Climate action and the energy transition
Climate change is arguably the biggest threat facing the world today, because it threatens the health of our planet. Ultimately, climate action and the energy transition go hand in hand. Renewable energy is vital in combatting climate change, but the industry still needs to take action on its own climate impact. Here, we explain how we’re doing that at Statkraft.
Climate action: working towards a net-zero future
The threat posed by climate change is significant. The good news is that renewable energy represents a mature, profitable and proven way of significantly reducing the global emissions. How so?
By transitioning to renewable energy, we change which energy sources we use by moving from fossil fuels – which are proven to drive climate change – to green energy technologies such as solar, wind, and hydropower.
To learn more about climate change, check out the UN’s dedicated Climate Action page.
Our approach to climate
The reality is that all forms of energy production result in some greenhouse gas emissions (whether directly or indirectly) throughout the lifecycle of the production facility. Take solar power, for instance: building a solar plant and its components does involve some emissions upfront. But once it's up and running, that initial carbon debt is typically paid off within 1 to 4 years. After that, it operates almost emission-free for the rest of its lifespan up until decommissioning, which can be anywhere from 25 to 30 years. In the end, the emissions from wind, solar, or hydropower are a fraction of those from fossil fuels which, unlike renewables, will be far from emission-free.
Today, 97% of our portfolio is renewable and we invest 100% of our growth in renewables, too. In addition, we own and operate four gas-fired power plants in Germany, two of which are in cold reserve (we also own shares in a fifth gas plant). The majority of our emissions is from our gas portfolio. Compared to coal, gas power production emits between 50 and 70 per cent less CO2 equivalents and can achieve efficiencies up to 60 per cent. We believe natural gas plays a vital role in the short- and medium-term energy transition, accelerating the shift away from coal and providing the flexibility needed to balance the intermittent sources like wind and solar.
Our own emissions: how are we doing?
Did you know that about 75% of the world’s GHG emissions are energy related? That makes decarbonising the power sector an urgent priority.
We have set a target to keep our own emissions intensity below 20 grams of CO₂ equivalents per kilowatt-hour. In 2024, for instance, the emissions intensity of our power production was well below both our target threshold and the industry average, measuring 14.7 gCO₂eq/kWh.
Dive deeper into our sustainability strategy
If you’re curious to know more about our approach, targets, actions and policies behind our sustainability work, you can dive deeper in the Sustainability section of our Annual Report.