Sime Darby Plantation Sets 2050 Net-Zero Emissions Target

Sime Darby Plantation Bhd. said Thursday that it aims to achieve net-zero emissions by 2050.

The palm-oil producer said it is targeting the elimination of all emissions from operations and energy purchased, known as Scope 1 and Scope 2 emissions, respectively, as well as offsetting all unabated Scope 3 emissions by carbon removals or offsets. Scope 3 emissions covers suppliers and the use of a company's products.

Sime Darby Plantation plans to accelerate its renewables program and have more than 40 biogas plants by 2030, which will significantly reduce the amount of emissions from mill effluent, the plantation company said.

Further, the company also said it will enhance engagement with suppliers and undertake land use transformation, such as reforestation of nonproductive agricultural land.

"This is a landmark moment for the global palm oil industry," said Group Managing Director Mohamad Helmy Othman Basha.

Sime Darby Plantation said its net-zero strategy is in line with guidance set by Science Based Targets Initiative, a partnership including the United Nations Global Compact that promotes best practices in emissions-reduction targets. The company in November submitted its 2030 and 2050 targets to SBTi for validation.

BUSINESS 247