FERALPI GROUP TOWARDS NET-ZERO BY 2050:
LONG-TERM CO2 EMISSION REDUCTION TARGETS APPROVED BY SBTi
The commitment towards low-emission steel continues: the chosen "path" proceeds in the name of reducing environmental impacts.
Feralpi Group consistently continues its path towards decarbonization, defining a new ambitious milestone in its ecological and energy transition journey that envisions achieving net-zero by 2050 with new long-term targets.
In recent days, the Science Based Targets initiative (SBTi) – the leading global body that evaluates and certifies corporate climate commitments based on the utmost scientific rigor – has officially validated on a scientific basis the Group's new long-term emission reduction targets, set for 2050. The adoption and subsequent validation of these targets define the natural evolution of a structured and far-reaching climate strategy. Feralpi Group had indeed already successfully undertaken this path by obtaining, in the past, SBTi validation for its near-term targets (2030). The approval of the 2050 targets therefore represents a further step, confirming the Group's ability to translate its short-medium term vision into a solid roadmap towards net-zero.
The SBTi initiative - born from the partnership between CDP (formerly Carbon Disclosure Project), the United Nations Global Compact, WRI (World Resources Institute) and WWF and considered among the most scientifically authoritative - aims to support companies in the adoption of ambitious mitigation targets and guide them in the transition to a low-carbon economy. Relying on the Science Based Targets initiative allows Feralpi Group to measure its commitment through objective, third-party and internationally recognized parameters.
New targets
Feralpi has decided to sign a new commitment aimed at reducing specific Scope 1, 2 and 3 emissions (on the total production of hot-rolled products) falling within the core boundary of the iron and steel sector guidelines by 90% by 2050 (compared to 2022).
Concurrently, the Group commits to reducing the remaining absolute Scope 3 emissions (non-core boundary), deriving from purchased goods and services, fuel and energy-related activities, upstream and downstream transportation and distribution, waste generated in operations, processing of sold products and the end-of-life phase, by 90% by 2050 (compared to 2022).
Given the varying degrees of integration of the players operating along the steel supply chain and in order to ensure they can set scientifically founded and comparable targets, SBTi defined the Core Boundary, a reporting perimeter that includes the most important emissions of the supply chain and allows for the harmonization of the impacts of the different types of companies operating in the steel industry.
In line with SBTi criteria, Feralpi is committed to prioritizing the direct reduction of emissions; any residual emissions will be neutralized before reaching net-zero.
In order to achieve the established commitments, Feralpi has long adopted a decarbonization plan that incorporates various levers, including:
- process electrification, proceeding with the implementation of technologies aimed at containing direct emissions by replacing natural gas with electricity;
- the use of energy from renewable sources, through self-production and the purchase of Guarantees of Origin for Electricity and for biomethane;
- heat recovery and energy efficiency actions;
- the procurement of raw materials deriving from recovery and with an increasingly lower carbon footprint and a growing use of trains as a freight transport carrier.