CF Industries has established ambitious goals related to decarbonizing the ammonia production process. Our ability to achieve these goals will have a multiplicative effect on stakeholders’ goals for a lower carbon footprint globally as ammonia has the potential to help the world decarbonize economies. It is one of the most efficient ways to transport and store hydrogen while also being a fuel in its own right. As we decarbonize our production process, we believe that the Company is uniquely positioned to fulfill anticipated demand for hydrogen and ammonia in the future, with near-term opportunities to displace emissions in industries associated with marine shipping and coal-fired energy. Longer term, industry experts expect that hydrogen could help to meet approximately 20% of the world’s energy needs by 2050, up from less than 1% today.
Energy, Emissions and Climate Change Goals
▶ During 2021, develop and prioritize a list of viable GHG reduction capital projects
▶ Reduce total CO2 equivalent emissions by 25% per ton of product by 2030 (2015 baseline year)
▶ Reduce Scope 3 emissions by 10% by 2030 (new goal established in 2021)
▶ Achieve net-zero carbon emissions by 2050
▶ Begin to report and disclose Company data in accordance with the Task Force on Climate-related Financial Disclosures (TCFD) framework for climate-related risks and opportunities, in addition to the Global Reporting Initiative (GRI) and Sustainability Accounting Standards Board (SASB)
▶ During 2021, identify and evaluate a list of viable water reuse/reduction projects
▶ Develop integrated water resource management plans to ensure sustainable withdrawals and discharges
In 2020, the Board of Directors established the Environmental Sustainability and Community Committee, to oversee CF’s strategies and activities relating to energy, emissions and climate change and other material dimensions. For a full description of the committee, please see the Sustainability Governance section within this report.
Management has established an internal crossfunctional team to track and manage these issues, which reports to Ashraf Malik, Senior Vice President, Manufacturing and Distribution. This team is focused on:
- GHG reduction projects
- Green ammonia projects
- Blue ammonia projects