Building close and transparent relationships with local communities is a top priority for Bracell. Among our core values is supporting the communities where we operate and helping to drive local development. We believe that for any operation to be good for Bracell, it must first be good for the community.

To this end, our operations follow procedures and control mechanisms that are part of our management system, with a focus on mitigating the risks and impacts of our forestry, mill, and logistics operations. We also carry out long-term structured projects through Bracell Social, with clear goals and targets focused on promoting entrepreneurship, education, and well-being in local communities—as part of our Bracell 2030 commitments.

Our approach to stakeholder engagement includes informing communities and neighbors near our forestry and mill operations about the actual and potential impacts of our operations. Initiatives are structured around open communication with stakeholders and the following goals:

• Inform neighboring communities about upcoming forestry operations in their vicinity, including potential risks and both positive and negative impacts from these operations
• Strengthen our relations with communities and neighbors
• Enhance communication with our communities and neighbors
• Contribute to strengthen initiatives and increase responsiveness to requests from local communities
• Identify, prevent and minimize potential impacts caused by operations on these communities and neighbors
• Mitigate the risk of potential community issues that could affect our operations
• Address inquiries and concerns regarding operational aspects and the company as a whole.

Bracell’s Integrated Management System (IMS) includes a standard, available to all employees, on relations with traditional peoples and communities.

The standard outlines criteria and requirements for establishing an integrated management process for engaging with communities neighboring Bracell’s forestry and mill operations. It also contains guidance on relations with traditional peoples and communities, in compliance with applicable laws and regulations.

The objectives of the standard is to establish continuous two-way communication, provide up-to-date and transparent information, identify and evaluate social aspects, establish measures to control and mitigate potential negative impacts, and identify positive impacts.

In managing this material topic, identified potential positive impacts include increased job creation and opportunities for partnerships; improved quality of life and/or living conditions in the areas where we operate, due to increased private social investment—through initiatives across education, inclusion, entrepreneurship, and community development; and improved local infrastructure as a result of company-driven investments and collaborations.

In terms of negative impacts, our management approach includes addressing the risk of conflicts with neighboring communities over impacts from operations. This risk is managed through our impact mitigation practices and close engagement with local communities.

Promoting Women’s Entrepreneurship, Education, and Income Generation

As part of the social targets in our Bracell 2030 roadmap, we have committed to promoting women’s entrepreneurship, expanding income opportunities and strengthening public education in the regions where we operate.

Our goal is for at least 60% of “impact business” projects to be led by women—reinforcing our commitment to gender equity and female leadership (see more about Bracell Social, our social investment platform, on page GRI 203-1 Infrastructure investments and services supported).

We also aim to raise the income of families involved in income-generation initiatives in priority areas by 20% by 2030.

In education, Bracell is helping to improve learning outcomes in communities with historically low academic performance. We have set a target to increase Portuguese and math proficiency by 30% in the public schools participating in our programs.

In 2024, we carried out the following initiatives as part of our Bracell 2030 roadmap focused on strengthening local communities

As part of efforts to advance our Bracell 2030 social targets, we launched the following local community initiatives in 2024:

1. Social and Economic Assessment in São Paulo – We conducted an assessment to identify opportunities for improving public education and reducing poverty in municipalities located within the area of influence of our operations.
2. Assessment of Continuing Education Program in Bahia – We conducted an assessment of impact from our program supporting the professional development of public school teachers and principals, helping to strengthen local continuing education programs. The program is running in municipalities in the state of Bahia, where we also began updating the regional social and economic assessment.
3. Territorial development assessment in Mato Grosso do Sul – We conducted a study to analyze the potential, challenges, and opportunities for strengthening sustainable territorial development in municipalities located within the area of influence of our operations in the state of Mato Grosso do Sul.
4. Framework for Tracking Bracell 2030 Social Targets – We developed a comprehensive framework for tracking Bracell 2030 social targets, including baseline definitions, an impact framework, and rationale for calculating metrics—ensuring greater precision in measuring results and social impact over the coming years.

At Bracell, the term “senior management” refers to individuals serving as President, Vice President, Chief Operations Officer, or Head of Operations. As of the reporting year, Bracell’s senior management team comprises seven members—4 based in São Paulo and 2 in Bahia. One executive was hired locally in São Paulo.

Bracell Papéis currently has two senior management executives, both of whom are internal hires from Bracell Papéis Sudeste. Their leadership responsibilities include oversight of our Northeast paper operations. No local hires were made for senior-level positions within Bracell Papéis during the reporting period (for more details, see GRI 405-1).

In 2024, our supplier network included 1,914 registered partners with active contracts supporting operations at Bracell and Bracell Papéis Sudeste, working directly at the Lençóis Paulista (SP) site. In our Bahia and Pernambuco operations—Bracell and Bracell Papéis Nordeste—we had a total of 9,823 suppliers with active contracts.

We sourced 91% of our supplier spend locally in São Paulo—for both Bracell and Bracell Papéis Southeast operations—and 61% in Bahia, for Bracell operations. At Bracell Papéis Nordeste, 53.15% of supplier spend was with local suppliers—for operations in Feira de Santana (BA), São Gonçalo dos Campos (BA), and Pombos (PE).

Local suppliers are defined as those based in the states where our operational sites are located. The percentage of spending on local suppliers is calculated across all sites. For confidentiality reasons, Bracell does not disclose financial data (read more in GRI 204-1: Proportion of spending on locally-based suppliers).

Workers who are not employees but provide services to the company

Gender	2022			2023			2024*
	Bahia	São Paulo	Bracell	Bahia	São Paulo	Bracell	Bahia	São Paulo	Southeast Paper Operations	Northeast Paper Operations	Bracell
Men	3,025	–	12,434	2,671	12,056	14,727	3,877	11,397	502	–	15,776
Women	138	–	138	108	1,182	1,320	202	1,356	16	–	1,574
Total	3,544	12,434	15,597	2,809	13,238	16,047	4,079	12,753	518	5,744	17,350

Note 1: the number of workers refers to contractors employed in areas such as catering, cleaning, machine and equipment maintenance and repair, security, as well as suppliers operating in engineering, forestry services, and transportation.

Note 2: Bracell Papéis started operations in 2023 and is reporting its sustainability performance indicators for the first time, for year 2024.

Note 3: Bracell Papéis Nordeste operations are currently integrating their processes into Bracell’s management system. Worker data is only available as a total figure, without a breakdown by gender.

We recognize that climate change is one of the most pressing global challenges of our time, and we understand the importance of taking proactive and responsible action in response. We have taken important steps in advancing our climate strategy, implementing initiatives that contribute both to reducing emissions and making our operations more resilient.

Bracell’s Sustainability Steering Committee is responsible for decisions and initiatives related to climate change, and for short-, medium-, and long-term strategic planning in this area.

Bracell is advancing its Climate Action strategy by quantifying and managing corporate emissions, setting climate targets, and planning initiatives across operations, all aligned with our Bracell 2030 targets.

2030 Targets

Strategic Pillar	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

 

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 tCO₂e/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 (including anthropogenic and biogenic LULUCF—Land Use, Land-Use Change, and Forestry—emissions.

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 CO₂ 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 CO₂ 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.

Impacts and risks

Bracell conducts an assessment of the actual and potential impacts related to each material topic in a materiality matrix, considering both positive and negative effects on the economy, the environment, and people—including impacts on human rights. For the topic climate change, the following impacts have been identified:

Impacts	Details	Details
Actual positive impacts	We remove carbon from the atmosphere through our eucalyptus plantations, native forests, and soil.	In 2024, our planted forests removed 2,745,849 tCO₂e, while our native forests removed 1,373,161 tCO₂e, totaling 4,119,010 tCO₂e in gross removals.
Actual negative impacts	Greenhouse gas (GHG) emissions from our operations.	Scope 1 and 2 greenhouse gas emissions, whose impacts are limited in scale and moderate in intensity. We have effective internal control mechanisms in place to manage and reduce these emissions (see more in our GHG inventory on page XX).
	Greenhouse gas (GHG) emissions from our operations.	Scope 3 greenhouse gas emissions, whose impacts are broad in scale and high in intensity. We have internal control mechanisms in place and recognize the importance of strengthening our strategy to mitigate Scope 3 GHG emissions. We actively participate in committees and working groups on this topic (see more in our GHG inventory on page XX).

CDP

In 2024, we responded for the first time to CDP questionnaires and received a B rating across all three evaluated topics: Climate Change; Forests and Water Security. A B rating is strong for companies in their first year of reporting and demonstrates our commitment to transparency and responsible environmental management.

CDP is one of the world’s leading environmental disclosure platforms, recognized for helping companies produce standardized and comparable reporting used by a wide range of stakeholders, including banks, customers, partners, and civil society. Our CDP reporting reflects our commitment to continuously improving environmental management and aligning with international best practices.

Climate	Forestry	Water
B	B	B

GHG Inventory

As a key part of our climate agenda, Bracell annually prepares a corporate inventory of greenhouse gas (GHG) emissions and removals. In 2024, our inventory covered the entire pulp value chain, including emissions from mill operations in Lençóis Paulista (SP) and Camaçari (BA), forestry operations in these states and in Mato Grosso do Sul, and related logistics operations (see more about our forestry operations in the section GRI 2-6 About Bracell).

The data in our GHG Inventory is externally audited by an independent third party, with an Assurance Statement published in our Sustainability Report and in the Disclosures of (see more on page GRI 305 Emissions).

Bracell’s Greenhouse Gas Inventories cover Scopes 1, 2 and 3 and are prepared in accordance with 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). Since 2022, Bracell has published its GHG Inventory data in the Public Emissions Registry.

As a member of the Brazilian GHG Protocol Program (PBGHG), Bracell publishes GHG Inventory data in the Public Emissions Registry, having been awarded the Program’s Gold badge in 2024.

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The PBGHG recognizes participating organizations for voluntary accountability to stakeholders who are increasingly concerned with corporate social and environmental responsibility. The Gold badge is awarded to organizations that demonstrate high levels of accuracy and transparency in their greenhouse gas inventory submissions to the Brazilian GHG Protocol Program’s Public Emissions Register (RPE).

Carbon balance

Bracell’s planted eucalyptus forests and native forest areas play a crucial role in capturing CO2 from the atmosphere, absorbing and storing carbon throughout the trees’ growth cycle. This natural process helps partially offset our greenhouse gas (GHG) emissions.

In 2024, our carbon balance showed that our removals exceeded our emissions—an improvement on previous years. Our closing carbon balance was -175,471.36 tCO₂e. See details in the table below.

We removed -4,119,009.65 tCO₂e from the atmosphere in 2024, and our net carbon balance was -175,471.36 tCO₂e

Carbon Balance (tCO₂e)

Emissions	2022	2023	2024
Total (S1 + S2 + S3)	1,555,114.00	1,701,669.00	1,716,315.84
Scope 1	614,673.00	597,454.00	731,362.80
Scope 2	5,258.00	9,611.00	13,213.63
Scope 3	935,183.00	1,094,603.00	971,739.41
Biogenic LULUCF emissions	3,793,831.00	3,940,391.00	2,227,222.45
Biogenic removals	-1,309,842.00	-1,286,441.00	-4,119,009.65
Balance	4,039,103.00	4,355,619.00	-175,471.36

Monitoring Carbon and Water Flux in Eucalyptus Plantations

We are a member of the Eucflux-IPEF Cooperative Program, which studies carbon and water flux in eucalyptus plantations in Brazil. This research is enhancing our understanding of these processes in a Bracell-managed eucalyptus plantation in Itatinga, São Paulo, where we have set up a flux tower equipped with advanced monitoring technology.

Eucflux is led by the Institute for Forest Research and Studies (IPEF) and the French Agricultural Research Centre for International Development (CIRAD), with participation from academic institutions such as the Federal University of Lavras (UFLA), São Paulo State University (UNESP), and the University of São Paulo (ESALQ/USP).

Our Monitoring Investments

Bracell monitors water and carbon flux in five areas of eucalyptus and native forests.

As part of our commitments within the Bracell 2030 roadmap, we have invested in building five flux towers to monitor water and carbon flux in our operations. In 2024, we installed two towers—one in a native forest area in São Paulo and another in a eucalyptus area in Bahia. Two more towers will be installed in Mato Grosso do Sul—one in each type of forested area—and another tower in a native forest in Bahia. The data is managed and analyzed by our Forestry Research and Development team.

Forestry R&D, risk management and climate change impacts

We invest in classical genetic improvement, silviculture, forest management, extension services, and technology transfer to ensure a sustainable supply of high-quality pulpwood over the medium and long term—and ultimately business continuity and product excellence.

The Forest R&D team’s key research endpoints are to improve the MAI (Mean Annual Increment of Wood) and MACI (Mean Annual Increment of Pulp) sustainably. Each year, a research pipeline is created with this goal in mind, taking into account the specific conditions and characteristics of each region where we operate.

Classical Genetic Improvement

Bracell does not use genetically modified organisms (GMOs) and develops its eucalyptus clones through classical genetic improvement. This process involves the generation, evaluation and selection of clones improved in successive cycles. The focus of genetic improvement is also on developing techniques aimed at improving cloning efficiency, guaranteeing high-quality pulpwood that is more sustainable in the long term.  

In 2024, our Forestry R&D team recommended the commercial planting of two clonal blends—one in São Paulo and one in Bahia. These are unique cultivars formed by a blend of clones, which reduces vulnerability and offers greater protection against pests, diseases, and adverse weather events. The clonal blends were tested in our nurseries, and are now ready to be planted commercially starting in 2025.

In addition to the two clonal blends, two new classical clones were also recommended—one for operations in São Paulo and another for Bahia. 

Silviculture and Forest Management

At Bracell, we seek to continually improve our monitoring and climate-zoning processes, and use best-practice soil conservation, preparation and fertilization practices. Sustainable control of pests, diseases and weeds is also a priority, ensuring healthy, productive forests in the long term.

Biological control using natural enemies

In 2024, we produced 6 million natural enemies in São Paulo and 89 million in Bahia, totaling 95 million for the year—an increase of 46% compared to 65 million in 2023. Biological control replaces the use of chemicals, preventing emissions of N2O greenhouse gases.

Forestry extension and technology transfer 

We provide specialized technical assistance and promote technology transfer in our forestry operations, advancing best practices and continuous process improvement.

Climate zoning studies

We continuously conduct climate zoning studies using historical climate data such as precipitation, temperature, and latitude. This analysis helps us identify optimal areas for eucalyptus planting and make region-specific technical recommendations, including clone allocation and fertilization strategies.

In 2024, we introduced a new zoning parameter in Bahia: altitude. As a result of these studies, region-specific planting methods and cultivar recommendations will be provided.

Energy Efficiency

Our facilities in Lençóis Paulista (SP) are energy self-sufficient. At our mills, recovery boilers produce steam that is fed to turbine-generator sets to generate electricity. We only source electricity from the national grid during equipment maintenance shutdowns. In these cases, we source electricity from the national grid, which derives approximately 85% of its electricity from renewable sources—mainly hydro, wind, and solar.

We also purchase electricity for forestry operations and nurseries, where diesel is additionally used in power generators.

At our storage yards in Lençóis Paulista (SP), we use electric forklifts to reduce fossil fuel consumption in these operations. In 2024, we continued testing electric trucks to transport pulp from our mill in Lençóis Paulista (SP) to the road-rail terminal in Pederneiras (SP).

Renewable Energy

The new flexible lines at our Lençóis Paulista (SP) mill are equipped with a recovery boiler that generates renewable energy from eucalyptus biomass, composed of trimmings from the plant and other substances originating from the production of dissolving pulp, including black liquor—a byproduct of pulp production.

These lines have been developed to be fossil fuel-free, with on-site capacity to generate clean and renewable electricity for operations and a surplus that is fed into the national grid.

The Lençóis Paulista (SP) site has a 440 kV substation with an installed capacity of 409 MW, enough to supply the full electricity requirement of the mill and a surplus of approximately 150 to 180 MW that is sold to the national grid, enough to supply clean renewable electricity to around 750,000 homes or approximately 3 million people.

Our Bahia plant is also equipped with a recovery boiler that generates renewable electricity from eucalyptus biomass.

In 2024, we generated 192,803,255.26 GJ of renewable energy. We sold 2,718,409.21 GJ of eucalyptus biomass-generated electricity to the Brazilian free energy market (see more in GRI 302).

Bracell holds International Renewable Energy Certificates (I-RECs) as proof that the electricity we use in our operations and sell is renewably sourced.

Sustainability Attributes at Bracell Papéis

Bracell Papéis’ plants feature technologies that enable the use of renewable energy in our operations and help prevent greenhouse gas emissions during pulp transportation to the tissue plant at our Lençóis Paulista (SP) site. 

Solar Power

The Bracell Papéis facility in Lençóis Paulista (SP) has a 50,000 m² solar panel array covering the entire roof of the industrial plant, generating 7.21 MW of renewable, fossil fuel–free energy. This generation capacity meets 20% of the site’s total electricity requirement. 

Automated Vertical Warehouse and Energy Efficiency 

The products manufactured at the site are stored in an automated vertical warehouse that uses robot-operated elevators to optimize goods handling. This system ensures greater energy efficiency in the process. Automation reduces the need for lighting and air-conditioning, resulting in energy savings in warehousing operations.

The system also enables better logistics control, allowing for optimized storage and fast product handling, which reduces waste and increases productivity.

It also improves safety and efficiency. Automation minimizes human intervention, making the process safer, more precise and more sustainable.

Biomass boiler

At the Bracell Papéis plant in Feira de Santana (BA), we commissioned a new biomass boiler, which came online in December. The new unit, which is safer and more efficient, was installed as part of our Inovar program—representing the largest investment in the facility’s history.

Pulp Transportation for Tissue Production

The Bracell Papéis mill in Lençóis Paulista (SP) is located on the same site as Bracell’s flexible lines, where the kraft pulp used in Tissue manufacture is produced. This logistics integration allows the pulp to be transported via pipeline, eliminating the need for drying and road transport, thereby saving GHG emissions and optimizing processes.

Electric Trucks

Since 2023, Bracell has been testing electric trucks for pulp transport, as part of our commitment to sustainable practices across the entire operation. Although still in a trial phase, the initiative supports GHG emissions reductions in our logistics and uses renewable electricity generated in our own production process.

In 2024, the electric trucks transported 33.2 thousand metric tons of product, covering a total of 91,500 kilometers.

We promote economic development in the regions where we operate, including by engaging local suppliers to supply products and services for our forestry, mill, logistics (pulpwood, pulp and paper), and administrative operations.

Suppliers of inputs, equipment, and services that are directly involved in our operations are evaluated throughout a process that begins with supplier onboarding and ends upon contract completion.

Our approach to procurement and supplier management follows corporate policies and internal procedures within our Integrated Management System, which governs social (occupational health, workplace safety, labor rights, child and adolescent rights, Diversity & Inclusion, human rights, social risks and impacts), environmental (water, effluents, waste, energy, environmental licensing, forest management plans, environmental risks and impacts), and governance (compliance, ethics, unfair competition, conflicts of interest, and anti-corruption) matters. Internal standards are developed in compliance with legislation, forestry and industrial certification standards, international sustainability protocols, and other regulatory standards. Operating procedures within the Integrated Management System are internal, while our corporate policies are public and available at available on Bracell’s website (see more about the Integrated Management System under GRI 2-16 Communication of critical concerns).

Processes involved in supplier management:

• Third-party due diligence: before formal engagement, all suppliers undergo due diligence screening. This process is conducted in accordance with Bracell’s policies on Third-Party Due Diligence, Supplier Qualification and Evaluation, Sustainability, and Human Rights.
• Environmental compliance validation: as part of the onboarding and screening process, suppliers acknowledge and agree to follow Bracell’s Procurement Code of Ethics. In our operations, suppliers are evaluated regarding their management of environmental risks and impacts.
• Social compliance validation: social requirements and risks are assessed as part of our approach to managing contractors operating directly at our facilities. The contractor management process includes verifying compliance with labor rights such as compensation, collective bargaining agreements, training, occupational health and safety, among other mandatory requirements for managing social risks. This is done through the Contract Management System, where contractual documents are stored and compliance with legal requirements is verified.
• Supplier evaluation and qualification: we assess suppliers’ capability to deliver products and services in accordance with legal, certification, and technical standards.
• Audits: we perform audits on all operations employing contractors.

All suppliers are screened and must meet a minimum score to retain their supplier status. The findings from screening may prevent the relevant supplier from being awarded the contract or the negotiations from proceeding.

Bracell has not set specific sustainability targets for the supply chain and follows the management practices presented under GRI 414 – Supplier Social Assessment.

Human Rights

We monitor our suppliers to ensure human rights are upheld, based on document reviews, third-party contract management, and audits conducted in our operations.

Our Human Rights Policy formalizes our commitment to sustainable development and best social practices through which we seek to positively impact people and communities. This policy outlines guidelines for managing human rights impacts and mandates compliance with labor laws.

This Human Rights Policy applies to all Bracell operations and to our relationships with all stakeholders, including contractors and subcontractors, local communities, business partners, the Forestry Partnership Program, customers, financial institutions, government organizations, trade associations, suppliers, and other priority stakeholders. The principles outlined in this code are also disseminated throughout our value chain.

Our Code of Conduct, Code of Procurement Ethics, Sustainability Policy and Pulpwood and Fiber Sourcing Policy establish guidelines on mitigating human rights risks and impacts and govern our contracts with suppliers and contractors. These policies support us in mitigating risks related to child labor and forced and slave labor in our value chain, and ensuring compliance with labor, child and adolescent rights.

This set of Company policies is aligned with international certification requirements and Brazilian laws and regulations, in particular the Regulatory Standards (NRs) of the Ministry of Labor and Employment.

We also continuously monitor the areas surrounding our forestry operations to help safeguard the human rights of communities near our eucalyptus plantations. This is done as part of a pulpwood traceability process.

To reduce actual impacts on communities near our industrial operations, we identify potential impacts to mitigate identified risks. We also disseminate our official channels for lodging concerns, complaints, and reports (see more on our reporting channels and response process under GRI 2-16 Communication of critical concerns).

We conduct both internal and external audits to manage environmental, social, management, and quality requirements. These requirements are assessed against the ISO 9001:2015, ISO 14001:2015 and Programme for the Endorsement of Forest Certification (PEFC) requirements. We also undergo external audits based on the IFC (International Finance Corporation) Performance Standards at our Lençóis Paulista (SP) site, a requirement in connection with the finance secured for Project Star—two newbuild flexible pulp lines, in operation since 2021.

Managing potential and actual impacts 

As part of our supplier management processes, we identify and analyze potential and actual impacts related to them. Both positive and negative aspects are considered in this process.

• Potential negative impacts: we identified potential impacts on product quality (kraft pulp, dissolving pulp, specialty pulp, and tissue products) due to quality issues with suppliers. We have internal controls in place to mitigate these risks.
• Actual negative impacts: these include negative social or environmental impacts and/or information security issues involving companies supplying materials and providing services to Bracell, as well as impacts that may occur in our own operations. These impacts are broad in scope and low in intensity. They are also managed through internal processes.

Other actual impacts include violations of human rights, labor rights, and environmental regulations across the value chain. This impact is broad in scope and high in intensity, and is considered a critical issue. These impacts are managed through internal processes.

Water is vital to human well-being, the conservation of natural ecosystems and biodiversity, and to Bracell’s operations. We are committed to preserving water resources by protecting springs and riparian vegetation in our areas of operation. Looking ahead, we have set a target to reduce water consumption per metric ton of product by 47% by 2030. This commitment underscores the importance we attach to water stewardship in our operations.

Our water stewardship practices are aimed at minimizing water use in pulp manufacturing, preserving water resources and watersheds, improving operational water efficiency, mitigating water availability risks and impacts, and optimizing effluent management practices.

We monitor and control water withdrawal, discharge, and consumption across both our mill and forestry operations. Our Integrated Management System comprises corporate policies, standard operating procedures, and risk, aspect and impact matrixes. These policies and procedures comply with the requirements of ISO 14001, ISO 9001, Forestry Certification Endorsement Program (PEFC) certification requirements, applicable Brazilian legislation, regulatory standards and international sustainability management protocols.

The Environmental and Certification teams in our forestry and mill operations manage our Integrated Management System. These teams report annually to senior management on continuous improvement in environmental performance and certification compliance.

As part of Bracell 2030, our sustainability roadmap, we have set a target for improving water efficiency in our mill processes. By 2030, we aim to achieve a 47% reduction in water intensity per metric ton of pulp produced, reaching 16.6 m³/adt. In 2024, our water intensity stood at 19.2 m³/adt, in line with our target for the year.

In our forestry operations, eucalyptus planting is informed by a climate zoning study conducted by our Forest R&D team. This study analyzes historical climate data such as precipitation, temperature, and latitude. Based on collected data, land with greater water availability may be recommended (read more about our management approach in Climate Action).

We are actively engaged in reducing the use of harmful chemicals and inorganic fertilizers in our forestry operations, which can contaminate soil and water resources. In line with international conventions, including the Stockholm and Rotterdam Conventions, we are phasing out sulfluramid and exploring safer alternatives for managing leaf-cutting ants. Our teams participate in collaborative research programs and conduct in-house testing to identify safer substitutes.

To further reduce synthetic fertilizer use, Bracell is exploring the application of organomineral fertilizers produced from organic waste generated by our own facilities. A composting plant feasibility study is currently underway. We have also begun producing potassium sulfate from an effluent stream in our pulp production process, reducing our reliance on imported potassium chloride.

List of chemicals used

Category	Active ingredient
Fungicide	Azoxystrobin + Difenoconazole
Fungicide	Mancozeb + Azoxystrobin
Fungicide	Metconazole
Fungicide	Pyraclostrobin
Fungicide	Tebuconazole + Trifloxystrobin
Herbicide	Flumioxazin
Herbicide	Fluroxypyr + Triclopyr
Herbicide	Glyphosate
Herbicide	Haloxyfop
Herbicide	Haloxyfop + Clethodim
Herbicide	Indaziflam
Herbicide	Isoxaflutole
Herbicide	Oxyfluorfen
Herbicide	Saflufenacil
Herbicide	Sulfentrazone
Herbicide	Triclopyr
Insecticide	Acetamiprid + Bifenthrin
Insecticide	Alpha-cypermethrin
Insecticide	Bifenthrin
Insecticide	Deltamethrin
Insecticide	Fipronil
Insecticide	Imidacloprid
Insecticide	Isocycloseram
Insecticide	Sulfluramid
Insecticide	Thiamethoxam

Water withdrawal management

At our mill in the Camaçari Industrial Park (Bahia), water is withdrawn from 11 groundwater wells located near the plant within the Recôncavo Norte Watershed. These withdrawals are made under a permit from the Bahia State Environmental Agency (Inema). We also withdraw groundwater at our Bracell Papéis plant in the Northeast, in Feira de Santana (BA), via 14 deep cased wells operating under a permit issued by Inema. The wells are continuously monitored for flow rate, water table levels, and Hydro accordance with regulations.

At our Lençóis Paulista (São Paulo) site, water is sourced from six deep cased wells and surface water drawn from the Tietê River, at an intake 22 km from the mill. The site also has a system to collect rainwater. We additionally operate groundwater withdrawal systems at two nurseries in São Paulo: one in Lençóis Paulista and another in Avaí.

Our forestry operations, which supply raw material to both the Camaçari and Lençóis Paulista mills, similarly withdraw both surface and groundwater. Across all operations, our water withdrawal points are distributed as follows: 37 in Bahia, 251 in São Paulo, 14 in Minas Gerais, and 2 in Paraná. All withdrawals are made under permits issued by the respective environmental authorities. Withdrawal points are periodically monitored in accordance with license requirements (learn more under GRI 303-3 Water withdrawal).

In Bahia, we withdraw surface water from six major rivers: Pojuca, Subaúma, Itariri, Inhambupe, Sauípe and Imbassaí. In São Paulo, withdrawals are made from nine designated Water Resource Management Units (UGRHIs): Aguapeí, Peixe, Upper Paranapanema, Middle Paranapanema, Pontal do Paranapanema, Tietê Batalha, Tietê Jacaré, Tietê Sorocaba, and Piracicaba/Capivari/Jundiaí. In Minas Gerais, our water sources include Ribeirão da Onça, Ribeirão Jacurutu and its tributaries, Rio do Peixe, Córrego Sobrado, and Rio Jequitaí. In Paraná, water is withdrawn from Ribeirão Jundiaí.

We evaluate potential impacts on water resources using an impact matrix that accounts for the scale and intensity of forestry activities. Based on this analysis, we implement preventive and mitigation measures as needed. Regular water quality assessments are conducted to evaluate the effects of our forestry operations. As of 2024, the results indicate no adverse impacts.

Water Resources Monitoring Program

Our Water Resource Monitoring Plan tracks withdrawal volumes to ensure compliance with permit requirements and licensing covenants issued by environmental authorities.

Water management in the Camaçari Industrial Park is overseen by an independent firm that monitors both water availability and quality. The park’s Water Resources Management Plan includes risk assessments and action plans for 100% of tenants (read more about effluent management under GRI 303-4 Water discharge).

Bracell protects natural watercourses with vegetated buffer zones. We use official data from the Rural Environmental Register (CAR) to georeference information about the farms we manage. In our geographic information system, we intersect this data with other data sets, such as those compiled in our protected areas and buffer zones. This informs our operational procedures on each property, depending on the constraints and conditions set in management plans (read more in Sustainable Landscapes and Biodiversity).

Consumption management

Our facilities use partially closed-loop water systems that support water recycling throughout the production process, minimizing freshwater withdrawals.

At our new Tissue facility in Lençóis Paulista (SP), water used in manufacturing is extracted directly from the pulp, purified within the process, and then reused. This reduces water intake and enhances overall water efficiency.

At Bracell Papéis Nordeste, in Feira de Santana (BA), wastewater is recovered after treatment and returned to the process, further reducing fresh water consumption. This facility is designed as a fully closed loop, with 100% of process water recycled. (read more about the sustainability attributes of our operations in GRI 2-6 About Bracell)

In our nurseries, water is primarily used for seedling irrigation. At our nursery located in Bahia, we also maintain eucalyptus plantation areas. Excess irrigation water is directed to drainage systems, infiltrating the soil in the eucalyptus stands. In our forestry operations, water serves various purposes, including seedling watering, preparation of chemical treatment mixtures, firefighting, dust suppression and maintenance of service roads, and equipment cleaning.

In Bahia, Bracell collaborates with public agencies and local communities to help ensure water availability. Monitoring is conducted by an independent firm based in the Camaçari industrial park, which identifies potential risks and implements corrective action (see GRI 303-2 Management of water discharge related impacts for additional information).

To ensure responsible and compliant water consumption we conduct regular environmental monitoring across our forestry and mill sites in São Paulo and Bahia. This monitoring is performed by laboratories accredited under NBR ISO/IEC 17025 and includes assessments of both groundwater and surface water quality, as well as potability testing for human consumption, ensuring compliance with applicable regulations.

Effluent management and discharge

Our pulp production facilities are certified to ISO 14001:2015, which ensures water consumption and discharge points are systematically managed and controlled within an internal environmental management system, including consumption limits and strategies for reuse and reduction.

We are the first company in the pulp industry in São Paulo to implement three-stage effluent treatment:

1. Primary treatment: mechanical removal of fibers and inorganic compounds through solid-liquid separation
2. Secondary treatment: biological treatment of organic matter using activated sludge systems to significantly reduce organic load
3. Tertiary treatment: final polishing of the treated effluent through a chemical flotation system, ensuring it meets appropriate quality standards before it is returned to the Tietê River.

Tertiary effluent treatment supports high-performance removal of organic load—as measured by Biochemical Oxygen Demand (BOD)—at approximately 98% efficiency, far exceeding federal regulatory requirements (Conama Resolution 430/2011). In addition, approximately 92% of water withdrawals are returned to the Tietê River as treated effluent.

Effluent discharge limits are set in accordance with Brazilian environmental laws and standards, including Article 18 of Decree No. 8.468/1976, Article 16 of CONAMA Resolution 430/2011, the state environmental regulator’s (CETESB) Technical Reference Document, Technical Opinion 072/18/IPSE, and international eco-label standards such as Nordic Swan and the EU Ecolabel (see GRI 2-6 About Bracell for further details).

At our mill in the Camaçari Industrial Park (Bahia), process water is collected post-use and pumped to Bracell’s on-site primary treatment system, which includes a sedimentation step. The organic effluent is then sent to the local utility, which performs secondary biological treatment (activated sludge), ensuring more than 95% removal of organic load. The treated effluent is then discharged into the Atlantic Ocean through a submarine outfall, in compliance with CONAMA Resolution 430/2011 and the guidelines of the Bahia state environmental authority (INEMA).

We consistently maintain quality standards that surpass national regulatory requirements, with especially rigorous monitoring of parameters like BOD and Chemical Oxygen Demand (COD).

At our operations in São Paulo, BOD levels are approximately 98% above the threshold required by federal regulations (Conama Resolution No. 430/2011), reflecting the efficiency of our exclusive tertiary treatment system.

In our Bahia operations, continuous COD monitoring ensures the primary treatment system is performing optimally. The secondary treatment stage effectively reduces organic load, though due to mixing with effluents from other industrial operators within the complex, it is not possible to measure Bracell’s isolated contribution to the final effluent discharged offshore.

River Basin Committees

We are active members of watershed committees the regions where we operate, where we discuss ways to use water resources more sustainably. We are members of the following committees and programs:

• North Recôncavo and Inhambupe Watershed Committee (Bahia);
• Paranapanema Watershed Committee (CGBH-RL);
• São Paulo State Watershed Modeling and Monitoring Program (PROMAB), run by the Forest Research Institute (IPEF);
• PROMAB, a 25-year monitoring program in Bahia.

We also implement initiatives in partnership with stakeholders, especially local communities and suppliers, to preserve and restore headwater areas and improve water resource efficiency.

Bracell systematically identifies and classifies climate -related risks and opportunities. These are categorized as physical or regulatory, and their financial implications for the business are determined. We also detail the methods used to manage each risk.

Source of Risk	Risk	Scope
Physical Risks and Opportunities	Extreme weather events (floods, windstorms, and forest fires)	These may result in significant losses of forest assets, production disruptions, raw material supply disruptions, increased insurance costs, and additional operational risks. Our approach to managing these risks includes weather-resistant building and industrial facility designs, effective industrial fire suppression systems, forest fire response plans, and insurance coverage for facilities and equipment.
Physical Risks and Opportunities	Changes in rainfall patterns	These may lead to reduced water availability, increased costs for sourcing and treatment, and limitations on production capacity. Our approach to managing these risks includes strict monitoring of water consumption in line with water permits, setting reduction targets and performance indicators, and implementing water recycling projects and renewable energy solutions to improve operational efficiency.
Physical Risks and Opportunities	Water shortage	This poses both physical and regulatory risks, directly affecting groundwater usage permits and potentially limiting production and future expansion. Our approach to managing these risks includes continuous monitoring of water consumption and setting clear performance indicators and targets for consumption reduction, aiming to optimize processes and reduce losses.
Physical Risks and Opportunities	Strong winds and heavy rainfall	These events can cause serious damage to assets, limiting or halting production operations. We manage these risks by designing structures to withstand severe weather and maintaining emergency and business continuity plans.
Regulatory Risk and Opportunity	More stringent legal and regulatory climate-related requirements	These requirements could result in additional compliance costs. Our approach to managing these risks involves close monitoring and control of water consumption and permits, carrying out research and projects around water reduction and reuse in industrial processes, and expanding renewable energy and use of electric equipment (such as electric forklifts) to significantly reduce fossil fuel consumption.

Risk management process

Our Corporate Risk Management and Business Continuity Policy provides guidelines on identifying, assessing, addressing, and monitoring corporate risks through a structured Enterprise Risk Management (ERM) process. This process follows international standards such as ISO 31000, BSI 31100, and COSO ERM, covering operational, social, environmental, governance, technological, strategic, political, and financial risks.

Climate-related risks with financial impacts are categorized and classified in accordance with Bracell’s Risk Classification Matrix. A clear implementation schedule has been established for deploying ERM across departments by 2025, supported by strategic indicators to ensure identified risks are reduced to acceptable levels.

In 2025, we will complete (100%) ERM implementation across all 18 departments listed in the plan, including manufacturing, forestry, logistics, and corporate. We plan to implement all proposed actions to reduce identified risks, with a goal to bring at least seven of the major risks to acceptable criticality levels by year-end.

Methods Used to Manage Climate Change Risks or Opportunities

In our operations, we adopt management practices and invest in technologies aimed at preventing and mitigating climate change impacts, such as carbon capture and storage, fossil fuel replacement, the use of renewable and low-carbon energy, energy efficiency improvements, renewable energy certificates, among other methods (see more in GRI 3-3 Management of the material topic: Climate Change).

  

Climate Action

Fossil fuel replacement with renewable energy – in the two flexible lines at the Lençóis Paulista (SP) site, we produce synthesis gas (Syngas) from eucalyptus biomass in our biomass gasifiers to power the lime kilns.

Replacement of 1B oil with natural gas in the lime kiln – using advanced engineering technologies and solutions, we have launched a project to replace 1B oil (a petroleum-derived fuel oil) with natural gas in the lime kiln of the site’s older production line in Lençóis Paulista (SP).

Electric forklifts and trucks – our operations are deploying electric forklifts running on renewable electricity produced on-site in Lençóis Paulista. We also plan to expand our fleet of electric trucks for logistics operations—the first electric heavy-haul vehicles (40+ tons) to be deployed in this type of operation. The aim is to reduce GHG emissions.

Ongoing climate-focused improvements – our dedicated continuous improvement team employs agile methodologies (Kaizen) to drive climate-related projects. Reducing greenhouse gas emissions is a key focus of our current Kaizen initiatives. We also participate in decarbonization forums to explore and deploy new technologies and best practices across the company.

Research on carbon and water flux in eucalyptus plantations – as part of the Eucflux-IPEF Cooperative Program, we conduct research on carbon and water flux in eucalyptus plantations in Brazil. This research is enhancing our understanding of these processes in a Bracell-managed eucalyptus plantation in Itatinga, São Paulo, where we have set up a flux tower equipped with advanced monitoring technology.

Investment in carbon and water flux towers – in line with our Bracell 2030 commitments, we are installing five additional monitoring towers in both eucalyptus plantations and native forests across São Paulo, Mato Grosso do Sul, and Bahia. In 2024, we installed two towers—one in a native forest area in São Paulo and another in a eucalyptus area in Bahia. Two more towers will be installed in Mato Grosso do Sul—one in each type of forested area—and another tower in a native forest in Bahia.

GHG Protocol – our greenhouse gas emissions inventories are published on the Brazilian GHG Protocol Public Emissions Registry platform.

CDP – In 2024, we responded for the first time to CDP questionnaires and received a B rating across all three evaluated topics: Climate Change; Forests and Water Security. A B rating is strong for companies in their first year of reporting and demonstrates our commitment to transparency and responsible environmental management.

GHG Inventory Assurance Statement – our GHG inventory—covering Scopes 1, 2, and 3—and our tCO2e removals are externally audited and assured.

We invested in structural projects in partnership with communities near our operations. Through Bracell Social, we supported initiatives in education, well-being, and empowerment.

Bracell Social is built around three main pillars:

• Education: Bracell believes in education as the cornerstone for societal development. Through projects and initiatives that engage both children and adults in our areas of operation, our efforts have helped improve educational practices in public schools. These programs also foster environmental civics, develop leadership skills, and support the professional development of adolescents and young adults. This further underscores our belief in the transformational role of education.
• Empowerment: Bracell works to strengthen production collectives and social enterprises through training initiatives focused on leadership, empowerment, and creating employment and income opportunities. We work to develop and strengthen productive activities, invest in training and technical assistance, develop community leaders, promote cooperativism, and facilitate social participation mechanisms including public calls for projects and public-private partnerships.
• Well-being: we provide community residents with free leisure, culture, health promotion, and civics activities that foster well-being and civic engagement in the communities around our facilities.

Bracell Social Center

On November 13, 2024, we opened the Bracell Social Center—a dedicated space for hosting community initiatives and welcoming Bracell stakeholders. The Bracell Social Center is located in Lençóis Paulista (SP).

The space will host a range of community training and empowerment initiatives. Starting in 2025, in addition to ongoing social programs, the Bracell Social Center will host our Mãos Dadas volunteer program and a full calendar of workshops, training, and discussions on topics such as Bracell’s social impact pillars and the United Nations 2030 Agenda.

Number of projects

Bracell Social	2022	2023	2024
Education	7	11	10
Empowerment	8	10	9
Well-being	16	18	15
Total	31	39	34

Number of people reached

Bracell Social	2022	2023	2024
Education	34,509	72,764	107,792
Empowerment	15,616	26,012	15,748
Well-being	71,715	65,232	28,600
Total	121,840	164,008	152,140

Total invested

Bracell Social	2022	2023	2024
Education	R$ 1,596,974.19	R$ 3,755,301.30	R$ 3,856,191.24
Empowerment	R$ 1,818,182.57	R$ 2,712,761.37	R$ 2,937,657.07
Well-being	R$ 1,019,777.47	R$ 2,571,486.65	R$ 1,677,259.58
Total	R$ 4,434,934.23	R$ 9,039,549.32	R$ 8,471,107.89

Stand-out projects in 2024

Leitura Viva

Leitura Viva is a project sponsored by Bracell, carried out by A Taba, and supported by the municipal governments of Lençóis Paulista (SP) and Macatuba (SP). The goal of the project is to support training and awareness raising among elementary school teachers (grades 1–5) and Portuguese language teachers from middle school in public schools, encouraging reading practices.

The project comprises a series of initiatives such as content curation, delivery of textbooks and supporting materials for teachers and students, and online activities for the continuous development of participating educators. The project achieved significant results: 9,064 kits were distributed, benefiting 8,753 students and 311 teachers. The program also included a kickoff lecture and training workshops, as well as reading circles and training sessions. In total, the training activities provided 16 hours of certified instruction for educators, delivering positive impact on the school community.

Mãos Dadas program

Our Mãos Dadas volunteering program aims to engage employees and their families in activities that benefit the community, encouraging them to donate their time and skills to social causes—fostering civics, self-esteem, a sense of belonging, and the development of new skills and competencies.

In 2024, 17 social organizations were benefited, impacting more than 6,700 people. The program also collected and distributed over 3 metric tons of food and involved more than 3,000 volunteers, illustrating the power of social engagement.

Dona Della

Our Dona Della program helps women become financially independent by supporting the growth and development of women-led businesses and helping them gain a foothold in the market.

In 2024, the project delivered 48 hours of online and in-person training and mentoring sessions for 20 female business owners. It included a Pitch Day and granted seed capital of R$ 10,000 to each of the 10 selected businesses. The project was implemented in collaboration with Rede Mulher Empreendedora.

Also in 2024, the project received support from SEBRAE, which helped organize a visit to a Small Business Fair in São Paulo and offered two workshops on pitching at business rounds hosted by Bracell. At these events, participating businesses generated over R$ 3,000 in sales and projected short-term deals exceeding R$ 20,000.

Bracell Social Collective Fair

To boost supported business, we hosted the Bracell Social Collective Fair. This initiative invites employees to learn about these businesses, engage with community members, and purchase their products, generating income for supported groups.

In 2024, businesses participating in the Dona Della program exhibited at the fair and reported total sales of over R$ 7,000, further strengthening their market presence.

Social Impact Business Development

The Impact Business Development Program (FNI) provides technical and operational support to productive associations and/or groups in the Northern Coast and Agreste regions of Bahia, helping to build the institutional and entrepreneurial capabilities of organizations and their leaders. The FNI supports initiatives aimed at improving processes, products, market access, and public policies geared toward business growth.

In total, the program reaches 6,976 people directly and indirectly. FNI is active in the municipalities of Alagoinhas, Araçás, Aramari, Catu, Entre Rios, Esplanada, Inhambupe, and Olindina, all in the state of Bahia. In 2024, FNI initiatives generated R$ 492,481.30 in income for participants, along with more than R$ 800,000 in funding secured by four associations through calls for proposals from Companhia de Ação e Desenvolvimento Regional (CAR) and Fundação Banco do Brasil.

We invest in structuring community initiatives in the regions where we operate through Bracell Social. Our Social Investment Policy embodies Bracell’s commitment to creating positive social value while respecting local customs, traditions, and culture, and building strong, trust-based relationships with the communities where we operate.

Through Bracell Social, we develop enabling projects in the areas of education, entrepreneurship, and civic engagement:

Education: we help to improve educational practices in public schools. These programs foster environmental civics, develop leadership skills, and support the professional development of adolescents and young adults, underscoring our belief in the transformational role of education.

Empowerment: Bracell works to strengthen production collectives and social enterprises by creating learning environments focused on creating employment and income opportunities. We invest in training and technical assistance, develop community leaders, promote cooperativism, and facilitate social participation mechanisms including public calls for projects and public-private partnerships.

Estar Bem: we provide free access to leisure, cultural activities, health services, and civics initiatives for local residents.

Discover more about our Bracell 2030 goals for women’s entrepreneurship, income generation, and education on page GRI 3-3: Management of material topics: Community engagement and local development.

Below are some of the outcomes from Bracell Social’s key projects in São Paulo in 2024.

São Paulo

Projects	Municipalities	Positive impact	Stakeholders reached
Dona Della	Acute Avaí Bauru Borebi Lençóis Paulista Macatuba Presidente Alves	The Dona Della project aims to promote women’s financial independence by supporting the creation or strengthening of women-led businesses—whether formal or informal—advancing their growth and market access, and helping them gain a foothold in the market. In 2024, the project delivered 48 hours of training through both online and in-person sessions, provided mentoring for 20 women entrepreneurs, organized a Pitch Day, and awarded seed funding to 10 businesses. These activities were carried out by partner NGO Rede Mulher Empreendedora. Also in 2024, in collaboration with SEBRAE, the program included a visit to SEBRAE’s Small Business Fair in São Paulo, two pitch preparation workshops ahead of business rounds, and two business rounds proper. During the business rounds, small business owners generated over R$ 3,000 in immediate sales and projected short-term deals exceeding R$ 20,000. Additionally, participants from both the first and second editions of Dona Della participated in the Bracell Social Collective Fair, where they generated more than R$ 7,000 in sales.	A total of 130 women entrepreneurs actively participated in the project’s training sessions. Fifteen attended the Entrepreneur Fair, 47 joined the pitch workshops, and 32 took part in the business rounds.
Nós do Campo	Borebi Acute Iaras Paulistânia	Our Nós do Campo initiative aims to promote food security and increase income for small-scale farmers, with a focus on agroecological transition and the implementation of agroforestry systems. In 2024 we carried out: one meeting of the Project Follow-up Committee; monitoring and evaluation of project results; 47 visits to update the records of second-cycle beneficiaries; 39 mobilization visits, field days, and meetings for Participatory Rural Assessments; 12 visits for seedling distribution; 21 visits to prepare land for implementing agroforestry systems; 22 visits for monitoring, planning, and enriching agroforestry demonstration sites; 12 advisory visits for associations; development of a strategic marketing plan for associations/cooperatives; and technical support for preparing and submitting six funding proposals. Farmers in the project also participated in the Bracell Social Collective Fair, which gives Bracell mill employees access to produce and crafts produced by family farmers, beekeepers, and artisans from both rural and urban initiatives. This initiative also helps connect stakeholders to the company’s business and generate income for the communities involved. At the fair, the family farmers earned over R$ 17,000.	A total of 495 rural producers from agrarian reform settlements participated, including residents of the Rosa Luxemburgo, Loiva Lourdes, Maraci 1, Vau Jaboque, Nova Vida, and Zumbi dos Palmares settlements. The project directly benefited 214 people (family farmers from these settlements). 7 settlements.
Pollinators	Avaré Acute Bauru Botucatu Cabrália Paulista Itatinga Lençóis Paulista Marília	The goal of this project is to organize beekeeping activities within Bracell’s forest areas, through partnerships with nearby beekeeping associations, supporting the use of forest land for the production of honey and other products in a structured, responsible, and sustainable way. In 2024, 2,000 production units were installed in our forests, generating more than 12,000 metric tons of honey. In addition, four beekeepers accredited by the project were invited to take part in the Bracell Social Collective Fair, where they earned over R$ 15,000 from the exhibition and sale of their honey products.	50 beekeepers benefited 168 indirect beneficiaries (beekeepers’ families) 8 associations involved
Conexão	Lençóis Paulista	The second edition of Conexão supported eight civil society organizations (CSOs) in Lençóis Paulista, providing capacity building to accelerate their development. The initiative helped to expand these organizations’ understanding of fundraising strategies, helping them build long-term sustainability. The overall goal is to strengthen CSOs through a structured learning process, as well as helping them submit applications for grants from other institutions and government programs. The capacity building also prepared these organizations to participate in general public calls for funding applications, increasing their chances of securing grants. Another specific objective is to boost their capabilities by offering training and mentoring to foster institutional growth and a new mindset around partnerships and sustainability. The Conexão program included 18 hours of in-person training on key topics in management and fundraising, as well as 40 hours of online mentoring to provide personalized, ongoing support and ensure the effective development of participating CSOs.	8 civil society organizations. 209 individuals directly and indirectly impacted.

 

Bahia

Projects	Municipalities	Positive impact	Stakeholders reached
Continuing Education Project	Acajutiba Alagoinhas Araçás Aramari Cachoeira Cardeal da Silva Entre Rios Inhambupe Itanagra Jandaíra Ouriçangas Santo Amaro	Implemented in 12 municipalities in the Recôncavo, Northern Coast, and Agreste regions of Bahia, this project supports the professional development of public school educators and helps strengthen municipal continuing education programs. It also works with municipal education officials, students’ families, and broader society to encourage social engagement in advancing high-quality public education, through school forums and advocacy efforts aimed at local government candidates. In 2024, the project reached 280 schools, delivering a total of 1,862 hours of training.	2,141 education professionals reached 23,228 students indirectly impacted 663 family members engaged
School Dropout Prevention Strategy (UNICEF)	Amélia Rodrigues Esplanada Feira de Santana Rio Real	Support for the UNICEF and UNDIME strategy to identify and re-enroll school dropouts, with a primary focus on the municipalities of Feira de Santana, Rio Real, Esplanada, and Amélia Rodrigues—where Bracell operates.	11,862 re-enrollments in Bahia 120 professionals trained in the School Dropout Prevention methodology
Ecomunidade	Alagoinhas Catu Entre Rios Itanagra Santo Amaro São Sebastião do Passé	This program trains eco-agents to promote environmental awareness and best practices in the community. It also supports social and environmental initiatives, such as community gardens, revitalization of eco-parks, workshops on waste reuse, and robotics using recycled materials.	15 communities reached 1,015 people reached 156 eco-agents trained
Environmental Education Center	Alagoinhas Aporá Aramari  Catu Conde Entre Rios Inhambupe Sátiro Dias	An interactive space dedicated to sharing knowledge and practices in environmental education, the Environmental Education Center is located at one of Bracell’s sites in Bahia, in the municipality of Inhambupe. It offers activities such as lectures and games on environmental topics, recycling workshops, guided walks along ecological trails, and visits to an agroforestry system. Students, teachers, and local communities are among the groups visiting the center every week.	4,497 visitors welcomed 165 schools reached
Impact Business Development Program	Alagoinhas Araçás Aramari Catu Entre Riso Esplanada Inhambupe Olindina	The Impact Business Development Program (FNI) provides technical and operational support to productive associations and/or groups in the Northern Coast and Agreste regions of Bahia, helping to build the institutional and entrepreneurial capabilities of organizations and their leaders. The program encourages and supports initiatives aimed at improving processes, products, market access, and public policies geared toward business growth. In total, the program generated R$ 492,481.30 in income along with more than R$ 800,000 in funding secured by four associations through calls for grant applications from Companhia de Ação e Desenvolvimento Regional (CAR) and Fundação Banco do Brasil.	19 communities reached 6,976 people directly and indirectly reached
Nós do Campo	Alagoinhas Cardeal da Silva Conde Entre Rios Esplanada Itanagra Mata de São João Rio Real	This program helps to improve agricultural yields, increase biodiversity, and support income generation for small farmers. Nós do Campo promotes agroforestry methods by providing support and technical assistance to family farmers. The goal is to introduce new technologies and expand the use of agroforestry systems combined with eucalyptus cultivation. R$ 168,126.79 in income generated	10 communities reached 1,460 people directly and indirectly reached
Pollinators Program	Alagoinhas Araçás Entre Rios Esplanada Itanagra Mata de São João	Our Pollinators Program supports beekeeping as an alternative profitable use of eucalyptus plantations. Bracell authorizes certified beekeepers to install and manage apiaries in native vegetation areas owned by the company in Bahia. The program also provides technical assistance to beekeepers to improve productivity, as well as offering courses and workshops on topics such as propolis, pollen, and mead production. R$ 536,450.00 in income generated	1,277 people directly and indirectly reached 12 participating associations
Women Producers	Santo Amaro São Sebastião do Passé	Our Women Producers program promotes both individual and collective empowerment of women in the Recôncavo Baiano region, with a focus on entrepreneurship and autonomy. Through this initiative, the company supports 9 groups made up of women pursuing various alternative livelihoods, such as bioponics, food production, and egg-laying poultry farming. R$ 51,995.66 in income generated	857 people directly and indirectly reached  9 communities reached
Ponteira Sustentável	Alagoinhas Araçás Aramari Cardeal da Silva Conde Crisópolis Entre Rios Esplanada Inhambupe Itanagra Jandaíra Ouriçangas Rio Real Sátiro Dias	Our Ponteira Sustentável (“Sustainable Leftovers”) program benefits associations and cooperatives by donating eucalyptus waste left over from harvesting, which is used as an additional source of income and funds for those living in these communities. To improve wood waste collection activities on our properties, Bracell supported the collective organization of local associations into a cooperative that now provides a range of services in the region: the Mixed Cooperative of Rural Workers and Farmers in the North Coast and Agreste of Bahia (COOPNORTE/BA). R$ 10,963,850.00 in income generated	3,816 direct and indirect participants

Bracell Social Center

On November 13, 2024, we opened the Bracell Social Center—a dedicated space for hosting community initiatives and welcoming Bracell stakeholders. The Bracell Social Center is located in Lençóis Paulista (SP).

The space will host a range of community training and empowerment initiatives. Starting in 2025, in addition to ongoing social programs, the Bracell Social Center will host our Mãos Dadas volunteer program and a full calendar of workshops, training, and discussions on topics such as Bracell’s social impact pillars and the United Nations 2030 Agenda.

In 2024, our supplier network included 1,914 registered partners with active contracts supporting operations at Bracell and Bracell Papéis (Lençóis Paulista (SP) site). In our Bahia and Pernambuco operations—Bracell and Bracell Papéis—we had a total of 9,823 suppliers with active contracts.

We sourced 91% of our supplier spend locally in São Paulo—for both Bracell and Bracell Papéis operations—and 61% in Bahia, for Bracell operations. At Bracell Papéis Nordeste, 53.15% of supplier spend with local—for operations in Feira de Santana (BA), São Gonçalo dos Campos (BA), and Pombos (PE).

Local suppliers are defined as those based in the states where our operational sites are located. The percentage of spending on local suppliers is calculated across all sites. For confidentiality reasons, Bracell does not report financial data.

Business unit	Bahia (pulp)	São Paulo (pulp) and Southeast Paper operations	Northeast Paper Operations
Percent	61%	91%	53.15%

We invest in processes and technologies to enhance energy efficiency across our operations, prioritizing renewable energy sources. We have set 2030 targets to reduce greenhouse gas emissions per metric ton of pulp produced. Our company also has policies and action plans in place to mitigate impacts and support low-carbon production.

Reducing energy intensity, improving energy efficiency, and investing in a low-carbon energy mix are some of the initiatives Bracell pursues to reduce greenhouse gas emissions (see more under GRI 305 Emissions).

Our mills are energy self-sufficient. We only use electricity from the national grid during maintenance shutdowns. In these cases, we source electricity from the national grid, which derives approximately 85% of its electricity from renewable sources—mainly hydro, wind, and solar. In addition, we sell our surplus electricity output to the free market with I-REC certification, contributing to Brazil’s high share of clean energy.

At the pulp yard in our Lençóis Paulista (SP) mill, we use electric forklifts to reduce fossil fuel consumption in these operations. In 2024, we continued testing electric trucks to transport pulp from our mill in Lençóis Paulista (SP) to the road-rail terminal in Pederneiras (SP).

Energy management in our operations:

• biomass boiler at our Lençóis Paulista (SP) pulp mill generates renewable energy using eucalyptus biomass—composed of plant residues and byproducts from the dissolving pulp production process, including black liquor.
• All production lines at the site were designed to run entirely on fossil-free energy, producing clean energy on-site not only for internal use but also a surplus sold to Brazil’s energy grid.
• The Lençóis Paulista (SP) site has a 440 kV substation with an installed capacity of 409 MW, sufficient to power the mill and inject a clean energy surplus of 150 to 180 MW into the national grid—enough to supply 405,000 homes or around 1.6 million people.
• Our Lençóis Paulista Tissue paper mill, commissioned in 2024, features a 50,000 m² solar panel array that generates 7.21 MW of clean, fossil-free, renewable electricity—supplying around 20% of the plant’s total electricity requirement. This R$ 21 million investment is one of the largest recent initiatives in renewable energy within the sector. The solar array, consisting of 10,836 solar panels, was built over four months and involved 59 professionals in a highly coordinated operation, including lifting, distributing, and installing the equipment, and building a control center for real-time energy monitoring and management. The completion of this project marks an important milestone in our commitment to sustainable and efficient solutions.
• At the Bracell Papéis plant in Feira de Santana (BA), we commissioned a new biomass boiler, which came online in December. The new unit, which is safer and more efficient with its automated feed system, was installed as part of Inovar—the largest investment program in the facility’s history.

Historical energy consumption within the organization (GJ)

	2022	2023	2024
Bahia	1,579,433.51	1,541,824.41	17,706,299.98
São Paulo	5,828,717.43	6,248,231.37	177,670,455.60
Southeast Paper Operations	–	–	380,731.13
Northeast Paper Operations	–	–	543,413.07
Total	7,408,150.94	7,790,055.78	196,300,899.77

Note: Electricity consumption is calculated as total purchased and generated electricity, less any electricity sold to third parties.

 

Electricity generated (GJ)

	2022	2023	2024
Bahia	1,262,907.28	1,066,178.70	17,178,104.38
São Paulo	8,896,430.99	9,387,409.61	180,045,408.44
Southeast Paper Operations	–	–	380,731.13
Northeast Paper Operations	–	–	370,631.18
Total	10,159,338.27	10,453,588.31	197,974,875.12

Note: in 2024, Bracell adopted a new methodology for calculating energy generation and consumption across all operations. Unlike in 2022 and 2023, when only electricity consumption was taken into account, the new approach implemented in 2024 is broader in scope. This updated method includes all types of energy used in production processes—such as electricity, steam, fuels (both renewable and non-renewable), and other sources related to heating and steam generation.

 

Purchased electricity (GJ)

	2022	2023	2024
Bahia	348,790.00	486,127.30	538,992.00
São Paulo	112,990.60	367,038.00	332,659.68
Southeast paper operations¹	–	–	0.00
Northeast Paper Operations	–	–	172,781.89
Total	461,780.60	853,165.30	1,044,433.57

Note: electricity from the national grid is used during general plant shutdowns and corrective maintenance within the production process. 

1. Bracell Papéis Sudeste uses electricity generated as part of the pulp production process. As a result, this site does not purchase energy from external sources.

Electricity sold (GJ)

	2022	2023	2024
Bahia	32,263.77	10,481.59	10,796.40
São Paulo	3,180,704.16	3,506,216.24	2,707,612.52
Total	3,212,967.93	3,516,697.83	2,718,408.92

Note: the reduction in electricity sales from the Lençóis Paulista (SP) site is due to a reduction in electricity exports caused by an increase in on-site electricity consumption. 

Total energy consumed within the organization, by type of energy (GJ)

Energy consumed within the organization (GJ) 2024

Type of energy	Bahia	São Paulo	Southeast Paper Operations	Northeast Paper Operations	Bracell
Nonrenewable fuels consumed	2,979,196.54	1,312,265.36	3,338.29	5,712.94	4,300,513.13
Renewable fuels consumed	13,659,915.84	64,775,904.80	0.00	192,136.34	78,627,956.98
Electricity, heating, refrigeration and steam purchased for consumption	538,992.00	113,957,238.28	377,392.84	172,781.89	115,046,405.01
Sale of surplus electricity, heating, cooling or steam	10,796.40	2,707,612.52	0.00	0.00	2,718,408.92
Total	17,178,104.38	180,045,408.44	380,731.13	370,631.18	197,974,875.12

Energy intensity refers to the amount of energy required to produce one unit of a product or service. We use the metric GJ/adt, or energy consumed per air-dried ton of pulp or paper produced.

Until 2023, we considered energy consumption outside the organization as referring to purchase electricity used in our own operations. Energy consumption at sites outside the operational boundary and not under Bracell’s direct control is not tracked withing our sustainability data management systems. We report energy use outside the organization through our greenhouse gas emissions inventory, under Scope 3 emissions, which cover pulp production and sales operations.

In 2024, Bracell Papéis began integrating its operations into the management processes and procedures of Bracell and the wider RGE Group. As a result, these operations were not included in the data collection scope of the emissions inventory and some operational data is unavailable due to priorities set for 2024. Unavailable data will be published starting with the 2025 performance report.

For the 2025 reporting cycle, Bracell will report data on energy consumption outside the organization and include paper production and sales operations in our GHG emissions inventory.

Energy intensity (GJ/adt)¹

	2022	2023	2024
Bahia	3.29	3.27	3.19
São Paulo	1.95	2.07	2.12
Southeast Paper	–	–	–
Northeast Paper	–	–	–
Total	5.24	5.34	5.31

1. Energy intensity data is calculated based on the volume of electricity consumed per metric ton of product produced: kraft pulp and dissolving pulp. For confidentiality reasons, Bracell does not report production data. In 2024, Bracell Papéis began integrating its operations into the management processes and procedures used at Bracell and the wider RGE Group. As a result, operational data is unavailable for this report due to the processes prioritized in 2024. Unavailable data will be published starting with the 2025 performance report.

The goal in our energy savings efforts is to minimize waste, lower operational costs, and mitigate environmental impacts by promoting more efficient and sustainable use of energy resources.

Starting in 2024, Bracell adopted a new energy accounting methodology that includes all energy types used in production processes—such as electricity, steam, renewable and non-renewable fuels, and other. In previous years (2022 and 2023), only electricity consumption was reported. As a result, energy consumption values from 2023 and 2024 are not directly comparable due to the change in measurement criteria.

This updated analysis enables a more accurate and comprehensive analysis of Bracell’s energy performance. Learn more under GRI 302-1 Energy consumption within the organization.

Bracell operates mills in the Camaçari Industrial Park (BA) and in the Lençóis Paulista Industrial Park (SP) and in Feira de Santana (BA), as well as integrated forestry operations—from planting to harvesting—across the states of Bahia, São Paulo, and Sergipe. We monitor freshwater withdrawal volumes, risks, and potential impacts on water resources in full compliance with our environmental licenses, applicable laws, and certification standards within Bracell’s Integrated Management System.

At the São Gonçalo dos Campos (BA) and Pombos (PE) sites, there are no water withdrawals as these facilities use dry processing.

We use a structured management approach covering all stages—withdrawal, consumption, and discharge—to ensure both environmental compliance and water efficiency.

Water withdrawal sources:

• Licensed surface and groundwater sources
• Treated wastewater
• Utility

Water uses:

• Drinking water
• Toilet flushing
• Industrial cooling
• Laboratories and research
• Cleaning and maintenance of facilities and equipment
• Fire suppression systems
• Cafeterias and kitchens
• Product processing water (as an ingredient or as part of the production of a product)
• Grounds irrigation and watering
• Seedling irrigation and forest planting

Water disposal methods:

• Discharge into lakes and rivers (authorized and treated)
• Reuse
• Wastewater treatment plants
• Other methods:
  • Forestry area in Bahia: bases in Alagoinhas, Inhambupe, and Entre Rios use septic tanks; the Alagoinhas base also includes an oil-water separator and conducts lab testing of effluents. Waste is collected and treated by licensed providers.
  • Bahia mill: post-process water is collected and treated internally, then sent to the local utility for secondary treatment prior to discharge via ocean outfall.

Environmental impact identification:

Potential water-related impacts include:

• Excessive water consumption
• Water pollution
• Soil erosion and sedimentation
• Greenhouse gas emissions

Approaches to identifying impacts:

• Environmental impact assessments
• Compliance assessments
• Water risk assessments

Scope of impact assessments:

Water consumption in operations

Effluent discharge

Water quality

Compliance

Efficiency and innovation to reduce consumption

Timing of impact assessments:

• Medium-term sustainability programs
• Continuous monitoring
• Baseline assessments to identify risks and impacts

Assessment tools and methodologies:

• Industry benchmarking.
• Environmental performance indicators
• Systems: Softexpert and SOGI
• Identification and assessment of environmental aspects and impacts
• LAIA spreadsheet for documentation and control

Impact management:

We implement measures to mitigate impacts and manage water as a shared resource:

• Water intensity reduction: maintenance and consumption monitoring
• Erosion and siltation: road construction and maintenance according to each business unit’s procedures
• Water availability: forestry planning to minimize water consumption in Bahia; water consumption reduction targets in nurseries.

Water-related goals and targets

• Aligned with public policy frameworks and UN SDG 6
• Reflect public policies and the local context
• Supported by stakeholder engagement, including civil society, trade associations etc.
• Based on sustainable limits and basin-level planning
• Established annually and validated by Bracell’s internal environmental assurance committee.

Suppliers assessed on social and environmental aspects are those operating directly on Bracell’s premises. We do not assess the management of sustainability topics across our broader supplier chain. No water-related impacts caused by suppliers have been reported or identified in Bracell’s operations.

(Read more about our water and effluent management practices under GRI 3-3 Management of the material topic: Water and effluents)

Our pulp production facilities are certified to ISO 14001:2015, which ensures water consumption and discharge points are systematically managed and controlled within an internal environmental management system, including consumption limits and strategies for reuse and reduction. Effluents are monitored for compliance with the discharge standards issued by the Brazilian Environmental Council (Conama 430/2011), State Decree no. 8,468/1976 and other environmental regulators.

In our water and effluent management practices, Bracell actively monitors potential environmental risks, including the contamination of surface water bodies and surrounding ecosystems due to effluent discharge. We also track actual risks, such as water stress in already vulnerable regions, which could negatively impact aquatic ecosystems and water supply for local communities. These risks are classified as having a broad geographic scope and high intensity. Bracell has internal controls in place to prevent and mitigate such risks.

None of our operations are located in areas where water discharge is legally exempt from regulation.

Effluent management in the production of kraft and dissolving pulp

To ensure compliance with certification requirements, in our São Paulo operations we have classified recipient water bodies to ensure water discharges are within specifications under our discharge permits from the Department of Water and Electrical Energy (DAEE).

We are the first company in the pulp industry in São Paulo to implement three-stage effluent treatment:

1. Primary treatment: mechanical removal of fibers and inorganic compounds through solid-liquid separation

2. Secondary treatment: biological treatment of organic matter using activated sludge systems to significantly reduce organic load

3. Tertiary treatment: an advanced filtration or “polishing” stage to ensure effluent quality prior to discharge into the Tietê River

Tertiary effluent treatment supports high-performance removal of organic load—as measured by Biochemical Oxygen Demand (BOD)—at approximately 98% efficiency, far exceeding federal regulatory requirements (Conama Resolution 430/2011). In addition, approximately 92% of water withdrawals are returned to the Tietê River as treated effluent.

Effluent discharge limits are set in accordance with Brazilian environmental laws and standards, including Article 18 of Decree No. 8.468/1976, Article 16 of CONAMA Resolution 430/2011, the state environmental regulator’s (CETESB) Technical Reference Document, Technical Opinion 072/18/IPSE, and international eco-label standards such as Nordic Swan and the EU Ecolabel (see GRI 2-6 About Bracell for further details).

At our mill in the Camaçari Industrial Park (Bahia), process water is collected post-use and pumped to Bracell’s on-site primary treatment system, which includes a sedimentation step. The organic effluent is then sent to the local utility, which performs secondary biological treatment (activated sludge), ensuring more than 95% removal of organic load. The treated effluent is then discharged into the ocean via a dedicated outfall pipeline, in compliance with Inema Ordinance No. 16.507/2018 and No 18.841/19, Conama Resolution No. 430/2011, and other regulations issued by the relevant environmental agencies.

Effluent Management in Tissue Production (Lençóis Paulista site)

At our tissue production facility in Lençóis Paulista (São Paulo), all wastewater from paper and pulp operations is treated through a single, centralized Effluent Treatment Plant (ETP). Effluent from the Bracell Papéis industrial process, along with discharges from the site’s two pulp production lines, is directed to this centralized treatment system.

Effluent management in soluble and specialty pulp production (Camaçari)

At our Camaçari facility in Bahia, we ensure our effluent management practices are compliant through routine monitoring of physical, chemical, and biological parameters including Chemical Oxygen Demand (COD). This parameter is used both to measure organic load and as a financial performance indicator of operational efficiency. This indicator is used to evaluate the performance of our wastewater treatment system, which comprises an on-site treatment plant at our Camaçari mill (settling or primary treatment) and another treatment plant operated by Cetrel, a company c0-located in the Camaçari Industrial Park that is responsible for secondary treatment (activated sludge) of Bracell’s effluents.

Continuous COD monitoring ensures the primary treatment system is performing optimally. The secondary treatment stage effectively reduces organic load, though due to mixing with effluents from other industrial operators within the complex, it is not possible to measure Bracell’s isolated contribution to the final effluent discharged offshore.

Continuous monitoring of our industrial wastewater ensures our dissolving pulp production process is eco-efficient. We also use indirect methods to measure the quality of our chemical recovery system, loss of fibers from the mill process, and solid retention efficiency in the on-site primary treatment system.

Our wastewater treatment system processes two primary wastewater streams:

• Organic effluents: wastewater from the mill and stormwater system containing varying amounts of byproducts from the production process. This accounts for the bulk of the effluents generated at the mill. Organic effluents are pumped to the on-site primary treatment system and then to the Cetrel-operated secondary treatment system;

• Inorganic effluents (SI): also referred to as non-contaminated wastewater, this stream is generated by the site’s stormwater system and other non-contaminated sources, such as flush water from cooling towers and heat exchangers.

Both streams are monitored in accordance with Inema Ordinances 16.507/2018 and 18.841/19. The specifications for water discharges depend on the recipient water body as outlined in the relevant federal regulations (Conama Resolution 430/2011) and requirements issued by the state environmental authority, Inema.

Effluents are collected and pumped to a wastewater treatment system comprising a preliminary treatment stage (screening and pH adjustment) and primary treatment (conventional settling and sludge removal). This process mechanically removes settable solids—essentially cellulose fibers extracted in the form of primary sludge. Following on-site treatment, the organic effluent is pumped to the Cetrel plant. Following secondary treatment, the treated effluent is discharged into the ocean via a submarine outfall.

Effluents from seedling nurseries are monitored in order to avoid alterations in soil quality. Wastewater from the washing station at our workshop in Alagoinhas (BA) is monitored to avoid alterations in effluent quality.

Effluent Management in paper production (Pombos-PE, Feira de Santana-BA, and São Gonçalo dos Campos-BA)

The effluent management systems at our Feira de Santana (BA), São Gonçalo dos Campos (BA), and Pombos (PE) mills have been designed to ensure maximum environmental efficiency and full compliance with current legislation. Each site has a different operational profile, requiring slight-specific solutions for managing the wastewater produced.

At the Feira de Santana (BA) site, where jumbo rolls are produced, the industrial process was developed as a closed-loop system, with no discharge of industrial effluents into the environment. Effluent is treated in an on-site Wastewater Treatment Plant that removes impurities to enable water reuse, reduce environmental impact, and optimize water resource efficiency.

• Preliminary treatment: the water passes through an aerated pond, which stabilizes temperature, pH, and flow rate while ensuring adequate oxygenation before the effluent enters the main treatment system

• Primary treatment: in the primary clarifier, heavier solids settle out, and the resulting primary sludge is sent for thickening and centrifugation

• Secondary treatment: the effluent flows to the equalization stage, which maintains flow and oxygen levels. It then moves to aeration, where aerobic bacteria break down dissolved organic matter. Next, the secondary clarifier separates the activated sludge. A portion of the sludge is returned to the aeration stage, while excess sludge is removed as necessary. The extracted sludge undergoes thickening and centrifugation. The dewatered solid fraction is sent to a licensed sanitary landfill, and the separated water is returned to the process. The clarified water flows into a cistern, where it is directed to final filtration units that remove fine particulate matter. The filtered water is then stored in a reuse tank and pumped back to the paper machines. This closed-loop system ensures high-efficiency removal of contaminants while maximizing water reuse within the industrial process.

The São Gonçalo dos Campos (BA) and Pombos (PE) sites produce disposable diapers and convert jumbo rolls into end products. These sites use dry-process technology, which does not require water, and only sanitary effluents are generated. As a result, no industrial effluent is generated at these sites. Sanitary effluents are collected through dedicated systems and periodically removed by vacuum trucks that transport the material to licensed treatment stations: in São Gonçalo dos Campos (BA), the waste is sent to the Feira de Santana Wastewater Treatment Plant (BA), while in Pombos (PE), it is sent to the Recife Wastewater Treatment Plant (PE).

We continuously conduct climate zoning studies using historical climate data such as precipitation, temperature, and latitude. This analysis helps us identify optimal areas for eucalyptus planting and make climate region-specific technical recommendations, including clone allocation and fertilization strategies. We do not source water from areas with water stress.

In our São Paulo pulp operations, surface freshwater withdrawals are measured directly at licensed intake points designated for forestry operations. Additionally, groundwater withdrawn from a well at the Lençóis Paulista mill is used for seedling production in the nursery. Withdrawal volumes are recorded in an internal database that is managed in accordance with applicable regulations, covering all operational fronts. Bracell holds permits for both surface water withdrawals from the Tietê River and groundwater withdrawals from licensed wells. Bracell Papéis São Paulo does not conduct direct environmental withdrawals and instead receives water from Bracell Celulose São Paulo (refer to GRI 3-3 Management of the material topic: Water and effluents for details).

In Bahia, groundwater withdrawal is measured using telemetry-enabled water meters. Surface water withdrawals are tracked through control logs, maintained in either printed or digital (survey-based) formats. In accordance with internal procedures, all surface and groundwater withdrawal data is submitted to the environmental team, which consolidates, analyzes, and reports this information to the relevant operations managers. Bracell’s Bahia operations follow Ordinance No. 25.954, which authorizes groundwater use in the Recôncavo Norte Watershed, and Inema Ordinance No. 22.181/2021, which establishes a framework for monitoring and control of water resource use in the state of Bahia.

Our Bahia forestry operations maintain a robust environmental water monitoring network, including 23 stations for monitoring surface (river) water quality, 8 stations for monitoring groundwater quality (artesian wells), 13 fixed stations for analyzing water potability (fitness for human consumption), 5 mobile stations for analyzing water potability (fitness for human consumption) at operations fronts, 37 flow metering stations at permitted surface water withdrawal points along rivers, 2 stations at locations where effluents are discharged from seedling nurseries, and 1 station where effluents are discharged from a water and oil separator.

Additionally, at four of our farm bases in Bahia, water is extracted from artesian wells for human consumption. Withdrawal volumes are recorded in an internal database that is managed in accordance with applicable regulations, covering all operational fronts.

In 2024, there were some restatements to water withdrawal data compared to the figures reported in 2023. Surface water withdrawal in our Bahia forestry operations dropped by 61%. In our São Paulo operations, forestry withdrawals increased by 50.2%, while mill withdrawals decreased by 3.9%.

Groundwater withdrawal decreased by 5.4% in Bahia’s forestry operations and 12.4% in São Paulo. Our São Paul mill recorded a 2.6% reduction.

The reduction in surface water withdrawals in our São Paulo forestry operations, compared to 2023 was due to the severe dry season in 2024, increasing the need for irrigation. Planted area in 2024 was also larger than in 2023, which affected the amount of irrigated area. In this operation, improvements were also made to water monitoring processes, supporting better management of water metrics. At our nurseries in São Paulo, water withdrawals decreased as a result of good management practices. No significant changes were observed to explain the variation in withdrawal volumes compared to 2023.

At our São Paulo mill, the reduction in water withdrawals is due to the plant’s close-loop system and increased recycling of water from the stormwater lagoon to the wastewater treatment plant for industrial use (in 2024, this volume was more than twice that of 2023). As a percentage, the total volume of water recycled compared to total withdrawals was 2.4% in 2023 and 5.1% in 2024. Another factor behind the reduction in water withdrawals was the startup of our Bracell Papéis facility. This facility is connected to the Lençóis Paulista pulp plant and features technologies designed to enhance water efficiency in Tissue production. Water management, now integrated across both plants, also supported process improvements at the mill.

Surface water withdrawals (m³)

Operation	2020			2021			2022			2023			2024
	Forestry	Mill	Total	Forestry	Mill	Total	Forestry	Mill	Total	Forestry	Mill	Total	Forestry	Mill	Total
Bahia Pulp	2,198	0	2,198	29,456	0	29,456	4,811	0	4,811	64,927	0	64,927	25,351	0	25,351
São Paulo Pulp	309,165	0	309,165	328,484	12,947,445	13,275,929	314,537	49,223,892	49,538,429	457,789	52,016,479	52,474,269	550,327	49,972,528	50,522,855
Southeast Paper Operations	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	1,144,604	1,144,604
Northeast Paper Operations	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	0	0
Bracell	311,363	0	311,363	357,940	12,947,445	13,305,385	319,348	49,223,892	49,543,240	522,716	52,016,479	52,539,196	575,678	51,117,132	51,692,810

Groundwater withdrawals (m³)

Operation	2020			2021			2022			2023			2024
	Forestry	Mill	Total	Forestry	Mill	Total	Forestry	Mill	Total	Forestry	Mill	Total	Forestry	Mill	Total
Bahia Pulp	889,754	14,720,841	15,610,595	872,245	14,559,672	15,431,917	851,887	15,145,471	15,997,358	874,462	15,738,831	16,613,293	827,071	15,681,068	16,508,139
São Paulo Pulp	282,428	6,831,882	7,114,310	395,258	7,071,663	7,466,921	405,286	6,520,494	6,925,780	556,641	4,342,162	4,898,803	486,285	4,231,181	4,717,466
Southeast Paper Operations	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	0	0
Northeast Paper Operations	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	214,184	214,184
Bracell	889,754	14,720,841	22,724,905	1,267,503	21,631,336	22,898,838	1,257,173	21,665,965	22,923,138	1,431,103	20,080,993	21,512,096	1,313,356	20,126,433	21,439,789

Total water withdrawal (m³)

Operation	2020			2021			2022			2023			2024
	Forestry	Mill	Total	Forestry	Mill	Total	Forestry	Mill	Total	Forestry	Mill	Total	Forestry	Mill	Total
Bahia Pulp	891,952	14,720,841	15,612,793	901,701	14,559,672	15,461,373	856,698	15,145,471	16,002,169	939,389	15,738,831	16,678,220	852,422	15,681,068	16,533,490
São Paulo Pulp	591,593	6,831,882	7,423,475	723,742	20,019,108	20,742,850	719,823	55,744,386	56,464,209	1,014,430	56,358,642	57,373,072	1,036,612	54,203,709	55,240,321
Southeast Paper Operations	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	1,144,604	1,144,604
Northeast Paper Operations	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	214,184	214,184
Bracell	1,483,545	21,552,723	23,036,268	1,625,443	34,578,781	36,204,224	1,576,521	70,889,856	72,466,377	1,953,819	72,097,472	74,051,291	1,889,034	71,243,565	73,132,599

Note 1: Bracell Papéis was established in 2023 and is reporting its environmental performance for the first time, with data from 2024. Bracell Papéis Sudeste does not operate any direct water withdrawal points (surface or groundwater); instead, it uses water sourced through the Bracell pulp mill in Lençóis Paulista (SP).

Note 2: the reported water withdrawal volume for our São Paulo pulp and Southeast paper operations includes only the pulp mill’s primary sources: six licensed groundwater wells and one surface water intake on the Tietê River.

Note 3: the water withdrawal volume for our Northeast paper operation refers to the mill in Feira de Santana (BA). At the São Gonçalo dos Campos (BA) and Pombos (PE) sites, there are no water withdrawals as these facilities use dry processing.

Note 4: the reported water withdrawal volume for forestry operations includes licensed withdrawal points in the states of Minas Gerais, Paraná, and São Paulo. All withdrawal points are monitored and managed by the Environmental Department of Bracell’s São Paulo forestry operations. Learn more about our forestry water management practices under GRI 3-3 Management of the material topic: Water and effluents.

Water withdrawals per metric ton of pulp produced (m³/adt)

Year	m3/adt
2020	30.04
2021	26.85
2022	20.42
2023	20.69
2024	19.20

We are the first company in the pulp industry in São Paulo to implement three-stage effluent treatment:

1. Primary treatment: mechanical removal of fibers and inorganic compounds through solid-liquid separation

2. Secondary treatment: biological treatment of organic matter using activated sludge systems to significantly reduce organic load

3. Tertiary treatment: an advanced filtration or “polishing” stage to ensure effluent quality prior to discharge into the Tietê River

Tertiary effluent treatment supports high-performance removal of organic load—as measured by Biochemical Oxygen Demand (BOD)—at approximately 98% efficiency, far exceeding federal regulatory requirements (Conama Resolution 430/2011). In addition, approximately 92% of water withdrawals are returned to the Tietê River as treated effluent.

Effluent discharge limits are set in accordance with Brazilian environmental laws and standards, including Article 18 of Decree No. 8.468/1976, Article 16 of CONAMA Resolution 430/2011, the state environmental regulator’s (CETESB) Technical Reference Document, Technical Opinion 072/18/IPSE, and international eco-label standards such as Nordic Swan and the EU Ecolabel (see GRI 2-6 About Bracell for further details).

At our mill in the Camaçari Industrial Park (Bahia), process water is collected post-use and pumped to Bracell’s on-site primary treatment system, which includes a sedimentation step. The organic effluent is then sent to the local utility, which performs secondary biological treatment (activated sludge), ensuring more than 95% removal of organic load. The treated effluent is then discharged into the ocean via a dedicated outfall pipeline, in compliance with Inema Ordinance No. 16.507/2018 and No 18.841/19, Conama Resolution No. 430/2011, and other regulations issued by the relevant environmental agencies.

We consistently maintain quality standards that surpass national regulatory requirements, with especially rigorous monitoring of parameters like Biochemical Oxygen Demand (BOD) and Chemical Oxygen Demand (COD). In our São Paulo operations, BOD was 13.8 mg/L and COD was 207.3 mg/L (), both within the limits established by federal regulations (Conama Resolution No. 430/2011), where the BOD limit is 60%. This performance reflects the effectiveness of the tertiary treatment system built at our pulp facility.

In our Bahia operations, continuous COD monitoring ensures the primary treatment system is performing optimally. The secondary treatment stage effectively reduces organic load, though due to mixing with effluents from other industrial operators within the complex, it is not possible to measure Bracell’s isolated contribution to the final effluent discharged offshore.

Bracell did not detect harmful substances in wastewater that could cause irreversible damage to water bodies, ecosystems, or human health. To define priority discharge substances, Bracell follows the World Health Organization (WHO) Guidelines for Drinking Water Quality.

In 2024, we recorded three incidents of regulatory non-compliance in Bahia, occurring in March, April, and June. These were related to pH, total suspended solids (TSS), and settleable solids (SS) in the Inorganic System (SI) and were reported to the Bahia State environmental regulator (INEMA) as required. The anomalies were attributed to intense rainfall, which increased system flow. In response, our operations team conducted targeted inspections to identify root causes and implemented corrective actions to ensure compliance with environmental requirements.

Our Northeast paper operations do not discharge effluents, and our Southeast paper operations route 100% of effluents to the Lençóis Paulista (SP) site treatment plant. Bracell does not discharge water in areas classified as water-stressed (see more in section GRI 2-6 About Bracell).

Surface water discharges (m³)

Operation	2020			2021			2022			2023			2024
	Forestry	Mill	Total	Forestry	Mill	Total	Forestry	Mill	Total	Forestry	Mill	Total	Forestry	Mill	Total
Bahia Pulp	0	0	0	0	312,800	312,800	0	153,151	153,151	0	97,615	97,615	0	142,030	142,030
São Paulo Pulp	0	0	0	0	15,745,505	15,745,505	0	51,451,820	51,451,820	0	49,309,676	49,309,676	0	49,760,589	49,760,589
Southeast Paper Operations	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	1,225,111	1,225,111
Northeast Paper Operations	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	0	0
Bracell	0	0	0	0	16,058,305	16,058,305	0	51,604,971	51,604,971	0	49,407,291	49,407,291	0	51,127,730	51,127,730

 

Submarine outfall discharges (m³)

Operation	2020			2021			2022			2023			2024
	Forestry	Mill	Total	Forestry	Mill	Total	Forestry	Mill	Total	Forestry	Mill	Total	Forestry	Mill	Total
Bahia Pulp	0	0	0	0	12,209,740	12,209,740	0	12,601,858	12,601,858	0	13,313,281	13,313,281	0	13,197,242	13,197,242
São Paulo Pulp	0	0	0	0	0	0	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Southeast Paper Operations	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Northeast Paper Operations	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Bracell	0	0	0	0	12,209,740	12,209,740	0	12,601,858	12,601,858	0	13,313,281	13,313,281	0	13,197,242	13,197,242

 

Total water withdrawal (m³)

Operation	2020			2021			2022			2023			2024
	Forestry	Mill	Total	Forestry	Mill	Total	Forestry	Mill	Total	Forestry	Mill	Total	Forestry	Mill	Total
Bahia Pulp	0	0	12,739,374	0	12,522,540	12,522,540	0	12,755,009	12,755,009	0	13,410,896	13,410,896	0	13,339,272	13,339,272
São Paulo Pulp	0	0	5,208,374	0	15,745,505	15,745,505	0	51,451,820	51,451,820	0	49,309,676	49,309,676	0	49,760,589	49,760,589
Southeast Paper Operations	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	0	1,225,111	1,225,111
Northeast Paper Operations	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	0	0	0
Bracell	0	0	17,947,748	0	28,268,045	28,268,045	0	64,206,829	64,206,829	0	62,720,572	62,720,572	0	64,324,972	64,324,972

Note 1: Effluents from Bracell’s São Paulo pulp and Southeast paper operations are jointly treated at a single Wastewater Treatment Plant (WTP) located at the Lençóis Paulista site. While our Southeast paper operations do not discharge effluent directly to the environment, its entire wastewater stream is routed to the WTP, which also processes effluents from the pulp manufacturing operation.

Note 2: in our mill operations in Bahia, only one effluent stream is discharged into the river, namely inorganic effluent or stormwater, which is directed to the CETREL inorganic effluent flume, where it is mixed with other inorganic effluents from the Industrial Park before being discharged into the river.

Note 2: at the Feira de Santana site (Bahia), Bracell Papéis Nordeste operates a closed-loop Wastewater Treatment Plant, which recirculates process water internally. As a result, no effluents are discharged to the environment. The same applies to the São Gonçalo dos Campos (BA) and Pombos (PE) units, as these facilities use dry processing.

Note 4: Bracell does not discharge effluents into groundwater.

Water consumption across Bracell’s operations is calculated by subtracting the volume of effluent discharged from the total volume of water withdrawn.

The Bracell Papéis Sudeste plant reported negative water consumption because it uses the water contained in the pulp itself, which is used in the Tissue production process. This is made possible by the facility’s strategic location adjacent to and integrated with Bracell’s Lençóis Paulista (SP) site. The pulp, which serves as the feedstock for tissue production, is transported via pipeline, eliminating the need for prior drying. The water contained in the pulp used in the process contributes to the discharge volume, but it is not counted in the water consumption for the Tissue production process. Combined, these factors result in a net-negative water consumption figure.

Bracell Papéis Nordeste does not discharge any effluents. Total water withdrawal in Feira de Santana (BA) was 193,603 m³ in 2024 (see GRI 303-3 Water withdrawal for additional details).

 

Total water consumption (m³)

Operation	2020			2021			2022			2023			2024
	Forestry	Mill	Total	Forestry	Mill	Total	Forestry	Mill	Total	Forestry	Mill	Total	Forestry	Mill	Total
Bahia Pulp	0	0	2,873,420	901,701	2,037,132	2,938,833	856,698	2,390,462	3,247,160	939,389	2,327,934	3,267,323	852,422	2,341,796	3,194,218
São Paulo Pulp	0	0	1,734,762	723,742	4,273,603	4,997,345	719,823	4,292,566	5,012,389	1,014,430	7,048,965	8,063,396	1,023,525	4,443,120	5,466,645
Southeast Paper Operations	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	-80,507	-80,507
Northeast Paper Operations	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	0	0
Bracell	0	0	4,608,182	1,625,443	6,310,735	7,936,179	1,576,521	6,683,028	8,259,549	1,953,819	9,376,900	11,330,719	1,875,947	6,704,409	8,580,356
Note 1: the negative water consumption reported by our Southeast paper operations is due to the use of wet (undried) pulp, which contains water that is not captured in withdrawal data. A portion of this water is lost through evaporation or retained in the final tissue product, and therefore not counted as consumption. However, it may be included in the effluent volume, potentially resulting in effluent discharge exceeding recorded water withdrawal.      Note 2: Bracell Papéis Nordeste does not discharge any effluents. In 2024, water withdrawal at the Feira de Santana (BA) site totaled 193,603 m3.

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.

In 2024, Bracell’s Scope 1 fossil emissions accounted for 43% of the total, amounting to 731,362.80 tCO_₂e—a 22.4% increase compared to the previous year. This increase was primarily driven by higher fossil fuel use in our logistics operations, especially due to longer transport distances between plantation areas and the mill, along with a significant rise in forest fire incidents.

The gases included in the Scope 1 emissions calculation are: CO₂, CH₄, N₂O, HFCs and _SF6.

Scope 1 Categories	2022		2023		2024
	Emissions (tCO2e)	Percent Share (%)	Emissions (tCO2e)	Percent Share (%)	Emissions (tCO2e)	Percent Share (%)
Mobile combustion	96,418.860	15.7%	121,700.475	20.4%	214,992.18	29.4%
Stationary combustion	356,481.661	58.0%	309,539.105	51.8%	296,113.67	40.5%
Generated waste and effluents	46,321.353	7.5%	596.112	0.1%	13,974.3	1.9%
Fugitive	3,139.397	0.5%	5,231.529	0.9%	12,284.43	1.7%
Agricultural operations	111,079.267	18.1%	155,955.175	26.1%	154,586.98	21.1%
Land-use change	1,232.098	0.2%	4,431.985	0.7%	39,411.23	5.4%
Total	614,672.636	100%	597,454.381	100%	731,362.80	100%

Bracell reports biogenic CO_₂e emissions associated with forestry and mill operations. These include biomass combustion, the use of renewable biofuels in the logistics fleet, fire events, and the natural dynamics of eucalyptus forest management cycles. Unlike fossil-based emissions, biogenic emissions are generally considered carbon neutral over the long term, since they come from renewable biomass that absorbs CO_₂ from the atmosphere during its growth.

Emissions (tCO2e)	2022	2023	2024
Scope 1	614,673.00	597,454.00	731,362.80
Scope 1 – Biogenic	10,415,840.85	10,810,512.98	9,156,105.51

Carbon balance

In 2024, Bracell generated 1,716,315.84 tCO_₂e in anthropogenic emissions from fossil fuel combustion (across Scopes 1, 2, and 3) and 2,227,222.45 tCO_₂e in biogenic LULUCF emissions, and removed 4,119,009.65 tCO_₂e through its planted and native forests. As a result, the net emissions balance was -175,471.36 tCO_₂e, indicating a positive impact on climate.

In 2024 we achieved significant reductions in stationary combustion, including as a decrease in natural gas consumption and increased use of biomass in our gasifiers.

Carbon Balance (tCO₂e)

Emissions	2022	2023	2024
Total (S1 + S2 + S3)	1,555,114.00	1,701,669.00	1,716,315.84
Scope 1	614,673.00	597,454.00	731,362.80
Scope 2	5,258.00	9,611.00	13,213.63
Scope 3	935,183.00	1,094,603.00	971,739.41
Biogenic LULUCF emissions	3,793,831.00	3,940,391.00	2,227,222.45
Biogenic removals	-1,309,842.00	-1,286,441.00	-4,119,009.65
Balance	4,039,103.00	4,355,619.00	-175,471.36

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.

In 2024, Scope 2 accounted for 1% of our total emissions. There was a 37.5% increase in electricity purchased from the national grid. This increase is due to factors such as the expansion of the MS Florestal offices, higher energy use at our port terminal, and operational variations such as turbine shutdowns at the São Paulo and Bahia sites. In our Bahia operation, the strategic decision to prioritize imported electricity over natural gas, combined with periods of lower efficiency in the evaporation area that limited liquor use for power generation, contributed to this increase.

 

Scope 2 Category	2022	2023	2024
	Emissions (tCO2e)	Emissions (tCO2e)	Emissions (tCO2e)
Purchased electricity	5,258.00	9,611.00	13,213.63
Total	5,258.00	9,611.00	13,213.63

In 2024, Bracell generated 1,716,315.84 tCO₂e in anthropogenic emissions from fossil fuel combustion (across Scopes 1, 2, and 3) and 2,227,222.45 tCO₂e in biogenic LULUCF emissions, and removed -4,119,009.65 tCO₂e through our planted and native forests. As a result, the net emissions balance was -175,471.36 tCO₂e, indicating a positive impact on climate.

Carbon Balance (tCO₂e)

Emissions	2022	2023	2024
Total (S1 + S2 + S3)	1,555,114.00	1,701,669.00	1,716,315.84
Scope 1	614,673.00	597,454.00	731,362.80
Scope 2	5,258.00	9,611.00	13,213.63
Scope 3	935,183.00	1,094,603.00	971,739.41
Biogenic LULUCF emissions	3,793,831.00	3,940,391.00	2,227,222.45
Biogenic removals	-1,309,842.00	-1,286,441.00	-4,119,009.65
Balance	4,039,103.00	4,355,619.00	-175,471.36

 

CARBON BALANCE (%)

Emission	2022	2023	2024
Total (S1 + S2 + S3)	100%	100%	100%
Scope 1	40%	35%	43%
Scope 2	0.34%	1%	1%
Scope 3	60.1%	64%	56%

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 mills in São Paulo and Bahia, as well as forestry operations in those two states and Mato Grosso do Sul.

In 2024, Scope 3 accounted for 57% of our total emissions. There was an 11.2% reduction in emissions, mainly due to shorter average distances traveled per shipment in export operations.

During the reporting period, Bracell offset 10,936.50 tCO₂e in emissions generated by ocean freight to Europe through the purchase of emission allowances required under the EU ETS (European Union Emissions Trading System)—the European Union’s carbon pricing mechanism aimed at reducing GHG emissions by limiting and trading emission allowances, or European Union Allowances (EUAs). In 2024, maritime transport was added to the scope of the system. As a result, vessels accessing European ports are required to acquire allowances proportional to the CO₂ emissions generated throughout their routes, starting from their departure in Brazil.

Participation in the EU ETS marks a significant step forward in Bracell’s climate management practices across our logistics chain. In addition to ensuring compliance with European environmental regulations, this initiative will support carbon pricing compliance in other international logistics operations. Indirectly, the funds generated through the purchase of emission allowances are allocated by the European Union to initiatives in innovation, clean energy, and climate adaptation, supporting the region’s energy transition.

Scope 3 Category	2022		2023		2024
	Emissions (tCO2e)	Percent Share (%)	Emissions (tCO2e)	Percent Share (%)	Emissions (tCO2e)	Percent Share (%)
Purchased Goods and Services	114,281.440	12.2%	63,152.273	5.77%	47,464.05	4.88%
Upstream T&D	24,542.906	2.6%	62,808.497	5.74%	61,756.05	6.36%
Operational Solid Waste	828.425	0.1%	41,579.743	3.80%	26,523.86	2.73%
Business travel	541.395	0.1%	547.172	0.05%	364.99	0.04%
Employee Commuting	5,103.384	0.5%	12,744.223	1.16%	9,603.34	0.99%
Downstream T&D	789,995.711	84.5%	913,771.498	83.48%	826,027.12	85.01%
Total	935,183.261	100%	1,094,603.40	0.00	971,739.41	38,640.32

 

Emissions (tCO2e)	2022	2023	2024
Scope 3	935,183.00	1,094,603.00	971,739.41
Scope 3 – Biogenic	16,393.519	22,573.929	36,070.56

Carbon balance

In 2024, Bracell generated 1,716,315.84 tCO₂e in anthropogenic emissions from fossil fuel combustion (across Scopes 1, 2, and 3) and 2,227,222.45 tCO₂e in biogenic LULUCF emissions, and removed -4,119,009.65 tCO₂e through its planted and native forests. As a result, the net emissions balance was -175,471.36 tCO₂e, indicating a positive impact on climate.

Carbon Balance (tCO₂e)

Emissions	2022	2023	2024
Total (S1 + S2 + S3)	1,555,114.00	1,701,669.00	1,716,315.84
Scope 1	614,673.00	597,454.00	731,362.80
Scope 2	5,258.00	9,611.00	13,213.63
Scope 3	935,183.00	1,094,603.00	971,739.41
Biogenic LULUCF emissions	3,793,831.00	3,940,391.00	2,227,222.45
Biogenic removals	-1,309,842.00	-1,286,441.00	-4,119,009.65
Balance	4,039,103.00	4,355,619.00	–175,471.36

In 2024, there were no overall reductions. However, during the year, we achieved reductions in stationary combustion, such as decreased natural gas consumption and increased use of biomass in gasifiers, as well as reductions in Scope 3 emissions, mainly due to shorter average distances traveled per shipment in export operations.

Operating site	Total emissions 2023 (tCO2e)	Total emissions 2024 (tCO2e)	Reduction in emissions
Bracell SP	1,204,383.06	1,235,985.47	31,602.41
Bracell BA	367,239.46	357,234.41	-10,005.05
MS Florestal	–	123,095.97	123,095.97
Total	1,701,669.08	1,716,315.84	14,646.76

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.

In 2024, our Scope 1 and 2 GHG emissions intensity increased by approximately 19% compared to 2023. The increase was primarily driven by greater use of fossil fuels in our logistics operations and a significant rise in forest fires. It was also influenced by increased electricity purchases from the national grid to accommodate the expansion of our operations.

Emissions (tCO2e)	2022	2023	2024
Scopes 1 and 2	0.167	0.174	0.208

Note: Bracell’s emissions intensity metric covers scopes 1 and 2 emissions from our São Paulo, Bahia and Mato Grosso do Sul operations, as it refers to emissions from the pulp production process.

Among ozone-depleting substances (ODS), Bracell emitted a total of 4,921.79 tCO₂e in 2024, including HCFC-22 and HCFC-141b.

These substances, upon reaching the stratosphere, degrade ozone, which acts as a shield against the sun’s ultraviolet (UV) radiation. Controlling these emissions is crucial to preserving life on Earth and mitigating global environmental imbalances.

 

Operating site	2022			2023			2024
	HCFC-22 (tCO2e)	HCFC-141b (tCO2e)	Total (tCO2e)	HCFC-22 (tCO2e)	HCFC-141b (tCO2e)	Total (tCO2e)	HCFC-22 (tCO2e)	HCFC-141b (tCO2e)	Total (tCO2e)
São Paulo Pulp	2,010.62	63.34	2,073.96	1,795.20	10.64	1,805.84	3,498.18	92.28	3,590.45
Bahia Pulp	553.70	0.00	553.70	538.28	0.00	538.28	1,299.65	0.00	1,299.65
Bracell	2,564.32	63.34	2627,66	2,333.480	10.64	2,344.12	4,797.83	92.28	4,890.10

 

Total emissions across the organization – operational control approach

Scope	Gas	2022		2023		2024
		In Gas Tonnes (t)	In metric tons of CO2 equivalent (tCO2e)	In metric tons of gas (t)	In metric tons of CO2 equivalent (tCO2e)	In metric tons of gas (t)	In metric tons of CO2 equivalent (tCO2e)
Scope 1	CO2	477,674.627	477,674.627	491,508.765	491,508.765	561,224.17	561,224.17
	CH4	2,006.853	56,191.882	433.475	12,137.292	1,919.79	53,782.94
	N2O	293.098	77,671.097	334.363	88,606.193	291.54	104,422.94
	HFC	2.411	3,134.442	3.999	5,199.241	6.38	11,932.69
	HFC-32	0.000	0	0	0	2.91	1,970.24
	HFC-125	0.000	0	0	0	2.91	9,242.76
	HFC-134a	0.000	0	0	0	0.55	719.22
	HFC-152a	0.000	0	0	0	0.0033	0.46
	SF6	0.000	0.588	0	0	0.000002	0.045
TOTAL SCOPE 1		479,977.99	614,672.63	492,280.6	597,454.382	551,283.74	692,013.28
Scope 2	CO2	5,258.355	5,258.355	9,611.20	9,611.20	13,213.63	13,213.63
TOTAL SCOPE 2		5,258.355	5,258.355	9,611.20	9,611.20	13,213.63	13,213.63
Scope 3	CO2	920,172.965	920,172.965	1,035,677.11	1,035,677.11	910,252.13	910,252.13
	CH4	47.736	1,336.62	1,504.956	42,138.762	947.31	26,218.61
	N2O	51.599	13,673.67	63.349	16,787.526	140.084	35,268.67
TOTAL SCOPE 3		920,272.30	935,183.26	1,037,245.41	1,094,603.405	1,047,111.97	971,739.41

Nitrogen oxides (NOx), sulfur oxides (SOx), particulate matter (PM), and total reduced sulfur (TRS) compounds are among the most critical air pollutants due to their direct and indirect impacts on climate and human health. These pollutants are mainly produced by fossil fuel combustion and industrial processes.

Nitrogen oxides (NO_x), sulfur oxides (SO_x), and other significant air emissions

Substance	Site	Bahia Pulp			São Paulo Pulp			Bracell
		20221	2023	2024	20221	2023	2024	20221	2023	2024
NOx	t	NA	451.93	448.42	NA	2,847.74	3,131.48	NA	3299.64	3,579.90
SOx	t	NA	30.47	39.65	NA	139.89	59.05	NA	170.36	98.70
PM	t	NA	197.30	199.99	NA	643.26	473.22	NA	840.56	673.21
TRS	t	NA	2.70	12.57	59.14	43.04	30.93	59.14	45.74	43.5

1. The data include disclosures as part of the EU Ecolabel and Nordic Swan schemes for kraft pulp. 
2. Volatile Organic Compounds (VOCs) are not measured in air emissions reporting.

These substances impact the environment and human health by contributing to acid rain—which damages ecosystems and infrastructure—and causing respiratory issues. This underscores the need to control and reduce their emissions to mitigate their effects.

In the state of São Paulo, Bracell’s air emissions were calculated using emission factors provided by the state environmental regulator, CETESB. The methodology followed Board Decision No. 10/2010/P dated January 12, 2010. Emission calculations were performed through direct measurement, using continuous analyzers installed on the production line. All reported values are expressed in metric tons per year.

In Bahia, the methodology followed the guidelines of Ordinance No. 18.841 (dated August 3, 2019) on maintaining air emissions monitoring plans to ensure compliance with daily average limits for TRS, PM, SOx, and NOx. The provisions of CONAMA Resolution No. 382 (dated December 26, 2006) were also followed.

As in São Paulo, emissions in Bahia were calculated through direct measurement, using continuous analyzers installed on the production line. The goal is to ensure full compliance with Ordinance No. 18.841 and other regulatory standards through proper emissions monitoring, and to achieve zero deviations from the regulated parameters.

Our waste management procedures align with the Brazilian National Waste Management Policy (PNRS). We ensure compliance at all times with our Environmental Policy and Waste Management Plan (PGRS). Waste is among the KPIs that is tracked within our Integrated Management System. This KPI is regularly communicated to employees throughout the year to track performance.

Bracell’s approach to waste management is based on three circular economy principles:

• Reduce waste volumes generated in the process
• Re-utilize materials whenever possible
• Recycle waste in partnership with third parties where waste reduction or reuse is not possible

We are implementing practices aligned with circular economy principles, transforming our value chain and production processes to minimize environmental impacts. As part of these practices, industrial waste management systems are designed to support:

• Eco-efficiency: minimizing waste generation through optimized production processes
• Waste recovery: transforming byproducts into inputs for other value chains, such as biomass-derived fuels, soil amendments, and organic fertilizers
• A circular value chain: recycling waste back into the production process through resource recovery and closed-loop processes.

We produce kraft, rayon-grade and specialty-grade pulp, supplying a range of global markets. We also operate in the tissue paper market through Bracell Papéis, a facility that produces toilet paper, paper towels, napkins and diapers (see more in GRI 2-6 About Bracell).

We generate waste throughout the pulp and paper manufacturing processes, as well as in our forestry operations (see GRI 306-3 Waste generated for data on waste generation by type and operation).

In our forestry operations, we leave post-harvest eucalyptus residues—such as bark, branches, and leaves—on plantation areas to increase organic matter in the soil. Pulpwood sent to the mill also generates residues such as bark, branches, leaves, sawdust, and debarking waste.

The pulp manufacturing process also generates waste such as lime mud and boiler ash, grits, and dregs. Both mill and forestry operations also generate waste such as packaging and oils, which are sent for recycling, reuse, energy recovery, co-processing, landfilling, and other methods of disposal (see more under GRI 306-4 Waste diverted from disposal and GRI 306-5 Waste directed to disposal).

Our Bracell 2030 roadmap includes a landfill waste reduction target

In pulp production, our target is to reduce landfilling of Class II industrial waste by 90% per metric ton of product by 2030, reaching 5 kg/adt.

In 2024, we surpassed our annual target, reaching 27.1 kg/adt of waste sent to landfills per metric ton of pulp produced. This result significantly outperformed our annual target of 43.7 kg/adt.

We have also set a target to reach 97% recovery of caustic soda (NaOH) and quicklime (CaO) in pulp production. In 2024, we met the reduction target with a 96.20% recovery rate (see more about our Bracell 2030 targets and commitments in GRI 2-22 Statement on sustainable development strategy).

Potential impacts associated with waste materials generated in our pulp production process include the use of land for landfills. To minimize potential land-use impacts, Bracell seeks to reduce the amount of waste it generates in its operations through practices to improve eco-efficiency.

Waste from both forestry and mill operations is classified, segregated, stored and transported in compliance with legal requirements and our Waste Management Plan. Preventive checklists include environmental requirements on managing waste, such as the availability of spill kits to be used during equipment maintenance. Bracell also has practices in place for reducing the amount of waste we generate.

At our mill in São Paulo, as part of our circular economy efforts, we partner with external organizations to produce soil amendments and organic compost. We are actively working to reduce waste generation, especially as annual production output continues to increase.

Waste generated at the pulp mill in Lençóis Paulista (SP) is weighed daily using the plant’s weigh bridge, with waste tonnage documented in waste waybills. The data are recorded in internal systems. At the end of each month, this information is consolidated, environmental KPIs are generated, and reports are published, including our Sustainability Report and other reports required by the environmental regulator, Cetesb. Waste is classified by type and destination, also in accordance with environmental regulations.

At the plant in the Camaçari Industrial Park (BA), operations run 24/7. Waste is collected at designated points and transported by a third-party company to storage areas or for outbound shipment. Each movement is recorded, using a conversion factor to estimate weight from volume. This supports accurate accounting of generated waste volumes and disposal methods (landfill, recycling, or resale), and allows us to track performance indicators such as total waste generated per metric ton of pulp produced.

At Bracell Papéis, specifically at the Feira de Santana (BA) mill, waste management is also supported by spreadsheets to record waste invoice data and weights. Monitoring is done monthly and is site-specific. All waste leaves the plant with an issued waste waybill for traceability. This site also maintains an up-to-date Waste Management Plan as a management support tool.

The Bracell Papéis Sudeste facility, located at the Lençóis Paulista (SP) site, most of the waste generated consists of recyclable materials such as paper, cardboard, plastic, metal, and wood. Waste data and the corresponding waste waybills are logged internally. Waste materials are mostly sold. More than 90% of the waste generated at the facility is recyclable and sent to partner companies, as part of our commitment to the circular economy.

In line with the principles of reduction, reuse, and recycling, we have implemented several initiatives in our operations, such as:

Woodchip preparation

Appropriate clone selection and forest management and harvesting techniques help to ensure that our pulpwood logs have minimal bark and can be optimally used in production. This reduces waste in the woodchip preparation stage and the screener stage of the fiber line.

Repurposing bark and sawdust 

Eucalyptus bark and sawdust are used as biomass in kilns and boilers, replacing fossil fuels like natural gas and reducing the need for landfilling. Excess waste from energy generation, when caused by equipment downtime, is sent to external partners for energy recovery or used in the rehabilitation of degraded land.

Use of lime mud

Lime mud, generated during kiln start-up and shutdown, is recovered in the production process or, when it cannot be diluted in the chemical recovery system, is sent to external partners for the production of soil amendments.

In 2024, Bracell significantly reduced the volume of industrial waste sent to landfills, driven by the expansion of circular economy initiatives. We surpassed our annual target, reaching 27.1 kg/adt of waste sent to landfills per metric ton of pulp produced. This result outperformed our target of 43.7 kg/adt set for the period.

A key initiative supporting this progress was the approval of new suppliers to repurpose industrial by-products into agricultural inputs, such as soil amendments and organic fertilizers. This helps reduce environmental impacts and supports local production chains through the responsible use of materials that were previously discarded.

At the Camaçari (BA) site, grits—industrial waste generated during the pulp production process—is being tested, under the oversight of the relevant environmental authority, for use as ground cover on service roads near forestry operations.

Starting in April 2024, in Lençóis Paulista (SP), wet biological sludge, previously sent to landfills, has been fully reused for organic fertilizer production through composting, eliminating its disposal. Primary sludge has also been used in the manufacturing of paper products, and calcitic waste has been fully redirected to agricultural soil amendments after audits confirmed compliance with legal and environmental requirements.

Learn more about our Waste Recovery Procedures under GRI 306-1 Waste generation and significant waste-related impacts.

Waste generation – Pulp segment

São Paulo Mill Operations 2024

Classification	Category	Volume generated (t)
Used or contaminated oil from engines, transmissions and lubrication	Hazardous waste	158.17
Oil-contaminated water from oil/water separators	Hazardous waste	143.39
Absorbents, filter materials, cleaning cloths, and protective clothing contaminated by hazardous substances	Hazardous waste	240.92
Fluorescent, sodium and mercury vapor, and mixed lamps	Hazardous waste	0.23
Batteries and accumulators	Hazardous waste	18.91
Healthcare-related containers and materials	Hazardous waste	0.03
Out-of-use electronic products and their components	Hazardous waste	1.96
Sludge from local effluent treatment	Nonhazardous waste	69471.92
Plastic packaging	Nonhazardous waste	66.79
Used or unusable tires for other applications	Nonhazardous waste	277.85
Wood debarking waste and wood waste	Nonhazardous waste	68,205.57
Iron and steel (Class B according to Conama Resolution No. 307/02)	Nonhazardous waste	1074.63
Biodegradable kitchen and canteen waste	Nonhazardous waste	403.04
Other fractions not specified earlier	Nonhazardous waste	843.69
Other recyclable waste (Class B under Conama Resolution No. 307/02)	Nonhazardous waste	114.22
Other waste not specified earlier	Nonhazardous waste	69,396.31
Lime sludge waste	Nonhazardous waste	58,721.41
Fiberglass-based waste materials	Nonhazardous waste	2.66
Aluminum	Nonhazardous waste	6.7
Wood	Nonhazardous waste	124.12
Packaging of any of the types described above containing or contaminated with hazardous substance residues	Hazardous waste	57.76
Furnace and refractory linings from non-metalurgical processes not covered in 16 11 05	Nonhazardous waste	320.55
Mixed packaging	Nonhazardous waste	7.44
Copper, bronze and brass	Nonhazardous waste	36.77
Mixed construction and demolition waste (Class A according to Conama Resolution No. 307/02)	Nonhazardous waste	95.63
Total waste generated in pulp mill operations in São Paulo		269,790.67

 

São Paulo Forestry 2024

Classification	Category	Volume generated (t)
Petroleum products, solvents, and plastics	Hazardous waste	41.97
Rubber	Nonhazardous waste	3.68
Glass	Nonhazardous waste	0.13
Paper and cardboard	Nonhazardous waste	1.8
Plastics	Nonhazardous waste	0.46
Metals	Nonhazardous waste	5.83
Other inert materials	Nonhazardous waste	7.89
Total waste generated in São Paulo pulpwood operations		61.76

 

Bahia Mill 2024

Classification	Category	Volume generated (t)
Various contaminated materials	Hazardous waste	32.17
Empty contaminated metal drums	Hazardous waste	3.24
Healthcare waste	Hazardous waste	0.02
Used lubricants	Hazardous waste	27.6
Light bulbs	Hazardous waste	0.29
Laboratory waste	Hazardous waste	3.21
En-of-life tires	Nonhazardous waste	1.80
Dregs	Nonhazardous waste	8,940.30
Grits	Nonhazardous waste	3,736.74
Lime residue	Nonhazardous waste	1,482.40
Lime mud	Nonhazardous waste	28,959.14
Knots and rejects	Nonhazardous waste	15,410.86
Primary sludge	Nonhazardous waste	13,198.68
Knots and rejects mixed with other waste	Nonhazardous waste	543.22
Sawdust	Nonhazardous waste	26,103.20
Scrapings (wood chip rejects)	Nonhazardous waste	457
Bark	Nonhazardous waste	31,969.98
Mechanized screen solids	Nonhazardous waste	10.80
Yard waste	Nonhazardous waste	752.40
Industrial waste	Nonhazardous waste	4,610.50
Non-recycled waste	Nonhazardous waste	304.18
Paper	Nonhazardous waste	128.44
Plastic	Nonhazardous waste	44.07
Scrap metal	Nonhazardous waste	699.62
Wood	Nonhazardous waste	167.71
Glass	Nonhazardous waste	7.04
Emergency pond sludge	Nonhazardous waste	6,635.72
Total waste generated in pulp mill operations in Bahia		144,230.30

Bahia Forestry 2024

Classification	Category	Volume generated (t)
Oily sludge, oily water, miscellaneous waste materials contaminated with oils and greases	Hazardous waste	27.46
Oily sludge (separator box)	Hazardous waste	1.00
Used or contaminated lubricating oil	Hazardous waste	24.45
Laboratory waste	Hazardous waste	0.18
Laboratory waste	Hazardous waste	0.02
Tires	Nonhazardous waste	29.58
Big bags	Nonhazardous waste	36.18
Recyclables (paper, cardboard, glass, and plastic)	Nonhazardous waste	38.01
Scrap metal	Nonhazardous waste	53.15
Metal drums	Nonhazardous waste	3.08
Used PPE without contamination	Nonhazardous waste	2.60
Construction waste	Nonhazardous waste	9.97
General waste (non-recyclable)	Nonhazardous waste	17.37
Pesticide containers	Nonhazardous waste	42.50
Lightbulbs and electronic waste	Nonhazardous waste	1.31
Total waste generated in Bracell’s forestry operations in Bahia		286.86

Note 1: waste generated in Bracell’s mill operations in São Paulo includes forestry waste within the state, which is managed by the Industrial Environmental department. Forestry waste streams are not measured, but are fully disposed of in accordance with environmental requirements. Forestry waste generated outside São Paulo is handled by contractors in accordance with specific protocols, which are listed above.
Note 2: waste generated in Bracell’s mill operations in Bahia was calculated based on the total amount disposed of, as reported in Disposal Certificates (CDFs), plus the estimated weight of waste still stored in the Waste Storage Center (CAR) as of December 31, 2024. This process includes collection, identification, temporary storage or final disposal (Bracell’s industrial landfill), transportation, treatment, and disposal. All movements are recorded to track waste generation and disposal.

Waste generation versus waste disposal in pulp operations

Waste data is tracked via key performance indicators (KPIs), supporting our commitment to Bracell 2030 roadmap targets, which include a 90% reduction in Class II industrial waste sent to landfills, covering our São Paulo and Bahia pulp operations.

In 2024, Bracell’s total waste volume in pulp operations was 449,019.30 metric tons, with the largest share coming from the São Paulo mill, which accounted for 269,790.67 metric tons (65.16%). Our Bahia pulp mill operation contributed 144,230.30 metric tons (34.84%), while our forestry operations generated significantly smaller volumes, reflecting the specific nature of those operations.

The total volume of waste from pulp operations sent to landfills in 2024 was 98,961.37 metric tons. Of this amount, 84,836.39 metric tons (85.73%) were generated at our São Paulo operation, while 14,123.27 metric tons (14.27%) came from our Bahia operations.

Total waste generated and sent to landfills, by business unit and operation  

São Paulo Pulp

Operation	2023			2024
	Volume generated (t)	Sent to landfill (t)	Percent	Volume generated (t)	Sent to landfill (t)	Percent
Mill	255,958.07	116,822.98	45.64%	269,790.67	84,836.39	31.45%
Forestry	5,672.30	492.05	8.67%	61.76	1.71	2.77%
Total São Paulo	261,630.37	117,315.03	44.84%	269,852.43	84,838.09	31.44%

 

Bahia Pulp

Operation	2023			2024
	Volume generated (t)	Sent to landfill (t)	Percent	Volume generated (t)	Sent to landfill (t)	Percent
Mill	124,615.72	11,315.45	9.08%	144,230.30	14,077.90	9.76%
Forestry	259.63	91.39	35.20%	286.86	45.37	15.82%
Total Bahia	124,875.35	11,406.84	9.13%	144,517.16	14,123.27	9.77%

 

Bracell

Operation	2023			2024
	Volume generated (t)	Sent to landfill (t)	Percent	Volume generated (t)	Sent to landfill (t)	Percent
Mill	380,573.79	128,138.43	33.67%	414,020.97	98,914.31	23.89%
Forestry	5,931.93	583.44	9.84%	348.62	47.08	13.50%
Total Bracell	386,505.72	128,721.87	33.30%	414,369.59	98,961.37	23.88%

Waste generation – Paper segment

Southeast Paper Operations

Classification	Category	Volume generated (t)
Packaging containing or contaminated by hazardous substances	Hazardous waste	4.10
Other recyclable waste (Class B under Conama Resolution No. 307/02)	Nonhazardous waste	355.70
Plastic packaging	Nonhazardous waste	139.40
Wood (Class B under Conama Resolution No. 307/02)	Nonhazardous waste	151.50
Total waste generated from industrial paper operations in the Southeast		650.70

 

Northeast Paper Operations

Classification	Category	Volume generated (t)
Rags, paint cans, and solvents	Hazardous waste	2.13
Electronic waste	Hazardous waste	0.30
Fluorescent, sodium and mercury vapor, and mixed lamps	Hazardous waste	2.57
Used or contaminated oil from engines, transmissions and lubrication	Hazardous waste	1.22
Lubricants	Hazardous waste	9.345
Cardboard cores	Nonhazardous waste	132.36
Cardboard	Nonhazardous waste	78.12
Rejects	Nonhazardous waste	136.049
Ferrous scrap	Nonhazardous waste	124.62
Ash	Nonhazardous waste	61.63
Plain film	Nonhazardous waste	221.290
Printed film	Nonhazardous waste	54.032
Towel scraps	Nonhazardous waste	298.720
Diaper wrapping	Nonhazardous waste	2.580
Pallets	Nonhazardous waste	197.22
Cellulose powder	Nonhazardous waste	39.42
Diaper strips	Nonhazardous waste	230.372
Nonwoven fabric scraps (TNT)	Nonhazardous waste	14.260
Water clarification sludge	Nonhazardous waste	14,858.44
Municipal waste	Nonhazardous waste	964.00
Total waste generated in paper manufacturing operations in the Northeast		17,428.68

Waste management practices at Bracell follow circular economy principles and a hierarchical approach that prioritizes, first and foremost, reducing waste generation during production processes. Whenever possible, materials are reused internally, and when that is not feasible, we partner with third parties to recycle the waste, ensuring environmentally sound disposal. This approach supports our commitment to operational efficiency and sustainability across the entire value chain (see more under GRI 306-1 Waste generation and significant waste-related impacts).

The waste generated in our operations is handled responsibly, with a focus on recovery and landfill diversion whenever possible. Our disposal alternatives include recycling, energy recovery, reuse, composting, effluent treatment, and re-refining—a process that transforms used oil into a new, decontaminated product.

Starting in April 2024, wet biological sludge previously sent to landfills has been fully redirected to organic fertilizer production through composting. Primary sludge has also been used in the manufacturing of paper products, and calcitic waste has been fully redirected to agricultural soil amendments after audits confirmed compliance with legal and environmental requirements.

These initiatives, along with the approval of new suppliers to reuse waste in the production of agricultural inputs, led to a reduction in the volume of waste sent to landfills in our São Paulo operation. This progress supports our circular economy initiatives and the environmental goals set out in our Bracell 2030 roadmap.

Pulp waste diverted from disposal

São Paulo Mill Operations 2024

Classification	Category	Method of disposal (t)	Rehabilitation
Used or contaminated oil from engines, transmissions and lubrication	Hazardous waste	158.17	Re-refining
Packaging of any of the types described above containing or contaminated with hazardous substance residues	Hazardous waste	57.76	Recycling
Batteries and accumulators	Hazardous waste	18.91	Recycling
Oil-contaminated water from oil/water separators	Hazardous waste	143.39	Effluent treatment
Absorbents, filter materials, cleaning cloths, and protective clothing contaminated by hazardous substances	Hazardous waste	240.92	Co-processing
Out-of-use electronic products and their components	Hazardous waste	1.96	Recycling
Plastic packaging	Nonhazardous waste	66.79	Recycling
Used or unusable tires for other applications	Nonhazardous waste	81.65	Co-processing
Used or unusable tires for other applications	Nonhazardous waste	196.2	Recycling
Iron and steel (Class B according to Conama Resolution No. 307/02)	Nonhazardous waste	1074.63	Recycling
Biodegradable kitchen and canteen waste	Nonhazardous waste	403.04	Composting
Other fractions not specified earlier	Nonhazardous waste	653.96	Recycling
Other recyclable waste (Class B under Conama Resolution No. 307/02)	Nonhazardous waste	114.22	Recycling
Sludge from local effluent treatment	Nonhazardous waste	54,452.21	Composting
Fluorescent, sodium and mercury vapor, and mixed lamps	Hazardous waste	0.23	Sorting with storage
Furnace and refractory linings from non-metallurgical processes not covered in 16 11 05	Nonhazardous waste	320.55	Recycling
Wood debarking waste and wood waste	Nonhazardous waste	67,973.98	Energy recovery
Lime sludge waste	Nonhazardous waste	58,721.41	Agricultural use
Wood	Nonhazardous waste	124.12	Recycling
Aluminum	Nonhazardous waste	6.70	Recycling
Copper, bronze and brass	Nonhazardous waste	36.77	Recycling
Other waste not specified earlier	Nonhazardous waste	99.24	Recycling
Mixed packaging	Nonhazardous waste	7.44	Recycling
Total waste diverted from disposal in our São Paulo mill operations		184,954.25	–

 

São Paulo Forestry 2024

Classification	Category	Method of disposal (t)	Rehabilitation
Petroleum products, solvents, and plastics	Hazardous waste	0.71	Recycling
Metals	Nonhazardous waste	5.83	Recycling
Total waste diverted from disposal in our São Paulo forestry operations		6.54	–

 

Bahia Mill 2024

Classification	Category	Method of disposal (t)	Rehabilitation
Used or contaminated lubricating oil	Hazardous waste	26.32	Re-refining
Lime mud	Nonhazardous waste	4,934.93	Preparation for reuse
Screening reject	Nonhazardous waste	7,807.67	Preparation for reuse
Primary sludge	Nonhazardous waste	2,300.60	Preparation for reuse
Sawdust	Nonhazardous waste	28,633.58	Preparation for reuse
Clean bark	Nonhazardous waste	21,255.92	Preparation for reuse
Paper	Nonhazardous waste	139.86	Recycling
Plastic	Nonhazardous waste	51.98	Recycling
Iron	Nonhazardous waste	678.70	Recycling
Metal	Nonhazardous waste	21.03	Recycling
Wood	Nonhazardous waste	167.71	Recycling
Glass	Nonhazardous waste	6.15	Recycling
Empty metal drums	Nonhazardous waste	1.32	Recycling
Fibrous organic waste	Nonhazardous waste	543.22	Preparation for reuse
Total waste diverted from disposal in our São Paulo mill operations		66,568.99	–

 

Bahia Forestry 2024

Classification	Category	Method of disposal (t)	Rehabilitation
Oily sludge (separator box)	Hazardous waste	1.00	Preparation for reuse
Used or contaminated lubricating oil	Hazardous waste	22.11	Preparation for reuse
Tires	Nonhazardous waste	25.13	Preparation for reuse
Big bags	Nonhazardous waste	36.18	Recycling
Recyclables (paper, cardboard, glass, and plastic)	Nonhazardous waste	38.01	Recycling
Scrap metal	Nonhazardous waste	50.81	Recycling
Metal drums	Nonhazardous waste	42.50	Recycling
Pesticide containers	Nonhazardous waste	42.50	Reverse logistics
Total waste diverted from disposal in our Bahia forestry operations		258.24	–

Note: the waste volumes reported by Bracell’s forestry and mill operations in Bahia are the amounts disposed of during 2024, regardless of when they were generated. This may result in differences between the reported waste generation and waste disposal figures any given year.

Paper waste diverted from disposal

 

Southeast Paper Operations

Classification	Category	Method of disposal (t)	Rehabilitation
Other recyclable waste (Class B under Conama Resolution No. 307/02)	Nonhazardous waste	355.70	Recycling
Plastic packaging	Nonhazardous waste	139.40	Recycling
Total waste diverted from disposal in our Southeast paper operations		495.10	–

 

Northeast Paper Operations

Classification	Category	Method of disposal (t)	Rehabilitation
Electronic waste	Hazardous waste	0.30	Recycling
Used or contaminated oil from engines, transmissions and lubrication	Hazardous waste	1.22	Re-refining
Lubricants	Hazardous waste	9.345	Re-refining
Cardboard cores	Nonhazardous waste	132.36	Recycling
Cardboard	Nonhazardous waste	78.12	Recycling
Rejects	Nonhazardous waste	136.049	Recycling
Ferrous scrap	Nonhazardous waste	124.62	Recycling
Ash	Nonhazardous waste	61.63	Recycling
Plain film	Nonhazardous waste	221.290	Recycling
Printed film	Nonhazardous waste	54.032	Recycling
Towel scraps	Nonhazardous waste	298.720	Recycling
Diaper wrapping	Nonhazardous waste	2.580	Recycling
Pallets	Nonhazardous waste	197.20	Recycling
Cellulose powder	Nonhazardous waste	39.420	Recycling
Diaper strips	Nonhazardous waste	230.372	Recycling
Nonwoven fabric scraps (TNT)	Nonhazardous waste	14.260	Recycling
Total waste diverted from disposal in our Northeast paper manufacturing operations		1601.518	–

At Bracell’s forestry and mill operations, some of the waste generated still requires disposal, such as landfilling, co-processing, incineration, and autoclaving. These include effluent treatment sludge, wood debarking waste, end-of-life truck and bus tires, rubber, glass, and contaminated materials.

In 2024, Bracell achieved a significant reduction in the volume of industrial waste sent to landfills, driven by the expansion of circular economy initiatives. A key initiative supporting this progress was the approval of new suppliers to repurpose industrial by-products into agricultural inputs, such as soil amendments and organic fertilizers. This strategy not only mitigates environmental impacts but also strengthens local value chains by turning otherwise disposable materials into productive resources.

At the Camaçari (BA) site, grits—industrial waste generated during the pulp production process—is being tested, under the oversight of the relevant environmental authority, for use as ground cover on service roads near forestry operations.

In Lençóis Paulista (SP), wet biological sludge previously sent to landfills has been fully redirected to organic fertilizer production through composting.

Primary sludge has been used in the manufacturing of paper products, and calcitic waste has been redirected to agricultural soil amendments after audits confirmed compliance with legal and environmental requirements.

These initiatives are part of Bracell’s ongoing efforts to drive sustainable waste management solutions and directly support the environmental targets set out in the Bracell 2030 roadmap.

Pulp waste sent for final disposal

São Paulo Mill 2024

Classification	Category	Method of disposal (t)	Disposal Method
Sludge from local effluent treatment	Nonhazardous waste	15,019.71	Landfill
Other waste not specified earlier	Nonhazardous waste	69,297.07	Landfill
Other fractions not specified earlier	Nonhazardous waste	189.73	Landfill
Fiberglass-based waste materials	Nonhazardous waste	2.66	Landfill
Containers and materials from healthcare processes that do not contain blood or body fluids in free form	Hazardous waste	0.03	Autoclave
Wood debarking waste and wood waste	Nonhazardous waste	231.59	Landfill
Mixed construction and demolition waste	Nonhazardous waste	95.63	Landfill
Total waste sent for disposal in our São Paulo mill operations		84,836.39	–

 

São Paulo Forestry 2024

Classification	Category	Method of disposal (t)	Disposal Method
Petroleum products, solvents, and plastics	Hazardous waste	1.71	Landfill
Petroleum products, solvents, and plastics	Hazardous waste	39.55	Co-processing
Rubber	Nonhazardous waste	3.68	Incineration (without energy recovery)
Plastics	Nonhazardous waste	0.46	Incineration (without energy recovery)
Glass	Nonhazardous waste	0.13	Co-processing
Paper and cardboard	Nonhazardous waste	1.80	Co-processing
Other inert materials	Nonhazardous waste	7.89	Co-processing
Total waste sent for final disposal in our São Paulo forestry operations		55.22	–

 

Bahia Mill 2024

Classification	Category	Method of disposal (t)	Disposal Method
Contaminated PPE	Hazardous waste	4.32	Co-processing
Oily sludge, oily water, miscellaneous waste materials contaminated with oils and greases	Hazardous waste	21.60	Landfill
Class I waste contaminated with paint and solvent	Hazardous waste	4.31	Landfill
Containers contaminated with paint or solvents	Hazardous waste	4.60	Landfill
Healthcare waste	Hazardous waste	0.02	Autoclave
Light bulbs	Hazardous waste	0.39	Landfill
Dregs	Nonhazardous waste	8,940.30	Landfill
Grits	Nonhazardous waste	3,375.12	Landfill
Yard waste	Nonhazardous waste	752.4	Landfill
Industrial waste (cleaning)	Nonhazardous waste	1,124.00	Landfill
Mechanized screen box	Nonhazardous waste	8.10	Landfill
Non-recyclable waste	Nonhazardous waste	304.18	Landfill
Total waste sent for final disposal in our Bahia operations		14,539.34	–

 

Bahia Forestry 2024

Classification	Category	Method of disposal (t)	Disposal Method
Oily sludge, oily water, miscellaneous waste materials contaminated with oils and greases	Hazardous waste	2.62	Co-processing
Oily sludge, oily water, miscellaneous waste materials contaminated with oils and greases	Hazardous waste	15.94	Landfill
Laboratory waste	Hazardous waste	0.18	Landfill
Laboratory waste	Hazardous waste	0.02	Landfill
Used PPE without contamination	Nonhazardous waste	1.22	Landfill
Construction waste	Nonhazardous waste	9.97	Landfill
General waste (non-recyclable)	Nonhazardous waste	17.37	Landfill
Lightbulbs and electronic waste	Nonhazardous waste	0.67	Landfill
Total waste sent for disposal in our Bahia forestry operations		47.99	–

Paper waste sent for disposal

Southeast Paper Operations 2024

Classification	Category	Method of disposal (t)	Disposal Method
Packaging containing or contaminated by hazardous substances	Hazardous waste	4.10	Co-processing
Wood (Class B under Conama Resolution No. 307/02)	Nonhazardous waste	151.50	Incineration (with energy recovery)
Total waste send for disposal in our Southeast paper operations		155.60	–

 

Northeast Paper Operations 2024

Classification	Category	Method of disposal (t)	Disposal Method
Fluorescent, sodium and mercury vapor, and mixed lamps	Hazardous waste	2.57	Co-processing
Rags, paint cans, and solvents	Hazardous waste	2.13	Incineration (with energy recovery)
Water clarification sludge	Non-hazardous waste	14,858.44	Landfill
Municipal waste	Non-hazardous waste	964.00	Landfill
Total waste send for disposal in our Northeast paper operations		15,827.14	–

Waste sent to landfill from 2020 to 2024

Waste sent to landfills in pulp operations in São Paulo

Year	Total waste sent to landfills (kg)	Waste sent to landfills per metric ton of pulp produced (kg/ADT)
2020	12,835,672	52.1
2021	53,088,992	65.0
2022	237,543,980	80.9
2023	255,960,241	85.0
2024	84,836.42	44.3

 

Waste sent to landfill from 2020 to 2024

Year	Waste	Category	Landfill (t)	Business unit	Operation
2024	Sludge from local effluent treatment	Nonhazardous waste	15,019.71	São Paulo	Mill
2024	Other fractions not specified earlier	Nonhazardous waste	189.73	São Paulo	Mill
2024	Fiberglass-based waste materials	Nonhazardous waste	2.66	São Paulo	Mill
2024	Mixed construction and demolition waste	Nonhazardous waste	95.63	São Paulo	Mill
2024	Wood debarking waste and wood waste	Nonhazardous waste	231.59	São Paulo	Mill
2024	Other waste not specified earlier	Nonhazardous waste	69,297.07	São Paulo	Mill
2024	Petroleum products, solvents, and plastics	Hazardous waste	1.71	São Paulo	Forestry
2024	Oily sludge, oily water, miscellaneous waste materials contaminated with oils and greases	Hazardous waste	21.60	Bahia	Mill
2024	Class I waste contaminated with paint and solvent	Hazardous waste	4.31	Bahia	Mill
2024	Containers contaminated with paint or solvents	Hazardous waste	4.60	Bahia	Mill
2024	Light bulbs	Hazardous waste	0.39	Bahia	Mill
2024	Dregs	Nonhazardous waste	8,940.30	Bahia	Mill
2024	Grits	Nonhazardous waste	3,375.12	Bahia	Mill
2024	Yard sand	Nonhazardous waste	319	Bahia	Mill
2024	Industrial cleaning	Nonhazardous waste	1,124.00	Bahia	Mill
2024	Mechanized screen box	Nonhazardous waste	8.10	Bahia	Mill
2024	Non-recycled waste	Nonhazardous waste	304.18	Bahia	Mill
2024	Oily sludge, oily water, miscellaneous waste materials contaminated with oils and greases	Hazardous waste	15.94	Bahia	Forestry
2024	Laboratory waste	Hazardous waste	0.18	Bahia	Forestry
2024	Laboratory waste	Hazardous waste	0.02	Bahia	Forestry
2024	Used PPE without contamination	Nonhazardous waste	1.22	Bahia	Forestry
2024	Construction waste	Nonhazardous waste	9.97	Bahia	Forestry
2024	General waste (non-recyclable)	Nonhazardous waste	17.37	Bahia	Forestry
2023	Lightbulbs and electronic waste	Nonhazardous waste	0.67	Bahia	Forestry
2023	General non-hazardous/unsalvageable waste (Class II)	Nonhazardous waste	135.83	São Paulo	Mill
2023	Sludge (wastewater treatment)	Nonhazardous waste	33,873.74	São Paulo	Mill
2023	Mixed waste (dregs, grits, knots, shives, ash and sand)	Nonhazardous waste	82,813.41	São Paulo	Mill
2023	Organic waste	Nonhazardous waste	492.05	São Paulo	Forestry
2023	Healthcare waste	Class I	0.02	Bahia	Mill
2023	Various materials contaminated with oil and grease	Class I	18.05	Bahia	Mill
2023	Light bulbs	Class I	0.29	Bahia	Mill
2023	Grits	Nonhazardous waste	1,831.56	Bahia	Mill
2023	Dregs	Nonhazardous waste	7,515.87	Bahia	Mill
2023	Non-recyclable waste	Nonhazardous waste	287.18	Bahia	Mill
2023	Yard waste	Nonhazardous waste	664.40	Bahia	Mill
2023	Industrial waste	Nonhazardous waste	988.00	Bahia	Mill
2023	Screening system solids	Nonhazardous waste	10.08	Bahia	Mill
2022	Healthcare waste	Class I	0.12	Bahia	Mill
2023	Contaminated filters	Class I	4.60	Bahia	Forestry
2023	Contaminated hoses	Class I	8.08	Bahia	Forestry
2023	Other contaminated materials	Class I	4.64	Bahia	Forestry
2023	General waste	Nonhazardous waste	14.76	Bahia	Forestry
2023	Contaminated soil	Class I	2.41	Bahia	Forestry
2023	PPE and used uniforms	Nonhazardous waste	2.58	Bahia	Forestry
2023	Construction waste	Nonhazardous waste	53.60	Bahia	Forestry
2023	Batteries	Nonhazardous waste	0.05	Bahia	Forestry
2022	Healthcare waste	Class I	0.12	Bahia	Mill
2022	Various materials contaminated with oil and grease	Class I	18.40	Bahia	Mill
2022	Light bulbs	Class I	1.60	Bahia	Mill
2022	Grits	Nonhazardous waste	4,185.02	Bahia	Mill
2022	Dregs	Nonhazardous waste	8,150.74	Bahia	Mill
2022	Knots and shives	Nonhazardous waste	325.78	Bahia	Mill
2022	Bark	Nonhazardous waste	157.00	Bahia	Mill
2022	Yard waste	Nonhazardous waste	673.01	Bahia	Mill
2022	Industrial waste	Nonhazardous waste	3,731.91	Bahia	Mill
2022	Primary sludge	Nonhazardous waste	13,013.91	Bahia	Mill
2022	Plastic carboys	Nonhazardous waste	0.13	Bahia	Mill
2022	Scrap metal	Nonhazardous waste	245.74	Bahia	Mill
2022	Laboratory waste	Nonhazardous waste	2.85	Bahia	Mill
2022	Other contaminated materials	Class I	9.60	Bahia	Forestry
2022	Bags	Nonhazardous waste	9.36	Bahia	Forestry
2022	General non-hazardous/unsalvageable waste (Class II)	Nonhazardous waste	9.67	São Paulo	Mill
2022	Fiberglass and mineral wool	Nonhazardous waste	107.50	São Paulo	Mill
2022	Sludge (wastewater treatment)	Nonhazardous waste	164,455.78	São Paulo	Mill
2022	Mixed waste (dregs, grits, knots, shives, ash and sand)	Nonhazardous waste	25,002.84	São Paulo	Mill
2021	Healthcare waste	Class I	0.00	Bahia	Mill
2021	Light bulbs	Class I	0.00	Bahia	Mill
2021	Grits	Nonhazardous waste	0.00	Bahia	Mill
2021	Dregs	Nonhazardous waste	0.00	Bahia	Mill
2021	Knots and shives	Nonhazardous waste	0.00	Bahia	Mill
2021	Non-recyclable waste	Nonhazardous waste	0.00	Bahia	Mill
2021	Bark	Nonhazardous waste	0.00	Bahia	Mill
2021	Yard waste	Nonhazardous waste	0.00	Bahia	Mill
2021	Industrial waste	Nonhazardous waste	0.00	Bahia	Mill
2021	Screening system solids	Nonhazardous waste	0.00	Bahia	Mill
2021	Contaminated filters	Class I	8.20	Bahia	Forestry
2021	Contaminated hoses	Class I	2.87	Bahia	Forestry
2021	Other contaminated materials	Class I	10.71	Bahia	Forestry
2021	Electronic waste	Class I	0.43	Bahia	Forestry
2021	Wood	Nonhazardous waste	0.67	Bahia	Forestry
2021	Construction waste containing asbestos	Class I	12.58	São Paulo	Forestry
2021	Lime mud	Nonhazardous waste	19,682.64	São Paulo	Mill
2021	Wastewater treatment plant sludge	Nonhazardous waste	21,429.05	São Paulo	Mill
2021	Restaurant waste (organic)	Nonhazardous waste	6.78	São Paulo	Mill
2021	Fiberglass-based waste materials	Nonhazardous waste	112.27	São Paulo	Mill
2020	Grits, dregs and sludge from the recovery process	Nonhazardous waste	25,205.00	Bahia	Mill
2020	General waste	Nonhazardous waste	10.80	Bahia	Forestry
2020	Restaurant waste (organic)	Nonhazardous waste	13.24	São Paulo	Mill
2020	Mineral wool and fiberglass	Nonhazardous waste	13.09	São Paulo	Mill