Marrakech, 17 November 2016 - ArcelorMittal, Evonik, LafargeHolcim and Solvay today announce the formation of a new Low Carbon Technology Partnerships Initiative across the steel, cement and chemicals industries.
This new partnership will look at the potential synergies that exist between the manufacturing processes of these three energy intensive sectors, and how these synergies could be harnessed to reducing CO2 emissions.
As a first step, and following preliminary research, the innovative partnership will produce a study (**) with the technical support of Arthur D. Little to identify potential ways to valorise industrial off-gases and other by-products from their manufacturing processes to produce goods with a lower carbon footprint than through the fossil path. The preliminary research already allowed identifying significant potential in selected trans-sector pathways.
The study is aimed at bringing a fact-based overview of carbon and energy sources from industrial off-gases (first at a European level), and evaluating the technical, environmental and economic feasibility of different Carbon Capture and Usage (CCU) pathways and their potential.
Initial findings from the first step already underway suggest that:
- Deploying cross-sector carbon capture and reuse opportunities on an industrial scale - something that does not happen today - could reduce up to 3 GT/y or 7% of global anthropogenic CO2 emissions.
- Existing conversion technologies that could be deployed across the three sectors could utilise by-products in the off-gases to create building materials, organic chemicals and fuel. As an example, up to 1-2% (0.4-0.7 Gt/y) of global anthropogenic CO2 could be reduced with the production of ethanol/methanol alone.
- Increased availability and greater access to renewable energy sources, would significantly boost net carbon reduction efforts by those three sectors, within a supportive legislative framework.
- Cross sector carbon capture and reuse should also result in job creation, to be further investigated.
The study, carried out at European level, is building the ground for similar investigation extended at global level and paves the way for identifying and assessing industrial scale projects on CCU at the interface between the sectors.
Speaking in Marrakech, Michel Bande, Corporate Sustainability Officer and Liaison Delegate WBCSD of Solvay, said “The potential to reduce carbon emissions through better collaboration between the chemicals, steel and cement industries looks promising. European energy-intensive industries could, with new and innovative ways to work together, ultimately produce large volumes of final goods with a reduced carbon footprint. In this arena, the chemical industry is key thanks to its enabling technologies. Indeed, linking large sources of carbon with the expertise and processes of the chemical industry could become crucial to develop ground-breaking solutions helping to reach the 2°C goal. The World Business Council for Sustainable Development is instrumental in supporting the emergence of such partnerships that require long term cooperation and vision shared between industry and society”.
Carl de Maré, Vice President Head of Technology Strategy of ArcelorMittal, said: “We are excited to build a partnership that demonstrates our commitment to developing a low-carbon, circular economy steel business and explores the numerous efficiency opportunities across other energy intensive industries. We believe that steel is a perfect material for the circular economy, but key to exploiting our potential is establishing innovative cross-sector partnerships such as this. This will help us to develop and industrialise carbon re-use technologies, ensuring that waste products created from the steelmaking process are effectively harnessed and re-used, reducing our direct carbon footprint, but also creating commercially valuable products that have a lower carbon footprint than currently available alternatives.”
Stefan Haver, Senior Vice President Corporate Responsibility of Evonik, said: “Cross-sector initiatives like this offer great opportunities to steer our economies towards improved sustainability and more circularity. That's why Evonik strongly supports joined actions in low carbon technologies."
Bernard Mathieu, Head Group Sustainable Development of LafargeHolcim, said: “Concrete offers the highest level of life-cycle sustainability performance and we are continuously developing new products and solutions for a low carbon society. This new ambitious partnership will support our mission to cut our net emissions per ton of cement by 40% towards 2030 (versus 1990) and to develop and further deploy low carbon solutions for the construction sector. But to make this a reality, we will need an enabling regulatory framework and support to innovation.”
(*) LCTPi is a set of programs, gathering 150 global businesses and 70 partners under the auspices of the World Business Council for Sustainable Development, to accelerate the development of low-carbon technology solutions to stay below the 2°C ceiling,
(**) The study is carried out in the framework of a trans-sector LCTPi on CCU that takes places under the auspices of the World Business Council for Sustainable Development (WBCSD) and is supported by technical expertise of the European Chemical Industry Council (CEFIC).