BASF, headquartered in Ludwigshafen, Germany, is a global leader in the chemical industry. The company operates in the Basic & Diversified Chemicals sector and is known for its innovative solutions and sustainable practices. BASF has a strong commitment to decarbonisation and renewable energy, and has made significant investments in corporate energy and corporate power purchase agreements (PPAs) to achieve its sustainability goals.
BASF's history dates back to 1865, when it was founded as Badische Anilin- und Soda-Fabrik. Over the years, the company has grown and diversified, and today it operates in six business segments: Chemicals, Materials, Industrial Solutions, Surface Technologies, Nutrition & Care, and Agricultural Solutions. BASF's products are used in a wide range of industries, including automotive, construction, agriculture, and consumer goods.
One of BASF's key priorities is decarbonisation. The company has set ambitious targets to reduce its greenhouse gas emissions and become carbon neutral by 2050. To achieve this goal, BASF is investing in renewable energy and energy efficiency measures. The company has already made significant progress in this area, with renewable energy accounting for 22% of its total energy consumption in 2020.
BASF's commitment to renewable energy is reflected in its corporate energy strategy. The company has set a target to source 50% of its electricity from renewable sources by 2030. To achieve this, BASF is investing in on-site renewable energy generation, such as solar and wind power, as well as purchasing renewable energy from external sources. The company has also implemented energy efficiency measures across its operations to reduce its overall energy consumption.
In addition to its corporate energy strategy, BASF is also pursuing corporate power purchase agreements (PPAs) to support the development of renewable energy projects. PPAs allow companies to purchase renewable energy directly from developers, providing a stable revenue stream for the project and helping to accelerate the transition to renewable energy. BASF has signed several PPAs in recent years, including agreements to purchase wind power in the US and solar power in Spain.
BASF's commitment to sustainability extends beyond its own operations to the wider industry. The company is a founding member of the "Chemistry for Climate" initiative, which brings together leading chemical companies to drive decarbonisation and promote sustainable practices in the industry. BASF is also a member of the Renewable Energy Buyers Alliance (REBA), a coalition of companies committed to purchasing renewable energy and driving the development of new renewable energy projects.
BASF's focus on sustainability is also reflected in its product portfolio. The company has developed a range of sustainable solutions, including bio-based products, eco-efficient coatings, and renewable raw materials. BASF's products are designed to help its customers reduce their environmental impact and meet their sustainability goals.
BASF's commitment to sustainability has been recognised by a range of external organisations. The company has been included in the Dow Jones Sustainability Index for 20 consecutive years, and was named the world's most sustainable chemical company by Corporate Knights in 2021. BASF has also received numerous awards for its sustainability initiatives, including the German Sustainability Award and the European Responsible Care Award.
In conclusion, BASF is a global leader in the chemical industry with a strong commitment to sustainability and decarbonisation. The company's focus on renewable energy and energy efficiency, as well as its investment in corporate power purchase agreements, demonstrates its commitment to driving the transition to a low-carbon economy. BASF's sustainable product portfolio and industry initiatives also highlight its leadership in promoting sustainable practices across the chemical industry.