Air Liquide announces ambitious ESG objectives to ACT for a sustainable future

In line with its growth trajectory, and with performance and sustainability at the core of its strategy, Air Liquide presents new ESG objectives to ACT for a Sustainable future.

Air Liquide’s commitment is to make a meaningful difference, with a plan based on three dimensions :

  • the Abatement of CO2 emissions for a LOW-CARBON society,
  • Care for patients
  • Trust as the base to engage with employees, and to build a best in class governance.

ABATEMENT of CO2 emissions

In full support of the 2015 Paris agreement, the Group’s commitments address the urgency of climate change and energy transition, targeting CARBON NEUTRALITY by 2050 with key intermediary milestones in 2025 and 2035:

  • to start REDUCING its ABSOLUTE CO2 emissions around 2025

  • to reach a 33% DECREASE of its Scope 1 & 2 CO2 emissions by 2035[1]compared to 2020

Within this context, the Group also maintains its existing objective to reduce by -30% its carbon intensity in kg CO2/€ Ebitda#[2] in 2025, compared to 2015.

To decarbonize its assets, Air Liquide will leverage on capturing CO2, accelerating low-carbon hydrogen production through electrolysis or by using renewable feedstock such as biomethane. With regards to indirect emissions, we will focus on increasing energy efficiency and low carbon electricity consumption.

Air Liquide will also deploy a broad range of low-carbon solutions for its clients to help them decrease their CO2 footprint. This includes low-carbon gases offering, accompanying customers in industrial process transformation, recognized carbon capture expertise, as well as an asset takeover strategy with an objective to decarbonize them.

This plan also includes an acceleration in HYDROGEN development, to at least triple its turnover in order to reach more than 6 billion euros by 2035. The Group will reach that goal by investing approximately 8 billion euros in the low-carbon hydrogen supply chain and by contributing to the development of a low-carbon hydrogen ecosystem for the industry and clean mobility. By 2030, Air Liquide aims at bringing its total electrolysis capacity to 3 GW[3].

CARE for patients

As a major global player in HEALTHCARE, the Group wants to go one step further and to reinforce its societal contribution by improving the quality of life of chronic patients at home in mature economies and by facilitating access to medical oxygen for rural communities in low and middle income countries.

This will translate into:

  • On the one hand, promoting customized care pathways for patients, leveraging digital and human support
  • On the other hand, equipping primary care facilities in villages with oxygen, and bringing our expertise in coalitions to support local communities, expanding partnerships with NGOs

TRUST as the base to engage with our employees and to build a best-in-class governance

With safety as a prerequisite for action, the Group will engage with its employees to provide a common basis of CARE COVERAGE for 100% of its employees, as well as promote inclusion and diversity with a target to reach 35% of women among Managers & Professionals by 2025. We will thus continue to create a safe, inclusive and engaging workplace. Moreover, we will provide employees with the opportunity to devote time to a mission or a local project in line with the Group’s ESG objectives.

Regarding corporate governance, The Group, with a diverse and independent Board of Directors, will continue to implement best practices in terms of ethics, responsible dialogue and close relations with all shareholders.

 

Benoît Potier, Chairman and CEO of Air Liquide, said:

« States, individuals and companies : we all share a responsibility in building the future. Economic performance and sustainable development are therefore at the heart of Air Liquide’s growth strategy. Our expertise, backed by a diversified and deeply resilient business model, enables us to deliver sustained growth today while resolutely preparing the future. In that context we are introducing new ambitious Sustainability commitments, aiming at making a meaningful difference. Not only do we intend to reach carbon neutrality by 2050 and harness Climate change and energy transition with hydrogen playing a key role in our roadmap, but we also include healthcare, human resources and governance as part of our ESG objectives. With this global ambition, Air Liquide is making the commitment to ACT today for a sustainable future. »

Footnotes

[1] from 2020 Market based emissions of 32.5 million tonnes CO2 eq (Scope 1+2)
[2] Compared to 2015 & at 2015 exchange rate and excluding IFRS16 for greenhouse gas emissions scopes 1 and 2
[3]including 1 GW decided still under construction