Global chemicals and energy company Sasol has updated its sustainability strategy with a commitment to achieve net zero emissions by 2050.
It has stepped up its 2030 Scope 1 and 2 emissions reduction target, from an initial 10% for its South African operations to 30% for its energy and chemicals business, compared with 2017 levels.
It is also introducing a Scope 3 emissions reduction goal for its energy business, compared to a 2019 baseline.
Beyond 2030, Sasol intends to transform its Southern Africa value chain by shifting its feedstock away from coal and towards more transition gas, followed by green hydrogen over the longer term.
It believes South Africa holds significant promise for renewables and low cost green hydrogen production for its own use and export opportunities.
Fleetwood Grobler, President and Chief Executive Officer of Sasol said: “Based on detailed assessments and modelling, our 2030 target can be delivered without divestments and offsets but through the direct decarbonisation of our existing assets.
“This will be done through a mix of energy and process efficiencies, investments in renewables and a shift to incremental natural gas as a transition feedstock for our Southern African value chain. These solutions are well known and mostly under our control and the investments required are cost-effective, preserving strong returns in our business, above the cost of capital.”