Calendar An icon of a desk calendar. Cancel An icon of a circle with a diagonal line across. Caret An icon of a block arrow pointing to the right. Email An icon of a paper envelope. Facebook An icon of the Facebook "f" mark. Google An icon of the Google "G" mark. Linked In An icon of the Linked In "in" mark. Logout An icon representing logout. Profile An icon that resembles human head and shoulders. Telephone An icon of a traditional telephone receiver. Tick An icon of a tick mark. Is Public An icon of a human eye and eyelashes. Is Not Public An icon of a human eye and eyelashes with a diagonal line through it. Pause Icon A two-lined pause icon for stopping interactions. Quote Mark A opening quote mark. Quote Mark A closing quote mark. Arrow An icon of an arrow. Folder An icon of a paper folder. Breaking An icon of an exclamation mark on a circular background. Camera An icon of a digital camera. Caret An icon of a caret arrow. Clock An icon of a clock face. Close An icon of the an X shape. Close Icon An icon used to represent where to interact to collapse or dismiss a component Comment An icon of a speech bubble. Comments An icon of a speech bubble, denoting user comments. Ellipsis An icon of 3 horizontal dots. Envelope An icon of a paper envelope. Facebook An icon of a facebook f logo. Camera An icon of a digital camera. Home An icon of a house. Instagram An icon of the Instagram logo. LinkedIn An icon of the LinkedIn logo. Magnifying Glass An icon of a magnifying glass. Search Icon A magnifying glass icon that is used to represent the function of searching. Menu An icon of 3 horizontal lines. Hamburger Menu Icon An icon used to represent a collapsed menu. Next An icon of an arrow pointing to the right. Notice An explanation mark centred inside a circle. Previous An icon of an arrow pointing to the left. Rating An icon of a star. Tag An icon of a tag. Twitter An icon of the Twitter logo. Video Camera An icon of a video camera shape. Speech Bubble Icon A icon displaying a speech bubble WhatsApp An icon of the WhatsApp logo. Information An icon of an information logo. Plus A mathematical 'plus' symbol. Duration An icon indicating Time. Success Tick An icon of a green tick. Success Tick Timeout An icon of a greyed out success tick. Loading Spinner An icon of a loading spinner.

Sasol’s plans slated as “risky, expensive and potentially unfeasible”

A Sasol fuel tanker leaves a fuel station at dusk

Petrochemical giant Sasol has come under fire for its emission reduction plans, particularly around its reliance on new technologies and resources to deliver the needed gains.

“Sasol’s plans are risky, expensive, and potentially unfeasible,” said Just Share. The company intends to reduce its use of coal, ramping up gas and hydrogen, in order to cut emissions by 30% by 2030.

The target covers scope 1 and 2 emissions, giving a target of 44.75 million tonnes of CO2 equivalent in 2030.

Just Share noted an acknowledgement from Sasol that such a shift faces challenges of “unavailability and unaffordability” of gas. It also faces potentially “prohibitive costs” of green hydrogen. Replacing coal with other feedstocks for operations in Secunda is “likely to increase the cost of production and reduce our profitability significantly”.

As a first step, Sasol aims to achieve a 5% reduction by 2026. Just Share described the additional 25% reduction in four years as “highly unlikely”.

Sasol’s plan relies on new supplies of gas, from Mozambique and likely LNG imports.

Just Share was unconvinced. The company failed to “demonstrate that a pivot to gas is feasible or affordable, or that it is a credible decarbonisation pathway”, the report said. Sasol has also failed to shed light on what happens if it does not secure the needed supplies.

Furthermore, Sasol does not report emissions from Mozambique.

Sasol will hold its AGM on November 19. Resolution Number 3, a non-binding vote, asks shareholders to endorse the company’s climate change report.

Just Share has advised shareholders to vote against the resolution. If at least 25% of the votes go against Sasol’s report, the company has said it will engage with shareholders. As such it would address “legitimate and reasonable objections and concerns”.

Recommended for you

More from Energy Voice

Latest Posts