Green transformation in the chemical industry:
Balancing climate action and economic viability
The chemical industry is one of the most energy-intensive sectors worldwide. Its role in energy transition is therefore crucial for effective climate action. Increasing regulatory requirements, such as the European Green Deal and initiatives like RE100, are adding pressure on companies to reduce CO₂ emissions and integrate sustainable energy sources into their production processes. At the same time, demand for climate-friendly products is at an all-time high.
While many chemical companies set long-term targets for 2030 or 2050, the Japanese chemical group SEKISUI has already achieved 100% renewable electricity procurement in Europe. This marks an important milestone toward further decarbonization. With its European headquarters in the Netherlands and production sites in the Netherlands, Germany, the United Kingdom, and Spain, the company is ahead of the industry in this transition. But what were the key success factors? What challenges had to be overcome? And what best practices can other companies learn from this transformation?
The switch to renewable energy is a key pillar of SEKISUI’s Environment Sustainability Vision 2050, which aims for zero GHG emissions from business activities. One of the key measures to reach this goal in Europe was the centralized electricity procurement in the Dutch Roermond area through an energy broker. By bundling electricity purchases, SEKISUI secured access to larger renewable energy volumes and strengthened its negotiating position with energy providers. This approach serves as best practice for companies operating in industrial parks or commercial zones seeking similar synergies.
In addition to renewable electricity procurement, SEKISUI has invested in solar power, installing solar panels at three production sites. This measure not only reduces dependence on external energy suppliers but also enhances the company’s resilience to energy price fluctuations.
The influence of solar power is clearly demonstrated: SEKISUI POLYMATECH EUROPE (SPE) installed last year almost 500 state-of-the-art solar panels on its production sites in the Netherlands with a total output of 348,460 kWh. The company will feed around 58% of this into the European power grid in future, thus further reducing its own CO2 footprint. SEKISUI POLYMATECH is already the third SEKISUI company in the region taking this step.
The complete transition to renewable electricity, in Europe, is a key milestone, but the journey toward full climate neutrality is far from over. We are continuously working on further decarbonization measures and solutions to make our production processes more sustainable.
A key success factor was close collaboration between local business units and external energy providers. Rather than relying on a single energy source, the renewable energy is diversified to reduce dependency risks and ensure a stable energy supply. This approach offers valuable insights for companies considering a switch to renewable energy but concerned about supply security.
Regulatory requirements naturally pose challenges, but in our case, they significantly accelerated our transformation. In Europe, these policies and customer demands have driven the shift to renewables - and today, we see that this early transition is not only an environmental advantage but also an economic one. Meeting this demand is both an environmental and a business decision.
As one of the first chemical companies in Europe to achieve this milestone, SEKISUI is setting a good example for the industry. The chemical industry can position itself at the forefront of the energy transition - if companies are willing to take bold steps toward sustainability.