Environmental & climate protection 2021
In accordance with the GHG (Greenhouse Gas) Protocol, for calculation purposes we classify greenhouse gases into three categories: direct emissions (Scope 1), indirect emissions from procured energy (Scope 2), and other indirect emissions in the upstream and downstream supply chain (Scope 3), measuring the emissions in terms of CO2 equivalents (CO2e).
For 2021, the following changes apply to the calculation of greenhouse gas emissions:
- Dual calculation approach for Scope 2, presenting both the location-based method as previously used and a new, market-based method.
- Extension of the scope of calculation for Scope 3, including additional categories recommended by a joint working group comprising industrial gases companies and industrial gases associations.
In the financial year 2021, the total greenhouse gases emitted directly and indirectly as a result of Messer’s activities in production and logistics worldwide, i.e. Scopes 1 & 2, stood at 5.46 million metric tons of CO2e. That was 680,000 metric tons more than in the previous year, when the combined value was 4.78 million metric tons of CO2e. This 14.2 percent increase is primarily attributable to two factors: First, our sales growth, and second, the less favorable CO2 factor for energy in Asia due to the lower quality electricity mix caused by the electricity shortage.
The CO2 emissions intensity of Messer’s worldwide activities (Scopes 1 & 2), measured as the ratio CO2e per Euro of sales, stood at 1.55 CO2e/€ in 2021, slightly above the combined value of 1.53 CO2e/€ measured for 2020.
Scope 1
Scope 1 includes direct emissions generated in our production facilities. In particular, this applies in connection with the production of hydrogen, carbon dioxide and nitrous oxide. Other direct emissions are generated in logistics by the combustion of fuel. In 2021, Scope 1 for Messer worldwide totaled 240,300 metric tons of CO2e. In 2020, the comparable value was 220,600 metric tons of CO2e. This 8.9-percent increase is attributable to Messer’s strong sales growth, which was over 10 percent in 2021.
In 2021, the bulk and cylinder fleet of Messer including Western Europe consumed 35.37 million liters of diesel fuel. In 2020, that value was 29.95 million liters. Our fleet traveled a total of 114.30 million kilometers in 2021, versus 96.98 million kilometers in 2020. The increase of more than 10 percent is in line with the growth of our activities in 2021. The average rate of diesel fuel consumption once again remained nearly unchanged; in 2021 it was again 0.309 liters per kilometer traveled.
We express the trend in distance traveled per metric ton (payload) of liquefied industrial gases or cylinder gases for Messer worldwide in 2021 with an index value of 99.4; in 2020 the index value was 101.9. The slight decline in this parameter resulted from, among other factors, the fact that the seamless supply of medical oxygen during the coronavirus crisis also required additional routes in 2021.
As in 2020 already, the year under review 2021 was marked by challenges arising from the coronavirus pandemic. From a logistical perceptive, ensuring supply, notably of medical oxygen, to our customers was especially challenging. It was our top priority. Despite all of our efforts to work efficiently, however, we were unable to reach all of the targets that we had set for ourselves relative to the KPIs in the logistics area.
In Croatia, the Czech Republic, Serbia and China, Messer produces nitrous oxide (N2O). This gas is used in medical applications and in the electronics and food industries. In Switzerland and China, Messer operates a total of six company-owned hydrogen plants. Three other hydrogen units located on our customers’ premises in Austria and Hungary (on site units) are not included in the calculation of our own CO2 footprint. In its gaseous state, hydrogen is used in many industries – e.g. as a food additive in hydrogenation or fat-hardening, in heat treatment processes, as an energy source, or even as an emissions-free fuel.
Scope 2
Indirect CO2 emissions under Scope 2 relate to the production process of the purchased electricity. For Messer Group-wide in 2021, that value, location-based, increased from 4.51 million metric ton in 2020 to 5.22 million metric ton in 2021, of which 1.47 million metric tons related to Messer in North and South America. This increase of 0.71 million metric ton growth in 2021 vs. the previous year’s figure is primarily attributable to the strong growth of our business as well as the increase of the emissions factor in Asia: as long as the global trend toward more green electricity continues, we will also continue to purchase more emission-free electricity. As a result, our indirect CO2 emissions under Scope 2 – which make up more than 90 percent of the total emissions generated from our own activities – will follow the downward trend, until the long-term goal of climate neutrality is reached.
With regard to the air separation units that we develop and build, we pay particular attention to their energy-efficient design and the cost-effective procurement of energy used to operate them.
For example, to optimize our electricity procurement, we use calls for tenders throughout Europe, long-term framework agreements, and continuous monitoring of futures and spot markets. A centralized team provides advice and support to our subsidiaries when they purchase electrical power. That team also uses regular comparative analyses to study electricity costs and the use of renewable energies.
The location-based emissions factor increased by about 3.3 percent versus the previous year; this was mainly due to our activities in Asia. Our absolute global CO2e footprint increased by about 15.6 percent in 2021, because we consumed in total about 12 percent more electricity for the product volume manufactured.
In 2021, our production units consumed 11.9 TWh of electricity worldwide, which was 1.3 TWh more than in 2020. This change was due to a strong increase in electricity demand in all regions: relative to 2020, it rose by 14.8 percent in Asia, by 10.3 percent in Europe, and by 9.7 percent in North and South America.
Despite efficiency improvements and the procurement of renewable electricity, e.g. through power purchase agreements (PPA), indirect CO2 emissions (Scope 2) continued to rise Group-wide. The reasons for this are the growth in sales through new air separation units along with the higher utilization of existing units.
In view of the decarbonization program and the goal to reduce greenhouse gas emissions, alongside the previously used “location-based" method, the “market-based” calculation of GHG emissions pursuant to the GHG Protocol is being used for the first time. For 2021, the GHG emissions were estimated to be 5.48 million metric tons.
Scope 3
The emissions documented under Scope 3 are indirect emissions unrelated to the purchase of electricity. This applies to the major upstream and downstream activities. Examples of this include the purchase of commodities, services and capital goods, the consumption of other energy, and the electricity transmission losses not included in Scope 1&2, as well as business travel, employees’ commute to and from work, and products sold.
The Group-wide total CO2 equivalence value for the greenhouse gas emissions under Scope 3 in 2021 was 2.95 million metric tons. This was significantly higher than the comparable figure for 2020. The latter accounted only for other energy consumption, business travel and the employees’ commute to and from work, however. After a thorough review of our previously applied estimation method, we have started to revise the estimate of the main categories of Scope 3. This applies to all main categories that significantly impact the integration of upstream and downstream supply chains related to our activities.
Messer focuses on the responsible use of all resources, especially energy. The specific energy consumption of all processes is a key performance indicator. Actions are undertaken each year across all Group companies aimed at achieving ever higher energy efficiency.
For example:
Hungary – High-performance compressor for energy efficiency
In its air separation unit at the BorsodChem site, Messer in Hungary replaced three existing compressors with a new high-performance turbo-compressor. The latter went into operation in March 2021 and has been providing far greater energy efficiency ever since. The production capacity has been increased as well.
Brazil – Eco-friendly tandem trailer
In northeastern Brazil, Messer is using a new tandem tractor-trailer to transport liquid oxygen. The trailer was developed with the long routes in the region in mind. Thanks to its extended tank capacity, it can satisfy demand with fewer delivery runs. That raises productivity, enables greater sustainability in logistics, and generates less CO2 emissions.
Poland – Optimized filling and air separation
With the support of ACKLogic of Spain, an automated trailer filling system was installed at Messer’s sites in Rybnik and Turek, Poland. It not only simplifies the work of the drivers but also makes the filling process safer and more reliable. A new software-based control system was also used to optimize the air separation process in the production units in Rybnik and Turek. The automated control system makes it possible to reduce energy consumption as well as product losses from venting while maintaining a high argon recovery rate.
Most of the water that we consume is used to cool the compressors in our air separation units. In 2021, our Group-wide water consumption was 17.5 million cubic meters, which represents an increase of 900,000 cubic meters over financial year 2020. This 5.4-percent increase is attributable to the increase in production in 2021.
Our main manufacturing processes – air separation, CO2 purification and liquefaction – need no water within the actual production process streams. But they do generate a great deal of heat, mainly during the compression of gases. To carry that heat away, most units have an open cooling water circuit: the cooling water absorbs heat from the respective sources and discharges it to the atmosphere in an open cooling tower. There, part of the circulating water evaporates and another part is removed to prevent insoluble components from thickening. Fresh water must be fed back into the system to replace the water that is evaporated and/or removed. This results in the only direct water consumption of our manufacturing processes. The quantity of make-up water added is directly dependent on a unit’s electricity consumption. It averages about two to three cubic meters per hour per megawatt of electrical power.
In 2021, the total quantity of waste for Messer including its Western European companies was 29,155 metric tons. Of that figure, 15,484 metric tons were non-toxic waste and 13,671 metric tons were hazardous waste. These figures do not include data for Messer companies in North and South America.
Our commitment to environmental protection is also reflected in our worldwide Quality Management System. In 2021, 61 consolidated companies were certified according to ISO 14001 or Responsible Care Management System (RCMS); that was two more than in the previous year. ISO 14001 is an internationally recognized standard developed by the International Organization for Standardization (ISO). It defines requirements designed to help organizations establish, implement, maintain and continuously improve their environmental management systems. RCMS certification serves the comparable purpose and function for our American production sites.
We act sustainably to meet our customers’ needs, which include the reduction of their own carbon footprint. We achieve this through the impact of our gas applications on their production processes, through an efficient supply of gases – via on site units, for example – and through the use of emission-free or low-carbon products such as green hydrogen.
In customers’ industrial processes, our “Gases for Life” provide for greater safety, efficiency, quality, capacity and environmental compatibility and / or reduce the associated emissions and costs. To fully realize these potentials, we work closely with our customers, supply application engineering equipment and expertise, and help design and optimize processes. In addition, we provide our customers with process development support.
Messer, including its Western European companies, signed more new bulk contracts than in the previous year: In 2021, 31.1 percent of new contracts with explicitly positive overall effect on the environment were signed; in the 2020 financial year, that figure was 29.7 percent.
The increased number of new contracts based on applications with positive effects on the environment include, among other things:
- Increase in applications and installations with oxyfuel in Europe, especially in the non-ferrous and glass segments
- Continued implementation of cryocondensation units
- Further development of oxyfuel and hydrogen-oxygen combustion technology, both in the company’s own competence center and through sponsored R&D projects
Examples of gas applications with a positive environmental impact realized in 2021 include:
Efficient superconductivity
The global demand for electricity is growing – and with it, the demand for power lines. But there is less and less space for new transmission line routes. Innovative high-temperature superconductors can alleviate the bottlenecks. Despite their name, they must be cooled with liquid nitrogen. Messer developed a cooling system that can reduce the combined energy losses from the cooling by up to 50 percent. It works without a return line or a recirculation pump, and intermediate cooling stations are not required. This reduces investment costs significantly. This technology makes it possible to implement up to 100-kilometer-long, energy-efficient superconducting cable runs inexpensively and with very high operational reliability.
France – Eco-friendly cooling alternative
In May 2021, Messer started up a public EcoLIN station at the Rungis wholesale market near Paris. It was installed on the site of the world’s largest wholesale market for fresh produce. Vehicles that use cryogenic gases to cool their refrigeration compartments can top up their coolant supply any time of day or night – rapidly, safely and automatically. Liquid nitrogen offers an eco-friendly, low-noise cooling option that emits neither particulates nor NOx or CO2.
Hungary – Cave research for climate model
Historic climate research forms the basis for the development of long-term climate models. The Institute for Geological and Geochemical Research in Budapest, Hungary, uses gases from Messer to analyze stalagmite and sinter samples from limestone caves throughout the world. They give us a glimpse of a half million years of climate history. The characteristic limestone columns contain trace elements such as phosphorus, magnesium and strontium, the content of which fluctuates according to the climate conditions.
In addition, the installation of on site units that produce industrial gases eliminated the need for some bulk deliveries, thereby reducing emissions by 4,800 metric tons of CO2e in the financial year 2021. That represents an additional 14-percent reduction relative to 2020 – despite growth that was observed in the context of increasingly dynamic activity overall.
In 2021, Messer further intensified its commitment to clean hydrogen: A cooperation agreement was signed with Siemens Energy to collaborate on green hydrogen projects in the 5-to-50-megawatt range for industrial and mobility applications. Messer in Spain has already applied to the Spanish government for funding for three such green hydrogen projects in the chemical complex in Tarragona.
Together with Toyota Tsusho, Messer is offering the “One-Stop Shop” to bus operators. The concept bundles all the products and services required to operate hydrogen-powered, fuel cell electric bus fleets.
Messer is part of the joint venture “HyDN” in the district of Düren, Germany, where a new production facility for green hydrogen is being installed. Messer’s expertise in the efficient operation of gas production facilities and refueling infrastructure will help ensure the effective operation of fleets of fuel cell electric buses and trains.
In Spain Messer participated in a conference in Reus on hydrogen and sustainable mobility organized by the Chair for the Promotion of Business Innovation, the URV Foundation (University of Rovira i Virgili), and Hydrogen Valley of Catalonia. Companies such as Repsol, Enagas, Messer Ibérica and Technip explained their commitment to the development of the value chain for green hydrogen. Jordi Soler, head of hydrogen business development for Messer in Spain, presented the company’s activities in the sustainable mobility area and emphasized the importance of the hydrogen value chain as an energy vector.
In the USA, Messer Industries has substantial experience in hydrogen for vehicle refueling applications. At a car manufacturing plant in Greer, South Carolina, Messer supplies the technology and the hydrogen for one of the largest fleets of forklift trucks and other industrial handling equipment in the USA. In 2021 the facility installed by Messer was extended and the service and hydrogen supply contracts were successfully renewed.
Germany – Messer welcomes climate course-setting
In its coalition agreement, the new federal government formed in Germany in the fall of 2021 listed many actions designed to combat the ongoing climate change. Gases such as oxygen, nitrogen and carbon dioxide contribute to environmental protection in various applications. Hydrogen produced from green energy is playing an important role in the energy transition. Against this background, Messer is positively disposed toward many aspects of the coalition agreement and welcomes the accelerated expansion of renewable energies it sets out. This applies above all to long-term power purchase agreements (PPAs), the strengthening of European trade through certificates of origin, and the planned expansion of green energy generated from photovoltaics and wind power.
Germany – Campaign for a cleaner Rhine
Together with the initiative’s other organizers Krefeld City Council, the municipal waste management service GSAK and the waste disposal company EGK, Messer solicited volunteers for the “RhineCleanUp” once again this year. This involved cleaning up a 6.5-kilometer section of the banks of the Rhine at Krefeld. In Krefeld alone, over 300 volunteers took part in the transnational clean-up initiative on September 12. The crew also included Messer employees and their families. The aim of this environmental campaign is to prevent even more plastic waste from reaching the oceans.
Spain – Responsible Care program
Messer in Spain was recognized by the Business Federation of the Spanish Chemical Industry (Feique) as a Responsible Care company. The reason for this is that Messer is committed to social responsibility and sustainable development in the performance of its activity. In Spain, a total of 59 chemical companies have joined the voluntary Responsible Care program to date. Responsible Care is an international voluntary initiative of the chemical industry for the continuous improvement of safety, health and environmental protection in all operations according to the principles of sustainable development and CSR. Messer companies in the Czech Republic, Germany, the Americas and Austria also support the initiative.
