Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental Management
• Social Responsibility Management
• Governance
• Biodiversity Management
• Occupational Health and Safety

Environmental Achievements

• Reduced greenhouse gas emissions by 4.7% from 397,699 to 378,900 tons of CO2e.
• Conserved 83,841 hectares of native forests, exceeding regulatory requirements.
• Reduced water withdrawal in industrial activities by 6.1% in Bahia and 7.2% in São Paulo.
• Reduced volume of wastewater disposed of by 4.0% in Bahia and 7.9% in São Paulo.

Social Achievements

• Implemented Project Apollo, a talent development and cultural transformation process.
• Launched Bracell Leadership University (BLU) with executive coaching and a continuing education program.
• Increased technical, safety, and behavioral training by 19.8%, from 845 in 2017 to 1,012 in 2018.
• Delivered 32 social projects in Bahia and 69 social actions with direct investment in São Paulo.
• 80% of suppliers were from the states where Bracell operates.

Governance Achievements

• Updated Code of Conduct based on Core Values (T.O.P.I.C.C).
• Established a communication channel (“Escuta”) for reporting violations of the Code of Conduct.
• Implemented an Integrated Management System (IMS) certified according to ISO 9001:2015 and 14001:2015 standards.

Climate Goals & Targets

Environmental Challenges

• Slight drop in occupational safety performance of outsourced personnel in São Paulo.
• A fatal accident recorded in the Bahia mill.
• Logistics impact of the Brazilian truck drivers’ strike in 2018.

Mitigation Strategies

• Strict investigation of the fatal accident in Bahia mill and intensification of a preventive approach focused on safe behavior.
• Hiring of an advisory firm to diagnose safety culture and develop an action plan.
• Continued training of behavioral auditors and promoted safety actions in São Paulo.
• Investment in a fourth electrostatic precipitator to increase environmental control of particulate matter emissions in Bahia.

Supply Chain Management

Supplier Audits: Procedures to verify compliance with labor, social security, and tax obligations.

Responsible Procurement

• Contracts require suppliers to respect human rights and prohibit discrimination, child labor, forced labor, and violations of freedom of labor unions.

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: GRI Standards (Essential)

Certifications: Cerflor/PEFC, ISO 14001:2015, ISO 9001:2015, FSC, Halal, Isega, ISO/IEC 17025

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• 12th Bahia Sustainable Industry Award (Farmácia Verde project)

Environmental Metrics

ESG Focus Areas

• Responsible Production
• Climate
• Governance
• Biodiversity and Landscapes
• People and Culture
• Social Inclusion

Environmental Achievements

• 43,389,968 tCO2e of carbon stock in forest areas (eucalyptus plantations and native vegetation areas set aside for conservation).
• 82% of conserved areas achieved under the One-for-One Commitment.
• 97% reduction in fire incidence in São Paulo forestry areas compared to 2021.
• Lowest rate of fires in Bahia operations since 2011.
• São Paulo mill is compliant with leading and best available technologies.
• Tertiary effluent treatment implemented in São Paulo.

Social Achievements

• Invested over R$ 4.4 million in Bracell Social programs, benefiting over 121,000 people.
• Launched Diversity in Action Program with four pillars: race, gender, people with disabilities, and LGBTQIA+.
• Line 1 in Lençóis Paulista reached two years without lost-time injuries.
• 40% fewer accidents with material damages but no lost time in Bahia operations compared to 2021.
• Talent Harvest program trained and recruited harvest operators.

Governance Achievements

• New Sustainability Committee merged committees from São Paulo and Bahia.
• New guidelines approved for developing long-term socio-environmental goals.
• Maintained ISO 9001 and ISO 14001 certifications.

Climate Goals & Targets

Environmental Challenges

• Shortage of female professionals qualified for specific activities in pulp production and pulpwood sector.
• Increase in emissions due to increased pulp production and export.

Mitigation Strategies

• Created women-only operator courses and recruitment processes.
• Investing in equipment and solutions to reduce fossil fuel emissions (e.g., electric trucks and forklifts).

Supply Chain Management

Supplier Audits: 100% of suppliers undergo a qualification process.

Responsible Procurement

• Code of Conduct
• Procurement Code of Ethics
• Due diligence form for compliance with laws and standards

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: GRI Standards 2021, SASB Indicators, UN Sustainable Development Goals (SDGs)

Certifications: Cerflor/PEFC, ISO 9001:2015, ISO 14001:2015, Halal, Kosher

Third-party Assurance: Bureau Veritas Certification Brasil

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Ethnic-Racial Diversity Seal 2020-2021 and 2021-2022 (Salvador City Hall)
• Friend of the Atlantic Forest seal (RBMA)