SGL Group ApS
Climate Impact & Sustainability Data (2022, 2023)
Reporting Period: 2022
Environmental Metrics
Total Carbon Emissions:1,441,232 million tonnes of CO2e
Scope 1 Emissions:3,652 tonnes of CO2e
Scope 2 Emissions:2,574 tonnes of CO2e (market-based)
Scope 3 Emissions:1,035,494 tonnes of CO2e
Total Energy Consumption:11,920 MWh
Carbon Intensity:Overall decreased by 13% due to a shift from high emitting airfreight to less emitting Ocean freight.
ESG Focus Areas
- Climate Change & Footprint
- Aid & Relief
- Employee engagement, development and diversity
- Health & Safety
- Integrity across our value chain
Environmental Achievements
- Reduced Scope 3 GHG emissions intensity by 13% per gram CO2e / tonne-kilometre
- Achieved an A- rating from CDP on climate action
- Signed an agreement for a global solution for ocean biofuel to offer customers 100% CO2e-neutral ocean freight
- Committed to deploying 12 Scania electric 40-foot container trucks
Social Achievements
- Achieved an 80% score in the annual employee Meaningfulness Questionnaire (MQ), meeting the 2025 target three years ahead of schedule
- Trained 2,245 employees, completing 54,319 courses in the SGL Group Academy
- Maintained a 47% ratio of female employees
Governance Achievements
- Implemented the ESG platform from Position Green to manage ESG data and prepare for compliance with CSRD and other regulations
- Received a Silver Medal rating from EcoVadis
- Two whistle-blower concerns resolved
Climate Goals & Targets
Long-term Goals:
- Achieve net-zero emissions by 2050 across Scope 1, 2 and 3
Medium-term Goals:
- Achieve 50% reduction in GHG emissions across all scopes by 2030
Short-term Goals:
- Reduce absolute Scope 1 and 2 GHG emissions by 42% by 2030 from a 2021 base year
- Reduce Scope 3 GHG emissions by 51.6% per gram CO2e / tonne-kilometre by 2030 from a 2021 base year
- Appoint 1 female board member in 2023
Environmental Challenges
- Decarbonising the hard-to-abate logistics industry
- Reducing upstream emissions in the supply chain (Scope 3)
- Maintaining gender diversity in management roles despite M&A growth
Mitigation Strategies
- Launched a catalogue of Low Carbon Logistics solutions
- Partnering with customers, suppliers, and industry stakeholders
- Investing in training and development
- Implementing new supplier audit processes
- Introducing systems to capture data on the gender pay gap
Supply Chain Management
Supplier Audits: 8 on-site audits, 6 checklist evaluations, 12 additional evaluations scheduled
Responsible Procurement
- Supplier Code of Conduct
Climate-Related Risks & Opportunities
Physical Risks
- Increased insurance costs for owned properties
Transition Risks
- Increase in carbon taxes
- Cost of transitioning to lower emissions technology
- Change in customer preferences
- Stigmatization of the transport industry
- Switch from Air to lower emissions modes
Opportunities
- Helping customers manage increased complexity from carbon taxes and emissions reporting requirements
- Meeting demand for decarbonised logistics services
- Supporting UN agencies and other partners in responding to the humanitarian consequences of climate change
Reporting Standards
Frameworks Used: GRI Core, SASB, TCFD
Certifications: ISO 14001:2015 (multi-site), ISO 45001 (Industrial Projects division)
Third-party Assurance: EY Godkendt Revisionspartnerselskab (limited assurance on selected energy and climate data)
UN Sustainable Development Goals
- SDG 13 (Climate Action)
- SDG 17 (Partnerships for the Goals)
Reducing CO2e emissions and supporting humanitarian agencies.
Sustainable Products & Innovation
- Low Carbon Logistics solutions (Sea-Air combo, low carbon modes, low emission fuel, regional-hub setup, pre/post-carriage, road solutions)
Awards & Recognition
- A- rating from CDP
- Silver Medal rating from EcoVadis
Reporting Period: 2023
Environmental Metrics
Total Carbon Emissions:1,088,112 tCO2e
Scope 1 Emissions:6,075 tCO2e
Scope 2 Emissions:4,115 tCO2e
Scope 3 Emissions:1,077,923 tCO2e
Renewable Energy Share:1%
Total Energy Consumption:22,731 MWh
Water Consumption:62,847 m3
Waste Generated:1,055 tons
Carbon Intensity:671 gCO2e/TKM in 2023
ESG Focus Areas
- Climate Change
- People (Own Workforce & Value Chain)
- Society (Affected Communities)
- Responsible Business (Integrity Across Value Chain)
Environmental Achievements
- Reduced Scope 3 GHG emissions intensity by 5.32% per gram CO2e / tonne-kilometre.
- Received validation of near-term science-based target.
- Submitted long-term target for validation by the Science Based Targets initiative.
- Maintained an A- score from CDP.
- Launched Transportation Action Guide at COP28.
- Partnership with MAN Energy Solutions using 100% ocean biofuel.
- Project with Majid Al Futtaim Lifestyle using Sustainable Aviation Fuel (SAF).
- Launched Scania Electric truck for transportation with Alfa Laval.
- Power Purchase Agreement (PPA) solar park in Denmark went live.
Social Achievements
- Achieved an 83% score in the annual employee Meaningfulness Questionnaire (MQ).
- Launched ‘Empowering Women in Logistics’ development programme.
- Undertook a comprehensive human rights saliency assessment.
- Improved safety metrics: LTIF improved to 0.6 (2022: 1.19).
Governance Achievements
- Conducted a double materiality assessment.
- Restructured sustainability report for CSRD and ESRS compliance.
- Updated climate-related scenario analysis using TCFD guidelines.
- Appointed a Group Compliance Officer.
- Expanded compliance training.
Climate Goals & Targets
Long-term Goals:
- Reach net-zero greenhouse gas emissions across the value chain by 2050.
- Reduce Scope 1 & 2 emissions 90% by 2050 from a 2021 base year.
- Reduce Scope 3 emissions 97% per tonne-km by 2050 from a 2021 base year.
Medium-term Goals:
- Not disclosed
Short-term Goals:
- Reduce Scope 1 and 2 GHG emissions by 42% by 2030 from a 2021 base year.
- Reduce Scope 3 GHG emissions by 51.6% per tonne-km by 2030 from a 2021 base year.
Environmental Challenges
- Shift away from air to less carbon-intensive modes impacting profitability.
- Inability to meet emissions targets due to slower uptake of low-carbon logistics.
- Insufficient supply of low-carbon fuels.
- Risk of bribery & corruption in certain operations.
- Working conditions in higher-risk countries.
- Incidents, injuries and fatalities (warehouse and aid & relief operations).
Mitigation Strategies
- Providing Low Carbon Logistics solutions.
- Partnering with others in the value chain (SAF, biofuels, e-trucks).
- Participating in industry groups focused on net-zero supply chains.
- Setting near-term and long-term science-based targets.
- Reducing emissions in own operations (PPAs, renewable energy).
- Implementing health and safety management system.
- Conducting supplier audits and evaluations.
- Expanding compliance training and appointing a Group Compliance Officer.
- Human rights global saliency assessment.
Supply Chain Management
Supplier Audits: 15 onsite audits and 84 evaluations in 2023
Responsible Procurement
- Supplier Code of Conduct addressing labour practices, human rights, health & safety, environment, and bribery & corruption.
Climate-Related Risks & Opportunities
Physical Risks
- Not disclosed
Transition Risks
- Shift away from airfreight.
- Inability to meet emission targets.
- Insufficient supply of low-carbon fuels.
Opportunities
- Expanding low-carbon services.
- Increased demand for aid and relief operations.
- Increased demand for recycling (reverse logistics).
Reporting Standards
Frameworks Used: CSRD, ESRS, GRI, SASB, TCFD
Certifications: ISO 14001, ISO 45001
Third-party Assurance: EY Godkendt Revisionspartnerselskab (limited assurance on selected energy and emissions data)
UN Sustainable Development Goals
- SDG 13 (Climate Action)
- SDG 17 (Partnerships for the Goals)
Emissions reduction targets, partnerships for decarbonisation, humanitarian logistics support.
Sustainable Products & Innovation
- Low Carbon Logistics solutions
Awards & Recognition
- Certificate at Rebuild Ukraine conference