STOCK CLIMATE
The Alliance for Industry Decarbonization is a grouping of the influential, and that raises the prospect of delivering results. Image Credit: Shutterstock

Combatting climate change requires concerted and collective action. We need to focus on the areas where we can make the greatest impact, quickest.

One key area where we can have a significant impact is in the industrial sector, which produces about 25 per cent of global GDP and emits about 28 per cent of greenhouse gas emissions, according to the International Renewable Energy Agency (IRENA). This is why on the sidelines of the 17th G20 Investment Forum on Energy Transition in Bali, Indonesia, as a co-founding partner with IRENA, the establishment of the Alliance for Industry Decarbonization, marks an important milestone.

Bringing together industry leaders

The Alliance for Industry Decarbonization was created to help achieve country-specific net-zero goals, foster action for decarbonizing industrial value chains, as well as enhance understanding of renewables-based solutions and their adoption by industry. This is a complex task, which can only be solved through collaboration.

The Alliance will also work to strengthen dialogue and coordinate action by industrial stakeholders from across the public and private sectors. To date, 15 companies, representing a diverse cross-section of the global industrial sector, have joined. The wide-ranging interest from these leading industrial companies highlights the importance of collaboration in developing strategies and sharing best practices to advance decarbonization.

This is hopefully just the first in a series of milestones for this Alliance in bringing together industrial powerhouses to accelerate action on decarbonizing this key and influential sector. The first meeting of senior Alliance leaders will take place during COP27, the 27th United Nations Climate Change Conference in Sharm el-Sheikh, Egypt, to define milestones and goals for the group.

COP27 provides the perfect backdrop at which to make real progress, as a landmark event bringing together leaders from across industry and government to work together to accelerate global climate action through emissions reduction, scaled-up adaptation efforts and enhanced flows of appropriate finance.

Regional collaboration, global success

So far partners include IRENA, Siemens Energy, Enel Green Power, TAQA Arabia, Eni, Technip Energies, EDF Renewables, JSW, Tata Steel, Sable Chemicals, Tatanga Energy, Roland Berger, Equinor and TAQA. These first movers include major companies from diverse sectors across industry and highlight that it’s not the long-term commitment that is key, but also the efforts and actions that we take now, will have wide-ranging and long-term effects.

Membership of the Alliance for Industry Decarbonization is open to public and private firms and stakeholders operating in energy-intensive sectors that have the ambition to decarbonize their activities along their value chains and companies that have knowledge and expertise in the deployment of energy transition technologies.

The Middle East, as a major energy producing region with a large, diverse, and growing industrial sector with ambitious net-zero targets to achieve, has a key role to play. The interest of regional partners such as TAQA highlights the importance this region plays in decarbonization as well as the leading role it has in innovation and driving change.

By creating a platform for industry, technology, and knowledge partners to collaborate, together we will leverage the skill and expertise of this growing Alliance to accelerate decarbonization. But this is just the start, we need more collaboration from across industry.

Dietmar Siersdorfer

The writer is Managing Director, Siemens Energy Middle East.