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Deforestation risk in our supply chain

Neste’s commitment to managing deforestation risk is built on a foundation of regulatory compliance, such as the land-use criteria of the EU RED and US EPA RFS. For high-risk raw materials, we supplement these requirements with voluntary initiatives. This effort is regularly evaluated by a non-profit CDP, among others.

Neste’s renewable feedstocks meet the mandatory sustainability criteria of the EU Renewable Energy Directive (RED) and/or the US EPA Renewable Fuels Standard (RFS). These regulations set baseline requirements covering sustainability criteria such as greenhouse gas (GHG) savings and land-use restrictions for crop-based materials, including specific cut-off dates for land conversion.

While these legal frameworks provide the foundation for our operations, we go beyond these requirements for PFAD (palm fatty acid distillate).

Driving transparency in palm oil industry

While Neste does not use crude or refined palm oil in the production of its renewable products, we do continue to purchase waste and residues generated in palm oil production processes.

Since 2017, we have been developing the traceability of our PFAD supply chains. This involves identifying all supplying mills and, based on a risk-calibrated traceability to plantation approach, prioritizing and directing our due diligence efforts toward the highest-risk supply areas.

Read more about: Supplier engagement Traceability and PFAD dashboard

Neste Responsible Sourcing Principle

Read more about Neste's Responsible Sourcing Principle

Download here (pdf)