Majority of sustainability plans by regional large-scale consumers uncertain

About 75% of the sustainability plans of large energy-intensive companies in the region cannot be implemented before 2030. This concerns about 400 companies, including the paper and cardboard industry, glass producers, brick mills and the food sector.

Although many of these companies have already developed concrete sustainability plans, they face constraints, such as lack of sufficient capacity for new or heavier electricity connections. In addition, permitting processes are often delayed by years, complicating the implementation of plans.

Research by an alliance between the companies, grid operators and government agencies involved (the Cluster 6 alliance) shows that these obstacles seriously jeopardize the timely realization of CO₂ reduction targets. Climate targets may not be met.

From gas to green hydrogen

To reduce CO₂ emissions, paper mills, food producers and glass companies, among others, must switch from gas to electricity or green hydrogen. In many cases, however, this will not be possible in the coming years because of the lack of a heavier electricity connection or available hydrogen infrastructure. This is according to a nationwide survey of 330 factories.

Disadvantaged position

Companies in the region experience a disadvantaged position compared to large industrial areas such as the ports of Rotterdam, Amsterdam, Delfzijl, Terneuzen and the chemical park in Geleen. Because they are further from energy hubs, they face even greater challenges in becoming more sustainable.

Many companies have already invested in sustainability plans, but cannot get a needed electricity connection for the time being. Meanwhile, they continue to pay extra taxes, including the Dutch CO₂ levy, which comes on top of the European Emissions Trading Scheme (ETS).

The Netherlands relative to other countries

Not only does the Netherlands have a higher CO₂ tax than neighboring countries, but also the use of the electricity grid here is currently significantly more expensive. While energy costs throughout Europe are already considerably higher than in the United States and Asia, they are also higher in the Netherlands than in Germany and Belgium.

Action plan

Minister Sophie Hermans (VVD) of Climate and Green Growth emphasized last fall that she wants more discussions with smaller companies about green government subsidies, in order to prevent the Dutch CO₂ reduction targets from falling further out of the picture. So far, talks have been held with a limited number of regional industrial companies, resulting in some success.

'Why not start fixing climate change now?'

Tarnoc is developing the natural replacement for conventional gas boilers. In the second episode of the Green Transition Drivers series, IO spoke with Tijmen de Jong, CTO of the company.