Scaling up the Green Transition: Integrating Innovation, Sustainability, and Economic Viability
Series on Cefic at ACHEMA 2024
The chemical industry stands at a crucial juncture, confronting the challenge of a double twin transition: going climate neutral, digital, circular, and transitioning to safe and sustainable chemicals, all while maintaining competitiveness. This transformation requires a comprehensive approach that integrates innovation, sustainability, and economic viability.
Recent discussions at ACHEMA 2024’s Green Innovation Stage highlighted this path forward, focusing on Safe and Sustainable-by-Design (SSbD) approaches, EU funding mechanisms, and the role of innovation in the green transition, with insights from Cefic, international organisations, industry leaders and EU policymakers.
Safe and Sustainable-by-Design (SSbD): A Blueprint for Innovation
The SSbD framework, developed by the European Commission, provides a systematic approach to ensuring that chemicals, materials and processes are both safe and sustainable. Currently in its testing phase, this framework sets guidelines for meeting stringent environmental, safety, and social standards throughout a product’s lifecycle.
Cefic’s recent guidance encourages companies to integrate SSbD principles into their research and innovation processes, testing these principles and providing feedback for continuous improvement. Aligning regulations and incentives to support companies and foster innovation will play a role in maintaining competitiveness while driving sustainable practices.
Scaling Up Technologies: From Lab to Market
Scaling up clean technologies from laboratory research to commercial applications is a critical aspect of the green transition. However, a substantial funding gap exists, particularly at the demonstration plant stage, where the economic viability of new technologies must be established. Continuous investment in both early-stage innovation and the practical application of proven technologies is necessary to meet ambitious sustainability targets. This dual focus ensures that promising solutions are not only developed but also effectively brought to market.
Navigating Funding
Fostering the necessary innovation for the green transition of the chemical industry will require faster, simpler and more predictable access to funding. The complexity of the EU’s funding mechanisms presents a challenge, highlighting the need for a more streamlined and coordinated approach with better linkage between different funding programs, and the leveraging of both public and private capital. Initiatives such as the Strategic Technologies for Europe Platform (STEP) aims to streamline access to funding programmes and can help simplify these processes and support the green transition.
Partnerships and Policy Support: A Collaborative Effort
Collaboration across sectors is the answer to advancing and scaling up sustainable technologies. The Antwerp Declaration, supported by over 1,200 companies and organisations, calls for an Industrial Deal to complement European Green Deal. This initiative outlines 10 actions amongst which an infrastructure and enabling regulatory framework to make sustainable projects economically viable and competitive. Public-private partnerships and international collaborations can foster an environment conducive to innovation and sustainability, providing the necessary support for companies to transition successfully.
Creating Market Demand for Sustainable Products
Transparent communication about the benefits of sustainable products, coupled with competitive pricing, can drive consumer acceptance and a willingness to pay for sustainable options and drive market demand. Consumer education can help increase awareness and the perceived value of sustainable innovations, ensuring that these products are not only developed but also widely adopted.
The sessions underscored that the path to a sustainable future is paved with innovation, collaboration, and a willingness to embrace new challenges and opportunities. As the chemical industry navigates this transformative period, the successful scaling of new technologies through funding, incentives for innovation, and the adoption of Safe and Sustainable by Design principles will be critical. By integrating these elements, supported by strong policy frameworks and collaborative efforts, the industry can achieve a sustainable and competitive future.
About Cefic’s participation at ACHEMA
Cefic held sessions across the Green Innovation stage at ACHEMA 2024 which took place from June 10 to June 14, 2024:
The role of Innovation in the Green Transition of the Chemical Industry
Speakers
- Stephan Kothrade , Member of the Board of Executive Directors and Chief Technology Officer, BASF
- Richard Haldimann, Chief Technology & Sustainability Officer, Clariant
- Ralph Marquardt, Chief Technology Officer, Evonik
- Martina Schulze-Adams, Senior Vice President, Corporate R&D, WACKER
Safe and Sustainable-by-Design – a well-established or a new guideline for Innovation?
Speakers
- Sofie Nørager, Deputy Head of Unit, Deputy Head of Unit, Directorate-General for Research and Innovation, European Commission
- Eeva Leinala, Principal Administrator, OECD
- Richard Haldimann, Chief Technology & Sustainability Officer, Clariant
- Daniel Witthaut, Executive Director Innovation, Cefic
Introduction to the European Chemical Industry in the Brussels Ecosystem: How to navigate the EU funding landscape
Speakers
- Sofie Nørager, Deputy Head of Unit, Deputy Head of Unit, Directorate-General for Research and Innovation, European Commission
- Algreit Dume, Policy Officer, Directorate-General for Internal Market, Industry, Entrepreneurship and SMEs, European Commission
- Andre Convents, Innovation Director, Procter & Gamble
- Caio Lobo, Senior Manager Innovation & Digital Policy, BASF
- Angels Orduna, Executive Director, A.SPIRE
- Camilla Martelli, Executive Director Public Affairs, Cefic
- Florie Gonsolin , Director Industrial Transformation Projects, Cefic