We have a product stewardship framework and related capability building in place. The framework covers:
In 2021, we rolled out a global chemical management standard and implemented a global tool that allows efficient implementation of the standard, strict governance process and more proactive product compliance.
In line with the ISO 14001 requirements, a company-wide process for lifecycle management has been deployed. The process aims to identify potentially significant environmental impacts in the entire supply chain and considering all the stages of the lifecycle of our finished products and how to address them in an appropriate way.
At Bekaert, we closely monitor the EU REACH regulation to confirm compliance in a proactive way related both to the raw materials we are using and to our finished products. We are in contact with our suppliers to verify their REACH compliance in the supply process of raw materials. Furthermore, we identify substances of concern and start proactive phase-out programs. In case we identify important regional differences in hazard classification and exposure limits, we are committed to applying our own company-specific hazard classification and exposure limits which are mandatory if no stricter regulations apply.
GRI 403-7
Our ambition is to significantly reduce our combined scope 1 and Scope 2 CO₂ emissions by 2030, compared to 2019, in line with the science-based targets. We aim to reach net-zero emissions by 2050. One of the most important ways of reducing our CO₂ emissions is to improve the energy efficiency of our operations by reducing energy consumption. We install energy-efficient infrastructure and equipment in our new plants and plant extensions, in addition to upgrading our existing facilities.
Total energy consumption¹ = 5 134 GWh of which:
GRI 302-1
Energy Intensity Ratio¹:
GRI 302-3
Methodology used: the energy data are monitored in a central database.
Renewable Energy: 39% of the electricity needs came from renewable energy sources in 2021.
Energy consumption in GWh | 2019 | 2020 | 2021 including Brazil | 2021 excluding Brazil |
---|---|---|---|---|
Total energy consumption | 4 957 | 4 577 | 5 134 | 4 457 |
Electrical energy (incl. cooling) | 3 152 | 2 880 | 3 154 | 2 753 |
Thermal energy (steam and heat) | 329 | 286 | 257 | 257 |
Natural gas |
1 476 | 1 410 | 1 723 | 1 447 |
Data 2019-2020 relate to combined numbers, including the joint ventures in Brazil.
Data 2021 are disclosed for both the combined (including joint ventures in Brazil) and consolidated plants (excluding joint ventures).
Energy intensity ratio in KWh per ton | 2019 | 2020 | 2021 including Brazil | 2021 excluding Brazil |
---|---|---|---|---|
Electrical energy (incl. cooling) | 889 | 876 | 868 | 750 |
Thermal energy (steam and heat) | 93 | 87 | 71 | 70 |
Natural gas | 417 | 429 | 474 | 394 |
Energy intensity ratio: the energy (electricity and thermal) used per ton of end product produced.
Data 2019-2020 relate to combined numbers, including the joint ventures in Brazil.
Data 2021 are disclosed for both the combined (including joint ventures in Brazil) and consolidated plants (excluding joint ventures).
The energy intensity of 2021 increased by + 1% versus 2019 and by +1.5% versus 2020.
% of energy needs that came from renewable sources¹ | 2019 | 2020² | 2021 including Brazil |
---|---|---|---|
42 | 42 | 39 |
We aim for zero, as we believe this is the only way to take conscious and bold actions in reducing our carbon footprint.
In line with this, we have committed to join the Business Ambition for 1.5°C. Companies committed to the Business Ambition for 1.5°C receive independent validation of their targets from the Science Based Targets initiative (SBTi) and become part of the UN Climate Champions’ Race to Zero.
Scope 1 emissions are direct greenhouse emissions that are related to our operations.
GRI 305-1
Scope1 GHG emissions natural gas | 2019 | 2020 | 2021 including Brazil | 2021 excluding Brazil |
---|---|---|---|---|
GHG emissions natural gas (in ton CO₂) | 271 609 | 259 569 | 316 854 | 262 580 |
GHG intensity ratio natural gas (kg CO₂/ton) | 77 | 79 | 87 | 71 |
Data 2019-2020 relate to combined numbers, including the joint ventures in Brazil.
Data 2021 are disclosed for both the combined (including joint ventures in Brazil) and consolidated plants (excluding joint ventures).
GHG emission intensity for natural gas in 2021 increased by +10% versus 2020 and by +13% versus 2019.
GRI 305-5
Scope 2 emissions are indirect emissions, from purchased electricity, steam etc. that have been calculated based on energy consumption data and country specific kWh/MWh to CO₂ conversion factors as provided by the International Energy Agency (IEA).
GRI 305-2
GRI 305-2
GHG Intensity Ratio:
GRI 305-4
Scope 2 GHG emissions from purchased electricity and other types of energy |
2019 | 2020 | 2021 including Brazil | 2021 excluding Brazil |
---|---|---|---|---|
Electrical energy (including cooling) in ton CO₂ | 1 351 373 | 1 195 306 | 1 345 956 | 1 308 129 |
Thermal energy (Steam and heat) in ton CO₂ | 60 371 | 52 718 | 46 425 | 46 425 |
Data 2019-2020 relate to combined numbers, including the joint ventures in Brazil.
Data 2021 are disclosed for both the combined (including joint ventures in Brazil) and consolidated plants (excluding joint ventures).
Scope 2 GHG intensity ratio | 2019 | 2020 | 2021 including Brazil | 2021 excluding Brazil |
---|---|---|---|---|
Electrical energy (including cooling) in kg CO₂/ton | 381 | 363 | 370 | 356 |
Thermal energy (Steam and heat) in kg CO₂/ton | 17 | 16 | 13 | 13 |
Data 2021 are disclosed for both the combined (including joint ventures in Brazil) and consolidated plants (excluding joint ventures).
GHG emissions intensity for purchased electricity in 2021 increased by +2% compared to 2020 and reduced by -3% compared to 2019.
GHG emissions intensity for thermal energy in 2021 reduced by -19% compared to 2020 and by -24% compared to 2019.
GRI 305-5
Scope 3 emissions from transport are from Bekaert consolidated entities (excluding joint ventures)
GHG emissions intensity of outbound logistics:
In previous years we have reported GHG emissions from outbound logistics under Scope 1 (according to the GRI guidelines). However, to be aligned with our SBTi targets, GHG emissions from outbound logistics are now reported under Scope 3.
GHG emissions from outbound logistics:
GHG intensity ratio from outbound logistics:
GRI 305-3
Emissions of outbound logistics increased because of a strong demand rebound and agile supply chain management.
Scope 3 GHG emissions from outbound logistics in ton CO₂ | 2019 | 2020 | 2021 |
---|---|---|---|
Global sea freight | 18 578 | 22 603 | 31 137 |
Road transport for Rubber Reinforcement EMEA | 9 284 | 8 249 | 10 562 |
Air freight | 803 | 4 118 |
Scope 3 GHG intensity ratio from outbound logistics (in ton CO₂/ton product transported) |
2020 | 2021 |
---|---|---|
Global sea freight | 0.0550 | 0.0384 |
Road transport for Rubber Reinforcement EMEA | 0.0388 | 0.0716 |
Air freight | 5.1030 |
Disclosed since 2020, with the exception of air freight: since 2021
GRI 305-3, GRI 305-4
GHG emissions intensity of company cars, personnel bus services and air travel:
GHG emissions from company cars & buses (excluding JVs): 3 508 ton CO₂/year
GHG emissions from business travel (air): 1 000 ton CO₂ (without radiative forcing (RF))
GHG emissions intensity of company cars, personnel bus services and air travel |
2019 | 2020 | 2021 |
---|---|---|---|
GHG emissions from company cars & buses (excluding JVs) in ton CO₂/year | 3 692 |
3 606 | 3 508 |
GHG emissions from business travel (air) in ton CO₂ (without radiative forcing (RF)) | 2 740 |
1 700 | 1 000 |
GRI 305-3, GRI 305-4
Scope 3 emissions from purchased goods (in ton) | 2019 | 2020 | 2021 including Brazil |
2021 excluding Brazil |
---|---|---|---|---|
Scope 3 emissions from purchased wire rod | 5 856 000 | 5 490 000 | 6 059 000 |
4 753 000 |
Calculation method: Tons of wire rod purchased in the particular year multiplied by the world average emissions intensity of steel (1.83 ton CO₂/ton steel).
GRI305-3
We use water in our production processes, and we want to save every drop. We are taking a close look at our water consumption and are implementing programs to reduce our water usage, especially, but not exclusively, in water stressed areas. Our ambition is to reduce our freshwater intake in water stressed areas by -15% by 2030 compared to 2019.
After use, and reuse many times over, any water that cannot be further recycled is treated and cleaned before it leaves our premises.
All water data is combined data (consolidated entities + joint ventures)
GRI 303-1
Total water withdrawal was 8 975 megaliter (ML) of which 3 619 ML from areas with water stress.
Freshwater withdrawal by source:
All data is provided by the respective plants.
Water stress: in areas with water stress, the ratio of total annual water withdrawal to total available annual renewable water supply is high (40-80%) or extremely high (>80%)
1 megaliter (ML) = 1 000 000 liter
Water withdrawal (in ML) | 2019¹ | 2020¹ | 2021 |
---|---|---|---|
Total water withdrawal | 9 237 | 8 088 | 8 975 |
from areas with water stress | 3 626 | 3 107 | 3 619 |
Freshwater withdrawal by source (in ML) | 2019¹ | 2020¹ | 2021 |
---|---|---|---|
Surface water | 761 | 587 | 626 |
from areas with water stress | 559 | 530 | 605 |
Groundwater | 2 355 | 2 201 |
2 571 |
from areas with water stress | 754 |
640 |
813 |
Total third-party water | 6 121 |
5 300 |
5 778 |
from areas with water stress | 2 312 |
1 937 |
2 201 |
Third-party water by source (in ML) | 2019¹ | 2020¹ | 2021 |
---|---|---|---|
Third-party water from surface water | 5 581 | 4 783 | 4 970 |
from areas with water stress | 2 055 | 1 717 | 1 846 |
Third-party water from ground water | 540 | 517 | 808 |
from areas with water stress | 257 |
220 |
355 |
¹ 2019 and 2020 data have been restated according to updated definition of water-stressed areas
GRI 303-3
Total water discharge is 4 164 ML in 2021 of which 2 032 ML to areas with water stress.
Water discharge by destination:
Water discharge to areas with water stress was 2 032 ML of which 557 ML freshwater and 1 475 ML other water.
Our water discharge is filtered at our own premises.
All data is provided by the respective plants.
Water stress: in areas with water stress, the ratio of total annual water withdrawal to total available annual renewable water supply is high (40-80%) or extremely high (>80%)
1 megaliter (ML) = 1 000 000 liter
Water discharge (in ML) | 2019¹ | 2020¹ | 2021 |
---|---|---|---|
Total water discharge | 4 315 | 3 712 | 4 164 |
to areas with water stress
|
1 727 | 1 486 | 2 032 |
Water discharge by destination (in ML) | 2019¹ | 2020¹ | 2021 |
---|---|---|---|
Surface water | 1 595 | 1 511 | 1 466 |
Freshwater | 599 | 462 | 502 |
Other water | 996 |
1 049 |
964 |
Groundwater | 0 | 0 | 0 |
Sea water | 86 | 91 | 100 |
Freshwater | |||
Other water | 86 |
91 |
100 |
Third-party water | 2 633 |
2 109 |
2 598 |
Freshwater | 295 |
221 |
94 |
Other water | 2 339 |
1 889 |
2 504 |
Water discharge to areas with water stress | 1 727 |
1 486 |
2 032 |
Freshwater | 668 |
527 |
557 |
Other water | 1 059 |
959 |
1 475 |
¹ 2019 and 2020 data have been restated according to updated definition of water stressed areas
GRI 303-4, GRI 303-2
Water consumption = total water withdrawal - total water discharge.
Total water consumption was 4 811 ML of which 1 587 ML from areas with water stress
All data is provided by the respective plants.
Water stress: in areas with water stress, the ratio of total annual water withdrawal to total available annual renewable water supply is high (40-80%) or extremely high (>80%)
1 megaliter (ML) = 1 000 000 liter
Water consumption (in ML) | 2019¹ | 2020¹ | 2021 |
---|---|---|---|
Total water consumption | 4 922 | 4 376 | 4 811 |
from areas with water stress | 1 899 | 1 621 | 1 587 |
¹ 2019 and 2020 data have been restated according to updated definition of water-stressed areas
GRI 303-5
Our ambition is to reduce our waste volume by 25% by 2030 compared to 2019. All steel scrap is returned to the steel mills for recycling.
Waste data is combined data (consolidated entities + joint ventures).
Steel scrap in ton | 2019 | 2020 | 2021 |
---|---|---|---|
Preparation for re-use | 0 | 0 | 0 |
Recycling | 117 879 | 101 727 | 107 760 |
Other recovery operations |
0 | 0 | 0 |
Steel scrap = steel wire scrap, end-of-life spools and machine spare parts, other steel-based scrap.
We turn ideas into meaningful sustainable solutions that reduce the environmental footprint of our customers and beyond, in end-markets.
Some examples hereof:
Tires have an impact on the emissions of cars. Steel cords are used to reinforce the tires and therefore, can play a role in reducing the environmental footprint of cars. Bekaert’s super-tensile and ultra-tensile steel cord ranges for tire reinforcement allow tire makers to produce tires with a lower weight, thinner plies, and lower rolling resistance, making the tires more sustainable. In addition, this technology improves the battery life and reduces noise for electric vehicles.
Off-shore wind power production is becoming more and more relevant in the generation of renewable power. The foundation of wind turbines at the seafloor is mission critical for this renewable energy source. Our mooring ropes keep the floating wind turbines at work and eliminate the need for extensive foundations. Furthermore, offshore power generation is supported by our solutions for submarine power cables that transfer electricity from offshore wind farms to land.
Cement is a key factor in greenhouse gas emissions in the construction industry. To reduce the amount of cement needed and to strengthen cement against tactile forces, steel bars are most often used for enforcement. Bekaert’s alternative to steel bars, Dramix® steel fibers, help construction industry players use 50% less steel in weight, compared to traditional steel reinforcement solutions, reducing CO2 emissions between 20 and 50% per project.
Hydrogen is seen as a key lever in the future energy eco-system. Production of green hydrogen is an area with huge growth potential. All improvements of this process have significant impact on the future global energy strategy for climate neutrality. Bekaert's porous transport layer solutions increase performance and durability of electrochemical devices used in hydrogen production. Our solutions in hydrogen technology extends to wires used for hydrogen refilling station hoses. We are also pioneering in the decarbonization of heating with burners and heat exchangers for hydrogen-ready and energy-efficient gas boilers.
This section covers the key performance indicators and accompanying information required under Regulation EU 2020/852¹ and the related Delegated Acts² (the EU Taxonomy).
The EU Taxonomy aims to channel capital towards sustainable activities, with the end-goal of financing sustainable growth and achieving the EU objective of becoming climate neutral by 2050.
Reporting on our contribution to the environment through the EU Taxonomy is in line with Bekaert’s ambition to create sustainable value for all stakeholders and become an industry leader in sustainability.
The EU Taxonomy can be seen as a green dictionary: a classification system to define which activities are environmentally sustainable. To be considered as such, an activity needs to – among others – contribute substantially to one or more of six environmental objectives³ (via meeting technical screening criteria, i.e., certain performance thresholds and other requirements).
This is the first year that the EU Taxonomy applies, and its deployment will be progressive. For this first year, Bekaert must only report on its share of eligible and non-eligible activities and analyze its potential contribution only for the first two of the six environmental objectives: climate change mitigation and climate change adaptation⁴.
¹ Regulation EU 2020/852 of the European Parliament and of the Council, published in the Official Journal of the European Union on the 22.06.2020.
² The Climate Delegated Act (Commission Delegated Regulation (EU) 2021/2139 of 4 June 2021) and the Disclosure Delegated Act (Commission Delegated Regulation (EU) 2021/2178 of 6 July 2021).
³ Climate Change Mitigation, Climate Change Adaptation, Sustainable use and protection of water and marine resources, Transition to a circular economy, Pollution prevention and control, and Protection and restoration of biodiversity and ecosystems.
⁴ The criteria for the other four environmental objectives are expected to be officially approved at the end of 2022.
An ‘eligible economic activity’ is one that is described in the EU Taxonomy, regardless of whether it meets all the technical screening criteria laid out for that activity. Reporting on eligibility does not mean that the activity is environmentally sustainable according to the EU Taxonomy, it means that the activity has the potential to be environmentally sustainable if it complies with all the technical screening criteria. An activity that – among others – meets all the technical screening criteria would then be considered as EU Taxonomy aligned.
To evaluate our EU Taxonomy eligibility, we have mapped all products manufactured by the Bekaert subsidiaries, the applicable expenses incurred, and investments made, and matched them with the activities described in the EU Taxonomy.
To facilitate this exercise, the EU Taxonomy includes a reference to NACE codes (Revision 2) on each activity. However, such reference is only indicative and does not prevail over the specific definition provided in the text of the Climate Delegated Act. Therefore, we mapped the eligibility of our products and expenses firstly in relation to the descriptions in such Delegated Act, and only using NACE codes (Revision 2) and other reference classifications provided by the Sustainable Finance Platform⁵ as a further guide.
We assessed our eligibility by collaborating with and involving each of our four business units in performing the mapping exercise as referred-to above. We took into consideration each of the elements included in the activity description in the Climate Delegated Act, and when in doubt we referred to the technical screening criteria and the TEG Final Report – Technical Annex for further information on which products manufactured by Bekaert could be assessed as eligible or not.
Numerator
The numerator is comprised of the Bekaert 2021 consolidated sales that are related to the economic activities listed below (the numbers refer to the section in Annex I of the Climate Delegated Act that corresponds to such activity):
Numerator
The numerator is comprised of (a) capex related to taxonomy-eligible activities and (b) capex related to other Taxonomy-eligible economic activities (in both cases, we refer to capex invested during the fiscal year 2021), as described in Section 1.1.2.2 of Annex I of the Disclosure Delegated Act. The total EU Taxonomy-eligible capex is calculated from the following economic activities:
3.1 Manufacture of renewable energy technologies
3.2 Manufacture of equipment for the use of hydrogen
3.5 Manufacture of energy efficiency equipment for buildings
3.6 Manufacture of low carbon technologies
5.1 Construction, extension and operation of water collection, treatment and supply systems
5.2 Renewal of water collection treatment and supply systems
5.3 Construction, extension and operation of waste water collection and treatment
5.4 Renewal of waste water collection and treatment
7.2 Renovation of existing buildings
7.3 Installation, maintenance and repair of energy efficiency equipment
7.5 Installation, maintenance and repair of instruments and devices for measuring, regulation and controlling energy performance of buildings
7.6 Installation, maintenance and repair of renewable energy technologies
Activities 3.1, 3.2, 3.5, 7.3, 7.5 and 7.6 are considered as eligible to-be enabling activities, as referred to in Article 10(1)-point (i) of Regulation (EU) 2020/852. Activity 7.2 is considered as an eligible to-be transitional activity as referred to in Article 10(2)-point (i) of Regulation (EU) 2020/852.
In certain scenarios where invested equipment is used to manufacture both eligible and non-eligible products, we have applied an allocation rule based on the tonnage of eligible products manufactured, to calculate the eligible capex.
To avoid double counting, each business unit separately screened first their capex to identify the capex related to the purchase of output from Taxonomy-eligible economic activities (literal (b) from the referred Section 1.1.2.2). At a second stage, each business unit furthered screened the capex that was left out from the previous step to link the corresponding expenses to eligible products manufactured by Bekaert (literal (a) of Section 1.1.2.2 of Annex I of the Disclosure Delegated Act). Separately, the Group Finance department identified the capex related to other Taxonomy-eligible economic activities, which was not registered in the accounts of the business units.
Numerator
The concept of opex under the EU Taxonomy does not equal one line item in the Income Statement. The EU Taxonomy has a specified scope for operational expenses to be reported (described in the Denominator section below), therefore, we refer to this reduced concept as ‘applicable’ opex to clearly differentiate it from the Income Statement lines reported by Bekaert.
The numerator is comprised of (a) ‘applicable’ opex related to taxonomy-eligible activities and (b) ‘applicable’ opex related to other Taxonomy-eligible economic activities, as described in Section 1.1.2.2 of Annex I of the Disclosure Delegated Act. The total EU Taxonomy-eligible ‘applicable’ opex is mainly calculated from the following economic activities:
3.1 Manufacture of renewable energy technologies
3.2 Manufacture of equipment for the use of hydrogen
3.5 Manufacture of energy efficiency equipment for buildings
3.6 Manufacture of low carbon technologies
6.5 Transport by motorbikes, passenger cars and light commercial vehicles
9.1 Close to market research, development and innovation
10.1 Non-life insurance: underwriting of climate-related perils
All the activities above are considered as eligible to-be enabling activities, as referred to in Article 10(1)-point (i) of Regulation (EU) 2020/852, except for activity 6.5 Transport by motorbikes, passenger cars and light commercial vehicles.
In certain scenarios where it is impossible to allocate opex costs to individual product lines, we have applied an allocation rule based on the tonnage of eligible products manufactured, to calculate the eligible R&D expenses, building renovation measures, and maintenance and repair expenses.
To avoid double counting, each business unit extracted separately the opex meeting the definition of the EU Taxonomy related to the eligible products. Separately, our central purchasing department identified the ‘applicable’ opex related to other Taxonomy-eligible economic activities, which was not registered in the accounts of the business units.
Currently Bekaert is spending 45% of its total R&D costs to eligible activities. However, in the following years, we intend to allocate most of our R&D to eligible products segments and work on improving our current portfolio of eligible products.