- Neste uses physical and chemical analytics, including testing for free fatty acids and volatile organic compounds, to ensure raw material authenticity.
- Neste has established local offices in key sourcing regions like Shanghai and Melbourne to enhance supply chain integration.
- Neste participates in the EU's Union Database for enhanced traceability and supports Malaysia's eCOSS to prevent fraud.
Fraud Mitigation Measures
Neste emphasizes its commitment to mitigating fraud in renewable raw material supply chains. The company employs rigorous supplier selection and auditing processes, requiring adherence to a strict Supplier Code of Conduct. Compliance is monitored through audits by Neste and independent third-party experts.
Traceability and Integration
Neste mandates traceability of all renewable raw materials to their point of origin, accepting only those that meet legal requirements. The company has shifted towards a more integrated supply chain model, establishing local offices in key sourcing regions like Shanghai and Melbourne, and acquiring companies like Mahoney Environmental and Agri Trading for direct access to raw materials.
Analytical Techniques
To ensure raw material authenticity, Neste uses laboratory testing, analyzing parameters such as free fatty acids, volatile organic compounds, and moisture content. Advanced analyses include markers like squalene and carotenoids to detect abnormalities, contamination, or mislabeling before materials enter the refinery process.
Collaboration and Digital Tracking
Neste supports international cooperation and digital initiatives to combat fraud. The company participates in the EU's Union Database for enhanced traceability and supports local systems like Malaysia's eCOSS to prevent the leakage of subsidized oils into fraudulent channels. Neste also contributes to developing new analytical methods and standards through organizations like the ISCC, focusing on identifying contamination of used cooking oil with palm oil.
