Sustainability at SSAB

Transcription

1 Sustainability at SSAB

2 Global megatrends impacting how we do business today 6 Sustainability at SSAB

3 Urbanization - Steel is critical in developing the world Growing world population, from 7 billion today to at least 9 billion in 2050 Infrastructure development needed to meet demand from growing population Today 50% of the world population live in cities In Mexico, Turkey and Brazil the share is 70-80% and rising In /3 of the entire population will live in cities Source: WEF 7 Sustainability at SSAB

4 Source: IEA world energy outlook * Metric ton of oil equivalent World population We will experience a huge demographic growth in the future Global population in 2030 will grow to projected 8.3 billion Billion World primary energy demand leading to global resource scarcity World energy use predicted to increase by 50% 50 years of supply left in known oil reserves assuming that current levels of demand continue Global food demand expected to increase by more than 35% 3% of all water in the world is fresh water 75% of this is locked in glaciers 1.1 billion people lack access to water In 2025 a projected 2/3 of global population will experience water shortages Source: WEF

5 Climate change and global warming Averaged land and ocean surface anomaly The average temperature is predicted to increase by over 2 degrees in the 21 st century 6% annual reduction in carbon intensity is required to meet the 2 degrees target Averaged sea level change Since the end of the 20 th century until the year 2100 the sea level is estimated to rise between cm. With a maximum rise of 0.5 cm annually Source: E&Y, klimatkonferensen Sustainability at SSAB

6 Steel is all around us! Housing and construction sector 50% of world steel production Transport sector (cars, trucks, aviation, shipbuilding, and rail) 16% of world steel production Almost 200 billion steel cans of food are produced each year 25% of an average computer is made of steel 10 World average steel use per capita has steadily increased from 150 kg in 2001 to 225 kg in 2013

7 Increased focus on sustainability in SSAB - To become one of the most sustainable steel companies 14 Sustainability at SSAB

8 We are dedicated to our vision 16

9 Sustainability in the entire value chain 17 Sustainability at SSAB

10 Sustainability in the entire value chain R&D aims to improve process efficiency and product innovation with an increased environmental awareness as base for the development work Energy intensive production requires high focus on energy and raw material efficiency to mitigate environmental impacts Safety is always a top priority and we will be the safest steel company in the world We implement SSAB s Code of Conduct and verify compliance through training and selfassessments Our employees are a key driving force; our valueadded services are built on experience and know-how Resource efficiency and re-use: preserve the value added in products and eliminate waste 18 By using high strength steels customers can manufacture products that require fewer resources Creating business opportunities making sustainability a competitive advantage Stakeholder engagement increasing opportunities for cooperation and dialogue In logistics solutions the environmental impacts of the total logistics chain, including energy efficiency, is taken into account

11 Sustainability is better business Enhanced brand and increased competitive advantage Increased productivity and reduced costs Improve financial and investment opportunity Minimize environmental risk and improve energy efficiency Increase employee retention and recruitment 19 Sustainability at SSAB

12 Three focus areas that explain how we work with sustainability SUSTAINABLE OFFERING Our external value proposition, what we offer to our customers and other stakeholders SUSTAINABLE OPERATIONS Focus on our internal operational efficiency RESPONSIBLE PARTNER Our contribution to the societies and how we manage risks and take responsibility for business ethics and our supply chain 20 Sustainability at SSAB

13 A sustainable offering that helps our customer become more sustainable 21 Sustainability at SSAB

14 SSAB help customers become more sustainable Leader within high-strength steels 90% of emissions are related to the user phase Reduced weight Reduced fuel consumption Increased load capacity Close to our home market Improved logistics and local stock Close to raw material source in the Nordics Customer focus Improve customers environmental performance in products and operations 22 Sustainability at SSAB

15 Focus on internal efficiency to create sustainable operations 24 Sustainability at SSAB

16 Focus on safety SSAB aims to be the safest steel company in the world Working safely is a fundamental prerequisite for being employed at SSAB Safety management systems and safety awareness trainings OHSAS principles (employees and contractors) Learning from each other and sharing best practices within SSAB is a key priority 25 Sustainability at SSAB

17 SSAB EU 15 NAFTA Russia China India Reducing CO 2 emissions Today, SSAB uses nearly the minimum amount of carbon raw materials possible with current technology Blast furnace efficiency* 120 SSAB is one of the best in the world in iron making CO 2 efficiency 7% better than the European average SSAB has a target of achieving a lasting reduction of 200,000 tonnes in CO 2 emissions at the end of Source: Stahl-Zentrum. *The indexed carbon efficiency in iron-making based on coal consumed Sustainability at SSAB

18 Energy efficiency at SSAB SSAB has a target of achieving a lasting reduction of 300 GWh (both electricity and fuel) in purchased energy at the end of 2019 Equal to approx. 3,5% of SSABs total amount of purchased energy SSAB supply 90% of district heating in Luleå, Raahe and Oxelösund SSAB s conversion to natural gas in Borlänge in 2014 reduced CO 2 emissions with 40,000 tonnes 27 Sustainability at SSAB

19 Utilization of residuals SSAB has a target of achieving a lasting improvements in residual utilization by 30,000 tonnes (excl. scrap) at the end of % of total amount currently sent to landfill Improved internal recirculation and external sales of by-products Merox, a business within SSAB, optimizes the value of SSAB s byproducts and reduces waste Recirculation of materials to SSAB production Processing and selling products Managing residual waste 28 Sustainability at SSAB 45% recycled steel is used in steel production 78% of residuals from the orebased steel production were re-used, internally or externally (excl. scrap) 1.1 million tonnes of byproducts were sold externally (excl. scrap)

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21 Acting responsibly throughout the value chain 30 Sustainability at SSAB

22 SSAB s social contribution SSABs operations has a big impact locally Largest private employer in Luleå, Raahe, Hämeenlinna, Borlänge and Oxelösund Significant presence at our local labor markets in Mobile and Montpelier in the US Every person employed in the industry creates three additional jobs in the community IF Metall 2,100 B O 2,400 1,200 L R H 2, We engage locally Sponsorship: education, culture, sports, events Internships: Tekniksprånget, Äntligen jobb, Nystartsjobb, etc. On group level SSAB is a member of the Global Compact since 2010 and we support SOS Children s villages since M M Number of employees per site Sources: ekonomifakta, IF Metall, Industriarbetsgivarna, SCB

23 Training in business ethics Compliance with the Code of Conduct and behavior in accordance with our values is important SSAB has two targets related to business ethics Compliance with SSAB s Code of Conduct and behavior in accordance with our values we will conduct a self assessment risk analysis based on Global Compacts 10 principles Employee training in business ethics through e-learning - train 75% of all employees during 2015, 100% of employees trained by the end of Sustainability at SSAB

24 Managing supplier risks through responsible sourcing SSAB s supply chain is global and it is important to evaluate supplier risks SSAB has a target to send out selfassessment questionnaires regarding social and environmental conditions to medium or high risk suppliers 33 Sustainability at SSAB

25 Our products are part of the solution Light Efficient Strong Durable Safe Sustainable 34 Sustainability at SSAB

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