Our sustainability work focuses on managing our nature footprint, sustainability risks and impacts on people’s well-being. To achieve this, we are progressing towards fossil-free energy production and distribution without compromising security of supply or service.
Our sustainability approach is based on environmental and social responsibility, and good governance, guiding how we manage our impacts, risks and business practices.
The energy system is one of society’s most critical infrastructures. At the same time, energy production is shifting towards fossil-free solutions, while demand is increasing due to the electrification of society. Growing electricity consumption calls for a flexible energy system, which we support through stable and reliable district heating, advanced and robust power grids, and new energy solutions.
We respond to growing energy demand by developing our energy system in close cooperation with our partners. Our concrete actions focus on strengthening reliability, advancing electrification and improving energy efficiency:
Our sustainability programme is based on the Group’s strategy and values. Drawing on our operations and double materiality assessment, we have selected key ESG themes and UN Sustainable Development Goals to guide our work.
Since 2023, we have published our current Annual Report format, which includes a Sustainability Review. In previous years, we published separate Annual Reviews and Sustainability Reviews.
DNV has granted Lahti Energy ISO 14001 environmental management system certification and ISO 45001 occupational health and safety management system certification for a three-year period. The current certificates are valid from 19 December 2023 to 18 December 2026, subject to annual external audits.
Through internal audits, we ensure that our operations are carried out and maintained appropriately. We also verify that our management system is implemented, maintained and effective in supporting our operating policy and objectives. Internal audits aim to develop our operations and share good practices across different business functions.
During audits, our documents, instructions and operations are reviewed both in meetings and in day-to-day work. Certification requires that our operations meet the requirements of the relevant standards and that no major nonconformities are identified.
We identify, minimize and avoid the impacts of our direct and indirect operations on biodiversity, as well as our dependencies on nature. Our guiding principles are to avoid, minimize and restore.
Actions from previous years continue unless stated otherwise.
We have reported on these actions and their implementation in our Annual Report, which includes the Sustainability Review 2024.
We have reported on these actions and their implementation in our Annual Report 2025, which includes the Sustainability Review 2025.
These actions will be reported in our Annual Report 2026, to be published in early 2027.
These actions will be reported in our Annual Report 2027, to be published in early 2028.
Mapping SBTN (Science Based Targets for Nature) and setting biodiversity-related targets
Determining the nature footprint of procurement
These actions are reported in our 2028 and 2029 Annual report, published in early 2029 and 2030.
Our transition plan outlines the actions and milestones for reducing greenhouse gas emissions across our operations and value chain. In 2025, our Scope 1–3 emissions decreased by 18% compared with 2024, reaching 196,109 tCO₂e. The plan supports our long-term targets to phase out fossil emissions from energy production and move towards fossil-free operations and value chains.
Measures implemented between 2019 and 2025 include ending the use of coal in energy production in 2019, increasing the use of waste heat and heat pumps, introducing electric boilers for district heating production, improving energy efficiency, optimizing networks and district heating operations, and developing energy storage solutions.
Potential measures for 2026–2030 include further investments in renewable energy, expanded use of waste heat, seasonal energy storage and exploring opportunities related to the hydrogen economy.
Potential measures for 2031–2040 include industrial-scale carbon capture and utilization and further reductions in supply chain emissions.
A small modular reactor (SMR) is being considered as a potential option for the period 2041–2050.
Sustainability is an integral part of Lahti Energia’s business and management. It is embedded in our strategy, targets and key metrics. Its implementation involves the entire organization and is monitored and reported regularly. To ensure compliance and the proper functioning of our operations, we carry out planned internal and external audits across our operations. External audits are conducted by an independent certification body, DNV, while internal audits focus on environmental and safety performance.
Stakeholders play a key role in developing our operations. Their expectations and impacts are identified as part of planning and risk management, and engagement takes place through surveys and customer experience measurement.
Our operations are guided by legislation and good governance, including transparency and sustainability requirements that also apply to our suppliers, whose performance is monitored throughout the contract period. We continue to develop supply chain management by increasing transparency and collaboration.
