Environmental issues are an integrated part of BE Group’s operations and the foundation of the environmental work is a Group-wide policy. All operations are certified in accordance with the international environmental standard ISO 14001. BE Group is engaged in operations at one site in Sweden and one in Finland where environmental permits are required.

The units work locally with the environmental issues linked to the operations and focus is on continuously improving their facilities’ energy consumption, emissions and waste management. These areas are monitored through the following key figures: energy intensity per tonne sold, emission intensity per tonne sold and waste recycling rate.

Climate impact

BE Group makes calculations of carbon dioxide emissions for Scope 1 & 2 according to the recommendations in the Greenhouse Gas Protocol. In 2024, BE Group’s combined climate impact expressed in CO₂-equivalents was 2,550 tonnes (2,900). Per ton sold, BE Group’s impact is 10.9 kg (11.2) CO₂-equivalents per ton sold, excluding transports. If transports are included, the combined effect would be 14.6 kg (21.6) CO₂-equivalents per ton sold. The decrease in the transport phase from the previous year reflects BE Group’s efforts to increase the filling rate in our transports, thereby reducing the number of journeys and BE Group’s active choice of transport providers with ongoing environmental improvements. Over the year, energy intensity amounted to 74.5 kWh (89.0) per ton sold.

Investments and improvements

Several improvements that were mentioned in the 2023 Annual Report were completed during the year. This includes the completion of the installation of the heat recovery system in one of the production lines in the Swedish operations and improved insulation of buildings at a production facility in Norrköping. In addition, the upgrade of the forklift fleet continued in both Sweden and Finland with new electric forklifts. Both countries have also installed more LED lighting at the various facilities and charging stations for electric cars.

During the year, a number of energy efficiency measures were implemented for parts of the machine park in Finland, including high-bay storage units and the sheet metal cutting line. Both the units in Sweden and Finland purchase 100-percent fossil-free electricity. During the year, the Swedish company updated its car policy and as the company car fleet is replaced, it will consist solely of electric cars or plug-in hybrids.

Circular material flows

Steel production is a heavy and energy-intensive industry, but at the same time, structures and other products made of steel have a long lifespan and high recycling potential and recycling rate compared to other types of materials. Residual materials from BE Group’s operations consist primarily of metal (approximately 97 percent), of which 100 percent is recycled. Otherwise, wood and cardboard are the largest waste categories. BE Group participates in public initiatives to recirculate packaging materials such as pallets where they are in usable condition. The recycling rate for waste not including metals is approximately 90 percent (73).

Supply chain

BE Group is an independent steel distributor offering products from several steel producers around the world. The company monitors developments regarding the requirements imposed in the area and sustainability and transparency are important parameters both in the classification and evaluation of suppliers. BE Group actively seeks out suppliers with explicit sustainability efforts that can offer products with lower CO₂ emissions. The ambition is to increase the share of purchases from ISO 14001 certified suppliers and, in 2024, 87 percent (83) of purchases were made from certified suppliers.

During the year, considerable amounts of products with a lower carbon footprint were added to the inventory and the product areas beams, bars and rebar stand out with some of the market’s best values in environmental product declarations.

Sustainable steel

BE Group strives to be able to offer a complete range of sustainable steel going forward. As an independent steel distributor, BE Group has a responsibility to contribute to the green transition in the sector and the company sees increased interest from customers in materials with a lower carbon footprint. During the year, a new collaboration agreement was signed with the German producer Peiner Träger, where BE Group will stock and distribute their product serie SALCOS with lower carbon footprint.

BE Group has entered several partnerships in this area:

• Co-operation agreement with leading steel producer AFV Beltrame regarding their product line of steel bars and profiles, the carbon-neutral Chalibria
• Our joint venture ArcelorMittal BE Group SSC AB maintains warehousing of and BE Group distributes ArcelorMittal’s low carbon XCarb hot-rolled steel
• An agreement is signed with SSAB regarding distribution of fossil-free steel in the Finnish market
• Co-operation with the Austrian aluminum producer AMAG Austria Metall AG where BE Group can offer their aluminum tread plate with significally lower carbon footprint.
• Agreement with Stegra (former H2 Green Steel).

Discussions are continuously held with additional European steel producers on future partnerships concerning products with a lower carbon footprint.

Digitalization of sustainability data

BE Group can clearly see that demand from customers and other key stakeholders for qualitative sustainability data is increasing. Customers want more detailed information about the environmental consequences of the products they purchase, and for an increasing number of customers, sustainability is becoming a factor of greater importance when evaluating suppliers.

During the year, BE Group focused on increasing internal capacity in its work on environmental product declarations and other digital tools and databases to meet customers’ needs. A detailed inventory of sustainability data available in the market was conducted and the results provide the basis for more structured work in the area. In addition, the Swedish company incorporated dedicated resources to work on these issues.

Pending a general definition for what is termed green steel, BE Group has initiated a Group-wide process to develop its own definition. The purpose of the process is to make it easier for our customers to understand how the items they want to buy do in terms of environmental performance compared to the alternatives on the market. The Group-wide definition will be communicated in 2025.