An illustration showing a manufacturing plant next to a wind farm, in a countryside setting
Factory illustration

BASF uses innovation to cut carbon footprint and help customers operate more sustainably

A company’s success is no longer measured only by the bottom line. Customers, shareholders and employees now expect businesses to operate in ways that create positive impacts and are environmentally responsible.

The chemical industry is no exception. Globally, it generates approximately 925 million metric tons of C02 annually — or about 2 percent of the world’s greenhouse gas emissions. As a result, the industry is taking targeted actions to operate in ways that are more environmentally friendly.

One company that is taking the lead in this area, in line with its overriding commitment to sustainability and climate protection, is BASF. The multinational corporation, which operates in more than 90 countries, manufactures chemicals that are key ingredients in a range of industrial and consumer products, from cosmetics and furniture to automobiles and even spaceships. BASF is committed to using innovation to reduce the carbon footprint of its products and, by extension, those of its customers.

BASF, which calls climate change “the greatest challenge of the 21st century,” drives sustainability by advancing its own green transformation: internal efficiency, sourcing energy responsibly and helping its customers reduce their carbon footprint. BASF accomplishes the latter by offering materials that improve the sustainability profile of numerous industries, including construction, automotive manufacturing, aviation and more.

An illustration showing how steam emitted by the plant is captured to provide energy for additional operations. The plant is surround by busy workers and trucks moving in and out.
Trees illustration

Sustainably efficient

BASF is aiming for net zero emissions by 2050. By 2030, the company wants to reduce its Scope 1 and Scope 2 greenhouse gas emissions by 25 percent, compared to 2018 levels. BASF is also one of the few chemical companies to have a Scope 3 target: By 2030, BASF aims to reduce its specific Scope 3.1 emissions by 15 percent compared with 2022 across the portfolio. To get there, BASF is developing innovative ways of working to save energy and implementing a phased approach, with transformation-related spending to average €600 million per year from 2025 to 2028.

BASF emissions goals

25%

REDUCED
SCOPE 1 AND SCOPE 2
EMISSIONS

by 2030*

15%

REDUCED SCOPE 3.1
EMISSIONS

by 2030**

0

NET EMISSIONS
by 2050

The company is reinventing numerous manufacturing processes with a focus on transitioning away from fossil fuels, such as natural gas, and electrifying where possible with energy from renewable sources. BASF also seeks to maximize the use of energy captured through its Verbund operating method. This method, which plays a crucial role in efficient production processes, relies on an integrated approach to manufacturing, research and other activities. Business units are purposely located in close proximity to one another to facilitate sharing and efficiency.

“With every ton of steam produced with waste heat, we save one ton of steam that we otherwise have to generate with fossil fuels such as natural gas.”

Dirk Neumann
Vice President Senior Project
Energy Transformation Ludwigshafen

For example, BASF is looking for technical solutions to capture waste heat from production processes and transform it into valuable energy carriers such as steam. The steam can then be used as a heat source in other chemical plants. “With every ton of steam produced with waste heat, we save one ton of steam that we otherwise have to generate with fossil fuels such as natural gas,” said Dirk Neumann, Vice President Senior Project Energy Transformation Ludwigshafen.

BASF is also supporting the circular economy. For example, the company is processing sustainable feedstock, like end-of-life plastics and other hydrocarbons, in its existing chemical manufacturing process to make new materials with virgin-grade qualities. New business models enable circular feedstocks and new material cycles, such as the plastics identification technology developed by BASF subsidiary trinamiX GmbH. The trinamiX mobile NIR spectroscopy solution determines the precise compositions of different plastics via a portable handheld device which is combined with trinamiX data analysis and a mobile app. It enables recycling facilities worldwide to ensure on-the-spot identification and clean sorting of post-consumer plastic waste at the push of a button.

An illustratoin showing how power from the wind farm flows to the plant to provide renewable energy for operations
Factory illustration
Trees illustration

Sourcing energy responsibly

Horatio Evers
Managing Director of
BASF Renewable Energy GmbH

Beyond using less energy, BASF strives to ensure that much of the energy it does use comes from renewable sources, including wind and solar. “Securing long-term renewable energy sources is critical to our sustainability strategy and energy security,” said Horatio Evers, Managing Director of BASF Renewable Energy GmbH. In past years, BASF made significant strides in expanding its renewable energy portfolio. A notable example is the acquisition of 49% of the offshore wind farm projects Nordlicht 1 & 2, which will be built in the German North Sea without state subsidies and with a total installed capacity of 1.6 gigawatts. BASF will use the renewable power to further implement its energy transformation in Europe, especially at its largest site in Ludwigshafen.

Another milestone was the inauguration of the Hollandse Kust Zuid offshore wind farm in partnership with Vattenfall and Allianz in 2023. Located in the North Sea about 18 kilometers off the coast of the Netherlands, it’s set to be one of the world’s biggest subsidy-free offshore wind parks. Its 139 turbines deliver an astonishing 6 terawatt-hours of power per year. That’s roughly equivalent to the yearly consumption of approximately 1.7 million German households.

Beyond using less energy, BASF strives to ensure that much of the energy it does use comes from renewable sources, including wind and solar. “Securing long-term renewable energy sources is critical to our sustainability strategy and energy security,” said Horatio Evers, Managing Director of BASF Renewable Energy GmbH. In past years, BASF made significant strides in expanding its renewable energy portfolio. A notable example is the acquisition of 49% of the offshore wind farm projects Nordlicht 1 & 2, which will be built in the German North Sea without state subsidies and with a total installed capacity of 1.6 gigawatts. BASF will use the renewable power to further implement its energy transformation in Europe, especially at its largest site in Ludwigshafen.

Horatio Evers
Managing Director of
BASF Renewable Energy GmbH

Another milestone was the inauguration of the Hollandse Kust Zuid offshore wind farm in partnership with Vattenfall and Allianz in 2023. Located in the North Sea about 18 kilometers off the coast of the Netherlands, it’s set to be one of the world’s biggest subsidy-free offshore wind parks. Its 139 turbines deliver an astonishing 6 terawatt-hours of power per year. That’s roughly equivalent to the yearly consumption of approximately 1.7 million German households. It will provide low-emission, renewable energy to BASF production sites across Europe — and reduce reliance on fossil fuels considerably. “Sourcing renewable energy is critical to transform the chemical industry towards net zero emissions and to meet our climate targets, as we expect increasing power demand at major BASF sites in the future,” said Evers.

It will provide low-emission, renewable energy to BASF production sites across Europe — and reduce reliance on fossil fuels considerably. “Sourcing renewable energy is critical to transform the chemical industry towards net zero emissions and to meet our climate targets, as we expect increasing power demand at major BASF sites in the future,” said Evers.

Renewable energy at
Hollandse Kust Zuid Wind Farm

6

TERAWATT-HOURS
OF WIND POWER

PRODUCED

ENOUGH TO POWER

1700000

HOMES

An illustration showing how materials produced at the plant provide essential inputs for EV batteries
Battery illustration

Solutions for a sustainable future

Through its innovative products and manufacturing methods, BASF is also helping its customers and consumers meet their own climate goals. Indeed, many sustainable goods rely on innovations from the chemical industry. These include insulating foams for energy-efficient buildings and lightweight construction components, as well as ingredients for sustainable cleaning solutions, personal care applications and agrochemical materials.

BASF’s Alkyl Polyglucosides (APGs), which are readily biodegradable, mild secondary surfactants derived from 100 percent natural and renewable feedstocks, are a key ingredient in numerous formulations. They are used in cosmetics, household goods and industrial products. Currently, BASF manufactures APGs at three plants worldwide, including one in Düsseldorf, Germany, and has announced a new production line to be inaugurated soon in Thailand. Since its inauguration in April 1995, the plant in Düsseldorf has produced more than one million tons of APGs.

“The demand for sustainability and natural ingredients among consumers and customers remains a significant
force driving market growth,”

Peter Weinert
Vice President for the business management of BASF Personal Care in
Europe, the Middle East and Africa

“Our APGs meet modern requirements for cleansing products and are still a trendsetting raw material for the personal care and the detergent and cleaning industry as well as for industrial applications. The demand for sustainability and natural ingredients among consumers and customers remains a significant force driving market growth,” said Peter Weinert, Vice President for the business management of BASF Personal Care in Europe, the Middle East and Africa.

Beyond cosmetics, BASF is working with companies in other industries to help them make their products more sustainable. For example, the company is partnering with Swiss furniture manufacturer Vitra. The company aims to achieve a closed material cycle for its product lines. With the help of BASF’s new generation of flexible PU foams, it is now possible to produce recyclable upholstery for office chairs, armchairs, and sofas.

BASF is also working to make electric vehicles more sustainable and energy efficient. Its innovative cathode active materials deliver high-energy density and reliability for lithium-ion batteries. The goal is to enable EVs that can go 360 miles on a single charge in this year.

BASF plans to continue its commitment to sustainable innovation with more sustainable products in the pipeline.

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