Aluminium Industry Achieves Carbon Emissions Reduction Amidst Growth

The International Aluminium Institute (IAI) has reported a significant development in the aluminium sector, achieving a decrease in greenhouse gas emissions despite an increase in production. According to the IAI, in 2022, emissions dropped to 1.11 billion metric tons of carbon dioxide, down from 1.13 billion the previous year, even as production rose by 3.9%.

IAI Secretary General Miles Prosser highlighted the importance of the industry's direction towards deeper, faster, and more widespread emissions reductions. The decline in emissions is attributed to a transition towards hydropower in China, the leading aluminium producer, and the adoption of renewable energy sources in other regions.

The aluminium sector, known for its high energy consumption due to the intensive electricity required for production, is also benefiting from an increase in recycled or secondary aluminium output. This segment of production, which uses approximately 95% less energy than primary aluminium, saw a 6% rise in 2022, outpacing the 2.8% increase in primary output.

This shift towards lower carbon emissions is also driven by the demand for low-carbon aluminium products, which is expected to grow significantly. Norway's Hydro, a key player in the industry, anticipates a 20% annual increase in demand for its low-carbon products until 2030, in contrast to a projected 3% yearly growth for the primary aluminium market.

The industry's efforts to reduce emissions extend beyond the use of renewable energy to include improvements in operational efficiency and recycling practices, underscoring the sector's commitment to environmental sustainability and the global transition to a low-carbon economy.