Reaching Climate Targets in the Pulp Industry
Anna Maija Wessman, Secretary General, European Pulp Industry Sector AISBL
The Race to Net Zero
Achieving carbon neutrality by 2050, as established in the COP 2015 Paris Agreement and reinforced by the IPCC, the Intergovernmental Panel on Climate Change, is a global challenge. The EU committed to this goal through the 2019 Green Deal. While Suriname and Bhutan are currently carbon negative, and Uruguay targets neutrality by 2030, most nations aim for 2050. Finland’s 2035 goal is the most ambitious in the EU.
The Confederation of European Paper Industries, Cepi, has tracked the fossil CO2 emissions vs. production of the pulp and paper industry since 1990. Our industry has halved the CO2 emissions in the last 30+ years and successfully decoupled them from production. This has however slowed down signalling the need for new solutions.
The EU Clean Industrial Deal
In February 2025, the EU Commission released the Clean Industrial Deal, calling for a 90% reduction in greenhouse gas emissions by 2040 (from 1990 levels). The plan emphasizes climate competitiveness and recognizes bioeconomy, circularity, and bio-based products. A crucial pillar is bio-CCS – Biogenic Emission Carbon Capture and Storage, which could deliver nearly 10% of necessary removals annually by 2040. Fundamental for feasibility is to turn the storage to Utilization – bio-CCU.
Energy-intensive industries must now cut emissions through electrification, low-carbon fuels, and widespread carbon capture.
Bio-CCU: A Natural Fit for Pulp Mills
The reduction of CO2 emissions begins with energy efficiency. The second most important step is transitioning away from fossil fuels. The most modern pulp mills already operate without any fossil fuels, and many more are targeting that in the next few years. Third, electrification of unit processes where possible is necessary. Not everything can however be electrified; for example the pulp mill’s recovery boiler is a process device related to the mill’s closed chemical cycle and recovery process that simultaneously generates energy. The main biogenic CO2 emissions come from those chemical recovery processes (recovery boiler and lime kiln) and are difficult to avoid.
In Finland and Sweden, most of the biogenic emissions are generated in the forest industry. It is then natural that the decarbonization involves biogenic carbon capture and utilization to replace fossil-based raw materials and fuels.
While the technology holds great promise, the IPCC AR6 highlights ongoing questions regarding scalability and long-term feasibility. A pulp mill bio-CCU, however, offers a compelling solution by utilizing even the final emissions as valuable by-products.
Utilization of biogenic CO2 emissions
Profitability improves if captured biogenic CO₂ is used in valuable products. The most important potential applications include:
- Synthetic Fuels & Chemicals
- E-methanol: a renewable synthetic liquid fuel produced by combining green hydrogen (H2) and captured carbon dioxide (CO2). Splitting water (H2O) to make hydrogen requires electricity (E).
- E-kerosene: Sustainable aviation fuel from captured CO₂ and hydrogen.
- Bioplastics: Replacing fossil feedstocks in polymers and foams.
- Food & Beverage
- Carbonation for drinks.
- Food preservation through modified atmosphere packaging.
- Construction Materials
- CO₂-enhanced concrete and cement.
- Biogenic carbonates for building.
The first one is driven by regulation. By 2040, the captured carbon market will be driven primarily by the need for E-fuels in other sectors. For carbon capture to succeed, value must come from CO₂-based products, not just storage.
Best practices among EPIS members
Mercer International in Canada, is evaluating a biogenic emission carbon capture and storage (bio-CCS) project that will enable the mill to capture and store 500,000 tonnes of CO2 from the recovery boiler at its Peace River, Alberta pulp mill. The mill is located in a region with excellent permanent geological sequestration for safe storage. The project has advanced to the preliminary front-end engineering and design stage and will demonstrate the viability of Svante’s technology which is using a structured filter system to selectively capture CO2 molecules from the flue gases enabling carbon removal at scale.
The Finnish Metsä Group, with 12 million tons of biogenic CO₂ emissions annually, has a stepwise process in exploring carbon capture. They are piloting carbon capture with Andritz at Rauma pulp mill in 2025 and studying e.g. CO₂ purity, energy solutions, and integration into existing systems. The pilot stage will be followed by plans for a potential industrial scale demo plant.
If successful, bio-CCU could spark a new chemical industry and accelerate the hydrogen economy. Key to this transformation is ensuring profitability across the value chain, alongside climate benefits.
Södra in Sweden places fossil-free and climate-positive operations at the forefront of its agenda. Carbon capture may play a key role in achieving its and others’ net-zero targets.
The company is currently exploring both carbon storage and utilization (bio-CCUS). Any future investment decision will depend on technical maturity, market developments, and political conditions.
Beyond bio-CCS/U: Emission-Free Pulping
A future long-term research project, complementary to bio-CCS and bio-CCU, is to eliminate emissions entirely. Emission Free Pulping is being explored by Finnish and Swedish research institutes (VTT and RISE) in a joint project. The initiative is backed by several forward-thinking global companies, but is still ways away in the future.
Conclusion
The fibre-based industry is ready to lead from the front in the transition to net zero. What may appear as a challenge can be transformed into a major opportunity with the right policy support. Strategic investments, innovation, and well-designed market frameworks can unlock the sector’s full potential to drive sustainable growth. A stable, predictable, and supportive legislative environment is essential to turn climate objectives into tangible economic and environmental gains.
