With an eye on net-zero emissions, BASF is setting itself ambitious goals on its journey to climate neutrality, as the company is targeting net zero emissions by 2050 while raising its medium-term 2030 target for reductions in greenhouse gas emissions.
Overall, BASF plans to invest up to €1 billion by 2025 to reach its new climate target and a further €2 billion to €3 billion by 2030.
Based on the most recent progress in developing low-emission and CO2-free technologies, BASF now wants to reduce its greenhouse gas emissions worldwide by 25% compared with 2018, despite targeted growth and the construction of a large Verbund site in South China.
Excluding the effects of the planned growth, this means cutting CO2 emissions in half in the current business by the end of this decade.
In 2018, BASF Group’s worldwide emissions amounted to 21.9 million metric tons of CO2 equivalents. In 1990, this figure was roughly twice as high. The new 2030 emissions goal represents a reduction of approximately 60% compared to 1990 levels, which exceeds the European Union’s target of minus 55%.
“Climate change is the greatest challenge of the 21st century. In response, we must adapt our processes and our product portfolio. That is why BASF will increase its use of renewable energies. And we will accelerate the development and deployment of new CO2-free processes for the production of chemicals,” said Dr. Martin Brudermüller, chairman of the Board of Executive Directors of BASF SE.
“This will require investments for the development and construction of new production plants. A precondition for the transformation of chemical production is the reliable availability of large quantities of renewable electricity at competitive prices. At the moment, that is not the case in Germany. BASF, therefore, aims to participate in investments in renewable energy generation facilities to meet its own demand,” added Brudermüller.
“We are convinced that ultimately all players involved will work together to make this once-in-a-century transformation economically successful. This also includes consumers accepting higher prices for CO2-free products throughout the value chain to offset higher operating costs and additional investments. To achieve this, we need new cooperation between industry and policymakers that leads to positive, outcome-oriented regulations and preserves our international competitiveness,” said Brudermüller.
