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Climate action

We want to do our part to preserve the climate and comply with the Paris Agreement on climate change. Therefore, we have set our own objectives:

By 2030, we intend to lower our direct (Scope 1) and indirect (Scope 2) greenhouse gas emissions by 50% compared with 2020. We aim to achieve this mainly by reducing process-related emissions, implementing energy efficiency measures and purchasing more electricity from renewable sources.

In May 2022, this near-term goal for 2030 was approved by the Science Based Targets initiative (SBTi), which independently assesses and approves company targets based on its strict climate science criteria. With this confirmation, we are contributing to limiting global warming to 1.5 °C, thus complying with the requirements of the Paris Agreement.

We also aim to cover 80% of our purchased electricity with renewables by 2030.

Moreover, we aim to reduce our Scope 3 emissions across the entire value chain by 52% (per euro of gross profit) by 2030. This target was also approved by SBTi.

By 2040, we intend to have achieved climate-neutral operations throughout our entire value chain; this target covers our Scope 1, 2 and 3 emissions.

Roles and responsibilities

Corporate Sustainability, Quality and Trade Compliance (SQ) is responsible for overseeing all climate action efforts throughout the Group, with our individual sites and business sectors worldwide implementing the necessary measures at the local level. You can find more information under "Environmental protection".

Our commitment: Standards and legal frameworks

We have three EHS standards in place to manage energy and process-related emissions consistently across the Group, specifically “Energy Management”, “Emissions” and “Emissions of Refrigerants”. We utilize an internal audit process to randomly check compliance with all EHS standards.

Emissions reduced further

In 2022, we reduced our greenhouse gas emissions by nearly 10%, emitting a total of approximately 1,667,000 metric tons of CO2 equivalents (CO2eq) (2021: 1,843,000 metric tons). Our direct emissions (Scope 1) totaled 1,425,000 metric tons of CO2eq, with process-related emissions accounting for 1,167,000 metric tons of CO2eq and fuel use accounting for the remainder. Indirect emissions (Scope 2) totaled roughly 242,000 metric tons calculated according to the market-based method (approximately 377,000 metric tons according to the location-based method). Greenhouse gas emission intensity (Scope 1 and 2) amounted to 0.07 kg of CO2eq per € of net sales in this period (2021: 0.09).

In 2022, we focused on creating more transparency on our Scope 3 emissions. The Greenhouse Gas Protocol defines 15 categories for Scope 3 emissions from upstream and downstream activities. In 2022, these emissions totaled 6,616,000 metric tons of CO2eq. Categories 1 and 2 (Purchased Goods and Services and Capital Goods) accounted for 69% of our total Scope 3 emissions in this period.

Total greenhouse gas emissions (Scope 1 and 2 of the GHG Protocol)1,2

metric kilotons

 

2019

 

20203

 

2021

 

2022
Group

 

2022
thereof: Merck KGaA, Darmstadt, Germany

Total CO2eq4 emissions

 

621

 

2,028

 

1,843

 

1,667

 

148

thereof:

 

 

 

 

 

 

 

 

 

 

direct CO2eq emissions (Scope 1)

 

341

 

1,706

 

1,522

 

1,425

 

108

indirect CO2eq emissions5 (Scope 2)

 

280

 

322

 

321

 

242

 

40

Biogenic CO2 emissions

 

13

 

13

 

15

 

13

 

0

1

In line with the Greenhouse Gas Protocol, for all previous years greenhouse gas emissions were calculated based on the current corporate structure as of Dec. 31 of the reporting year and retroactively adjusted for acquisitions or divestments of (parts of) companies, or for changes in emission factors (portfolio-adjusted).

2

Baseline for our emission targets is 2020.

3

Includes Versum Materials as of 2020.

4

eq = equivalent

5

The figures presented here have been calculated in accordance with the market-based method.

 

We have included the following gases in our calculation of direct and indirect CO2eq emissions:
Direct CO2 emissions: CO2, HFCs, PFCs, CH4, N2O, NF3, SF6.
Indirect CO2 emissions: CO2.

Other relevant indirect greenhouse gas emissions (Scope 3 of the GHG Protocol)11

 

 

2019

 

2020

 

2021

 

2022

Total gross other indirect emissions
(metric kilotons CO2eq2)

 

339

 

5,030

 

5,716

 

6,616

Purchased goods & services (category 1)3

 

n/a

 

3,040

 

3,572

 

4,200

Capital goods (Category 2)3

 

n/a

 

293

 

291

 

388

Fuel- and energy-related emissions, not included in Scope 1 or 2 (category 3)

 

127

 

102

 

143

 

121

Upstream transportation & distribution (category 4)4

 

n/a

 

264

 

2645

 

3196

Waste generated in operations (category 5)

 

50

 

85

 

79

 

85

Business travel (category 6)

 

87

 

32

 

26

 

78

Employee commuting (category 7)

 

75

 

90

 

94

 

99

Upstream leased assets (category 8)7

 

0

 

0

 

0

 

0

Downstream transportation & distribution (category 9)4

 

n/a

 

8

 

85

 

66

Processing of sold products (category 10)8

 

0

 

0

 

0

 

0

Use of sold products (category 11)4

 

n/a

 

1,091

 

1,213

 

1,2909

End-of-life treatment of sold products (category 12)4

 

n/a

 

23

 

235

 

269

Downstream leased assets (category 13)

 

0

 

2

 

2

 

2

Franchises (category 14)10

 

0

 

0

 

0

 

0

Investments (category 15)

 

n/a

 

0

 

1

 

2

1

In line with the Greenhouse Gas Protocol, for all previous years greenhouse gas emissions were calculated based on the current corporate structure as of Dec. 31 of the reporting year and retroactively adjusted for acquisitions or divestments of (parts of) companies, or for changes in emission factors (portfolio-adjusted).

2

eq = equivalent

3

The reported figures contain 95 – 97% of our total spend. The difference stems from smaller sites that are not integrated in our Group-wide purchase volume data. 2020 data are slightly over-reported (approx. 3%) as the currency conversion factor (USD to EUR) from 2021 was used. Non-categorized spends are distributed pro rate to category 1 and 2.

4

Compared to other Scope 3 categories, the screening of the emissions in this category contains more uncertainties. Their impact cannot be estimated more precisely at this time. We are working on improving the accuracy of these data.

5

Due to high efforts for data preparation, we reference 2020 data for 2021.

6

Since 2022, we have applied a new calculation approach – a mix of primary data, distance-based data and a small share of spend-based data. The previous years’ figures have not been recalculated retrospectively.

7

Already covered under Scope 1 and 2 emissions

8

Our company produces a huge variety of intermediate products for various purposes. Due to their many applications and our customer structure, the associated greenhouse gas emissions cannot be tracked in a reasonable fashion.

9

Due to high efforts for data preparation, we partly use 2020 data for 2022.

10

This category is not relevant for us as we do not operate franchises, i.e. businesses operating under a license to sell or distribute another company’s goods or services. Out-licensing in the pharmaceutical sector is not regarded as franchising.

 

Biogenic emissions (Scope 3), if present, are not being recorded.

Significant spills

 

 

2019

 

2020

 

2021

 

2022

Total number of significant spills

 

0

 

0

 

0

 

2

Energy efficiency

In 2022, a variety of energy efficiency initiatives helped us save around 3,000 metric tons of CO2eq at our global headquarters in Darmstadt (1,700 metric tons of CO2eq in 2021). For instance, we improved heating, ventilation and air conditioning systems and reduced base loads for compressed air systems.

As part of the energy and water efficiency program of our Life Science business sector, we rolled out new tools and governance structures in 2022 to help us assess projects to save energy and water. The energy and water efficiency program had a capital expenditure budget of € 4.6 million in 2022, which we will increase to € 9.3 million in 2023. In 2022, we formally trained 18 Facility, Plant Engineering, and EHS Managers from sites globally on energy management.

Slight decline in energy consumption

We consumed 2,432 gigawatt hours of energy in 2022, compared with 2,454 gigawatt hours in 2021. Our energy intensity relative to sales totaled 0.11 kWh/€ in 2022 (2021: 0.12 kWh/€).

In 2022, we further strengthened our focus on purchasing electricity from renewable sources. In this period, we sourced 47% of our purchased electricity from renewable energies, meaning direct supply contracts and energy attribute certificates (2021: 30%). The share of our total energy consumption by renewable energies increased to 20% in 2022 (2021: 13%).

Energy consumption1

In GWh

 

2019

 

2020

 

2021

 

2022
Group

 

2022
thereof: Merck KGaA, Darmstadt, Germany

Total energy consumption

 

2,178

 

2,374

 

2,454

 

2,432

 

586

Direct energy consumption

 

1,288

 

1,266

 

1,318

 

1,294

 

521

Natural gas

 

1,222

 

1,179

 

1,232

 

1,188

 

492

Liquid fossil fuels2

 

33

 

52

 

48

 

70

 

29

Biomass and self-generated renewable energy

 

33

 

35

 

38

 

36

 

0

Indirect energy consumption

 

890

 

1,108

 

1,136

 

1,138

 

65

Electricity

 

745

 

945

 

958

 

984

 

65

Steam, heat, cold

 

145

 

163

 

178

 

154

 

0

Total energy sold

 

0.1

 

0.2

 

0.1

 

0.01

 

0.0

Electricity

 

0.1

 

0.2

 

0.1

 

0.01

 

0.0

Steam, heat, cold

 

0.0

 

0.0

 

0.0

 

0.00

 

0.0

 

 

 

 

 

 

 

 

 

 

 

In TJ

 

 

 

 

 

 

 

 

 

 

Total energy consumption

 

7,839

 

8,546

 

8,834

 

8,755

 

2,110

Direct energy consumption

 

4,637

 

4,558

 

4,745

 

4,658

 

1,876

Natural gas

 

4,399

 

4,244

 

4,435

 

4,277

 

1,771

Liquid fossil fuels2

 

119

 

187

 

173

 

252

 

104

Biomass and self-generated renewable energy

 

119

 

126

 

137

 

130

 

0

Indirect energy consumption

 

3,202

 

3,989

 

4,090

 

4,097

 

234

Electricity

 

2,682

 

3,402

 

3,449

 

3,542

 

234

Steam, heat, cold

 

520

 

587

 

641

 

554

 

0

Total energy sold

 

0.5

 

0.7

 

0.4

 

0.04

 

0.0

Electricity

 

0.5

 

0.7

 

0.4

 

0.04

 

0.0

Steam, heat, cold

 

0.0

 

0.0

 

0.0

 

0.00

 

0.0

1

In line with the Greenhouse Gas Protocol, for all previous years energy consumption has been calculated based on the current corporate structure as of Dec. 31 of the reporting year and retroactively adjusted for acquisitions or divestments of (parts of) companies, or for changes in emission factors (portfolio-adjusted).

2

Light and heavy fuel oil, liquefied petroleum gas (LPG), diesel, biodiesel, gasoline and kerosene

 

We use photovoltaics to produce power at multiple sites. We currently only record purchased secondary energy – this is primarily electricity and, to a lesser extent, heat/steam/cold. Details on the local energy mix, including the respective percentage of primary energy, renewable energy, etc. are not available. Data on local energy efficiency in electricity or heat generation are not available either. Our production sites are located in countries with a widely varying energy mix.

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