Climate change

Our objective is to have a neutral carbon footprint by 2020. By lowering our own emissions, increasing recycling and helping our customers develop products that enable CO2 savings, we aim to make carbon neutrality a reality.

lightning storm

Lightweight and infinitely recyclable, aluminium is increasingly the material of choice to combine the demands for economic growth and the protection of the environment.

Currently, aluminium holds the fastest growing demand among metals in the world. The main reasons are its low weight and strength. Specifically, demand is driven by a transport sector that needs to improve fuel efficiency and reduce energy use through lighter cars, trains and trucks. Additionally, aluminium is key to zero-energy buildings, solar applications and packaging that preserves food and demands less energy to transport.

We intend to grow responsibly

Industry experts estimate that the world will need almost 35 percent more aluminium in 2020 than in 2014. Our ambition is to grow as a company to meet this customer demand. When doing so, our responsibility is to minimize our impact on the environment.

Our climate strategy is based on the following principle: We intend to save as much or more carbon emissions than we generate. If we are to increase production to meet increased demand, we need to put in place compensation measures to ensure carbon neutrality.

Our strategy relies on three pillars

We have activities along the entire value chain of aluminium: from bauxite mining, alumina refining, aluminium production and recycling to research and cooperation with customers to deliver the aluminium solutions they need to save energy and reach their carbon targets.

We have developed a coherent strategy for our business with measures in three key areas to ensure carbon neutrality:

• Production: we can lower emissions in our own production
• Recycling: we can increase our share of the recycling market
• Use phase: we can work closely with customers to deliver the aluminium and develop the solutions they need to achieve carbon savings

And we’re on track

To make sure we actively drive decisions that keep us on track for carbon neutrality, we factor in climate impacts into all strategic decisions for new investments or developments.

Since the launch of our strategy in 2013, we have made several decisions in line with our climate strategy:

• Increased production at Norwegian plants Søral and Sunndal from 2016 have taken our share of metal produced on clean hydropower to over 70%.
• In 2014, we increased our own production of hydropower by 6 percent, bringing this up to 10 TWh annually.
• A new automotive sheet line in Germany and the implementation of new casting technology in Norway enable us to meet the demands of the automotive industry.
• Our new recycling line for cans at the Neuss plant in Germany will more than double the plant’s annual recycling capacity from 50,000 tonnes to more than 100,000 tonnes.
• In 2014, we ensured support from Enova, a public enterprise which supports new energy and climate-related technology development, for our plans to pilot the world’s best aluminium technology at our plant in Karmøy, Norway in 2017.

For aluminium and Hydro there is a clear business case for becoming an even more sustainable business, and we are committed to pursue this. Bringing our emissions and the benefits of our metal in balance seems like a good start.

Updated: October 11, 2016