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Seco Tools hits 2030 emissions target nine years ahead of schedule

Posted on 07 Jan 2022 and read 743 times
Seco Tools hits 2030 emissions target nine years ahead of scheduleRenewable energy is supplied by solar panels at Seco Tools’ factory in Pune

A combination of green electricity and renewable energy certificates in the USA and India have enabled Seco Tools to reach its 2030 emission targets a full nine years ahead of schedule, with the added benefit of cost savings for the business.

The Seco focus on making all aspects of its business more sustainable led to a comprehensive review of the company’s energy requirements, and when the time came to renew contracts with suppliers for the site in Reynoldsville, Pennsylvania, green energy was to the fore.

Studies have shown that Reynoldsville is responsible for around 10% of the global electricity requirement for Seco and 19% of its climate impact from electricity, so changes made there would have a profound effect on the company’s global footprint.

Eric Sirianni, generic sourcing at Seco in Reynoldsville, said: “We purchased renewable energy certificates (RECs), which allow us to offset our CO2 footprint. The process started for us in 2019, and previously we were only concerned with getting electricity at the cheapest price we could get it – when we turn on the light switch, the power is going to come on no matter who we buy the electricity from.

“There wasn’t really a template, we were just asked to look at green energy the next time we were hedging electricity. Green energy costs more, but we have a CO2 goal and from there it just took off. We were able to hedge our electricity while layering in 100% green credits, and still lower the price ¬– once people saw that, people took notice.”

Renewable sources

RECs allow companies to invest in energy from renewable sources even though those sources may be located elsewhere. The next step will be for Seco sites around the world to investigate solutions such as on-site electricity generation through solar panels and geothermal heating.

Nagesh Shekhadar, general manager for indirect purchasing in Pune, India, said: “Everyone is committed to work towards these emissions targets and promoting the use of green energy, and apart from the RECs we have also installed solar panels to power our strip lights and so on, which is approximately 4% of our production.”

Much of the power used by Seco India comes from the local state electricity board, which uses coal power. With no greener options available, RECs were purchased offset the CO2 emissions of coal power.

Atul Mohkhedkar, Seco India general manager (production), said: “We are using some solar power at the moment, and we are also exploring the possibilities for wind energy so we can create more and more clean energy. We need to work on hybrid solutions, and once the supply of green energy increases, the price of it will go down.”