Renewable Energy Group, Inc.
Climate Impact & Sustainability Data (2020, 2021)
Reporting Period: 2020
Environmental Metrics
Scope 1 Emissions:150.9 thousand MT CO2e
Scope 2 Emissions:287.6 thousand MT CO2e
Scope 3 Emissions:1,420.4 thousand MT CO2e (partial data)
Renewable Energy Share:100% (electricity at Albert Lea after December 2020)
Total Energy Consumption:42,996.7 thousand GJ (direct) + 5,683.7 thousand GJ (indirect)
Water Consumption:1,344.1 thousand cubic meters
Waste Generated:15,083.4 MT (non-hazardous), Negligible (hazardous)
ESG Focus Areas
- Climate Change
- Safety
- Diversity & Inclusion
- Governance
- Community Engagement
Environmental Achievements
- Reduced GHG emissions by 4,197 thousand metric tons of CO2 through the use of biodiesel and renewable diesel.
- Achieved a 65% feedstock usage from harder-to-process, lower-carbon waste and residual streams.
- Completed construction of a wind turbine at REG Albert Lea biorefinery providing 100% renewable electricity (not reflected in 2020 results).
Social Achievements
- Named one of Iowa’s Top Workplaces.
- Exceeded target for employee volunteer time off (VTO) with 46% usage in the U.S.
- Created three new internal groups to enhance inclusion and diversity efforts: Inclusion & Diversity (I&D) Council, BIPOC Council, and Women’s Council.
- Donated $50,000 to the construction of the Lil’ Wildcat Education Center in Glidden, Iowa.
- Donated $100,000 to Mary Greeley Medical Center in Ames, Iowa.
Governance Achievements
- Reorganized Senior Leadership Team to streamline reporting structure and accelerate growth.
- Prioritized enhancements to the Enterprise Risk Management (ERM) program.
- Renamed the Nominating and Governance Committee to the Nominating and ESG Committee, expanding its responsibilities to include ESG oversight.
Climate Goals & Targets
Environmental Challenges
- COVID-19 pandemic impacting work processes, market conditions, and operations.
- Natural disasters causing damage and disruption.
- Disruptions in feedstock markets due to the pandemic (e.g., reduced availability of used cooking oil).
- Short-term environmental compliance issues at some facilities (e.g., BOD, pH, air emission testing).
Mitigation Strategies
- Established a COVID-19 Emergency Response Team.
- Implemented remote work policies and site-specific safety plans.
- Shifted between feedstocks based on supply and price.
- Took corrective actions to address environmental compliance issues and reported them to the appropriate agencies.
Supply Chain Management
Supplier Audits: Routine vetting of new suppliers and annual reviews of existing relationships.
Responsible Procurement
- Vendor Code of Conduct
Climate-Related Risks & Opportunities
Opportunities
- Growing demand for lower-carbon fuels.
Reporting Standards
Frameworks Used: GHG Protocol, California Low Carbon Fuel Standard (LCFS), Renewable Fuel Standard (RFS), International Sustainability and Carbon Certification (ISCC), REDcert, Norwegian Environmental Agency Guidelines
Sustainable Products & Innovation
- REG Ultra Clean®
Awards & Recognition
- Iowa’s Top Workplaces
- Fortune’s top-20 businesspeople of the year (CJ Warner)
Reporting Period: 2021
Environmental Metrics
Total Carbon Emissions:144.0 thousand MT CO2e/year (Scope 1); 70.5 thousand MT CO2e/year (Scope 2 location-based); 47.2 thousand MT CO2e/year (Scope 2 market-based); 1315.2 thousand MT CO2e/year (partial Scope 3)
Scope 1 Emissions:144.0 thousand MT CO2e/year
Scope 2 Emissions:70.5 thousand MT CO2e/year (location-based); 47.2 thousand MT CO2e/year (market-based)
Scope 3 Emissions:1315.2 thousand MT CO2e/year (partial)
Renewable Energy Share:6% (REG-sourced renewable electricity)
Total Energy Consumption:2851.15 thousand GJ/year (direct); 802.60 thousand GJ/year (indirect)
Water Consumption:1,376,224 m3/year
Waste Generated:13,537.3 MT/year (non-hazardous); 29.8 MT/year (hazardous)
Carbon Intensity:Not explicitly stated, but provides carbon intensity scores for various fuels.
ESG Focus Areas
- Sustainable Sourcing
- Decarbonization & Environmental Stewardship
- Responsible Business
- Health & Safety
- Care for People
Environmental Achievements
- Reduced carbon emissions through various initiatives (specific quantification not provided in easily extractable format)
- Achieved close to 100% Scope 1 GHG emissions reduction compared to petroleum diesel through bio-based diesel usage.
- Annual carbon emissions reduced by 2.4 million metric tons at Geismar facility (post-expansion).
Social Achievements
- Hosted voluntary on-site COVID-19 vaccination clinics
- Established employee sustainability engagement initiative (Green Teams)
- Increased Board diversity with new Board appointees
- Exceeded corporate goal of 50% workforce using paid time off for volunteering (60% achieved).
Governance Achievements
- Implemented director term policy limits
- Established a goal of 40% diverse director representation
- Strengthened enterprise risk management program
Climate Goals & Targets
Environmental Challenges
- Feedstock price volatility
- Supply chain disruptions
- Concerns about feedstock availability to support industry growth
- Concerns regarding environmental impacts of feedstock production (biodiversity and deforestation)
- Indirect Land Use Change (ILUC) concerns
- Cybersecurity and privacy risks
Mitigation Strategies
- Utilizing forward contracting, hedging, and other risk management strategies
- Developing additional feedstock sources
- Proprietary technology enabling use of a wide variety of feedstocks
- Strong supply network and long-standing supplier relationships
- Adhering to applicable laws and regulations and abiding by environmental requirements of fuel programs
- Relying on independent certification programs
- Screening business partners for environmental violations
- Implementing multiple layers of protection against cybersecurity threats
- Routine scanning, testing, and updating of network and systems
- Annual review and intrusion test of network and systems by a third party
Supply Chain Management
Supplier Audits: Annual reviews of partnerships; due diligence on new partners; background checks; international watch lists; media reviews; direct solicitation of company information; REG-conducted research; Compliance Team assessment.
Responsible Procurement
- Vendor Code of Conduct
- Commitment to international standards of human rights practices
Climate-Related Risks & Opportunities
Transition Risks
- Changing sustainability targets
- Increased competition from other low-carbon fuel suppliers
- Changing standards applicable to renewable fuels
Opportunities
- Growing demand for biofuels
- Calls for energy independence
- Feedstock innovation
Reporting Standards
Frameworks Used: SASB
Certifications: ISCC, REDCert
Third-party Assurance: Independent accountants' report provided for Green Bond reporting
Sustainable Products & Innovation
- EnDura Fuels™ (InfiniD™, PuriD™, BeyonD™, UltraClean BlenD™, VelociD™)
- REG Bio-Residual™ Oil
- Renewable Propane
- Renewable Naphtha
- Bioheat®
Awards & Recognition
- Canadian National Railway Safe Handling Award