AFRY Management Consulting advises HKScan on their Zero Carbon Roadmap
HKScan is a Finland-based publicly listed food company with operations in the Nordics and Baltics and net sales of some 1.8 EURb. Responsibility is the basis of HKScan’s strategy and the company is aiming to achieve carbon neutrality of its own production by the end of 2025 and the entire food chain by 2040.
To support in it’s climate ambitions, HKScan commissioned AFRY to assess technology options to decarbonise it’s energy-related emissions and develop an investment plan and roadmap to reach this goal.
As for many industrial companies, HKScan’s key decarbonisation challenges relate to phasing out of fossil fuel use in heat and steam production. With recent developments in commodity prices, the market environment is now as accommodating as ever to support profitable decarbonisation investments. In parallel, HKScan’s sites entail notable energy and OPEX saving potential, achievable with improved heat recovery and circulation. Through understanding both the technical feasibility of decarbonisation measures and expected development of fuel availabilities and prices, companies are in a position to make more informed investment planning.
says Joel Sarasti, Senior Consultant at AFRY Management Consulting.
AFRY approached the assessment with a three-step decarbonisation framework:
- Identification of feasible and cost-effective decarbonisation options
- Evaluation of the associated cost for decarbonisation options and their implications for cash-flow and EBIT
- Roadmap for the transformation from current asset base to proposed decarbonised energy sourcing portfolio
Between 2019 and 2021, we have already reduced the climate emissions of our own production by almost 60%, for example by introducing green, renewable electricity and by systematically improving our energy efficiency. We continue our journey towards a carbon-neutral food chain together with our partners. To achieve our ambitious climate goals, AFRY helped us define concrete steps towards carbon neutrality in our own production. As a result, we got a clear roadmap, which we are now starting to implement.
says Paavo Räsänen, VP Operational Excellence and Investments at HKScan.