Net-Zero Case Study - Klöckner & Co
One of the largest producer-independent distributors of steel and metal products, Klöckner & Co’s approved science-based target is to halve emissions across all scopes by 2030, and to achieve net-zero across scopes 1 and 2 by 2040. Scope 3 emissions that they cannot control directly - primarily from purchased steel products - have a net-zero target of 2050. The company was the first to receive validated net-zero targets in the mainstream post-pilot validation process.
Covering all scopes
Globally, the steel sector’s direct CO2 emissions amounted to 2.6 Gt in 2019, or 7% of total energy sector emissions and 28% of industrial emissions. Klöckner & Co’s scope 1 and 2 net-zero targets will allow it to cut approximately 90,000 tonnes of carbon per year. To enable this transformation, the company has started to steadily transition to renewable energy sources, and converting its car and truck fleet to electric- or hydrogen-powered vehicles. Comprehensive emission analyses and emission curbs in procurement and logistics are helping to identify further areas to reduce emissions. To address scope 3 emissions, the company updated its travel policy to make domestic European flights disallowed, unless in exceptional circumstances, and have introduced a more flexible hybrid working policy to allow for more home working, which minimizes emissions from employees commuting.
The steel sector must step up
Demand for steel is projected to continue rising, so it is crucial for companies in this sector to drive forward ambitious change, and Klöckner & Co is demonstrating that this can - and should - be done now. Join the companies taking climate action and set a target now.