Climate Neutrality: No time to waste
The Paris climate agreement provides for limiting the rise in average global temperature to a maximum of two degrees Celsius in order to mitigate the damage to people and the environment. The sooner we act, the more room for maneuver we have. That's why LANXESS is committed to this climate goal and assumes its responsibility. In addition, LANXESS is anchoring sustainability even more firmly within the company: Since 2021, the variable compensation of the Board of Management has been linked to the achievement of sustainability targets. Since our founding in 2004, we have halved our emissions - from 6.5 million metric tons of CO2 equivalents to 3.2 million metric tons. Now we are taking the second step: LANXESS will become climate neutral by 2040.
Climate neutrality means
- reducing emissions drastically from the company’s own sources,
- purchasing only very low-emission or climate-neutral energy,
- lowering emissions from 3.2 million tons to less than 300,000 tons by 2040
- and neutralizing these residual emissions through compensation measures.
“With our new goal of being climate-neutral by 2040, we are living up to our responsibility as a global specialty chemicals group. At the same time, we will be an even more sustainable partner for our customers in the future”.
Chairman of the LANXESS Board of Management
Chemistry is one of the most energy-intensive industries. Since 1990 it has made great strides in achieving energy efficiency. According to a study by the German Chemical Industry Association, production has risen by 69 percent since then. By contrast, energy consumption has fallen by 14 percent and greenhouse gas emissions by as much as 48 percent. LANXESS has always formulated and reached its own ambitious milestones.
THAT’S WHY WE KNOW: CLIMATE PROTECTION WORKS
THREE CORNERSTONES FOR OUR CLIMATE TARGET
Implementing projects with a strong reduction aspect, decoupling growth and emissions, and accelerating technology and process innovations – these are the three cornerstones of achieving climate neutrality for LANXESS.
Decoupling growth and emissions
The company will continue to grow – and in a climate-friendly manner. We are establishing a clear framework for ourselves: Suppliers and potential acquisition candidates must fit the new climate strategy and the CO2 balance will be an important criterium for investments. In addition, CO2 reduction will become one of the evaluation criteria in the bonus system for managers.
LANXESS implements coal exit strategyIn order to become more climate-friendly, we are planning on an energy supply without coal. We will start at our sites in Nagda and Jhagadia, India. We will also continue to phase-out the use of coal in our large chemical parks.
Strengthening process and technology innovationsIn order to become climate-neutral by 2040, we are revising numerous existing production processes. For example, we will further improve our combination structures, such as in the area of heat exchange between plants or in exhaust air purification. Other processes have not yet been developed on an industrial scale. We are therefore focusing our research more strongly on climate-neutral process and technology innovations.
Urgently needed: renewable energies at fair prices
- Renewable energies in sufficient quantities and at competitive prices
- A functioning European emissions trading system without the double burden of national systems
- Simple and fast approval procedures for new emission-reducing plants
"In the short term, we need competitive energy prices again, and in the long term we will only be able to achieve substantial climate-neutral solutions if renewable energies are also available in sufficient capacity and at prices appropriate to industry."
Chairman of the LANXESS Board of Management
Good for business, good for society
Ambitious climate targets and a stringent plan are good for LANXESS, for our customers and for society:
- Commitment to sustainability makes LANXESS the preferred supplier.
- Most investments in reducing greenhouse gases improve profits.
- LANXESS anticipates and fulfills even stricter future regulations.
- We are making a contribution to achieving the goals of the Paris Climate Protection Agreement.
LANXESS supports KlimaWirtschaft Foundation
LANXESS AG is a sponsoring company of the KlimaWirtschaft Foundation (formerly the 2° Foundation). As one of the representatives of the chemical industry, LANXESS is sending a clear signal for corporate climate protection.
Climate protection is a business case for LANXESS. This is underscored by our plan to become climate-neutral by 2040. However, for the entrepreneurial benefits of sustainable business to be maintained, the political framework must be right. We are firmly convinced that we can profitably contribute our many years of experience in reducing greenhouse gases to the Climate Economy Foundation.
About the KlimaWirtschaft Foundation
The KlimaWirtschaft Foundation is an initiative of CEOs, managing directors and family-owned companies. It was founded in 2011 under the name Stiftung 2° and renamed itself Stiftung KlimaWirtschaft in 2021. The aim of the non-profit foundation is to promote climate protection and the sustainable use of natural resources. To this end, the KlimaWirtschaft Foundation bundles and activates the willingness to take responsibility, but also the innovative strength and solution competence of German companies.