Climate protection and sustainability are key aspects of our company’s DNA
As a pioneer of the energy turnaround, we make climate protection and sustainability the focus of our activities. Our aim is to become fully climate neutral as a company by 2050 at the latest. To this end, we will forego using all fossil energies, such as coal and natural gas, make consistent efforts to further expand renewable energies, boost energy efficiency and supply our customers exclusively with green energies. At the same time, we are sustainably reducing our CO2 emissions and also supporting our customers in achieving their own climate neutrality.
We have aligned our strategy to the energy system of the future for years now and are gradually converting our electricity and heating energy generation to renewable energies. Here, we are working above all with wind and solar power, as well as with climate-neutral biomass and non-recyclable waste. Today, around half of our electricity already comes from renewable sources.
Alongside electricity, the heating energy turnaround also places a crucial role for us. After all, one third of all CO2 emissions in Germany result from the generation and use of heating energy. That is why we are building on Green Heat and also making our heating energy supply CO2-free – renewable, sustainable and secure. Today, around 30 percent of our district heating in Mannheim already comes from climate-neutral energies.
“Climate protection and sustainability are key aspects of our DNA. Our company will be climate neutral by 2050 at the latest.
As milestones along the way, we have set clear and transparent climate and sustainability targets enabling us to measure our performance at all times. Our customers and partners can rely on this.”
Dr. Georg Müller, Chief Executive Officer
Our course to climate neutrality
The steps we are taking to further expand renewable energies and create the energy system of the future also provide us with the basis for reducing greenhouse gases. Decarbonising the energy supply therefore plays a key role when it comes to protecting the climate.
That is why we have set ourselves specific climate protection and sustainability targets:
By 2026, we will...
- ... connect 10,000 megawatts of new renewable energies to the grid
By 2026, we aim to connect 10,000 megawatts of new renewable energies, mainly onshore wind turbines and photovoltaics systems, to the grid.
Climate protection and the conversion in energy generation are global challenges. That is why we will be developing and implementing these new plants in Germany and abroad.
10,000 megawatts roughly correspond to the installed capacity of ten large power plants.
- ... double our proprietary electricity generation from renewable energies
We are consistently investing in expanding renewable energies, with a current focus on onshore wind power and biomass. By 2026 at the latest, we aim to at least double our proprietary generation from renewables compared with the 2016 financial year. Between 2010 and 2016, we already increased the generation capacities of our renewable energies plants by 100 percent – from around 200 megawatts to 418 megawatts.
By setting this sustainability target, we are showing that we view the success achieved to date in terms of converting the German energy system as confirming our strategy and motivating us to maintain a high pace of investment in future as well. Further doubling our capacity within a decade to around 800 megawatts will increase our renewable generation capacity to that of a large power plant. This will enable us to supply a further 300,000 households with sustainably generated electricity.
The speed at which this additional capacity target can be met will also be influenced by developments on the markets and in the regulatory framework. The allocation of capacities to individual technologies also depends on the intensity of competition, the returns achievable on projects and ongoing developments in the German Renewable Energies Act (EEG). Based on this underlying framework we will, as in previous years, monitor the market closely and act on the opportunities available to us.
Wind power accounts for around half of our current portfolio, as do biomass and biogenic waste. We include plants at our fully consolidated companies at 100% and other plants in line with their respective level of shareholding.
- ... save up to one million tonnes of CO2 a year
As of today, our actions produce net CO2 savings of around 480,000 tonnes each year in the energy system, i.e. genuine climate-effective savings. By 2026, we will increase this to a net total of at least 1 million tonnes a year. In measuring this ambitious target, we only account for climate-effective CO2 savings in which we ourselves invest or bear the economic risk.
This figure particularly benefits from our proprietary renewable energies plants and from the energy efficiency projects we implement. It also accounts for the new highly efficient gas-fired power plant in Kiel, for example, where we are showing that investments in non-renewable technologies can also contribute to the energy turnaround.
Net CO2 savings of one million tonnes are comparable to the annual emissions of 300,000 cars each traveling 15,000 kilometres a year.
- ... make our administration activities climate neutral
The aim of making our business operations climate neutral by 2026 at the latest shows how serious we are about our decarbonisation strategy even in areas not relating to energy generation and products.
This reduction in CO2 will be achieved by drawing on a mix of renewable energies and energy efficiency measures. As it will not be possible to cover 100% of total energy consumption at the buildings with renewable energies by 2026, any remaining Scope 2 emissions will be offset on a temporary basis as appropriate.
This target covers all of MVV’s major locations, i.e. Mannheim, Kiel, Offenbach and Wörrstadt. The greenhouse gases resulting from our business operations amount to around 10,000 tonnes a year.
By 2030, we will...
- ... reduce the greenhouse emissions from our power plants and systems to below two million tonnes
As well as enhancing the energy efficiency of our own plants, we will gradually reduce the use of fossil fuels to generate electricity and heating energy and base our energy generation on renewable energy sources. This target covers both our proprietary energy generation plants and those plants in which we hold shareholdings.
This reduction to below 2 million tonnes will ensure that MVV reaches its share of the CO2 reduction targets stipulated for the energy industry.
- ... reduce emissions from our district heating by more than 40 percent
The German Climate Protection Act (KSG) has set very ambitious CO2 reduction targets for the building sector to meet by 2030. Our district heating supply already has a significantly smaller CO2 footprint than most decentralised heating energy sources.
Here, we plan to reduce emissions to below 120 g CO2 /kWh by 2030. This way, we will reduce heating energy-related emissions by more than 40 percent over the next ten years. Particularly in large built-up areas, this means that our district heating will remain one of the most reliable and environmentally-friendly sources of heating energy.
- ... reduce emissions at our customers and suppliers by around three percent a year
MVV’s energy products involve greenhouse gases – whether at our customers or at power plant operators. In our climate balance sheet, we report their emissions in the upstream and downstream sections of the value chain as indirect emissions.
By marketing ever greater volumes of green energy, we are ensuring that we achieve the required reduction in indirect emissions of around 3 percent a year on average.
We are not able to influence all sources of indirect emissions, such as the carbon footprint of the goods and services we purchase. In this respect, climate neutrality for our indirect emissions will crucially depend on whether and how quickly the Federal Government’s Climate Package, the EU’s Green Deal and climate protection efforts across all sectors take effect.
“As an energy expert for climate neutrality and an innovative partner, we provide our customers – private households, small and medium-sized businesses, large industrial players and municipal and local authorities – with the products and innovative services they need to implement their own energy turnarounds.
At the same time, we will invest around three billion euros in the energy turnaround and the energy system of the future in the years ahead as well.”
Dr. Georg Müller, Chief Executive Officer