ACR Journal

CMYK / .ai CMYK / .ai CMYK / .ai acrjournal.uk 25 ENERGY established procurement practices may not be suited to new industry challenges, specifically those of a volatile market background and the potential for bottlenecks in the supply chain. While the current energy crisis has prompted a focus on the short-term across British industry, this has further clarified that manufacturers must incorporate unpredictable sector realities into their long- term plans. For instance, while businesses have often adopted permanent equipment solutions, the inability to scale provision up or down to meet changing demand levels could leave businesses operating inefficiently. For businesses looking to effectively plan and futureproof operations, compliance with legislation is crucial. The manufacturing sector needs to prepare for legislation which continually updates sustainability requirements in terms of HVAC systems such as the F-Gas regulation Further questions surrounding these regulatory frameworks include whether the UK will continue to mirror EU sustainability standards. Growing uncertainties concerning the legislative compliance of certain technologies mean it may be unwise to invest in permanent solutions today, considering they may not meet increasingly stringent environmental standards tomorrow. What’s more, manufacturers committed to updating facilities with greener technologies, in line with enhancing efficiencies, could struggle to continually do so as new equipment innovations are developed. As businesses work within increasingly tight margins, the capex incurred purchasing permanent sustainable technologies is not only proving to be a far from cost-effective option, but could also trigger difficulties later on when greener, higher-performing technologies become available. Flexible energy solutions The current energy crisis is creating a procurement dilemma for organisations across industry. While addressing excessive energy usage requires immediate action, increasing competition from overseas, an unpredictable regulatory framework, and uncertain market conditions, mean short- and mid-term solutions must coincide with a forward-thinking approach. Permanent equipment procurement may therefore not be suited to plans that must consider continuous technological, industrial, and economic unpredictability. In light of this, temporary procurement strategies can assist in the transition to sustainable energy while protecting all-important bottom lines. By adopting a hire-based approach, with a focus on working with industry-leading greener technologies, significant efficiency improvements can be achieved without impacting capex budgets. Additionally, hired energy and temperature control solutions can help existing facility infrastructure adapt to an increasingly unstable grid and unpredictable market, enabling more pragmatic and proactive strategies. This gives manufacturers the dynamism to take on current challenges, while preparing for future concerns. Significant efficiency improvements can be achieved without having to impact capex budgets – an invaluable asset in a challenging business environment. However, the viability of this approach relies on suppliers that, by improving their own fleets and processes with greener solutions, can work to make positive changes that lower emissions while ensuring cost-effective, high-quality performance. By possessing the necessary expertise and high-performing assets, suppliers can support businesses’ ability to manoeuvre within the energy crisis and adapt their production measures in the face of continual industry change. Aggreko’s Greener Manufacturing initiative shows that efficient temporary power and temperature control equipment and other practices can cut emissions and fuel consumption without sacrificing output. For instance, by investing in more sustainable products and offering customers cleaner technologies and alternative fuels such as hydrotreated vegetable oil (HVO) organisations can move toward a more low- carbon future without a loss in performance. Staying ahead As industry looks towards greener production to both reduce emissions and maintain their competitive edge, inefficiencies as a result of ill-suited, insufficient, or poorly performing equipment can prove prohibitive. However, forward-thinking approaches, combined with strong supplier relationships, means companies can bypass these issues while scaling production capabilities in line with continually changing demand. Rather than viewing sustainability measures as a barrier to competitiveness, by adopting a flexible energy approach, businesses can thrive during the wave of decarbonisation. By taking on immediate industry challenges while addressing long- term industry trends and uncertain market forces, temporary procurement solutions ensure manufacturers can stay ahead, and stay competitive. 1 https://www.iea.org/news/world-energy-outlook- 2022-shows-the-global-energy-crisis-can-be-a- historic-turning-point-towards-a-cleaner-and- more-secure-future 2 https://www.businessgrowthreports.com/global- hvac-services-industry-21959989 3 https://www.makeuk.org/insights/reports/ decarbonising-manufacturing-challenges-and- opportunities To download the full Greener Manufacturing guide, visit http://bit.ly/3GYUWb4 The Greener Manufacturing guide