Decarbonizing supply chain

Siemens and Togeth­er for Sus­tain­abil­i­ty (TfS) are announc­ing a part­ner­ship on decar­boniza­tion to advance the over­all sus­tain­abil­i­ty of the chem­i­cal indus­try. TfS is a glob­al ini­tia­tive to pro­mote sus­tain­abil­i­ty in the chem­i­cal industry’s sup­ply chain, con­sist­ing of 47 inter­na­tion­al com­pa­nies, includ­ing some of the largest chem­i­cal groups. Siemens, a tech­nol­o­gy com­pa­ny and sup­pli­er of automa­tion and indus­tri­al soft­ware, will lever­age the pow­er of its Sigreen solu­tion, a tool to track and man­age prod­uct car­bon foot­print (PCF) and part of the Siemens Xcel­er­a­tor portfolio.

In a pilot project, the two part­ners are com­bin­ing their exper­tise and aim to demon­strate the scal­a­bil­i­ty of PCF data exchange across an entire indus­try, which is a deci­sive step for decar­boniz­ing the sec­tor. The Sigreen solu­tion will be pilot­ed and pro­vide learn­ings for the exchange of PCF data in the chem­i­cal indus­try. It can then be deployed across the TfS mem­bers, con­tribut­ing to fur­ther improve their exper­tise as pio­neers in the PCF field.

“Sigreen will equip us with the solu­tion for embed­ding our Prod­uct Car­bon Foot­print Guide­line in oper­a­tions at scale. This will enable us to tack­le the chem­i­cal industry’s scope 3 chal­lenge. TfS mem­bers, their sup­pli­ers and cus­tomers are look­ing for­ward to pilot­ing the data shar­ing solu­tion offered by Sigreen. A trust­ed envi­ron­ment where all part­ners can safe­ly share their PCF data pow­ered by the Togeth­er for Sus­tain­abil­i­ty PCF Guide­line is a vital step and accel­er­a­tor in dri­ving decar­boniza­tion across the chem­i­cal indus­try,” said Bertrand Con­quéret, Pres­i­dent of Togeth­er for Sustainability.

Sigreen enables the secure and trust­wor­thy exchange of PCF data through­out the sup­ply chain. This infor­ma­tion can then be com­bined with the data from a company’s own val­ue cre­ation process­es to deter­mine car­bon foot­prints and enables com­pa­nies to take tar­get­ed reduc­tion mea­sures with a quan­tifi­able effect. Sigreen sup­ports com­pa­nies on their jour­ney to cli­mate-neu­tral val­ue chains and enables them to lever­age sus­tain­abil­i­ty as a deci­sive com­pet­i­tive fac­tor. Depend­ing on the degree of ver­ti­cal inte­gra­tion, the upstream sup­ply chain accounts for up to 90 per­cent of emis­sions (Source CDP 2022 Glob­al Sup­ply Chain Report) and Sigreen allows for this impor­tant inte­gra­tion across the val­ue chain.

All TfS mem­bers are com­mit­ted to decar­boniz­ing their sup­ply chains. In 2022, TfS launched the PCF Guide­line har­mo­niz­ing the dif­fer­ent approach­es used with­in the indus­try to cal­cu­late car­bon foot­prints. With Sigreen, an exist­ing stan­dard­ized PCF exchange solu­tion is now being intro­duced across the chem­i­cal indus­try. It enables the next log­i­cal step to use sup­pli­er-spe­cif­ic data to deter­mine and man­age prod­uct-spe­cif­ic car­bon foot­prints through­out the sup­ply chain. Users ben­e­fit from the cross-indus­try approach. The Sigreen solu­tion is part of the Siemens Xcel­er­a­tor port­fo­lio – the open, dig­i­tal busi­ness plat­form that enables com­pa­nies to accel­er­ate their dig­i­tal transformation.