Taking Action on Climate Challenges

Certain that we are facing a climate emergency and fully aware of the importance of the role that we play, our Group has set itself the goal of contributing to a transition to a carbon-neutral world by considering the control of its greenhouse gas emissions as a major challenge. Since 2015, we have been firmly committed to aligning ourselves with the Paris Agreement1. We are drastically reducing emissions related to our industrial activities by aligning ourselves with science-based GHG emission reduction targets that are compatible with a 1.5°C or well-below 2°C trajectory, according to assessments.

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Infographic illustrating a sustainable energy business model with targets and core activities.

Overview of a utility’s strategic roadmap to 2030, combining quantified energy targets with an integrated model structured around four complementary business activities.

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Donut chart showing total emissions of 145 Mt CO₂e split into Scope 1 (22 Mt), Scope 2 (0.5 Mt), and Scope 3, which represents the majority with upstream and downstream emissions.

Distribution of a company’s greenhouse gas emissions according to the GHG Protocol scopes, highlighting the dominant share of Scope 3 emissions across the value chain.

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Infographic outlining four decarbonization levers with 2030–2035 targets and 2025 progress, including coal exit, renewables growth, electricity networks, and green gas development.

Overview of a company’s decarbonization strategy, showing progress achieved by 2025 against medium- and long-term targets across key energy transition levers.

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Diagram explaining ENGIE’s 2045 net zero carbon objective through three actions: reducing greenhouse gas emissions, absorbing residual emissions, and helping clients avoid emissions through ENGIE solutions.

Overview of ENGIE’s climate strategy combining emission reduction, carbon removal, and customer support to achieve net zero by 2045.

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Donut chart showing 31 Mt CO₂ eq. emissions avoided through customer decarbonisation, mainly from renewable energy and gas generation (20 Mt) and resale (11 Mt).

Breakdown of avoided CO₂ emissions by activity

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List of gas subsidiaries with OGMP 2.0 methane reduction targets, including intensity goals and percentage reductions between 2015 and 2030 across several countries.

OGMP 2.0 methane emission reduction targets by gas companies

Mitigating our emissions through effective management tools

In order to achieve its CO₂ emissions reduction targets, the Group has developed dual capital financial and carbon accounting and begun a transformation that has enabled it to shift from a reporting approach to a performance management approach, thus carrying out large-scale operational change. To this end, ENGIE has developed management tools for both long-term strategic projections (CO₂ targets and CO₂ Medium-Term Plan (MTP)) and investment decisions, and for infra-annual operational management (CO₂ Quarterly Business Reviews (QBR)).

See the Group’s climate change mitigation actions

Finally, ENGIE’s efforts to combat climate change also involve responsible lobbying.

Adapting to the consequences of climate change and preserving nature and biodiversity

ENGIE’s adaptation plan aims to reduce the exposure of the Group’s assets and activities to the physical risks associated with climate change.

Adaptation: prepare resilience by mobilizing all existing processes

Climate change is already having numerous impacts on the energy sector, particularly with regard to asset integrity, the changing energy supply-demand balance and employees health. Alongside climate change mitigation efforts, ENGIE is therefore rolling out a process of climate change adaptation, in order to increase the resilience of its assets and operations. Analyses are carried out based on several medium- and long-term climate change scenarios (RCP 4.5 and RCP 8.5 for 2030, 2050 and 2070).

  1. Model climate change: To reach a better understanding of climate change and its impacts on ENGIE, a partnership with the Institut Pierre Simon Laplace has been signed. The goal is to model, as precisely as possible, future trends in energy generation as a function of the IPCC climate change scenarios (RCP 4.5 and RCP 8.5) as well as the impact of extreme events on all the Group’s technologies in the different regions of the world.
  2. Ensure the resilience of the Strategy: The impact of climate change on the Group’s strategy is also studied as part of a country-by-country approach or through an analysis of the major climate regions that are of interest to ENGIE. The Group examines this impact according to four main factors: country risk, the value of existing assets, the strategic objectives for 2030 and strategic challenges specific to the countries studied in the context of the broad spectrum of IPCC climate scenarios (RCP 2.6, RCP 4.5 and RCP 8.5).
  3. Ensure the resilience of our sites: Physical risks linked to climate change are now part of the Group’s ERM (Enterprise Risk Management) process. Various risks are studied:

– changes in production / energy demand;
– the integrity of assets and local supply chains in relation with the evolution of extreme events ;
– the health of employees, particularly because of changes in thermal stresses.
– the global portfolio of the supply chain for fuel, products and services. Ensure the resilience of our new projects

  1. Ensure the resilience of our new projects: Adaptation to the physical risks of climate change is embedded in the Group’s investment process. Before any new investment, a sensitivity analysis has to be carried out on changes in energy generation or demand, as well as the evolution of extreme events, as part of the new project development process.
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Infographic presenting the four areas of ENGIE’s biodiversity and nature protection plan: land footprint, climate change, value chain, and awareness.

Overview of ENGIE’s biodiversity strategy, highlighting four complementary action areas across operations, climate, value chain, and employee engagement.

1. Paris Agreement or COP21: in 2015, the United Nations Climate Change Conference held in Paris concluded with an initial agreement to limit the temperature increase to 2° C and, wherever possible, to move towards the objective of 1.5° C compared to the pre-industrial era. The text considers the needs and means of the signatory countries. It is sustainable over time with ambitions that can be revised upwards from time to time.

2. SBT or SBTi:the Science Based Targets initiative is a set of methodologies which make it possible to confirm on a scientific basis that the GHG emissions trajectory of a given organization is compatible with the objective of limiting the average global temperature increase to 2° C or 1.5° C. Some of these methods make use of the notion of a carbon budget divided between different economic sectors. SBTi is particularly interested in the energy sector, which accounts for a significant share of global greenhouse gas emissions and is closely linked to other industrial sectors.