Management Approach 2016 (Disclosure 103-1, 103-2, 103-3)
Like other manufacturing companies, Symrise generates direct and indirect greenhouse gas emissions that result in increases in the earth’s average temperature. This has far-reaching consequences for humans and nature: areas that are being desertified, an increase in floods as well as resulting famines and refugee movements. For Symrise, climate change is leading to rising energy and raw material prices as well as climate-related costs, for example, through emissions trading. Reputational damage could also result in the loss of business and a drop in our share price. Climate change simultaneously offers opportunities, for example, through the increased use of efficient technologies that also result in cost savings. Given the urgency of the climate dilemma, SDG 13 requires prompt measures for climate protection.
Corporate Sustainability, supported by the Sustainability Board, is responsible for the topic of emissions reduction. The Sustainability Board meets several times per year to discuss, assess and report on climate-related data and developments. The goals and programs are determined by the Sustainability Board and finally approved by the CEO. The Risk Management department assesses company-specific risks and rewards related to climate change at least once a year and reports the findings to the Executive Board.
The reduction of climate-damaging emissions is part of our environmental strategy and our environmental management (see resource conservation and excellence in the supply chain). We demonstrate our progress regarding emission reduction in a number of ways, including annual participation in the CDP independent investor initiative. Symrise compiles the CO2 emissions of its operating activities according to the internationally recognized Greenhouse Gas (GHG) Protocol Corporate Standard. We report on them according to direct emissions (Scope 1), energy-indirect emissions (Scope 2), and other indirect emissions (Scope 3).
By 2025, as part of the Science Based Target Initiative, we have set ourselves the target of reducing our greenhouse gas emissions by 50 % in terms of value added compared with the base year 2016. We also require our suppliers, who supply raw materials accounting for at least 80 % of our total purchasing volume, to commit to their own climate targets and reduction measures by 2020. We ultimately want to be climate-positive by 2050 – among other things, by purchasing environmentally friendly energy sources and supplying surplus energy to local communities.
Along with ongoing measures of our local Total Productive Maintenance teams, which continuously replace energy-intensive consumer equipment like motors and ventilation or heating systems with more efficient alternatives, we reduce our CO2 emissions related to energy generation by about 35 % annually, particularly through our new cogeneration plant at the Holzminden site. In addition, we converted all of the electricity we purchase in Germany to green power in 2018.