Bracell’s Greenhouse Gas Inventories follow guidance provided in the latest edition of ISO 14064, the GHG Protocol, and the quantification methodologies published by the Intergovernmental Panel on Climate Change (IPCC).

Inventories are conducted at the corporate level, covering our pulp mills in São Paulo and Bahia, as well as forestry operations in those two states and Mato Grosso do Sul.

The material topic of climate change is addressed through policies, action plans, targets, and ongoing monitoring of the outcomes of our climate initiatives. We are working to advance a low-carbon economy that is adapted to a scenario of higher average global temperatures.

The Bracell 2030 agenda establishes commitments to reduce greenhouse gas emissions as part of the strategic lever “Climate Action.”

The table below presents our 2024 performance:

Pillar  strategic	Target 2030	Baseline 2020	Target 2030	Target 2024	2024 Performance	SDGs Addressed
CLIMATE ACTION	Reduce carbon emissions per metric ton of product by 75%, targeting 0.122 tCO2e/adt	0,482 tCO2e/adt	0.122 tCO2e/adt	0.151 tCO2e/adt	0.208 tCO2e/adt	13, 14, 15
	25 MtCO2e removed from the atmosphere between 2020 and 2030	Net carbon removals = fossil GHG emissions + biogenic LULUCF emissions – removals total CO2 removals from eucalyptus plantations and native vegetation areas	25 MtCO2e	22.19 MtCO2e	4.30MtCO2e	13, 14, 15

Note: Bracell’s carbon intensity target (tCO_₂e/adt of production) covers both kraft pulp and dissolving pulp production. The 2020 baseline was calculated by directly summing the physical volumes of both products, without applying a conversion factor.

Starting in 2022, with the launch of dissolving pulp production at our São Paulo site, a conversion factor was applied to express dissolving production in kraft equivalent. This adjustment better reflects actual emissions intensity in our mills, as it accounts for differences in product types and their respective energy use and emissions.

As part of the Bracell 2030 roadmap, we have set two commitments tied to the material topic Climate Change. Our climate goals were developed based on an analysis of the risks and impacts – both positive and negative – Bracell’s operations have on climate change. Our operations emit greenhouse gases (GHG) and also capture CO₂ from the atmosphere by growing and preserving forest areas managed by Bracell, including planted eucalyptus forests and native forests.

By 2030, we have committed to reducing our carbon emissions per metric ton of product by 75% from a 2020 baseline. This means reaching 0.122 tCO_₂e/adt. In addition, we will remove 25 MtCO₂e from the atmosphere over the course of a decade—from 2020 to 2030.

For 2024, our interim targets were to close the year with 0.151 tCO₂e/adt and 22.19 MtCO₂e in removals. Measured results are detailed below:

Target 1: reduce carbon emissions per metric ton of product by 75%, targeting 0.122 tCO₂e/adt

From 2020 to 2024, we reduced carbon emissions per metric ton of product by 61%, reaching 0.208 tCO₂e/adt.

Although we achieved a 63% reduction in our emissions intensity over that period, a number of factors prevented us from meeting our 2024 target. The main negative impacts on emissions reduction came from increased mobile combustion in our operations and a higher occurrence of wildfires. On the positive side, we achieved significant operational gains this year, such as reducing natural gas consumption and expanding the use of biomass in our gasifiers. These initiatives helped reduce emissions from stationary combustion—our largest Scope 1 emissions category—and put us on track to meet our long-term targets.

We are also implementing several initiatives to mitigate climate-change impacts and keep moving forward on decarbonizing our operations. Examples include investments in electric trucks for pulp transport, currently in the trial phase, and in generating and sourcing renewable energy, as detailed in the Energy Efficiency chapter.

Target 2: 25 MtCO2e removed from the atmosphere between 2020 and 2030

From 2020 to 2024, we removed 4,229,568 tCO₂e. This figure reflects the carbon balance of our operations, i.e. the difference between total removals and emissions (both anthropogenic and LULUCF biogenic).

In 2024, we faced the most challenging hydrological scenario of the past five years in the state of São Paulo. The extreme conditions were primarily caused by rising temperatures and a significant decrease in rainfall. Water deficits directly impact forest yields: the greater the deficit, the slower the eucalyptus forest growth, which in turn reduces their ability to remove CO_₂ from the atmosphere during the growth process.

Additionally, the adverse climate conditions significantly increased the occurrence of forest fires.

As a result of these extreme weather events, we reached only 19% of our CO_₂ removal target for 2024.

Bracell has developed a range of initiatives to mitigate these impacts and increase the resilience of our operations to climate change. Key initiatives include monitoring carbon and water flux in eucalyptus plantations; investing in forest research and development (R&D); integrated climate-related risk and impact management; and conducting climate zoning studies. Learn more in Monitoring Carbon and Water Flux in Eucalyptus Plantations and Climate Zoning Study.