Neste and Sourcing Waste and Residue Materials

Transcription

1 Neste and Sourcing Waste and Residue Materials ISCC Shanghai Conference 13th November 2017 Adrian Suharto and Edouard Nau Neste Singapore

2 Content 1. Introduction 2. Our Raw Materials 3. Our Sustainability Commitment 4. Neste Due Diligence Process 5. Challenges of Sourcing in China

3 Introduction

4 OUR VISION Creating responsible choices every day

5 Biofuels are part of the solution Combat climate change and reduce carbon emissions from traffic and transportation (fulfilling bio mandates) Reduce dependency on fossil oil and imported energy Improve and safeguard security of energy supply

6 Neste globally Production: Porvoo Naantali Rotterdam Singapore Bahrain (joint venture, Neste's share 45%) Headquarters: Espoo, Finland Sales and marketing: Espoo Stockholm Tallinn Riga Vilnius St. Petersburg Geneva Beringen Houston Toronto Singapore

7 Our renewable products Neste Renewable Fuels Neste Renewable Chemicals Neste Renewable Diesel Neste Renewable Gasoline Neste Renewable Propane Neste Renewable Jet Fuel Neste Renewable Isoalkane Neste Renewable Naphta Neste Renewable Propane

8 Our Raw Materials

9 Broad range of renewable raw materials Animal fat from food industry waste Fish fat from fish processing waste Vegetable oil processing waste and residues (e.g. PFAD, PES, SBEO) Used cooking oil Technical corn oil Crude palm oil Rapeseed oil Soybean oil Camelina oil Jatropha oil Neste uses bio-based ethanol from the global market as a bio-component in 95 E10 and 98 E5 gasolines. The company also uses tall oil pitch at its refinery in Naantali, Finland.

10 Waste and residues form nearly 80% of our renewable raw material inputs RENEWABLE RAW MATERIAL MIX 22% 78% Waste and residues (e.g. waste and residue fats from food processing, technical corn oil) Vegetable Oils (100% Certified CPO, Rapeseed Oils) In 2015, we achieved capability to use solely waste and residues as raw materials in our processing.

11 Huge increase in waste and residue usage Tons 2,400,000 2,200,000 2,000,000 1,800,000 1,600,000 1,400,000 1,200,000 1,000, , , , ,

12 Our Sustainability Commitment

13 All renewable raw materials sustainably produced All of the renewable raw materials used by Neste are traced back to the plantations or production plants Renewable raw materials are sustainably produced and that production has not infringed human rights or endangered rainforests or carbon-rich areas Our Raw Materials comply with Neste Code of Conduct, Sustainability Policies and Principles, and Market requirements TRACEABLE SUSTAINABLE COMPLIANCE

14 Neste Sustainability Compliance Sustainability Policy Code of Conduct Multistakeholder initiatives National and International Regulations Market (mandate) Based Requirement No-Deforestation Guideline eg: ILO eg: RFS US EPA, ISCC ILO = International Labour Organization RFS US EPA = Renewable Fuel Standard as issued by United States Environmental Protection Agency ISCC = International Sustainability and Carbon Certification System (Germany)

15 Due Diligence System

16 The journey towards digitalization Launch of the open supply chain digitalization challenge global sustainability hackathon in Helsinki and Singapore Demo version of the system and stakeholder engagement Supplier Sustainability Portal in use Slush 2016 May 2017 Late 2017 By end of 2018

17 Challenge of W&R Sourcing in China

18 Supply chain compliance with latest certification requirements ISCC Actual GHG Commitment from stakeholders on maintaining high standards Data & Traceability Beyond certification Neste sustainability expectation Sustainability

19 Market Environment Enhancement & harmonization of policies across provinces supporting energy use, collection and traceability Market transparency Visibility on internal energy policies and other demand for W&R feedstock

20 Increase maturity of Waste & residues collector to access international market Beyond UCO, availability and collection of other waste & residues feedstock

21 Thank you