U.S.-based gas and chemical company Air Products has announced on July 25 additional commitment to clean energy. The company has updated its “Third by ‘30” carbon dioxide emissions intensity goal for Scope 3 in addition to the present Scope 1 and 3 goal and has committed to reach net-zero targets by 2050.
Air Products will contribute at least $4 billion in new capital for clean energy transition in the upcoming five years, bringing its total investment to $15 billion by 2027. To achieve its goals, the company plans for new investments and modification of current assets, including low- and zero- CO2 hydrogen and CO2 capture tech.
“These commitments complement and reinforce our growth strategy of building our business to deliver climate benefits and work alongside our customers on their sustainability journey,” said Seifi Ghasemi, Chairman, President and CEO of Air Products. “Air Products is uniquely positioned to bring together its portfolio of technologies and legacy of experience to ensure the future climate benefits generated by our first-mover projects come online at a crucial moment in the energy transition.”
Air Products first announced its sustainability goals in September 2020, saying it will bring down carbon emissions intensity by one-third by 2030 as compared to 2015. The company committed to increase its use of renewable energy, convert its fleet of about 2,000 trucks to H2, and take additional actions to reduce CO2 footprint. Air Products is also involved with the Science Based Target Initiative (SBTi), which helps mobilize private business on climate action.
The future climate benefits from Air Products’ already announced hydrogen projects in execution are expected to eliminate more than 20 million tonnes of CO2 annually. Over a lifetime, the projects are expected to avoid more than 500 million tonnes of CO2.
Air Products’ hydrogen projects have the potential to cut over 20 million tonnes of CO2 per year, or 500 million tonnes of CO2 over a lifetime. Since 2015, Air Products has avoided 1.5 million metric tonnes of CO2 at its sites, and purchased 27% of its electricity from renewable sources.