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Environment

Dexco recognizes the important role companies play in combating climate change and believes that a low carbon economy is the goal to pursue. This is why we seek to advance our production processes in ways that reduce greenhouse gas (GHG) emissions, encouraging and increasing the use of renewable energy sources, and engaging the public in our value chain, so that we can, in a cooperative manner, contribute effectively as part of a global effort.

In aiming to reduce greenhouse gas (GHG) emissions, our main initiatives relate to increasing our use of renewable energy sources and to ensuring energy efficiency in our production processes. The substitution of fossil fuels for biomass in providing heat, and actions to reduce energy consumption support this objective.

Our efforts are ongoing and are being stepped up even though we are a company that has achieved a positive carbon balance. This means that our forests capture more carbon from the atmosphere than the amount we emit through our manufacturing operations.

Emission of Greenhouse Gases

We have been managing our Greenhouse Gas (GHG) emissions since 2007.

In accounting for annual GHG emissions, we follow The Greenhouse Gases Protocol guidelines, the main point of reference for quantifying corporate emissions.

Since 2011, our GHG inventory has undergone external audit, a practice for which we have been awarded the Gold Seal of the Brazilian GHG Protocol Program, which attests to the highest level of transparency with respect to emissions. We also evaluate and report on the levels of emissions and extraction from our forests.

With specific targets, we are committed to continuously reducing GHG emissions arising from our activities and to promoting advances that lead to a low carbon economy.

Greenhouse Gas Emission Targets

Our Greenhouse Gas (GHG) reduction targets are science-based, in line with achieving a level of decarbonization related to a global temperature rise of less than 2°C, when compared to pre-industrial temperatures.

In addition to emissions reduction targets, we have also set targets for net removals that will keep Dexco contributing to a positive impact with respect to climate change.

 

Carbon Tax

In Colombia, we run the Carvi program as part of Dexco Carbon Bonus for Life. We capture carbon dioxide from the atmosphere through our forests in the country, and have already generated a bonus of more than 950k tons of CO2.

This figure is equivalent to the amount issued over 14 days by all the vehicles circulating in the metropolitan area of Valle de Aburrá, the 2nd biggest city in Colombia, by population.

From these results, we were awarded the Icontec Forestry Compensation Certificate, which confers to the initiative the title of the largest Colombian GHG forestry compensation program.

Commitment to the Low Carbon Economy

The management of climate change has continuously evolved in our Company, through studies and partnerships that allow us to identify risks and opportunities related to our businesses.

We have carried out a comprehensive diagnosis on the company’s historical greenhouse gas emissions, and reviewed our corporate and agricultural inventory, the practices of benchmark companies, the trends and market demands regarding climate change (through sources such as ISE, Dow Jones and CDP), and legislation and associated agreements (such as the Paris Agreement), among others.

We also map climate risks and opportunities, using the TCFD framework, and draw up action plans for advancing compliance.

Find out more

Consult our inventory of emissions in the Public Registry of Emissions of the Brazilian GHG Protocol Program.

Know more about Dexco’s initiatives reported to CDP Climate Change and CDP Water.

Dexco publicly accepted the commitment to legal compliance and sustainable development through its Environmental Policy and management practices. The principles are applied to all industrial, administrative and forestry units and guide the management processes within the context of Dexco’s values, as described by the organization’s culture and proposition (Way of Being and Doing), with a view to improving processes and controls.

In its processes, the Company follows ISO 14001 as a reference in the implementation of the Environmental Management System for its industrial units.

The forestry operation has been certified for responsible forestry management since 1995, ensuring that its activities are carried out in an economically viable, environmentally sound and socially beneficial manner.

The management guidelines of both regulations form the basis of Dexco’s Environmental Policy, which governs environmental management internally.

 

Environmental Policy

To promote continuous improvement in its processes and strengthen operational controls, Dexco’s Environmental Policy sets out the management guidelines for environmental issues, including respective risks and impacts. It is aligned with the company’s values, proposition and organizational culture, reaffirming the commitment to environmentally responsible operations.

We manage environmental indicators and have targets related to water, energy, waste and greenhouse gases (GHG), with periodic monitoring and reporting.

Applied to all industrial, administrative and forestry units, the Environmental Policy establishes the principles to follow.

Applied to all industrial, administrative and forestry units, the Environmental Policy establishes the principles to follow:

  • To use all natural resources, raw materials and consumables needed for production processes in a rational and sustainable manner;
  • To develop and offer products that enable the rational use of natural resources;
  • To prevent pollution and environmental risks arising from operations – the production to distribution of products – using technical and innovative solutions and mitigating impacts;
  • To comply with all legislation applicable to the Company’s activities, products and services, meeting the voluntary commitments assumed by the organization and establishing procedures that ensure materials or consumables of illegal origin are not used;
  • To protect biodiversity, springs and watercourses, and to conserve the cultivated soil, taking measures inherent in the management of forestry plantations, with the aim of maintaining and/or improving ecosystem services and environmental values.
  • To carry out waste management in a manner in keeping with the concepts of reduction, recycling and reuse;
  • To assess the environmental performance of companies following mergers and acquisitions;
  • To act in mitigating the emission of greenhouse gases (GHG) and develop adaptive mechanisms in the face of the impacts arising from climate change.

 

Conformity with NBR ISO 14001 – Environmental Management System

Dexco’s Environmental Policy adopts as one of its references ISO 14001, an international standard that establishes the requirements that must be met in setting up an Environmental Management System. It covers actions and control measures relating to the environmental management processes.

Find out more

Read our Environmental Policy.

In addition, we have implemented some important initiatives in the last few years, such as:

  • Internal composting of ashes, sludge from Waste Treatment Stations (WTS) and food waste in the Panels units, and subsequent distribution of compost as fertilizer in our forests;
  • Change of the energy source, substituting the use of BPF oil and natural gas for biomass, used for the generation of thermal energy at the Panels units;
  • Reuse of ceramic fragments, slurry and glazes in production processes at the Sanitary Ware units, and ceramic slurry in Ceramic Tiles;
  • Reuse of heat from the kilns used in drying the ceramic pieces at the Sanitary Ware units;
  • Reuse of metal materials in the production processes of the Metals units, and of plastic at Hydra;

 

Biodiversity

Access the full document.

 

Dexco’s new Environmental Policy, the Internal Standard for Responsible Forest Management and Forestry Management Plan set out the guidelines for the responsible management of our forests.

Brazil Forest Management Plan 2021

Brazil Forest Management Plan 2022

Forest Nursery

In addition to nurseries in Brazil, Dexco has added a nursery in Colombia, located in the city of Barbosa, with the aim of increasing productivity and improving the quality of the wood used in the production process.

Genetic Enhancement Program

We have developed a variety of tree clones that show greater adaptation to climate change, higher productivity and greater resistance to pests and diseases.

The Genetic Enhancement Program, created in 1969, focuses on research and development of materials capable of ensuring eucalyptus plantations have a greater resistance to attack from diseases and pests, in addition to adapting better to various climatic and rainfall conditions.

In addition to improvements targeting panel production, we have also assessed, in partnership with Lenzing AG, the most suitable materials for meeting the demands of LD Celulose’s dissolving wood pulp plant, located in Minas Gerais.

 

Below are the four basic concepts in forestry management that guide Dexco’s operations:

Dexco maintains thousands of hectares of eucalyptus and pine forest, together with conservation areas populated by indigenous plant species, on owned and leased farms, in the interior of São Paulo, Minas Gerais and Rio Grande do Sul. These forests provide raw material needed for our wood panel factories. Furthermore, since the 1970s, we have maintained partnerships with universities and research institutes to monitor and catalog local biodiversity, contributing to the scientific study of the environment.

To assess and mitigate the social impacts arising from the management of our planted forests, we have moved to build ever-closer ties to the communities where we are present. We first received recognition for our excellence in forestry management in 1995, when we became the first company in South America to obtain responsible forestry management certification. The wood panel factories have certification for their custody chains, which enables the traceability of all wood used in our production process, ensuring the use of wood of certified origin or of other controlled sources.

Since 2019, we have begun to collaborate with our partner producers in seeking responsible forest management certification. The first areas were certified in 2020, with the aim of achieving 80% of the areas by 2025.

Monitoring of the Forests

Monitoring the flows of carbon, water and nutrients from plantations over the years has ensured healthy development and environmental balance in the regions where we operate. Thus, since 2008, we have supported the cooperative program Torre de Fluxo, coordinated by the Institute of Forestry Research and Study (Ipef), the French Agricultural Research Center (Cirad) and the Higher School of Agriculture “Luiz de Queiroz” at the University of São Paulo (Esalq/USP).

The initiative consists of gathering more and more data for research into the best practices relating to responsible forestry management, bringing together productivity and sustainability. In 2019, we renewed our commitment to the program for another seven years.

At Dexco, we continually improve our operations, seeking socio-environmental balance throughout the value chain. We are committed to using natural resources and materials in a rational, sustainable manner, and to adopting principles that allow their reduction, optimization and reuse.

High Conservation Value Areas

As part of our Forest Management Plan, we classify as High Conservation Value Areas (HCVAs) those areas that present environmental and/or social values of an exceptional nature or that are of critical importance.

In these areas we have measures in place for protecting the identified values, such as to forbid any kind of hunting or fishing, surveillance patrols, preventing and fighting forest fires, lower speed limits on roads near these areas and alien species control. In addition to these measures, specific monitoring procedures for the identified value are established.

These actions protect rare, threatened and endangered species and native ecosystems, as well as regional fauna and flora relevant for the livelihood of local communities and their traditional practices.

In 2021, we reassessed all our certified areas based on criteria for identifying HCVAs (categories 1 and 4), comprising 132,774.58 hectares distributed in 152 farms on São Paulo, Minas Gerais and Rio Grande do Sul states. The methodology and results were then sent for consultation to some stakeholders, such as universities, government, researchers and NGOs.

Based on the assessment criteria and public consultation, the presence of an endemic frog species (Bokermannohyla sazimai) on the Nova Ponte farm, in Minas Gerais, led the location being classified as an HVCA category 1, totaling an area of 32.50 hectares.

Learn more about High Conservation Value Areas in our Forest Management Plan.

 

Know more about our Forest Divison clicking here

Keeping in mind our commitment to sustainable development, we constantly seek to improve production processes at our manufacturing facilities and forestry operations, with the aim of optimizing water and energy consumption, and managing the generation of effluent, greenhouse gas (GHG) emissions and waste.

In our production processes we seek to minimize the negative impacts on the environment and on the communities in which we are present. The process is part of the Environmental Management System (SGA), which periodically monitors the performance of our operations, focusing on 5 main areas:

  • Water and effluent;
  • Emissions;
  • Energy;
  • Residue.

Water and Effluent

In all of our Business Divisions we reuse water and, in some units, we have a closed circuit that does not generate industrial effluent, such as at the Taquari Panels operation. The ceramic tiles units stand out for the volume of water in circulation, which is greater than the actual capture.

Waste

We have invested in initiatives that enable the reuse of waste residue in our processes, such as the use of wood for generating power. There are also the following initiatives of note:

  • Internal composting of ashes, sludge from Waste Treatment Stations (WTS) and food waste in the Panels units, and subsequent distribution of compost as fertilizer in our forests;
  • Reuse of ceramic fragments, slurry and glazes in production processes at the Sanitary Ware units, and ceramic slurry in Ceramic Tiles;
  • Reuse of metal materials in the production processes of the Metals units, and of plastic at Hydra;

We use technology to recover and use 100% of the bronze and brass found in waste from the metal parts produced.

The Metals unit in São Paulo and the Panels unit in Itapetininga have already achieved the landmark of zero waste sent for sanitary landfill.

 

Energy

Dexco has increasingly invested in the energy efficiency of its manufacturing processes and in the use of new and less polluting equipment.

With these measures, the company sets itself apart in the civil construction sector in replacing fossil fuels with renewable ones – such as BPF oil and natural gas with biomass made up of bark, dust and fiber – produced from its own operations. Most of the energy consumed in our manufacturing operations comes from renewable sources (includes Scope 1 and Scope 2 energy), with the flagship being the panel operations, whose energy mostly comes from renewable sources (includes Scope 1 and Scope 2 energy sources).

Sustainable Solutions

In addition to working on the eco-efficiency of our production processes, we also support our clients and consumers in making more conscious choices when it comes time to building, renovating or refurbishing. We develop sustainable solutions, with eco-efficient products that deliver comfort in their use, delivering a better quality of life for our customers.

In delivering our proposition of creating Solutions for Better Living, we call on the collective expertise of designers, engineers, inventors and managers.

The Product Development area actively participates in the creative process. Our team of employees works to anticipate trends and offer the market more sustainable materials and solutions.