Chemical Sector SDG Roadmap-2
Chemical Sector SDG Roadmap-2
Chemical Sector SDG Roadmap-2
SDG Roadmap
Overview
Contents
Part
Overview
Foreword 04
1
The Chemical Sector and the SDGs 09
Executive summary 06 The chemical sector 10
Introduction 08 The chemical sector and the SDGs 12
Key goals for the sector 18
Part Part
2
Impact Opportunities 20
3
Pathways to 2030 38
Description of cross-cutting factors 22 Food 39
Food 24 Water 40
Water 26 People and health 41
People and health 30 Energy 42
Energy 32 Infrastructure and cities 43
Infrastructure and cities 35 The road to 2030 44
Acknowledgments 45
Foreword
There is growing appreciation It is also increasingly clear We are delighted that a number
across the global business however, that this potential of forward-thinking companies
community of the immense will only be unlocked through and industry associations
potential of the Sustainable pioneering new forms of from the chemical sector have
Development Goals (SDGs) to partnerships, with sector peers shown leadership in piloting
unleash innovation, economic coming together to plot new these guidelines and produced
growth, and development at pathways for realizing the this important Roadmap, which
an unprecedented scale. This transformative ambitions of the provides direction and support
potential was clearly captured SDGs, rallying behind a common for the sector as it looks to
by the Business & Sustainable 2030 vision for their industries. maximize its potential to drive
Development Commission’s In April 2018, WBCSD published positive impact across the
flagship Better Business, Better a set of SDG Sector Roadmap spectrum of the SDGs.
World report, which points to Guidelines detailing a step- We hope this work will serve
US$12 trillion of additional by-step methodology for how as a platform for ongoing
market value that could be companies within a given collaboration between chemical
unlocked by 2030 if the SDGs industry can come together and sector industry peers and wider
are achieved. explore their collective potential stakeholder groups, as we seek
to advance the SDG agenda. to realize the unique potential
of this sector to drive forward
the SDG agenda on the road
to 2030.
Executive summary
1 https://www.wbcsd.org/Programs/People/Sustainable-Development-Goals/SDG-Sector-Roadmaps/Resources/SDG-Sector-Roadmaps
Moving forward the companies involved The contributors to the Roadmap also The following table summarizes the 18
in the production of this Roadmap will strongly encourage other companies impact opportunities identified across
seek to establish working groups to throughout the sector, and wider the five themes as well as associated
advance the various impact pathways stakeholder groups to reach out and get impacts on the prioritized SDGs.
that have been identified, and set up in touch with ideas on how best to align
appropriate frameworks to track and projects or strengthen partnerships that
communicate progress. will ultimately accelerate SDG progress.
Impact opportunities
1. Contribute to 4. Increase resilience 8. Transform portfolio to 11. Accelerate energy 16. Scale and evolve
sustainable and for water pipe have more products efficiency in involvement in
healthy food supply systems with positive impact downstream sectors multi-stakeholder
2. Transform food 5. Improve urban water 9. Reduce impact of 12. Enable production collaboration to
packaging to prevent treatment capabilities operations to people and storage of make cities more
food loss and waste renewable energy/ sustainable and
6. Accelerate water 10. International inclusive, improving
3. Transform food stewardship chemical industry renewable energy
infrastructure lives of the urban
additives to combat 7. Work with others in capacity building poor
malnutrition the value chain on 13. Continue to improve
energy efficiency in 17. Demonstrate
aquatic waste issues benefits of industrial
own processes
symbiosis
14. Breakthrough
technologies 18. Strengthen
for alternative production assets to
production promote resiliency
processes
15. Increase proportion
of renewable energy
or innovative energy
technologies used in
production
Cross-cutting factors
Introduction
What are the Sustainable The Business & Sustainable Development Embracing these recommendations,
Development Goals? Commission’s flagship Better Business, the Chemical Sector SDG Roadmap
Better World report points to US$12 (Roadmap) is an initiative led by a
In 2015, the United Nations established trillion of additional market value that selection of leading chemical companies
a set of goals to end poverty, protect the could be unlocked by 2030 if the SDGs and industry associations, convened
planet, and ensure prosperity for all. Each are successfully implemented, creating by the World Business Council for
of these 17 Sustainable Development 380 million jobs in the process. Sustainable Development (WBCSD), to
Goals (SDGs) includes specific targets to explore, articulate, and ultimately realize
be achieved by 2030. Achieving the SDGs The SDGs can also help companies to
the potential of the sector to leverage its
requires the efforts of governments, the analyze and address operational and
influence and drive innovation that will
private sector, civil society, communities regulatory risk, and to secure a strong
significantly contribute to the realization
and individuals. and enduring license to operate.
of the SDG agenda. The Roadmap
identifies areas where the sector can
What do the SDGs mean for Why an SDG Roadmap for the have the most SDG impact and explores
business? sector? key opportunities and pathways to
accelerate and optimize this impact on
Governments have been tasked with the The SDG agenda is ambitious,
the road to 2030, while also presenting
implementation of the SDGs however, this transformative, and universal. It will not
a strong business case for action. The
is an agenda that fundamentally will not be achieved through incremental change
Roadmap is also important as it will
be realized without strong engagement and calls upon all actors to go beyond
provide a means to communicate with
by the private sector. Business has a business as usual to tackle complex
potential partners in other sectors
critical role to play in helping to realize societal and environmental challenges.
and relevant stakeholders on key
the ambitions of the SDGs; as an engine Realizing the ambitions of the goals and
sustainability activities and initiatives.
of economic growth and employment; unlocking the potential they represent is
as a source of finance; and as a driver of beyond the reach of any one organization
and so calls for innovative new forms of Method and approach
technology and innovation.
partnerships at scale. In order to develop this Roadmap, nine
And there’s lots to be gained for
From a corporate perspective, the SDGs leading chemical companies and two
companies strategically aligning with the
present both opportunities and risks. industry associations formed a dedicated
SDGs. The goals provide a new cross-
Realizing SDG-related opportunities and working group, convened by WBCSD. The
sector global framework to translate
effectively managing risks will require group took a leadership role in piloting
the world’s most pressing needs into
innovation and transformative change and refining the three-step framework
business solutions. Companies that are
that incorporates efforts spanning described in WBCSD’s SDG Sector
able to deliver inclusive and sustainable
across industry sectors, with individual Roadmap Guidelines. The group worked
products and services in line with these
organizations working together with collaboratively with input from external
ambitions stand to open up significant
their peers to tackle obstacles and scale experts to collectively:
market opportunities.
solutions. In this context, the Better • Map perspectives around the chemical
Business, Better World report underlines sector’s current level of SDG impact at
the importance of drawing up detailed the target-level across the value chain
sector “roadmaps” to guide and support and identify priority SDGs for the sector
specific industries in their shift towards to address;
sustainable development in line with
the SDGs. • Conceptualize where the sector
can collectively make the most
transformative contribution to
the SDGs, and identify key impact
Players in all sectors will benefit from opportunities to drive progress
Part
1
The chemical
sector and
the SDGs
Understanding the chemical
sector and how it relates to
the SDGs
The chemical sector is a four trillion
dollar global business, employing more
than 20 million people directly and
indirectly.1 Today’s world – from the
food we consume, the way we travel, the
clothes we wear, and the technology we
harness – depends on the products of
the chemical industry.
Through the responsible production,
use, and management of chemicals,
the chemical sector can support the
SDGs through innovative products
and practices that minimize negative
impacts, protect the environment,
promote social progress, and support
economic growth. Many of these
principles are already enshrined in the
industry’s Responsible Care® Program.2
This Roadmap sets out to explore how
the chemical sector can contribute
to achieving the SDGs through more
effectively managing its own operational
footprint, working with others to
enhance capacities along the value
chain, and leveraging its expertise and
innovation to unlock new business
opportunities that are aligned with the
SDGs. This will require action to minimize
any adverse aspects while maximizing
positive impacts.
The chemical sector at large is a supplier
of products and services into virtually
every other industry. Due to this, the
Roadmap is not an exhaustive overview,
but instead describes areas where the
chemical sector is uniquely suited to
make a considerable and lasting impact.
1
https://www.icca-chem.org/about-us/
2
https://www.icca-chem.org/responsible-care/
The chemical sector creates an immense Manufacturers in the chemical sector can • Specialty chemicals. Companies that
variety of products which interact with be divided into five categories1: primarily produce high value-added
virtually every aspect of our lives. While chemicals used in the manufacture of a
• Commodity chemicals. Companies
many products from the industry, such wide variety of products, including but
that primarily produce industrial
as detergents, soaps and perfumes, are not limited to fine chemicals, additives,
chemicals and basic chemicals.
purchased directly by the consumer, advanced polymers, adhesives,
Including but not limited to plastics,
others are used as intermediates to sealants and specialty paints, pigments
synthetic fibers, films, commodity-
support the development of other and coatings, and intermediates used
based paints & pigments, explosives
products such as foods, plastics, and in renewable materials and in the food,
and petrochemicals.
pharmaceuticals. The complexities of pharmaceutical and other industries.
the industry are broadly highlighted in • Diversified chemicals. Manufacturers
The complex and diversified nature of the
the figure below. The industry uses a of a diversified range of chemical
sector is accounted for in the Roadmap,
wide range of raw materials, from air products.
which is inclusive of all sub-sectors from
and plants to minerals and oil. With
• Fertilizers & agricultural chemicals. basic chemicals, intermediates and
increasing competition worldwide,
Producers of fertilizers, pesticides, formulated products through to end use
innovation remains crucial to finding
potash or other agriculture-related markets.
new ways for the industry to satisfy its
chemicals.
increasingly sophisticated, demanding
and environmentally-conscious market. • Industrial gases. Manufacturers of
industrial gases.
1
https://www.msci.com/gics
The chemical
sector
value chain
2.5 GtCO2e
portfolios8; guidance to support
• The International Council of Chemical
chemical companies to assess the
Associations (ICCA) launched the
per year – a reduction equivalent social impact of their products9; and
Global Product Strategy5 (GPS),
to total emissions from France, guidance for environmental footprint
in 2006, to advance the product
Germany, Italy and the United Kingdom of products10. Addressing the Avoided
stewardship performance of individual
combined.3 Emissions Challenge11, guidelines
companies and the global chemical
for accounting for and reporting
https://www.icca-chem.org/wp-content/
industry as a whole. Together with the
1
Responsible Care® Global Product The Together for WBCSD members Chemicals in Products
first launched Strategy (GPS) Sustainability (TfS) establish Reaching Full (CiP) Programme
launched by ICCA Initiative established Potential initiative developed by
UN Environment
The chemical sector contributes to economic Human health and safety are among the Equitable quality education supports
growth and improvements in the quality chemical sector’s highest priorities. The economic growth, improved public health
of life for people globally. As responsible industry strives to minimize negative health and more stable societies. The chemical
employers, chemical companies provide impacts from the exposure to chemicals in sector promotes science education
living wages and benefits to their employees the workplace, at home and in the community. through philanthropic investment and
and uphold their supply chain responsibilities. Innovations and a commitment to product specific initiatives that target certain
Through investments and partnerships, stewardship have increased the availability regions or populations, including technical
chemical companies make a positive of products with health and safety benefits apprenticeships and programs which help
contribution to combating poverty by while reducing their environmental footprint. improve the professional skills of existing and
strengthening and revitalizing communities This includes accelerated deployment of potential employees.
and improving infrastructure. Innovative best practices in safe production, distribution
products directly support affordable and and management of chemicals in emerging
accessible shelter and other basic goods markets through uptake of Responsible
while creating capacity for economic growth Care. In addition, medical breakthroughs
in countries most in need. and innovative technologies made possible
by chemistry provide deeper understanding
of the causes of – and better treatments for
– medical diseases and ailments, enabling
people to live longer and healthier lives.
Case study
Food Reform for Sustainability and Health Several WBCSD chemical companies are
(FReSH) is a joint program between the EAT founding members of the FReSH initiative
Foundation and nearly 40 WBCSD companies, highlighting the critical role of the sector in
designed to accelerate transformation in the helping to achieve a healthy and sustainable
global food system. Through jointly created food system.
business solutions, it aims to scale new http://www.wbcsd.org/Projects/FReSH
pathways to reach healthy, enjoyable diets
for all, produced responsibly within planetary
boundaries.
The chemical sector continues to support Access to clean water and sanitation is a
the participation, contribution and success global issue that must be managed at a local
of women throughout the industry through level and chemistry has an essential role.
the implementation of programs and Advances in chemistry include disinfectants
management approaches to advance gender that kill germs and prevent disease; polymer
equality. Beyond this, the sector also has the membrane filters that remove impurities;
capacity to develop and market products that materials for desalination; and materials for
address women’s health and well-being, such pipes that protect water from its source to
as food fortification initiatives. the tap. Chlorine-based water disinfectants
maintain drinking water quality during storage
and distribution.
Innovative piping solutions prevent
water loss in operations and supply chains Case study
and help transform water distribution
The WBCSD Pledge for Access to Safe
networks. Advances in chemical sector
Water, Sanitation and Hygiene (WASH) at the
water management improve water
Workplace is an opportunity for companies to
quality by reducing pollution, eliminating
contribute concretely to the implementation
improper disposal and minimizing release
of SDG 6. A number of leading chemical
of hazardous chemicals and materials,
companies have committed to the WASH
reducing the proportion of untreated
Pledge and recognize the business value of
wastewater and increasing recycling and
investing in a healthier and more productive
safe reuse. Water stewardship increases
workforce.
water use efficiency and ensures sustainable
withdrawal of freshwater. Focused research https://www.wbcsd.org/Clusters/Water/WASH-
and development improves urban water access-to-water-sanitation-and-hygiene/
treatment capabilities through desalination, WASH-at-the-workplace-Pledge
filters, energy efficient processes and
treatment chemicals.
Case study
Sustainable chemical hubs and eco-industrial
parks have been in place since the 1960’s
to enable sustainable economic growth for
the sector. The SDGs offer a new universal
framework for chemical parks to challenge
current sustainability strategies to meet local
The safe production and management of The chemical sector is strengthening its community and greater societal needs. Two
chemicals is crucial to economic growth and production assets to promote resiliency. examples of chemical industry hubs that are
enhancing quality of life for people globally. Frameworks that promote industrial contributing the SDGs are listed below:
Innovation provides business opportunities symbiosis for chemical sector companies • Grangemouth’s chemicals sciences cluster
and a sustainable foundation for global and their value chains help address has developed a vision to be a key European
growth. Furthermore, upholding labour environmental and resource concerns, hub for sustainable high value chemical
standards and respecting human rights reduce raw material and waste disposal costs, manufacturing, which anticipates creating
throughout the chemical sector’s operations earn new revenue from residues and by- an additional 3,591 jobs and £206 million
and the entire value chain represents a products, support circular business models, generated annually in the local area.
substantial opportunity to advance human and develop new business opportunities.
development globally. Chemical products play an important role in • The Korea Industrial Complex Corporation
enabling and building resilient infrastructure (KICOX) is leading the development of South
solutions and by engaging with other sectors, Korea’s Eco-Industrial Park Program to
chemical companies can further enable promote cleaner production and industrial
open-innovation and manufacturing symbiosis, which has resulted in 56 new
advancements to encourage development of patents, 6.48m tCO2e savings and collective
integrated and end-to-end models. financial benefits of US$1,680 million.
http://www.chemicalsciencesscotland.
com/content/uploads/2017/11/Future-
Grangemouth-Vision-2025.pdf
http://www.greengrowthknowledge.
org/case-studies/greening-industrial-
The global chemical industry is a USD $4 parks-%E2%80%94-case-study-south-
trillion business affecting virtually every korea%E2%80%99s-eco-industrial-park-
sector of the economy. Worldwide, more program
than 20 million people are employed
directly or indirectly by the sector. Chemical
manufacturers can advocate for equality in
developed countries that the sector operates
in, and provide investment into emerging
and developing countries to encourage
development that reduces inequality. Many
companies have adopted global policies that
support issues such as fair wages, safety and
ethical standards, and social protections.
Case study
The Low Carbon Technology Partnerships
initiative (LCTPi) is an action-oriented
program that brings together companies
and partners to accelerate the development
and deployment of low-carbon technology
solutions to stay below the 2°C ceiling.
Launched at COP21 in Paris, LCTPi
incorporates a chemicals workstream, which
is comprised of companies working together
Case study
on options and pathway scenarios to deliver a
In 2018 a number of WBCSD member low-carbon, sustainable chemical industry.
companies from the chemical sector
http://lctpi.wbcsd.org/
collaborated in the publication of a
Chemical Industry Methodology for
Portfolio Sustainability Assessments. This
comprehensive resource provides specific
Chemical products help improve the guidance for chemical companies to assess
quality and efficiency of production sustainability “signals” across their entire
processes across industries. Through product portfolio, and then steer their portfolio
chemistry, operations in a wide range of towards improved sustainability outcomes.
sectors and geographies have improved their This includes efforts to advance sustainability
water stewardship efforts and accelerated across various functions – including research
energy efficiency. From food packaging and and development, mergers and acquisitions,
additives to prevent food loss and waste, to innovation, marketing, communication and
innovations in waste management systems, design.
the chemical sector is helping to transform https://www.wbcsd.org/Programs/
production and reduce the life cycle impacts Energy-Circular-Economy/Factor-10/
of consumption. Through Responsible Sector-Deep-Dives/Resources/Chemical-
Care and the Global Product Strategy, the Industry-Methodology-for-Portfolio-
chemical industry is committed to advancing Sustainability-Assessments
sustainable management of materials in all its
phases, and achieving greater transparency in
environmental, health, and safety performance.
Case study
Operation Clean Sweep (OCS), coordinated by
the American Chemistry Council, the Plastics
Industry Initiative and Plastics Europe, supports
plastic resin handling operations to work
towards achieving zero pellet, flake, and powder
loss in order to keep plastics out of the marine
The chemical sector works with others in the environment. Many chemical companies have The chemical sector measures and manages
value chain to reduce marine pollution of taken the OCS pledge and the program has now its environmental impacts and dependencies.
all kinds, including nutrient pollution and the developed beyond its origins in the USA and This includes efforts to mitigate negative
prevention and reduction of ocean plastic established a significant global reach. impacts that some products can have on
waste. www.opcleansweep.org ecosystems and biodiversity by improving
product formulations and design as
well as managing such products further
The Gulf Petrochemicals and Chemicals downstream. The sector directly reduces its
Association (GPCA) established its Waste Free impacts on land and other natural resources
Environment campaign in 2013. It has evolved through improving operational management,
from being a clean-up activity to an advocacy and amplifies philanthropic efforts to halt
initiative and in 2017 it had 29 companies environmental degradation and protect
participating in initiatives to change people’s critical ecosystems.
attitude and mind-sets towards litter disposal.
www.wastefreeenvironment.com
11
8
Case study
ICCA and the United Nations Environment
Programme (UNEP) partnered on a large-scale,
24-month initiative to promote chemicals
safety management in East and West Africa.
The two organizations hosted workshops
focused on basic training in dangerous goods
The sector is focused on maintaining Partnerships are a key enabler to accelerate handling and capacity building for emergency
standards of ethical business conduct sustainable development and advance the preparedness and emergency response.
throughout the value chain. This can be SDGs. ICCA has also worked collaboratively with
achieved through partnerships that allow The chemical sector has opportunities to: other regional associations to deliver capacity
industry to reduce corruption wherever it building programs in Eastern Europe, Central
may exist in the supply chain. The sector can • Develop multi-stakeholder and cross border
Asia and Asia-Pacific.
also engage with local, regional, national and partnerships and agreements to achieve
sustainable development; https://www.icca-chem.org/wp-content/
international bodies on societal structures
uploads/2017/02/Global-Chemical-Industry-
and laws to promote responsible business • Collaborate with downstream partners, Contributions-to-the-UN-Sustainable-
practices (including anti-bribery and government organizations, NGO groups and Development-Goals.pdf
corruption). other involved stakeholders working towards
sustainable development;
• Contribute to improving environmental and
safety performance in emerging countries
through capacity building;
• Incorporate collaboration as a critical pillar
of sustainability efforts/programs, and
share technologies/science with partners to
enhance sustainable development globally;
and
• Encourage open innovation initiatives for the
sector.
As already described, the chemical sector Method and approach to Through mapping the sector’s current
has the capacity to help advance each prioritization level of impact (positive and negative)
of the 17 SDGs in a range of different against the opportunities where
ways and should remain alert to emerging This is the first collective initiative by the sector has the most potential to
opportunities to contribute across the full the chemical sector to extensively map contribute towards the SDGs, it was
spectrum of the goals. However, in order and prioritize the 17 SDGs and their 169 possible to establish priority areas of
to advance its interaction with this crucial targets in the context of the sector as a focus, as shown opposite.
agenda, it is also important for the sector whole. This prioritization was conducted
to prioritize the SDGs where it has the in order to narrow the wide playing field Goals where the sector can
most influence or the most ability to drive that the SDGs represent and identify the
most critical focus areas for the sector in
have the greatest impact
innovation, transformation and impact
through leveraging its role in the value view of maximizing its capacity for SDG 10 goals were identified by the working
chain. With this in mind a key component impact. This exercise was completed group as being priority areas of
of the road-mapping exercise was for collaboratively with involvement from engagement for the sector. These have
parties involved to establish a common participating chemical sector companies been identified with the understanding
view of which are the priority SDGs for and industry associations, WBCSD and that interdependencies exist across all
the sector. external experts. The following four the SDGs, and specific contributions
activities were undertaken: related to one goal can have potentially
positive or negative contributions to
• Exploration of how the chemical sector
other goals. This is something that the
value chain interacts with each SDG;
sector should remain conscious of
• Identification of the sector’s current and alert to moving forward. Although
level of positive and negative impact on SDG 17 (Partnerships for the goals)
the goals; was not identified as a priority goal, it is
recognized that the spirit of partnership
• Assessment of the sector’s untapped
and collaboration that it embodies
potential to impact each goal and
is a recurring theme throughout this
the potential for accompanying
Roadmap and indeed is central to
opportunities to create business
the exercise of undertaking a sector
value; and
roadmap itself.
• Mapping of SDGs in a materiality matrix
to understand sector priorities.
The first three activities were completed
at SDG target level, based on participants’
knowledge of the sector, and third-party
industry expertise, alongside published
literature. A number of workshops were
then held to assess and explore the
level of potential the sector has to drive
change for each of the mapped SDGs,
during which representatives considered
how current programs could be scaled
or replicated, or where innovation and
new partnerships could be leveraged
to address sustainability challenges.
Anticipated changes in technology,
new products, business models and
sector dynamics through the SDG time
horizon of 2030 were also factored
into discussions.
Prioritization of SDGs
13 7 12 13
12
Sector potential to contribute to SDGs
3 3
2 2
17 17
Medium
9 9
6 11
11 6
8 8
14
14 5
Low
5
10 1 10
1
15 15
4 16 4 16
Priority SDGs
End hunger, achieve Ensure healthy lives Ensure access to water Ensure access to Promote inclusive and
food security and and promote well-being and sanitation for all affordable, reliable, sustainable economic
improved nutrition and for all at all ages sustainable and growth, employment
promote sustainable modern energy for all and decent work for all
agriculture
Build resilient Make cities inclusive, Ensure sustainable Take urgent action to Conserve and
infrastructure, safe, resilient and consumption and combat climate change sustainably use the
promote sustainable sustainable production patterns and its impacts oceans, seas and
industrialization and marine resources
foster innovation
* SDG 17 (Partnerships for the Goals) has not been specifically identified as a priority goal, however the spirit of collaboration that it embodies cuts across the sector’s interaction with
the entire SDG agenda.
Part
2
Impact
opportunities
Identifying where the
chemical sector can make the
most transformative impact
to contribute to the SDGs
Having established a common
understanding of the key SDGs to
which the chemical sector is well placed
to make substantial contributions, a
structured process was used to identify
the most significant opportunities to
generate impact (referred to hereafter
as impact opportunities) across the
spectrum of these goals.
The impact opportunities identified
fall into five main systemic themes:
food, water, people and health, energy,
and infrastructure and cities, again
underlining the wide-ranging reach of
the sector’s influence. Cross-cutting
factors have also been identified
that relate to a number of impact
opportunities. These are human rights,
the low carbon economy, circularity,
and digitization.
Each of the impact opportunities can
be broadly categorized as relating to
either product, process, or partnership
innovation.
Circularity Digitization
If current trends continue, global demand Chemicals 4.0 – the sector-specific
for resources is expected to reach 130 reference to the fourth industrial
billion tons by 2050, up from 50 billion in revolution – describes how the chemical
2014, representing an an overuse of the sector is being transformed at all stages
Earth’s total capacity by more than 400%1. of the value chain to integrate and
The global economy is only 9% circular.2 optimize digital, physical and biological
Closing the gap will help to prevent advancements. This includes a broad
further and accelerated environmental range of concepts based on having a
degradation, as well as safeguarding deep understanding of how to meet
against future resource scarcity. Circular customer needs in a world that is digitally
business models can help decouple connected across the value chain, from
growth from resource use, allowing raw materials to operations, customers
economic development to continue and communities.
within planetary boundaries.
With the emergence of Chemicals 4.0
The chemical sector will play a central come threats to and opportunities for
role in enabling the circular economy by achieving the SDGs. If significant jobs are
developing new products, encouraging lost through technological innovations, it
eco-efficient use of materials and could hamper efforts to reduce poverty,
resources and through collaboration hunger and inequality as well as finance
with others in researching effective improvements to the environment,
raw materials recovery from waste healthcare and infrastructure. At the
streams to facilitate the cycling of same time, innovations may create new
molecules. Carbon is often the focus of types of jobs while providing technical
circular conversations, but nitrogen and solutions to some of the most critical
phosphorous also require fundamental social, environmental and economic
changes to overcome the status quo in issues facing the planet. The challenge
order to be more sustainable. Achieving for the chemicals sector is to identify,
circularity is challenging and reliant understand and leverage technological
on sufficient clean and renewable transformation in a manner that mitigates
power being available as well as on a negative consequences and optimizes
supporting policy environment which society’s ability to achieve the SDGs.
helps to reduce the costs of reusing
and recovering waste.
1
https://www.accenture.com/t20150523T053139__w__/us-en/_acnmedia/Accenture/Conversion-Assets/DotCom/
Documents/Global/PDF/Strategy_6/Accenture-Circular-Advantage-Innovative-Business-Models-Technologies-
Value-Growth.pdf
2
https://www.circle-economy.com/the-circularity-gap-report-our-world-is-only-9-circular/#.WuZCT8gvw2w
Food
Some 795 million people in the world – The SDGs aim to end hunger and Key SDGs impacted
about one in nine – do not have enough malnutrition by 2030, making sure all
food to lead a healthy active life. The people have access to sufficient and
vast majority of the world’s hungry live in nutritious food. The chemical sector
developing countries, where some 13% of has the technological expertise to
the population is undernourished.1 Food help transform sustainable agricultural
insecurity, famine, and nutrient deficiency practices, develop innovative solutions
co-exist with obesity, rising food-related to improve agricultural productivity
lifestyle diseases (including diabetes) and yields, preserve natural resources,
and food waste. Food production minimize food loss and waste, and
suffers from – and also contributes to – improve the livelihoods of small-scale
climate change, water stress, and many farmers across the globe.
interrelated socio-economic issues.
Impact opportunity 1:
Contribute to sustainable and healthy food supply
Chemistry is fundamental to the global food value chain, enabling higher yields, longer
shelf lives, and improved nutrition. The chemical sector will innovate, invest, and share
knowledge to help increase the productivity of farmers in its supply chain and wider
communities. Companies can also lead by improving access to healthy foods where
they are needed most and by developing fortified crops and processed foods that are
compatible with development goals for human and environmental health.
Prioritized SDGs: 2, 12
Targets:
2.1 By 2030, end hunger and ensure access by all people, in particular the poor and
people in vulnerable situations, including infants, to safe, nutritious and sufficient food
all year round
2.4 By 2030, ensure sustainable food production systems and implement resilient
agricultural practices that increase productivity and production, that help maintain
ecosystems, that strengthen capacity for adaptation to climate change, extreme
weather, drought, flooding and other disasters and that progressively improve land
and soil quality
12.2 By 2030, achieve the sustainable management and efficient use of natural resources
12.3 By 2030, halve per capita global food waste at the retail and consumer levels and
reduce food losses along production and supply chains, including post-harvest losses
1
http://www.foodaidfoundation.org/world-hunger-statistics.html (retrieved 18 January 2018).
Impact opportunity 2:
Transform food packaging to prevent food loss and waste
To combat the significant global food waste problem, the chemical sector is leading
the development of technologies and products to transform food packaging to reduce
food waste and enable better food availability to communities around the world.
Opportunities to scale solutions and further innovate offer tremendous potential to
substantially reduce food waste, as well as reduce plastic packaging waste; a significant
cause of marine pollution. Innovative partnerships to transform consumer behavior and
advance waste management infrastructure will be key.
Impact opportunity 3:
Transform food additives to combat malnutrition
The chemical sector has a long track record of being an innovative solution provider
for societal challenges related to health and nutrition, where safety is of paramount
importance. Food additives rely on chemistry to maintain or enhance nutrient
composition, as well as to improve food shelf life and taste/texture. The opportunity to
understand different nutrition gaps at a regional level and how chemistry can help fill
those through innovative food solutions has the potential to make a significant impact
towards ending malnutrition.
Prioritized SDGs: 2
Targets:
2.2
By 2030, end all forms of malnutrition, including achieving, by 2025, the internationally
agreed targets on stunting and wasting in children under 5 years of age, and
address the nutritional needs of adolescent girls, pregnant and lactating women and
older persons
Water
The SDGs call for universal access to The SDGs also aim to protect and Key SDGs impacted
safe and affordable drinking water for all sustainably manage marine and coastal
by 2030. According to the World Health ecosystems. Protecting the world’s
Organization, 2.1 billion people lacked ocean system is essential, with more
access to safely managed drinking-water than three billion people depending
services in 2015. on oceans for their primary source of
protein, and over 200 million people
The chemical sector offers innovative
employed directly or indirectly by marine
solutions that can help achieve universal
fisheries. By working to tackle the
access to water, by improving water
critical issue of marine pollution through
treatment technology, preventing loss in
product innovation, the chemical sector
distribution systems, and sharing best
can play an important role in protecting
practices for water stewardship and
our oceans.
wastewater management.
Impact opportunity 4:
Increase resilience for water pipes and systems
The chemical sector offers innovative piping solutions to improve resilience and reduce
water loss through transport, which is one of most common ways water is lost from a
system. This is an opportunity for the sector to utilize its own products to prevent water
loss in operations and supply chains as well as scale efforts to transform water and
wastewater distribution networks.
Prioritized SDGs: 6, 9
Targets:
6.1
By 2030, achieve universal and equitable access to safe and affordable drinking water
for all
6.2
By 2030, achieve access to adequate and equitable sanitation and hygiene for all and
end open defecation, paying special attention to the needs of women and girls and
those in vulnerable situations
9.1
Develop quality, reliable, sustainable and resilient infrastructure, including regional and
transborder infrastructure, to support economic development and human well-being,
with a focus on affordable and equitable access for all
9.4
By 2030, upgrade infrastructure and retrofit industries to make them sustainable, with
increased resource-use efficiency and greater adoption of clean and environmentally
sound technologies and industrial processes, with all countries taking action in
accordance with their respective capabilities
Impact opportunity 5:
Improve urban water treatment capabilities through
focused research and innovation to accelerate breakthrough
technology development
Water use and demand is growing rapidly. Common treatment technologies for reusing
and recycling water include biological processes, membrane filtration and separation,
and chemical oxidation processes – mostly continuous electrodeionization (CEDI), ultra-
violet (UV) and ozone-based systems. The chemical sector plays an important role in
scaling current technologies and working in partnerships to make the technology more
accessible and affordable to the markets that need them most.
Water continued
Impact opportunity 6:
Accelerate water stewardship
The chemical sector is a large water user and has the opportunity to have impact
by sharing best practices and consistently applying catchment area management
concepts to water stewardship. Water scarcity and competition for water resources is a
business risk for the chemical sector. Increased water demand from people, agriculture,
energy and industry endangers water supply security and has the potential to disrupt
business operations.
Impact opportunity 7:
Work with others in the value chain on aquatic waste issues
(including ocean plastic)
The chemical sector’s role in addressing the issue of ocean pollution is imperative.
Managing and reducing ocean waste will require a multitude of actions and involvement
of the entire value chain. The sector can provide leadership in product design and
work with governments and stakeholders for on-land solutions that incentivize proper
collection and enable a circular economy.
Prioritized SDGs: 6, 14
Targets:
6.3 By 2030, improve water quality by reducing pollution, eliminating dumping and
minimizing release of hazardous chemicals and materials, halving the proportion of
untreated wastewater and substantially increasing recycling and safe reuse globally
6.a By 2030, expand international cooperation and capacity-building support to
developing countries in water- and sanitation-related activities and programmes,
including water harvesting, desalination, water efficiency, wastewater treatment,
recycling and reuse technologies
14.1 By 2025, prevent and significantly reduce marine pollution of all kinds, in particular
from land-based activities, including marine debris and nutrient pollution
14.2 By 2020, sustainably manage and protect marine and coastal ecosystems to avoid
significant adverse impacts, including by strengthening their resilience, and take
action for their restoration in order to achieve healthy and productive oceans
Nearly all the SDGs directly or indirectly Chemistry makes significant Key SDGs impacted
contribute to human health. The World contributions to advancing human
Health Organization estimates that the health benefits as a key enabler in
benefits of investing in health systems to the development of medicines, clean
achieve the SDG health-related targets water, and more efficient agriculture.
by 2030 include up to 8.4 additional years The sector is well positioned to make
of life expectancy and the prevention of health contributions through product
97 million premature deaths.1 innovation in these and other areas, as
well as through continued efforts to
reduce potential negative health impacts
of the sector’s own operations through
improvement and capacity building
at an international scale.
Impact opportunity 8:
Transform portfolios to have more products with positive
impacts on health and people
There are three explicit references to chemicals in the SDGs: target 3.9 related to
reducing the number of deaths and illnesses from hazardous chemicals; 6.3 related
to improving water quality and eliminating dumping of hazardous chemicals; and
12.4 achieving environmentally sound management of chemicals throughout their
lifecycle. Successfully managing the risks derived from the misuse of chemicals is the
fundamental health, safety and environmental mission of the industry. However, the
chemical sector can also leverage its expertise, resources and knowledge in product
innovation to better understand, monitor, mitigate, and remediate negative impacts on
health and transform business models to focus on growth of product portfolios that
provide benefits to people and health.
Prioritized SDGs: 3, 12
Targets:
3.9
By 2030, substantially reduce the number of deaths and illnesses from hazardous
chemicals and air, water and soil pollution and contamination
12.4
By 2020, achieve the environmentally sound management of chemicals and all wastes
throughout their life cycle, in accordance with agreed international frameworks, and
significantly reduce their release to air, water and soil in order to minimize their adverse
impacts on human health and the environment
12.a upport developing countries to strengthen their scientific and technological capacity
S
to move towards more sustainable patterns of consumption and production
1
http://www.who.int/sdg/en/
Impact opportunity 9:
Reduce impact of operations to people
The sector’s own operations and supply chain can have direct negative impacts on
people; from labor issues through to pollution in local communities, to health and safety
standards on the work floor. Sector leaders and industry associations have an important
role to play in promoting the adoption of practices that protect the safety and human
rights of workers throughout the value chain as well as local communities and society as
a whole. Ensuring corporate respect for human rights, founded on robust due diligence
processes, is critical for achieving the vision of the inclusive future that sits at the heart
of the SDG agenda.
Prioritized SDGs: 3, 8
Targets:
3.9
By 2030, substantially reduce the number of deaths and illnesses from hazardous
chemicals and air, water and soil pollution and contamination
8.7
Take immediate and effective measures to eradicate forced labor, end modern slavery
and human trafficking and secure the prohibition and elimination of the worst forms of
child labor, including recruitment and use of child soldiers, and by 2025 end child labor
in all its forms
8.8
Protect labor rights and promote safe and secure working environments for all
workers, including migrant workers, in particular women migrants, and those in
precarious employment
Prioritized SDGs: 3, 8, 12
Targets:
3.9 By 2030, substantially reduce the number of deaths and illnesses from hazardous
chemicals and air, water and soil pollution and contamination
8.4 Improve progressively, through 2030, global resource efficiency in consumption
and production and endeavor to decouple economic growth from environmental
degradation, in accordance with the 10‑Year Framework of Programmes on
Sustainable Consumption and Production, with developed countries taking the lead
12.4 By 2020, achieve the environmentally sound management of chemicals and all wastes
throughout their life cycles, in accordance with agreed international frameworks,
and significantly reduce their releases to air, water and soil in order to minimize their
adverse impacts on human health and the environment
12.a Support developing countries to strengthen their scientific and technological capacity
to move towards more sustainable patterns of consumption and production
Energy
SDG 7 calls for access to affordable, sources and technologies depend on Key SDGs impacted
reliable, sustainable and modern innovations in chemistry to become more
energy for all by 2030. Yet today one efficient, affordable and scalable.
in five people lack access to modern
To fulfill this energy-saving role and to
electricity, posing a significant barrier
reduce the sector’s own energy use,
to development and hindering progress
the focus of the sector should include:
across a wide range of SDG goals
identifying new catalysts and process-
and targets.
related opportunities; accelerating
The chemical sector has an important R&D and capital investments that
role to play in the transition towards a low improve energy efficiency; facilitating
carbon society as a provider of products the advancement of game-changing
and technologies used in energy saving innovations with partners by lowering
and renewable energy applications.1 barriers and operating costs; and
These include applications for fuel cells, promoting global and regional
solar cells, batteries, nanostructured cooperation on reducing energy use
materials, and carbon capture, among and emissions.2
others. Nearly all renewable energy
https://www.iea.org/publications/freepublications/publication/
1,2
TechnologyRoadmapEnergyandGHGReductionsintheChemicalIndustry
viaCatalyticProcesses.pdf (retrieved 23 January 2018).
Prioritized SDGs: 7, 13
Targets:
7.2 By 2030, increase substantially the share of renewable energy in the global energy mix
7.3 By 2030, double the global rate of improvement in energy efficiency
13.1 Strengthen resilience and adaptive capacity to climate-related hazards and natural
disasters in all countries
1,2
https://www.iea.org/publications/freepublications/publication/
TechnologyRoadmapEnergyandGHGReductionsintheChemicalIndustryviaCatalyticProcesses.pdf (retrieved 24 January 2018).
Energy continued
Prioritized SDGs: 7, 13
Targets:
7.3
By 2030, double the global rate of improvement in energy efficiency
7.a
By 2030, enhance international cooperation to facilitate access to clean energy
research and technology, including renewable energy, energy efficiency and advanced
and cleaner fossil-fuel technology, and promote investment in energy infrastructure
and clean energy technology
13.1
Strengthen resilience and adaptive capacity to climate-related hazards and natural
disasters in all countries
Prioritized SDGs: 7, 13
Targets:
7.2
By 2030, increase substantially the share of renewable energy in the global energy mix
13.1
Strengthen resilience and adaptive capacity to climate-related hazards and natural
disasters in all countries
Quality infrastructure goes hand-in- The chemical sector has a strong history Key SDGs impacted
hand with achieving the SDGs. Without of working together and with others.
adequate infrastructure, people lack This spirit of collaboration provides
access to markets, jobs, information, opportunities for more innovative and
health care, training, and education.1 resilient infrastructure development.
The chemical sector contributes to Chemical companies can collaborate
infrastructure improvements in several with governments and others to
ways: through innovations integral to the develop public private partnerships for
life cycle of products used in buildings, infrastructure investment, implement
power, water, sewer, communications, local procurement and employment
and transportation; and in collaborating initiatives, support education and
with others to help improve living community-based programs, and
standards. incorporate sustainability features across
the life cycle of capital projects.
Prioritized SDGs: 3, 11
Targets:
3.9
By 2030, substantially reduce the number of deaths and illnesses from hazardous
chemicals and air, water and soil pollution and contamination
11.6
By 2030, reduce the adverse per capita environmental impact of cities, including by
paying special attention to air quality and municipal and other waste management
11.c
Support least developed countries, including through financial and technical
assistance, in building sustainable and resilient buildings utilizing local materials
1
http://www.undp.org/content/undp/en/home/sustainable-development-goals/goal-9-industry-innovation-and-infrastructure/targets/
TechnologyRoadmapEnergyandGHGReductionsintheChemicalIndustryviaCatalyticProcesses.pdf
2
http://report.businesscommission.org/uploads/BetterBiz-BetterWorld_170215_012417.pdf
Part
3
Pathways
to 2030
Inspiring the sector to action
and engaging with partners
to deliver impact
The impact opportunities identified in
Part two will only be realized at the scale
necessary to make a significant contribution
to the SDGs through timely, continued
and combined efforts by leading players
within the chemical sector. With a view to
advancing these impact opportunities and
fulfilling the potential that they represent,
this Roadmap also identifies a series of
short-, medium- and long-term actions,
making up so-called “impact pathways”
to deliver each opportunity and to inspire
the chemical sector and other sectors it
works with to enable or deliver tangible
SDG progress.
These impact pathways were developed
through a series of deep-dive working
sessions for each of the five themes
with subject matter experts from
participating chemical sector companies
and associations. They take into account
known barriers to implementation and/or
deployment, potential solutions and ways
to accelerate SDG impact. Draft plans for
action went through rigorous screening to
ensure they had the potential to have a step-
change impact – beyond business as usual -
to one or more prioritized SDGs and that the
action could either be led by the chemical
sector or that it would not happen at the
same pace or scale without the chemical
sector as a key stakeholder.
The final pathways for each thematic
area are highlighted in a series of tables
across the following pages. Each action is
linked to the SDGs and targets with which
it most closely corresponds. Each table
also contains a qualitative analysis of the
potential level of impact that the action
stands to have on the SDG agenda and the
level of collective effort it will require from
the sector in order to be realized.
Impact Category Key action points Key partners Low, Short-, Associated Associated
opportunity medium, medium-, SDGs SDG targets
high level long-term and level of
of input timeframe potential
from impact
sector
1. C
ontribute to Product i - Scale existing programs Farmers, suppliers, M 2.1
sustainable innovation aimed at driving step changes downstream 2
and healthy in the sustainable production customers, food H 2.4
food supply of food and drink products, the brands, NGOs, M M
reduction of waste, and helping WBCSD FReSH H 12.2
people to eat healthily and program
sustainably
12
H 12.3
14 M 14.1
14 M 14.1
Impact Category Key action points Key partners Low, Short-, Associated Associated
opportunity medium, medium-, SDGs SDG targets
high level long-term and level of
of input timeframe potential
from impact
sector
13 M 13.1
H M
11 H 11.3
12 M 12.6
H 14.1
14
H 14.2
Impact Category Key action points Key partners Low, Short-, Associated Associated
opportunity medium, medium-, SDGs SDG targets
high level long-term and level of
of input timeframe potential
from impact
sector
9. R
educe impact Process i - Operationalize the United Sector peers and
of operations innovation Nations Guiding Principles on value chain, human
to people Business and Human Rights rights community, 3 H 3.9
(UNGPs) throughout the governments,
chemical sector and its value WBCSD
chain. Establish a forum for M L
engagement and collaboration
M 8.7
around advancing human
rights due diligence in the 8
context of the sector
M 8.8
Impact Category Key action points Key partners Low, Short-, Associated Associated
opportunity medium, medium-, SDGs SDG targets
high level long-term and level of
of input timeframe potential
from impact
sector
geothermal power
Impact Category Key action points Key partners Low, Short-, Associated Associated
opportunity medium, medium-, SDGs SDG targets
high level long-term and level of
of input timeframe potential
from impact
sector
16. S
cale and Partnership i - Scale involvement in and Various industry,
evolve innovation development of public-private local government,
involvement partnerships to pioneer viable NGOs, finance 3 M 3.9
in multi- chemical sector products organizations, local
stakeholder and business models that are communities
collaboration inclusive and serve the needs M 11.6
to make of the urban poor H M
cities more
sustainable
and inclusive, 11
improving M 11.c
lives of the
urban poor
M 12.2
12
L 12.4
13 M 13.1
13 M 13.1
This Roadmap underlines The articulation of the key impact This Roadmap is intended to serve
the unique and important opportunities and actions highlighted in as an invitation to industry peers as
this report is just the first step on the road well as other public and private sector
role of the chemical sector to continued SDG engagement. Leading stakeholders to collaborate around
in the context of sustainable chemical sector representatives from efforts for SDG action moving forward.
development. It confirms within WBCSD’s membership will now Contributors to the Roadmap strongly
that the SDGs are a priority look to evolve this work from ambition to encourage interested parties to contact
for the chemical sector and implementation. This will include ongoing the group at [email protected]
efforts to: with ideas on how to align projects or
plots a series of tangible
strengthen partnerships to accelerate
pathways towards maximizing • Develop targeted working groups to
SDG impact.
the sector’s potential to advance the different action points
identified in the Roadmap, convening Updates on progress regarding the
contribute to them.
the most relevant expertise to deliver implementation of the Roadmap will
progress; be made available on a continuing basis
via a dedicated microsite:
• Leverage this Roadmap to reach out to
www.sdgroadmaps.wbcsd.org/chemicals
potential collaborators both from within
the chemical sector and beyond; and
• Establish appropriate mechanisms
and frameworks to regularly report on
progress against the Roadmap and to
keep stakeholders updated.
Acknowledgments
We would like to thank the following Coordination: About the World Business Council for
people for their valuable contribution to Sustainable Development (WBCSD):
WBCSD: James Gomme and Uta
the development of this Roadmap. WBCSD is a global, CEO-led organization
Jungermann
of over 200 leading businesses working
Contributors: ERM: Bryan Hartlin, Linden Edgell, together to accelerate the transition to
Jo Lloyd and Claire Stevens a sustainable world. We help make our
AkzoNobel: Mark Didden
For more information contact: member companies more successful and
The American Chemistry Council (ACC):
James Gomme, Director, sustainable by focusing on the maximum
Bryan Kuppe, Sean Stephan
Sustainable Development Goals at positive impact for shareholders, the
The European Chemical Industry Council [email protected]. environment and societies.
(Cefic): Ann Dierckx
Our member companies come from
Disclaimer:
Covestro: Lydia Simon all business sectors and all major
This publication is released in the economies, representing combined
The Dow Chemical Company:
name of the WBCSD. Like other revenue of more than $8.5 trillion and 19
Mark Weick, Jihane Ball
WBCSD publications, it is the result of million employees. Our Global Network
DSM: Jeff Turner, Simon Gobert a collaborative effort by members of of almost 70 national business councils
the secretariat and senior executives gives our members unparalleled reach
Evonik Industries AG: Stefan Haver, across the globe. WBCSD is uniquely
from member companies. A wide range
Volker Kerscher positioned to work with member
of members reviewed drafts, thereby
Mitsubishi Chemical Holdings: Kiyoshi ensuring that the document broadly companies along and across value chains
Matsuda, Takashi Morishima represents the perspective of the to deliver impactful business solutions
WBCSD membership. It does not mean, to the most challenging sustainability
SABIC: Daniel Gambus, Gretchen Govoni issues.
however, that every member company
Solvay S.A.: Dominique Debecker agrees with every word.
Together, we are the leading voice of
Sumitomo Chemical Company, Limited: business for sustainability: united by our
Yoshihisa Takasaki vision of a world where more than nine
billion people are all living well and within
the boundaries of our planet, by 2050.
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