Verallia has made a commitment to significantly reducing its carbon footprint and is redefining its energy strategy by integrating more renewable or low-carbon energies. This change complements their continued efforts to innovate in glass furnace technology and is a vital shift towards environmentally sustainable manufacturing. The real impetus behind this change is to reduce its impacts on global warming due to the large volumes of power needed in making glass, which is mostly derived from natural gas. This transition is part of the solution in combating climate change, as after switching to renewable and sustainable energy sources, Verallia will have lower CO2 emissions, contributing to a healthier planet.
So why is this transition critical? The answer lies in the environmental necessity to slash greenhouse gas emissions. Current glass manufacturing has a high energy footprint, largely from fossil fuels such as natural gas, known for their carbon emission profile. Verallia is addressing this by researching and innovating cleaner energy choices. These steps are critical for adhering to regulatory norms and leading the wider industry towards environmentally driven accountability. Verallia is leading the way by using sun, wind, and bioenergy as renewable energy resources combined with a strong focus on technological innovation. This defines Verallia's ambition to be at the forefront of an imperative shift in the industry toward sustainability.
Verallia focuses on renewable solutions as a means of taking the initiative with its energy mix, aiming to be more environmentally friendly. This strategic action decreases the carbon intensity of its manufacturing to reduce ecological damages and champion a vision where production activities are integrated with Earth's environment. Decarbonization is a long, winding road that should be followed step by step with a clear direction, and Verallia has been taking this journey with a distinctive vision of sustainability.
The Principles Chosen: Pragmatism and Agility
Verallia is exploring a comprehensive range of energy solutions to optimize its energy mix, including carbon-free electricity options like photovoltaic, wind, hydro, and nuclear power. They are also examining plants run on biofuels, with biogas, BHO (heavy biofuel), syngas, and bio-ethanol, as well as green hydrogen. The Group will consider all these technologies, emphasizing those that deliver significant environmental benefits and are appropriate for multiple regions.
Verallia rejects a one-size-fits-all solution, focusing instead on adapting its energy strategy to the specific needs and context of each production unit. This ensures that the best low-carbon energy source in every region powers each factory. Energy options must be flexible and specific to the availability at each site. For example, in Germany, a green hydrogen solution made using carbon-free electricity may be ideal for the Ruhr Valley plant, where pipelines are likely due to prior heavy industrial demand. In contrast, for rural areas, biomass-based solutions are more feasible and beneficial.
Through the use of multiple locally suitable energy sources, Verallia aims to significantly limit its carbon emissions and progress toward good sustainability practices. This practical and flexible approach underscores the company's focus on conservation, sustainability, and new ways to power our world.
How Do We Proceed?
Verallia has decided to retain all internal know-how concerning combustion systems to be fully autonomous in proposing alternatives to fossil fuels. This approach leverages the combined knowledge of its central team and local resources to create innovative energy solutions. Teams continue to investigate other technical solutions, often partnering with external partners to advance their work.
For example, Verallia is leading various studies about bio-heavy fuel in several of its plants. A partnership with a university started as a pilot project and is now expanding. In these experiments, Verallia assesses the environmental burdens, energy use, furnace life, and glass quality. The company also manages complex attributes like process management, combustion control, and implementation.
To keep every solution available, Verallia has deployed an extensive monitoring approach. This system ensures the company remains up-to-date on new energy technologies, start-up ecosystems, and national and international regulations. Monitoring these developments allows Verallia to rapidly incorporate the most promising innovations into its operations.
Verallia's level of in-house knowledge and proactive approach underline its dedication to sustainability and ongoing progress. Its commitment to pursuing various energy alternatives underscores its determination to lower its carbon footprint and support environmental stewardship. With a solid internal knowledge base and continuous external expert interaction, Verallia is set to lead the transition towards responsible energy management practices for glass production.
The Need for A Long-Term Vision
Once all opportunities and constraints have been investigated, Verallia faces the challenge of securing sustainable supplies for new energy sources, presenting an attractive economic perspective. The issue lies in how to secure renewable electricity and biofuel with verifiable assurances on duration, quality, cost, and regulatory compliance from suppliers. This is especially important when signing long-term supply contracts, which may span over ten years, as with power purchase agreements. Distribution and regulation require long-term visibility and reliability for an entity as large as Verallia.
In response, Verallia is establishing appropriate energy sourcing strategies based on the type of energy and tailored for each country. This approach ensures that the company can navigate different markets, each with unique circumstances. Verallia will secure long-term energy supplies that are predictable and reliable by designing its strategies according to local market specifics.
Results have already been exceptional with this strategic approach. Verallia sourced 59% of the electricity it consumed from renewables or low-carbon sources in 2023. The Group is on track to meet its ambitious target of reducing CO2 emissions by 46% by 2030 compared to the 2019 baseline for Scope 1 and Scope 2 emissions. This progress demonstrates Verallia's commitment to sustainability and its ability to act sustainably concerning its energy consumption profile.
This strategic approach to long-term energy sourcing and dedication to adapting to market changes is positioning Verallia as a trailblazer in sustainability for glass manufacturing. The Group's strategic vision and commitment to innovation are key elements in meeting environmental targets and ensuring sustainability in living up to them.