Reducing the intensity of GHG emissions from our own farming and processing operations
While the goal of COP21 is to deliver an action plan to limit global temperature rise to 2°C by 2100, temperatures may well remain elevated for centuries due to the effect of greenhouse gases already present in the atmosphere. The effects of climate change on crop and food production are already being seen in several regions of the world and, as shown by the Center for Global Development, there are more negative impacts than positive.
One of our challenges is to manage this uncertainty and risk, hence the absolute need to measure, understand and reduce our impact now. In the spirit of transparency, Olam has been reporting its GHG emissions, strategies and actions to CDP for the past 5 years and encourages more businesses to do so.
By 2020 our target was to achieve a 10% reduction in GHG intensity (MTCO2e/MT) in:
- Olam-managed plantations, concessions and farms
- Tier One operations in Olam processing and manufacturing
- Marine vessels
We are proud to state that we have achieved our GHG reduction target 5 years early and that we reduced GHG emissions (tonnes CO2e/tonne product) in Olam-managed plantations, concessions and farms by 52% against our 2013 baseline and by 28% against our 2013 baseline in processing. We have also incorporated a GHG vetting system into our selection of marine vessels. In 2016 we will determine a revised GHG reduction target for 2020.
Challenges that we have had to address include:
- Continuing to be at the forefront and evolve our approach to sustainable land development and management
- Improving our understanding and measurement of carbon sequestration
- Implementing sustainable farming practices e.g. precision farming
- Reducing our reliance on fossil fuels e.g. the consumption of diesel/fuel oil due to the remoteness of many Olam operations and lack of energy infrastructure
- Increasing knowledge sharing across Olam operations to speed up effective implementation of improvement activities.
Image: San Pedro port, Côte d’Ivoire
Next section: Climate Change examples of business achievements in 2015