Duferco International Trading Holding SA
Climate Impact & Sustainability Data (2020-10 to 2021-09, 2023)
Reporting Period: 2020-10 to 2021-09
Environmental Metrics
Total Carbon Emissions:93670.65 tCO2e
Scope 1 Emissions:93670.65 tCO2e
Scope 2 Emissions:211978.79 tCO2e (location-based)
Total Energy Consumption:2349912.50 GJ
Waste Generated:117658.55 tons
ESG Focus Areas
- Environmental
- Social
- Governance
Environmental Achievements
- ATG reported carbon neutrality for 2020 (verified by DEKRA)
- Makstil monitors energy data in real time to improve energy consumption processes
- Several DITH entities initiated transition towards sustainable energy (photovoltaic systems, LED lamps, hybrid/electric vehicles)
Social Achievements
- Launched a survey regarding remote work policy at Duferco S.A. to optimize talent retention
- Implemented various employee training programs (technical skills, health & safety, language courses, cybersecurity)
- Supported several community development programs (education, charity, volunteering, sponsorships)
Governance Achievements
- Appointed a Sustainability Officer in 2020
- Introduced an Internal Audit function at the Group level in 2021
- Zero complaints concerning breaches of customer privacy in 2021
Climate Goals & Targets
Short-term Goals:
- Makstil plans to develop an Environmental Product Declaration (EPD) on hot rolled plates in 2022
- Several DITH entities plan to install photovoltaic systems by 2023
Environmental Challenges
- Limited travel and strict COVID-19 regulations
- Industry-wide supply shortages and difficulties in securing steel allocations
- Unprecedented price volatility
Mitigation Strategies
- Formed a COVID-19 Action Working Group to oversee best working practices and minimize disruption
- Suspended international travel and implemented social distancing measures, remote working policy, office disinfection programs
- Leveraged strong network of employees, business partners, suppliers, and customers
Supply Chain Management
Responsible Procurement
- Focus on long-term relationships with suppliers; transparent and direct approach
Climate-Related Risks & Opportunities
Reporting Standards
Frameworks Used: GRI Standards - Core option
Certifications: ISO 9001:2015 (production sites and distribution entities), ISO 14001:2015 (IPAC, Meridian Steel Ltd, Agofer, DSP, Makstil), ISO 50001:2018 (Makstil)
Reporting Period: 2023
Environmental Metrics
Total Carbon Emissions:252,971.94 tCO2e (location-based); 252,981.25 tCO2e (market-based)
Scope 1 Emissions:69,608.13 tCO2e
Scope 2 Emissions:183,363.82 tCO2e (location-based); 183,373.12 tCO2e (market-based)
Renewable Energy Share:0.26% (of total energy use)
Total Energy Consumption:1,686,037.63 GJ
Water Consumption:17,144.24 ML (withdrawal); 2,300.81 ML (discharge)
Waste Generated:115,845.60 tons
Carbon Intensity:2.33 GJ/ton (DSP); 4.25 GJ/ton (Makstil)
ESG Focus Areas
- Health and Safety
- Greenhouse Gas Emissions
- Customer Care
- Product Quality
- Compliance
- Sustainable Procurement
- Diversity & Inclusion
- Community Support
Environmental Achievements
- Defined the 'DITH Carbon Reduction Path' strategy to reduce GHG emissions.
- DSP implemented a solar project, reducing grid electricity consumption by 1.5%.
- Makstil achieved a 9% reduction in water consumption.
Social Achievements
- Provided nearly 17,000 hours of H&S training to approximately 2,240 employees.
- Increased average training hours per employee from 6.4 to 15.16.
- No incidents of discrimination or human rights abuses reported.
- Introduced a Supplier Code of Conduct, accepted by key suppliers.
Governance Achievements
- Introduced the inaugural Supplier Code of Conduct.
- All DITH entities participate in ongoing Compliance Training.
- Published Sustainability Report and EcoVadis rating on corporate website, intranet, and LinkedIn.
Climate Goals & Targets
Medium-term Goals:
- By 2030: 70% reduction in CO2 emissions in trading, distribution, and processing divisions; minimum 80% reduction in industrial division; 60% reduction in Scope 2 emissions through additional solar investments and operational improvements.
Short-term Goals:
- By 2026: 32% reduction in scope 1 and 2 CO2 emissions in trading, distribution, and processing businesses; 9% reduction in hard-to-abate CO2 emissions in industrial divisions.
Environmental Challenges
- Increase in LTIFR across most entities (except Meridian).
- A fatal accident at Makstil facility.
- Subdued market conditions in the Industrial Division.
- Margin compression due to higher interest rates and moderating outsell pricing.
Mitigation Strategies
- Adjusted H&S performance analysis to focus on risk analysis and preventative training.
- Developed a comprehensive plan to mitigate risks identified after the Makstil accident.
- Investments in energy management and process improvements to reduce CO2 emissions.
- Adjusted inventory values to prepare for changing market dynamics.
Supply Chain Management
Supplier Audits: ESG risk analysis of top suppliers (70% of trading volume).
Responsible Procurement
- DITH Supplier Code of Conduct (2023)
Climate-Related Risks & Opportunities
Reporting Standards
Frameworks Used: GRI Standards (2021)
Certifications: ISO 9001:2015 (all production sites and distribution entities), ISO 14001:2015 (Makstil, DSP, IPAC, Meridian Steel Ltd.), ISO 45001:2018 (Makstil, IPAC), ISO 50001:2018 (Makstil)
Awards & Recognition
- Bronze Rating from Ecovadis (2022 and 2023)