In this post, we’ll explore a roadmap for the ethylene industry to achieve NetZero emissions by 2050.
Global Energy Landscape
To start, let’s look at recent global energy forecasts from the International Energy Agency (IEA) and Rystad Energy. Key trends include:
• Reduced Emission Intensities: Thanks to technological advances, emission rates have significantly dropped since the 1960s and 2000s.
• Persistent Challenges: Geopolitical issues, policy gaps, and financing hurdles continue to create uncertainties.
• Current Emissions and Rising Demand: Global carbon dioxide emissions are at 39 gigatons, with energy demand reaching 642 exajoules (EJ) in 2023 and rising quickly.
• Growing Renewable Energy: While we’re behind on targets, renewable energy deployment is expanding. Coal power is declining, and solar, battery, and nuclear and carbon capture technologies are intensifying the electric power transition.
• Lagging Efficiency Targets: Many energy efficiency goals are far from being met. Despite technology being available, uneven policies hinder progress. For example, methane emissions remain high, and coal plants lose about 60% of energy during conversion (even natural gas lose about 50% energy during conversion).
Today, fossil fuels still power around 79% of the energy used in transportation, industry, and buildings. While low-carbon investments and technologies (like solar, wind, battery storage, nuclear, and carbon capture) are helping to decarbonize the electric grid, we still have a long journey toward NetZero.
Challenges in the Industrial Sector
Industrial emissions, especially from petrochemicals, are increasing. Producing light olefins, such as ethylene and propylene, remains fossil fuel intensive. However, some clean technology solutions could help reduce emissions for light olefin production over the next decade, such as:
• Carbon Capture and Blue Hydrogen: Carbon capture and storage (CCUS) and blue hydrogen technologies can help cut emissions and improve efficiency.
Despite some demand growth for light olefins, oversupply has led to lower margins, limiting funds for energy-efficient upgrades. This surplus situation forces older, inefficient plants to shut down, which could help lower energy intensity overall. However, it may also mean less funding for research, slowing the pace of innovation. This sector is highly capital-intensive, making the industry cautious about new investments.
Long-Term Solutions
In the medium to long term, electric reactors and other clean technologies could make a big difference in reducing emissions from light olefin production. Many of these technologies are in the advanced stages of development, with potential to transform the industry beyond 2040.
Through these strategies and innovations, the ethylene industry has a real path toward NetZero by 2050. However, reaching that goal will require sustained investments, policy support, and breakthrough technologies to reshape the landscape over the coming decades.
Global Energy Landscape
To start, let’s look at recent global energy forecasts from the International Energy Agency (IEA) and Rystad Energy. Key trends include:
• Reduced Emission Intensities: Thanks to technological advances, emission rates have significantly dropped since the 1960s and 2000s.
• Persistent Challenges: Geopolitical issues, policy gaps, and financing hurdles continue to create uncertainties.
• Current Emissions and Rising Demand: Global carbon dioxide emissions are at 39 gigatons, with energy demand reaching 642 exajoules (EJ) in 2023 and rising quickly.
• Growing Renewable Energy: While we’re behind on targets, renewable energy deployment is expanding. Coal power is declining, and solar, battery, and nuclear and carbon capture technologies are intensifying the electric power transition.
• Lagging Efficiency Targets: Many energy efficiency goals are far from being met. Despite technology being available, uneven policies hinder progress. For example, methane emissions remain high, and coal plants lose about 60% of energy during conversion (even natural gas lose about 50% energy during conversion).
Today, fossil fuels still power around 79% of the energy used in transportation, industry, and buildings. While low-carbon investments and technologies (like solar, wind, battery storage, nuclear, and carbon capture) are helping to decarbonize the electric grid, we still have a long journey toward NetZero.
Challenges in the Industrial Sector
Industrial emissions, especially from petrochemicals, are increasing. Producing light olefins, such as ethylene and propylene, remains fossil fuel intensive. However, some clean technology solutions could help reduce emissions for light olefin production over the next decade, such as:
• Carbon Capture and Blue Hydrogen: Carbon capture and storage (CCUS) and blue hydrogen technologies can help cut emissions and improve efficiency.
Despite some demand growth for light olefins, oversupply has led to lower margins, limiting funds for energy-efficient upgrades. This surplus situation forces older, inefficient plants to shut down, which could help lower energy intensity overall. However, it may also mean less funding for research, slowing the pace of innovation. This sector is highly capital-intensive, making the industry cautious about new investments.
Long-Term Solutions
In the medium to long term, electric reactors and other clean technologies could make a big difference in reducing emissions from light olefin production. Many of these technologies are in the advanced stages of development, with potential to transform the industry beyond 2040.
Through these strategies and innovations, the ethylene industry has a real path toward NetZero by 2050. However, reaching that goal will require sustained investments, policy support, and breakthrough technologies to reshape the landscape over the coming decades.
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