Metsä Board Sustainability Report 2022

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Roadmap for mitigating climate change Our plan for transitioning to entirely fossil free production supports the goal of limiting climate change to no more than 1.5 °C above the pre-industrial era. It also helps adapt our operations to a low-carbon future. Our roadmap comprises mill-specific investments and measures that enable us to replace the fossil fuels used by our production units and power plants with renewable fuels and non-fossil electricity. We will also switch to renewable or fossil free alternatives in terms of purchased energy. We will also continue to improve the efficiency of our energy and water use. Water use makes a difference, given that the use of process water and wastewater treatment consume energy and thereby generate carbon dioxide emissions. The first phase of the Husum pulp mill’s renewal, comprising a new recovery boiler and turbine, was completed at the end of 2022. This will increase the mill’s production of renewable energy and raise the electricity self-sufficiency of the Husum integrated mill. In addition, the use of heavy fuel oil as a support fuel decreased, and

the necessary backup fuels will be replaced with renewable alterna- tives by 2030. The energy source used in the recovery boiler is the wood-based black liquor generated alongside pulp production. In 2022, it was decided to invest in a turbine and generator for the Kyro mill’s biopower plant. Thanks to the improved efficiency of the new turbine, the share of electricity produced by the biopower plant will increase from around 30% to around 50% of the mill’s total electricity use. The investment is scheduled to be completed by the end of 2024. Energy and water efficiency will improve thanks to the 2022 investment in a lamella clarifier for chemically treating water used as process water at the Kyro mill, as well as the introduction of a heat exchanger for cooling the debarking department, and the utilisation of waste heat at the Simpele mill. These measures will reduce raw water intake and water heating needs, thereby reducing the use of water and energy.

Roadmap to fossil free mills by the end of 2030

Key measures, according to plan, for reducing fossil-based carbon dioxide emissions to zero. Some of the projects still lack a final investment decision and the times shown are indicative. The purchasing of power and heat will shift to fossil free energy sources. See also our interactive roadmaps on our sustainability website at https://metsaboard.impact.page/roadmap/Home.

100%

TAKO In steam production, natural gas is replaced by, e.g. electricity

Target: 100%

JOUTSENO Natural gas is replaced by biogas or electricity

SIMPELE Peat is replaced by renewable energy

HUSUM, KASKINEN, KYRO, SIMPELE The power plant’s backup fuels will be replaced with renewable fuels

KASKINEN Process fuels in chemicals recovery will be replaced with renewable fuels

90%

KYRO Peat is replaced by renewable energy

KYRO The power plant’s new turbine and generator

HUSUM, KEMI, KYRO, TAKO and SIMPELE Liquefied petroleum gas (LPG) or natural gas in the coating drying will be replaced e.g. with biogas or electricity

Starting point: 82%

RENEWAL OF THE HUSUM PULP MILL Phase 1: New recovery boiler and turbine

RENEWAL OF THE HUSUM PULP MILL Phase 2: New fibre line

80%

2018

2022

2030

Share of fossil free energy out of total energy. When the share is 100%, Metsä Board’s Scope 1 and 2 emissions are zero.

Estimated time frame for the project

A darker shade indicates measures already taken

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