Fortescue is committed to contributing to global efforts to combat climate change. We accept the scientific consensus as assessed by the Intergovernmental Panel on Climate Change (IPCC) and support the Paris Agreement goal of limiting global temperature rise to well below two degrees Celsius above pre-industrial levels.
We also support Australia's commitment to reduce emissions by 26-28 per cent from 2005 levels by 2030 and the UN Framework Convention on Climate Change which mandates that individual nations take responsibility for emissions within their own borders.
Climate change is a complex and challenging issue and successful mitigation will require a coordinated approach between government, business and the community. Collaboration will be critical in ensuring that policy frameworks are able to deliver mitigation outcomes that support the Paris Agreement objectives while incentivising innovation and supporting economic stability and growth.
Task Force on Climate-related Financial Disclosures
Fortescue supports the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD), recognising that TCFD-aligned climate risk disclosures provide the transparency, consistency and detail required by our stakeholders to assess performance in this area.
Fortescue's climate related reporting aligns with the TCFD recommendations which focus on four key elements.
Fortescue is working to reduce our CO2 emissions and has set voluntary short-term targets for our operations and the voluntary long-term goal to achieve net-zero operational greenhouse gas emissions in the second half of the century.
To achieve this goal, we continue to identify opportunities to introduce renewables into our energy supply, such as solar and hydrogen. We are focused on implementing innovative and practical initiatives that have the potential to lower our costs while also reducing emissions and managing climate-related risks.
The Pilbara Energy Connect program represents a US$700 million investment into electricity generation and transmission infrastructure that will complete the integration of Fortescue’s stationary energy requirements in the Pilbara into an efficient network.
Once completed, the program of works will provide Fortescue with a hybrid solar gas energy solution that will leverage our existing energy infrastructure including the Fortescue River Gas Pipeline and the gas-fired Solomon Power station, while supporting the incorporation of large scale renewable energy.
Pilbara Energy Connect consists of two projects:
By installing 150MW of solar PV as part of the Pilbara Generation Project, the modeling indicates we will avoid up to 285,000 tonnes of CO2e per year in emissions, as compared to generating electricity solely from gas.
In 2019, Fortescue signed a landmark agreement with Alinta Energy for the Chichester Solar Gas Hybrid Project, which will see up to 100 per cent of daytime stationary energy requirements at the Chichester Hub powered by renewable energy.
Alinta Energy will build, own and operate the 60MW solar PV generation facility at the Chichester Hub and a 60-kilometre transmission line linking the Christmas Creek and Cloudbreak mining operations with Alinta Energy’s Newman gas-fired power station.
On completion, this project will integrated with the Pilbara Energy Connect program.