Sustainable Chemical Manufacturing: The Scale of the Challenge

Blog
Written By Holly Reeve

As catastrophic climatic events become increasingly common and the world races toward the 1.5°C threshold outlined in the Paris Agreement, global industries like chemical manufacturing are under mounting pressure to mitigate their impact on climate change and embrace sustainability. 

Despite its significant carbon footprint, the chemical industry occupies a unique position. As the third-largest global emitter of CO2, it is also poised to play a leading role in advancing sustainability efforts and reducing emissions across other sectors (1, 8 9).  

The task is monumental, but so are the opportunities. Achieving this transformation will require innovative technologies and robust support from policies and investment. 

The Market's Immense Scale and Environmental Impact 

In 2023, the chemical–pharmaceutical manufacturing market generated €7.6 trillion (2) in sales. Vital for global economic growth, particularly in Asia-Pacific regions, its extensive product range underpins industries such as agriculture, pharmaceuticals, and consumer goods, making it essential to modern life. 

With over 95% of manufactured products relying on chemicals, the industry's actions have a substantial ripple effect, making it a critical Scope 3 factor for countless businesses. Reducing emissions within chemical processes could therefore have far-reaching positive impacts beyond the industry itself (3).  

While progressive companies like BASF (4) and Dow Chemicals have announced Net Zero targets, the challenge extends beyond emissions reduction. A shift to a circular economy model is essential, focusing on recycling and reducing waste, improving efficiencies, and managing resources - because even the transition to greener manufacturing solutions demands materials. 

In addition to being a major energy consumer, heavily reliant on fossil fuel feedstocks, the chemical sector also uses significant quantities of rare and toxic metals like palladium and platinum. The chemical and petrochemical industries drive 10% of global platinum demand, along with substantial use of palladium and rhodium (5, 10).  

These metals are crucial for catalytic processes in hydrogenation, oxidation, and synthesis reactions. Given their high costs and limited supply, often influenced by geopolitical factors and mining challenges, efficient use and recycling of these metals are vital for the industry's sustainability. 


Roadblocks Facing Sustainable Chemical Manufacturing 

  1. Energy Intensity: Chemical manufacturing can be highly energy-intensive. Transitioning to renewable energy sources is essential but challenging due to the industry's high energy demands and the reliability needed for these processes, meaning that next generation manufacturing strategies that are less energy-intensive are also critical.

  2. Circular Economy and Material Recovery: The global economy operates on a linear model, with only 7.2% of materials being reused. In total, just 9% of fossil fuels, minerals, biomass, and metals that enter our economy are being recycled (6). With resource consumption expected to double by 2050 compared to 2020, we need more than just a shift towards greener energy. We need to adopt a circular economy where materials are reused and recycled. While some companies are exploring renewable energy sources, bio-based alternatives to toxic heavy metals are growing in their appeal but widespread adoption remains a challenge. 

  3. Safety and Pollution: The industry faces increasing scrutiny over water scarcity, toxic waste, and chemical exposure, all of which have severe implications for human health. According to the World Health Organization, chemical exposure led to 2 million deaths and 53 million disability-adjusted life years lost in 2019 alone (7). Addressing these issues is not only a moral imperative but also essential for the industry’s long-term viability. 

Pathways to a Sustainable Future 

Achieving sustainability in the chemical industry demands an integrated approach.

Key strategies include:

  • enhancing process efficiency through optimisation and intensification,

  • adopting renewable energy sources such as solar, wind, and green hydrogen and

  • efforts to reduce waste and recycle more.

Concurrently, investing in research and development to advance green chemistry, identify renewable feedstocks, and adopt circular economy models are all essential for reducing the industry’s carbon footprint. 

Collaboration among industry, academia, and government is vital for driving innovation and creating supportive policies. Implementing carbon pricing mechanisms such as carbon taxes, emissions trading schemes, and subsidies will further incentivise companies to adopt sustainable practices and guide the industry toward a greener future. 

How HydRegen Technologies Support These Pathways 

HydRegen technologies offer a promising path to sustainable chemistry by:

  • providing lower energy, cost and carbon manufacturing strategies,

  • without compromising on process intensity and efficiency, and

  • allowing implementation in either existing infrastructure or lower CAPEX plants.

By using bio-based catalysts, HydRegen aligns with circular models and reduces reliance on rare and toxic heavy metal catalysts. Designed as a "slot-in" solution, its technologies integrate seamlessly into existing infrastructure, eliminating adoption barriers by avoiding disruptive and costly infrastructure changes. 

The technology tackles key industry challenges, delivering significant results. It reduces energy consumption through milder reactions, enhances efficiency by shifting to continuous operations, replaces toxic heavy metal catalysts with bio-based alternatives, and minimises the use of harsh reagents. The combined impact is substantial: a 3x reduction in CO2e emissions and cost savings of up to 40%. 

HydRegen technology is opening the door to a safer and more sustainable chemical industry without the cost burdens and waste generated by existing bio-manufacturing strategies. Simply put, it makes biology work like chemistry to achieve the best of both worlds. 

Holly Reeve
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