Carbon reduction targets aligned with 1.5°CØrsted's total carbon footprint is defined as all the direct and indirect emissions from our business. Our direct emissions come from our energy generation and company operations (scope 1). Our indirect emissions come from our energy consumption (scope 2), and from our supply chain and energy trading activities (scope 3).
Ørsted wants to be carbon neutral by 2025 in energy generation and company operations (scope 1 and 2) and commits to reduce indirect emissions by 50% in 2032 (scope 3).
Carbon-neutral in 2025
The most important levers that will get Ørsted to carbon neutrality in 2025 are a complete phase-out of coal by 2023 and to install 20GW of offshore wind, onshore wind and solar by 2025.
We’ve already reduced emissions by 86%, from 18 million tonnes in 2006 to 2 million tonnes in 2019. By continuing to phase out fossil fuels and building renewable energy, the company will reduce emissions by 98% by 2025.
To become 100% carbon-neutral, the company will continue to drive out the remaining emissions from its energy generation and operations by investing in innovation and offsetting any residual emissions through certified carbon removal projects.
Read more about how we get to carbon neutrality.
Carbon neutral by 2025
Energy generation and company operations (scope 1-2)
We also tackle indirect emissions outside of our immediate control. We have set a target to reduce all indirect emissions from our supply chain and energy trading by 50% between 2018 and 2032. This is an important step towards realising that our entire carbon footprint is carbon neutral by 2040, a decade faster than required by science to stop global warming at 1.5°C.
Halving indirect emission in 2032 and fully carbon neutral in 2040
Ørsted will engage its suppliers to reduce carbon emissions from the manufacture and installation of offshore wind farms, run on renewable energy, and set emissions reduction targets aligned with climate science.
Read more about how we decarbonise the supply chain.
50% carbon reduction in 2032
Supply chain and energy trading (scope 3)
We've defined our carbon reduction targets to align our full carbon footprint with what science requires from the energy sector to limit global warming to 1.5°C. The Science Based Targets initiative (SBTi) has preliminarily concluded that our targets align with climate science and indicated that our targets align with what the 1.5°C pathway requires from energy companies. The SBTi will officially announce this target classification during 2020, once it has released the 1.5°C-reduction pathway for energy companies.