8 in 10 manufacturers say ‘decarbonisation’ now a priority

The vast majority of manufacturers are planning to take action to cut their carbon emissions this year, driven primarily by rising energy costs and the desire to ‘do the right thing’.

According to research published by Make UK in collaboration with Siemens, manufacturers have moved the decarbonisation of their business up the priority ladder in the past year despite unprecedented economic challenges: 

Nearly half (46 per cent) of manufacturers surveyed are already implementing a decarbonisation strategy, with a further 25 per cent planning to start the process within the next 12 months. Only 3 per cent of manufacturer have no plans to decarbonise their operations
Energy efficiency is seen as the immediate priority by most. Nearly half (47 per cent) have already adjusted business practices to cut energy consumption, 59 per cent already measure their energy consumption and three quarters are planning to speed up efforts in this area
Two in five (39 per cent) see installing onsite renewable electricity or renewable heat as their main priority, while 32 per cent are prioritising efforts to improve resource efficiency or substitute materials.
When asked about the main themes driving their decarbonisation plans, more than half (52 per cent) cited the rising cost of energy, followed by ‘doing the right thing’ (47 per cent), the rising costs of raw materials (25 per cent), customer pressure or compliance requirements (22 per cent) and opportunities for competitive advantage (21 per cent).

When quizzed about the benefits experienced so far, 34 per cent said they had saved money through streamlined processes, 16 per cent cited increased sales through access to new markets and a further 14 per cent said decarbonisation had helped them to access finance from lenders for new projects.

Brian Holliday, Managing Director of Siemens Digital Industries in the UK and Ireland, said:

“From the manufacturers we work with, we know energy and the environment are core focuses. Many

businesses are attempting to improve operational efficiency to reduce energy consumption while also investing in digital technologies that can reduce reliance on the grid or energy use in their factory. Achieving carbon neutrality can come with increased productivity through process improvement and the use of technology to drive efficiencies.

“I hope reading this report will help inspire manufacturing leaders in formalising, activating and accelerating their carbon reduction plans to create a resilient and productive sector that is ready for the future.”
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