Hydro has signed a three year contract with Shell Energy to help decarbonize its UK operations. The agreement covers a yearly supply of 56 GWh electricity and 144 GWh gas to Hydro’s plants in the UK. With this contract, Hydro reduces its Scope 2 emissions in the UK by 11,000 tons of CO2 per year.

From left to right, Roger Ablett, Managing Director for Hydro Extrusions in UK, Greg Kavanagh, Head of Industrial & Commercial Sales at Shell Energy and Ian Bould, HSE, Quality and Sustainability Director for Hydro Extrusions in UK. Photo: Colin Whyman/Hydro

As part of the deal, Hydro will receive renewable electricity from the Rhyl Flats windfarm in Wales. The electricity is certified with a Renewable Energy Guarantee of Origin. The windfarm is situated 8 kilometers off the coast of Llandudno and with 25 turbines, it is the second largest windfarm in Wales, with 90 MWh of installed capacity.

Hydro is working to become a more sustainable company and is already offering some of the greenest aluminium products available under the Hydro Recycled Aluminium and Hydro Low-Carbon Aluminium brands. By recycling aluminium parts from old windows, car parts and other sources of post-consumer scrap, Hydro can keep the carbon footprint of Hydro Recycled Aluminium at 2.3 kilo CO2 per kilo aluminium. This is less than one third of the average carbon footprint of aluminium consumed in Europe[1].

The efforts to reduce own emissions through sourcing of renewable energy and to improve own production processes to make them greener complements the product offering. 

"We are always looking for new and innovative solutions to decarbonize our own operations. This is considered a board level priority, so when it came to finding the perfect energy partner for our UK operations, we were looking for a long-term partner that could support our transition to net-zero. Shell Energy demonstrated extensive understanding of our business, our sector and our ambitious decarbonization roadmap,” says Lars Lysbakken, Energy Portfolio Manager at Hydro. 

With a commitment to environmental best practice, Hydro is working hard to accelerate its green transition, with the ultimate target to become net-zero by 2050. Hydro’s Operational Sustainability Roadmap sets stringent targets when it comes to reducing carbon, energy, waste and water, with zero waste to landfill. The adoption of electric forklifts, automated cooling towers, energy harvesting and a pioneering air leak program are all planned for implementation by 2025. 

The Renewable Energy Guarantee of Origin from the Rhyl Flats Offshore Wind Farm was an important part of the agreement. Hydro is committed to using less energy and it is important that the operations will now be powered entirely by renewable electricity.  

“Rather than a transactional agreement, we see our contracts as long-term strategic collaborations, an opportunity to accelerate our customers’ journeys to net-zero. In the case of Hydro, we were able to offer a solution that is perfectly aligned to its Operational Sustainability Roadmap. We are looking forward to working in close partnership with the team in the long-term to offer our knowledge, guidance and support,” says Greg Kavanagh, Head of Industrial & Commercial Sales at Shell Energy.

[1] European Aluminium 2018

KeyFacts Energy Industry Directory: Hydro