Our decarbonization goals and commitments
We have set ambitious decarbonization targets across the entire value chainThe worldwide demand for electricity is expected to rapidly increase, this paired with the impact of climate change makes the sustainability of the energy sector a matter of urgency.
Siemens Energy is following an ambitious strategy to drive decarbonization with targets across the value chain that are approved by the Science Based Targets initiative (SBTi). We have the technology, innovations and expertise and are working with our customers, suppliers, and partners to transition to a more sustainable world.
We have an aspiration to reach net zero across the entire value chain, in line with a 1.5°C pathway.
Decarbonized products, services and solutions for our customers
Our biggest lever for decarbonization is through our portfolio of products that help our customers reduce their emissions. Our goal is to reduce absolute scope 3 greenhouse gas emissions from use of sold products 28% by 2030 from a 2019 base year [SBTi approved].
The bulk of emissions will be reduced through measures such as portfolio adjustments, fuel shifts and emission removal technologies. We expect most of our emissions reductions from sold products will happen after 2030, since we believe that markets and technologies still need to mature and scale.
Our portfolio levers are:
- Coal exit
- Energy efficiency & digitalisation, e.g. waste heat recovery, combined heat and power
- Increasing renewables & electrification, e.g. transmission, storage, e-drives
- Fuel shift & GHG free products, e.g. green fuels, blue portfolio
- Emissions removal technologies, e.g. carbon capture and storage (CCS, BECCS, DAC)
Decarbonized supply chain
Our goal is to reduce our relative Scope 3 GHG emissions from purchased goods and services as well as transportation and distribution by 30% per procurement volume (€ spent) until 2030 based on fiscal year 2018.
Our suppliers are an important part of the value chain, and we encourage them to take climate protection measures. We run our Carbon Reduction@Suppliers Program, in cooperation with an external service provider, offering an economic model based on an input/ output analysis that identifies the CO2 footprint of all suppliers.
To further increase transparency regarding supplier engagement for decarbonization in 2023, we encouraged more than 3,000 suppliers – corresponding to more than 75% of the carbon footprint in our supply chain – to participate in our decarbonization due diligence assessment (DDA) and report on their measures.
Climate-neutral in own operations
Becoming climate neutral in our own operations is an integral part of the sustainability journey for Siemens Energy.
We have committed to become climate neutral in own operations by 2030 and have launched our Climate Neutral Program to achieve this ambitious target. This includes reducing absolute scope 1 and 2 greenhouse gas emissions by 46% by 2025, compared to 2019.
Our levers are:
- Using renewable electricity: In fiscal year 2023, we achieved our target to power 100% of Siemens Energy’s global electricity consumption from renewable sources. We will continue to grow the share of renewable electricity produced on site through the installation of additional photovoltaic systems.
- Reducing the consumption and electrification: We have energy efficiency projects in place at various locations for buildings and process optimization.
- Reducing SF6 emissions: With the expansion of our Blue Portfolio, together with the stringent measures in our facilities, we have set ourselves the target to reduce our SF6-related emissions by 60% by 2030, compared to a 2019 baseline.
- New mobility concepts: We are aiming for 100% CO2-neutral benefit cars by 2030 through implementation of our car policy globally.
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