Net-Zero Transformation
We understand the urgency of climate action and are committed to the goals of the Paris Agreement.
We’re taking concrete steps to reduce our impact, including upgrading our portfolio to include a larger share of zero-carbon products and decreasing our fossil fuel sales. Our goal is to become a net-zero business by 2050* or sooner.
To this end, we have set out a roadmap with concrete interim short-, medium-, and long-term targets. These targets are set at an absolute and intensity level with the ultimate goal of achieving net zero greenhouse gas (GHG) emissions in Scopes 1, 2, and 3 by 2050. We use 2019** as our base year for all targets.
Our targets
- Reduce our absolute Scope 1 and 2 emissions by -30% by 2030 and by -60% by 2040
- Reduce our absolute Scope 3 emissions by -20% by 2030 and by -50% by 2040
- Reduce the carbon intensity of our energy supply by -15-20% by 2030 and by -50% by 2040
- Phase out routine flaring and venting of associated gas as soon as possible, but no later than 2030
- Reduce the methane intensity of our exploration and production business area to 0.1% or lower by 2030
To achieve our climate targets, we are taking action in our operations, and through our product and service portfolio, circular economy activities, innovations, and R&D activities, working environment, and social investments. There is no silver bullet for tackling climate change and reaching our targets for 2030 and beyond will require a considerable effort by all of our business units, leveraging our existing strengths and know-how.
These are the key pillars that will enable us to meet our goals:
- A significant decrease in fossil fuels and natural gas sales: By 2030, we intend to reduce oil and gas production levels to around 350 thousand barrels of oil equivalent per day and cut crude distillation throughput by 2.5 million metric tons
- An increase in zero-carbon product energy sales: There will be a significant increase in sustainable and biobased fuels, and a build-up of renewable electricity capacity for captive use, as well as geothermal heat
- An increase in the recycling of polyolefins and sustainable feedstocks: We plan to sell approximately 1.4 million metric tons per year of sustainable products by 2030 – that is, polyolefins manufactured from recycled or biogenic feedstock rather than fossil sources
- Improved energy and operational efficiency, and zero routine flaring and venting, thereby reducing methane emissions
- All energy purchases in the Chemical & Materials segment will be 100% renewable
In addition to these efforts, neutralization measures such as Carbon Capture and Storage (CCS) will be necessary. We anticipate that we will develop around 3 million metric tons per year of CCS capacity across all business units until 2030.
Investments for net-zero
To find out more about the details of our capital investments in decarbonization, take a look at our transition plan.
We’re increasingly turning to renewable sources of electricity to power our operations, both by installing own capacity as well as sourcing long-term renewable electricity through Power Purchase Agreements (PPAs). Since mid-2022, we’ve been using a ground-mounted photovoltaic (PV) plant at Schönkirchen, with a total capacity of 15.32 megawatt peak. Built jointly with VERBUND, this plant produces electricity for our Austrian energy business.
In 2022, we also signed a PPA with WEB Windenergie AG, with an output of 5.6 megawatts (MW) and annual electricity production of 13.7 gigawatt hours. Since 2023, this clean wind energy has been used to generate green hydrogen at our Schwechat refinery.
In 2021, Borealis installed the first solar photovoltaic rooftop at their plant in Monza, Italy. They also secured long-term renewable energy supply agreements to supply their operations in Austria, Sweden, Finland and Belgium.
We are committed to minimizing methane emissions from all sources, including point sources, fugitive emissions, and technically avoidable emissions, such as those from well testing and well workover. To achieve this, all new production sites are designed to make use of gas that would otherwise be flared. Existing sites with routine flaring will phase it out by 2030.
To address other emission sources, leak detection and repair (LDAR) programs are in place throughout our upstream and downstream operations. Our proactive approach uses advanced technologies like optimal gas imaging and thermal imaging infrared cameras to quickly identify and address leaks.
We support the World Bank’s “Zero routine flaring by 2030” initiative and have also joined the United Nations Environment Programme’s Oil & Gas Methane Partnership (OGMP 2.0), aimed at improving the accuracy and transparency of methane emissions reporting.
In 2022, we began producing Sustainability Aviation Fuel (SAF) as part of our shift towards low-carbon products. For more information, visit our dedicated page on Sustainable Fuels & Feedstock.
*The commitment “net-zero business by 2050” covers the greenhouse gas (GHG) emissions of our operations (Scopes 1 and 2), and our product portfolio and other Scope 3 emissions along the value chain. For our interim GHG targets for 2030 and 2040, Scopes 1 and 2 and the following Scope 3 categories are included: Category 11: Use of Sold Products for energy supply, Category 1: Purchased Goods (feedstocks) from OMV’s C&M business segment, and Category 12: End-of-Life of Sold Products for non-energy use.
**2019 is used as the base year because it was the last full year before the COVID-19 pandemic and the majority of the OMV Group’s assets were operating for the whole of the year.