Oulun Energia is updating its climate targets—on a path to net zero by 2040
The energy sector plays a crucial role in combating climate change, as energy production accounts for a major share of global greenhouse gas emissions. Oulun Energia acknowledges its own responsibility in combating climate change. Climate change mitigation is one of the key focus areas in our operations and sustainability efforts. Our climate transition plan outlines the measures and objectives for mitigating climate change that will enable us to achieve our net zero target.
What does a net zero target mean?
In our new strategy, we have refined our emissions reduction target. Our strategic objective is to achieve the net zero target by 2040, in line with the Science Based Targets (SBT) framework. The net zero target replaces our previous goal of achieving carbon neutrality by 2030. Net zero is part of the Paris Agreement’s 1.5°C target, which aims to halt global warming. It applies not only to fossil CO₂ but also to other greenhouse gases with a significant impact on climate change.
In accordance with the net zero target, we will reduce our total emissions by at least 90% from the 2022 baseline by 2040. We will offset the residual emissions that cannot be reduced. This means that we are removing the same amount of greenhouse gases from the atmosphere as we have emitted, resulting in a net-zero impact on the climate. We regularly measure and monitor progress on our net zero target. Our interim target is to achieve a 75% reduction in total emissions by 2030, compared to the 2022 baseline.
What actions are being taken towards the net zero target?
For several years, we have been working systematically to reduce our climate impact. Our carbon footprint has decreased by 41% over the past three years, and in 2024, our operational emissions (Scope 1 and Scope 2) totalled 225,871 tonnes. Scope 3 emissions have not yet been calculated for 2024. The share of renewable energy in our energy production has steadily increased, reaching 77% in 2024. We have gradually phased out the use of peat, and this has been the most significant step in reducing our carbon footprint. In our energy production, we are replacing peat primarily with energy wood and SRF (Solid Recovered Fuel). We already produce district heat with surplus heat and electric boilers. We are aiming to increase the share of these in the future.
We also want to increase our carbon handprint in the future
In addition to the net zero target, we also want to increase our carbon handprint—the positive climate impacts of our products—which will reduce our customers’ carbon footprint.
In the coming years, the development of recovered material production using our subsidiary’s new products, recycled plastic pellets and biocomposites, will play the most significant role in increasing our carbon handprint. The industrial production of both products will begin in 2026 at the plastics recycling and biocomposite plants being built in Hyvinkää.
The products recycled at the plants will replace the use of virgin plastic, reducing the carbon footprint of plastic durable products and packaging for our customers. The plastic recycling plant, with a capacity of 50,000 tonnes, will increase Finland’s plastic recycling capacity by up to 50%. The plant will enable the recycling of hard-to-recycle plastic grades that would otherwise end up being incinerated.
You can read more about our climate change mitigation measures and achievements here.
