23 Sep 2024

LIPOR: Commitment to Climate Neutrality

For LIPOR, the partnership with the Portuguese Engineers Association is not only an honor but also an opportunity to reflect on the future. LIPOR's Board of Directors is always pleased to be associated with initiatives addressing key issues of our time. The conference titled "The Importance of Sustainability for Value Creation in Organizations" was a clear example of this commitment.

This topic is extremely relevant today. António Guterres, Secretary-General of the United Nations, warns that the planet and the global community are on the brink of disaster, emphasizing that we can no longer remain indifferent. His message is clear: we must act urgently and responsibly to tackle environmental and social challenges. Similarly, Pope Francis states that "Fraternity is the new name for Peace.” This concept should be integrated into every aspect of our lives, including work, political action, and investments. The central message is that "Sustainability is the new name for Development."

Without sustainability, there is no development or value creation. The climate emergency the world is facing is a challenge that impedes peace, human development, and economic growth. While conflicts in regions such as Ukraine, Palestine, and other parts of the world are critical factors for our shared future, the top priority must be the energy transition. This is the most urgent action we must implement.

Our common destiny – locally, regionally, and globally – demands that we halt and reverse the growth of polluting emissions. This is the most important challenge we face, and it must be tackled with the utmost seriousness to ensure a sustainable and prosperous future for all. Nothing is more critical to our shared future than fulfilling the Paris Agreement and achieving carbon neutrality by 2050. This goal, crucial for humanity – to achieve sustainability and reverse the climate emergency – is a global task that can only be accomplished with the help of engineering and other specialized knowledge. We all have an important role in the world, united by a set of rights and duties. However, in the essential task of achieving sustainability and ensuring that organizations continue to create value, the knowledge and expertise of engineers are even more critical.

The technological and energy transition needs to be implemented across all sectors – from waste management to transportation, including the primary sector and industrial production. For this to be possible, it is essential for public entities, companies, and private organizations to have qualified professionals. In most sectors, these professionals are predominantly engineers. Discussing sustainability alongside engineering is crucial to advancing the implementation of these necessary changes and ensuring a sustainable future. LIPOR also plays a key role in promoting sustainability, both nationally and in the Northern Region and the Metropolitan Area of Porto, actively contributing to accelerating progress in this regard.

It is clear that the acceleration of climate actions is an unavoidable necessity. Simon Stiell, Executive Secretary of the United Nations Framework Convention on Climate Change, emphasized that "the steps taken so far are insufficient, and the progress has been too slow to address the complex climate impacts.” This view is echoed by António Guterres, who has repeatedly stressed the urgency of speeding up responses to this global challenge.

In this context, LIPOR has been making significant strides in the field of sustainability. As an association of eight municipalities, its focus is on the management, recovery, and treatment of urban waste produced in Espinho, Gondomar, Maia, Matosinhos, Porto, Póvoa de Varzim, Valongo, and Vila do Conde. With professional management supported by the mayors of the involved municipalities, LIPOR has directed its investments and strategy towards promoting biodiversity, the circular economy, and improving the quality of life for the populations it serves. Sustainability has been championed by LIPOR through the promotion of innovation and excellence, with the quality of Portuguese engineering playing a crucial role. LIPOR’s results highlight the organization as a national example, with figures comparable to the best in Europe. If Portugal achieved similar results, the country would no longer be among the most lagging in Europe in terms of the circular economy and waste management, sectors essential for our sustainability.

Moreover, in 2023, LIPOR reduced its emissions by 38.6% compared to 2006, the reference year. That same year, all electricity consumption within LIPOR became 100% renewable, resulting in the total elimination of so-called "scope 2 emissions.” LIPOR thus assumes its responsibilities as a producer and manager of Greenhouse Gases, as well as a key player in fostering knowledge, action, and mobilization among citizens and society. The LIPOR 4M strategy – Less waste, Less carbon, More climate, More biodiversity – reflects our commitment to sustainability.

This approach helps contribute to meeting climate policy goals at the European Union, Portuguese, Northern Region, and Porto Metropolitan Area levels. We are strengthening our commitment to reducing our emissions by 50% by 2030, compared to 2006. At the same time, we believe in the transition to a competitive, circular, resilient, and carbon-neutral economy, and we aim to achieve climate neutrality by 2045.

LIPOR has implemented several significant initiatives, reflecting a continuous commitment to sustainability and innovation:

In 2006, it began the Waste Prevention Strategy, aiming to reduce waste production at the source.
In the same year, it launched the commercialization of 100% natural organic compost, known as NUTRIMAIS.
A Circular Business Model, linked to the integrated waste management system, was implemented.
LIPOR engaged in strategies to promote industrial symbiosis.
The former FERTOR landfill was transformed into an Adventure Park & Ecological Trail, attracting tens of thousands of visitors annually to LIPOR’s facilities.
Voluntary commitments were developed to combat climate change and promote biodiversity.
LIPOR is evolving into a manufacturer of products and goods, focusing on developing new products from waste and providing specialized services, with connections to nearly 20 countries across various continents.
A Renewable Energy Community (CER) is being established, with the primary goal of producing and sharing electricity from waste-to-energy recovery at LIPOR's Central Plant, offering environmental, economic, and social benefits to the community's members.

In the context of the Conference "The Importance of Sustainability for Value Creation in Organizations" debate, it is essential to highlight that the effort to reduce emissions in the European Union represents the greatest innovative challenge we currently face. Indeed, it is the activities focused on sustainability and climate transition that will generate wealth, create skilled jobs, and enable Europe to regain its natural weight in the global GDP, as emphasized in the Draghi report. These activities will be crucial for Europe to align itself with the dynamism of the United States and China economies.

For Europe to develop an innovative and competitive economy, it is crucial that this is based on sustainable economic activities and technologies. Moreover, building competitive advantages over economies like those of China, India, and the United States will depend on Europe's ability to base its value proposition on innovation and sustainability. Europe will only be able to recover the essential resources needed to maintain its unique and precious way of life if it adopts sustainable practices. This way of life is rooted in democracy, the guarantee of various freedoms, and a strong welfare state.

The European Union, as a humanist and democratic project, is only viable if it is sustainable. This is the great challenge we currently face, both as Portuguese and Europeans: ensuring sustainability to generate value.

José Manuel Ribeiro, Chairman of the Board of Directors