Environment
KAEFER Energy’s environmental management system is part of the company’s HSEQ & Sustainability management system. We are certified according to and follow the guidelines of ISO14001-2015. KAEFER’s Environmental policy describes our commitment to safeguarding and avoiding harm to the environment. In 2022, KAEFER Energy has not identified any non-compliance with environmental laws and/or regulations. We have received neither fines nor non-monetary sanctions for non-compliance with environmental laws and/or regulations.
“Our ambition is to use the best possible environmental practice.”
Examples of executed initiatives are:
- New CNC machine for cutting of Pyrogel insulation, reducing surplus/waste and dust exposure.
- Use of “smart pack”- paint containers for smaller jobs and “longer pot-life” products, resulting in less waste and less VOC emissions.
- Use of fewer products, resulting in fewer open pots and hence less waste
- Preheating of paint to reduce use of thinners.
- Use soap and water for cleaning instead of thinners, to reduce VOC emissions
Also, if improved planning in projects is achieved in collaboration with the client, packaging waste and transport emissions will be reduced.
In addition, lean activities have been executed since 2012, and generally contribute to less waste of manhours and materials, resulting in less material waste and energy consumption.
Energy, GHG emissions, chemicals, waste, and water
KAEFER Energy's management system for the environment is in accordance with national legislation and NS-EN ISO 14001 and NORSOK S-003.
Energy
We are committed to reducing our energy usage footprint through efficient use of materials and energy and to designing products and services to have no undue environmental impact.
Our largest energy consumption occurs at our location in Stavanger (head office and workshop) and Bryne (workshop) in form of electricity and district heating (93 %). The office in Bergen is receiving green certified electricity.
Performance
We have installed a heat-pump plant at the headquarter in October 2022. Due to challenges in the start-up phase, it is not possible to say exactly how big a reduction in energy consumption this measure represents. We expect to see a significant reduction in energy consumption in the coming months.
We have also considered installation of solar power at the Stavanger facilities.
Looking ahead
Entering 2023 we will continue to look for further solutions to reduce energy consumption. To increase the use of renewable energy, we must reconsider solar power at our rented facilities. We also need to consider options for receiving green certified electricity for our facilities in Stavanger.
GHG emissions
KAEFER Energy is committed to taking responsibility for greenhouse gas emissions which arise through our value chain. Both own emissions and emissions due to the production and transportation of goods are part of our value chain.
Our business travels (95%) and transport of goods are identified as the two significant environmental aspects with respect to GHG emissions.
Since 2011 our key focus has been reducing of our own emissions. Those emissions are primarily from combustion of fuels for transportation (flights, carpool, mobile plants), as well as electricity consumption at our own facilities.
We are now exploring possible reporting tools/systems for measuring scope 3 emissions.
Travel
Air transport is the transport method with the highest CO2 emissions. Direct flights are a better alternative than flights with a stopover as direct flights require less fuel consumption (2). Therefore, we will investigate the possibility of using more direct flights where it is practically possible. We will also challenge our suppliers in the transport industry on increased use of direct flights where transport by train, ship or truck is not possible.
A large proportion of our work is carried out offshore or at onshore plants, which involves the use of helicopters and airliners to and from work. Increased activity means increased travel, which in turn directly affects CO2 emissions. Personnel who contribute the most to emissions are those who travel the farthest. KAEFER Energy is committed to plan trips for project personnel in a way that involves the least possible travel for the individual, e.g., booking personnel with their residence closest to the place of mobilization. Furthermore, our offices are spread geographically. Meeting activities for interaction between offices also involve some travel by plane, although digital meetings are preferred and dominating. CO2 emissions from business travel apply to flights purchased and paid for by KAEFER Energy. Emissions from helicopter traffic to- and from offshore installations are not included in this report.
(2) For example, CO2 emissions increase by 30.4 kg (=58%) when a person travels from Stavanger to Oslo with a stopover in Bergen (ref. SAS Kalkultor for flyutslipp ).
Transport
We consume fuel using our own-, lease- or rental carpool. Most vehicles are used onshore at Mongstad and Kårstø. There is high activity at those locations, which directly affects fuel consumption. Some vehicles are also used in the local market in Stavanger and Bryne. Our annual CO2 emissions increase or decrease in proportion to fuel consumption. Therefore, we will focus on increasing the share of electric cars in our fleet.
We are dependent on transport of goods and equipment. The transport service is provided by subcontractors. A key criterion for selection of our logistics provider is environmentally friendly transport, such as transport by train being carried out where possible. Therefore, we have, in cooperation with our main logistics provider, started to investigate how to improve transport activities in a more environmentally friendly way (e.g., different transportation types and routes). For us, it is important that the loading capacity of vehicles is utilized as much as possible when goods are transported. In practice, urgent orders due to ad-hoc assignments are unfavourable for transport capacity and transportation routes (3).
Furthermore, the pandemic situation has led to large-scale home officing Our employees have expressed that they wish to continue to use a home office solution. KAEFER Energy has implemented a scheme where employees can work remotely 2 days per week. This leads to reduced use of cars to and from work at the head office. Which in turn leads to reduced GHG emissions.
(3) For example, CO2 emissions for transporting a twenty-foot container from Rotterdam to Mongstad are 2.4 tCO2eq higher when using a truck compared to transport by sea (ref. Greencarrier Shipping & Logistics AS).
All-inclusive CUI management
We always aim to support our customers to become more sustainable. Corrosion under insulation (CUI) can result in catastrophic leaks or explosions, equipment failure, prolonged downtime due to repair or replacement, and safety and environmental considerations. More than 90% of maintenance work related to corrosion detection based on risk assessment often shows no significant corrosion and can therefore be avoided. That is why KAEFER Energy started an innovation project to make the CUI management more efficient. This resulted in KAEFER Blu AS, which was spun off as a separate company in 2019 - now known as Blu Empowered by KAEFER. Blu’s sensors ensure that only necessary CUI maintenance is performed. When it comes to GHG emissions, these sensors contribute to a significant reduction in the carbon footprint on the material side. The total reduction in carbon footprint over asset lifetime could be as high as 6,9 billion CO2eq (4) equivalent to 150.000+ passenger cars driven for one year.
(4) Calculation based on length of pipe: 2,500,000 meters; reduction in materials used: 50% (est.), insulation replaced every: 10 years (avg.), asset lifetime: 50 years. For more information https://kaeferblu.com/
Performance
Started process of relocation of the Bryne facilities/ GRP-workshop to the expanded Stavanger facilities, to reduce transport and increase effective interaction.
We measure the development for scope 1 and scope 2 tCO2eq emissions annually. Our scope 1&2 GHG emission intensity was reduced from 99.6 to 67.6 tCO2eq/m. hours worked, compared to 2021. This corresponds to a reduction of 32% tCO2eq/m. hours worked.
GHG emissions in scope 1 were reduced by approx. 62 tCO2eq, which corresponds to a 22.4% reduction. 57% of our scope 1 emissions consist of the use of fossil fuels primarily for mobile plants.
However, GHG emissions in scope 2 increased by approx. 0.2 tCO2eq, which corresponds to a 1.1% increase.
Our GHG emission intensity for business flights (scope 3) was reduced by 17 tCO2eq/m. hours worked, corresponding to 1.5% reduction to the previous year.
The installed heat-pump plant at the headquarter contributed to reducing GHG emissions for heating. Due to a short and challenging start-up phase it is not possible to calculate how big the reduction of GHG emission for heating was in 2022. However, we expect a significant reduction in GHG emission for heating in 2023.
Looking ahead
To reach our goal of Net-zero emissions by 2050, we strive to have a carbon productivity ∆CAPRO that exceeds 5% by 2023 and 7% by 2050. GHG reduction projects are the main components in our Sustainability action plan. This involves an increased focus on robotisation, digitalisation, waste reduction measures as well as life cycle analysis, significantly reduced emissions from goods transport and increased share of electric vehicles in the car fleet.
GHG emissions from air travels constitutes the largest part of our emissions. Therefore, we will evaluate how we can use more direct flights and avoid stopovers where possible. We continue with the internal routine to plan trips for project personnel in a way that involves the least possible travel for the individual. Beyond that, we will challenge our suppliers in the transport industry on increased use of direct flights where transport by train, ship or truck is not possible.
One main pillar in our sustainability work is to achieve our emission ambitions across all scopes. In 2023, we want to start mapping both upstream and downstream scope 3 GHG emissions. In the long run, this will result in targeted initiatives together with our supplier base.
We will also address targeted measures to reduce our footprint in our daily operations. To succeed, we will identify significant footprints from our products and services by initiating a life cycle assessment (LCA) process.
When it comes to transportation, we are committed to reduce our GHG emission through efficient and environmentally friendly transportation of personnel and goods. Therefore, the sustainability action plan covers initiatives like reduced number of ad-hoc orders and management of goods transport. This will lead to increased loading capacity and our logistics provider being able to choose the most environmentally friendly form of transport. In addition, we have identified that we have a potential for improvement regarding our internal ordering system to streamline goods transport.
Since our employees value home officing, we continue with the voluntary scheme for remote office work, which in turn means less use of fossil fuel on the way to and from work.
Waste
Our operations can cause negative environmental impacts through pollution from spills, leaks, and waste. We create a more sustainable future by reducing waste, and by promoting recycling and reuse in our operations and through our value chain.
As part of our waste management, we comply with the requirements set in our process “Waste handling”. About 45 waste fractions (paper, metals, wood, electrical, organic/food, plastics, residual and hazardous, etc.) are sorted at KAEFER Energy facilities, then weighed and collected by approved waste suppliers. The waste fractions are directed to either recycling, reuse, or energy recovery.
Environmental accounts are obtained quarterly from our waste management companies Ragn Sells, Fretex, SAR, Stene Renovasjon, and Stena Recycling.
One of our core tasks is insulation. Thus, waste from insulation material is one of the typical waste fractions in our industry. Our insulation waste is weighed on the refuse truck when collected and registered as a separate fraction. However, the waste company treats this waste as residual waste afterwards. The purpose of the sorting is to put pressure on the waste company to establish a return and reuse scheme with the suppliers. This will be even more emphasized in the future.
An important part of waste management is looking at opportunities for reuse and recycling. Among others, we see a potential for reuse and recycling of our IT equipment.
KAEFER Energy employees take their environmental responsibility seriously and help keep the beaches clean. In 2021, we did this in collaboration with the non-profit organization Clean Shores Norway. And carried out beach cleaning on the coast of both Stavanger and Bergen. Unfortunately, we were unable to repeat the success this year.
Performance
Waste in general
In 2022, KAEFER Energy generated 280 tonnes waste in total, corresponding to 16.31 tonnes per million hours worked. Even though our activity increased in 2022, we could reduce the total amount of waste by 18 tonnes, and the rate is reduced 2.1 tonnes per million hours worked. The sorting degree was 80.2%, which is 1.7 % lower than the previous year and 2.3 % below target for 2022.
Certain projects lead to waste fractions that cannot be recycled and where we have no control over the amount of waste. This causes the degree of sorting for the entire company to vary. However, for our facilities in Stavanger we have a sorting rate of 90.6% on average. Something we are proud of and will continue to maintain at this level.
Hazardous waste
The proportion of hazardous waste was 15.2 tons, 77 % reduction compared to 2021. The main share is paint, glue and the like (1.5 tons), followed by spray cans (0.1 tons). The amount of waste from paint etc. was reduced by 6 tons in 2022.
IT equipment waste
In 2022, we have started a Take back - collaboration with a company that manages IT equipment waste. This company collects our IT equipment-waste and coordinates safe reuse or proper recycling. This year, 60% of the waste was reused, corresponding to 14 tonnes of saved CO2 emissions. The remaining 40% was recycled in the form of material and energy recovery, and a small proportion (only 4 kg) ended up in landfill. Of the recycled equipment, 73% is material recovery, 20% is energy recovery. Only 7% ended up on a landfill.
IT equipment management Final treatment
IT-equipment waste management at KAEFER Energy, 2022.
Microplastics
Offshore, we make every effort to avoid microplastics to sea due to spill of contaminated water from ultra-high-pressure cleaning. Although we strive to collect the water in drain tanks, it is not 100% effective unless a vacuum cleaner is used on the equipment, such as we have on our robots (e.g. Spiderjet).
We want to increase the use of work methods that collect waste - preferably using robotic methods. In 2022, we have therefore established a robotics department that will specialize in working methods that reduce waste to sea through ultra-high-pressure cleaning.
Waste Walks – Lean improvement work
At Kårstø, we have started a pilot of the KAEFER Group's new training programme, the Lean Development Program for Supervisors, Foreman & Operators (LDP SFO). As of today, we have trained 170 operators and 30 foremen in identifying waste, finding root causes, and working with continuous improvement. We are proud of having completed 67 Waste Walks in production, which resulted in several very good improvement proposals. Some of them have been managed using the PDCA method (Plan, Do, Check, Act) and this year 75 documented process improvements have been carried out which have an impact on the customer values HSE, plan, cost, and quality. We handed over 17 LEAN Practitioner Certificates to production manager and foremen working on the Kårstø site (fig. 6). It is very inspiring to see how the Team at Kårstø has taken ownership of and raised its competence in Lean improvement work.
"We congratulate our new Lean Practitioner's on their certification". KAEFER Energy, Kårstø,2022.
DigiSurv
Our innovation department with important internal contributors has been working with an app to digitize and standardize the entire process regarding job placement, measurement, and production of our box deliveries. The app has been named DigiSurv.
Measured values are entered in a user-friendly interface based on box type. In return, you get a 3D model of the box, which only needs to be verified that it is in accordance with the measurements.
In addition, 2D drawings and finished cut files are produced automatically at the same time.
DigiSurv. is an app to digitize and standardize the entire process regarding job placement, measurement, and production of our box deliveries. The app has been named
Looking Ahead
We see it as a matter of course to implement activities like beach cleaning etc. as an annual initiative where our employees and their families can actively contribute in the years to come.
KAEFER Energy continues to ensure focus on prevention of spill and leaks, and other types of waste go astray in our day-to-day operations.
A 2023 focus area in our sustainable action plan will be looking at opportunities and cooperation partners for reuse and recycling of our waste fractions. Our aim is to increase the share of reused or recycled waste fraction significant, and at the same time serve new markets. Furthermore, we have identified that packaging for the transport of our products is also an area that should be investigated further. We want to reduce the annual amount of packaging for transport in collaboration with our customers.
Internally, we will try to identify which tasks contributing most to the use of copy paper, and how we can facilitate increased digitalisation of these.
Within the Lean Development Program for Supervisors, Foreman & Operators (LDP SFO) at Kårstø, we will meet on site again in January 2023. We want to share our learnings from this pilot and derive conclusions for the way forward.
DigiSurv has been tested on the Johan Sverdrup project on selected work packages. The result was very positive but uncovered minor bugs and improvements in functionality that will be implemented before further rollout at the Johan Castberg project in Q1 2023. After rolling out DigiSurv at the Johan Castberg project, a gradual rollout on remaining projects occurs.
Water
No water is used in production (prefabrication of insulation, GRP-production etc.) at the workshops. Water is only used for drinking stations and sanitary facilities at our facilities.
For surface cleaning applying ultra-high-pressure cleaning water is used. Contaminated water is collected in drain tanks and sent for treatment.
No records are kept of water consumption as this is currently not considered appropriate.
Biodiversity
We want our business to have a minimal impact on the natural ecosystems throughout the entire value chain. Biodiversity underpins human well-being and livelihoods and is vital to the achievement of most SDGs. Protecting biological diversity is crucial for many economic activities, particularly those related to crop and livestock agriculture, forestry, and fisheries.
KAEFER Energy aim to conserve biodiversity and avoid negative impacts of production and pollution. Our direct negative impacts are limited since we produce locally in an established industrial area. We provide products and services to both onshore and offshore. We ensure that measures for spills and waste prevention are handled to prevent pollution from entering the environment/sea when performing our services.