International. By 2030, Danfoss announced the start of a plan to become CO2 neutral across the company's global operations.
The company initiates additional activities to further reduce energy consumption and transition energy demand across all operations to renewables. In addition, it has pledged to change the car fleet to be fully electric by 2030.
Additionally, Danfoss joined the United Nations Global Compact campaign on "Business Ambition for 1.5°C - Our Only Future" and said it is committed to setting science-based targets.
"Focusing on energy efficiency, sector coupling and electrification are the key steps for a sustainable future. This is the core of our business and the solutions we provide to our customers. Decarbonizing our business, by using surplus energy from our process heat in production and data centers, are natural steps. Driving electrification and integrating renewables is how we take climate action and achieve our goals. We are on track and will continue to move forward to show that green growth is possible," says Kim Fausing, President and CEO of Danfoss Group.
Danfoss is now working on detailed plans on how to achieve the targets, including how to balance the potential impact of CO2, business terms and long-term factory footprint considerations. The overall approach is "energy efficiency first" which also supports a large proportion of renewables. Less green energy needed means less investment is needed for grid extension, energy storage, backup capabilities and energy imports. Finally, electrification, driven by renewable energy, is an enablement tool that will allow Danfoss to decarbonise the business.
"Sustainability is good business for our customers, for the planet and for people. As a leading company, we demonstrate that it is possible to meet ambitious climate targets, both by decarbonizing our own business and by providing the solutions needed to decouple economic growth from energy consumption, reducing the energy needed in the first place," said Kim Fausing.
In 2016, Danfoss joined the EP100 initiative that aims to double the company's energy productivity by 2030 from 2007 levels; and today, Danfoss says it has already improved its energy productivity by 80%. Now, additional activities are initiated to further reduce energy consumption and ensure that all Danfoss operations move to renewable energy. In December 2019, Danfoss signed up to the RE100 and EV100 initiatives. In addition, the company wants to transform its own fleet of cars to be electric when the infrastructure is available and no later than 2030.
In 2019, Danfoss was the first global technology company to join The Climate Group's three business action initiatives, and this commitment will further ensure systematic monitoring of the company's climate goals for energy productivity, renewable electricity and electric vehicles.
Helen Clarkson, Chief Executive of The Climate Group, said: "Global companies have an important role to play in accelerating the energy transition. By joining EP100 and putting smart energy use at the heart of its business strategy, Danfoss is already leading by example. We are excited that Danfoss will now also join EV100 and RE100, making them one of many companies hoping to make all three commitments, demonstrating that smarter energy and transportation go hand in hand."
