• Co-op & Prosperity

Fonterra goes coal free in the North Island

  • Co-op & Prosperity

One year on from the release of its Climate Roadmap, Fonterra is on track to meet its climate targets and is now coal free at its North Island manufacturing sites.

The Co-op turned off the coal boiler at its Waitoa site in November 2024,  its last in the North Island, marking a significant milestone in achieving its emissions reduction targets outlined in its Climate Roadmap, released in November 2023.

Fonterra Director of Sustainability Charlotte Rutherford says the Climate Roadmap is central to guiding Fonterra’s journey toward achieving its near-term climate targets and ambition to be net zero by 2050. 

“We’ve made a great start, while  progress may not be linear, we are on track to meet these targets."

"I’m particularly proud of the work the team has done to achieve SBTi validation,  the progress in providing tools and services for farmers, and the efforts of decarbonising our manufacturing sites.

“While it may be one year on from the release of our Roadmap, we have been focused on reducing our emissions, particularly from our manufacturing and operations, for some time now and being free of coal in our North Island manufacturing is something the team should be proud of.”

In 2024 alone, three renewable energy projects at Edendale, Hautapu, and Clandeboye have reduced emissions by a total of 62,500 tonnes, equivalent to taking 27,750 cars off the road.

Rutherford says just as important has been the work over the past year to lay the foundations to support farmers in reducing their emissions.

“Reducing emissions through driving greater on-farm efficiencies is also a priority for the Co-op. Our approach is about empowering farmers with tools, insights and support to make meaningful changes.

“Over the past 12 months our farmer facing teams have been working on a range of tools and services for farmers, and as we move closer to 2030 we will begin to see the impact of these in the results. We know there’s more work to be done, and right across the value chain we continue to invest in innovative technologies and solutions  that will set us up for success.”

Fonterra's decarbonisation journey to date

The Co-op’s first electrode boiler generates steam from electricity, cutting the site’s annual overall emissions by 20% or around 47,500 tonnes – the equivalent of removing around 20,000 cars off New Zealand roads.

The conversion from coal to wood pellets has an expected annual emissions reduction of around 12,000 tonnes – the equivalent of removing around 6,500 cars off New Zealand roads. 

The new heat recovery system in the Lactose plant aims to decrease annual carbon emissions by around 3,000 tonnes – the equivalent of removing around 1,250 cars off New Zealand roads.

The new boiler at Waitoa has halved coal usage, cutting emissions by around 46,000 tonnes annually – the equivalent of removing around 20,000 cars off New Zealand roads.

Installation of New Zealand’s largest heat pumps as part of a refrigeration upgrade, decreasing  annual carbon emissions by around 9,100 tonnes – the equivalent of removing around 3,800 cars off New Zealand roads.  

Stirling's wood biomass boiler has reduced annual carbon emissions by around 18,500 tonnes – the equivalent of removing around 7,700 cars off New Zealand roads – and is the Co-op's first site running on 100% renewable thermal energy. 

Converted the 43MW coal boiler to use wood pellets, reducing coal use and emissions by around 84,000 tonnes – the equivalent of removing around 35,000 cars off New Zealand roads.

Moved to co-firing wood biomass, reducing overall annual site carbon emissions by around 2,400 tonnes – the equivalent of removing around 530 cars off New Zealand roads.