CO₂ emissions, among the lowest generated by utilities

#ESG #transparency

Iberdrola has been the only European electric utility included in the 23 editions of the prestigious Dow Jones Sustainability Index and is regarded as one of the top sustainable electric utilities in the world. Among other factors, the company's direct emissions have been reduced by almost 25% in the last five years.

The following charts show direct CO2 emissions over the past three years.

CO 2 (t) emissions
  2022 2021 2020
Generating 8,421,306 9,175,358 9,220,435
Cogeneration 2,839,174 3,515,703 3,250,773
Other emissions 85,876 63,101 47,656
Total 11,346,356 12,754,162 12,518,864
Global CO 2 emissions evolution
  2022 2021 2020
Total emissions (MtCO2eq) 11.3 12.7 12.5
Specific emissions from global mix (kgCO2/MWh)(1) 88 96 98

CO2 emissions intensity evolution

Specific emissions from global mix (kgCO2/MWh)

In 2022, CO2 emissions per MWh generated were among the lowest at the national and international level. For the purposes of comparison, the specific emissions of European electricity companies are 224 kgCO2/MWh2. The low intensity of Iberdrola's emissions is justified by its production mix, with 78% emission-free production in 2022.

The main greenhouse gas generated by the Company's activities is CO2, from combustion during thermal power generation. Iberdrola has made a pledge to the public to remain amongst the main European companies with the fewest CO2 emissions per kWh. The Company's strategy is essentially to gradually cut back on its GHG emissions by continuing to generate power from renewable sources, while gradually incorporating the most efficient and least carbon intensive technologies at its existing facilities.

In 2022, the installed energy capacity for gas production amount to 19.5% of the installed own capacity. Our own production of electricity from gas has accounted for 21.6% of total production (not including steam generation). Sales for energy production and sales for gas distribution correspond to 16% of the group's total sales.

(1) Obtained by dividing emissions by the total net production, including steam production.

(2) Source: European carbon factor Benchmarking of CO2 emissions by Europe's largest electricity utilities (October 2022, PwC)

(*) Iberdrola uses the "own" installed production and capacity criteria, excluding production and installed capacity "for third parties". The latter reflects the particular operating conditions of some of our plants in Mexico, which Iberdrola operates under the instruction of the Comisión Federal de la Electricidad (CFE) under the figure of Independent Energy Producer (IEP).

(**) 100% of Neoenergia has been considered since 2016.

(***) The group has a large hydroelectric production capacity. Annual production using this technology depends on rainfall and the capacity of reservoirs during certain periods, which vary greatly. Consequently, the use of other technologies in global production also varies.