Do you know how much carbon emissions come from a manufacturing plant? The manufacturing and production sector accounts for one-fifth of global carbon emissions and 54% of the world’s energy usage. 

The CO2 build-up is occurring as the world’s carbon-based fossil fuels are being burned and rapidly converted to atmospheric CO2, e.g. in motor vehicles, domestic and industrial furnaces, and electric power generation. 

Generating electricity is emissions-intensive. About 20% of final energy consumption is in the form of electricity, but the generation of electricity is responsible for over 40% of all energy-related emissions.

Much electricity is generated by burning fossil fuels, and emissions from that process are considered indirect emissions for sectors that use the electricity. In 2021, the manufacturing sector used 713 million megawatt-hours of electricity generated by the electric power sector. Taking into account the amount of emissions released per unit of electricity produced for the entire United States, CBO estimates that indirect emissions from manufacturing totalled 285 MMT of CO2, equivalent to 37% of the sector’s direct emissions

Emissions from manufacturing are projected to increase by 17% between 2024 and 2050. Reducing the carbon emissions from the manufacturing sector will play a vital role in reaching global climate targets – while for the manufacturers themselves, the benefits of carbon management extend beyond sustainability.

STL plays a major part in reducing carbon emissions in manufacturing plants

STL has been actively working on increasing the share of renewables in its manufacturing plants, including its facility in Italy. STL has entered into Power Purchase Agreements (PPAs) with renewable energy providers allowing STL to secure a steady supply of renewable energy over a long-term period.

By increasing the share of renewables in Italy we have brought down our Scope 2 emissions from 1737 TCO2 in FY23 to 709 TCO2 in FY24 which accounts for ~60% reduction.
This will have a lasting impact on overall community health as reduced pollution improves local air quality, which can lead to better health outcomes for nearby communities.
This On-site renewable energy generation will also reduce dependency on external energy suppliers, enhancing energy security and reliability.