With a view to the CO₂ reduction targets set by the German government, we will gradually replace hard coal with more climate-friendly energy sources. Nevertheless, hard coal will still play a relevant role for EnBW as a source of energy over the next few years to ensure a reliable and economic supply of electricity. Responsible raw materials procurement, especially in the coal sector, is thus extremely important to us in order to strengthen our sustainable purchasing.
By the end of 2021 and thus even before the outbreak of war in the Ukraine, EnBW had already started to further diversify its procurement portfolio in order to reduce its dependency on Russian coal supplies. In the reporting year, no new contracts were concluded with Russian coal producers.
Until the sanctions came into force in August 2022, EnBW accepted delivery of Russian coal that was covered by existing contracts with Russian coal producers in which there were corresponding contractual obligations. These deliveries accounted for 48.5 % of the total coal supplied to the company. A large proportion of the Russian deliveries were stored in reserve at the seaports.The lost volumes of Russian coal were replaced mainly by coal from Colombia and the USA. The coal supplies to EnBW over the whole of 2022 can be summarized as follows: Russia was still the largest supplier with 2 million t but coal supplies from Colombia increased significantly from 0.2 million t to 1.6 million t. The total amount of coal supplied was the same as in the previous year at 4.2 million t (previous year: 4.2 million t). The procurement volume increased considerably, however, in 2022 to €1,150 million (previous year: €433 million) due to the sharp increase in the price of coal.
The EnBW Group places great importance on knowing exactly where the coal it uses is sourced and being able to disclose this information. Some 88.0 % of our coal requirements are thus covered by contracts where the respective producers are already known when the contract is concluded. The remainder is sourced from contracts concluded with trade intermediaries who usually define a quality standard and the countries from which the coal could be sourced, but not the source of the coal itself.
Get more information on EnBW's coal procurement here.