Striving for carbon neutrality
Exxaro's commitment to carbon neutrality by 2050 is central to our vision for a sustainable
future, supporting South Africa's low-carbon transition while positioning us as a leader in
environmental stewardship. Achieving this goal requires an integrated approach that
embeds decarbonisation across all aspects of our business.
By taking action in the focus areas described below, we are addressing climate change, reducing carbon
intensity and building resilience in a changing world.
Why this matters
To ensure we thrive in a low-carbon future, Exxaro is shifting from a coal base to a diversified minerals and energy business. This transition supports resilience and enhances our social impact.
Our response
We are responsibly optimising our coal operations, repositioning to capture opportunities in the just energy transition, and prioritising support for employees, communities and value chain partners throughout this journey.
Why this matters
Climate change impacts every aspect of our business, from risk management to capital allocation, making adaptation critical to our long-term value creation and sustainability.
Our response
We are responding to the climate change agenda by putting plans in place that will enable us to meet our short and long-term targets. We mitigate the impact of climate change on our business and communities through decarbonisation initiatives, building on adaptation and resilience, and implementing renewable energy self-generation projects and operational efficiency programmes – all of which are cost-effective ways of addressing socio‑environmental challenges.
Why this matters
Energy efficiency is fundamental to our decarbonisation strategy, as it reduces our carbon footprint, minimises costs and strengthens our resilience against energy-related risks.
Our response
We are actively reducing emissions and energy consumption through innovative, sustainable practices, focusing on operational efficiency and exploring alternative energy sources to further support our transition to a low-carbon business.
Why this matters
Our operations invariably generate pollutants that impact air quality. This, in turn, affects the health of our employees, communities and the natural ecosystems surrounding our operations.
Our response
We mitigate air pollution through prevention, proactive mitigation and the application of best practices, ensuring compliance and addressing stakeholder concerns about environmental and public health.
Partnering for progress towards carbon neutrality
Research and educational initiatives
To enhance our climate resilience, Exxaro works with the Council for Geoscience on carbon capture, utilisation and storage; the Agriculture Research Council on climate-smart agriculture and land use management; and the South African National Biodiversity Institute on nature-based solutions. We also conducted research into energy efficiency initiatives and developed climate change training courses in partnership with the University of Pretoria.
Industry and government contributions
Our involvement in industry forums such as the Industry Task Team on Climate Change, Minerals Council, Energy Council and Energy Intensive Users Group of Southern Africa supports the development of national climate change policies and the transition to clean energy. Additionally, Exxaro collaborates with the Coaltech Research Association to address GHG emissions.
Business and community actions
Technology partners and energy management service providers, such as ECS, Cascadia and SmartOps, enhance our energy management and energy efficiency initiatives. To reduce scope 3 emissions, we collaborate on emission reduction projects with customers and suppliers while raising air quality awareness in surrounding communities.
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