We believe in transparency
Junckers has taken one more step in its commitment to sustainable operations by publishing the company's first climate accounts with 2021 as a baseline. Through this mapping, we are now able to set concrete targets for how we will actively work to reduce greenhouse gas emissions in the future.
We want to be serious and ambitious about this agenda, which is why we have based our accounts on the GHG Protocol, the leading international standard for measuring and reporting greenhouse gases.
We are pleased to receive confirmation from these first climate accounts that our business model and production methods already take nature into account in a considerable way.
Junckers has a long history of utilising 100 % of our purchased raw wood. This means that all by-products from our wood flooring production are converted into biomass and subsequently used in the public energy grid to produce electricity and heating. The mapping shows that the efficient use of these by-products reduces emissions, and we consider this to be a positive contribution to balancing the CO2eq emissions identified in our own climate accounts.
The premises for this statement and a review of the main conclusions of the climate accounts are explained below.
The GHG Protocol
The GHG Protocol identifies a company's emissions in three scopes:
- Direct emissions, including mobile and stationary fuels plus emissions from industrial processes. All related to buildings, vehicles and stationary engines operated by the company.
- Indirect emissions, including the purchase of energy generated outside the reporting company's operations, such as electricity, heat, gas and steam cooling systems. This is energy that the company consumes and can control but does not own or produce.
- Upstream and downstream activities, further divided into 15 sub-categories. These typically represent 75-95% of a company's total GHG emissions. It is here that opportunities to reduce CO2eq emissions are typically found. Upstream activities are indirect emissions from purchased goods and services. Downstream activities are indirect emissions related to goods and services sold.
The 7 greenhouse gases - CO2eq
The GHG protocol requires reporting of the 7 greenhouse gases carbon dioxide (CO2), methane (CH4), nitrogen trifluoride (NF3), hydrofluorocarbons (HFCS), perfluorocarbons (PFCS), nitrous oxide N2O and sulphur hexafluoride (SF6).
Reported here as CO2eq, the unit used to assess an overall climate impact.
CO2eq EMISSION, SCOPE 1,2 & 3
We have mapped direct and indirect emissions from upstream and downstream activities in the 3 categories defined in the GHG Protocol. The total emissions from Junckers' activities amount to 24,820 tonnes CO2eq and are allocated as follows:
Emissions in scope 1 come primarily from the company's consumption of diesel for vehicles and amount to 471 tonnes CO2eq (2 %).
Emissions in scope 2 come primarily from the company's electricity consumption and amount to 4,433 tonnes CO2eq (18 %).
A large part of the emissions in scope 3 come from upstream activities and amount to 19,916 tonnes CO2eq. Scope 3 thus represents 80 % of Junckers' total CO2eq emissions, which is not unusual for the type of business Junckers runs.
Junckers CO2eq emission, scope 1, 2 og 3
Junckers CO2eq emission, scope 3
CO2eq EMISSION, SCOPE 3
Diving into the 19,916 tonnes of CO2eq emissions found in scope 3, the accounts show that the largest contribution comes from the category "Purchased goods and services". This category contains 10,441 tonnes CO2eq, accounting for 52% of the emissions in scope 3. The largest impact comes from the purchase of chemicals, raw wood, metal and plastics.
End-of-Life waste treatment of sold products creates the second highest contribution to emissions. This category accounts for 3,352 tonnes CO2eq and 17% of scope 3 emissions.
This is followed by:
- Waste generated in operations 1,782 tonnes CO2eq (9%)
- Fuel and energy-related activities 1,515 tonness CO2eq (8%)
- Upstream transport and distribution 1,461 tonnes CO2eq (7 %)
- Capital goods 767 tonnes CO2eq (4 %)
- Employee commuting 562 tonnes CO2eq (3 %)
- Business travel 35 tonnes (under 1 %)
OUT OF SCOPE – SUBSTITUTION
The impact of Junckers' biomass
Substitution occurs when activities minimise the need to produce new energy, raw materials, products, services, etc. At Junckers, the use of biomass for energy is an important factor in our business, and although this by-product cannot be considered substitution in the true sense of the word, we have chosen to consider this factor as a contributor to offsetting the CO2eq emissions identified in our own climate accounts.
We do this because it is the activities within the company that create the fundamental opportunity for our by-products to generate emission savings, and even though it is the ordinary energy grid that is responsible for the production of electricity and heat, we believe it is important to communicate this positive effect.
Juncker's total emission savings are -41,712 tonnes CO2eq.
This is made up of -32,536 tonnes CO2eq (78 %) coming from "Waste generated in operations" (biomass) and -9,176 tonnes CO2eq (22%) coming from "End of life treatment of sold products".
There is some uncertainty in estimating the emissions associated with the “End-of-life treatment of sold products", as this takes place well into the future. However, there is no uncertainty regarding the use of our biomass and therefore the impact of the emission savings from this category is outlined here.
Considering that Juncker's total emissions identified in scope 1, 2 and 3 are 24,820 tonnes CO2eq and comparing this figure to the positive effect created by "Waste generated through operations" (biomass) of -32,536 CO2eq, the company's activities in 2021 actually reduce the amount of CO2eq emissions by 7,716 CO2eq.
Out of scope, substitution
This means that Juncker's activities contribute to removing greenhouse gases from the atmosphere.
With this knowledge, we have no doubt that Junckers can stand 100% by the statement that the company produces responsible flooring solutions with a minimal carbon footprint.
Science Based Targets Initiative (SBTi)
To support the ambition to set targets to reduce the direct and indirect contribution of our company's greenhouse gas emissions, we have joined the Science Based Targets initiative.
SBTi focuses on close collaboration between businesses and climate experts to ensure that member organisations' climate targets are aligned with what the latest climate science says is needed to meet the goals of the Paris Agreement.
The goal of the Paris Agreement is to limit global warming to below 2°C above pre-industrial levels, and preferably to 1.5°C.
In 2023 and 2024, we will set specific targets for our commitment and describe the actions we will take to ensure we reach our goals.
Corporate Social Responsibility and environmental care
At Junckers, we work strategically to integrate social and environmental considerations into our business activities.
The way we do business is based on openness, trust, respect and responsibility. This means that we are opposed to all forms of corruption, always act in accordance with applicable laws, and respect the environment, people and their rights. We take responsibility for minimising our energy consumption and creating a safe, healthy and happy working environment for our employees.
Since 2011, when we joined the UN Global Compact, we have been sharing our activities in this area, and this year we are able to include the conclusions of the company's first climate accounts in the CSR report.