Sustainability

Reducing emissions along the value chain

At our production sites and along the value chain with our partners, we work continuously to reduce the greenhouse emissions from our business activities.

Chemical production requires a large amount of energy and some processes also create greenhouse gases as by-products. Our aim is to continuously reduce the greenhouse gas emissions resulting from the generation of energy in power plants and from the production processes. Our experts are constantly working on further improving the processes and setup of our installations.

Moreover, we encourage our employees to make an active contribution to increase our efficiency by constantly running suggestion scheme campaigns at various BASF sites. Each idea that is implemented results in a financial reward that is proportional to the amount of cost and greenhouse gas savings. In this way, we achieve an emission reduction of several thousand tons of CO2 equivalent each year.

As a result, we have already achieved a great deal on the way towards greater climate protection. We have been able to reduce absolute emissions in the chemical business by 48.1 percent compared with 1990. The reduction per metric ton of sales product was in fact 72.1 percent.

In rund 200 Produktionsanlagen werden am Standort Ludwigshafen viele Produkte für Kunden aus fast allen Branchen hergestellt.

BASF

We want to live up to our responsibility for climate protection. One way we do this is with our products, which enable our customers to lower CO2 emissions. But that is not all: We also become more efficient in our production and energy use, we will increase our use of renewable energies and we will accelerate the development and deployment of new CO2-free processes for the production of chemicals.

In the new research building B007, BASF research moves closer together. Here, scientists from material physics, formulation and specialty chemicals research work door-to-door. They develop new solutions together with polymer chemists in the neighboring building. A bridge, shortening paths, interconnects the two buildings. 

Furthermore, open communication areas facilitate exchange between the scientific disciplines. This stimulates creative ideas, and benefits the efficient development of effective solutions.

Sabine Hirth (left), Karsten Seidel (middle left) and Bernhard von Vacano (middle right), from Material Physics, together with Fangfang Chu (right), chemist at Formulation Research, exchange experience and discuss research findings.

Customers

BASF products enable energy efficiency and climate protection in a variety of sectors, such as the construction industry, the automotive industry and in industrial processes. Our goal is to continually increase the contribution of our current products for climate protection, as well as of new products and solutions. We invest about half of our annual expenditures for research and development (R&D) on product and process innovations where the R&D target is related to energy/resource efficiency and climate protection. 

Circular economy means the decoupling of growth and resource consumption. The picture represents the variety of plastic waste of an average household. The aim is to establish a new understanding of plastic waste as a resource and to see research into recycling possibilities as an opportunity. BASF contributes to closing and expanding the cycles by developing and implementing recycling solutions for the materials we purchase, further optimizing our operations and offering resource-efficient products and services that support our customers' recycling targets.

Disposal

We use the BASF Verbund to efficiently manage our material flows. The by-products of one plant often serve as feedstocks for another plant, avoiding waste. Moreover, we are also working intensively on solutions for a circular economy. 

Seit der Inbetriebnahme im Jahr 2000 ermöglicht das Ludwigshafener Kombiverkehrsterminal (KVT), die Transportmittel Lkw und Bahn umweltschonend und kostengünstig zu verknüpfen. Der Vorteil: lange Strecken können umweltfreundlich auf der Schiene absolviert werden.Das KVT ist circa 260.000 Quadratmeter groß und verfügt über dreizehn Umschlaggleise. Acht Portalkräne überspannen es in einer Höhe von etwa 20 Metern. Bis zu 500.000 Ladeeinheiten können hier jährlich umgeschlagen werden.Im Hintergrund sind das Zentrale Tanklager sowie der Steamcracker zu sehen.

Suppliers

In our Supplier CO2 Management Program, we aim to achieve transparency on the product-related CO2 emissions of our purchased raw materials. We offer our support and share our knowledge on Product Carbon Footprint (PCF) valuation methodologies and tools with our suppliers. In the improvement phase, we will jointly identify levers and targets with our suppliers to reduce these GHG emissions.

Transport

Since 2021, BASF uses the IT solution “EcoTransIT” to calculate CO2 emissions of freight transport, including BASF internal transports as well as transports from BASF to customers. 

Adapted figure from the  BASF Online Report 2020

Nitrous oxide decomposition catalysts

The use of nitrous oxide (N2O) decomposition catalysts is an important lever for emission reduction in our production. We have installed our own N2O decomposition catalysts in all plants where nitrous oxide is created as a by-product.

 

Sustainable energy supply for production sites

Energy is one of the main cost drivers of production. Therefore an efficient energy generation and use of energy in the production is very essential for BASF. The Energy Verbund and combined heat and power plants are of major importance in that respect.

We are continuously exploring the use of renewable energies. The focus here is on the purchase of electricity. Our research also contributes to increasing the efficiency of technologies for the use of renewable energy sources.

Energy Verbund

Overview of production factory at night lit with yellow, orange and blue lights
The Verbund site Ludwigshafen

Our Verbund concept which is applied at all major sites makes an important contribution to energy efficiency by linking our production and energy demand. Waste heat from production processes is captured to be used as energy in other production plants. Thanks to the Energy Verbund, BASF saved in 2020 around 18.7 million MWh per year, equal to an annual reduction in CO2 emissions of 3.8 million metric tons. 45 percent of the steam consumption of BASF group is covered here by use of excess process heat and of the energetic use of by-products from production. The Verbund is one of our prime strengths in ensuring the efficient use of resources. Therefore, it is a key success factor for BASF in global competition and environmental protection.

More information on BASF's Verbund

Combined heat and power

Low angle view of two silver towers
Efficient power generation with combined heat and power plant

We increasingly use combined heat and power (CHP) plants to generate both electricity and steam. Such cogeneration plants are an extremely effective means of supplying energy and, with an overall fuel efficiency of almost 90 percent, are the front-runners among energy conversion methods suitable for use on an industrial scale. Worldwide our sites are supplied by more than 25 gas turbine plants in combined heat and power mode, the majority of them operated by BASF. By using CHP technology, we are able to meet around 70 percent of BASF’s electricity demand and saved about 12.0 million MWh of fossil fuels in 2020, compared to conventional electricity and steam generation. This corresponds to 2.4 million metric tons worth of prevented carbon emissions.

More on energy supply of the BASF group

Energy Management, Energy Efficiency and ISO 50001 at BASF

Bar chart showing increase in Energy Efficiency from 2016 to 2020
Certified energy management systems (ISO 50001) at BASF Group sites worldwide, in terms of primary energy demanda

As a company with a high energy demand, we have been paying attention to the efficient use of energy for decades already. With our comprehensive energy management we continuously analyze, improve and review our energy performance. We achieved our goal of introducing certified energy management systems according to DIN EN ISO 50001 at all relevant production sites by the end of 2020. The selection of relevant sites is determined by the amount of primary energy used and local energy prices. The relevant sites represent 90 percent of BASF’s primary energy demand. At the end of 2020, 81 sites were certified worldwide, representing 91 percent of our primary energy demand.

You can find a leaflet on “Energy Management, Energy Efficiency and ISO 50001 at BASF” here. Certificates are available on request.

a Relevant sites are selected based on the amount of primary energy used and local energy prices; does not yet include the polyamide business acquired from Solvay.

Raw materials and suppliers

The close cooperation between partners along the entire value chain is a major factor in lowering greenhouse gas emissions, because often opportunities for reducing emissions can only be achieved as a joint effort. 52 million metric tons of greenhouse gas emissions were generated in the production of the raw materials, precursors, energy sources, services and capital goods that BASF purchased in 2020. We work with carefully selected raw material suppliers on specific projects looking at solutions contributing to reduce these emissions.

Environmental protection, occupational safety and social standards, in addition to economic criteria, are part of the assessment of new and existing supplier relationships and are an integral part of our conditions of purchase.

More on acting responsibly in the supply chain

More on the Product Carbon Footprint of Raw Materials

Transport

Photo: KTL

Intermodal transport is an important lever to reducing emissions in logistics. Transporting goods by rail instead of by road reduces CO2 emissions by up to 65 percent. BASF uses intermodal transport at its major production sites at Ludwigshafen, Schwarzheide and Antwerp.

More on BASF intermodal transport terminals