The Egger Group is steadfast in its commitment to achieving Net Zero emissions by 2050. This ambitious goal involves a comprehensive strategy and substantial investments aimed at significantly reducing greenhouse gas emissions across its entire value chain. As a leading wood-based materials manufacturer, Egger is dedicated to climate protection, demonstrating its commitment through several impactful initiatives.
Reaching the Net Zero target by 2050 requires considerable effort. Egger has set intermediate goals for 2030: reducing direct emissions from its facilities (Scope 1) by at least 30 percent, cutting indirect emissions from purchased energy (Scope 2) by at least 40 percent, and lowering upstream and downstream indirect emissions (Scope 3) by at least 10 percent, based on 2022 levels.
“We have gained significant experience in carbon footprint accounting. We know the sources of our emissions and where to intervene. We proudly state that we have taken further steps towards zero emissions. We will continue to pursue this path consistently; it will require many measures, but we are confident that we will achieve our goals,” says Thomas Leissing, Chief Financial Officer of Egger Group.
UNTERRADLBERG
A significant advancement was made at the Unterradlberg facility in Austria. After about a year of construction, the first chipboard panels were produced in early February without using natural gas. This was achieved through the installation of a new heat exchanger, which heats the thermal oil necessary for the raw panel press and four lamination lines, a process previously reliant on natural gas. The new heat exchanger now operates using steam from the existing biomass power plant, meaning the Unterradlberg facility no longer uses natural gas for its production lines, marking a significant step in Egger’s climate protection efforts.
ST. JOHANN IN TIROL
Another major project contributing to Egger’s climate goals is underway at its headquarters in St. Johann in Tirol, Austria. Egger is investing approximately 80 million euros in a new power plant that will supply heat and electricity to its production processes through a system of steam generators and combined heat and power generation from biofuels. This initiative aims to virtually eliminate the use of fossil fuels at the site and provide more sustainable district heating to surrounding communities. Since 2008, the St. Johann in Tirol plant has operated a boiler system that generates thermal energy from biomass and biogenic production residues. The new power plant will significantly expand this capacity, generating both thermal energy and electricity, meeting at least 80 percent of the site’s energy needs. The new plant, built to the latest industrial standards, is expected to be operational by the first quarter of 2026.
CO2-FREE ELECTRICITY
In a further step, Egger has focused on the chemical raw materials needed for its wood-based products. Although these materials constitute a small component of the products, they significantly impact emissions across the value chain. Egger supplies part of its binder needs from its resin plants in Wismar (Germany), Radauti (Romania), and Hexham (UK). Since January 1, 2024, these plants have used only CO2-free electricity, sourced from hydropower, wind, or solar energy, for glue production.
Egger also sources binders from external suppliers. Achieving Net Zero requires collaborative solutions and close partnerships with suppliers. Now, external binders procured for Egger’s facilities in the European Union (EU) and the United Kingdom (UK) are also produced with CO2-free electricity. This change affects all Egger plants producing chipboard and MDF in the EU and UK, marking the first step towards reducing the carbon footprint of the binders used.
STANDARD
Egger upholds high standards in sustainability management and transparent reporting. The wood-based materials producer undergoes regular evaluations by well-known external ESG rating agencies. Once again, Egger has received excellent ratings: Prime status in the ISS ESG Corporate Rating for the fourth time and a silver medal from EcoVadis for the fifth time. The family-owned company is very pleased with these accolades, which serve as important benchmarks for further improvement.
Egger Group continues to make strides towards Net Zero, providing ongoing updates on their progress as they work towards a more sustainable future.
