Company: SUZ
Filing Date: 2025-04-28
Form Type: 20-F
Source: 0001628280-25-020368
Chunk: 106

Company: Suzano S.A.
Filing Date: 2025-04-28
Form: 20-F
Item: Item 4
Chunk 106
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2030.

The current emissions intensity target of a 15% reduction is in accordance with international standards, according to three methodologies: Transition Pathway Initiative (TPI), Baringa and Truecost. Since joining the Science Based Targets Initiative (SBTi), we have been working on establishing direct and indirect (scopes 1,2 and 3) emissions reduction target aligned with the 1.5 ° C scenario.

We also take part in the Climate Action 100+ initiative, led by investors. We report to CDP and seek to ensure that our public climate-related information is in line with global climate reporting best practices, such as IFRS S2, TCFD, GRI and SASB.

Our Board of Directors, supported by the Sustainability Committee, directly oversees the opportunities and risks associated with climate change. Reflecting the growing importance of this issue within our Company, a portion of the variable compensation of the our directors and below positions is linked to sustainability and climate goals. The topics chosen for the goals relate to both emissions reduction initiatives and decarbonization projects, as well as the project to remove carbon from the atmosphere.

Climate change and its potential effects are considered one of our priority risks to our operations. To this end, we have a structured system in place for assessment, treatment (i. e., response to risk), monitoring and reporting. Our assessment of the potential physical impacts of climate change, as well as those arising from the transition to a low-carbon economy, is conducted on an ongoing basis and will continue to evolve. The data is used to calibrate harvest and planting planning models and to review the assessment of co-related climate risks to define new specific action plans, when necessary.

In 2024, we began using a new model for financial quantification of climate risks. We seek to calculate the future financial impact of the potential materialization of the main risks to which our assets and operations are exposed. As a first step, we carried out a pilot project that covered our entire operation in the northern region of Brazil and several of our corporate areas, providing important intel. These results will be used to scale and expand this new methodology to our other assets, initially providing the Company internally with relevant information to increase resilience and adaptive capacity in the face of different climate scenarios and provide feedback on business strategies. This project aims to prepare us to comply with future regulation.

We also prioritize the use of renewable energy, as approximately 88.2% of the energy we use comes from renewable fuels (such as black liquor and biomass