FULLTEXT DEL 3 AV 6
Årsredovisning 2024
ESRS E1-6 Gross Scope 1, 2, 3 and Total GHG emissions
paragraph 44
Indicators number 1 and 2 Table #1 of
Annex 1
Article 449a; Regulation (EU) No 575/2013;
Commission Implementing Regulation (EU)
2022/2453 Template 1: Banking book –
Climate change transition risk: Credit
quality of exposures by sector, emissions
and residual maturity
Delegated Regulation (EU) 2020/1818,
Article 5(1), 6 and 8(1)
95
ESRS E1-6 Gross GHG emissions intensity
paragraphs 53 to 55
Indicator number 3 Table #1 of Annex 1 Article 449a Regulation (EU) No 575/2013;
Commission Implementing Regulation (EU)
2022/2453 Template 3: Banking book –
Climate change transition risk:
alignment metrics
Delegated Regulation (EU) 2020/1818,
Article 8(1)
96
ESRS E1-7 GHG removals and carbon credits paragraph 56 Regulation (EU) 2021/1119, Article 2(1) 97
ESRS E1-9 Exposure of the benchmark portfolio to climate-
related physical risks paragraph 66
Phased-in, not disclosed in 2024
ESRS E1-9 Disaggregation of monetary amounts by acute
and chronic physical risk paragraph 66 (a)
ESRS E1-9 Location of significant assets at material physical
risk paragraph 66 (c)
Article 449a Regulation (EU) No 575/2013;
Commission Implementing Regulation (EU)
2022/2453 paragraphs 46 and 47;
Template 5: Banking book - Climate
change physical risk: Exposures subject to
physical risk.
Delegated Regulation (EU) 2020/1818,
Annex II Delegated Regulation
(EU) 2020/1816, Annex II
Phased-in, not disclosed in 2024
ESRS E1-9 Breakdown of the carrying value of its real estate
assets by energy-efficiency classes paragraph 67 (c).
Article 449a Regulation (EU) No 575/2013;
Commission Implementing Regulation
(EU) 2022/2453 paragraph 34;Template
2:Banking book -Climate change transition
risk: Loans collateralised by immovable
property - Energy efficiency of
the collateral
Phased-in, not disclosed in 2024
ESRS E1-9 Degree of exposure of the portfolio to climate-
related opportunities paragraph 69
Delegated Regulation (EU) 2020/1818,
Annex II
Phased-in, not disclosed in 2024
ESRS E2-4 Amount of each pollutant listed in Annex II of
the E-PRTR Regulation (European Pollutant Release and
Transfer Register) emitted to air, water and soil,
paragraph 28
Indicator number 8 Table #1 of Annex 1
Indicator number 2 Table #2 of Annex 1
Indicator number 1 Table #2 of Annex 1
Indicator number 3 Table #2 of Annex 1
100
ESRS E3-1 Water and marine resources paragraph 9 Indicator number 7 Table #2 of Annex 1 101
ESRS E3-1 Dedicated policy paragraph 13 Indicator number 8 Table 2 of Annex 1 101
ESRS E3-1 Sustainable oceans and seas paragraph 14 Indicator number 12 Table #2 of Annex 1 Not material
ESRS E3-4 Total water recycled and reused paragraph 28 (c) Indicator number 6.2 Table #2 of Annex 1 102
ESRS E3-4 Total water consumption in m
3
per net revenue on
own operations paragraph 29
Indicator number 6.1 Table #2 of Annex 1 102
ESRS 2- SBM 3 - E4 paragraph 16 (a) i Indicator number 7 Table #1 of Annex 1 104
ESRS 2- SBM 3 - E4 paragraph 16 (b) Indicator number 10 Table #2 of Annex 1 103
ESRS 2- SBM 3 - E4 paragraph 16 (c) Indicator number 14 Table #2 of Annex 1 103
ESRS E4-2 Sustainable land / agriculture practices
or policies paragraph 24 (b)
Indicator number 11 Table #2 of Annex 1 104
Disclosure requirement and related data point SFDR reference Pillar 3 reference Benchmark Regulation reference EU Climate Law reference Location in the Sustainability Statement
Our year 2024 This is Stora Enso Our strategy Our people Governance Shareholders Report of the Board of Directors Financial Statements Appendices
≡
Assured 83
===== SIDA 84 =====
ESRS E4-2 Sustainable oceans / seas practices or policies
paragraph 24 (c)
Indicator number 12 Table #2 of Annex 1 Not material
ESRS E4-2 Policies to address deforestation paragraph 24 (d)Indicator number 15 Table #2 of Annex 1 104
ESRS E5-5 Non-recycled waste paragraph 37 (d) Indicator number 13 Table #2 of Annex 1 112
ESRS E5-5 Hazardous waste and radioactive waste
paragraph 39
Indicator number 9 Table #1 of Annex 1 112
ESRS 2- SBM3 - S1 Risk of incidents of forced labour
paragraph 14 (f)
Indicator number 13 Table #3 of Annex I 114
ESRS 2- SBM3 - S1 Risk of incidents of child labour
paragraph 14 (g)
Indicator number 12 Table #3 of Annex I 114
ESRS S1-1 Human rights policy commitments paragraph 20 Indicator number 9 Table #3 and Indicator
number 11 Table #1 of Annex I
114
ESRS S1-1 Due diligence policies on issues addressed by the
fundamental International Labor Organisation Conventions 1
to 8, paragraph 21
Delegated Regulation (EU) 2020/1816,
Annex II
114
ESRS S1-1 processes and measures for preventing trafficking
in human beings paragraph 22
Indicator number 11 Table #3 of Annex I 114
ESRS S1-1 workplace accident prevention policy or
management system paragraph 23
Indicator number 1 Table #3 of Annex I 114
ESRS S1-3 grievance/complaints handling mechanisms
paragraph 32 (c)
Indicator number 1 Table #3 of Annex I 115
ESRS S1-14 Number of fatalities and number and rate of work-
related accidents paragraph 88 (b) and (c)
Indicator number 2 Table #3 of Annex I Delegated Regulation (EU) 2020/1816,
Annex II
118
ESRS S1-14 Number of days lost to injuries, accidents, fatalities
or illness paragraph 88 (e)
Indicator number 3 Table #3 of Annex I Phased-in, not disclosed in 2024
ESRS S1-16 Unadjusted gender pay gap paragraph 97 (a) Indicator number 12 Table #1 of Annex I Delegated Regulation (EU) 2020/1816,
Annex II
118
ESRS S1-16 Excessive CEO pay ratio paragraph 97 (b) Indicator number 8 Table #3 of Annex I 118
ESRS S1-17 Incidents of discrimination paragraph 103 (a) Indicator number 7 Table #3 of Annex I 118
ESRS S1-17 Non-respect of UNGPs on Business and Human
Rights and OECD Guidelines paragraph 104 (a)
Indicator number 10 Table #1 and Indicator
n. 14 Table #3 of Annex I
Delegated Regulation (EU) 2020/1816,
Annex II Delegated Regulation (EU)
2020/1818 Art 12 (1)
118
ESRS 2- SBM3 – S2 Significant risk of child labour or forced
labour in the value chain paragraph 11 (b)
Indicators number 12 and n. 13 Table #3 of
Annex I
119
ESRS S2-1 Human rights policy commitments paragraph 17 Indicator number 9 Table #3 and Indicator
n. 11 Table #1 of Annex 1
119
ESRS S2-1 Policies related to value chain workers
paragraph 18
Indicator number 11 and n. 4 Table #3 of
Annex 1
119
ESRS S2-1 Non-respect of UNGPs on Business and Human
Rights principles and OECD guidelines paragraph 19
Indicator number 10 Table #1 of Annex 1 Delegated Regulation (EU) 2020/1816,
Annex II Delegated Regulation
(EU) 2020/1818, Art 12 (1)
119
Disclosure requirement and related data point SFDR reference Pillar 3 reference Benchmark Regulation reference EU Climate Law reference Location in the Sustainability Statement
Our year 2024 This is Stora Enso Our strategy Our people Governance Shareholders Report of the Board of Directors Financial Statements Appendices
≡
Assured 84
===== SIDA 85 =====
ESRS S2-1 Due diligence policies on issues addressed by the
fundamental International Labor Organisation Conventions 1
to 8, paragraph 19
Delegated Regulation (EU) 2020/1816,
Annex II
119
ESRS S2-4 Human rights issues and incidents connected to
its upstream and downstream value chain paragraph 36
Indicator number 14 Table #3 of Annex 1 120
ESRS S3-1 Human rights policy commitments paragraph 16 Indicator number 9 Table #3 of Annex 1
and Indicator number 11 Table #1 of Annex 1
121
ESRS S3-1 non-respect of UNGPs on Business and Human
Rights, ILO principles or OECD guidelines paragraph 17
Indicator number 10 Table #1 Annex 1 Delegated Regulation (EU) 2020/1816,
Annex II Delegated Regulation
(EU) 2020/1818, Art 12 (1)
121
ESRS S3-4 Human rights issues and incidents paragraph 36 Indicator number 14 Table #3 of Annex 1 123
ESRS S4-1 Policies related to consumers and end-users
paragraph 16
Indicator number 9 Table #3 and Indicator
number 11 Table #1 of Annex 1
Not material
ESRS S4-1 Non-respect of UNGPs on Business and Human
Rights and OECD guidelines paragraph 17
Indicator number 10 Table #1 of Annex 1 Delegated Regulation (EU) 2020/1816,
Annex II Delegated Regulation
(EU) 2020/1818, Art 12 (1)
Not material
ESRS S4-4 Human rights issues and incidents paragraph 35 Indicator number 14 Table #3 of Annex 1 Not material
ESRS G1-1 United Nations Convention against Corruption
paragraph 10 (b)
Indicator number 15 Table #3 of Annex 1 125
ESRS G1-1 Protection of whistle- blowers paragraph 10 (d) Indicator number 6 Table #3 of Annex 1 125
ESRS G1-4 Fines for violation of anti-corruption and anti-
bribery laws paragraph 24 (a)
Indicator number 17 Table #3 of Annex 1 Delegated Regulation (EU) 2020/1816,
Annex II)
126
ESRS G1-4 Standards of anti- corruption and anti- bribery
paragraph 24 (b)
Indicator number 16 Table #3 of Annex 1 126
Disclosure requirement and related data point SFDR reference Pillar 3 reference Benchmark Regulation reference EU Climate Law reference Location in the Sustainability Statement
Our year 2024 This is Stora Enso Our strategy Our people Governance Shareholders Report of the Board of Directors Financial Statements Appendices
≡
Assured 85
===== SIDA 86 =====
Environmental information
In this section
EU Taxonomy 86
E1 Climate change 91
E2 Pollution 98
E3 Water and marine resources 101
E4 Biodiversity and ecosystems 103
E5 Resource use and circular economy 109
EU Taxonomy
To meet the EU’s climate and energy targets for 2030 and reach the
objectives of the European Green Deal, a classification system for
sustainable economic activities called EU Taxonomy was introduced in
2020. Companies in the scope of the Corporate Sustainability Reporting
Directive are obligated to report the share of Taxonomy-eligibility and
Taxonomy-alignment in their operations. Taxonomy-eligibility describes if
an economic activity is included in the scope of activities recognised in the
EU Taxonomy Regulation. Taxonomy-alignment describes if an economic
activity is sustainable based on the technical screening criteria for
substantial contribution and do-no-significant harm specified for
the activity. Taxonomy-aligned activity needs to be also carried out in
compliance with the minimum safeguards, thus to respect basic human
rights and follow good business conduct rules.
Breakdown of EU Taxonomy key performance indicators in 2024
EUR million Turnover
1
Capex Opex
Taxonomy aligned activities 428 4.7% 64 5.9% 68 9.1%
Taxonomy eligible but not aligned
activities 140 1.6% 9 0.8% 26 3.4%
Total taxonomy eligible activities 568 6.3% 73 6.7% 94 12.5%
Taxonomy non-eligible activities 8,493 93.7% 1,017 93.3% 654 87.5%
Total 9,062 100% 1,090 100% 747 100%
1 In the EU Taxonomy, turnover includes also rental income, therefore the total turnover figure differs slightly
from the Group total sales.
Taxonomy eligible and aligned activities
Stora Enso has identified six eligible activities to report in the EU Taxonomy
in the conducted annual exercise. From Stora Enso’s main activities, the
production of wood-based solutions for construction industry is included
in the EU Taxonomy through its contribution to buildings energy efficiency.
Other main activities, production of pulp, consumer board, containerboard
and corrugated packaging, are yet excluded from the scope of the EU
Taxonomy.
Economic activity Description
1.3 Forest management The activities in the forests owned by Stora Enso in
Sweden. Tree plantations in South America and
China are not included in the activity.
1.4 Conservation forestry Stora Enso’s 50% owned joint operation Veracel has
dedicated more than half of its land for the
protection and restoration of biological biodiversity
in natural Atlantic rainforest. This rainforest is
excluded from the harvesting activities.
2.4 Remediation of contaminated
sites and areas
Remediation projects of contaminated sites and
areas related to discontinued operations and mill
closures at Stora Enso sites.
3.4 Manufacture of batteries Pilot plant costs and research and development
expenses related to hard carbon innovation. For
more information on Lignode® by Stora Enso, see
the Group’s website storaenso.com/lignode.
3.5 Manufacture of energy efficiency
equipment for buildings
Wood-based solutions for the construction industry
which contribute to buildings energy efficiency.
Door, window and roofing components and
external wall systems manufactured from classic
sawn, CLT, LVL and construction beams are
considered eligible.
4.20 Cogeneration of heat/cool and
power from bioenergy
Wood side-streams and by-products from the pulp
process are used for energy production. The
bioenergy generated from biobased feedstock is
considered eligible.
100% of Stora Enso’s Swedish forests are certified under certification
systems (PEFC or FSC) which lays the foundation for sustainable forest
management. Stora Enso considers its 1.3 Forest management and 1.4
Conservation practices aligned with EU Taxonomy, but has been unable to
fulfil the third party verification requirement described in forest
management and conservation forestry substantial contribution criteria
(section 4. Audit). Stora Enso has been actively searching a partner who is
capable of conducting EU Taxonomy compliant verification and will
continue the search. Until then the Group reports its forest management
and conservation forestry as eligible but not-aligned in EU Taxonomy.
The alignment assessment of 3.4 Manufacture of batteries activity is done
based on the predicted future industrial scale operations and production
which will be aligned with the technical screening criteria of the activity
once started.
As Stora Enso is not a manufacturer of the end products, the compliance
with the activity’s 3.5 Manufacture of energy efficiency equipment for
buildings substantial contribution was assessed based on the knowledge
of the end use and the energy efficiency related regulations in the primary
market areas.
The eligibility and alignment assessments for all activities have been
carried out based on the best interpretation of the Taxonomy Regulation
and the available guidelines from the European Commission. In case of
unclarities, the conservative approach has been chosen.
Accounting principles
The EU Taxonomy KPIs, turnover, capex and opex, are presented in
separate tables as defined in the regulation. Double counting is avoided by
having a clear cost structure in reporting which ensures that the profit
centers and cost elements are separate for each activity. In reporting the
activities do not overlap between environmental objectives.
Turnover
The total turnover is the Group’s total sales, as presented in the line of sales,
in consolidated income statement and in note 2.1 Segment information, and
rental income in 2024, which respectively include the IFRS 15 and the IFRS 16
income according to the EU Taxonomy turnover definition. The external sales
connected to the economic activities are reported under Taxonomy-eligible
turnover. Taxonomy-eligible and aligned shares of turnover remained at the
levels of the previous reporting period.
The output of 1.3 Forest management activity, the grown wood, is used
mostly internally in Stora Enso’s own operations. The forest management
turnover in the EU Taxonomy includes the sale of externally sold
roundwood and forest residuals.
In category 3.5 Manufacture of energy efficiency equipment for buildings,
the external sales related to the share of production that is estimated to
end up for doors, windows, roofing and external wall systems, is included
under the EU Taxonomy turnover.
In category 4.20 Cogeneration of heat/cool and power from bioenergy, the
turnover includes the external sales of the excess electricity and heat
which is not consumed internally.
Our year 2024 This is Stora Enso Our strategy Our people Governance Shareholders Report of the Board of Directors Financial Statements Appendices
≡
Assured 86
===== SIDA 87 =====
Capex
The total capex is the Group’s total capital expenditure in 2024, as
presented in the line of additions, excluding goodwill additions, in note 4.1
Intangible assets, property, plant and equipment and right of use assets,
and note 4.2 Forest assets. The Taxonomy-eligible capex are the
investments related to the assets or processes associated with the
respective economic activities. Taxonomy-eligible and aligned shares of
capex remained at the levels of the previous reporting period.
In category 1.3 Forest management the capex includes investments that
support the forest management activities, such as forest land acquisitions
and investments in roads and bridges.
In category 4.20 Cogeneration of heat/cool and power from bioenergy
the capex includes the investments made to bioenergy production at
Stora Enso sites. The largest investments relate to Oulu and Heinola
production sites in Finland.
Opex
The total opex covers the maintenance expenses, short-term lease costs,
non-capitalised research and development costs and silviculture costs at
the Group level. The Taxonomy-eligible opex include the corresponding
direct non-capitalised costs related to the economic activities. Compared
to 2023, taxonomy-eligible and aligned shares of capex decreased by 1
percentage point to 13% (14%) and 9% (10%) due to lower R&D costs and
closure of a site.
In 2024 the following were reported under the EU Taxonomy opex:
1.3 Forest management, the silviculture costs and related research and
development costs.
1.4 Conservation forestry, the costs from the conservation operations.
2.4 Remediation of contaminated sites and areas, the expenses related to
the environmental remediation work carried out.
3.4 Manufacture of batteries, the pilot plant costs and research and
development expenses related to hard carbon innovation. Turnover for
the activity is expected within future years.
3.5 Manufacture of energy efficiency equipment for buildings,
the expenses related to the share of production that is estimated to end
up for doors, windows, roofing and external wall systems is reported.
4.20 Cogeneration of heat/cool from bioenergy, the maintenance salaries,
maintenance material and other direct costs related to the day-to-day
serving of the asset.
Minimum safeguards
Minimum safeguards were assessed in Group-level from two angles: by
reviewing the company processes for human rights, corruption, taxation
and fair competition to determine that the adequate processes and
controls are in place, and by investigating that there are no known
breaches or violations existing in the parent company, in its subsidiaries or
by senior management. The Group considers its processes to be at
a robust level and with no violations to meet the alignment with the
minimum safeguards. For more information on the Group’s governance,
see ESRS G1 Business Conduct.
Template 1 Nuclear and fossil gas related activities
Row Nuclear energy related activities
1. The undertaking carries out, funds or has exposures to research,
development, demonstration and deployment of innovative
electricity generation facilities that produce energy from nuclear
processes with minimal waste from the fuel cycle.
NO
2. The undertaking carries out, funds or has exposures to
construction and safe operation of new nuclear installations to
produce electricity or process heat, including for the purposes of
district heating or industrial processes such as hydrogen
production, as well as their safety upgrades, using best available
technologies.
NO
3. The undertaking carries out, funds or has exposures to safe
operation of existing nuclear installations that produce electricity
or process heat, including for the purposes of district heating or
industrial processes such as hydrogen production from nuclear
energy, as well as their safety upgrades.
NO
1
Fossil gas related activities
4. The undertaking carries out, funds or has exposures to
construction or operation of electricity generation facilities that
produce electricity using fossil gaseous fuels.
NO
5. The undertaking carries out, funds or has exposures to
construction, refurbishment, and operation of combined heat/
cool and power generation facilities using fossil gaseous fuels.
NO
6. The undertaking carries out, funds or has exposures to
construction, refurbishment and operation of heat generation
facilities that produce heat/cool using fossil gaseous fuels.
NO
1 Stora Enso holds a 16.1% interest in Pohjolan Voima Oyj (PVO). The investment is fair valued through other
comprehensive income (FVTOCI) and therefore not in the scope of the Group’s EU Taxonomy reporting. For
more information see note 4.4 Equity instruments.
Our year 2024 This is Stora Enso Our strategy Our people Governance Shareholders Report of the Board of Directors Financial Statements Appendices
≡
Assured 87
===== SIDA 88 =====
Proportion of Turnover from products or services associated with Taxonomy-aligned economic activities 2024
EUR million
Substantial contribution criteria DNSH criteria
('Does Not Significantly Harm')
Economic Activities Code Turnover
Proportion of
turnover year
2024
Climate change
mitigation
Climate change
adaptation
Water
Pollution
Circular Economy
Biodiversity
Climate change
mitigation
Climate change
adaptation
Water
Pollution
Circular Economy
Biodiversity
Minimum
safeguards
Proportion of
Taxonomy
aligned or
eligible
turnover year
2023
Category
enabling
activity
Category
transitional
activity
EUR % Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL Y/N Y/N Y/N Y/N Y/N Y/N Y/N % E T
A. TAXONOMY-ELIGIBLE ACTIVITIES
A.1. Environmentally sustainable activities (Taxonomy-aligned)
Manufacture of energy efficiency equipment for buildings CCM 3.5 387 4.3% Y N N/EL N/EL N/EL N/EL n/a Y Y Y Y Y Y 4.4% E
Cogeneration of heat/cool and power from bioenergy CCM 4.20 41 0.5% Y N N/EL N/EL N/EL N/EL n/a Y Y Y n/a Y Y 0.4%
Turnover of environmentally sustainable activities (Taxonomy-aligned) (A.1) 428 4.7% 4.7% 4.8%
Of which Enabling 387 4.3% 4.3% 4.4% E
Of which Transitional T
A.2. Taxonomy-Eligible but not environmentally sustainable activities (not Taxonomy-aligned activities)
EL; N/EL EL; N/EL EL; N/EL EL; N/EL EL; N/EL EL; N/EL
Forest management CCM 1.3 139 1.5% EL EL N/EL N/EL N/EL N/EL 1.3%
Cogeneration of heat/cool and power from bioenergy CCM 4.20 2 0.0% EL EL N/EL N/EL N/EL N/EL 0.0%
Turnover of Taxonomy-eligible but not environmentally sustainable activities (not
Taxonomy-aligned activities) (A.2) 140 1.6% 1.6% 1.3%
A.Turnover of Taxonomy eligible activities (A.1+A.2) 568 6.3% 6.3% 6.1%
B. TAXONOMY-NON-ELIGIBLE ACTIVITIES
Turnover of Taxonomy-non-eligible activities 8,493 93.7%
TOTAL
1
9,062 100%
1 In the EU Taxonomy, turnover includes also rental income, therefore the figure differs slightly from the Group total sales.
Y – Yes, Taxonomy-eligible and Taxonomy-aligned activity with the relevant environmental objective
N – No, Taxonomy-eligible but not Taxonomy-aligned activity with the relevant environmental objective
N/EL – Not eligible, Taxonomy non-eligible activity for the relevant environmental objective
EL - Taxonomy-eligible activity for the relevant objective
Our year 2024 This is Stora Enso Our strategy Our people Governance Shareholders Report of the Board of Directors Financial Statements Appendices
≡
Assured 88
===== SIDA 89 =====
Proportion of capex from products or services associated with Taxonomy-aligned economic activities 2024
EUR million
Substantial contribution criteria DNSH criteria
('Does Not Significantly Harm')
Economic Activities Code Capex
Proportion of
capex year
2024
Climate change
mitigation
Climate change
adaptation
Water
Pollution
Circular Economy
Biodiversity
Climate change
mitigation
Climate change
adaptation
Water
Pollution
Circular Economy
Biodiversity
Minimum
safeguards
Proportion of
Taxonomy
aligned or
eligible capex
year 2023
Category
enabling
activity
Category
transitional
activity
EUR % Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL Y/N Y/N Y/N Y/N Y/N Y/N Y/N % E T
A. TAXONOMY-ELIGIBLE ACTIVITIES
A.1. Environmentally sustainable activities (Taxonomy-aligned)
Manufacture of energy efficiency equipment for buildings CCM 3.5 1 0.1% Y N N/EL N/EL N/EL N/EL n/a Y Y Y Y Y Y 0.4% E
Cogeneration of heat/cool and power from bioenergy CCM 4.20 63 5.8% Y N N/EL N/EL N/EL N/EL n/a Y Y Y n/a Y Y 5.1%
Installation, maintenance and repair of renewable energy
technologies CCM 7.6 0.3% E
Capex of environmentally sustainable activities (Taxonomy-aligned) (A.1) 64 5.9% 5.9% 5.7%
Of which Enabling 1 0.1% 0.1% 0.6% E
Of which Transitional T
A.2. Taxonomy-Eligible but not environmentally sustainable activities (not Taxonomy-aligned activities)
EL; N/EL EL; N/EL EL; N/EL EL; N/EL EL; N/EL EL; N/EL
Forest management CCM 1.3 9 0.8% EL EL N/EL N/EL N/EL N/EL 0.6%
Cogeneration of heat/cool and power from bioenergy CCM 4.20 — 0.0% EL EL N/EL N/EL N/EL N/EL 0.3%
Capex of Taxonomy-eligible but not environmentally sustainable activities (not
Taxonomy-aligned activities) (A.2) 9 0.8% 0.8% 0.9%
A.Capex of Taxonomy eligible activities (A.1+A.2) 73 6.7% 6.7% 6.6%
B. TAXONOMY-NON-ELIGIBLE ACTIVITIES
Capex of Taxonomy-non-eligible activities 1,017 93.3%
TOTAL 1,090 100%
Y – Yes, Taxonomy-eligible and Taxonomy-aligned activity with the relevant environmental objective
N – No, Taxonomy-eligible but not Taxonomy-aligned activity with the relevant environmental objective
N/EL – Not eligible, Taxonomy non-eligible activity for the relevant environmental objective
EL - Taxonomy-eligible activity for the relevant objective
Our year 2024 This is Stora Enso Our strategy Our people Governance Shareholders Report of the Board of Directors Financial Statements Appendices
≡
Assured 89
===== SIDA 90 =====
Proportion of opex from products or services associated with Taxonomy-aligned economic activities 2024
EUR million
Substantial contribution criteria DNSH criteria
('Does Not Significantly Harm')
Economic Activities Code Opex Proportion of
opex year 2024
Climate change
mitigation
Climate change
adaptation
Water
Pollution
Circular Economy
Biodiversity
Climate change
mitigation
Climate change
adaptation
Water
Pollution
Circular Economy
Biodiversity
Minimum
safeguards
Proportion of
Taxonomy
aligned or
eligible opex
year 2023
Category
enabling
activity
Category
transitional
activity
EUR % Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL
Y; N;
N/EL Y/N Y/N Y/N Y/N Y/N Y/N Y/N E T
A. TAXONOMY-ELIGIBLE ACTIVITIES
A.1. Environmentally sustainable activities (Taxonomy-aligned)
Remediation of contaminated sites and areas PPC 2.4 2 0.3% N/EL N/EL N/EL Y N/EL N/EL Y Y Y n/a Y Y Y 0.7%
Manufacture of batteries CCM 3.4 16 2.1% Y N N/EL N/EL N/EL N/EL n/a Y Y Y Y Y Y 2.6% E
Manufacture of energy efficiency equipment for buildings CCM 3.5 18 2.4% Y N N/EL N/EL N/EL N/EL n/a Y Y Y Y Y Y 2.5% E
Cogeneration of heat/cool and power from bioenergy CCM 4.20 32 4.3% Y N N/EL N/EL N/EL N/EL n/a Y Y Y n/a Y Y 4.1%
Opex of environmentally sustainable activities (Taxonomy-aligned) (A.1) 68 9.1% 8.8% 0.3 % 9.9%
Of which Enabling 34 4.5% 4.5% 5.2% E
Of which Transitional T
A.2. Taxonomy-Eligible but not environmentally sustainable activities (not Taxonomy-aligned activities)
EL; N/EL EL; N/EL EL; N/EL EL; N/EL EL; N/EL EL; N/EL
Forest management CCM 1.3 24 3.2% EL EL N/EL N/EL N/EL N/EL 2.9%
Conservation forestry CCM 1.4 1 0.1% EL EL N/EL N/EL N/EL N/EL 0.1%
Remediation of contaminated sites and areas PPC 2.4 1 0.1% N/EL N/EL N/EL EL N/EL N/EL —%
Cogeneration of heat/cool and power from bioenergy CCM 4.20 — 0.0% EL EL N/EL N/EL N/EL N/EL 0.7%
Opex of Taxonomy-eligible but not environmentally sustainable activities (not
Taxonomy-aligned activities) (A.2) 26 3.4% 3.3% 0.1% 3.8%
A.Opex of Taxonomy eligible activities (A.1+A.2) 94 12.5% 12.1% 0.4% 13.7%
B. TAXONOMY-NON-ELIGIBLE ACTIVITIES
Opex of Taxonomy-non-eligible activities 654 87.5%
TOTAL 747 100%
Y – Yes, Taxonomy-eligible and Taxonomy-aligned activity with the relevant environmental objective
N – No, Taxonomy-eligible but not Taxonomy-aligned activity with the relevant environmental objective
N/EL – Not eligible, Taxonomy non-eligible activity for the relevant environmental objective
EL - Taxonomy-eligible activity for the relevant objective
Our year 2024 This is Stora Enso Our strategy Our people Governance Shareholders Report of the Board of Directors Financial Statements Appendices
≡
Assured 90
===== SIDA 91 =====
ESRS E1 Climate change
T r a n s i t i o n p l a n f o r c l i m a t e c h a n g e m i t i g a t i o n ( E 1 - 1 )
In 2021, Stora Enso updated its transition plan for climate change mitigation
to ensure that its strategy and business model are compatible with the
transition to a sustainable economy and the goal of limiting global warming
to 1.5 degrees, in line with the Paris Agreement. The transition plan was
approved by the Group Leadership Team in 2021. As part of the transition
plan update, Stora Enso undertook the following efforts:
• Set climate targets, which are compatible with the goal of limiting global
warming to 1.5 degrees in line with the Paris Agreement. These targets
align with the Science Based Targets initiative’s (SBTi) 1.5-degree
pathway, as explained in ESRS E1-4.
• To align the compatibility of the Group’s business model with the transition
plan, Stora Enso has established mitigation efforts as defined in ESRS E1-3.
The decarbonisation levers for climate change mitigation in the Group’s
own operations include enhancements in energy efficiency, investments in
electrification, fuel switches, and the use of renewable energy.
Key significant investments related to climate change mitigation actions
are disclosed in ESRS E1-3. The transition plan aligns with the Group’s
strategy, and incorporates climate-related scenario analysis, which has
been used to inform the strategy. Some of the decarbonisation levers link
directly to the Group’s product portfolio, placing the transition plan at the
core of the business model. The climate mitigation actions are included in
the financial planning described in ESRS E1-3.
At the end of 2024, Scope 1 and 2 CO2eq emissions totalled 1.23 million
tonnes or -53% less, and Scope 3 emissions 4.53 million tonnes or -39% less
than in the base year 2019. In terms of potential locked-in GHG emissions,
Stora Enso acknowledges that future investments and new technology are
essential to achieve its climate targets. Therefore, the Group intends to
continue investments in low-carbon and energy-efficient solutions,
particularly to reduce the use of fossil fuels. Actions and investments are
further described in ESRS E1-3 and presented as part of the graph ‘Achieved
and expected reductions’ in ESRS E1-4.
Stora Enso reports according to the EU Taxonomy. The forest industry is
not central to current legislation, limiting Stora Enso’s relevant economic
activities for reporting. However, opportunities to expand taxonomy
alignment exist in forestry activities where the Group seeks a partner to
perform EU Taxonomy-compliant verification, as forest certification
audits do not fully meet the criteria. In 2024, Stora Enso’s taxonomy-
aligned capex was EUR 64 million, see section EU Taxonomy. Stora Enso is
not excluded from the EU-Paris aligned benchmarks.
Material impacts, risks and opportunities (ESRS 2 SBM-3)
Our year 2024 This is Stora Enso Our strategy Our people Governance Shareholders Report of the Board of Directors Financial Statements Appendices
≡
Assured 91
Description Impact, risk,
or opportunity Time horizon
Location in
the value chain
Related sub-topic or
sub-sub-topic
Transition
risk
Physical
risk
Positive impact on climate through forest carbon sequestration, products
substituting fossil-based alternatives, and carbon stored in wood-based
products.
Actual positive
impact
Short, medium,
and long term
Own operations,
joint operations
Climate change
mitigation
Direct impact on climate change due to greenhouse gas emissions
emitted by production sites.
Actual negative
impact
Short, medium,
and long term
Own operations Climate change
mitigation
Indirect impact on climate change due to greenhouse gas emissions
resulting from its upstream and downstream value chain.
Actual negative
impact
Short, medium,
and long term
Joint operations,
Upstream and
downstream value
chain
Climate change
mitigation
Energy-intensive production processes. Actual negative
impact
Short, medium,
and long term
Own operations,
joint operations
Energy
Operations generate biogenic emissions, which are treated as carbon
neutral. Stora Enso recognises a regulatory risk of a possible change in the
treatment of these emissions, which would impact the Group’s path
towards climate neutrality and product lifecycle assessments.
Risk Medium and long
term
Own operations,
joint operations,
upstream and
downstream value
chain
Climate change
mitigation
x
Uncertainty in reaching the net zero target for Scope 1 and 2 by 2040
without adequate investments and new technology. The lack of direct
control over value chain emissions may lead to challenges in reaching
Scope 3 reduction targets. Inability to meet the targets may lead to
possible damage to Stora Enso’s reputation and brand, which may result in
a loss of investor and customer confidence leading to higher cost of
capital and decreased revenues.
Risk Medium and long
term
Own operations,
upstream and
downstream value
chain
Climate change
mitigation
x
Risk of climate-related hazards becoming more common due to climate
change, creating physical impacts to production unit assets and
operations, and causing disruptions in the supply chain. Examples of such
hazards include, but are not limited to: rising sea levels, flooding, severe
rains, wind gusts, droughts, snow loads, and forest fires.
Risk Long term Own operations,
joint operations,
upstream and
downstream value
chain
Climate change
adaptation
x
Stora Enso’s scenario analysis recognises that long-term (25–30 years)
changes in precipitation patterns, periods of drought, frequent extreme
weather events, and higher average temperatures that increase the risk of
forest fires and insect outbreaks, could cause damage to operations,
forests, and tree plantations. This would affect the value of forests assets
and regional wood prices. In northern regions, milder winters may also
impact the harvesting and transportation of wood and related costs. More
frequent extreme weather events also increase the risk of disruptions in the
production, logistics, and supply of raw materials and energy.
Risk Long term Own operations,
joint operations,
upstream value
chain
Climate change
adaptation
x
Opportunity due to high energy self-sufficiency, which reduces the Group’s
exposure to external cost instability and market disruptions. With access to
renewable biomass and fossil-free electricity, Stora Enso is well-positioned
to contribute to the green transition and a low-carbon economy.
Opportunity Short, medium,
and long term
Own operations Energy
Opportunity in sustainable forest management to enhance the resilience
of forest ecosystems, and the potential for changing climate to increase
tree growth and species distribution, particularly in northern latitudes.
Opportunity Medium and long
term
Own operations,
joint operations,
upstream value
chain
Climate change
mitigation
===== SIDA 92 =====
E1 disclosure requirement related to ESRS 2 SBM-3
Aligned with the Task Force on Climate-related Financial Disclosures
(TCFD) recommendations, Stora Enso utilises scenarios to assess climate
change impacts. Stora Enso has tested the resilience of its strategy and
business model in relation to climate change through multiple resilience
analyses conducted over the past years. These analyses focused on the
Group’s core business and certain operations that might be more exposed
to risks due to their location. No material physical climate change impact
risks before 2040 were identified. Resilience analyses have been
conducted for Stora Enso’s own operations, covering production assets in
Sweden, Finland, Poland, and Belgium, as well as for the forest assets in
Sweden. In addition, resilience analyses have been conducted for Stora
Enso’s joint operations in Brazil and Uruguay and the plantations in
South America.
The scenario analyses for the operational assets for Stora Enso’s own
operations and upstream operations (joint operations) were conducted as
desktop studies by reviewing location-based historical weather data
against five different climate scenarios (SSP1-1.9, SSP5-8.5). For forest assets
in Sweden, the study was done as a literature review by a third-party. The
analysis for the upstream value chain covering plantations in South
America was conducted by a third party. The time horizon on materiality
was set to 2040, with an overall horizon extending to 2100.
Stora Enso assumes that the transition to a lower-carbon and resilient
economy will affect the Group through emission reductions, regulations,
and the need to adapt operations, for example, by electrification.
The results of the resilience analysis show that operational assets in
Sweden and Finland have endured similar weather conditions in the past.
Stora Enso acknowledges that weather extremes will become more
frequent, but there is little evidence to suggest that those would have a
material impact on the ability to operate assets before 2040. Assets
located in continental Europe, are at a higher risk of climate hazards
compared to those in the Nordics. However, no material impact was
identified. The results of the resilience analysis for forest assets in Sweden
were inconclusive. A warmer climate enhances forest growth, but at the
same time, more frequent storms, drought, and pest damage may
negatively affect growth. Based on the outcome, there are both risks and
opportunities in the changing climate. There is uncertainty in the resilience
analysis, as recent climate development suggests that expected time
horizons for impacts in different scenarios might be shorter than
anticipated. In 2024, the EU’s climate service reported that for the first time,
global warming had exceeded 1.5°C over the course of an entire year.
Based on the resilience analysis, Stora Enso has the ability to adjust or
adapt its strategy to respond to climate change in the short, medium, and
long term. Climate-related transition risks relate to Stora Enso’s capability
to reduce its emissions across the value chain, and also its capability to
position its business offering to support the global transition to a low-
carbon, circular economy. Stora Enso’s operations and value chain benefit
from their wide geographical distribution, as it is unlikely that all locations
would be impacted simultaneously. In 2021, Stora Enso assessed a business
impact scenario that identified climate-related transition opportunity. The
results concluded that the overall transition to a low carbon, circular
economy is aligned with the Group’s strategy.
P o l i c i e s r e l a t e d t o c l i m a t e c h a n g e m i t i g a t i o n
and adaptation (E1-2)
The minimum requirement is that all policies and guidelines be reviewed
at least once every two years. Each policy owner shall ensure that the
documents under their responsibility are reviewed and updated within
the defined time frame.
Policy for Energy and Climate Change
The policy outlines the ambition for combatting climate change through
objectives across products, industrial operations, and the value chain. The
policy addresses the management of negative impacts related to GHG
emissions generated from Stora Enso’s own operations by continuously
improving energy efficiency and increasing the deployment of renewable
energy through a higher share of biomass. The policy also promotes
working with suppliers, customers, and partners to decarbonise the value
chain, thereby aiming to mitigate the negative impacts resulting from
emissions generated within the value chain. In addition, the policy includes
a commitment to collaborating with customers and stakeholders to
substitute non-renewable materials, and to sustainable forest
management practices. The efforts contribute to positive climate impacts
through forest carbon sequestration, the use of products as substitutes for
fossil-based alternatives, and the carbon stored in wood-based products.
The policy applies to Stora Enso’s own operations, and the EVP, Strategy
and Sustainability, is accountable for its implementation.
Environmental Guidelines
The guidelines address topics related to environmental management
and circularity, energy and climate change, pollution, water, forests,
plantations, and land use. The guidelines require that all of Stora Enso’s
production units implement and maintain a third-party certified
environmental management system. Third-party certified management
systems (ISO 14001 and ISO 50001) help improve environmental
performance and energy efficiency. In relation to energy and climate
change, the guidelines address both the negative and positive impacts
outlined in the Policy for Energy and Climate Change.
The scope of the guidelines covers Stora Enso’s own operations. The Chief
Sustainability Officer and Head of Sustainability for each division are
accountable for their implementation.
Supplier Code of Conduct (SCoC)
The SCoC outlines minimum standards for suppliers in addition to
applicable laws and regulations. The policy lists objectives for responsible
business practices, occupational health and safety, human and labour
rights, supporting and engaging with communities, and protecting the
environment. It requires suppliers to actively monitor, report, and work to
reduce GHG emissions from their own operations and value chain. The
supplier must allow Stora Enso, or a third party authorised by Stora Enso, to
verify compliance with the requirements of this SCoC through dialogue,
disclosure of information or, if considered necessary by Stora Enso, an
audit of the supplier’s operations. The policy also addresses managing the
negative impacts resulting from GHG emissions in the Group’s value chain.
The scope of the policy covers all Stora Enso’s business activities and
operations globally. Accountability for the implementation of the SCoC lies
with the EVP, Head of each division. The SCoC is provided to suppliers
during the pre-qualification process, where they are required to commit to
adhering to it.
A c t i o n s a n d r e s o u r c e s i n r e l a t i o n t o
climate change policies (E1-3)
Stora Enso’s climate ambition extends across its entire value chain,
encompassing forests, its own operations and products. The Group’s
climate ambition and mitigation actions align with the Paris Agreement
and the SBTi’s 1.5 degree pathway.
Climate change mitigation in the Group’s own operations
The action plan consists of the two decarbonisation levers described
below, encompassing the Group’s own operations. The action plan
contributes to the Group’s target to reduce GHG emissions for Scope 1 and
2 by 50% by 2030 from the 2019 baseline. The plan supports the
achievement of the objectives outlined in the Policy for Energy and Climate
Change and the Environmental Guidelines on climate change mitigation,
as well as managing the negative impacts resulting from the GHG
emissions generated in the Group’s own operations. The time horizon of
the action plan spans from short to long term.
Decarbonisation lever: energy efficiency and investments into electrification
Stora Enso focuses on continuously improving energy efficiency at its
production sites through targeted measures. The central energy and
water efficiency investment fund is an important tool for implementing
energy savings across the production units.
Our year 2024 This is Stora Enso Our strategy Our people Governance Shareholders Report of the Board of Directors Financial Statements Appendices
≡
Assured 92
===== SIDA 93 =====
To reduce greenhouse gas emissions in their energy-intensive production
processes, Stora Enso invests in e-boilers as alternatives to traditional fossil
fuel-based heating systems. For instance, a new 60 MW electric boiler was
commissioned in Anjalankoski, Finland. in 2024 to decrease the usage of
fossil fuels for heat production. In Lahti, Finland, two new electric boilers are
currently being installed and are expected to be fully operational by early
2025. These will replace fossil-based energy to further reduce the site’s
carbon emissions and enhance efficiency. Furthermore, Stora Enso is
investing in the electrification of vehicles.
By the end of 2024, the emission reduction achieved for this
decarbonisation lever was 0.08 million tonnes from the 2019 base year.
The expected emission reduction by 2030 is 0.08 million tonnes.
Decarbonisation lever: fuel switches and use of
renewable and nuclear energy
To reduce the carbon intensity of its industrial operations Stora Enso
promotes the use of various forms of low carbon electricity and heat,
including energy sources such as nuclear, wind, solar, and bioenergy.
The Group’s operations largely utilise renewable biomass fuels from forest
and process side streams. Fuel switches are implemented in both
production processes and transportation. To support its decarbonisation
targets, Stora Enso purchases Guarantees of Origin to ensure that
electricity has been generated from renewable or nuclear energy sources,
with lower greenhouse gas emission factors. Examples of measures taken
at the mills during the reporting year:
• An investment was completed to upgrade the chemical recovery line at
the Imatra pulp mill in Finland. This enhancement involved improving the
black liquor evaporation technology to increase the capacity of the
recovery line. The higher dry matter content of black liquor improves
energy efficiency and increases the share of biofuel.
• Renewal of the energy set-up and process equipment at the Heinola
fluting site, Finland, to replace the remaining fossil-based fuels with
renewable bioenergy. The expected GHG reduction is over 90%.
Construction work is expected to be completed in the latter half of 2025.
• At the end of 2023, an investment project was completed at the Enocell
pulp mill to replace fossil-based heavy fuel oil with renewable bioenergy,
such as pitch oil. The use of bioenergy has continued through 2024, and
the mill’s goal is to fully replace heavy fuel oil with bioenergy.
• The Ala mill in Sweden achieved fossil-free operations in 2024 through
efforts that include utilising bio and electric boilers for heat production,
sourcing fossil-free electricity, and implementing a fuel change in the
fleet, which now runs on renewable diesel and electricity.
In 2024, the emission reduction achieved for this decarbonisation lever
was 0.86 million tonnes. The expected emission reduction by 2030 is 0.28
million tonnes.
In addition to the decarbonisation levers described above, site and
production line closures, aligned with Stora Enso’s business model and
strategy, also impact the reduction of GHG emissions.
Climate change mitigation in the value chain
Stora Enso aims to reduce Scope 3 emissions in alignment with the
objectives of the Policy for Energy and Climate Change, the Environmental
Guidelines, and the Supplier Code of Conduct to mitigate negative
impacts on climate change resulting from GHG emissions in the Group’s
upstream and downstream value chain. While Stora Enso has identified
potential reduction areas, it has not defined decarbonisation levers for its
value chain (Scope 3). Scope 3 accounting differs inherently from Scope 1
and 2, as it involves activities beyond a company’s direct control and is still
a developing field partly due to limited primary data availability.
The two key mid- to long-term actions to address value chain emission
reduction are described below. These actions contribute to the Group’s
target to reduce GHG emissions by 50% by 2030 from the 2019 baseline.
1) Stora Enso aims to continuously improve its Scope 3 data collection and
reporting processes, focusing on improving the granularity of data down
to the production unit level. This will allow for a better-informed baseline
and support data-driven development actions. The scope of the activities
covered by the automation project spans the Group’s entire value chain.
2) Stora Enso collaborates with its raw material suppliers, logistics partners,
and customers to enhance efficiency and lower carbon intensity within
the value chain. This is a continuous, long-term action across the Group’s
upstream and downstream value chain.
By the end of 2024, the achieved emission reduction for Scope 3 was 2.93
million tonnes from the 2019 base year. The expected emission reduction
by 2030 is 0.8 million tonnes.
Climate change adaptation types
Stora Enso’s objective and approach to climate change adaption are
included as part of the Environmental Guidelines. To address the policy
objective and to mitigate the increasing risks posed by climate-related
hazards, Stora Enso implements nature-based adaptation solutions. The
scope of the action covers the Group's own operations and upstream
value chain, with a long-term time horizon. Examples of this action include:
• Increasing mixed forests, and promoting sustainable forest
management and harvesting practices, see ESRS E4.
• Enforcing diversification in wood sourcing.
• Enhancing materials efficiency, see ESRS E5.
• Monitoring water risk areas and taking relevant action, see ESRS E3.
Addressing opportunities and positive impacts
The two key actions to address the positive impact and opportunity on
climate change mitigation, as well as the opportunity to increase forest
resilience and growth, are described below. The third key action addresses
the opportunity for energy self-sufficiency. These long-term actions
contribute to the achievement of the objectives outlined in the Policy for
Energy and Climate Change and the Environmental Guidelines.
1) Promotion of sustainable forest management practices in Stora Enso’s
own and managed forests to increase the resilience of forest ecosystems
and improve forest sequestration. In 2024, the three-year average of
annual carbon sequestration in the Group’s owned or leased productive
forest lands was 4.3 million tonnes of CO2. See ESRS E1-7.
2) The Group’s innovation and product development focuses on wood-
based, renewable products that substitute fossil-based alternatives. In
2024, the substitution effect amounted to 13.5 million tonnes of CO2. In
addition, the Groups’s wood-based products stored carbon amounting to
2.5 million tonnes of CO2. See ESRS E1-7 for more details. Recent key
investments include:
• EUR 1 billion investment at the Oulu site in Finland to convert the
remaining idle paper machine into a high-volume consumer board line.
• In 2024, Stora Enso’s total spend on innovation, research and
development was EUR 78 million.
3) By securing and enhancing energy self-sufficiency, Stora Enso aims to
mitigate exposure to external cost volatility and market disruptions in its
own operations. The action consists of long-term contracts to manage
energy supply, direct market access via energy exchanges, combined
heat and power production at production units, and shareholding in the
Finnish energy company Pohjolan Voima Oyj. The Group also places
increased emphasis on harnessing its own electricity generation
capabilities and electricity demand flexibility. In 2024, Stora Enso's total
energy self-sufficiency was 72%.
Stora Enso’s EU Taxonomy aligned Capex related to climate change
mitigation was EUR 64 million and Opex EUR 66 million, see further details in
the section EU Taxonomy. The difference between the ESRS 1 and EU
Taxonomy disclosed Capex and Opex is due to Stora Enso’s central business
areas not being addressed by the current scope of the EU Taxonomy.
Stora Enso acknowledges that future investments and new technology are
required to reach its target of net-zero by 2040. Therefore, the Group
intends to continue investing in low-carbon and energy-efficient solutions.
Our year 2024 This is Stora Enso Our strategy Our people Governance Shareholders Report of the Board of Directors Financial Statements Appendices
≡
Assured 93
===== SIDA 94 =====
2.61
0.08 -0.08
-0.86
-0.52
1.23
-0.08
-0.28
1.31
Base year
2019
Production
increase
Energy
efficiency and
investments
into
electrification
Fuel switches
and use of
renewable
energy
Impacts from
site and
production line
closures
2024
emissions
Energy
efficiency and
investments
into
electrification
Fuel switches
and use of
renewable
energy
2030 target
-50% from 2019
2040 net
zero target
0
1
2
3
T a r g e t s r e l a t e d t o c l i m a t e c h a n g e m i t i g a t i o n
and adaptation (E1-4)
Climate change mitigation
In 2017, Stora Enso established a science-based target to reduce its
greenhouse gas (GHG) emissions and achieved this target nine years
ahead of schedule. In 2021, Stora Enso raised its ambition to align with the 1.5-
degree scenario. The updated target is to reduce absolute CO2eq emissions
in both its own production (Scope 1 and 2) and within the value chain
(Scope 3) by 50% by 2030 from the 2019 baseline. The targets have been
approved by the Science Based Targets initiative (SBTi) and are aligned
with the Group’s Energy and Climate Change Policy.
For setting the targets, Stora Enso uses a publicly available science-based
target-setting method for Scope 1, 2 and 3 emissions called the Absolute
Contraction Approach. Since the targets are set for absolute emission
reductions, the possible future developments, such as changes in sales
volumes or shifts in customer demand, will not alter the targets. GHG
removals, carbon credits or avoided emissions are not considered as
means to achieve the targets. See accounting principles for GHG emissions
in ESRS E1-6.
In 2023, Stora Enso reinforced its climate commitment by joining The
Climate Pledge initiative, aiming for net zero carbon emissions by 2040,
across all three Scope categories. The 2019 base year applies to both the
2023 and 2040 targets. As the target is set for absolute emission
reductions, future developments, such as changes in sales volumes or
shifts in customer demand, will not alter the target. See the accounting
principles for GHG emissions in ESRS E1-6.
By the end of 2024, Stora Enso achieved a -53% reduction in Scope 1 and 2
emissions compared to base year 2019, surpassing the target set for 2030.
The decarbonisation levers and related contribution in reductions are
disclosed in the graph ‘Achieved and planned reductions within the
Group’s own operations’. For Scope 3, Stora Enso achieved a -39%
reduction by the end of 2024.
% of GHG emissions reduction Unit 2024
Scope 1 and 2 % -53 %
Scope 3 % -39 %
Total % -43 %
Our year 2024 This is Stora Enso Our strategy Our people Governance Shareholders Report of the Board of Directors Financial Statements Appendices
≡
Assured 94
7.46
-2.93
-0.80
4.53
3.73
Base year
2019
Decarbonisation of the
upstream and
downstream value chain
2024
emissions
Decarbonisation of the
upstream and
downstream value chain
2030 target
-50% from 2019
2040 net
zero target
0
1
2
3
4
5
6
7
8
Achieved and planned GHG reductions within the Group’s own operations
CO2eq, million tonnes
Achieved and expected GHG reductions within the value chain
CO2eq, million tonnes
Achieved reductions within
the value chain by 2024
Achieved reductions in own operations by 2024
Planned reductions
in own operations
Expected reductions
within the value chain
===== SIDA 95 =====
Energy
Stora Enso has set an energy efficiency target as part of the Group’s path
towards climate neutrality and as a means to reduce negative impacts
generated by energy use. The target is to achieve on annual energy saving
of -1.1% until 2030. The target was established in 2021, and the target value is
applied for each year. At the end of 2024, Stora Enso surpassed its target
level with a projected annual energy saving of -1.6%.
The target was established with input from internal stakeholders on Stora
Enso’s Energy and Climate Userboard. The target covers the Group's
Packaging Materials, Biomaterials, and Wood Products divisions. The target
is in line with the Policy for Energy and Climate Change and supports the
achievement of the Group’s Scope 1 and 2 Science Based Targets.
Accounting principles
In addition to operational changes, the projected energy savings include
savings from the investments for which the reporting year marks the first
year of impact. Energy savings are reported as a percentage reduction
compared to total energy consumption for the year, without considering
efficiency investments. Generally, the full-year impact of an energy saving
investment is realised in the year following its implementation. The
projected energy savings exclude packaging converting units and joint
operations.
Target related to energy Unit 2024
Projected energy savings, %
(MWh saved/MWh total energy used,
electricity, heat, and fuels) % -1.6 %
E n e r g y c o n s u m p t i o n a n d m i x ( E 1 - 5 )
Accounting principles
The energy figures cover all Stora Enso production units. Aligned with the
Financial Statements, the figures include the Group’s joint operations
according to the ownership share (50%). Energy consumption in offices is
included in the figures based on estimates. Local factors are taken into
account at the units when calculating the energy content of the fuels
used.
Stora Enso applies a conservative approach according to ESRS in the split
between renewable and non-renewable sources, and only classifies
energy as renewable or nuclear-based if the origin of the purchased
energy is clearly defined in the contractual arrangements with its
suppliers. If the origin is not known, the source is classified as fossil. Some
production units that purchase electricity from the grid have estimated
their energy consumption, as invoices from the energy provider were not
available at year-end. These estimates do not have a material impact on
the Group’s total energy consumption figure.
Stora Enso’s business activities fall within high climate impact sectors:
Agriculture (Sector: Forestry, code AFO) and Manufacturing (Sector: Pulp,
Paper & Wood products, code MPW) or alternatively NACE 02 (Forestry and
logging), NACE 16 (Manufacture of products of wood), and NACE 17
(Manufacture of pulp, paper and paperboard). Therefore, the Group’s total
sales as reported in the Financial Statements is used to determine
energy intensity.
Energy consumption and mix Unit 2024
Fuel consumption from coal and coal products TWh 1.1
Fuel consumption from crude oil and petroleum
products TWh 1.2
Fuel consumption from natural gas TWh 0.5
Fuel consumption from other fossil sources TWh 1.3
Consumption of purchased or acquired electricity,
heat, steam, and cooling from fossil sources TWh 0.3
Total fossil energy consumption TWh 4.4
Share of fossil sources in total energy consumption (%) % 10.4%
Consumption from nuclear sources TWh 3.9
Share of consumption from nuclear sources in total
energy consumption % 9.3%
Fuel consumption from renewable sources TWh 33.3
Consumption of purchased or acquired electricity,
heat, steam, and cooling from renewable sources TWh 0.6
The consumption of self-generated non-fuel
renewable energy TWh 0.0
Total renewable energy consumption TWh 33.8
Share of renewable sources in total energy
consumption % 80.3%
Total energy consumption TWh 42.2
Energy intensity ratio Unit 2024
Total energy consumption from activities in high
climate impact sectors TWh 42.2
Energy intensity MWh/EUR
million 4,658
For energy balance, the figures encompass the Group's own energy
production. Electricity received at cost-based principle from Pohjolan
Voima Oyj - where Stora Enso is a minority shareholder with a 16.1%
ownership stake - is reported as its own line and included in own electricity
generation due to Mankala principle. This is further described in Financial
Statements, note 4.4 Equity instruments.
Stora Enso’s energy balance contains also external energy sales, which are
partly EU taxonomy-eligible. For more information, see EU Taxonomy.
Energy production Unit 2024
Renewable TWh 29.5
Non-renewable TWh 2.9
PVO shareholder TWh 2.5
Renewable TWh 0.4
Nuclear TWh 2.1
Total energy production TWh 34.8
G r o s s S c o p e s 1 , 2 , 3 a n d T o t a l G H G e m i s s i o n s ( E 1 - 6 )
Stora Enso's carbon footprint, following the financial consolidation
scope (aligned with ESRS)
Accounting principles
To align with the ESRS requirements, Stora Enso discloses an alternative
carbon footprint in the table below. In these figures, joint operations are
consolidated line by line into Scope 1, 2, and 3 emissions according to
the ownership share (50%). This consolidation approach is aligned with the
Financial Statements. For further accounting principles on greenhouse gas
emissions, see next page.
Stora Enso’s total sales as reported in the Financial Statements are used to
determine the greenhouse gas emission intensity.
Stora Enso’s carbon footprint 2024
(includes joint operations) Unit 2024
Scope 1 GHG emissions
CO2-eq, million
tonnes 1.33
Scope 2 GHG emissions
CO2-eq, million
tonnes 0.06
Significant Scope 3 GHG emissions
CO2-eq, million
tonnes 4.36
Total GHG emissions
CO2-eq, million
tonnes 5.75
Our year 2024 This is Stora Enso Our strategy Our people Governance Shareholders Report of the Board of Directors Financial Statements Appendices
≡
Assured 95
===== SIDA 96 =====
GHG intensity per net revenue Unit 2024
Total GHG emissions (location-based) per net revenue
CO2-eq tonnes/
EUR million 636
Total GHG emissions (market-based) per net revenue
CO2-eq tonnes/
EUR million 676
Stora Enso's carbon footprint, following the GHG Protocol’s principle of
operational control
Accounting principles
In its GHG accounting, Stora Enso follows the three standards provided by
the Greenhouse Gas Protocol of the World Resources Institute and the World
Business Council for Sustainable Development: the GHG Corporate
Accounting and Reporting Standard, the GHG Protocol Scope 2 Guidance,
and the Corporate Value Chain (Scope 3) Accounting and Reporting
Standard. Stora Enso uses the operational control approach to consolidate
these standards. The science-based targets for reducing GHG emissions
are reported as a percentage change from the baseline, which is updated
annually to reflect the current Company structure.
Scope 1 and 2 emissions include direct and indirect GHG emissions,
calculated as fossil CO2 equivalents (CO2eq), from all production units,
excluding joint operations. In addition to CO2, other relevant GHG emissions
for Stora Enso are methane (CH4) and nitrous oxide (N2O), which are
generated when using fossil and biomass fuels in the units’ power boilers.
These gases are converted to CO2eq using their respective global warming
potential based on the fourth assessment report of the Intergovernmental
Panel on Climate Change (IPCC), or fuel-specific CO2 emission factors
based on site analysis. The sources of Stora Enso’s Scope 1 factors are 2006
IPCC Guidelines for National Greenhouse Gas inventories, Chapter 2:
Stationary Combustion, and for biogenic emissions Fuel classification 2018
from Statistics Finland. HFCs are estimated to present 500 to 1,000 tonnes,
while SF6 is not applicable.
In 2024, 60% of Stora Enso’s Scope 1 emissions were from regulated
emission trading schemes. For more information on emissions covered by
trading schemes, see Financial Statements, note 4.5 Emission rights and
other non-current assets. In 2024, the biogenic emissions related to Scope 1
amounted to 9.14 (million tCO2eq). When including joint operations, the
biogenic emissions related to Scope 1 were 11.86 (million tCO2eq).
Scope 2 GHG emissions are calculated based on purchased electricity and
heat. The CO2 emission factors used for purchased energy largely follow
the market-based methodology, meaning that almost all units apply CO2
factors provided by their energy suppliers. When these are not available,
the Group applies the country-specific residual mix factor. In the absence
of residual mix factors, the most recent location-based factors provided
by the International Energy Agency (IEA) are used. The applied factors do
not separate the percentage of biogenic CO2. Scope 2 includes market
instruments, such as the trading of Guarantees of Origin for electricity.
Scope 3 emissions include fossil CO2eq emissions from other sources in the
upstream and downstream value chain of all production units. Stora Enso
follows the WBCSD guidance for Scope 3, which includes 15 potential
categories of emissions and applies an activity-based methodology for
Scope 3 accounting. This means that emissions are estimated by
multiplying the activity data with the relevant carbon emission factors.
Due to estimation based on volume materiality, some categories may be
excluded from the reporting if they are deemed insignificant to total
emissions, or not applicable to the Group’s business operations. Material
emission categories included in Scope 3 emissions are reviewed whenever
new information on data level or accounting methodology becomes
available. When primary data is not available for the carbon emission
factors of Stora Enso’s activity data, the Group utilises secondary sources,
such as EcoInvent, the Network for Transport Measures, Metsäteho, The
Alliance for Beverage Cartons and the Environment (ACE) and the
European Federation of Corrugated Board Manufacturers (FEFCO).
Occasionally proxy factors are also used.
In the 2024 reporting, the Scope 3 categories, as defined by ESRS, included:
Purchased goods and services, Fuel and energy related activities,
Upstream transportation and distribution, and Processing of sold products.
The share of primary data used based on the volume of emissions is 10%. In
GHG accounting, joint operations are included as part of Scope 3
emissions due to the lack of operational control, which is further explained
in ESRS 2 BP-1. To ensure ESRS-alignment, an alternative carbon footprint,
following the consolidation principles of the Group's Financial Statements,
has been disclosed at the start of this section.
The excluded Scope 3 categories are: Capital goods, Waste generated in
operations, Business travelling, Employee commuting, Upstream leased
assets, Downstream transportation, Use of sold products, End-of-life
treatment of sold products, Downstream leased assets, Franchises, and
Investments.
Total GHG emissions
disaggregated
Retrospective Milestones and target years
Base
year
2019 2023 2024
Change,
% 2025 2030 (2050)
Annual %
Target /
base year
Scope 1 GHG Emissions
Gross Scope 1 GHG
emissions (CO2-eq,
million tonnes) 2.27 1.17 n/a 1.13 -4.5 %
Percentage of Scope 1
GHG emissions from
regulated emission
trading schemes (%) 72% 60% n/a
Scope 2 GHG Emissions
Gross location-based
Scope 2 GHG emissions
(CO2-eq, million
tonnes) n/a 0.42 n/a
Gross market-based
Scope 2 GHG emissions
(CO2-eq, million
tonnes) 0.34 0.05 n/a 0.17 -4.5 %
Significant scope 3 GHG emissions
Total Gross indirect
(Scope 3) GHG
emissions (CO2-eq,
million tonnes) 7.33 4.53 n/a 3.73 -4.5 %
Purchased goods
and services 2.34 1.60 n/a
Fuel and energy
related activities 0.54 0.21 n/a
Upstream
transportation and
distribution 1.24 0.96 n/a
Processing of sold
products 3.21 1.75 n/a
Total GHG emissions
Total GHG emissions
(location-based) (CO2-
eq, million tonnes) n/a 6.12 n/a
Total GHG emissions
(market-based) (CO2-
eq, million tonnes) 10.00 5.75 n/a 5.04 -4.5 %
Our year 2024 This is Stora Enso Our strategy Our people Governance Shareholders Report of the Board of Directors Financial Statements Appendices
≡
Assured 96
===== SIDA 97 =====
Stora Enso’s carbon footprint 2019–2024 according to GHG Protocol
(Following the GHG Protocol’s principle of operational control, Scope 1 and 2
emissions covered by reasonable assurance)
1, 2
Fossil CO2 equivalent (million tonnes) Trend
2019 2020 2021 2022 2023 2024 2019-2024
Scope 1 2.27 2.08 2.13 1.78 1.45 1.17 -48%
Scope 2
3
0.34 0.19 0.10 0.09 0.05 0.05 -84%
Scope 3 7.46 7.21 7.67 5.65 4.88 4.53 -39%
Total 10.07 9.47 9.90 7.52 6.38 5.76 -43%
1 Scope 1+2 emissions covers Stora Enso’s production units. Includes the trading of Guarantees of Origin for
electricity. Joint operations are included in Scope 3 emissions.
2 All comparative figures are restated due to structural changes or additional data after the previous report.
3 The CO2 factors used for purchased energy (Scope 2) largely follow the market-based methodology, which
means that almost all production sites apply CO2 factors provided by their energy suppliers. When applying
available residual factors, location-based Scope 2 emissions for 2024 are 0.42 million tonnes of CO2
equivalents.
G H G r e m o v a l s a n d s t o r a g e (E1-7)
Stora Enso’s business activities are connected with GHG removals and
carbon storage, as the Group’s forests sequester carbon and its wood-
based products store carbon. While the Group does not use these
removals or storage in its greenhouse gas reporting of Scope 1, 2 and 3, the
amounts are disclosed in accordance with ESRS requirements to provide a
coherent picture of the positive impacts identified as part of the double
materiality assessment.
Stora Enso’s primary means of reducing fossil carbon emissions is through
direct action within its own operations and value chain as described in
ESRS E1-3. The Group’s carbon performance is reported without offsets as
advised by the Science Based Targets initiative. Although direct action is
the primary means of emissions reduction, some emissions currently
remain unavoidable. Therefore, carbon offsetting is used for certain Group
products to offer materials that help customers reduce their climate
impact. Offsetting for products is only done through projects that are
measurable and third-party verified, such as those in accordance with the
Gold Standard.
Accounting principles
Carbon stored by Stora Enso’s products is calculated as the average
carbon storage over 100 years from the harvest year, using the IPCC half-
life methodology. The figure has been calculated by the Swedish University
of Agricultural Sciences (SLU) based on Stora Enso’s forest and production
figures (Climate effects of a forestry company – including biogenic carbon
fluxes and substitution effects).
The forest carbon sink is calculated as the three-year average of annual
CO2 sequestration in Stora Enso’s owned or leased productive forest lands.
The carbon stored in Stora Enso’s productive forests is calculated as of end
of the reporting year. In line with the Financial Statements, the figure
contains the biological assets of the Group’s joint operations proportional
to the ownership share (50%). For further details, see Financial Statements,
note 4.2 Forest assets.
Accounting methods for forest carbon sinks and storage are not
standardised, and the chosen method and reporting period can influence
the results. In sustainably managed forests, carbon sink and storage levels
are maintained or increased throughout the forests’ management cycle.
During this cycle, factors such as harvesting and natural disturbances,
growth rates related to forest ages and types, and other possible events
can cause short-term variations in the carbon sinks and storage.
Metrics related to GHG removals and storage Unit 2024
Total GHG removals
Annual CO2 sequestration in owned or leased
productive forest lands, three-year annual average million tonnes 4.3
Total GHG storage
Total CO2 stored in Stora Enso’s productive forest as
of 31 Dec 2024 million tonnes 295
Carbon stored in Stora Enso's products million tonnes 2.5
Our year 2024 This is Stora Enso Our strategy Our people Governance Shareholders Report of the Board of Directors Financial Statements Appendices
≡
Assured 97
===== SIDA 98 =====
ESRS E2 Pollution
Material impacts, risks and opportunities (ESRS 2 SBM-3)
Pollution-related impacts and risks are connected to Stora Enso’s business
model, as the Group’s production processes generate emissions to both
air and water. This poses a risk of local significant or even critical negative
impacts for both the environment and people. During the past years, some
of the risks have materialised into local environmental incidents. The
actual negative impacts can be caused, for example, by atmospheric
emissions and aerosol loading from fuel combustion for energy
generation. Negative impacts related to water contamination are mainly
caused by water effluents and pollutants containing suspended solids,
chemical oxygen demand, total organic carbon, phosphorous, nitrogen,
and absorbable organic halogen compounds.
P o l i c i e s r e l a t e d t o p o l l u t i o n ( E 2 - 1 )
The minimum requirement is that all policies and guidelines be reviewed
at least once every two years. Each policy owner shall ensure that the
documents under their responsibility are reviewed and updated within the
defined time frame.
The Environmental Guidelines outline the commitment to comply with all
applicable legal and regulatory obligations and protecting the
environment. This means applying precautionary management actions to
mitigate and remedy potential adverse impacts on the environment and
people. The mitigation and prevention measures focus on ensuring
compliance with regulations, controlling pollution to air, water, and soil,
and implementing and maintaining environmental management systems.
The guidelines specifically address phosphorus, nitrogen, chemical oxygen
demand (COD), and absorbable organic halogen compounds (AOX), but
do not cover all pollutants. Additionally, the guidelines do not explicitly
address the avoidance of incidents and emergencies, as these are
expected to be documented in local environmental management
systems. The guidelines do not detail remediation of actual negative
impacts, as corrective actions are typically defined specifically for each
case through dialogue between authorities and the relevant production
unit. For further details on the guidelines, see ESRS E1-2.
Actions and resources related to pollution (E2-2)
The following two key actions carried out in the Group’s own operations
contribute to the achievement of the objectives outlined in the
Environmental Guidelines for preventing, mitigating, and remedying
impacts to air, water, and soil. Both long-term actions are aligned with the
target of achieving zero environmental non-compliances.
1) Managing emissions to air and water
Stora Enso’s long-term action involves implementing and maintaining
processes and systems to monitor and control emissions to air and water,
thereby effectively managing its pollution-related impacts and associated
risks. Environmental management systems are regarded as the primary
tool for driving continual improvements in processes and environmental
performance. All production sites are required to implement and uphold
third-party certified environmental management systems. At the end of
2024, 47 out of the Group's 57 production sites had an ISO 14001 certificate.
To ensure water quality and compliance with local permit limits, Stora
Enso’s board, pulp, and paper mills continuously monitor effluent
discharges, including temperature and pH levels, into local water bodies.
Compliance with local environmental permit limits is regulated and
controlled by relevant authorities, with any deviations promptly reported
to them. Regarding atmospheric emissions, Stora Enso employs advanced
technologies such as scrubbers and boiler process control systems to
reduce air emissions and mitigate odours from point sources at its
industrial units. These emissions primarily stem from fuel combustion for
energy generation and from production processes.
• As an example, a new electric boiler was commissioned at the Anjala
site in Finland in 2024, not only reducing the use of fossil fuels but also
minimising emissions to air.
2) Addressing environmental incidents and liabilities
Stora Enso addresses the management of environmental incidents by
maintaining a group-wide reporting and management process. The
approach aims to ensure regulatory compliance, adherence to permits,
and continuous improvement. It involves the following steps:
• Significant events are reported to the Board’s Sustainability and Ethics
Committee within 24 hours, and are also included in the externally
published Annual Report each year. This process aligns with the
Environmental Guidelines, which prioritise regulatory compliance,
adherence to permits, and the target of zero environmental incidents.
• Root cause analysis is carried out for each incident, and corrective and
preventive measures are decided accordingly. The analysis findings are
shared internally for ongoing improvement and prevention efforts.
Our year 2024 This is Stora Enso Our strategy Our people Governance Shareholders Report of the Board of Directors Financial Statements Appendices
≡
Assured 98
Description Impact, risk, or opportunity Time horizon
Location in the value
chain
Related sub-topic or
sub-sub-topic
Emissions to air are generated from industrial operations. Actual negative impact Short, medium, and long
term
Own operations, joint
operations
Pollution of air
Significant environmental incidents occur at industrial operations and
forestry (wood supply) operations.
Actual negative impact Short, medium, and long
term
Own operations Pollution of air/water
Stora Enso has an environmental provision related to purifying runoff water
from Kopparberg mine in Sweden before releasing the water into the
environment.
Actual negative impact Short, medium, and long
term
Own operations Pollution of water/soil
Effluents to water are generated from industrial operations. Actual negative impact Short, medium, and long
term
Own operations, joint
operations
Pollution of water
Risk of pollution-related environmental non-compliance, such as exceeding
permit limits. Incidents may damage Stora Enso’s reputation and brand,
which may result in a loss of investor and customer confidence leading to
higher cost of capital and decreased revenues. Incidents may also lead to
fines and other financial liabilities.
Risk Short, medium, and long
term
Own operations Pollution of air/water
===== SIDA 99 =====
• Internal investigations are conducted with the involvement of relevant
internal and external stakeholders for each incident. The time frame for
completion varies depending on the nature of the case. Collaboration
and dialogue with the relevant authorities are managed individually for
each case.
• Corrective and preventive measures may include, for example, training
of the Group’s own employees and suppliers, and installation of new
equipment. In some instances, Stora Enso is also subject to potential
fines from local authorities. The cases that occurred, along with the
corrective short-term actions and remediation taken in 2024, are
described in ESRS E2-3.
• Accountability for long-term consequences: Stora Enso has
environmental provisions related to remediation of an existing condition
caused by past operations. The most material provision being the
agreement between Stora Enso and the City of Falun that obligates the
Group to purify runoff water from the Kopparberg mine before releasing
the water into the environment. The provision at year-end amounted to
EUR 27 million. For all environmental provisions, see Financial Statements,
note 4.9 Provisions.
Resources related to pollution
Current and future resources to prevent and manage local pollution-
related impacts consist of operational costs, such as personnel costs,
permit-related costs, repair and maintenance costs, and wastewater
treatment chemicals.
In 2024, Stora Enso’s total environmental investments amounted to EUR 120
million. These investments were mainly targeted at improving the quality
of air and water, to enhance resource and energy efficiency, and to
minimise the risk of accidental spills. In 2024, the Group’s environmental
investments related to emissions to air and water amounted to EUR 93
million. Investments in new technology and the upgrading of existing
equipment are necessary to control and reduce environmental pollution
and its impacts. These improvements are targeted at enhancing quality of
air and water, maintaining compliance, and minimising the risk of
accidental spills into the environment. Future investments will be decided
by prioritising required improvements at industrial units.
Stora Enso’s environmental costs in 2024, excluding interest and including
depreciation, totalled EUR 208 million. These costs include taxes, fees,
refunds, permit-related costs, and repair and maintenance costs, as well
as wastewater treatment chemicals and certain other materials. In 2024,
the Group’s environmental costs related to emissions to air and water
totalled EUR 75 million.
Targets related to pollution (E2-3)
Stora Enso has a continuous target of zero significant non-compliance
events to support and promote its environmental policies and prevent
negative impacts. The target for significant environmental non-
compliance events was set in 2017, aiming for zero cases by the end of the
year. In 2017, there were a total of 10 significant non-compliance events. In
2024, there were a total of 24 significant non-compliance events, 12 of
which were related to pollution of air or water.
The target focuses on controlling air pollutants and their specific loads, as
well as emissions to water and their specific loads, since crossing of
monthly, quarterly, or annual local permit is considered as a significant
non-compliance event. The target is not based on conclusive scientific
evidence, but rather on legal compliance. The target is monitored based
on the group-wide reporting process described in ESRS E2-2. Stakeholders
were not included in the target setting.
In alignment with the Corporate Sustainability Reporting Directive, the
target is disclosed also in ESRS E4-4, covering cases related to biodiversity
and ecosystems. The cases related to pollution of air and water are
presented in the below table.
Accounting principles
The target is measured as the number of significant non-compliance
events occurred during the reporting year. The target includes Stora Enso’s
own business operations: industrial units and harvesting sites.
A non-compliance in pollution typically means crossing a specific local
monthly, quarterly, or annual permit limit of air, or emission to water. The
incidents related to pollution of air and water are reported per production
site, based on their specific environmental permissions.
Number of significant non-compliance events 2024
Related to pollution of air 4
Related to pollution of water 8
Location Description of the event Corrective and preventive measures
Alytus
sawmill,
Lithuania
Two events: Recurring
problems with water
discharges in 2024 led to
exceeded permit limits for
suspended solids and
biochemical oxygen demand
(BOD) in the water.
Implementation of additional cleaning of
water drainages and improved regular
sampling. Preparation of a new technical
solution for rainwater treatment.
Enocell mill,
Finland
Suspended solids water permit
limit exceeded
Adjusted water flows, bark press repaired,
primary sludge removal revised, and
improved measurement procedures
implemented.
Enocell mill,
Finland
Phosphorus water permit limit
exceeded
Improvements in measurement and
control procedures, including improved
model for phosphorous balance. Using
back-up water basin to improve cooling
effects and to handle high phosphorus
loads in conjunction with shutdown and
start-up.
Forest,
Finland
A small vessel transporting
floating logs sank at the Vuoksi
harbour close to Imatra mill and
leaked light fuel oil into water.
Vessel lifted and leaked oil contained
according to standard procedures.
Heinola mill,
Finland
Odorous sulphur gases spread
to the city of Heinola
Preparations to invest in a new sulphur
oven and a new absorption tower to
replace the old equipment.
Heinola mill,
Finland
Odorous sulphur gases spread
to the city of Heinola
Absorption towers’ nozzles cleaned.
Preparations to invest in a new sulphur
oven and a new absorption tower to
replace the old equipment.
Heinola mill,
Finland
Odorous sulphur gases spread
to the city of Heinola
Improved shutdown instructions and
training concerning chemicals handling.
Repairing pH measurement and
improved automation. Preparations to
invest in a new sulphur oven and a new
absorption tower to replace the old
equipment.
Plana mill,
Czechia
Two events: Water permit limits
for chemical oxygen demand
(COD) and hydrocarbon
content exceeded
Cleaning of wastewater treatment pond
and other operational corrective
activities performed. Additional
treatment technologies to improve
readiness for sudden heavy rains and
winter season under investigation.
Plana mill,
Czechia
Volatile organic compounds
(VOC) air permit limit exceeded
New environmental permit received with
higher production volumes and glue
usage. Updated chemical training for the
production staff.
Varkaus
board mill,
Finland
Phosphorus permit limit to
water exceeded
Enhanced shutdown procedures and
improved timing for sampling the monthly
water samples.
Our year 2024 This is Stora Enso Our strategy Our people Governance Shareholders Report of the Board of Directors Financial Statements Appendices
≡
Assured 99
===== SIDA 100 =====
Pollution of air, water and soil (E2-4)
Accounting principles
According to the European Sustainability Reporting Standard on Pollution,
the consolidation of each pollutant includes only the emissions from
facilities for which the applicable threshold value specified in Annex II of
Regulation (EC) No 166/2006 is exceeded.
The reporting of pollutants is a combination of unit-specific direct
measurement, estimates, and calculations of emissions. Aligned with Stora
Enso’s Financial Statements, the figures contain emissions to air and water
generated by the Group’s joint operations according to the ownership
share (50%).
Water effluents are monitored using both online and offline measurements,
such as standard methods for the forest products industry. Board, pulp,
and paper production sites monitor process water discharges, and water
pollutants such as suspended solids, chemical oxygen demand, total
organic carbon, phosphorous, nitrogen, and absorbable organic halogen
compounds. Monitoring and reporting are conducted daily, monthly, or
annually depending on the sites’ operations, pollutants, and environmental
permits. The share of the measure obtained from direct measurement is
estimated to be almost 100%.
Third party assessments are used as a basis for estimates, in particular for
heavy metal related emissions when direct measuring equipment is not
available. In these cases, the average of third-party measured values is
applied for the full year. The data is reported by each mill to Group’s
environmental reporting system based on direct measurements or
estimates based on third party calculations..
Non-compliance incidents related to pollution during 2024 are disclosed
as part of ESRS E2-3, including short-term actions regarding corrective
and preventive measures.
The pollution of soil is a material topic for Stora Enso due to the
environmental provision related to remediation of an existing condition
caused by past operations in Falun, Sweden. Within Stora Enso’s own
organisation, thresholds for pollution of soil are not exceeded, and therefore
not disclosed as part of ESRS E2-4.
Emissions to air by pollutant Unit 2024
Carbon monoxide (CO) tonnes 5,202
Ammonia (NH3) tonnes 189
Non-methane volatile organic compounds (NMVOC) tonnes 1,352
Nitrogen oxides (NOx/NO2) tonnes 7,435
Sulphur oxides (SOx/SO2) tonnes 335
Copper and compounds (as Cu) kg 130
PCDD + PCDF (dioxins + furans) (as Teq) kg 30
Chlorine and inorganic compounds (as HCl) tonnes 41
Particulate matter (PM10) tonnes 1,178
Hydro-fluorocarbons (HFCs) kg 649
Emissions to water by pollutant Unit 2024
Total nitrogen tonnes 517
Total phosphorus tonnes 63
Cadmium and compounds (as Cd) kg 312
Copper and compounds (as Cu) kg 1,370
Mercury and compounds (as Hg) kg 15
Nickel and compounds (as Ni) kg 570
Zinc and compounds (as Zn) tonnes 9
Halogenated organic compounds (as AOX) tonnes 195
Total organic carbon (TOC) (as total C or COD/3) tonnes 4,593
Our year 2024 This is Stora Enso Our strategy Our people Governance Shareholders Report of the Board of Directors Financial Statements Appendices
≡
Assured 100
===== SIDA 101 =====
ESRS E3 Water and marine resources
M a t e r i a l i m p a c t s , r i s k s a n d o p p o r t u n i t i e s ( E S R S 2 S B M - 3 )
P o l i c i e s r e l a t e d t o w a t e r a n d m a r i n e r e s o u r c e s ( E 3 - 1 )
The minimum requirement is that all policies and guidelines be reviewed
at least once every two years. Each policy owner shall ensure that the
documents under their responsibility are reviewed and updated within the
defined time frame.
The Environmental Guidelines are described in ESRS E1-2. For managing
water-related negative impacts and risks as defined in the above table in
SMB-3, the guidelines set the founding principles for efficient, low, and
optimised water use. This encompasses water withdrawal, water
treatment, and process water discharges. More specifically, the guidelines
outline the commitment to reducing the impacts of water use, enhancing
efficiency and recycling, improving water quality, minimising water
pollution, and mitigating and remediation of any potential adverse
impacts on environment and people.
ISO 14001 environmental management system comprises on-site
management procedures for identifying and assessing material water-
related impacts, risks, and opportunities focusing on the local material
water issues with the highest priority. Process water is minimised with
tailored activities to achieve continuous improvements. The wastewater
treatment facilities that treat the process water from production
processes aim to prevent ecological harm cased by discharged water.
The impacts on local communities are addressed as part of the
Environmental and Social Impact Assessments for new industrial projects,
as well as through due diligence processes for mergers, acquisitions, and
divestments.
Most of the production units are located in areas where water is generally
abundant, and water scarcity is closely monitored. Water risks are
identified for ground and surface water scarcity, failures of water related
equipment, flooding, runoff and rising water levels, and for raw water
temperature implications.
Actions and resources related to water and marine
resources (E3-2)
Stora Enso’s four key long-term actions to improve water use efficiency
and to mitigate potential negative impact in areas of water scarcity are
described below. The actions contribute to the objectives of the
Environmental Guidelines on protecting the environment.
1) Site-specific investments in technology and equipment are done on an
annual basis to enhance water efficiency. The amount varies between the
years. In 2024, the Group’s energy and water efficiency fund supported
water-related investments of approximately EUR 2 million at four
production sites. These investments are estimated to reduce the Group’s
water discharges by 2 million cubic meters and total costs by
approximately EUR 2 million annually. In the Financial Statements, these
investments are included in the note 4.1 Intangible assets, property, plant
and equipment and right-of-use assets. This action supports the targets of
reducing specific process water discharges and decreasing the trend for
total water withdrawal as described in ESRS E3-3.
2 ) Action is taken locally to manage the potential impact related to
productions units that are located in areas with water stress. WRI Aqueduct
Water Risk Atlas is used to assess water-related risks at production sites,
providing information on water scarcity, stress, flooding, and water quality.
Examples of initiatives from year 2024 to address water stress include:
• Beihai mill in China implemented several initiatives to enhance water
efficiency. For example, the mill began reusing power plant drainage
waters in other parts of the production. As a result of these measures,
both specific total water withdrawal and specific process water
discharges have decreased compared to the previous year.
• At the Langerbrugge mill in Belgium, water discharges were reduced by
approximately 5% compared to the previous three years mainly by
recovering full blow down of scrubbers.
3) Continuous efforts are taken at the production sites to optimise water
use by utilising only freshwater from surface, ground, and municipal
sources. After use, the process water is cleaned at treatment plants before
being returned to the local ecosystem. As an outcome, almost 95% of
water is recycled back into the environment, while only around 5% of water
is consumed in production processes. This action helps to mitigate the
impact generated by both water consumption and withdrawal.
4) To mitigate the risk of environmental incidents or exceeding permit
limits related to water effluents, Stora Enso monitors water usage and
discharges into water bodies in accordance with the limits established by
environmental permit processes. For detailed actions, see section
ESRS E2-2.
During 2024, EUR 16 million of grants have been repaid back to authorities in
Belgium. This repayment stemmed from a 2019 legionella-related incident,
classified as an environmental infringement. The case was resolved in
court in 2024. For further details, see Financial Statements, note 4.8
Our year 2024 This is Stora Enso Our strategy Our people Governance Shareholders Report of the Board of Directors Financial Statements Appendices
≡
Assured 101
Description Impact, risk, or opportunity Time horizon Location in
the value chain
Related sub-topic or
sub-sub-topic
Stora Enso’s industrial operations withdraw significant amounts of water.
Production of board, pulp, and paper requires substantial amounts of
water, accounting for over 99% of the Group’s total water withdrawal.
Actual negative impact Short, medium, and
long term
Own operations Water withdrawals
Water withdrawal and consumption occur in areas of water scarcity. Potential negative impact Short, medium, and
long term
Own operations Water withdrawals;
Water consumption
Water-intensive production processes. Actual negative impact Short, medium, and
long term
Own operations, joint
operations
Water consumption
Industrial operations impact freshwater ecosystems through water
discharges.
Actual negative impact Short, medium, and
long term
Own operations, joint
operations
Water discharges
Risk of an environmental incident or exceeding permit limits related to
water effluents, leading to negative impact on environment and/or
people. Incidents may also damage Stora Enso’s reputation and brand,
which may result in a loss of investor and customer confidence leading
to higher cost of capital and decreased revenues. Incidents may also
lead to fines and other financial liabilities.
Risk Short, medium, and
long term
Own operations Water discharges
Majority of the production sites are located in areas with low water stress
which contributes to consistent and sufficient water supply and ensures
operational stability and efficiency. Moreover, it supports the Group’s
long-term resilience against climate change as areas with a low risk of
water inadequacy are less likely to experience the adverse impacts of
climate change, such as prolonged droughts or water scarcity.
Opportunity Medium and long term Own operations Water withdrawal;
Water consumption
===== SIDA 102 =====
Operative liabilities. In 2024, Stora Enso’s water-related costs were EUR 20
million. For further details on the Group’s environmental costs and
investments, see ESRS E2-2.
Targets related to water and marine resources (E3-3)
To reduce its actual negative impacts related to water use, Stora Enso has
established a target on reducing specific process water discharges per
saleable tonne (m
3
/tonne) by 17% by 2030 from the 2019 baseline (36 m
3
).
On water withdrawal, Stora Enso has a continuous target on decreasing
the trend for total water withdrawal per saleable tonne (m
3
/tonne) from
the 2016 baseline (60 m
3
). The targets were not achieved for 2024. Water
performance per saleable tonne, measured over rolling four quarters, has
been impacted by lower production volumes as a steady water flow
needs to be maintained at the water treatment plants.
The targets are in line with the Environmental Guidelines, defining the
founding principles for water management Setting a target on water is not
mandated by legislation. External stakeholders were not involved in the
target setting. The target is not based on conclusive scientific evidence.
Accounting principles
The targets have been established for operations with most significant
impact on water use, and include process water and cooling and non-
contact water intake. Process water discharges include the discharges by
selected board, pulp, and paper production sites as cubic metres (m
3
) The
target for total water withdrawal contains all board, pulp, and paper
production sites. The water withdrawal and discharges are normalised by
dividing water m
3
with the total production of board, pulp, and paper as
saleable tonnes (t) during the same period. Detailed accounting principles
are available in ESRS E3-4.
Targets related to water Unit 2024
Process water discharges per saleable tonne of board,
pulp, and paper m
3
/tonne 34
Total water withdrawal per saleable tonne of board,
pulp, and paper m
3
/tonne 60
W a t e r c o n s u m p t i o n ( E 3 - 4 )
Production of board, pulp, and paper requires substantial amounts of
water, accounting for over 99% of the Group’s total water withdrawal.
These units predominantly draw process and cooling water from surface
water sources, with 98% of the total water withdrawal derived from surface
water in 2024. Approximately 2% is sourced from municipal or groundwater
supplies. According to the WRI Aqueduct Water Risk Atlas tool, five of the
Group’s production units operate in regions with High Baseline Water
Stress: Beihai in China, Langerbrugge in Belgium, Wujin and Qianan
corrugated units in China, and Łódź in Poland. During 2024, these units
withdrew 15.7 million m
3
of water, which is 4% of the Group’s total water
withdrawal. The process water discharges of these units were 12.7 million
m
3
, which is 6% of the Group’s total process water discharges. Stora Enso
does not store water within is production sites.
Accounting principles
Aligned with the Financial Statements, the water related metrics include
the Group’s joint operations according to the ownership share (50%). The
Group continuously improves the accuracy of water reporting and
consolidation of data. The data is reported by each mill to the Group’s
environmental reporting system.
Total water withdrawal includes process water and cooling and non-
contact water intakes by all industrial units as cubic metres (m
3
). Total
water discharges include the discharges of all industrial units as cubic
metres (m
3
). In 2022, the Group implemented a standardised procedure to
report water at board, pulp, and paper units, where cooling and process
water flows are measured in different positions at the units. Due to this, the
calculated figures do not always correspond to the measured figures of
total water withdrawal. The share of the measure obtained from direct
measurement is estimated to be approximately 58%.
The reported water consumption includes estimated water in products,
residuals, and waste, as well as volumes of evaporated water to air from
process water cooling towers, from wastewater treatment plants, and
from cooling towers for non-contact water at the Group’s mills. Sawmills,
corrugated production units, and offices are included in the consumption
figures based on estimates. The calculation of water consumption builds
on the Confederation of European Paper Industries’ (CEPI) method of
describing water use and consumption, and the Swedish Environmental
Research Institute’s (IVL) report on Water Profile for the Swedish forest
industry. It is estimated that approximately 25% of the total volume of
water consumption is obtained through direct measurement.
The total water recycled and reused is reported based on the amounts of
reused cooling and non-contact water.
Water intensity ratio is calculated as the Group’s total water consumption
in m
3
per million EUR of the Group’s total sales as reported in the Financial
Statements.
Metrics related to water Unit 2024
Total water withdrawals million m
3
401
Total water discharges million m
3
379
Total water consumption million m
3
19.6
Total water consumption in areas at water risk,
including areas of high-water stress million m
3
1.6
Total water recycled and reused million m
3
18.6
Water intensity ratio m
3
/million EUR 2,169
Our year 2024 This is Stora Enso Our strategy Our people Governance Shareholders Report of the Board of Directors Financial Statements Appendices
≡
Assured 102
===== SIDA 103 =====
ESRS E4 Biodiversity and ecosystems
T r a n s i t i o n p l a n a n d c o n s i d e r a t i o n o f b i o d i v e r s i t y a n d
ecosystems in strategy and business model (E4-1)
In 2021, Stora Enso introduced a new sustainability agenda centred around
three focus areas: climate, biodiversity, and circularity. This was preceded
by an assessment of Stora Enso’s business model and strategic resilience
in relation to future key sustainability risks and opportunities. The
assessment process engaged internal stakeholders from all divisions,
while also seeking input from external experts. The assessment did not
include consultations with affected communities. The assessment’s time
horizons were set to 2030 and 2050.
The assessment's focus was on transition events, such as increasing
legislation and external stakeholder pressure. These key risks are further
described in SBM-3. The resilience assessment covered Stora Enso’s own
operations and incorporated a number of scientific studies and analysis,
one of the most important being the Planetary Boundary concept by
Stockholm Resilience Center. The concept identifies nine planetary
boundaries, and crossing them leads to physical, systemic risks that are a
threat to society. In 2021, two of the planetary boundaries - climate change
and biodiversity loss - were crossed, both relevant for Stora Enso. Since
then, four more boundaries have been crossed. The analysis did not cover
the upstream and downstream value chain.
The results of the analysis indicated that biodiversity loss is proceeding at
an accelerated speed, and stakeholders expect companies to address
systematic climate and biodiversity related risks beyond their own
industries. The conducted analysis indicates that in order to future-proof
Stora Enso’s business and strategy, it is imperative for its operations and
products to actively remove carbon from the atmosphere and contribute
to halting biodiversity loss. Additionally, responsible business practices
should be implemented to ensure that the Group operates within the
defined planetary boundaries for other Earth systems, such as freshwater
use.
As an outcome, Stora Enso established a transition plan designed for
driving new opportunities and future-proofing the Group’s business in an
environment that is constantly changing on an accelerated pace. For
biodiversity, a target was established on achieving a net-positive impact
on biodiversity in the Group’s own forests and plantations by 2050. The
long-term goal is supported by a set of biodiversity indicators, with defined
intermediate targets. The transition plan for climate is presented under
ESRS E1-1.
M a t e r i a l i m p a c t s , r i s k s a n d o p p o r t u n i t i e s ( E S R S 2 S B M - 3 )
E4 disclosure requirement related to ESRS 2 SBM-3
Stora Enso had a total of 2.1 million hectares of owned or leased lands in
2024. Additionally, the Group purchased wood from approximately 21,000
private forest owners. The Group does not have direct impact on land-use
change as existing forests are not converted to agriculture, plantations,
or other purposes. In the double-materiality assessment, no material
negative impact with regards to land degradation, desertification, or soil
sealing was identified.
In addition to its own forestry sites, Stora Enso sources most of its wood
from private and other forest owners in Finland, Sweden, Norway, the
Baltics, and Central Europe. These harvesting sites are considered to be
part of Stora Enso’s upstream value chain. The Group's own forests and
harvesting sites of the local forest owners may be located near
biodiversity-sensitive areas, but significant negative impact is not
typically caused to these habitats due to strict policies and harvesting
practices. However, in 2024 significant local negative impact was caused
Our year 2024 This is Stora Enso Our strategy Our people Governance Shareholders Report of the Board of Directors Financial Statements Appendices
≡
Assured 103
Description
Impact, risk,
or opportunity Time horizon
Location in
the value chain
Related sub-topic or
sub-sub-topic
Sustainable forest management maintains forest health and vitality. Active
biodiversity management and conservation in forest operations, such as
spatially optimising the volume of deadwood and protection of key habitats,
contribute to positive biodiversity impact.
Actual positive impact Short, medium, and long
term
Upstream value chain,
Own operations, joint
operations
Direct exploitation
Negative impacts to biodiversity, such as damage to key habitats or species,
can result from unsustainable forest management and harvesting practices
or levels.
Actual and potential
negative impact
Short, medium, and long
term
Upstream value chain,
Own operations
Direct exploitation
Environmental non-compliance cases in forestry (wood supply) operations
occurred during the year.
Actual negative impact Short Upstream value chain,
Own operations
Direct exploitation;
Endangered species
and their habitat
Dependency on wood as raw material, which makes Stora Enso vulnerable to
wood price fluctuations. The rising market demand for wood has led to
increased prices in recent years. There is also a potential risk of new policies
and regulations related to forestry and biodiversity that could limit harvesting
levels in EU forests. This could result in wood price increases and potential
supply limitations, which may adversely affect the competitiveness of
products.
Risk Short, medium, and long
term
Upstream value chain,
Own operations
Impacts and
dependencies on
ecosystem services
Biodiversity loss can reduce the value of Stora Enso’s forest assets and
decrease forests’ resiliency to external calamities. Biodiversity loss can impact
the acceptability of wood as raw material.
Risk Medium and long term Own operations, joint
operations
Impacts and
dependencies on
ecosystem services
Risk of non-compliance related to harvesting, such as damage to ecologically
sensitive areas or non-compliance with regulations. Incidents may damage
Stora Enso’s reputation and brand, which may result in a loss of investor and
customer confidence leading to higher cost of capital and decreased
revenues. Incidents may also lead to fines and other financial liabilities.
Risk Short, medium, and long
term
Upstream value chain,
Own operations
Direct exploitation
Owning forests provides Stora Enso with strategic advantages, including
securing a reliable and consistent wood supply, reducing reliance on external
suppliers, promoting environmental stewardship through sustainable forestry
practices, preserving and actively managing biodiversity, and contributing to
carbon sequestration efforts.
Opportunity Short, medium, and long
term
Own operations, joint
operations
Impacts and
dependencies on
ecosystem services
New technology enables effective collection and processing of biodiversity
data. Stora Enso combines science, technology and data to develop models
to optimise biodiversity management and conservation in the Group’s forests
and wood supply.
Opportunity Short, medium, and long
term
Upstream value chain,
Own operations, joint
operations
Impacts and
dependencies on
ecosystem services;
Endangered species
and their habitat
Climate change related physical risks on biodiversity and the Group’s forest assets are described in ESRS E1.
===== SIDA 104 =====
to an endangered species and its habitat near one of the harvesting sites
in Finland. See further details in ESRS E4-4.
As per the Corporate Sustainability Reporting Directive, Stora Enso’s
material forestry sites fall into two categories: sites under operational
control and sites within the value chain, where the Company holds 50%
ownership, or less. In all operations, actual negative impacts on
biodiversity may occur through harvesting and other activities, and some
of the sites may be located near biodiversity-sensitive areas.
Forestry site
Direct
operational
control
Ecological
status
Activities
impacting
ecological
status
Biodiversity-
sensitive areas
impacted
Sweden (own
forest)
1
Yes Moderately
modified
Forestry
operations
Yes
China
1
Yes Largely
modified
Forestry
operations
(plantations)
No
Brazil
1
No Largely
modified
Forestry
operations
(plantations)
No
Uruguay
1
No Largely
modified
Forestry
operations
(plantations)
No
Tornator -
Finland, Estonia,
Romania
2
No Moderately
modified
Forestry
operations
No
Private forest
owners: Finland,
Sweden, Norway,
Baltics
No - Forestry
operations
Yes
1 Stora Enso has identified a financial dependency on the biodiversity and ecosystems related to the sites it
owns directly or jointly, as the biodiversity and ecosystem condition may impact the value of the assets in
the long-term.
2 Tormator Oyj is a 41%-owned Finnish associate company.
P o l i c i e s r e l a t e d t o b i o d i v e r s i t y a n d e c o s y s t e m s ( E 4 - 2 )
The minimum requirement is that all policies and guidelines be reviewed
at least once every two years. Each policy owner shall ensure that the
documents under their responsibility are reviewed and updated within the
defined time frame.
Wood and Fibre Sourcing, and Land Management Policy
Stora Enso’s Wood and Fibre Sourcing, and Land Management Policy
outlines the approach to responsible sourcing of wood and fiber from
sustainably managed forests and tree plantations. The policy addresses
sustainable forest and land management practices, which safeguard the
health and ecological functions of ecosystems and help conserve
biodiversity, soil, and water resources. The policy also addresses the
prevention of negative impacts and potential risks to biodiversity that may
arise from unsustainable forest management and harvesting practices or
levels. The Environmental Guidelines introduced in ESRS E1-2 further
elaborate on the policy objectives. The key contents of the policy include:
• utilising wood in an efficient way to ensure high added value from the
resources;
• promoting sustainable forest and land management practices with
forest owners;
• monitoring the condition of forests and results of management
activities, and using, for example, forest certifications to promote and
verify sustainable forest management;
• utilising traceability systems to ensure that all the wood and fiber used in
own operations originates from legal sources;
• designing and managing tree plantations as part of local land use and
contributing to sustainable livelihoods;
• recognising the unique economic and cultural rights of indigenous
peoples.
In addition, the policy forbids procurement of wood and fiber which:
• has been illegally harvested;
• logged in protected areas or areas currently undergoing official
processes of designation for protection, unless the logging is clearly in
line with national conservation regulations;
• harvested in forests where High Conservation Values are threatened by
logging;
• sourced from areas undergoing conversion from forest or other wooded
ecosystems to plantations or non-forest uses, unless such conversion is
justified on grounds of net social and environmental gain; or
• harvested in violation of traditional rights or civil rights.
The scope of the policy cover the Group's own operations and upstream
value chain, and EVP, Forest division, is accountable for implementation of
the policy. The policy does not specifically relate to material dependencies,
or physical and transition risks or opportunities.
Supplier Code of Conduct
The Supplier Code of Conduct sets the minimum requirements on
suppliers with the obligation to protect the environment, among other
topics. It specifically obliges the supplier to understand the connections
that its business may have on impacts on biodiversity and, as relevant, act
to safeguard biodiversity. The policy addresses the negative impacts and
risks, which may result from unsustainable forest management practices.
The Supplier Code of Conduct is required to be signed as part of the pre-
qualification process. See ESRS E1 for further details on the policy.
Biodiversity and ecosystem protection is included in Stora Enso Wood and
Fibre Sourcing, and Land Management Policy. Stora Enso has not adopted
policies specifically to sustainable sea practices.
Actions and resources related to biodiversity
and ecosystems (E4-3)
Science and technology to model current and future impacts
The following two actions contribute towards the objectives of the Wood
and Fibre Sourcing, and Land Management Policy. The actions relate to the
opportunities enabled by new technology for optimised biodiversity
management and conservation, and enhancing positive biodiversity
impact. The actions support the achievement of the net positive target on
biodiversity as described in ESRS E4-4.
1) Creation of a science-based framework to validate the net positive
impact on biodiversity in the Nordic forests. Leveraging science,
technology and data, the framework will enable forecasting of biodiversity
impacts and thus allows operations to be adapted towards the net
positive target. The backbone of the science-based framework is built on
digital forest data. In early 2024, Stora Enso signed a partnership with the
International Union for Conservation of Nature (IUCN) to gain external
expert insights for further development of the framework. Scope of the
framework encompasses the Group’s own operations and managed
forests in the Nordics (upstream value chain). The framework is being
developed through the collaboration and expected to be finalised within
the coming years.
2) The development of advanced technologies supports the goal of
enabling a more integrated approach to managing biodiversity and wood
production in forest landscapes. Precision forestry programme utilises
Artificial Intelligence to create a highly accurate digital twin of the forest,
integrating multiple data layers into a digital platform. This data can be
used to model forest management actions in a certain area and predict
their potential impact on rare species. The scope of the action covers the
Group’s own and managed forests, and is expected to continue medium
to long term.
Biodiversity and sustainable forestry
Stora Enso strives to actively enhance biodiversity as an integral part of
sustainable forest management. The following three actions contribute to
the Group’s net positive target on biodiversity, and the objectives of the
Wood and Fibre Sourcing, and Land Management Policy.
Our year 2024 This is Stora Enso Our strategy Our people Governance Shareholders Report of the Board of Directors Financial Statements Appendices
≡
Assured 104
===== SIDA 105 =====
1) Biodiversity action programme, implemented in 2022 for the Group’s own
forest in Sweden, aims to employ management measures to enhance
biodiversity throughout the forest’s life cycle. Some aspects of this
programme have also been extended to private suppliers’ forests in the
Nordics. The monitoring of these activities is currently under development,
and so far, primarily demonstrated through a set of science-based
biodiversity indicators to holistically monitor different aspects of
biodiversity (see ESRS E4-5). Additionally, Stora Enso collaborates with
private forest owners in Finland, Sweden, and the Baltics to support them in
biodiversity and forest management, utilising insights also from the
forest owners.
2) In the Northern forests, Stora Enso is dedicated to long-term forest
management that adheres to the principles of sustainable forest
management. In retention forestry (even-aged forestry), the most
common method in the North, thinning occurs in middle-aged forests to
promote growth of vital trees for a healthy forest. Final harvesting involves
clear-felling while retaining biodiversity features such as living trees in
groups and buffer zones, and conserving and producing deadwood. The
forest is regenerated by planting seedlings adapted to the site. The
species and structural diversity of the forests are enhanced through
natural regeneration during the rotation cycle. Some examples of the
action carried out in the Northern forests during 2024 included:
• Restoring wetlands in the Group’s own forest in Sweden, and in Finland in
collaboration with Tornator to improve the conditions for various
species. In the long run, wetlands will turn into carbon sinks. In the
Group’s own forest in Sweden, approximately 20 hectares of wetland
was restored during 2024.
• Restoring sunny slope environments in Finland, an area that is more
exposed to sunlight and consequently creates a unique habitat, in
collaboration with Tornator, to enhance the conditions for species that
thrive in these areas.
• Approximately 39 million tree seedlings planted or delivered for planting
in the Nordics.
3) In 2023, new biodiversity indicators were introduced for Stora Enso’s joint
operations in South America’s plantation areas to demonstrate the link
between biodiversity management actions and their outcomes, ensuring
that purposeful biodiversity measures are implemented with monitorable
results. The implementation is expected to continue in the coming years.
Forest certification and deforestation-free practices
Stora Enso takes continuous actions to respond to the objectives of the
Wood and Fibre Sourcing and Land Management Policy and the Supplier
Code of Conduct on sustainable sourcing of wood and sustainable forest
management practices. Continuous forest regeneration measures are
complemented by the following three actions to address the risk related to
non-compliance in harvesting operations.
1) Stora Enso has implemented forest certifications and third-party
traceability systems to know the origin of the wood and to ensure that it
comes from sustainable sources. These include the Forest Stewardship
Council’s (FSC) Chain of Custody/Controlled Wood scheme, the Chain of
Custody/Due Diligence System of the Programme for the Endorsement of
Forest Certification (PEFC), and the ISO 14001 environmental management
system. The action continues on long-term and encompasses all wood
sourcing operations (own operations and upstream value chain).
It contributes to the target on forest certification coverage described in
ESRS E4-4.
2) Stora Enso does not establish tree plantations in natural forests,
protected areas, or water-sensitive locations, and only uses land with low
biodiversity values, such as former pastureland. The action continues on
long-term and encompasses plantations in South America.
3) In 2024, the Group’s 50% owned joint operation, Montes del Plata in
Uruguay, received the FSC Ecosystem Services recognition (FSC-C016979)
acknowledging the performance of companies that take action on the
restoration and conservation of forest ecosystem services. Veracel, the
50% owned joint operation in Brazil, was the first company in Brazil with
planted forest to receive this recognition in 2020 (FSC-C017612).
For engagement with affected communities, see ESRS S3.
Resources to manage biodiversity and forest management
Forests are a locally available strategic resource. At the end of 2024, Stora
Enso’s forest assets, including leased land, were valued at EUR 8.9 billion,
spanning 2.1 million hectares globally. Stora Enso meets 36% of its wood
raw material needs from its own sources and long-term agreements. The
Group’s forests assets contribute to carbon sequestration (described in
ESRS E1-7), biodiversity conservation, and the mitigation of financial risks
related to wood dependency and availability. For more information on
Stora Enso’s forest assets and related valuation, see Financial Statements,
note 4.2 Forest Assets.
In addition to owning forests, Stora Enso’s current resources (and those
anticipated for the future) to manage biodiversity and forest
management include operative costs related to personnel in the
biodiversity programmes and forest management, operating tree
nurseries, forest certification fees, and the development of precision
forestry.
During the year, Stora Enso supported restoration activities related to an
environmental incident in Hukkajoki, Finland, by approximately 150,000
euros. The incident is being investigated as a serious nature
conservation crime and further described in ESRS E4-4. Additionally,
following the incident, Stora Enso has entered into negotiations with
Metsähallitus Parks & Wildlife Finland concerning long-term cooperation
aimed at protecting and restoring the habitat of freshwater mussels in
river water systems in Finland.
In 2024, the Group’s Forest management and Conservation forestry -
related EU taxonomy-eligible opex was EUR 25 million and capex EUR 9
million. Description of taxonomy-eligible activities is provided in the section
on EU Taxonomy.
Stora Enso has not used biodiversity offsets in its action plans.
T a r g e t s r e l a t e d t o b i o d i v e r s i t y a n d e c o s y s t e m s ( E 4 - 4 )
Biodiversity
Stora Enso is committed to achieving a net-positive impact on biodiversity
in its own forests and plantations by 2050 through active biodiversity
management. Biodiversity impact indicators measure how well
biodiversity is preserved in harvesting, according to internal standards and
requirements. Stora Enso’s current target is to reach 90% performance for
each indicator, meaning that at least 90% of surveyed sites meet the best
practices for biodiversity as defined in the Group’s biodiversity
requirements. The target was set in 2022, with a baseline value 84%. The
target is to reach 100% performance for each indicator by 2030. At the end
of 2024, the total compliance rate was 89%, progressing towards the target
set for 2030.
The target relates to identified impacts in relation to the Group's own
operations and upstream value chain, and is aligned with Stora Enso’s
Wood and Fibre Sourcing, and Land Management Policy. When considering
the mitigation hierarchy, the target can be allocated to all layers:
avoidance, minimisation and restoration of impacts. The target was set
before the Kunming-Montreal Global Biodiversity Framework and EU
biodiversity strategy for 2030 were established, but is aligned with
their targets.
Ecological thresholds and allocations were not considered when setting
the target. Whilst the target is set in line with scientific research, it is not
based on conclusive scientific evidence. External stakeholders were not
included in the target setting. Biodiversity offsets were not used in the
target setting.
Accounting principles
Biodiversity indicators measure the compliance ratios of inspected
harvesting sites against Stora Enso’s specific biodiversity indicators for
Sweden, Finland, and the Baltics. The consolidated ratios across the three
regions are weighted averages using the harvested volumes in each
region as a weight.
Our year 2024 This is Stora Enso Our strategy Our people Governance Shareholders Report of the Board of Directors Financial Statements Appendices
≡
Assured 105
===== SIDA 106 =====
Compliance rate of biodiversity impact indicators Unit 2024
High stumps creation % 82%
Ground deadwoods preservation % 83%
Soil and water protection % 94%
Prioritised habitat preservation % 96%
Tree retention % 85%
Buffer zone preservation % 93%
Total % 89%
Forest certification
Biodiversity is an integral part of forest certifications, including protection
of valuable ecosystems. To promote sustainable forest management
practices and related positive impacts, Stora Enso has set a continuous
target to maintain a forest certification coverage level of at least 96% for
the Group’s own and leased forest lands. The target was set in 2013, with
a baseline value 93%. The forest certification coverage has remained
stable and amounted to 99% in 2024.
The geographical scope of the target includes Stora Enso’s owned lands in
Sweden, owned and leased lands in China, and owned and leased lands of
its joint operations in Uruguay and Brazil. The target relates to identified
impacts in relation to its own and upstream value chain, and is aligned
with Stora Enso’s Wood and Fibre Sourcing, and Land Management Policy.
When considering mitigation hierarchy, the target can be allocated to
minimisation and restoration of impacts. Ecological thresholds and
allocations were not considered when setting the target, and it is not
based on conclusive scientific evidence. The basis for reporting (FSC
certificates) is verified by FSC, but the consolidated metric is not validated
by an external body other than the assurance provider. External
stakeholders were not included in the target setting. Biodiversity offsets
were not used in the target setting.
Accounting principles
The forest certification scheme coverage is calculated based on the
proportion of land in wood production and harvesting owned or leased by
Stora Enso that is covered by forest certification schemes. Reporting on
total land area and its forest certification coverage is aligned with
financial reporting on forests assets.
Target related to biodiversity and ecosystems Unit 2024
Forest certification scheme coverage % 99%
Sustainable forestry
Stora Enso has a target on zero environmental non-compliances, as
described in ESRS E2-3. Stora Enso defines a significant non-compliance
related to forestry operations as a legal environmental non-compliance or
permit violation, or a breach that has irreversible environmental or social
impact. Target was not met for 2024, as there were 12 non-compliance
events related to sustainable forestry or biodiversity.
Ecological thresholds and allocations were not considered when setting
the target, and it is not based on conclusive scientific evidence. External
stakeholders were not included in the target setting. Biodiversity offsets
were not used in the target setting.
Biodiversity or forestry related significant non-compliance events
Non-compliance events 2024
Number of significant non-compliance events related
to sustainable forestry or biodiversity 12
Location Description of the event Corrective and preventive measures
Forest,
Finland
River crossing without correct
water protective measures
caused significant damage to
local population of freshwater
pearl mussels.
Immediate restoration of the river
crossing site was initiated. This incident
led to the development of a
comprehensive programme to enhance
training for staff, contractors, and
subcontractors, as well as improving the
planning and implementation of forestry
and water conservation measures near
sensitive habitats. The costs related to the
incident are described in ESRS E4-3.
Forest,
Finland
Crossing of a small creek
without correct water protective
measures linked to small-scale
disturbance to freshwater pearl
mussels.
Instructions and procedures related to
water crossings updated and training
provided.
Forest,
Finland
Harvesting too close to a water
spring.
Updated procedures for communication
between planner and harvesting operator
to verify work instructions.
Forest,
Finland
Wood stored on site of hybrid
pasque flower, a rare spring
flower.
An IT system limitation identified and
removed.
Forest,
Finland
An area of 0.06 ha of private
conservation area was logged.
Updated procedures to ensure that the
most recent map information will be
included in harvesting instruction.
Forest,
Finland
Harvesting without forest use
declaration.
IT system error identified and corrected.
Forest,
Sweden
Road pipe connected to a
stream in the Natura2000 area
changed without necessary
consultation with County
Administration Board.
New routines for Natura2000 areas and
connected streams.
Forest,
Sweden
Harvesting too close to
individual findings of the
orchid Goodyera repens.
Review of instructions to ensure that
planning of sites in areas with known
findings is conducted only during the
flowering period to facilitate sightings.
Forest,
Sweden
Groundwork preparing for a
quarry was done outside the
permitted time-period, risking
disturbance to a nesting
golden eagle.
New routines for establishing quarries
were created.
Forest,
Sweden
Quarry enlarged 24 m
2
outside
permitted area.
Mark all quarries with legal permits in the
field.
Forest,
Sweden
Harvesting 1.7 ha without
harvesting notification.
New routines established for harvesting
sites with multiple measures.
Forest,
Sweden
Harvesting 1.3 ha without
harvesting notification.
New routines established for harvesting
sites with multiple measures.
Our year 2024 This is Stora Enso Our strategy Our people Governance Shareholders Report of the Board of Directors Financial Statements Appendices
≡
Assured 106
===== SIDA 107 =====
I m p a c t m e t r i c s r e l a t e d t o b i o d i v e r s i t y
and ecosystems change (E4-5)
Stora Enso has selected three types of indicators to measure biodiversity
based on their value for forest biodiversity according to science:
• Biodiversity impact indicators monitor harvesting operations in the
Northern forests as reported in ESRS E4-4.
• Long-term biodiversity indicators follow developments in response to
the biodiversity action programme in the Group’s own forest in Sweden.
• Biodiversity indicators for tree plantations monitor developments in
South American plantations, where biodiversity is protected and
restored in dedicated set-aside areas. These metrics are not disclosed
as part of Stora Enso’s Sustainability Statement due to the lack of direct
operational control. Stora Enso exercises its ownership share to
negotiate on the required actions to advance positive impacts.
All these indicators have been used internally for years, but recently Stora
Enso has started to report them externally on its website to enhance
transparency.
In 2024, some of Stora Enso’s sites negatively impacted biodiversity-
sensitive areas. The descriptions and impacted hectares for incidents are
disclosed in ESRS E4-4.
Key forest-related figures
Accounting principles
As wood is Stora Enso’s most important raw material, information on
company-owned forest resources (type, standing stock, growth,
harvesting, and certification) is essential for contextualising the
biodiversity impacts of the operations. Aligned with the Financial
Statements, the figures include the wood procurement of the joint
operations according to the ownership share (50%).
Wood procurement includes total amounts of wood (roundwood and
chips) procured for delivery to Stora Enso’s units (million m
3
, solid under
bark). The reporting on third-party certified wood as a percentage of total
supply is based on actual deliveries to the mills. Internal deliveries between
the mills have been eliminated.
Metrics related to forest Unit 2024
Total amount of wood delivered to Stora Enso's sites million m
3 29.0
% of third-party certified wood of total wood supply % 85%
% of wood from own sources or long-term supply
agreements % 36%
% of wood from managed semi-natural forests in
Europe % 83%
% of wood from tree plantations % 17%
The estimated annual forest growth and total standing stock are counted
for productive forest areas. Million m
3
fo refers to million forest cubic
meters. The annual forest growth figures are based on estimates, whereas
the annual harvesting is based on actual data. Total standing stock and
the related accounting principles are disclosed in the Financial
Statements, note 4.2 Forest assets, section ‘Valuation and standing stock of
forest assets’.
Annual forest growth and harvesting and total
standing stock Unit 2024
Estimated annual forest growth million m
3
fo 13.9
Stora Enso's own forests, Sweden 5.9
Tornator (41%) 1.5
Guangxi 1.2
Montes del Plata (50%) 2.9
Veracel (50%) 2.3
Annual harvesting million m
3
fo 10.5
Stora Enso's own forests, Sweden 4.1
Tornator (41%) 1.4
Guangxi 1.1
Montes del Plata (50%) 2.4
Veracel (50%) 1.6
Total standing stock million m
3
fo 214.6
Stora Enso's own forests, Sweden 153.7
Tornator (41%) 33.8
Guangxi 4.2
Montes del Plata (50%) 16.0
Veracel (50%) 6.8
Forests, plantations and lands as of 31 December 2024
Accounting principles
To provide information on the extent of ecosystems, Stora Enso has
prepared an entity-specific disclosure on the hectares of the material
forest lands. Figures for land areas, and their forest certification coverage,
include Stora Enso’s own and leased forest assets. The figures measure
area coverage, rather than condition of ecosystems. For more information,
see Financial Statements, note 4.2 Forest assets.
Aligned with the Financial Statements, the joint operations and the equity-
accounted investment in Tornator, Finland, are consolidated based on
Stora Enso’s ownership stakes in these companies.
Our year 2024 This is Stora Enso Our strategy Our people Governance Shareholders Report of the Board of Directors Financial Statements Appendices
≡
Assured 107
===== SIDA 108 =====
Unit Area
1
Certification coverage
Details of local landscapes
and protected areas
Owned lands
Swedish forest holdings 1,410,000 ha, of which
1,150,000 productive forest
land
PEFC and FSC for 1,410,000
ha
Protected areas total to 451,000 ha and consist of
productive or non-productive land, which has been
set-aside from wood production and infrastructure
development either voluntarily or by legal
requirements.
Montes del Plata
plantations and lands,
Uruguay (50% owned joint
operation with Arauco)
223,000 ha, of which
130,000 ha planted for pulp
production
PEFC and FSC for 190,000
ha; FSC 32,000 ha
Protected areas total to 90,000 ha and consist of
remnants of native ecosystems, such as grasslands
and riparian forests, within the company’s lands.
Local landscape consists mainly of pasturelands
and agricultural fields.
Veracel plantations and
lands, Bahia, Brazil (50%
owned joint operation with
Suzano)
207,000 ha, of which 82,000
ha planted for pulp
production
CERFLOR (PEFC) for 188,000
ha; FSC for 188,000 ha
Protected areas total to 99,000 ha, including 6,000 ha
Private Natural Heritage Reserve, and mostly consist
of native forest remnants at different stages of
regeneration. Local landscape consists of
pasturelands and agricultural fields cleared from
Atlantic rainforest between the 1950s and 1980s.
Tornator (41%-owned associated company)
Finland 700,000 ha, of which
626,000 productive forest
land
PEFC for 700,000 ha and
FSC for 700,000 ha
Protected areas total to 66,000 ha and consist of
productive and non-productive land, which has
been set-aside from harvesting either voluntarily or
by legal requirements.
Estonia 65,000 ha, of which 59,000
productive forest land
PEFC for 65,000 ha and FSC
for 65,000 ha
Protected areas total to 2,400 ha.
Romania 12,000 ha, of which 12,000
productive forest land
PEFC for 12,000 ha and FSC
for 12,000 ha
Protected areas total to 160 ha.
Leased lands
Plantations and lands,
Guangxi, China
62,000 ha, of which 54,000
ha planted
Chinese Forest
Certification Council
certificate (PEFC) for 62,000
ha; FSC for 62,000 ha
Protected areas total to 7,600 ha and consist
of buffer zones and other important areas for
protection of watersheds and native flora and fauna.
No pristine ecosystems are found in the leased lands.
Local mosaic landscape includes agricultural crop
fields, forest plantations, and settlements.
Montes del Plata 85,000 ha, of which 74,000
ha planted
PEFC for 83,000 ha and FSC
for 83,000 ha
Protected areas total 11,000 ha and consist
of remnants of native ecosystems, such as
grasslands and riparian forests. Local landscape
consists mainly of pasturelands and agricultural
fields. In most of the leased areas, protected areas
are excluded from lease agreements.
Veracel 27,000 ha, of which 12,000
ha planted
CERFLOR (PEFC) for 14,000
ha; FSC for 14,000 ha
Protected areas total to 12,000 ha and consist of
native forest remnants at different stages
of regeneration.
1 Reported as total areas of the companies. Stora Enso’s share corresponds to the ownership share. Includes operations where Stora Enso’s shareholding is significant and
the size of the area exceeds 1,000 hectares.
Our year 2024 This is Stora Enso Our strategy Our people Governance Shareholders Report of the Board of Directors Financial Statements Appendices
≡
Assured 108
===== SIDA 109 =====
ESRS E5 Resource use and circular economy
M a t e r i a l i m p a c t s , r i s k s a n d o p p o r t u n i t i e s ( E S R S 2 S B M - 3 )
Policies related to resource use
and circular economy (E5-1)
The minimum requirement is that all policies and guidelines be reviewed
at least once every two years. Each policy owner shall ensure that the
documents under their responsibility are reviewed and updated within
the defined time frame.
Circularity Guidelines
The Circularity Guidelines outline the Group’s commitment to contributing
to a circular economy and addressing the opportunities and positive
impacts outlined in the table ‘Material impacts, risks and opportunities’.
The core principles of the guidelines encompass design for renewable and
recycled materials, reducing the use of virgin material, a commitment to
using fewer resources to produce a product, and designing out waste.
The design for circular business models encompasses circular sourcing,
which involves procuring products and services that align with circular
economy principles. The guidelines cover the Group’s full materials value
chain and all geographies. The accountability for the implementation of
the guidelines lies with the EVP, Head of each division.
Environmental Guidelines
The Environmental Guidelines describe the approach to environmental
management (see ESRS E1-2). Related to circularity and resource use, the
guidelines outline the commitment to use renewable forest-based
resources – both virgin and recycled fiber – to promote circularity. This
entails using of raw materials efficiently, reducing process residuals,
reusing fiber, creating business opportunities from process residuals and
by-products, and reducing waste to landfills to close to zero. Additionally,
the guidelines emphasise seeking partnerships with stakeholders and
customers to introduce new renewable products to the market. Stora Enso
is committed to responsible sourcing to protect ecosystems, preserve
biodiversity, and safeguard soil and water resources. The Group supports
sustainable forest management and requires its external pulp suppliers to
adhere to similar principles in wood and fiber procurement.
The guidelines address the management of all the material impacts, risks,
and opportunities listed in the table ‘Material impacts, risks and
opportunities’.
Actions and resources related to
resource use and circular economy (E5-2)
The actions described below support the objectives of both
the Environmental Guidelines and Circularity Guidelines.
Circular products and solutions
Stora Enso creates positive impacts and identifies opportunities in the
circular economy through its wood-based products. Negative impacts are
associated with the amount of outflows which are managed through the
actions described below to ensure recyclability.
1) Designing for recyclability is integrated in product development to
ensure that the Group’s materials are widely accepted in recycling
streams and capable of being transformed into new products. This is a
continuous action to meet the Group’s target of 100% technically
recyclable products by 2030.
2) Expansion of capacity within consumer packaging with a EUR 1 billion
investment in Oulu, Finland, to convert the idle paper machine into a high-
volume consumer board production line. The new line, set to start
operations in the first half of 2025, utilises new technologies that enable
lighter packaging materials and greater resource efficiency. The mill will
leverage by-products from forest management and wood processing for
the manufacturing of products.
Our year 2024 This is Stora Enso Our strategy Our people Governance Shareholders Report of the Board of Directors Financial Statements Appendices
≡
Assured 109
Description
Impact, risk,
or opportunity Time horizon
Location in
the value chain
Related sub-topic or
sub-sub-topic
Contribution to circular economy through products and solutions that enable
customers to respond to the growing consumer demand for sustainable products.
Actual positive impact Short, medium, and
long term
Own operations,
upstream and
downstream value
chain
Resource outflows
related to products
and services
Significant amounts of resource outflows generated through products. Most of Stora
Enso’s products are technically recyclable, but actual recyclability and circular
economy depend on system level changes.
Actual negative
impact
Short, medium, and
long term
Downstream value
chain
Resource outflows
related to products
and services
While most of the residuals from industrial operations are utilised in other production
processes, waste is still generated and landfilled.
Actual negative
impact
Short, medium and
long term
Own operations, joint
operations
Waste
Industrial operations require significant volumes of raw materials. While most of the
total process material usage is based on renewable materials, sourcing these raw
materials has an impact on people and the environment (for example, a negative
impact on biodiversity; see ESRS E4).
Actual negative
impact
Short, medium, and
long term
Own operations, joint
operations, upstream
value chain
Resources inflows,
including resource use
Dependency on upstream value chain for raw materials. The ongoing nature crisis
may cause supply chain disruptions. Increasing regulation may impact the raw
material costs. Increasing input costs or availability of materials, goods and services
may adversely affect Stora Enso’s profitability. Climate change related impacts are
described in ESRS E1.
Risk Medium and long term Own operations, joint
operations, upstream
value chain
Resources inflows,
including resource use
Stora Enso’s strategy is strongly aligned with circular economy principles, focusing on
generating revenue through renewable products. The Group’s wood-based products
serve as carbon capture and can be reused, recycled, or converted into energy at the
end of their lifecycle. Furthermore, Stora Enso has made a significant investment in
expanding its board production capacity in Oulu, Finland, and actively supports
recycling through strategic partnerships and investments in recycling infrastructure.
The Group also sees substantial opportunities in transforming process residuals into
new products through innovation and research, thereby generating new revenue
streams and reducing waste.
Opportunity Short, medium, and
long term
Own operations,
upstream and
downstream value
chain
Waste; Resource
outflows
Regulatory changes can also present significant opportunities by driving market
growth for sustainable products and creating competitive advantage through
resource efficiency and renewability.
Opportunity Short, medium, and
long term
Own operations,
upstream and
downstream value
chain
Waste; Resource
outflows
===== SIDA 110 =====
3) Further development of Stora Enso’s building concepts using mass
timber products, which enable the design of mixed-use, flexible, and
adaptable buildings. An example of this is the new Stora Enso head office
in Helsinki, Finland, completed in 2024. The building features lightweight,
prefabricated mass timber elements, designed for adaptability to
future needs.
The risk associated with the Group’s products are linked to climate-related
supply chain disruptions and changes in regulatory requirements.
Regulatory changes can also bring opportunities by driving market growth
for sustainable products and create competitive advantages through
resource efficiency and renewability. To address these risks and
opportunities, Stora Enso actively monitors regulatory developments and
participates in trade and industry associations dedicated to advancing
recycling practices in society.
Value chain cooperation
Stora Enso has identified opportunities to enhance the collection, sorting,
and recycling infrastructure for recyclable products through partnerships
and collective initiatives. The long-term action consists of various
collaborations and initiatives, such as:
• Improvement of collection, sorting, and recycling of post-consumer
paper and packaging materials in Europe. The production site in
Ostrołęka, Poland, features a beverage carton recycling facility that
detaches fibers from polymers and aluminium. These fibers are then
recycled into cartonboard materials, contributing to material circularity
by transforming used paper-based packaging into new paper-based
materials. The non-fiber fraction of the cartons, polyAI, is recovered and
recycled in a dedicated facility by a Swedish packaging company Tetra
Pak.
• Continuous active participation in the cross-industry alliance
4Evergreen, which develops tools and guidelines for the packaging
industry to improve the recyclability of fiber-based packaging.
• Involvement in the four-year European innovation project, Woodcircles,
which aims to enhance the circular utilisation of wood in construction.
The collaboration focuses on reducing waste and resource
consumption, with Stora Enso responsible for developing a construction
product made from recycled wood material.
Resource use
To prevent and minimise actual negative impacts on environment caused
by resource-intensive production processes, Stora Enso continuously focuses
on enhancing resource efficiency and reducing waste. The actions to
minimise waste are closely connected with the opportunities to transform
side streams into new products, aligned with the target for the utilisation of
process residuals (see ESRS E5-3). Key actions during the reporting year:
1) Utilisation of secondary raw material: in Poland, Stora Enso owns and
manages a network of fourteen depots, where Paper for Recycling (PfR) is
collected and baled for transportation to Stora Enso’s Ostrołeka site in
Poland and to external PfR customers.
2) Continuous development to reduce polymer content in barrier coatings
to minimise environmental impacts, with most recent new product
launched in 2023. In 2024, Stora Enso also continued its engagement in the
Recycled Materials Challenge (ReMatCh) programme, collaborating with
value chain partners on how to better apply the cascading principle to
polymers, particularly those found in barrier layers.
3) Collaboration in a new five-year research programme, ‘Emission Free
Pulping’, led by VTT Technical Research Centre of Finland and the Swedish
research institute RISE. The programme aims to significantly reduce
biomass burning and increase the product yield from wood, from
approximately 50% to around 70%.
4) Partnership with Altris, a Swedish developer of sodium-ion batteries, to
drive the adaptation of Stora Enso’s lignin-based product in Altris’ sodium-
ion battery cells, supporting the establishment of a European battery
value chain.
5) Long-term agreement with Södra, Sweden’s largest forest owner
association, under which Södra will supply Stora Enso with kraft lignin from
Södra’s Mönsterås site in Sweden. The facility is set to begin operations in 2027.
6) Collaboration with Stora Enso’s Forest division in Finland and the mills in
Imatra, Heinola, Enocell, and Oulu with the overall aim of creating a new
forest ash fertiliser product using ash from the mills. The first steps were
taken in 2024, and the work towards achieving this goal continues in 2025.
Efforts to enhance energy efficiency are described in ESRS E1, and water
efficiency actions in ESRS E3.
To address the risk related to dependency on upstream value chain for
raw materials, Stora Enso entered into an agreement to acquire 100% of the
Finnish sawmill company Junnikkala Oy. The acquisition aims to secure a
cost-efficient wood supply for Stora Enso’s packaging board site in Oulu,
Finland, and to support Stora Enso’s wood products business with new
production assets. The transaction is subject to customary closing
conditions including regulatory approvals.
Resources related to resource use and circular economy
Stora Enso’s current and future resources to manage opportunities under
circular economy consist of capital expenditures related to product
portfolio optimisation, such as the Oulu site conversion project in Finland
(Action 2. described under ‘Circular products and solutions’). Further details
on investments can be found in the Financial Statements, note 4.1
Intangible assets, property, plant an equipment and right-of-use assets.
In 2024, Stora Enso signed a EUR 435 million bilateral loan with the European
Investment Bank to support the financing of the Oulu investment. In
addition, Stora Enso has two outstanding green bonds issued in 2023, with
part of the proceeds being used to support the investment in Oulu. Further
details on interest-bearing assets and liabilities can be found in the
Financial Statements, note 5.3 Interest bearing assets and liabilities.
T a r g e t s r e l a t e d t o r e s o u r c e u s e
and circular economy (E5-3)
Circular economy
To address the opportunity related to the Group’s resource outflows
associated with its products and services, Stora Enso has set a target to
increase circular product design, aiming for 100% technical recyclability of
its products by 2030. The target was established in 2021, with a baseline
value 93%. By the end of 2024, 94% of the Group’s products were technically
recyclable.
The target aligns with one of the core principles of the Group’s Circularity
Guidelines, ‘Design for recyclability’, and relates to the EU’s waste hierarchy
category ‘Recycling’. This target is not mandated by regulation and is not
based on conclusive scientific evidence. External stakeholders were not
involved in setting the target.
Accounting principles
Product circularity is calculated based on the technical recyclability of
products and their production volumes consolidated as tonnes. The
figures are based on actual weight or estimates based on weight
conversion. Technical recyclability is defined by international standards
and tests when available, such as those by CEPI (Confederation of
European Paper Industries) and PTS (Papiertechnische Stiftung). In the
absence of these, Stora Enso’s own tests or estimates that prove
recyclability are used.
The reporting scope includes Stora Enso’s packaging, pulp, paper, and solid
wood products, as well as biochemical by-products.
Target related to circular economy Unit 2024
Technically recyclable products % 94%
Resource efficiency
To address the negative impact related to residuals and waste generated
in Stora Enso’s production processes, the Group has set a waste
management target related to waste diverted from disposal, specifically
Our year 2024 This is Stora Enso Our strategy Our people Governance Shareholders Report of the Board of Directors Financial Statements Appendices
≡
Assured 110
===== SIDA 111 =====
the process residuals utilisation rate. The continuous target is to maintain
the utilisation rate above 98%. The target was set in 2017, with a baseline
value 98%. By the end of 2024, the utilisation rate was 99%, and above the
target level.
The target aligns with the Environmental Guidelines and aims to minimise
waste, relating to the EU’s waste hierarchy category ‘Other recovery’ (for
example, energy recovery). This target is not mandated by regulation and
is not based on conclusive scientific evidence. External stakeholders were
not involved in setting the target.
Accounting principles
The figures cover process-related residuals and waste from all production
units, excluding joint operations. Residuals and waste not related to
production processes are reported separately. The figures are
consolidated as dry tonnes. The figures are based on actual weight or
estimates.
The target covers process waste and residuals, such as ash, sludge, chips,
and wood waste from production units. Utilisation includes energy
generation, landscaping, landfill construction, road construction, pulp
manufacturing, brick and cement manufacturing, and agricultural use, as
well as new approaches and products. The scope excludes sawdust and
wood cutting savings for internal pellets production. Tall oil, turpentine,
lignin, sodium biosulphite, biocomposite, and soap are considered
products and therefore excluded.
Target related to resource use Unit 2024
Process residuals utilisation rate % 99%
R e s o u r c e i n f l o w s ( E 5 - 4 )
Stora Enso’s operations require significant volumes of raw materials,
creating a dependency on the upstream value chain. While most of the
total process material use is based on renewable materials, sourcing
these raw materials has impacts the environment and people. The
ongoing nature crisis may cause supply chain disruptions, and increasing
regulation may affect raw material costs. Climate change-related
impacts are described in ESRS E1.
Stora Enso’s critical raw material is wood. The Group’s fiber-based
products are derived from renewable resources, primarily wood fibers
from sustainably managed forests. In 2024, 93% of the total resource
inflows were based on biological materials, including wood, purchased
pulp, paper and board, and starch. Many of the products are FSC or PEFC
certified, or receive other verification for responsible chain-of-custody and
due diligence. The proportion of third-party certified wood in Stora Enso’s
total wood supply was 85%, resulting in a total of 77% sustainably sourced
biological materials used in 2024. The Group applies the principle of
cascading use of wood, ensuring that all parts of harvested trees, forestry
residuals, and industrial side streams are used in the most economically
and environmentally efficient way before being used as energy.
In 2024, Stora Enso utilised 1.3 million tonnes of Paper for Recycling (PfR) in
its products, such as recycled newsprint and containerboard. By actively
collecting, sorting, and recycling materials, Stora Enso helps to ensure that
the value of renewable materials is prioritised, with recycled content
directed toward the highest-value applications.
Chemicals, pigments, and fillers comprise approximately 4% of the Group’s
total material use. Chemicals are assessed before purchase and use,
ensuring requirements are adequately addressed for legal compliance,
health and safety, environmental protection, product safety, eco-labels,
and circularity. Stora Enso works to substitute dangerous chemicals and
engages with suppliers to find alternative products.
Plastics used for products and their packaging include fossil-based virgin
plastics 47,900 tonnes, bio-based virgin plastics 4,600 tonnes, and recycled
plastics 1,200 tonnes.
The majority of Stora Enso’s product portfolio comprises raw materials and
packaging solutions designed for customers’ products. Therefore, Stora
Enso’s own packaging for its products mainly consists of wraps and pellets.
The share of packaging out of the total material inflow is estimated to be 2%.
Stora Enso is dependent on water for its production processes, as
disclosed in ESRS E3.
Accounting principles
Metrics related to resource inflows cover biological and technical process
raw materials used for products and their packaging as delivered to Stora
Enso’s production units. Aligned with the Financial Statements, the figures
include the joint operations according to ownership share (50%).
The figures are based on actual weight measurement or delivered values.
Wood is converted from delivered cubic meters to fresh tonnes (including
water content) by using an average conversion factor for tree species
processed by Stora Enso. The data is reported by each mill to the Group’s
environmental reporting system.
Metrics related to resource inflows Unit 2024
Wood thousand tonnes 31,743
Purchased pulp, paper and board thousand tonnes 620
Starch thousand tonnes 114
Total weight of biological materials thousand tonnes 32,477
Chemicals thousand tonnes 819
Pigments and fillers thousand tonnes 417
Plastics thousand tonnes 54
Recycled board and paper thousand tonnes 1,329
Total weight of technical materials thousand tonnes 2,618
Total weight of materials thousand tonnes 35,095
Sustainably sourced biological materials used to
manufacture the products % 77%
Secondary reused or recycled materials % 4%
Secondary reused or recycled materials thousand tonnes 1,330
Resource outflows (E5-5)
Products and materials
Stora Enso contributes to the circular economy through its products and
solutions that enable customers to respond to the growing consumer
demand on sustainable products. Through an in-depth customer
understanding and close relationships with its customers, Stora Enso
designs products to be functional and valuable throughout their lifecycle.
The Group’s circular guidelines are disclosed in ESRS E5-1 and actions
regarding circular products and solutions are detailed in ESRS E5-2. The
technical recyclability of Stora Enso’s products is disclosed in E5-3. Since
Stora Enso is mainly a producer of materials rather than products, the
expected product durability and repairability are not relevant to report for
the Group.
Stora Enso has an opportunity to contribute to society with renewable raw
materials and solutions: wood-based products serve as alternatives to
fossil-based materials, and can be reused, recycled, or used for energy at
the end of their lifecycle. The Group also provides recycling solutions and
services through its use of recycled materials (packaging and paper), and
in its partnerships and investments in recycling infrastructure.
The key products and materials from production sites consist of
packaging, pulp, paper, and solid wood products as well as biochemical
by-products. In 2024, approximately 92% of the materials used in products
and their packaging were renewable, including wood, recycled board and
Our year 2024 This is Stora Enso Our strategy Our people Governance Shareholders Report of the Board of Directors Financial Statements Appendices
≡
Assured 111
===== SIDA 112 =====
paper, and starch. The majority of Stora Enso’s products are either raw
materials or packaging designed for customers’ products. Therefore, Stora
Enso’s own packaging for its products mainly consist of wrappings and
pellets. The share of packaging in the total materials and products put on
the market is estimated to be 2%.
Accounting principles
The rate of recyclable content in products are calculated according to
principles disclosed in ESRS E5-3, based on the technical recyclability of
products and their production volumes consolidated as tonnes. The
figures are based on actual weight or estimates based on weight
conversion. In addition, an estimate of the weight of the packaging and its
recyclable content is included. When calculating the rate, the numerator
used is the weight of the recyclable content in the products and their
packaging, while the denominator is the total weight of the products and
their packaging. In order to avoid double-counting, internal deliveries are
eliminated from the figures.
Metrics related to resource outflows Unit 2024
Rate of recyclable content in products and products
packaging % 92%
Waste
In 2024, Stora Enso's total amount of waste generated was 1,365 thousand
tonnes, out of which 93% was diverted from disposal. The majority of the
generated waste constituted of bark and mixed sludge. Stora Enso’s sites
generate and distribute energy to local district heating systems and
industrial partners, largely based on the incineration of harvesting and
production process residuals. For more information, see ESRS E1-5.
Accounting principles
Stora Enso’s waste reporting builds upon relevant EU legislative
frameworks and policies including the EU Circular Economy Action Plan,
Directive 2008/98/EC of the European Parliament and of the Council
(Waste Framework Directive) and the EU industrial strategy. For forest
industry, the relevant waste streams include ash, sludge, chips, and wood
waste from production units.
The figures include waste from all production units. In addition, aligned
with the Financial Statements, the figures include the Group’s joint
operations according to ownership share (50%). The waste generated at
offices are included based on estimates.
Diversion from disposal includes energy generation, landscaping, landfill
construction, road construction, pulp manufacturing, brick and cement
manufacturing, and agricultural use.
To avoid double-counting, the scope excludes sawdust and wood cutting
savings for internal pellets production. Materials with official by-product
status are excluded from the reported waste, and include methanol, bark,
ash, tall oil, turpentine, sodium biosulphite, and soap.
The waste figures are consolidated as dry tonnes, and the figures are based
on actual weight measurement. The data is reported by each mill to the
Group’s environmental reporting system.
Metrics related to resource outflows Unit 2024
Total amount of waste generated thousand tonnes 1,365
Total amount of waste diverted from disposal thousand tonnes 1,273
Non-hazardous waste thousand tonnes 1,249
Preparation for reuse thousand tonnes 42
Recycling thousand tonnes 219
Other recovery operations thousand tonnes 988
Hazardous waste (incl. radioactive) thousand tonnes 24
Preparation for reuse thousand tonnes 22
Recycling thousand tonnes 0
Other recovery operations thousand tonnes 1
Total amount of waste directed to disposal thousand tonnes 92
Non-hazardous waste thousand tonnes 47
Incineration thousand tonnes 1
Landfill thousand tonnes 40
Other disposal operations thousand tonnes 6
Hazardous waste (incl. radioactive) thousand tonnes 45
Incineration thousand tonnes 2
Landfill thousand tonnes 41
Other disposal operations thousand tonnes 1
Total amount of non-recycled waste thousand tonnes 1,145
Percentage of non-recycled waste % 84%
Total amount of hazardous waste thousand tonnes 69
Total amount of radioactive waste thousand tonnes 0
Our year 2024 This is Stora Enso Our strategy Our people Governance Shareholders Report of the Board of Directors Financial Statements Appendices
≡
Assured 112
===== SIDA 113 =====
Social information
In this section
S1 Own workforce 113
S2 Workers in the value chain 119
S3 Affected communities 121
ESRS S1 Own workforce
Material impacts, risks and opportunities (ESRS 2 SBM-3)
Our year 2024 This is Stora Enso Our strategy Our people Governance Shareholders Report of the Board of Directors Financial Statements Appendices
≡
Assured 113
Description Impact, risk, or opportunity Time horizon
Location in
the value chain
Related sub-topic or
sub-sub-topic
Stora Enso offers employment opportunities for approximately 19,000
employees.
Actual positive impact Short, medium, and long
term
Own operations, joint
operations
Secure employment
Active promotion of work-related rights, such as freedom of association,
collective bargaining agreements, work councils, and trade unions.
Actual positive impact Short, medium, and long
term
Own operations Social dialogue; Freedom
of association
Promotion of gender diversity and equal wage in a male dominant industry. Actual positive impact Short term Own operations Diversity; Gender equality
and equal pay for work of
equal value
Training and development opportunities for employees. Actual positive impact Short, medium, and long
term
Own operations Training and skills
development
Stora Enso pays adequate wages to its employees. The Group adheres to
minimum wage regulations and pays at par or above the legal
requirements.
Actual positive impact Short, medium and long
term
Own operations Adequate wages
Despite preventive safety measures, safety incidents still occur, particularly
at the production sites. Some sites have a higher risk level due to specific
equipment and labour-intensive processes.
Actual negative impact Short, medium, and long
term
Own operations, joint
operations
Health and safety
Profit improvement programme launched in February 2024, resulting in
redundancies across operations.
Actual negative impact Short term Own operations Secure employment
Discrimination, bullying, or harassment might occur despite zero tolerance. Potential negative impact Short, medium, and long
term
Own operations Measures against violence
and harassment in the
workplace
Stora Enso relies on talented individuals to implement its strategy and
achieve commercial success. Attracting and retaining qualified personnel
may be challenging due to intense competition for top-tier talent. The loss
of key employees, the inability to attract new or adequately trained
employees, or a delay in hiring key personnel could seriously harm Stora
Enso’s business and impede reaching the Group’s strategic objectives.
Risk Short, medium, and long
term
Own operations Secure employment
Serious or fatal injuries to employees, contractors, or third parties might
occur despite active efforts to identify, mitigate, and manage safety-related
risks. Impacts, in addition to physical injury, health effects and
environmental damage, could include liability to employees or third parties,
damage to reputation, or an inability to attract and retain skilled employees.
Government authorities could additionally enforce the closure of Stora
Enso’s operations on a temporary basis.
Risk Short, medium, and long
term
Own operations, joint
operations
Health and safety
===== SIDA 114 =====
S1 disclosure requirement related to ESRS 2 SBM-3
Stora Enso’s actual and potential impacts, risks, and opportunities originate
from the Group’s business model and strategy. The identified positive
impacts are a result of a proactive approach to people development,
which helps in retaining skilled employees. The Group recognises the
importance of having a talented workforce, and through active actions, it
aims to retain skilled employees and top-tier talents who are crucial for
implementing the Group’s business model and strategy, and achieving
commercial success. The negative impacts related to restructuring are a
direct result of the Group’s 2024 profit improvement programme,
impacting nearly all of Stora Enso's operations.
The disclosure on ESRS S1 covers all individuals in Stora Enso's own
workforce who could be materially impacted by the Group. This includes
those employed directly by the Stora Enso, as well as safety of contractors
working at the Group’s premises. Through its operations, Stora Enso directly
impacts approximately 19,000 employees. In addition to its own employees,
the Group also works with workers classified as non-employees by ESRS, as
there are often contractor employees working at the production sites. The
annual maintenance of mills leads to a temporary increase in the number
of contractor workers. Furthermore, Stora Enso relies on contractors for the
De Jong units in the Netherlands (Business Unit Western Europe), as well as
its forestry operations and packaging units in China.
Stora Enso acknowledges that employees at its production sites have a
higher likelihood of experiencing safety incidents. Certain sites have been
identified as having a higher risk level due to the nature of their operations,
which involve specific equipment and labour-intensive processes.
Stora Enso’s positive impacts are directed towards its own employees,
though these impacts may vary between different locations and
countries.
Stora Enso’s material impacts do not arise from transition plans for
reducing negative impacts on the environment, or achieving greener
and climate-neutral operations. The Group has not identified countries,
or geographic areas within in its own operations with a heightened risk of
compulsory, forced, or child labour.
Policies related to own workforce (S1-1)
The minimum requirement is that all policies and guidelines be reviewed
at least once every two years. Each policy owner shall ensure that the
documents under their responsibility are reviewed and updated within the
defined time frame.
Occupational Health and Safety Policy
The policy addresses managing safety risks and potential negative
impacts from safety incidents. It outlines safety objectives and
governance for health and safety management, integrating them into
annual planning and reporting. The scope of the policy covers the Group’s
own employees and those working on behalf of Stora Enso. The Safety
Network, comprising the safety representatives from the divisions and
functions, is accountable for the implementation of the policy.
Stora Enso has a safety management system for managing occupational
health and safety risks, certified according to ISO 45001:2018. In 2024, 42 out
of 57 operational units were externally certified according to the ISO
standard.
Stora Enso Code
The Code sets a single set of values for all employees and provides them
with the tools to make the right decisions in their work, while promoting
transparency and ethics. In relation to topics concerning its own workforce
(ESRS S1), the policy addresses risks associated with retaining skilled
personnel and preventing potential negative impacts related to
discrimination, bullying, or harassment. It also helps to maintain positive
impacts related to equal opportunities and treatment. All Stora Enso
employees are required to complete the Code training. The scope of the
policy covers the Group’s own employees, and EVP Legal, General Counsel,
is accountable for the implementation of the policy.
Diversity Policy
The Diversity Policy outlines the commitment to an inclusive workplace
where individual differences are respected and people have equal
opportunities. Similar to the Code, the policy addresses managing actual
positive impacts related a diverse and inclusive workplace and the
potential negative impacts if failing to take adequate actions. According to
the policy, no employee shall face discrimination in hiring, compensation,
working hours, advancement, discipline, termination, or retirement based
on ethnicity, national or social origin, caste, birth, religion, disability, gender,
gender identity, sexual orientation, marital status, family responsibilities,
union membership, political affiliation, age, or any other characteristic that
could lead to discrimination. The scope of the policy covers the Group’s
own employees, EVP, People and Communication, is accountable for the
implementation of the policy.
To prevent, mitigate, and address discrimination once detected, all
employees are required to complete Code training. Additionally,
appropriate reporting channels for raising concerns and addressing non-
compliance are established. Promotion of actions to advance diversity
and inclusion are described in ESRS S1-4.
Human Rights Policy and Guidelines
In relation to its own workforce, the Human Rights Policy and Human Rights
Guidelines address positive impacts related to fair employment practices
and secure employment.
Stora Enso adheres to The United Nation’s Guiding Principles on Business
and Human Rights. Stora Enso is also committed to those rights set out in
the International Bill of Rights and the ILO Declaration on Fundamental
Principles and Rights at Work, as outlined in the Human Rights Guidelines.
Alignment with these principles is reflected in the Group’s commitment to
respecting human rights across its operations and business relationships,
and conducting human rights due diligence to identify, assess, and
remedy any adverse human rights impacts. The guidelines outline the
approach and commitment towards salient human rights issues, of which
the relevant for the Group's own workforce are: right to a safe workplace,
fair employment conditions, and access to grievance mechanisms. The
processes to monitor compliance with aforementioned international
standards consists of:
• Ensuring grievance mechanisms are in place and accessible for
everyone.
• Reported non-compliance cases.
• Sedex Member Ethical Data Audits (SMETA) conducted regularly,
assessing performance against applicable labour standards, as well as
health and safety, environmental, and business ethics criteria.
• Annually published Modern Slavery and Human Trafficking Statement
describes the Group’s actions to prevent modern slavery in its
operations and supply chains, in accordance with the United Kingdom’s
Modern Slavery Act 2015 and the Australian Modern Slavery Act 2018.
The policy outlines the Group’s objectives for engaging with affected and
potentially affected stakeholders to ensure that its approach and focus on
human rights are valid. Engagement with own workforce is described in
S1-2. Stora Enso collaborates with stakeholders, affected individuals, and
their representatives to find appropriate remedies, including situations
where violations are committed by third parties connected to the Group's
operations, products, or services. Stora Enso does not obstruct the access
of affected stakeholders to other remedy initiatives.
The scope of the policy and guidelines covers the Group’s own operations
and all business relationships in the upstream and downstream value
chain. EVP, Strategy and Sustainability, is accountable for the
implementation of the policy and guidelines.
Stora Enso is aligned with the OECD’s Guidelines for Multinational
Enterprises, the human rights-related principles of the UN Global Compact,
and relevant Children’s Rights and Business Principles. The Human Rights
Our year 2024 This is Stora Enso Our strategy Our people Governance Shareholders Report of the Board of Directors Financial Statements Appendices
≡
Assured 114
===== SIDA 115 =====