PURSUE AN AGGRESSIVE
CLIMATE STRATEGY
ENGIE has an ambitious climate plan as part of its strategy to accelerate the transition to Net Zero Carbon.
It should result in the reduction of its greenhouse gas emissions across all scopes, by following
a trajectory in line with the Paris Agreement and by developing renewable capacities.
ENGIE has set itself the goal of achieving
Zero Net Carbon Emissions by 2045
across its three scopes. For this,
the Group will follow a decarbonization
trajectory compatible with a warming
limit well-below 2°C, certified by SBTi,
between now and 2030, supported
by various decarbonization targets.
Several levers will be used to achieve
these targets: a total coal phase-out,
accelerated development of
the renewable electricity fleet,
battery storage and full conversion
of networks to renewable gas.
ACHIEVING NET ZERO EMISSIONS
BY 2045
With its Net Zero Emissions ambition,
the Group is focusing between now and
2045 on reducing its greenhouse gas
emissions and offsetting the residual
emissions, which should by then be as
low as possible.
This is an ambitious strategy because:
• it covers scopes 1, 2 and 3 defined
by the GHG Protocol, i.e. the direct
and indirect emissions produced by
the company, its subsidiaries and
its value chain: suppliers, customers
and companies in which ENGIE has
a minority interest;
• the target year of 2045 is an ambitious
deadline for a company with a strong
gas DNA. While pure electricity
companies are encouraged to set NZE
targets from now to 2040 companies
that still hold fossil assets rarely
commit to targets before 2050
By targeting 2045 ENGIE is confirming
its desire to act as quickly as possible
for clean safe and affordable energy
Beyond this ambition ENGIE is
contributing to a reduction in its
customers emissions with a target of
45MtCO
2
eq of avoided emissions
targeted each year from 2030 without
reducing the Groups carbon footprint
COMMITTED TO A WELLBELOW 2C
TRAJECTORY
Among the many objectives for
implementing this trajectory
two objectives correspond to the
Group’s main GHG emissions items –
energy production and gas sales:
• Energy production: not to exceed
43 Mt CO
2
eq. between now and 2030
(compared with 106 in 2017 and 60 in
2022) on its scopes 1 and 3, with the
energy produced including electricity,
heating and cooling from centralized
units, at customer sites or on urban
networks.
• Gas sales to end customers:
not to exceed 52 Mt CO
2
eq. between
now and 2030 (compared with 79
in 2017 and 61 in 2022).
To comply with the Paris Agreement,
the Group asked the SBTi initiative
to certify the compatibility of its
trajectory, which is no longer only
for warming limited to +2°C
(obtained
in 2020) but well below +2°C.
This certification was obtained in
February 2023. This required the Group
to set three additional targets to be met
by 2030, namely:
• the carbon intensity for energy
production (Scope 1) and energy
consumption (Scope 2) must be lower
than 110 g CO
2
eq. per kWh,
• the carbon intensity of energy
sales produced (Scopes 1 and 3)
and purchased (Scope 3) must be
lower than 153 g CO
2
eq. per kWh,
• the other GHG emissions, including
scope 3 from procurement capital
goods and the upstream of purchased
fuels and electricity scopes 31 32 33
in Mt CO
2
eq should be less than
85 Mt CO
2
eq
At this stage ENGIE has chosen not
to follow a trajectory compatible
with warming limited to 15C
The target for the reduction in the
carbon intensity of the Groups energy
production is currently 66 for the
period 20172030 This goes beyond
the strict certification requirement of
wellbelow 2C 55 It should be 78
to comply with 15
o
C A reduction on
this scale could not be achieved without
a significant sale of thermal assets
the closure of which would jeopardize
the security of the electrical system
to which they are connected.
They will therefore continue to emit GHG.
ENGIE considers it more virtuous to
retain these assets while committing
to their decarbonization. Several
technologies make this possible
(biomethane, carbon capture and
– depending on technological
developments – hydrogen) and
their regulatory framework is in the
process of evolving (particularly in
the European Union) to enable the
associated investments to be triggered.
However, it will take about 20 years
to fully industrialize these technologies
and achieve decarbonization by
2040-2045.
SEVERAL DRIVERS FOR
THE DECARBONIZATION PLAN
Coal phase-out
Having abandoned all new coal projects
in 2015, the Group is now targeting
a full exit from coal in 2025 for
continental Europe and 2027 for
the rest of the world.
At end-2022, coal represented less than
3% of the Group’s centralized electricity
production capacity. To optimize the
climate impact of this exit, the Group
has chosen to first consider closure,
then conversion and, as a last resort,
disposal to other carefully selected
players
Accelerating development of the
renewable electricity production fleet
ENGIE is strongly committed to
the development of renewable energy
to produce electricity The Group has set
a target of holding 58 of renewable
electricity capacity by 2030 compared
to 38 in 2022
32 - OUR IMPACT