Calculating the carbon footprint of a UPM product can take anywhere from a couple of weeks to several months. The more complex the product, the more information is needed to understand all its environmental impacts.
These impacts are often indirect. For many companies, up to 70% of their carbon footprint is generated in the value chain. This is the case in many of UPM’s businesses, which means reducing the value chain emissions in collaboration with its suppliers and partners is key in reaching UPM’s target of net-zero emissions.
The “-30 by 30” program will do just that. It starts with the systematic collection of emissions data from over 20,000 suppliers that UPM purchases goods and services from. This is a major effort considering the variety of business activities and sizes represented by UPM’s partners globally.
Requesting and collecting carbon footprint data from its suppliers will give UPM a solid foundation for monitoring and reducing emissions in its value chain. The means for reducing emissions are many, and the low-hanging fruit include energy and operational efficiency as well as technology-related improvements.
UPM welcomes the challenge of reducing emissions in its value chain, says Kimmo Ståhlberg, Director of Supplier Quality and Sustainability, UPM, and “-30 by 30” program lead. “The multi-year ‘-30 by 30’ program is a joint effort among our businesses, sourcing, product development and our partner network. Together, we will find ways to first calculate and reduce our emissions and later, innovate for new sustainable alternatives for fossil-based materials and products”.
THE POSITIVE CLIMATE IMPACT OF “-30 BY 30”
The program decreases UPM’s negative impacts and increases its positive impacts on the climate. The company’s climate commitments guide UPM to continuously improve its own operations. It already shows in how UPM manages forests, innovates products, and reduces emissions.
Minimizing the use of fossil fuels is critical to mitigating climate change. As a significant producer and user of energy, UPM favours renewable and other carbon neutral energy sources and continuously works to cut energy consumption across operations. UPM will decrease fossil CO2 emissions from fuel usage and purchased electricity by 65% by 2030. Every UPM business is committed to contributing to this target.
In addition to reducing emissions in its own operations, UPM extends its climate commitments through the “-30 by 30” program across the value chain, across industries and businesses.
Antti Jääskeläinen, Executive Vice President of UPM Raflatac and sponsor of “-30 by 30”, welcomes the closer collaboration with the partner network. “The program is a direct continuation of UPM’s strategy and climate commitments. It will turn our emissions reduction targets into action. Not only that, but through its impact on the whole value chain, the program will future proof both UPM’s and our partners’ businesses”.
Ultimately, the collaboration will lead to a more positive impact on society and the planet as UPM encourages switching to more sustainable products and services.
CARBON PRICE ON THE HORIZON
During the initial phases of “-30 by 30”, UPM will focus on collecting emissions data and determining an accurate baseline for the products and services it purchases from its partners. In the long run, UPM aims to profoundly change the way decisions are made in procurement and product development.
For example, procurement decisions are still largely made based on quality, delivery time and monetary value. UPM wants to make climate a key consideration in selecting its suppliers and partners, as well as in developing its product portfolio.
As a result, this will encourage the company, its customers and its entire value network develop and choose more sustainable solutions. This will increase UPM positive climate impact permanently.