At this point we must separate Sustainability from Decarbonization. At Magnus Commodities we work on the latter in an integral way, aligned with the departments that manage all those voluntary initiatives that mark the route hour composed of ESG / CSR / ODS elements, etc.
Sustainability is voluntary, but Decarbonization is mandatory by law, with different geographical covenants and a common link, as well as the need to reduce Greenhouse Gases (GHG) in order to achieve Neutrality by specific dates.
We as Europeans agreed on the European Green Deal, which sets two fundamental milestones: 1) 55% GHG reduction by 2023 vs. 1990 values, and 2) Climate Neutrality (100% reduction) by 2050.
Faced with the European Green Deal, some companies are going to wait until the deadlines have passed, although the vast majority of our clients have gone ahead, being much more demanding than what the law stipulates, demonstrating a clear commitment to the environment and care for our planet. Complying with the norm is not enough, we must go ahead.
Since 2017 we have been working on developing initiatives that have an impact on the decarbonization objectives of our customers. At first not always consciously as environmental actions, but rather the search for innovative alternatives – new levers – that would give a competitive advantage to the companies we serve.
Magnus Commodities understands that everything must be profitable, both economically and environmentally, impacting how companies relate to Society, their Shareholders and Customers. We have the clear conviction that decarbonization efforts generate tangible benefits for companies, and that without them, we will not be able to survive as a society that cares for its planet.
To quantify GHG reduction targets, the GHG Protocol was created, with its 3 Scopes, which allow companies to 1) quantify the level of current GHGs, 2) structure where to act to adapt to the objectives of the different Green Deals, and 3) trace the evolution of compliance with the objectives.
Working together with Magnus Commodities in what we call Master Plan, our clients have a concrete and quantified Medium Term Roadmap (5+ years), with objectives over time which ensure the fulfillment of their Decarbonization commitments, whether they are more or less ambitious in the time frame.
Below are different elements of a Master Plan, which change over time, depending on the state of Technology, Government Policies and Subsidies in the different territories, as well as the Impact they provide to meet the final objectives.
A company’s decision on which elements to work on and their priority, will depend on aspects such as the cost of the associated investments, the return, the execution times and the impact that these projects will have on its objectives.
In order to prepare a concrete and detailed Master Plan, Magnus Commodities analyzes the company, its specific problems, environment, objectives, economic capacity and committed time frame.
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