São Paulo, November 4, 2020 – Klabin, Brazil’s largest producer and exporter of packaging paper, has become a “TCFD Supporter,” effectively confirming its engagement in actions that highlight transparency, responsibility to sustainability and orienting businesses towards climate change.
The Task Force on Climate-Related Financial Disclosures (TCFD) is a set of recommendations prepared by the Financial Stability Board (FSB) for companies to incorporate into their strategies and in their financial reporting those risks and opportunities related to the climate.
Klabin believes that supporting the TCFD and improving adoption of its recommendations will help it improve its transparency and communication with stakeholders, especially investors. The Company adopts measures to identify and mitigate climate risks, as well as to explore the opportunities. The Forestry Research, Development & Innovation team, for instance, invests in biotechnology for developing and testing pine and eucalyptus clones more resistant to climate change.
On the opportunities side, the valuing of renewable energy is an important recognition of the company’s investments, with the Puma Unit supplying to Brazil’s power grid its sizable surplus generation of renewable energy. The Company also monetizes this clean energy by generating and trading renewable energy certificates, namely the International Renewable Energy Certificates (I-RECs).
“Klabin is a renewable company committed to sustainable development. We are driving the low carbon economy and reinforcing our permanent concern with climate change,” said Júlio Nogueira, Klabin’s Sustainability and Environment Manager.
Reducing carbon emissions
Klabin also works to reduce its carbon emissions and is the first Brazilian company and the first company in the pulp and paper industry in the Americas to commit to setting emission reduction targets that are based on science. This means that the company’s efforts to reduce its carbon emissions are consistent with the science to limit the global temperature increase to a maximum of 1.5ºC.
The company also became a pioneer in Brazil by joining the global UN campaign “Business Ambition for 1.5º C,” which encourages business leaders to commit to science-based climate initiatives. Since 2019, Klabin has been developing targets using the methodology of the Science Based Targets Initiative (SBTi); and, by year-end will submit these targets for approval to the SBT. The company is currently studying a pipeline of low carbon technologies that will allow its positioning as an important player in the green economy.
Over the last 17 years, Klabin has reduced by 60% its specific emissions (kg/CO2 equivalent per ton of product) to achieve a positive emissions balance. In other words, the company captures more CO2 from the air through its forests than the amount emitted by its industrial operations, resulting in a positive balance of 4.7 million tons of CO2eq.