INEOS is committed to reducing its greenhouse gas emissions in accordance with the Paris Agreement and has a company-wide GHG management system in place to reduce emissions to net zero by 2050. All our businesses monitor and report emissions in accordance with the GHG Protocol and have dedicated emissions reduction roadmaps for each of their sites. Based on these roadmaps, we have set a company-wide target to reduce scope 1 and 2 emissions by 33% by 2030 compared to 2019, while allowing for growth.
INEOS’ site-roadmap initiative and 2030 investment plans aim to drive down our GHG emissions, while remaining profitable. To back our plans and take advantage of opportunities offered by the evolving energy and climate environment, we will invest over €6 billion in the years to come. We pursue a broad range of initiatives including:
- Developing a new hydrogen business
- Producing clean hydrogen as a fuel
- Purchasing green power to run our operations
- Producing recycled plastics products
- Using bio-based feedstocks instead of fossil-based resources
- Pursuing continuous process optimisation
- Implementing electrification and low-carbon technologies
- Capturing CO2 for storage or utilisation
- Partnering with our suppliers to reduce value chain emissions Investing in new assets that effect a step change in energy and emissions intensity
Alternative Energy Sources
The potential of hydrogen in the economy
Europe has proposed scaling up renewable hydrogen production to 10 million tonnes by 2030, and other major regions such as North America and Asia have similarly ambitious plans to expand low-carbon hydrogen production to reduce emissions. INEOS is well positioned to take a leading role in the emerging low-carbon hydrogen market as it is currently Europe’s largest operator of electrolysis through its INEOS Inovyn business.
INEOS launched a new hydrogen business to develop and build green hydrogen capacity across Europe in November 2020 and has plans to invest €2 billion in electrolysis projects across Europe, starting with projects in Norway, Germany, and Belgium, and looking to invest further in the UK and France. In 2022, we selected Atkins to design a world-scale low-carbon hydrogen plant at our Grangemouth site that is expected to reduce our annual emissions by 1 million tonnes once up and running in 2030.
Developing clean hydrogen as a fuel
Hydrogen has been used for a long time in the chemical industry as feedstock in the manufacture of products such as fertilisers. There is also growing interest in hydrogen and its derivatives, such as ammonia and methanol, as a zero-carbon energy source in the chemical industry and wider economy, for example in transportation.
Each year INEOS produces more than 400,000 tonnes of hydrogen through its chlor-alkali, refining and cracking operations. This is enough to fuel 300 million miles of heavy goods vehicle travel: the equivalent of 12,000 trucks circumnavigating the world. Hydrogen is essential for our transition to net zero by 2050 and can contribute significantly to our 2030 reduction target.
While the key advantages of hydrogen lie in it being a zero-carbon energy carrier and the fact that it can be used to store energy, it is important to note that it should be produced in a low-carbon manner, such as electrolysis with renewables, or through steam methane reforming (SMR) with carbon capture and storage (CCS).
In addition to being Europe’s largest operator of electrolysis technology, INEOS also owns hydrogen storage infrastructure. The two combined can help buffer the intermittency of renewable energy. As a producer and user of hydrogen, we are in a unique position to use our existing co-produced hydrogen to kickstart the hydrogen economy for INEOS, Europe, and the wider world.
Process Optimisation
Continuous improvement in efficiency and reduction of energy use and carbon emissions is standard practice across INEOS.
INEOS is pursuing a wide range of optimisation opportunities, such as new methods that improve process efficiency, innovative solutions for heat and power integration, waste heat valorisation, and more selective catalysts. Our projects encompass:
Efficiency improvements in our power plants, such as at our Grangemouth site.
- Optimisation of the steam networks at our sites with substantial steam consumption.
- Integrated waste heat valorisation, such as at our Tavaux site through mechanical vapor recompression.
- Electrification of low-temperature processes, as planned for our operations in Antwerp.
- Minimisation of waste heat from processes at our sites.
- Recovery and reuse of off-gasses in utilities, such as at our Chocolate Bayou site.
- Flaring reduction, such as envisioned for our Lavera site.
- Cooling tower optimisation, such as at our Cologne site.
- Advanced process control strategies, such as the advanced distillation columns at our Sarnia site in Canada. Catalyst improvements to enhance process efficiency.
Each INEOS site is measured against the previous year and our 2019 baseline, as well as compared with other manufacturing sites in the business, and benchmarked for its profile in a region or country. At a higher level, emissions and energy data are ranked per INEOS business, highlighting potential areas of improvement and measures to replicate across the group.
Carbon Capture Storage & Use
Although it is INEOS' primary goal is to cut emissions at source, we recognise that CCUS will play an important role in mitigating GHG emissions in the short run, either through utilisation or storage. In fact, several INEOS sites have been capturing emissions for a long time.
Over the past two decades, INEOS has been capturing GHG emissions at plants in Antwerp (Belgium), Tavaux and Lavera (France), and Cologne (Germany), removing over 300’000 tonnes of CO2 per annum – equivalent to the annual emissions from around 30’000 cars. We are also leading the Greensand consortium that is undertaking a pilot project in Denmark.
Project Greensand aims to develop and demonstrate that CO2 can be stored underground in the Danish part of the North Sea. This will take place in the INEOS operated Siri field, located more than 200 kilometres west of the Danish coast. In the short term, the project will store up to 1.5 million tonnes of CO2 per year in 2025. By 2030, Project Greensand aims to store up to 8 million tonnes of CO2 per year.
Sustainable Feedstocks
Several INEOS businesses continue to substitute fossil-based raw materials with recycled and bio-based feedstocks at commercial scale.
For example, at our olefins plant in Cologne (Germany), biomass co-produced by the wood pulping industry has been successfully converted into bio-olefins. Similarly, our Inovyn plant in Tavaux (France) is producing bio-attributed epichlorohydrin (REODRINTM) from renewable feedstocks that do not compete with the food chain, reducing GHG emissions by up to 70% compared to the fossil-based equivalent. INEOS has also started producing commodity chemicals, such as phenol, acetone, styrene, and PVC, with bio-based feedstocks.
INEOS’ bio-attributed products can be made with 100% substitution of bio-feedstock on a mass-balance basis and provide significant GHG savings in the value chains of our products. It results in products which have a proven positive impact on the environment without sacrificing product performance.
Using alternative feedstocks can also have a positive impact on INEOS’ emissions from its operations by reducing non-biogenic emissions released from chemical reactions or when process steps can be avoided by using more refined or recycled feedstocks. This is why the use of alternative feedstocks is included in our 2030 roadmaps, even if the impact of this pathway on scope 1 and scope 2 emissions is modest.
Climate & Energy Network
A critical element of our drive for a more sustainable business is ensuring that we capture and share best practice across the diverse range of businesses that form INEOS.
To do this, we have an active Climate and Energy network. This Group-wide network gathers and shares information, best practices and shapes actions and strategies on all matters to do with sustainability, for example GHG emissions, innovations in recycling, government policies, and more. The information is captured in a comprehensive sharepoint which is available to all businesses.
The network is led by a dedicated team, and governs INEOS' database on emissions, energy, water, waste, and feedstock data from across all INEOS businesses and sites.
The network engages at all levels in the company. It ensures that important developments are communicated company-wide via weekly bulletins and to CEOs and other executives via monthly briefs. It also holds annual review meetings attended by CEOs and subject experts from each business. Since 2021 'young CEN' is also active across all businesses, engaging INEOS' new/next generation in the post-2025 climate and energy agenda and driving the INEOS Talks.