The JSW Group has been carrying out (since 2017) integrated estimation of the carbon footprint of the organization and two key products – coal and coke, based on the GHG Protocol standard using an implemented tool supporting the calculations.
The calculations take into account emissions of the following greenhouse gases: carbon dioxide, methane and hydrofluorocarbons.
The calculations were carried out in accordance with the GHG Protocol Corporate Accounting and Reporting Standard REVISED EDITION, based on the emission intensity indicators specific to energy suppliers (market based) and the GWP (global warming potential) greenhouse effect creation indicators published in IPCC Fifth Report from 2014 (AR5, The Fifth Assessment Report of the IPCC).
The scope of reported emissions (operational boundaries) includes scope 1 (scope 1, direct emissions) and scope 2 (scope 2, indirect emissions resulting from the generation of energy purchased by Group entities). Scope 2 emissions for all significant energy types were for the first time determined based on energy supplier-specific (market based) metrics.
Scope 1 included direct emissions from sources located in all Group companies, comprising emissions:
- from burning of fuel in stationary sources
- emissions from technological processes, including:
- emissions from coking,
- emissions related to ventilation,
- emissions from creating cool air,
- emissions from other processes (e.g. welding),
- from burning of fuel in combustion engines.
Indirect emissions from scope 2 comprise emissions associated with generation of:
- electricity,
- heating,
- cooling,
- compressed air,
purchased and consumed by Group companies.
No biogenic emissions were recorded in 2021.
The JSW Management Board decided to publish information on the organization’s carbon footprint. The carbon footprint of coal and coke products calculated in scopes 1, 2 and 3 upstream will be made available on the express request of the Group’s business partners for such products.
Due to the use of market-based rates for purchased energy for the first time, the base year 2017 was recalculated using the new rates. Scope 2 for the base year changed from 1.043 million Mg CO2e to 0.998 million Mg CO2e, and thus the value of the total carbon footprint for 2017 decreased from 8.14 million Mg CO2e to 8.10 million Mg CO2e.
Base year – 2017
Boundaries of the organization – approach to operational control – 100% of emissions from all Group companies
Operational boundaries – direct and indirect emissions in scopes 1 and 2 Due to the fact that both coal and coke constitute intermediate products in further processes, scope 3 in the organization’s carbon footprint was omitted.
In accordance with the methodology recommended by the GHG Protocol, uncertainty of the organization’s carbon footprint was set at 8%
To assess the level of emission intensity, the ratio of greenhouse gas emissions per unit of product (the sum of coal and coke production) and per unit of revenue is used at the Group level
In 2021, the Group’s total emissions within scopes 1+2 dropped by 2.2% compared to the 2017 base year, with emissions from scope 1 increasing by 0.9% and emissions from scope 2 decreased by 24%.
Compared to 2020, there was a significant increase in direct emissions of both CO2 by 14.2% resulting from an increase in coke production and an increase in methane emissions by 10.1% resulting from an increase in methane emissions from the mined longwalls, which caused an increase in the methane content of the mines.