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Södra

About

Facts

Location Växjö, Sweden
Technology Biofuel (residual forestry products)
Attributes ecological conservation, responsible forestry, community
Developer/Owner Södra Group- 50,000 forest owners
Estimated Annual Energy Generation 4,600 GWh
Electricity 97 GWh
District heating 383 GWh
Solid Biomass Fuels 4,200 GWh

Södra is Sweden’s largest forest-owner association, with more than 50,000 members owning more than 2 million acres. Södra’s business is built on value-creating relationships and a long-term approach. The overall assignment from its owners is to enable a long-term profitability for their forest estates by utilizing the forest and providing advice and support for responsible and sustainable forestry. The wood from the forest estates is processed in Södra’s mills into sawn and planed timber, interior wood products, biofuel, market- and textile pulp.

Visit our website: www.sodra.com

Södra is showing what it means to be a next-generation forest company in the transition to a sustainable bioeconomy. Combining the forest management of each individual member with international operations of the Group, Södra builds its competitiveness on a global approach to local solutions.

ENERGY PRODUCTION

Södra is a major supplier of bio-based energy in the form of electricity, district heating and biofuels, all if which is bio based and renewable.

Thanks to energy efficiency efforts, Södra has a positive energy balance, since the mills generate more energy than they consume. The surplus is exported to the grid. Södra has also invested in modern wind turbines on the industry ground and at the member’s forest, thereby providing steady supply of electricity and a steady source of income for the members whose land is utilized. Södra also minimize waste and scrap from the debarking and the residual chips from the sawmills by producing valuable products and energy. In fact, Södra receive bio fuels from surrounding industries and convert into electricity. Biofuels that would otherwise be wasted can thereby become a source of income not only for Södra but even more for the surrounding industries and the society in the proximity. Södra’s pulp mills are located in Mönsterås, Värö and Mörrum.

SÖDRA CELL MÖNSTERÅS

Mönsterås is the largest pulp mill in Södra. It began operating in 1959, and after expansion, has developed into one of the world’s most modern plants. While its core business is pulp production, the mill is also a supplier of both electricity and district heating.
Mönsterås has a strategic location, close to European highway 22, with Södra’s own harbour alongside the mill and the sawmill next door.

SÖDRA CELL VÄRÖ

The mill in Värö is about to become one of the world’s largest power pulp production facilities. Värö has the capacity to produces 700,000 tons of pulp and 1.6 TWh of energy annually. Since 1972 when the plant was built it has undergone through extensive development. Over the years the mill has in many ways been a forerunner in environmental protection.

SÖDRA CELL MÖRRUM

Södra Cell Mörrum is a mill that in addition to paper pulp and dissolving pulp produces green electricity and heating. The mill was built in 1962 in esituated at Mörrum river, close to softwood and hardwood forests which provide raw materials for production.
Södra Cell Mörrum has made major investments in eco-friendly technology as well as in increasing employee competence in environmental matters.

HISTORY

Södra’s history tells the story of how individual forest owners, showing true commitment and foresight, came together to create a vibrant industrial group.

During the second world war, Södra played a significant role in Sweden’s energy supply. Södra supplied raw materials for the wood-gas generators for cars and busses together with firewood for heating houses. When the war came to an end, oil was once again imported and demand for firewood as a fuel fell. A surplus of wood and a small forest industry in southern Sweden put a damper on consumption and the price of wood.

Södra’s founder, Gösta Edström, realised it would be necessary with an industry to create a demand for forest raw materials. In 1959, 1962 and 1972 respectively, three pulp mills at Mönsterås, Mörrum and Värö were established. The first pulp mill was financed by thousands of forest owners from all over Sweden. Gradually, Södra grew into an internationally operating forestry group, but still with a strong connection to the forest owners due to its structure of ownership.

 

Many members of Södra Group live on their forest properties and are active foresters themselves.

FOREST OWNERS

At Södra, the forest owners are much more than wood suppliers; they are also part-owners of Södra’s industries and receive part of the profit generated by these industries. Every member has one vote, regardless of the size of their forest estate or capital. Södra’s members are private forest owners who care deeply about their forests and will pass it on to future generations.

Great care is taken to ensure a healthy mix of different wood species of different age in order to promote a biological diversity and a place for life to flourish. This is achieved by forest certification for sustainability. Södra also provides consultation regarding how the members can manage their forest in order to both make use of the forest to produce great bio based products, protecting the environment and a provide a healthy heritage for future generations at the same time. Through the fruitful cooperation between the industry and the members, the members forest is in fact steadily increasing at the same time as the members provide the industry with more and more wood. Thus a true proof of Södra’s claim of sustainability.

Lars Idermark, Group President and CEO, is also a forest owner whose family has been a member of the Södra foundation since the 1950s.

“As a forest owner and member of Södra, I’ve had an interest in the company and sustainable forestry for some time, so when the job came up, this was an irresistible challenge. My farm has been in our family for five generations and we have been a member of the Södra co-operative since the 1950s. The fact that we are made up of some 50,000 forest owners means we have access to a guaranteed supply of sustainably managed raw material, our key ingredient for success. The challenge is to make sure that we make the absolute most of those forest assets to serve both the owners, our members, and our customers.”

Sustainable forestry forms the basis of Södra’s operations. Södra provides the platform for members to optimize production and consideration for conservation values, social values and cultural values.

ENVIRONMENTAL IMPACT

As a member-owned forest company, Södra drives the development of sustainable small-scale forestry, based on the principle that freedom comes with responsibilities. For Södra, responsible forestry means that production and environmental values are in balance, and that social values are taken into account.

RESPONSIBLE AND SUSTAINABLE FORESTRY

Södra’s offering and products are more sustainable than many other options, and Södra is contributing to the transition towards greater use of bio-based materials and less reliance on fossil fuels. Södra’s operations are based on resource efficiency and the ecosystem principle.

Södra’s corporate form and ownership structure enable sound, long-term decisions. The Group is financially stable, and this strong position creates flexibility and allows for investments in sustainable solutions.

Södra’s members are highly committed to responsible and sustainable forestry, which also benefits long-term forestry initiatives and biodiversity. This takes the form of voluntary nature conservation allocations, and by including general considerations in all forest management measures. According to the basic principle of freedom with responsibilities, members decide themselves how their forests are to be managed. Södra creates conditions for using the forest responsibly, which include offering a range of advisory and other types of services. Södra and its members strive to maintain a balance between production, social and environmental values.

FORESTRY AND CLIMATE CHANGE

Climate change requires joint efforts to reduce greenhouse gas emissions and global warming. Growing forests and the use of wood play a key role. A “climate-positive business” is one of the strategic focus areas for Södra, and this is where Södra gathers its efforts to help reduce global warming. Methods for monitoring the climate-change performance more clearly are developed. Growing forests sequester more CO2 than they release. The effect increases if forests are managed correctly and adapted to the growing conditions of each type of soil. Growing forests sequester most CO2. Mature trees sequester little or no CO2 but harvesting and replanting help to restore the carbon sequestration. Swedish forests continue to grow faster than they are harvested. This is a key factor in Södra’s ambition to be better than merely climate-neutral.

Swedish forestry plays an important role in climate change mitigation efforts. Around 470 kg of carbon dioxide emissions are avoided for each cubic meter of biomass harvested in Sweden. The emissions reduction depends on forest management and reforestation and avoiding the diminishment of forest volume. Södra is devoted to this standpoint and replants three plants for every tree that is harvested.

At Södra we plant three new saplings for each tree we harvest.