Regal Rexnord Corporation
Climate Impact & Sustainability Data (2022)
Reporting Period: 2022
Environmental Metrics
Total Carbon Emissions:244,046 tCO2e/year
Scope 1 Emissions:80,499 tCO2e/year
Scope 2 Emissions:163,547 tCO2e/year
Renewable Energy Share:0.69% of total energy use
Total Energy Consumption:2,833,665 GJ/year
Water Consumption:974 Megaliters/year
Waste Generated:127,817 tons/year
Carbon Intensity:Reduced by 14% year over year in 2022.
ESG Focus Areas
- Environmental
- Social
- Governance
Environmental Achievements
- On track to exceed a 10% reduction in greenhouse gas (GHG) emissions in 2023 (year one of a ten-year journey to carbon neutrality).
- Rowville, Australia site achieved carbon neutrality (Scopes 1 and 2) in 2022.
- Ciserano, Italy factory reduced GHG emissions by 227 metric tons of carbon dioxide equivalent (MTCO2e).
Social Achievements
- Added new benefits for U.S. associates, including paid parental and family leave, adoption assistance, and insurance coverage for fertility treatments.
- Added a new Director of Diversity, Engagement, and Inclusion (DEI) to the Human Resources leadership team.
- Completed 94,000 safety observations in the first half of 2023 through a behavior-based safety observation program.
Governance Achievements
- Established a Climate Steering Committee in July 2022 to oversee climate goals and strategy.
- Renamed the Corporate Governance & Director Affairs Committee to the Corporate Governance, Sustainability & Director Affairs Committee in January 2021 to enhance ESG oversight.
- No material instances of corruption uncovered in 2022 internal audits.
Climate Goals & Targets
Long-term Goals:
- Achieve Net Zero across Scopes 1, 2, and 3 by 2050.
Medium-term Goals:
- Achieve carbon emission neutrality in our operations across Scopes 1 and 2 by 2032.
Short-term Goals:
- Reduce greenhouse gas (GHG) emissions by 10% in 2023.
Environmental Challenges
- Supply chain challenges in 2022 due to tariffs, geopolitical disruptions, supplier capacity constraints, and other factors.
Mitigation Strategies
- Developed new, dual-sourced supplier relationships with a focus on localization to manage supply chain challenges.
Supply Chain Management
Supplier Audits: All new direct materials suppliers are assessed for compliance.
Responsible Procurement
- Supplier Code of Conduct & Global Supplier Requirements and Expectations Manual (SREM)
- Supplier Compliance Communication Campaign (SCCC Survey)
Climate-Related Risks & Opportunities
Reporting Standards
Frameworks Used: GRI, SASB, TCFD
Certifications: ISO 14001, ISO 45001, ISO 50001
UN Sustainable Development Goals
- Goal 3
- Goal 7
- Goal 9
- Goal 11
- Goal 12
- Goal 13
- Goal 15
Regal Rexnord believes its products, strategy and mission align with these UN Sustainable Development Goals.
Sustainable Products & Innovation
- HILO MAXX subsystem (energy-efficient motor and integrated fan pack system)
- Powertrains for mini-hydro applications
- Components for wind turbines
- Automation solutions for medical applications
- Bearings for more environmentally friendly aircraft
- Industrial powertrains for electrification of mobile equipment