MechChem Africa November-December 2024
⎪ Cover story ⎪
operations that still use simple pen and paper recording processes for each pro duction melt,” notes Dr Masipa, adding that managing data using digital systems makes far more sense for producing data for CBAM reports. “In South Africa, we now have less than 100 operating foundries, so it is vital that we assist them in terms of moving towards a just, sustainable and more competitive position,” she notes. Along with the ce ment, aluminium and chemical industries, the foundry industry is likely to face the highest export costs under CBAM if they do not adapt to lower carbon production methods, she adds. Response strategies Broadly speaking, CBAM cost mitigation strategies include investing in cleaner furnace technologies, improving energy effi ciency, exploring renewable energy sources, and engaging in carbon offset projects. Additionally, companies can lobby for sup portive policies that facilitate the transi tion to lower emissions. This process could be assisted by metals companies working together to get a better idea of the exist ing baseline of their carbon footprint. The NCPC is hoping to assist the sector to ad dress this. “Companies can start to prepare by conducting thorough assessments of their carbon emissions. Quick wins, for example, can be as simple as switching melting times to make use of off-peak power, rather than working only during peak demand times,” she points out. She says that internal communication and planning are also important: deter mining how production can be done most efficiently and always striving to use the minimum possible melting times, for ex ample. “Waste management is key, and this simply requires good housekeeping. Foundry operations are often batch-based, so it is vital that the exact quantities of metal and the power required for each melt is accurately calculated and communicated at each and every stage of production. This planning, monitoring and communication can go a long way towards minimising en ergy and material waste,” Masipa explains, suggesting that huge investments are not always required. “As with many energy efficiency and emissions reductions initiatives, the starting point is changing behaviour on the produc tion floor. Simple signs reminding operators to switch off equipment that is not being used, keep furnace doors closed, when possible, and make sure any reusable scrap material is collected and stored for a later melt. Most of these things can be imple
ArcelorMittal steelworks in Saldanha and Vereeniging were among the first plants to record significant energy savings through the NCPC’s industrial energy efficiency project when rising electricity prices threatened the sector in 2012. Continuous improvement in energy management is critical in reducing carbon emissions in the sector.
mented after a single audit/walk-through and they immediately give the foundry practical experience and knowledge on how to start the transition for themselves,” Dr Masipa tells MCA . “In terms of the training we offer, we as sist plant managers to identify these quick wins, she continues. “Beyond this, though, we advise on investments in more sustain able technologies that are better aligned with international standards, furnaces that are better insulated and far more accurately controlled, for example.” Most important for CBAM, though, is to engage in globally acceptable carbon accounting practices, while always looking to adopt cleaner solutions and/or more ef ficient heating solutions. “South Africa has potential advantages with respect to renew able energy, for example, particularly solar and wind energy, which can help to lower net emissions in the sector. Companies that leverage these resources can position them selves favourably under CBAM compared to both rival exporters and EU producers,” Masipa advises. “As well as helping to restore the com petitive advantage of South African export ers, investing in these technologies can help to accelerate the transition to renewable energy across the whole of South Africa, she continues. “Various companies in the steel and cement sectors are already pro actively investing in cleaner technologies, and even exploring carbon capture and stor age solutions. Additionally, some firms are collaborating with research institutions to innovate low-carbon production processes. These companies conduct regular emissions assessments, invest in energy-efficient ma chinery, explore alternative materials, and are developing strategic partnerships to enhance sustainability. They also engage in
pilot projects to test new technologies and processes,” she informs MCA . The NCPC recommends a multifac eted strategic response to CBAM, which includes: • Assessment: Conduct a comprehensive carbon footprint analysis of the plant and its production processes. • Investment: Invest in cleaner pro duction technologies and renewable energy sources. • Collaboration: Form partnerships with stakeholders, including governments and research institutions, to innovate and share best practices. • Advocacy: Engage with policymakers to shape supportive regulations that promote sustainability. • Education: Train staff on sustainable practices and the importance of reduc ing emissions. • Transparency: Communicate efforts and progress in sustainability to all stakeholders to build trust and en hance the company’s global reputation. This strategic approach can help mitigate the impacts of CBAM while positioning companies as leaders in sustainability. “By putting a price on carbon emissions, CBAM is encouraging investments in clean er energy and more circular production technologies, driving a shift in the energy and production landscape. If we in South Af rica respond effectively, it may prove to be a very positive move for the metals industry and the South African Economy as a whole. “Also, though, let us never forget that it is the sustainability of life on Earth that is really at stake. We must reduce our carbon emission and raise our sustainability lev els for our own survival,” Zenzile Masipa concludes. www.ncpc.co.za
November-December 2024 • MechChem Africa ¦ 5
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