Climate Change Data

Ahlstrom Holding 3 Oy

Climate Impact & Sustainability Data (2020, 2022)

Reporting Period: 2020

Environmental Metrics

Total Carbon Emissions:Not disclosed
Scope 1 Emissions:1.1 tons CO2e (2020)
Scope 2 Emissions:0.3 tons CO2e (2020)
Scope 3 Emissions:Not disclosed
Renewable Energy Share:Not disclosed
Total Energy Consumption:26.7 GJ/gross ton production (2020)
Water Consumption:72.3 m3/gross ton production (2020)
Waste Generated:100,564 tons/year (2020)
Carbon Intensity:Not disclosed

ESG Focus Areas

  • Sustainability
  • Human Rights
  • Employee Well-being
  • Supply Chain Responsibility
  • Environmental Performance

Environmental Achievements

  • Reduced CO2 emissions (Scope 1 and 2) - specific numbers unavailable due to data collection issues.
  • Reduced water use by 1% to 72.3 cubic meters per gross ton of production.
  • Two sites achieved zero waste to landfill.
  • Investment in a new coating machine at Billingsfors plant, reducing CO2 emissions by an estimated 20%.

Social Achievements

  • Achieved an Employee Engagement Index of 80% and a Leadership Index of 77%.
  • 96% of employees had performance and development discussions with their managers.
  • 18% of the workforce were women, 21% of managers were women.
  • 17% decrease in total recordable injuries compared to 2019.
  • Various community engagement activities, including donations and volunteering.

Governance Achievements

  • EcoVadis Gold rating for sustainability management and performance for the fourth consecutive year.
  • Implementation of the STELLA program for business platform renewal.
  • Established six culture cornerstones to guide the company's operations.
  • Updated materiality assessment.

Climate Goals & Targets

Long-term Goals:
  • Not disclosed
Medium-term Goals:
  • Reduce CO2 emissions (Scope 1 and 2) by at least 15% by 2025.
  • All plants in water-stressed areas to have water management plans by 2025.
  • 100% of new products in development to be assessed with the EcoDesign Tool and have a positive EcoDesign score by 2025.
Short-term Goals:
  • Reduce indirect spend by 10% by 2023.
  • Achieve 15% sales from new products launched in the past three years by 2025.

Environmental Challenges

  • Coronavirus pandemic impacting customer activity and supply chains.
  • Volatile raw material prices and intensified competition.
  • Potential water shortages in some locations.
  • Need to reduce reliance on fossil-based materials and harmful chemicals.
  • Meeting increasingly stringent environmental regulations.
Mitigation Strategies
  • Implemented cost-saving measures (temporary layoffs, reduced working hours, etc.).
  • Expanded face mask material production.
  • Developed water management plans for water-stressed areas.
  • Launched 'From Plastic to Purpose' campaign to promote fiber-based alternatives.
  • Investing in more sustainable technologies and processes.

Supply Chain Management

Supplier Audits: 7 audits in 2019 and 2020

Responsible Procurement
  • Supplier Code of Conduct

Climate-Related Risks & Opportunities

Physical Risks
  • Extreme weather events
Transition Risks
  • Regulatory changes
  • Market shifts
Opportunities
  • Development of energy-efficient products

Reporting Standards

Frameworks Used: GRI, UN Global Compact

Certifications: FSC, PEFC, SFIC, ISO 45001

Third-party Assurance: KPMG Oy Ab

UN Sustainable Development Goals

  • Goal 5: Gender equality
  • Goal 6: Clean water and sanitation
  • Goal 7: Affordable and clean energy
  • Goal 12: Responsible consumption and production
  • Goal 13: Climate action

Initiatives contributing to these goals are described throughout the report.

Sustainable Products & Innovation

  • FortiCell energy storage solutions
  • FluoroFree grease-resistant papers
  • CelluStraw paper straws
  • CelluSnack snack packaging papers

Awards & Recognition

  • EcoVadis Gold rating

Reporting Period: 2022

Environmental Metrics

Total Carbon Emissions:1684 thousand tons (Scope 1 & 2)
Scope 1 Emissions:1184 thousand tons
Scope 2 Emissions:500 thousand tons
Scope 3 Emissions:Not disclosed
Renewable Energy Share:Approximately one third of total energy consumption
Total Energy Consumption:38.9 million GJ
Water Consumption:120.5 million m3
Waste Generated:133.8 thousand tons
Carbon Intensity:958 kg CO2e per ton of net production (2022)

ESG Focus Areas

  • Climate Change
  • Diversity, Equity & Inclusion
  • Responsible Sourcing
  • Business Ethics
  • Product Sustainability

Environmental Achievements

  • Scope 1 carbon dioxide equivalent emissions decreased by 10.6% to 1,184 (1,324) thousand tons in 2022 compared to 2021. Scope 2 emissions decreased by 3.4% to 500 (518) thousand tons.
  • Investments in energy efficiency, emission reduction and waste reduction at Mosinee and Rheinlander plants
  • Stopped using coal at two sites.
  • Two sites with zero waste to landfill.

Social Achievements

  • Employee Net Promoter Score improved to 16 (2021: 9)
  • Increased the share of women from all hires to 25% (22)
  • Progress in gender related targets for top leaders and Executive Management Team.
  • Launched NICE mentoring program for female employees.
  • 8% decrease in TRIR (Total Recordable Incident Rate)

Governance Achievements

  • Awarded EcoVadis Platinum rating for sustainability performance.
  • Implemented a new operating model and reporting structure.
  • Renewed company values.
  • Strengthened trade compliance controls and procedures related to privacy and GDPR.
  • 91% of office employees completed Data Protection eLearning and 99% completed Code of Conduct training.

Climate Goals & Targets

Long-term Goals:
  • Achieve net zero emissions by 2050
Medium-term Goals:
  • Reduce CO2e emissions by 38% by 2030
  • Lower water intensity ratio to an average water intake of 60 cubic meters per ton of net production by 2030
  • Achieve 100% Supplier Code of Conduct compliance by 2030
  • Achieve 100% certified natural fiber by 2030
  • Zero waste to landfill by 2030
Short-term Goals:
  • Reduce the Total Recordable Incident Rate by 24% by 2025
  • Achieve >95% Employee Safety Participation by 2025
  • Gender balance top leaders to 40% by 2025
  • Gender balance total workforce to 20% by 2025
  • Share of new and improved products to 25% by 2025
  • Have water management plans in place for all facilities by 2025

Environmental Challenges

  • Input cost inflation soared and was higher than in decades.
  • Risk of gas supply disruptions was imminent.
  • Consumer confidence declined, leading to reduced customer activity and lower deliveries.
  • Fatality occurred at the Thilmany plant in the U.S.
Mitigation Strategies
  • Investments in alternative energy technology at several plants.
  • Reviewed supplier network to reduce risk of potential shortfall in important inputs.
  • Successfully offset soaring input cost inflation by significantly higher selling prices and measures that improved variable cost efficiency.
  • Developed strong pricing and commercial excellence capabilities.
  • Investigation is ongoing for the fatality at Thilmany plant, and precautionary measures are being taken at all plants.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement
  • Supplier Code of Conduct establishes clear, non-negotiable minimum requirements related to legal compliance, human rights and the prevention of child labor, health and safety, responsible business practices, environmental impacts, and transparency.
  • All new suppliers sign the Supplier Code of Conduct or are considered compliant.
  • Annual risk evaluation by category managers or buyers.
  • Sustainability audits carried out by Ahlstrom or third parties.

Climate-Related Risks & Opportunities

Physical Risks
  • Water shortages
Transition Risks
  • Regulatory changes
  • Market shifts
  • Gas supply disruptions
Opportunities
  • Development of energy-efficient products
  • Renewable energy sources
  • Replacing fossil fuels with renewable materials

Reporting Standards

Frameworks Used: GRI Standards

Certifications: ISO 14001, ISO 50001, ISO 45001, ISO 9001, FSC™, PEFC™, SFI™

Third-party Assurance: KPMG Oy Ab

UN Sustainable Development Goals

  • SDG 3
  • SDG 5
  • SDG 6
  • SDG 9
  • SDG 10
  • SDG 11
  • SDG 12
  • SDG 13
  • SDG 15
  • SDG 17

The report highlights how various initiatives contribute to these goals.

Sustainable Products & Innovation

  • PurposeSeal™ heat-sealed paper
  • Ellepot Organic 2.0 biodegradable paper pots
  • Plastic-replacing papers
  • Fiber-based separator solutions for lithium-ion batteries

Awards & Recognition

  • EcoVadis Platinum rating