HydrogenPro ASA
Climate Impact & Sustainability Data (2023)
Reporting Period: 2023
Environmental Metrics
Total Carbon Emissions:36501 tCO2e/year (Scope 1, 2, and 3)
Scope 1 Emissions:200 tCO2e/year
Scope 2 Emissions:1293 tCO2e/year
Scope 3 Emissions:35008 tCO2e/year
Total Energy Consumption:1701546 kWh/year
Water Consumption:35352 m3/year
Waste Generated:944.1 tons/year
Carbon Intensity:0.0643 kg CO2/NOK (total GHG emissions divided by revenues)
ESG Focus Areas
- Efficient technology and scalability
- Sustainable manufacturing and supply chains
- Innovative product design
- A safe and attractive place to work
- Governance and ethical business conduct
Environmental Achievements
- Completed manufacturing of 40 electrolyzers for the 220 MW ACES project in Utah, expected to prevent approximately 127,000 tonnes of CO2 annually.
- Secured a 100 MW order from ANDRITZ for the Salzgitter project, expected to reduce CO2 emissions by 220,000 tonnes per year.
- Increased production capacity from 300 MW to 500 MW at the Tianjin facility.
- Achieved levelized cost of hydrogen at USD 1.2 per kg.
- Obtained ISO 14001 and 45001 certifications.
Social Achievements
- Welcomed 146 new employees across all locations.
- Improved overall sick leave rates across all locations (below 3%).
- Achieved zero accidents and work-related ill health in all locations except Tianjin (8 recordable incidents).
- Implemented mandatory anti-bribery and corruption training for all employees.
- Introduced an ethics course with nanolearning lessons.
- Updated Code of Conduct and Supplier Code of Conduct.
- Carried out a supply chain risk assessment.
Governance Achievements
- Launched mandatory anti-bribery and corruption training for all employees.
- Introduced an ethics course with nanolearning lessons.
- Updated Code of Conduct and Supplier Code of Conduct.
- Carried out a supply chain risk assessment.
- Commissioned Deloitte to assist in a holistic risk identification and evaluation exercise.
Climate Goals & Targets
Long-term Goals:
- Become the number one provider of large-scale green hydrogen technologies & systems.
Medium-term Goals:
- Achieve a minimum of 25% female representation across all geographies by 2025.
Short-term Goals:
- Define short, medium, and long-term targets to better manage the environmental impacts of operations.
Environmental Challenges
- Delays in crucial subsidy programs in the US and Europe.
- Rapid growth and expansion into new markets.
- Fluctuation in commodity prices of steel and nickel.
- Counterparty risk from customers.
- Potential failure to obtain necessary funding.
- Ensuring compliance and responsible behavior in the supply chain.
- Disruptions in deliveries from suppliers.
- IT system disruptions, failures, or security breaches.
- Health, environmental, and safety risks in operations.
Mitigation Strategies
- Building a log of performance data from operational electrolyzers.
- Further commercialization of R&D.
- Mapping of US and European supplier landscapes.
- Developing a set of Business Norms for contract opportunities.
- Thorough review of customers’ credit standing before contracts.
- Continuous assessment and diversification of financing options.
- Roll-out of third-party driven supplier audits.
- Examination of alternative suppliers.
- Establishment of more developed governance structures and strengthening operations and control mechanisms.
- Establishment of underlying principles and values of company culture.
- Implementation of a program of third-party supplier audits.
- Established processes and procedures with special emphasis on manufacturing sites in Tianjin, Aarhus, and Porsgrunn.
- Relevant ISO certifications.
Supply Chain Management
Supplier Audits: 17 companies screened in 2023 (20% of new suppliers)
Responsible Procurement
- Supplier Code of Conduct
- ESG criteria in supplier selection
- Factory inspections and audits for prioritized suppliers
Climate-Related Risks & Opportunities
Physical Risks
- Water availability
- Extreme weather events
Transition Risks
- Changes in green hydrogen’s importance
- Technological breakthroughs for alternative solutions
- Reduced development of renewable energy due to environmental considerations
Opportunities
- Development of energy-efficient products
- Clean energy storage
Reporting Standards
Frameworks Used: GRI Core Standards, TCFD, EU Taxonomy
Certifications: ISO 14001, ISO 45001, ISO 9001
UN Sustainable Development Goals
- Goal 7 (Affordable and clean energy)
- Goal 9 (Industry, innovation, and infrastructure)
- Goal 13 (Climate action)
HydrogenPro's business model contributes to mitigating climate change and supporting the green transition of industries.
Sustainable Products & Innovation
- 3rd generation electrodes technology
Awards & Recognition
- ESG Practice Pioneer Award from Dun & Bradstreet