With climate change topping the agenda of the G8 summit in L’Aquila, the International Council of Chemical Associations (ICCA), hosted in Rome this week by the Italian Parliament and the Italian Government, has published a global report on the carbon life cycle analysis of chemical products. This report, with independent analytical work done by Mc Kinsey, reveals that greenhouse gas emission savings enabled by the chemical industry are more than double the industry’s emissions. The chemical industry can bring effective climate protection and help this December’s Copenhagen negotiations on climate change to deliver.

How will the world succeed in limiting the increase in temperature to 2°C in order to mitigate the impact of climate change on our societies? Significant measures have been taken which are supported by the use of chemical products enabling climate friendly solutions.

An appropriate climate protection toolbox
The G8 members have agreed to observe that temperature target. It is now time to use an appropriate climate protection toolbox. The publication of the report “Innovations for Greenhouse Gas Reductions”, made in connection with the Major Economies Forum on Energy and Climate meeting in L’Aquila, shows how chemical products may provide efficient tools for a sustainable development of mankind with respect to its environment.

ICCA President Christian Jourquin, CEO of Solvay, said: “This study highlights the vital role of the chemical industry as enabler of solutions to decarbonise the global economy by making products that save energy and create a net emission reduction along the chemical value chain.”

Analyses were carried out for over 100 individual chemical product applications. The report found that for every unit of greenhouse gases emitted directly and indirectly by the chemical industry, this industry enabled 2-3 units of emission savings via the products and technologies provided to other industries and consumers. In other words, products of the chemical industry enabled greenhouse gas savings 2-3 times greater than their emissions.

Significant emission savings in everyday life
To limit the increase of temperature, chemical products are, then, a tool of choice. They meet our everyday needs. Compared to non-chemical alternatives, they increase CO2 savings most of the time while having comparable functions. The most significant emissions savings by volume were found to be from building isolation materials (such as expanded polystyrene, extruded polystyrene or polyurethane), agrochemicals, lighting, plastic packaging, marine antifouling coatings, synthetic textiles, automotive plastics, low-temperature detergents, engine efficiency, and plastics used in piping.

Such savings are not possible by chance. They are the consequence of the innovation driven by the chemical industry to produce more with fewer resources. Innovation is a tradition in the chemical industry to reduce dependence on energy and limited resources. It is a way to meet the needs of a growing population whose appetite for land, food, heat, light, mobility and water is not limited. Chemistry plays a role in these matters that helps at the same time to reduce GHG emissions in absolute terms.

Technical tools for political decision
How can this report help G8 decisions to be implemented? This report provides global sound data and an analysis conducted by McKinsey & Company on the global chemical industry’s impact on greenhouse gas emissions through the lifecycle of chemical products and the difference they make in the applications they enable. The Öko Institut, a leading independent environmental research and consulting institution in Europe, conducted a critical review of the analysis and reviewed the calculations.

These data and analysis show where the GHG reductions would be the most significant and where they could even be enhanced provided an adequate legislative framework is implemented. Improved building codes, quicker return on investment for climate friendly solutions, promotion of research and development to curb CO2 emissions, all these are solutions where chemistry already helps. The report also shows some CO2 reductions that could be individually seen as limited but that can play a big role when compared with the big figures of the owners of such tools (green tyres save approximately 8 litres of gasoline per 150 000 kms, which is limited for one owner, but huge for all owners taken together).

Alain Perroy, ICCA Council Secretary, said “The McKinsey 2030 scenarios show that the chemical industry has substantial potential to help the world further reduce greenhouse gas emissions, both through greenhouse gas emissions savings in its own production and through its products. If industry, policymakers and other stakeholders take steps to facilitate emissions reductions and fully utilize chemical products, the study suggests the ratio of emissions savings to emissions could increase to more than ‘4 to 1’ by 2030.”

A G8 commitment for Copenhagen?
G8 countries may be more targeted by the considerations of this report. They have a huge innovation capacity that need to be preserved to go on delivering more climate friendly solutions. In terms of climate change negotiations, that means that carbon leakage (Carbon leakage is the migration of industrial production, GHG emissions and jobs into non-regulated regions with higher carbon intensity) must be avoided. But the report also stresses the huge potential there is in developing countries that need to modernize their economies to reduce their emissions.

This report is also a way to help the Copenhagen negotiations to deliver workable and effective solutions. Based on data and science, the report is the opportunity to reach a constructive consensus.

There is a certain amount of sound logic for a businessperson to get on board the train rather than getting run over by the train or laying new track so that the train doesn’t hit you.

Let me guess. 100% of these companies are hoping to get government contracts?