This case study focuses on work to upgrade the company’s yard in Egersund, Norway. Once this project is fully rolled out, it will ensure our Egersund facility can reach net zero by 2026.
As part of our Climate Action Plan, we are not only committed to reducing emissions by achieving 100 percent of our energy use from renewable sources, but we are also improving our heating systems to utilize biogenic and electric sources.
The Egersund Yard Renewal Project will eliminate more than 90 percent of total emissions from the site by replacing the oil heaters and purchasing electricity with a green certificate.
Changing regulations have placed a requirement on the Egersund yard to replace oil-fired heaters and improve the heating, ventilation and air conditioning (HVAC) system on site. This has led to a comprehensive facility upgrade project which includes introducing a new sea water heat pump and ventilation system, which will reduce emissions by 90 percent.
Regulators are constantly reviewing environmental and health regulations to reduce emissions. Recent changes ruled that oil-fired heaters are no longer compliant and as a result, our Egersund yard reviewed their heating technology and will implement a more sustainable solution.
Reducing emissions is not only a compliance issue. Customers are seeking emission reductions from vendors in an effort to reduce their carbon footprint and we strive to be part of the solution. Winning future contracts will likely depend on sustainability as well as commercial factors. The Egersund Yard Renewal Project aims to position the yard to tender for these projects successfully. Sustainability also impacts recruitment. The brightest young engineers and other professionals seek employment at organizations that prioritize green solutions.
Initially, all site emissions within scope 1, 2, and 3 were reviewed for the Egersund yard. A plan was needed which met the latest regulatory requirements, aligned with the corporate sustainability strategy, and made adequate justification for the capital expense. The project team compared nine different technical alternatives to identify the best solution in terms of emissions and cost. The final selection uses an energy-efficient sea water heat pump with water-based distribution.
The Egersund Yard Renewal Project will eliminate more than 90 percent of total emissions from the site by replacing the oil heaters and purchasing electricity with a green certificate. This reduction equates to approximately 2,000 metric tons of CO2 per year. The transition from diesel to electric forklifts as part of scope 1 emissions will also yield savings of NOK 100,000 per forklift in energy costs. All these benefits can also be extrapolated across the other three yards when the project is fully rolled out.
With the implementation of the Egersund emission reduction and safety improvement project, the yard is well on its way to net zero. It is forecast to achieve this goal by 2026 against an original target of 2050. Scope 3 strategies include the introduction of an electric water bus to connect the yard to the city centre to eliminate emissions from employee transport.
Emission improvements at Egersund are also contributing to the environmental performance of our customers through the supply chain and therefore adding value to those organizations too.