Climate change
Human-induced global climate change is one of the greatest environmental challenges of this generation. Novo Nordisk recognises that every sector of society and each individual must take action to address it.
Ambitious CO2 reduction target
In 2006 Novo Nordisk became a member of the World Wide Fund for Nature (WWF) Climate Savers programme, which invites leading global businesses to demonstrate that investing in reduction options can benefit the long-term health of the business.
Under this agreement, we have set an ambitious target for our company’s CO2 emissions. The aim is to achieve a reduction of 10% by 2014 compared with 2004 emission levels. In this period our business is projected to grow significantly, so we will have to decouple production needs from energy consumption. In reality, the target therefore represents a reduction far greater than the 10% absolute reduction to which we have committed.
The CO2 strategy
Novo Nordisk’s CO2 strategy has two elements: energy saving initiatives, and more use of renewable energy. Novo Nordisk is looking into opportunities such as windmills, solar power and geothermal energy and is also negotiating with energy suppliers to persuade them to reduce the use of carbon-based fuels.
The ongoing cLEAN® programme – an adapted LEAN manufacturing programme to increase productivity – in Product Supply underpins the climate strategy and will positively affect the level of CO2 emissions. As a result of this programme Novo Nordisk will achieve lower energy consumption per produced unit. Significant progress has been made in identifying opportunities for energy savings at individual production sites. More details on the strategy and case stories can be found here.
In May 2007 Novo Nordisk signed a partnership agreement with the Danish energy company DONG, which will help Novo Nordisk realise the CO2 reduction target. Under the partnership, which is the first of its kind, Novo Nordisk pledges until 2020 to convert all energy savings realised at its Danish production sites into the purchase of green electricity for its production sites. The energy will be supplied from a new wind farm that DONG Energy is establishing at Horns Rev in Danish coastal waters.
Getting employees on board
Achieving the CO2 reduction target relies on communicating its importance to employees. In 2006, more than 1,800 employees and their families attended two showings of Al Gore’s film on climate change, “An Inconvenient Truth,” arranged by Novo Nordisk. This was accompanied by an exhibit on Climate Savers and a variety of educational activities for children. Local showings have been arranged in 2007. In March 2007, Al Gore made a motivational speech about climate change to 300 employees at Novo Nordisk headquarters in Bagsvard, Denmark.
Climate leadership
The Carbon Disclosure Project (CDP), a global survey of how the world's largest companies are responding to climate change, has named Novo Nordisk as one of the best in the pharmaceutical sector for strategic awareness of the risks and opportunities of a carbon-constrained environment, as well as for the quality and effectiveness of its programmes to reduce overall greenhouse gas emissions. The CDP is backed by 155 institutional investors representing 22 trillion US dollars in assets under management. Novo Nordisk continues to maintain its lead in the Climate Leadership Index. More information on the CDP4 disclosure project can be obtained here.
In 2007, Novo Nordisk was rated number 14 on CNBC European Business magazine’s list ranking the world’s top low-carbon pioneers. The list, published in the January/February 2007 issue of the magazine is the first of its kind, ranking businesses that have connected climate change to their bottom line and profited. Find out more here.
