STORA ENSO’S NEWSLETTER FOR STAKEHOLDERS • CLIMATE CHANGE IssuE •                                         ...
Product-specific carbon                                                     What is a carbon footprint?
footprints on...
Increased focus on bioenergy                                                                                        B...
Encouraging climate awareness
The Carbon Disclosure Project (CDP) ranked
Stora Enso as the best paper and forest p...
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Stora Enso Sustainability News 2 2008


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Stora Enso's newsletter for stakeholders.

Topics covered:
Towards a low-carbon future
Product-specific carbon footprints on the way
Storing carbon in buildings
Enhanced recycling in Barcelona
Increased focus on bioenergy
Innovative climate-friendly products
Encouraging climate awareness

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Stora Enso Sustainability News 2 2008

  1. 1. Sustainability STORA ENSO’S NEWSLETTER FOR STAKEHOLDERS • CLIMATE CHANGE IssuE • 2/2008 Towards a low-carbon future Stora Enso’s climate actions opment we can both combat stora Enso helps curb climate climate change and create new change on a global scale both business opportunities. naturally and actively. One area in which our in- Our industry naturally con- dustry has an exceptional tributes to mitigating climate record is the high share of change through the sustain- biomass in internal energy able management of forests production. For Stora Enso and the manufacture of wood- this figure is already as high based products that store car- as 70%, and we are looking to bon. Our products provide increase this share even more. a low-carbon alternative to One possible way forward in goods made of non-renewable the long run could be to sup- materials, and they can also be ply biomass and maybe even recycled and used as bioenergy biomass-based energy to ex- at the end of their life cycle. ternal users. We are already Stora Enso is also actively commercially testing the pro- taking measures to cut green- duction of biofuels from forest house gas emissions. In 2007 residues in a joint project with Stora Enso defined its Group- Neste Oil. level carbon footprint – the There should also be focus total amount of greenhouse on developing products that gases produced directly and in- can be used in people’s daily directly during activities such lives before being used as bio- as paper manufacturing – aim- mass to create energy. This ing to identify the main sourc- makes sense financially as well es of carbon dioxide emissions as environmentally. It means through the value chain. obtaining maximum value Based on this extensive car- from the original raw material bon footprint study, an overall at different stages, while also CO2 emission reduction target Climate change is one of the number of FSC and PEFC cer- minimising the overall eco- of 20% by 2020 has been set. greatest global challenges of tified units within the Group logical footprint. To reach this target, efforts will our day. However, as challeng- means that we have robust Developing innovative sus- especially focus on energy ef- es arise, so do opportunities. mechanisms in place to ensure tainable products, improving ficiency and further increases In response to climate that our wood comes from our energy efficiency and con- in the already high share of change, consumers, custom- sustainable sources. Sustain- tinually increasing the share bioenergy in production. ers and society as a whole are ably managed, growing for- of biomass in energy use are demanding low-carbon and ests sequestrate carbon from all key to our success. On all of carbon-neutral product alter- the atmosphere. The carbon these issues we are already on natives. Stora Enso is at the is then stored in our products; the right track. In my opinion, forefront of this development, from wooden houses to carton the forest industry is an indus- New certificates largely because the forest prod- board packaging. These prod- try of the future, for a future ucts industry by its nature is ucts can then be reused and carbon-constrained and ener- Wood supply very well positioned to tackle recycled, and at the very end gy-efficient world. Continental Europe this challenge. In fact, in the of their life cycle burned to achieved ISO 14001 and longer term it represents great generate bioenergy. OHSAS 18001 certification opportunities for us. This unique life cycle is This is all driven by the something we need to focus on Wood supply Russia facts that our main raw mate- and develop further – both for achieved FSC multi-site rial, wood, is renewable and existing products and for com- Hannu Ryöppönen chain-of-custody certification recyclable, while forests act pletely new products. Through Deputy CEO as carbon sinks. The increased innovation and product devel- Stora Enso Oulu Mill in Finland achieved FSC chain-of-custody certification sustainability News is published by stora Enso sustainability Communications. stora Enso, P.O. Box 309, FI-00101 Helsinki, Finland. Tel. +358 2046 131, Fax +358 2046 21267. Alytus sawmill Editor-in-Chief: Eija Pitkänen, Tel. +358 2046 21348. Managing Editor: Rina Raikamo, Tel. +358 2046 21391. in Lithuania achieved ISO Internet: 14001 and OHSAS 18001 Printed on TerraPrint silk 130g/m2, stora Enso, Kabel Mill certification
  2. 2. News Product-specific carbon What is a carbon footprint? footprints on the way • The term carbon footprint describes the overall green- culated for the first time in 2007, taking into account In March, Stora Enso pub- Environmental Affairs at Stora house gas impact of an in- both indirect and direct lished the results of a study Enso Consumer Board. “Still, dividual, an organization, a emissions related to pro- quantifying the Group-level it’s good to remember that our single event or a product. duction. carbon footprint. This work is emissions are only a part of now continuing with the cal- the end product’s total carbon • The most important green- • Product-specific carbon culation of product-specific footprint-producing the prod- house gases are carbon di- foot-prints can be seen as carbon footprints, which will uct causes emissions as well. oxide (CO2), methane (CH4) balance sheets detailing help our customers and ulti- The methodology for defin- and nitrogen oxides (NOX). greenhouse gas emissions mately consumers to choose ing carbon footprint of ready Carbon footprints are usu- and removals. Calculations products with low climate im- made products is still on the ally expressed in kilograms may also account for such pacts. way.” or tonnes of CO2 equiva- factors as the role of forests Our Consumer Board busi- The Consumer Board’s stud- lent. as carbon sinks and emis- ness area, for example, has ies clearly show the benefits of sions avoided when end conducted its own studies of using renewable raw materials • Stora Enso’s Group-level products are burned to sub- the carbon footprints of dif- and energy in packaging prod- carbon footprint was cal- stitute fossil fuels. ferent fibre-based packages, ucts. The production process such as milk packages. “Stora does result in emissions, but Enso has a long tradition of CO2 is sequestrated both in erably – with high shares of in some cases even turn out doing life cycle analysis on growing forests and at the end biomass resulting in smaller to be negative, meaning that our paper and board products, of the products’ life cycle. The footprints their CO2 reducing impacts and the carbon footprints are fuel mix used in production When all these effects are are greater than the emissions part of this work,” says Päivi also affects the overall carbon taken into account, the car- generated during their produc- Harju-Eloranta, Director of footprint of products consid- bon footprints of products can tion. Storing carbon in buildings using wood as a building ma- house can amount to up to 9.2 terial can help to mitigate cli- tonnes of CO2. mate change. A recent study “Promoting sustainable for- by the Edinburgh Centre for estry and wood products can Carbon Management (ECCM) help to fulfil the potential of estimates that carbon dioxide forests to slow down climate emissions related to the con- change,” says Salvatore Sort- struction of buildings can be ino, Communications and reduced by as much as 86% Sustainability Director at Stora if timber is used for internal Enso Wood Products. and external elements wher- “Wood products act as a ever possible. The same study long-term carbon store, and shows that the possible over- also have a very favourable all greenhouse gas savings overall carbon footprint com- from using more timber in a pared to competing materials,” two-bedroom semi-detached adds Sortino. Wood is a climate-friendly alternative to competing building materials. Enhanced recycling in Barcelona stora Enso’s Barcelona Mill is generate renewable energy in the process of installing a which can be converted to new recycling facility designed around 12,000 MWh of elec- to further improve the mill’s tricity every year. existing recycling concept. Bar- “This investment is not celona Mill already has several only environmentally sus- years of experience extracting tainable, but also ensures that and recycling fibres from bev- Stora Enso continues to play a erage cartons that previously part in the market for recycled ended up on landfill sites. products as environmental re- Once the new facility is up sponsibility moves up the glo- and running, the mill will be bal agenda,” says Nuria Ayats, able to recover an estimated Quality and Environmental 1,260 tonnes of aluminium per Manager at Barcelona Mill. year, reduce the total amount A similar recycling facility of waste to landfill by around already exists at Varkaus Mill Recycling of beverage cartons has considerably reduced waste to landfill 20,000 tonnes annually, and in Finland. at Barcelona Mill.
  3. 3. News Increased focus on bioenergy Boosting pellet production In June, Stora Enso announced further investments in pellet production, this time at Kop- parfors Sawmill in Sweden. Wood pellets are a form of biofuel that can easily be pro- duced from the by-products of sawmill processes. The ongoing shift away from fossil fuels to renewable energy sources is a major driv- er for investments in the pro- duction of pellets, which are an increasingly popular form of carbon-neutral bioenergy. Pellets are also one of the most non-polluting heating options available. Producing pellets is a Imatra Mills use a high share of bioenergy. Bioenergy results in non-fossil CO2 emissions, which means that it is natural business extension for carbon-neutral. sawmills, because the sawdust and wood shaving residues stora Enso is continuously “All these actions are great ex- plains. As a result the total cost generated during the sawmill- working to increase the al- amples of our increased focus of using fossil fuels has gone ing process can be used as the ready high share of bioenergy on bioenergy. It is by taking up. “This of course pushes pro- main raw material for pellets. in internal energy production. many small steps that we can duction units to increasingly Stora Enso has already In July, Kvarnsveden Mill in make significant improve- focus on optimising their fuel planned to start pellet produc- Sweden registered an all-time ments,” says Mikael Hannus, mix and finding ways to re- tion in Russia, the Czech Re- low in fossil fuel usage, low- Vice President of Energy at place fossil fuels with carbon- public and Sweden. ering its fossil fuel consump- Stora Enso. neutral biomass,” adds Han- tion by 57% compared to the One important develop- nus. same period last year. Imatra ment this year is the inclusion The paper industry is the Mills in Finland are currently of the cost of emitting carbon world’s largest producer and making investments designed dioxide in decisions regarding user of bioenergy. The main to increase the share of bio- energy sourcing, due to a sig- sources of this bioenergy in- energy from 86% to 90%. nificant increase in the market clude black liquor, bark, forest Wood Supply Finland has re- value of carbon credits. “In residues, de-inking sludge and cently strengthened its bioen- practice this means that low- bio-sludge, all of which are by- ergy expertise in order to fur- emitting production units can products of the pulp and paper ther improve the sourcing of sell unused carbon credits to production process. forest residues for energy pro- offset these costs,” Hannus ex- Wood pellets are a carbon- duction. neutral energy source. Innovative climate-friendly products Environmental impacts are and the Finnish telecom com- a vital factor in the choices pany Elisa. of many customers nowadays Another new product under – and a major driver for prod- development is a paint can uct development. Stora Enso is made of recycled paper. These currently working on several coreboard-based containers new products that will – or al- have several other advantages ready do – provide new envi- over traditional cans: they are ronment-friendly alternatives. lighter, rust-proof and less ex- Discbox slider (DBS) cases pensive. for CDs and DVDs are one such Meanwhile in Varkaus, Fin- product. The CO2 emissions land, Stora Enso is building a generated producing these pilot plant for the production board-based cases are only a of wood-based next genera- tenth of those for standard tion biofuel, together with the plastic CD boxes. This solution Finnish oil refining company has already been welcomed by Neste Oil. The plant is expect- major customers such as the ed to start up by next spring. The board-based discbox slider (DBS) is a good example of a product media corporation Sony BMG with a low carbon footprint.
  4. 4. Profile Encouraging climate awareness The Carbon Disclosure Project (CDP) ranked Stora Enso as the best paper and forest products company in the Nordic region regarding carbon disclosure in 2007. Every year CDP asks the world’s largest corporations to provide information on their carbon emissions, responses to climate change, and future plans. Amanda Haworth Wiklund, Director of the CDP’s Nordic Secretariat, explains the benefits of measuring and reporting emissions. What is CDP? have measured something you CDP is an independent not- do not know how much is for-profit organisation that there, and you cannot manage gathers information on corpo- or reduce it. rations’ greenhouse gas emis- Investors are finding that sions, as well as climate change when companies take measure- related risks and opportunities. ments they actually discover We see our work as creating a new things that they can then lasting relationship between actively address through busi- shareholders and corporations ness cases. Corporations can regarding the implications of thus turn their new knowledge climate change for shareholder into new goals. cycle, as well as taking respon- way is to use wood instead of value and commercial opera- sibility for the sourcing of raw other materials to make hous- tions. CDP also sets standards What is the value of material and the end use of es, furniture and other prod- for carbon disclosure method- transparency? products. ucts. This is an obvious oppor- ology and processes. Trustworthiness. When a cor- tunity for Stora Enso. CDP is backed globally by poration is open, its sharehold- What are the over 385 institutional inves- ers can feel confident about its opportunities? How can investors make tors with a combined USD 57 activities and strategies – espe- One answer is definitely the a difference? trillion of assets under man- cially how it sees risks and op- scope for new services and I see an increasing trend that agement. CDP’s website is the portunities. products. Another is new pro- investors have a deep concern, world’s largest storehouse for You can compare this with duction and processing tech- and act on this by having port- corporate greenhouse gas emis- owners’ need for financial in- nologies. In situations char- folios focusing on climate-wise sions data. formation from a company. acterised by major changes, corporations. They can move For many corporations climate companies generally respond their money away from una- What is the CDP’s change will have financial im- by being innovative. We can ware corporations, and in- contribution to combating plications, so such informa- see a clear change in consumer crease the flow of capital into climate change? tion becomes highly relevant demand patterns, and many future-positive industries. CDP makes its information for shareholders. Whether or companies are responding What is important for the requests and responses from not a corporation has a stra- to this with new low-carbon companies is that investors are corporations publicly avail- tegic plan for reducing emis- products and services. Some bringing in a dimension to the able. This helps to catalyse sions, and how a company corporations are leading with whole operation that is very the activities of policy-makers, assesses the present moment extraordinarily visionary in- supportive. consultants, accountants and are extremely important fac- novations. marketers, in addition to the tors, showing how much they There is also a lot of life What is the next step? investment community. are looking at the global situ- cycle analysis taking place. One exciting new exten- Both investors and corpora- ation as a whole, thus reveal- More and more discoveries sion of our work is the tions have a huge role to play ing whether they are a reliable have been made concerning Supply Chain Leadership in mitigating the effects of portfolio object. at which stages of the proc- Collaboration (SCLC). This is climate change, and in driv- ess emissions are generated, great, because it means that ing emissions reductions glo- What are the challenges? from the sourcing of raw mate- the whole culture of report- bally. By facilitating dialogues Participating in the general rial to the recycling of the end ing and measuring emissions and engagement on climate mitigation of carbon emissions product. A lot of information is moving out to small and change, CDP plays a vital role so as to curb ongoing tempera- is coming up in this field that medium-sized enterprises as in encouraging corporations to ture increases is very challeng- corporations can make use of. well. CDP reaches the largest measure, manage and reduce ing in itself, as this entails a companies, some of which in their emissions. lot of changes and rethinking What are the specific turn send requests for infor- An important point is that in the ways business is carried challenges and opportuni- mation on down their supply what gets measured gets man- out. Among other things it im- ties for stora Enso? chain. This is a very significant aged. There is a huge business plies replacing high-emission We need to sequestrate carbon development. argument in this. Until you processes in the product life from the atmosphere, and one