Electric Vehicle manufacturer Polestar is accounting for every gram of CO2 in its supply chain.
Polestar, the Swedish electric vehicle (EV) manufacturer, has released its third Annual Sustainability Report, outlining its initiatives and performance on environmental, social, and governance matters in 2022. The report reveals that the company has successfully reduced relative CO2e-emissions per car sold by 8% compared to 2021 levels, even during a year of record global volume growth.
Despite delivering nearly 51,500 cars in 2022, an 80% increase from 2021, Polestar managed to cut its relative emissions on a per-unit-basis by 13% since 2020. This success puts Polestar on track towards its goals of halving relative emissions by 2030. While absolute emissions increased due to the scale-up, the company’s focus on carbon reduction is evident, making it the second consecutive year that the company has combined rapid growth with carbon cuts.
Reducing carbon emissions is due to several factors, including reduced average transports and high sales in markets with more renewable energy on grids. Ongoing updates pushed through by Polestar’s sustainability team within its car programs also contribute to reducing emissions. For instance, Polestar switched suppliers providing aluminum for the wheels and battery trays for Polestar 2, where a change to a hydro-powered smelter resulted in a 1.2-ton reduction per car. In addition, Polestar’s factory, where Polestar 2 is built, now runs on 100% renewable electricity, further cutting emissions.
Head of Sustainability at Polestar, Fredrika Klarén, stated that “We wear our emissions on our sleeve – measuring and scrutinising every detail ensures we keep our eye on the ball. Electrification alone is not enough and pure EV-makers like Polestar have a lot of work ahead of us. Our focus remains unchanged as we double down on cutting emissions in our supply chain.”
In addition to their environmental footprint from production, EVs also come with a social footprint. Polestar mitigates social and environmental risks in complex supply chains by using blockchain to trace risk materials back to the mine. Material traceability now includes cobalt, mica, lithium, nickel, leather, and wool.
The Polestar 0 project, the company’s goal to create a climate-neutral car by 2030, has attracted over 20 leading players from various industries to find solutions to eliminate CO2e and re-think processes instead of relying on misleading offsetting schemes. The company teamed up with Circle Economy and STENA Recycling in 2022 to measure its impact and set a circularity baseline from which work will be done to improve raw material consumption, biodiversity, and recyclability.
Polestar’s commitment to sustainability and carbon reduction has earned the company additional certification. In February 2023, the company received a low-risk 17 rating from Sustainalytics, further validating its efforts.
