Governing sustainability targets at Södra

By 2030, Södra will be completely free of fossil fuels, members’ forests will continue to grow at the same rate as in recent decades and there will be zero tolerance for workplace injuries. These sustainability targets will now acquire the same status as the Group’s financial targets, Södra’s Board recently announced.

In addition to the three Group-wide targets, there are also 12 specific sustainability targets for various parts of the operations.

“As a Group operating in the green sector, it is important for us to be a sustainability leader. Our operations can offer so many social benefits in the transition to a bioeconomy,” said Södra’s President Lars Idermark. “We are now increasing the tempo by giving these targets the same status as our financial targets.”

“Climate change is a global issue and affects us all. Södra’s targets for fossil-fuel independence and a higher rate of forest growth will help us work strategically with climate change. In this context, however, it is vital to point out that any efforts to increase forest growth shall never take place at the expense of biodiversity conservation, nor compromise the natural features and production capacity of forest land,” added Idermark.

The sustainability targets are the result of a long and thorough process, with a great deal of participation from both Södra’s operations and external influence.

“We invited external stakeholders to participate in some parts of the process, since we believe that this work should be part of a larger context,” said Kristina Altner, Sustainability Coordinator at Södra. “It’s also important that both our customers and other stakeholders are able to voice their opinions.”

The results will be monitored in Södra’s business plans and presented in the Group’s Annual Reports with Sustainability Reports.

Södra’s Board has called these financial targets “long-term”. The percentages for return, equity ratio and profit distribution have not changed. Södra’s financial targets are now as follows:

  • The long-term consolidated return on capital employed should be at least 10 percent.

  • The long-term equity ratio should be at least 55 percent.

  • Overall long-term profit distribution should correspond to at least 50 percent of profit before tax.

Facts – Södra’s sustainability targets

  1. Södra’s production will be fossil-fuel-free by 2020, and Södra’s transportation will be fossil-fuel-free by 2030.*

  2. By 2050, the annual rate of forest growth on estates owned by Södra’s members will be 20 percent higher than in 2015.*

  3. Södra will continue to harvest within recommended, sustainable harvesting levels.

  4. By 2020, the conservation considerations in final harvesting operations performed by Södra will have an approval level of 95 percent.

  5. By 2020, the area assigned by Södra to nature-conservation management will be 3,000 hectares per year.

  6. By 2020, Södra will have commercialised three to four products with better sustainability performance than today’s alternatives.

  7. By 2025, Södra’s electricity and heating consumption will have declined by at least 10 percent compared with 2015.

  8. Södra’s annual electricity generation will exceed its electricity use.

  9. By 2020, Södra’s sickness absence rate will not exceed 3 percent.

  10. Södra has zero tolerance for workplace injuries and by 2020, the injury frequency rate will have declined 15 percent.*

  11. By 2020, at least 30 percent of Södra employees will be women.

  12. By 2020, at least 85 percent of employees will recommend Södra as an employer.

  13. By 2017, the Supplier Code will be included in all of Södra’s supplier contracts.

  14. By 2020, all suppliers holding supplier contracts with Södra will be risk-assessed, and prioritised suppliers will be evaluated under the requirements of Södra’s Supplier Code.

  15. By 2020, all of Södra’s investments and transactions will include the consideration of sustainability-related criteria.

*Group-wide sustainability targets

For comments:
Kristina Altner, Sustainability Coordinator, Södra, +46 (0)76-1091 642
Roine Morin, Sustainability Director, Södra, +46 (0)70-311 7063

Press contact:
Södra's Pressroom, +46 (0)470-890 90

Södra was founded in 1938 and is the largest forest-owner association in Sweden, with a membership of more than 50,000 forest owners. We engage in modern and responsible forestry, and operate state-of-the-art mills in which we process our raw material. Through value-generating relationships and a long-term approach, Södra is leading the way for the next generation of forestry. 


About Us

Södra was founded in 1938 and is the largest forest-owner association in Sweden, with a membership of more than 50,000 forest owners. Södra is also an international forest industry Group, with 3,500 employees. A balance between production efficiency and nature conservation guides everything that we do. We produce timber, interior wood products, paper and textile pulp, and green energy. We use every part of the tree, and are always looking to develop new products from this fantastic, renewable raw material. Södra is one of the leading European suppliers of pulp for the global market, and has one of the largest sawmill operations in Sweden. Through value-generating relationships and a long-term approach, Södra is leading the way for the next generation of forestry.