electricity generation belongs to scope 1)
During the reporting period our Hylte mill in Sweden produced on-site green electricity which was
During the reporting period our Skutskär mill in Sweden produced on-site green electricity which was
During the reporting period our Nymölla mill in Sweden produced on-site green electricity which was
During the reporting period our Skoghall mill in Sweden produced on-site green electricity which was
During the reporting period our Kvarnsveden mill in Sweden produced on-site green electricity which
was entirely consumed for our internal production processes.In November 2013 the unit was registered
into the national database (CESAR) and therefore 2014 production will show up as certified GoO
We are a shareholder in Finnish power company Pohjolan Voima Oy (PVO) that is itself a shareholder
emission factor
MWh
associated with
low carbon
electricity,
heat, steam or
cooling
retired by company
retired by company
retired by company
retired by company
retired by company
retired by company
Further Information
322000
Comment
in company Teollisuuden Voima Oyj (TVO) which operates 2 nuclear power plants. Every shareholder
receives a share of the generated power according to his shares. Therefore we received in 2013
1.302.000 MWh of low carbon electricity produced by nuclear power plants of TVO. We counted the
emissions from this electricity generation as scope 2.
We are a shareholder in Finnish power company Pohjolan Voima Oy (PVO). Every shareholder
receives a share of the generated power according to his shares. Therefore we received in 2013
322.000 MWh of renewable electricity produced by PVO hydro power plants and registered under GoO
scheme.We counted the emissions from this electricity generation as scope 2.
4057
In 2013 our Fors mill produced 4.057 MWh green electricity with GoO certification. (The electricity
generation belongs to scope 1)
244
In 2013 our Hylte mill produced 244 MWh green electricity with GoO certification. (The electricity
9883
In 2013 our Skoghall mill produced 9883 MWh green electricity with GoO certification. (The electricity
42
In 2013 our Kvarnsveden mill produced 42 MWh green electricity with GoO certification. (The electricity
529
In 2013 our Skutskär mill produced 529 MWh green electricity with GoO certification. (The electricity
The figure for electricity purchased and consumed (10.086.904 MWh) contains the volumes we purchased from company PVO/TVO in Finland. As we are a minority
shareholder and receive energy according to our share we looked upon these volumes as being produced by an own company when answering question 11.4.
Nevertheless we included these volumes in the figure for purchased volumes for question 11.2 as we pay for them and by this they are regarded as purchased
volumes.
Page: CC12. Emissions Performance
CC12.1
How do your gross global emissions (Scope 1 and 2 combined) for the reporting year compare to the previous year?
Increased
CC12.1a
Please identify the reasons for any change in your gross global emissions (Scope 1 and 2 combined) and for each of them specify how your emissions
compare to the previous year
Reason
Emissions reduction
activities
Emissions value
(percentage)
Direction of
change
Comment
1.5
Decrease
A combination of reduction activities connected to CC3.3 and the fact that the many(excluding
Ostroleka and Maxau & decreases based on our restructuring processes mentioned seprately below)
of our production facilities, with mill specific measures, have decreased their fossil CO2 emissions with
approximately 70 000 tonnes.
2
Decrease
During 2013 we continued to implement a restructuring process which has largely been driven by the
decline in global paper markets. Local communities in our traditional areas of operations have suffered
due to the closures of production lines or entire production units.
Divestment
Acquisitions
Mergers
Change in output
Change in
methodology
Change in boundary
Change in physical
operating conditions
Increase
Reason
Unidentified
Other
Emissions value
(percentage)
Direction of
change
5
Increase
Comment
Increased use of fossil fuel at our Ostroleka mill in Poland and Maxau mill in Germany.
CC12.2
Please describe your gross global combined Scope 1 and 2 emissions for the reporting year in metric tonnes CO2e per unit currency total revenue
Intensity
figure
0.00043
Metric
numerator
metric tonnes
CO2e
Metric
denominator
unit total revenue
% change from
previous year
4.1
Direction of
change from
previous year
Increase
Reason for change
Our revenues has gone down with 2,5 % meanwhile our
Scope 1 and 2 emissions has gone up with 1,5%.
CC12.3
Please describe your gross global combined Scope 1 and 2 emissions for the reporting year in metric tonnes CO2e per full time equivalent (FTE)
employee
Intensity
figure
168
Metric
numerator
metric tonnes
Metric
denominator
FTE employee
% change from
previous year
3.4
Direction of
change from
previous year
Increase
Reason for change
Our number of employees has gone down with 2% meanwhile
Intensity
figure
Metric
numerator
Metric
denominator
% change from
previous year
CO2e
Direction of
change from
previous year
Reason for change
our Scope 1 and 2 emissions has gone up with 1,5%.
CC12.4
Please provide an additional intensity (normalized) metric that is appropriate to your business operations
Intensity
figure
0.3607
Metric
numerator
metric
tonnes
CO2e
Metric
denominator
metric tonne of
product
Further Information
Page: CC13. Emissions Trading
CC13.1
% change
from
previous
year
3.9
Direction
of change
from
previous
year
Increase
Reason for change
In 2013 our CO2 emissions per saleable tonne of pulp, paper, and board were 28%
lower than the 2006 benchmark level, so we are on our way towards reaching our
target. Reductions in our CO2 intensity in previous years have been achieved through
investments in biomass boilers that have reduced our use of fossil fuels, and through
increases in our internal production of power and heat. Other contributing factors have
included improved productivity, the use of more efficient equipment, and streamlined
processes. This declining trend was disrupted in 2013, mainly due to lower production
volumes and the increased use of fossil fuels at our Ostrołęka Mill in Poland and Maxau
Mill in Germany.
Do you participate in any emissions trading schemes?
Yes
CC13.1a
Please complete the following table for each of the emission trading schemes in which you participate
Scheme name
European Union
ETS
Period for which data is
supplied
Tue 01 Jan 2013 - Tue 31 Dec
2013
Allowances allocated
3341066
Allowances purchased
35000
Verified emissions
in metric tonnes
CO2e
2520115
Details of ownership
Facilities we own and
operate
CC13.1b
What is your strategy for complying with the schemes in which you participate or anticipate participating?
We are fully complying with the EU ETS rules and yearly emissions are verified according to national legislation. In 2011 we updated our previous target for reducing
our fossil CO2 emissions, and we now aim to reduce emissions per saleable tonne of pulp, paper, and board by 35% from 2006 levels by the end of 2025. This CO2
intensity target covers both emissions generated directly by our own facilities (Scope 1), and indirect emissions produced during the generation of the electricity and
heat we purchase (Scope 2). After 2013 we achieved 28%. To further push for better energy efficiency we establised a target of reducing our specific energy
consumption (electricity and heat per tonne of paper) in our pulp, paper and board mills by 15% until 2020 (base year 2010). The scope covers more than 95% of
our energy consumption. This will help us in achieving the neccessary reduction in CO2 emissions. We set up a permanent group of people in Stora Enso whose
only task is to improve the energy efficiency, internally called Energy Hunters.
Reductions in our CO2 intensity in previous years have been achieved through investments in biomass boilers that have reduced our use of fossil fuels, and through
increases in our internal production of power and heat. Other contributing factors have included improved productivity, the use of more efficient
equipment, and streamlined processes. This declining trend was disrupted in 2013, mainly due to the increased use of fossil fuels at our Ostrołęka Mill in Poland and
Maxau Mill in Germany.
CC13.2
Has your organization originated any project-based carbon credits or purchased any within the reporting period?
Yes
CC13.2a
Please provide details on the project-based carbon credits originated or purchased by your organization in the reporting period
Credit
origination
or credit
purchase
Credit
Origination
Project
type
Biomass
energy
Project identification
Erection of Montes del Plata pulp mill in Uruguay where
we are a 50% shareholder. Project has been officially
registered in 2012, production of green electricity
produced from the use of biomass is expected to start
beginning of Q2'14. Construction is complete now and
start-up procedures are on-going..
Verified to
which standard
Number
of credits
(metric
tonnes of
CO2e)
Number of
credits
(metric
tonnes
CO2e):
Risk
adjusted
volume
Credits
cancelled
Purpose,
e.g.
compliance
CDM (Clean
Development
Mechanism)
0
0
Not
relevant
Voluntary
Offsetting
Further Information
Page: CC14. Scope 3 Emissions
CC14.1
Please account for your organization’s Scope 3 emissions, disclosing and explaining any exclusions
Sources of
Scope 3
emissions
Evaluation
status
Purchased goods
and services
Relevant,
calculated
Capital goods
Not relevant,
explanation
provided
metric
tonnes
CO2e
Emissions calculation methodology
Percentage
of
emissions
calculated
using
primary
data
Explanation
Below please in a description of five
subcategories and methodologies used for
Scope 3 calulations of our purchased goods and
services. We have applied a general cut off rule
of 1% by weight (accumulative weight not to
exceed 5%) to applicable parts of this source
category. 1. Wood harvesting - The calculations
are based on; based on suppied round wood
and forest biomass by harvesting and felling
method (diesel consumed and electricity need),
forest managment (Silviculture and forest
improvement work by working method) and
operational travel. 2. purchased non-fibre raw
materials - The calculations are based on
2668000
volumes of purchased pigments, chemicals and
polymeric materials. Volumes obtained from
central group data system. Generic emission
factors from Ecoinvent has been used. 3.
Purchased of external pulp - The calculations
based on purchased volumes. We have applied
cradle-to-gate calculations (60%) and the use
generic LCA data from Ecoinvent. 4. Purchased
recovered fibre - The calculations based on
purchased volumes and generic Ecoinvent data
for sorted and unsorted paper. 5. Purchased
fibre raw materials for corrugated board - The
calculations based on purchased volumes and
generic data from Ecoinvent.
Compared to our total Scope 3 emissions,
CO2e emisssions related to the source
category capital goods is considered estimated
to be minor. Due to this fact and the extreme
Sources of
Scope 3
emissions
Fuel-and-energyrelated activities
(not included in
Scope 1 or 2)
Evaluation
status
Relevant,
calculated
Upstream
transportation and
distribution
Relevant,
calculated
Waste generated
in operations
Not relevant,
explanation
provided
metric
tonnes
CO2e
467500
Calculations are based on consumed volumes
(energy content) of fuels by our units and
corresponding generic emission factors from
Ecoinvent.
530500
The following category includes transport of
fuels, chemicals, recovered paper and
purchased pulps. The estimates are based on
calculations using tranpsort volumes, transport
routes and transportations modes. Main
emission data sources from Lipasto and Defra
databases.
Percentage
of
emissions
calculated
using
primary
data
Explanation
complexity estimating emissions from capital
goods, other categories with much higher
impact has been prioritised.
Purchased electricity not included in Scope 2 is
not included in the estimates due to its
complexity to gather data at this point. >Purchased electricity not included in Scope 2
is extraction, production and transportation of
fuel consumed to generate the electricity
purchased. Transmission and distribution
losses of purchased electricity.
The majority of the waste and residuals
generated by our operations is treated internally
and disposed of in our own landfills. It is
therefore concluded that the majority of
emissions generated by waste management
are included into Scope1.
Business travel
Not relevant,
calculated
12000
Employee
commuting
Not relevant,
calculated
19000
An assessment regarding the business travel
has been made in the past. It was then
concluded that the estimated emissions from
business travel were aproximately 1200 tons
which is much less than 1% of the total Scope 3.
Business travel is therefore not a priority.
Based on assessment from selected mills and
scaled up to the entire group. The assessment
concludes that employee commuting is much
less than 1% of the total scope and will not in the
Sources of
Scope 3
emissions
Evaluation
status
metric
tonnes
CO2e
Percentage
of
emissions
calculated
using
primary
data
Explanation
future be a priority.
Upstream leased
assets
Downstream
transportation and
distribution
Relevant,
calculated
Processing of
sold products
Not relevant,
explanation
provided
Use of sold
products
End of life
treatment of sold
products
All operating units where we have operational
control (>50% of share) are included into scope
1 and 2 regardless if they are leased or not.
Therefore one can conclude this category to be
not applicable.
Not relevant,
explanation
provided
Relevant,
calculated
Relevant, not
yet
calculated
The following catgory includes transport of pulp,
paper, board and wood products. The estimates
are based on calculations for transported
1262000
production volumes, tranport routes and
transportation modes. Main emission data
sources from Lipasto and Defra databases.
The category is not applicable to our company
since we do not have processing of sold
intermediate products by third parties
subsequent to sale.
This source category includes the CO2eg
estimates from futher processed paper and
liqued packaging board. The liqued packaging
board estimates are based on calculations for
sold volumes and generic data from The Alliance
1519500 for Beverage Cartons and the Environment
(ACE). The estimates for further processed
paper are based on calculations for sold
volumes and emission factors for printing
methods from Technical Research Centre of
Finland (VTT).
This category is partly included inot other
categories above which deals with the recoved
paper. Regarding historical waste disposal,
NCASI has completed a study for the pulp and
paper industry - Indirect estimates of landfilling
for the entire world has been made! The
estimate is from 2003 and include paper
Sources of
Scope 3
emissions
Evaluation
status
metric
tonnes
CO2e
Percentage
of
emissions
calculated
using
primary
data
Explanation
products of 156 mtonnes and wood products of
94 mtonnes. The study concludes extreme
uncertainty levels from -50% to 100%! Methane
is included as a fossil GHG but biogenic CO2 is
not. Due to the extreme uncertainty levels and
the lack of other reliable data, this category is
not included.
Downstream
leased assets
Franchises
Investments
Not relevant,
explanation
provided
Not relevant,
explanation
provided
Relevant, not
yet
calculated
Other (upstream)
Other
(downstream)
CC14.2
This category is not applicable since we do not
have downstream leased assets.
Not relevant. We do not have franshises in the
company.
This category is designed primarily for private
and public financial institutions. However, it is
also applicable for entites with investments not
included in Scope 1 and 2. We do have such
investments which likely would have a small
effect on our Scope 3 but they are not included
due lack of data and the complex nature of the
investment projects.
CC14.2a
Please provide further details of the verification/assurance undertaken, and attach the relevant statements
Type of
verification
or
assurance
Limited
assurance
Page/Section
reference
Assurance
stament on page
76. Scope 3
disclosure on
page 57.
Relevant
standard
AA1000AS
Proportion
of Scope 3
emissions
verified (%)
100
CC14.3
Are you able to compare your Scope 3 emissions for the reporting year with those for the previous year for any sources?
Yes
CC14.3a
Please identify the reasons for any change in your Scope 3 emissions and for each of them specify how your emissions compare to the previous year
Sources of Scope 3
emissions
Purchased goods &
services
Reason for
change
Change in
output
Emissions value
(percentage)
3.4
Direction of
change
Decrease
Comment
Closures of paper machines changed the amount of purchased raw
materials which has effected our Scope 3 from purchased goods and
sevices.
CC14.4
Do you engage with any of the elements of your value chain on GHG emissions and climate change strategies? (Tick all that apply)
Yes, our suppliers
Yes, our customers
CC14.4a
Please give details of methods of engagement, your strategy for prioritizing engagements and measures of success
Our engagement with suppliers regarding GHG emissions are on many different ways and levels.
For contractual purposes we have prepared a set of responsibility requirements for our suppliers. The requirements include a broad spectrum of demands which are
linked to GHGs. In 2013 these requirements were included in 94% of our Group-level purchase contracts of direct and indirect inputs other than wood in terms of
supplier spending.
Audits are another way we engage with our suppliers. Our procedures include processes to encourage our suppliers to engage in GHG emissions reduction efforts.
Reduction efforts may include both energy reduction activities and reduction of fossil fuels use.
Our LCA practitioners often require product segment specific GHG data from our suppliers to use in the calculation of product specific GHG calculations. The
engagements are carried out in many ways such as questionnaires, phone calls and meetings.
The prioritization of engagements and our work is mostly business driven. We act upon requests from our customers and provide the right level of GHG service as
needed. We proactively work on our engagements since we based on customer history has learned how our customer base work regarding GHG requests.
To measure the success is difficult but we interpret long lasting relationships with our partners and new customers as a success for our GHG work even though
GHG is one out several criteria when we are selected as a supplier.
CC14.4b
To give a sense of scale of this engagement, please give the number of suppliers with whom you are engaging and the proportion of your total spend
that they represent
Number of
suppliers
294
% of total
spend
94%
Comment
Group level suppliers (e.g.including logistics, purchasing and energy) The supplied figures relates to group level
suppliers (e.g chemicals, fillers, energy, fuels and logistics services) of direct and indirect inputs other than wood.
CC14.4c
If you have data on your suppliers’ GHG emissions and climate change strategies, please explain how you make use of that data
How you make
use of the data
Other
Stimulating
innovation of new
products
CC14.4d
Please give details
The data is used to describe the amount of GHG caused by an individual, an organization, a process, or a product. Stora Enso Printing
and Reading has calculated the Carbon Footprints of its product segments, following the manual adopted by the European Association of
Graphic Paper Producers, EURO-GRAPH to guide companies to prepare their data sets in line with the "Framework for the Development
of Carbon Footprints for Paper and Board Products", developed by the Confederation of European Paper Industries, CEPI. These Carbon
Footprints comprise direct and indirect CO2 emissions (associated with producing fibre, other raw materials and fuels, pulp and paper
production, purchased and sold energy and inbound & internal transports) and biogenic carbon retained in the paper as leaving our mills,
and thus removed from the atmosphere. The figures are presented in Carbon Footprint Fact Sheets, which are provided to customers on
request. Customers might for example use these figures in Carbon Footprint calculations for their own products.
In several of our projects we make evaluations of environmental aspects and hence also GHG emissions. The following example is
included in this category even if it regards the stimulation of innovation of new production processes and not products. In our so called MIB
project in Veracel we engaged ourselves in the planning and development of a new bleaching process. The engagement included
estimation of environmental aspects including GHG emissions. The engagement resulted in the collection of emissions from suppliers
which became an element of the development process.
Please explain why you do not engage with any elements of your value chain on GHG emissions and climate change strategies, and any plans you have
to develop an engagement strategy in the future
Further Information
Module: Sign Off
Page: CC15. Sign Off
CC15.1
Please provide the following information for the person that has signed off (approved) your CDP climate change response
Name
Johan Holm
Job title
Vice President Environment Global Responsibility
Further Information
CDP 2014 Investor CDP 2014 Information Request
Corresponding job category
Environment/Sustainability manager

Module: Introduction

Transcription

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