SASOL Integrated Report 2025_Final_28 August 2025 - Flipbook - Page 117
INTRODUCTION
ABOUT SASOL
STRATEGIC OVERVIEW
BUSINESSES
ESG
REMUNERATION REPORT
DATA AND ASSURANCE / ADMINISTRATION
SOCIAL – COMMUNITY continued
SUSTAINABLE PROCUREMENT
Our commitment
We are committed to the sustainable supply and delivery of
goods, services and products thereby maximising shared value.
Through mutually beneficial relationships with our supply
chain stakeholders, we endeavour to understand, translate and
proactively deliver on commitments, on time and at the required
quality and price. We are committed to developing our local
communities and prioritising local procurement.
Our group approach
We actively advocate for compliance with laws, international codes of conduct, human and environmental
rights, both within our own business and along our value chains. Our goal is to achieve competitive prices
through our professional procurement organisation, establish stable and reliable supply chains, and at the
same time meet ethical and environmental standards. We hold our suppliers to the same standard that
we hold ourselves. Our approach towards economic growth entails embracing principles of sustainability
through socially and environmentally responsible procurement practices. It also includes fostering local
community growth; finding opportunities for local manufacturing; and targeting procurement with historically
disadvantaged groups. Sound principles and governance processes underpin our integrated approach.
TARGETED INTERVENTIONS
Palm oil and renewable feedstocks
Sasol produces limited quantities of products
using palm and coconut derivatives. As a member
of the Roundtable on Sustainable Palm Oil (RSPO),
Sasol has implemented a RSPO mass balance
certification for all related production sites.
A Palm Oil Policy is in place specifying
requirements for the traceability of related
products. We are pursuing selected opportunities
to include biomass (biomass pellet from invasive
alien species) and bio-lipids such as vegetable oils
and used cooking oil in our operations to produce
sustainable chemicals and fuels. Pilot runs in FY25
are informing our future sourcing strategies.
We have also implemented an International
Sustainability and Carbon Certification (ISCC)
supply chain certification for selected products
to broaden our product portfolio with
sustainability credentials. This mass balance
certification allows us to procure selected
non-palm-derived feedstocks with sustainability
credentials and offer certified ISCC PLUS products
to our customers.
Renewable electricity procurement
International Chemicals is progressing its transition
to renewable electricity across major sites,
achieving 50 – 60 ktpa in Scope 2 emissions
reductions to date.
• Europe: At the German facilities, the purchased
electricity is fully renewable. In Italy, multiple
Power Purchase Agreements (PPAs) have been
secured, with some already operational and the
remainder expected within 2–3 financial years.
• Asia: 33% of electricity at our Nanjing, China,
site is renewable.
• North America: A 10 MW Virtual Power Purchase
Agreement (VPPA) with Entergy is active. A
91 MW VPPA signed with Akuo in June 2025 will
supply ~50% of Lake Charles’ power needs from
mid-FY27.
• To date Sasol South Africa has concluded nine
PPAs (922MW) for renewable electricity to be
wheeled to the South African operations. The
69 MW (240 GWh/a) Msenge wind project
reached commercial operation in October 2024
with the remaining 853 MW (28 80 GWh/a) in
construction. The Damlaagte solar PV project
will be the next to reach commercial operation,
expected in early FY26.
• A short-term PPA for 10 MW solar PV through
wheeling is expected to deliver renewable energy
to Sasolburg Operations from September 2025.
• The onsite installed 3.3 MW solar PV plant in
Sasolburg Operations continues to deliver
renewable energy and reduce the purchases
from Eskom. The project is reducing Scope 2
emissions by ~ 6.5 kt/a.
Conflict minerals
Sasol makes an annual submission as part of our
United States Securities and Exchange Commission
filing in terms of the Dodd-Frank Wall Street
Reform and Consumer Protection Act 68 of 2008,
on our use of any of the four minerals that have
been linked to conflict in African countries (known
as conflict minerals).
Procurement of banned and restricted
substances
We screen all orders for inbound chemicals and
materials to ensure that we do not procure illegal
or banned substances. Where substances are
restricted or controlled, permits are in place and are
managed by our Product Stewardship function,
to ensure adherence to all related requirements.
Refer to pages 106 – 107.
Zero tolerance for unethical behaviour
for suppliers
We encourage all our suppliers and stakeholders
to ‘speak up’ against any suspicious, unethical and
economic crime activities to ensure that we
collectively adhere to the provisions and principles
of ethical sourcing and procurement. In South
Africa, investigations relating to potential cases
of Broad-Based Black Economic Empowerment
(B-BBEE) fraud (fronting) are actively investigated.
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Suppliers and service providers are required to
operate within the ethical and legal parameters
stipulated in the Sasol Supplier Code of Conduct as
well as the Anti Bribery and Corruption (ABAC) and
Business Human Rights policies (BHR). The Sasol
ethics line is available globally to Sasol employees
and external parties to report suspected unethical
supply chain activities. Suppliers have access to two
separate training modules on the Sasol Supplier
Management website, under the Ethics section on
our website www www.sasol.com/esg.
In South Africa, suppliers are also invited to
participate in online training sessions on these
topics. Sasol’s suppliers in Germany must comply
with the German Supply Chain Act and the high-risk
suppliers are given access to training information.
