Enviva Inc.
Climate Impact & Sustainability Data (2012, 2019, 2020)
Reporting Period: 2012
Environmental Metrics
Total Carbon Emissions:100-200 kgCO2/MWhe (average life cycle GHG emissions of pelletized woody biomass)
ESG Focus Areas
- Climate Change
- Environmental Sustainability
- Sustainable Forestry
- Economic Impact
- Social Responsibility
Environmental Achievements
- Biomass-fired electricity generation has demonstrated greenhouse gas emissions reductions between 74 percent and 90 percent as compared to equivalent energy produced using coal.
- Increased forest carbon sequestration by 31 percent since 1990 in the US.
- Net CO2 sequestration from forests was 922 million metric tons of CO2 equivalent in 2010, which was approximately 16 percent of total US emissions.
Social Achievements
- The wood pellet industry provides tens of thousands of new employment opportunities, both direct manufacturing jobs and indirect supply chain jobs in rural areas.
- Provides revenue for forestland owners, helping them earn a living from their wood resources and giving them the incentive and the means to reinvest in the forest.
Governance Achievements
- Enviva maintains a number of certifications to leading programs that verify the certified content in our supply chain and also ensure that non-certified fiber comes from responsible sources.
- All Enviva-owned and partner pellet plants are now certified to the Sustainable Forestry Initiative® (SFI) Fiber Sourcing Standard.
Climate Goals & Targets
Environmental Challenges
- Economic downturn decreasing demand for forest products, potentially threatening the positive trend of increasing forests and forest carbon stocks.
- Risk of forest saturation due to decreased demand, leading to increased tree mortality and vulnerability to threats.
- Increased frequency of severe wildfires in recent years.
Mitigation Strategies
- Strong timber markets with new demand created by biomass-to-energy provide economic incentives to ensure that landowners maintain their land as forests.
- Sustainable forest management practices, including commercial thinning, help maintain forest health and vitality.
- Biomass energy harvesting provides landowners with additional revenue sources, ensuring they can keep their forestlands as forests.
Supply Chain Management
Responsible Procurement
- Best Management Practices (BMPs)
- SFI Fiber Sourcing Certification
Climate-Related Risks & Opportunities
Physical Risks
- Wildfires
Transition Risks
- Economic downturn reducing demand for forest products
Opportunities
- Biomass as a renewable energy source
Reporting Standards
Frameworks Used: SFI
Certifications: FSC, PEFC, SFI, ATFS
Reporting Period: 2019
Environmental Metrics
Total Carbon Emissions:245,994 tCO2e/year (Scope 1 & 2)
Scope 1 Emissions:31,032 tCO2e/year
Scope 2 Emissions:214,962 tCO2e/year
Carbon Intensity:87 kgCO2e/MT in 2019
ESG Focus Areas
- Forests
- Climate Change
- People
Environmental Achievements
- Displaced 16 million metric tons of coal since inception, avoiding 31 million metric tons of CO2e emissions.
- Increased forest inventory in sourcing regions by over 400 million metric tons between 2010 and 2019.
- Achieved Sustainable Biomass Program (SBP) certification for all plants.
- Enrolled over 90,000 acres in forest management certification between 2015 and 2019.
Social Achievements
- Launched Enviva Forest Conservation Fund (EFCF) in 2015, conserving over 15,000 acres of bottomland hardwoods through 2019.
- Improved Total Recordable Incident Rate (TRIR) to 1.10 in 2019.
- Implemented Operational Excellence Management System (OEMS) to improve safety and sustainability.
- Partnered with Halifax Community College for RAMP East Program, providing training and employment opportunities.
- Donated $25,000 to the STARZ24 Teen Center in Greenwood, SC.
Governance Achievements
- Established three standing committees: audit, compensation, and health, safety, sustainability, and environmental (HSSE).
Climate Goals & Targets
Environmental Challenges
- Early sourcing from bottomland hardwood stands raised concerns.
- Greenhouse gas impacts of the industry.
- Supply chain emissions from harvesting, processing, and transportation.
Mitigation Strategies
- Developed strict procedures for sustainable forest sourcing, including pre-harvest assessments and gate inspections.
- Implemented Track & Trace® technology for supply chain transparency.
- Improved sourcing processes to avoid High Conservation Value (HCV) areas.
- Partnered with conservation organizations to improve sourcing practices.
- Reduced lifecycle carbon footprint of wood pellets by 91% compared to coal and 85% compared to natural gas.
Supply Chain Management
Supplier Audits: Almost triple the number of inspections compared to 2018
Responsible Procurement
- Master Wood Purchase Agreement with sustainability requirements
- Pre-harvest assessments, gate inspections, and post-harvest inspections
Climate-Related Risks & Opportunities
Physical Risks
- Increased wet weather events causing sourcing disruptions
Opportunities
- Availability of salvage wood during severe weather events
Reporting Standards
Frameworks Used: GRI, SASB, UN SDGs, GHG Protocol
Certifications: SFI®, FSC®, PEFC®, SBP
Third-party Assurance: Bureau Veritas UK Ltd
Reporting Period: 2020
Environmental Metrics
Total Carbon Emissions:289,363 tCO2e
Scope 1 Emissions:45,208 tCO2e
Scope 2 Emissions:244,155 tCO2e
Scope 3 Emissions:398,185 tCO2e
Renewable Energy Share:25%
ESG Focus Areas
- Climate Change
- Forests
- People and Communities
Environmental Achievements
- Achieved the safest year ever in operations.
- Improved comprehensive sustainability efforts.
- Reduced natural gas requirement in operations by 25% while maintaining emission control.
- Partnered with GreenGasUSA to decarbonize natural gas-related emissions, offsetting approximately 75% of direct emissions.
Social Achievements
- Created a new VP of Equity, Inclusion, and Impact role.
- Improved safety performance, achieving the safest year ever.
- Supported community initiatives through philanthropy, including youth centers, senior centers, and food banks.
- Partnered with organizations to address heirs' property issues.
Governance Achievements
- Converted from a master limited partnership to a Delaware corporation.
- Expanded the board, adding three new directors, resulting in all directors except the CEO being independent.
- Launched a first ever Green Term Loan, with S&P Global Ratings certifying alignment with Green Bond and Loan Principles.
Climate Goals & Targets
Long-term Goals:
- Net-zero greenhouse gas emissions from operations by 2030.
Medium-term Goals:
- Source 100% renewable energy by 2030.
- Achieve net-zero greenhouse gas emissions from operations by 2030.
Short-term Goals:
- Source 50% renewable energy by 2025.
Environmental Challenges
- Supply chain disruptions due to inclement weather events exacerbated by climate change.
- Maintaining safety during the COVID-19 pandemic.
Mitigation Strategies
- Developed a stumpage program to mitigate sourcing disruptions.
- Implemented enhanced cleaning and safety protocols, followed CDC guidance, adjusted shift schedules, and increased PPE distribution to maintain safety during COVID-19.
Supply Chain Management
Responsible Procurement
- Responsible Sourcing Policy (RSP)
- Track & Trace® (T&T®) program
- SBP certification
Climate-Related Risks & Opportunities
Physical Risks
- Increased wet weather events causing sourcing disruptions.
Transition Risks
- Changes in regulations on biomass as a carbon-neutral fuel.
Opportunities
- Sourcing salvage wood after severe weather events.
Reporting Standards
Frameworks Used: SASB
Certifications: FSC® Chain of Custody (CoC) and Controlled Wood (CW) Standards, PEFC, SFI® Chain of Custody certification, SFI Fiber Sourcing Standard
Third-party Assurance: Bureau Veritas UK Ltd