Protecting forests

We are committed to combating deforestation in our supply chains and avoiding land conversion within the areas of high biodiversity value, while requiring the same from all our suppliers globally.

High sustainability standards are set for our own operations and the value chain. We accept only sustainably sourced renewable raw materials from traceable sources and work closely with our carefully selected suppliers to ensure sustainable supply chains.  Neste requires all its suppliers and other business partners to comply with applicable laws and expect them to follow equivalent ethical business standards as stated in the Neste Supplier Code of Conduct and Neste Responsible Sourcing Principle. We include social, environmental and ethical criteria for suppliers as we drive diversification and increased availability of more sustainable raw materials.

Collaboration is key to mitigating deforestation risk

Collaboration and partnerships with various organizations play a vital role in Neste's efforts to mitigate deforestation risks and promote sustainability. 

In collaboration with Fauna & Flora we are developing our biodiversity approach and roadmap. Participation in the Science Based Targets Network’s (SBTN) Corporate Engagement Programme and in the initial target validation group for science-based targets (SBTs) for nature have supported the development of our own focus areas for mitigating impacts on nature and biodiversity. Joining the Consumer Goods Forum (CGF) Forest Positive Coalition further supports deforestation prevention.

Our efforts to manage deforestation risks have been recognized in international assessments, like the CDP and the Global Canopy’s Forest 500. 

Transparency in the palm oil industry is prioritized

Waste and residues from palm oil production processes are sourced from suppliers committed to sustainable working practices and strict sustainability criteria, including preventing deforestation. Workshops are regularly organized to educate suppliers on sustainable practices, expectations, and legal criteria on sustainability, including due diligence, traceability, and human and labor rights.

Expert organizations like CORE (The Consortium of Resource Experts) are engaged to continuously manage deforestation risks, not only within Neste's supply chain but also more broadly in the palm oil industry. Environmental risks in the palm oil supply chain have been assessed, and an action plan for prevention and mitigation has been implemented. Cooperation with smallholders in the palm industry aims to further develop their sustainability awareness and expertise, as well as to improve traceability.

We also collaborate with various entities, including Daemeter, Proforest, and the Siak government, to make a large-scale transformative sustainability impact in the Siak region in Indonesia. A landscape initiative program in Para, Northern Brazil, focuses on driving structural change by engaging with local cattle farmers and promoting forest conservation. Collaboration is seen as the most efficient way to maximize positive impact. 

Neste does not own oil palm plantations or operate palm oil refineries. Waste and residues from palm oil production are sourced from suppliers committed to sustainable practices and strict criteria, including preventing deforestation. Partnerships with expert organizations and non-profits further improve deforestation monitoring. We do not use crude or refined palm oil in the production of our renewable products.

Traceability for the entire PFAD supply chain to palm oil plantations is a key target, and significant progress has been made in mapping previously unmapped supply chains.

Read more about: Supplier engagement Traceability and PFAD dashboard