17th June 2004
First approval by UK Designated National Authority (DNA) gives green light to participation by INEOS Fluor in a CDM project to significantly reduce Greenhouse gas emissions.
INEOS Fluor has received the first approval from the UK’s Department of the Environment Food and Rural Affairs for its voluntary participation in a Clean Development Mechanism (CDM) project. The project, being set up by Gujarat Fluorochemicals Limited, an Indian company, will lead to significant real and verifiable reductions in greenhouse gas emissions of several million tonnes of Co2e when completed. This follows the approval by the Indian Designated National Authority in January 2004, which concluded that the project activity assists in achieving sustainable development in India. The approval from DEFRA as the UK Designated Authority allows the project to be presented to the CDM Executive Board of the United Nations Framework Convention on Climate Change (UNFCCC).
“We are delighted that our participation in Gujarat Fluorochemicals Limited’s project is the first to be approved by the UK Government,” commented Louise Calviou, Environmental Business Manager, INEOS Fluor. “This is a very positive project that will deliver significant and sustainable greenhouse gas reductions that would not have occurred if it was not for the Clean Development Mechanism. CDM is a growing opportunity that fits well with our corporate aim to reduce emissions of greenhouse gases through responsible manufacturing use and handling. The skills we have developed through involvement in the UK Emissions Trading Scheme, our understanding of emission abatement technology and verification, helps achieve this common goal with project hosts around the world”.
INEOS Fluor has been recognised in the UK Climate Change Plan 2000, for its own emission reductions and is now setting the pace for CDM projects in the industrial sector. The company is committed to making emission reductions worldwide and is quickly developing a reputation amongst those involved in these projects as a leader in the field.
For further information please contact:
Richard Longden - INEOS Fluor
Phone: +44 1928 513064
Mobile: +44 7710371998
Email: richard.longden@ineosfluor.com
Note to editors:
- To help reduce the cost of meeting the commitments under the Kyoto Protocol, to reduce Greenhouse gas emissions three market-based “flexible mechanisms” were designed: Emissions Trading, Joint Implementation and the Clean Development Mechanism (CDM). Although different in operation, the three mechanisms are based on the same principle: that industrialised countries be allowed to reduce emissions wherever in the world those reductions are cheapest, and then count those reductions towards their national target. CDM allows industrialised countries to provide investment in developing countries (non annex 1) to reduce greenhouse gas emissions. The CDM Executive Board of the United Nations Framework Convention on Climate Change provide Credit for these emissions which can be traded on the open market to help to companies involved in these projects to offset the cost of the initial investment. CDM has an explicit mandate to promote sustainable development.
- Hydrofluorocarbon 23 (HFC 23), is a potent greenhouse gas, if emitted to atmosphere. HFC 23 as a bi-product is a feature of all hydrochlorofluorocarbon 22 (HCFC 22) manufacturing facilities. HCFC 22 is a key material that is used in refrigeration and as a feedstock for PTFE. The emission of HFC 23 can be prevented but investment in technology is required.
- This is the second CDM project that INEOS Fluor is involved with. INEOS Fluor Japan is progressing a project in partnership with the Foosung Group in Korea, which was approved by the Japanese Government in July 2003.
- INEOS Fluor recently confirmed that it has reached agreement to sell two million tonnes of Certified Emission Reductions (CERs) to an undisclosed European corporate buyer. The company involved has committed to purchase a forward stream of CERs over 6 years, beginning in 2006.
- Gujarat Fluorochemicals Limited operates a HCFC 22 plant in Ranjitnagar, Dist. Panchmahal, Gujarat, India since 1989. The plant produces HCFC 22 by-product HFC 23, which is being vented to atmosphere. GFL wishes to take up thermal oxidation of HFC 23. This system in combination with the existing HCFC plant will enable GFL to avoid HFC23 emissions. It will also give economic and technical benefits to the country by providing direct and in-direct employment and transfer of thermal oxidation technology to the country, which will contribute to sustainable development.
- INEOS Fluor, is a world leading specialities business built on expertise and innovation in fluorine chemistry. The company is focused on the supply of fluorine-based products, technology and services across a number of major industries from pharmaceuticals to automotive, speciality polymers to refrigeration and air-conditioning. It has manufacturing facilities at Runcorn in the UK, Mihara Japan and St Gabriel in the United States. The company employs around 400 people world-wide. Its knowledge and understanding of reducing emissions from fluorochemical manufacturing facilities, monitoring and reporting put it in a strong position to partner companies seeking to improve their own environmental performance.