Strengthening Bio Pappel’s approach to climate action with science-based targets

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CHALLENGE

How can suppliers demonstrate their commitment to climate action?

The pressure to set voluntary corporate climate targets is gaining prominence across Mexico. Multinationals and suppliers realise they need to substantiate their climate commitments to enter new markets and instil confidence among corporate clients.

Among them is Bio Pappel, Mexico’s largest paper producer. The multinational company has long woven sustainability into its business strategy, investing in a circular economy model to prolong the life of paper. Although this has led to great strides in Bio Pappel’s climate action to date, Bio Pappel sought to adhere to a science-aligned reduction pathway and solidify its position as a climate leader. With comprehensive science-based targets, Bio Pappel hoped to show customers its continuous commitment to action.

Science-based targets (SBTs)

Targets are deemed science-based if they are in line with what the latest climate science says is needed to meet the goals of the Paris Agreement. Scope 1 and 2 targets must align to a 1.5C trajectory, while Scope 3 must align to a well-below 2C pathway.

Meanwhile, a Net Zero target builds on a science-based target to define the long-term actions required for a company to align to a 1.5C pathway.

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SOLUTION

A science-based target to prime future reductions

Given the carbon intensity of paper and pulp, Bio Pappel has been tracking its Scope 1 and 2 emissions under Mexican regulation since 2017. However, the company needs an all-encompassing picture of its footprint to set science-based reduction targets. It includes the indirect emissions across its value chain – from the manufacturing of raw materials to the recyclability of products at their end of life. Against this backdrop, we:

Carbon footprint

Completed a full carbon inventory of Bio Pappel’s operations in Mexico based on the Greenhouse Gas Protocol Standards. We revised existing data to ensure it is accurate enough to draw future comparisons and developed an approach to fill any data gaps with credible estimations. This created a baseline against which Bio Pappel can see whether the company successfully reduces its emissions over time.

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Uncovered the main contributor to Bio Pappel’s footprint: the waste disposal of products, which accounts for 24% of total emissions (Scope 3, Category 12). To build the case for more sustainable disposal, we calculated the carbon difference between recycling paper products versus decomposition or burning waste in landfills. Despite the intensity of energy and labour, repeated recycling prevents the release of methane and stops further emissions from land use from going into circulation.

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Explored various target-setting methods that meet the requirements of the Science Based Targets initiative. By outlining their nuances and benefits, Directors could establish attainable targets that align with the broader business strategy. Bio Pappel’s short-term targets are currently awaiting validation.

IMPACT

Igniting industry-wide change

Since its early days, preserving the natural environment has been a key pillar in Bio Pappel’s strategy. Recycled fibre has subsequently become the backbone of its operations. The dive into Bio Pappel’s current carbon impact has given the paper producer a better understanding of where its sustainability efforts have led the company to date. Combine these insights with science-based targets, and Bio Pappel has gained a firm footing to address its emission hotspots. It has enabled the company to:

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Prioritise its future carbon reduction initiatives and target its efforts where they will matter most.

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Strengthen its reputation. With credible sustainable action, Bio Pappel can position itself as an industry benchmark in Mexico and stand out in the market.

Circular process

Use the insights into recycling to push for industry-wide change. Building on its role in Mexico’s Pulp and Paper Chamber, Bio Pappel seeks to make the case for increasing Mexico’s recycling rate and industry development.