ABB; contributes to new report which shows Industry can reduce global carbon emissions by 11% by 2030 whilst saving $452 billion annually
As the industry is facing the unprecedented challenge of meeting global decarbonization targets while addressing growing demand, a new report from the Energy Efficiency Movement (EEM) demonstrates how businesses can start acting immediately to adopt the latest state of art technologies for energy efficiency. The EEM is a global forum of more than 400 organizations, including ABB, sharing ideas, best practices and commitments to create a more energy-efficient world.
As part of its dedication to energy efficiency, ABB recently launched the Energy Efficiency Movement (EEM) in Egypt in May 2023. EEM details ten actions that are indispensable pillars for achieving the net zero emissions goal, providing companies with a platform to discuss achievements and the environmental challenges they face. Through this movement, ABB aims to promote affordable energy sources, scalable alternatives, and technical best practices to decrease energy usage.
Published today, “The Case for Industrial Energy Efficiency” provides corporate leaders with insights on 10 cost-effective, quickly deployable energy efficiency measures that rely on proven technologies, and reduce costs, and emissions. The new guide helps corporations address one of the biggest barriers to energy efficiency: building their own business cases. The report reveals that efficiency savings can self-fund transformation projects, while efficiency investments can serve as hedges against energy and carbon price fluctuations while meeting regulatory goals and targets.
In Egypt, the nation’s total energy consumption from the electricity sector alone was 158 TWh in 2020. By 2030 Egypt’s energy consumption is poised to soar by around 120% creating an ample opportunity to adopt energy efficiency measures across all the economic sectors. In that context, ABB as a technology leader and a trusted partner, has already succeeded in enabling Egypt to reduce energy consumption by offering a diverse range of innovative sustainable solutions and products. These solutions aim to ensure energy efficiency and reduce carbon emissions in major national projects, such as Bahr El Baqar desalination plant, the Toshka project, and the New Delta. Additionally, ABB has provided electrical distribution and supply products, and high-quality control systems, including those for the Grand Egyptian Museum, and the Alamein city.
In this new guide, ABB also pointed out that doubling energy efficiency by 2030 could cut greenhouse gas emissions by almost a third compared to today’s levels, according to the IEA. The Energy Efficiency Movement estimates that if applied across industry the 10 simple measures in this guide could save almost 1.5 gigatons of carbon emissions a year by 2024, and more than 4 gigatons by 2030. That’s equal to taking around three-fifths of the world’s internal combustion vehicles off the roads. These estimates are based on midpoint scenarios, yet still equate to an 11% reduction in annual global carbon forecasts by 2030. Using the more ambitious scenario, the savings could almost double, up to 7.9 gigatons or around 15% of total 2030 emissions. For five of the 10 actions where financial savings can be meaningfully calculated, the industry could be saving $178 billion a year in 2024, and $452 billion annually by 2030. Using the more ambitious scenario the savings go up to $491 billion annually.
“Industrial sectors account for nearly 40% of global energy consumption and more than 30% of global greenhouse gas emissions,” said Eng. Ahmed Hassan, Head of Motion Business Area at ABB Egypt, North & Central Africa. “ As a technology leader, ABB recognizes that improving industrial energy efficiency is the fastest and most effective way to cut energy costs, reduce carbon emissions, and combat climate change. We are committed to raising awareness about the benefits of energy efficiency and providing entrepreneurs with information about innovative solutions that can assist them in achieving their sustainability goals.”
Recently, the International Energy Agency (IEA) called for a ramp-up on annual energy efficiency progress from 2.2 percent today to over 4 percent annually by 2030 and recommends tripling annual efficiency-related investment, from USD 600 billion today to USD 1.8 trillion by the end of the decade. The EEM sees this guide as a contribution to this important call to action from the IEA.
It is worth mentioning that the results for emissions reduction, industry savings, and gross domestic product (GDP) growth are based on modeling commissioned by the EEM from Development Economics, an independent economic impact assessment provider. From May to October 2023, Development Economics undertook rigorous modeling of the economic and emissions outlook for each action in the guide. The modeling incorporated the best available data and included input from subject matter experts at leading industrial players including ABB, Alfa Laval, and Microsoft, Expert advice was also provided by the IEA.