Our GHG emissions are reported in terms of Scope 1, 2 and 3, as defined in the GHG Protocol:
Scope 1 are direct GHG emissions as a result of fuel combustion, process and fugitive emissions;
Scope 2 are indirect GHG emissions from purchased electricity; and
Scope 3 are indirect GHG emissions of third party service providers (eg, transporters of raw
materials and other Illovo production inputs).
The group’s primary source of energy is from the use of bagasse, wood/woodchips and biomass which
substantially decreases Scope 1 emissions at Illovo’s operations in comparison to the use of fossil fuel
sources. By 2017/18, the South African operations aim to reduce its Scope 1 emissions from coal
combustion by 25% from the 2010/11 base line of 109 171 tCO
2
e (tons of carbon dioxide equivalents). In
an effort to reduce overall coal consumption and improve energy efficiencies within business units, a
broad-scale Performance Optimisation Plan (POP) has been implemented at an operational level.
Together with the planned increased substitution of coal with renewable sources of energy, such as
bagasse, biomass and woodchips, we anticipate that there will still be a substantial reduction going
forward in the consumption of coal and purchased electricity which is expected to reduce Scope 1 and 2
emissions.
As previously reported, Illovo set a group Scope 1 and Scope 2 GHG emissions reduction target (energy
only) of 10.7% in absolute terms by 2020/21, relative to the 2010/11 base year figure of 478 681 tCO
2
e.
Based on current measurement, Illovo has already exceeded this target, resulting in a 24.6% reduction
relative to the base year figure.
Illovo has a further risk tolerance target of 20% reduction for Scope 1 energy consumption emissions per
ton of sugar produced relative to base year 2010/11 emission levels by 2018. This is equivalent to a
sugar production intensity of 0.113 tCO
2
e per ton of sugar produced. Illovo achieved 0.137 tCO
2
e energy
consumption emissions per ton of sugar produced in the reporting period.
