Sales go up, and so do CO2 savings
Commentary by Bjarte Røssland
ACE Well Technology tools are selling better than ever. But while exceeding sales targets, we continue to make significant CO2 savings due to our tried and tested Greenhouse Gas strategy. From 2018 to Q2 2023 we have reduced our CO2 emissions by a total of a whopping 742,000 kilos.
In recent years, there has been a profound shift in how businesses and investors perceive their roles in society. Beyond profit-making, a new approach has emerged—one that integrates environmental, social, and governance (ESG) factors into decision-making processes. ESG issues have rapidly gained prominence, revolutionizing corporate practices and investment strategies.
A three-pronged GHG strategy
At ACE Well Technology, we understand the environmental factors and how we can contribute significantly as a company to reduce our carbon footprint. This encompasses our approach to environmental stewardship. It includes our efforts to manage our carbon footprint, conserve natural resources, reduce pollution, and promote sustainable practices in operations.
The ACE Greenhouse Gas (GHG) strategy to reducing CO2 emissions is three-pronged:
Use digital communication tools to remotely train and support local installation crews, thus saving air miles travelled for ACE personnel.
Use modern logistics to allow our production facilities to ship parts directly to installation sites, thus bypassing shipping via our warehouses in Norway and saving shipping emissions.
Always consider CO2 footprint for all activities to optimize CO2 reductions.
Inspired by the UN sustainability goals published in 2015, ACE started planning and preparing for this strategy in 2018. Implementation started in Q3 2019. The plan immediately paid off with a 75% reduction in CO2 emissions on shipping freight in the third quarter of 2019 alone. When our online training scheme for local installation crews was implemented in Q1 2020, CO2 emissions for ACE personnel air miles immediately plummeted by 47%.
Since then, this strategy has allowed us to make considerable reductions in our CO2 emissions. Even though we consider ourselves to be a smaller player in the oil and gas industry, we are proud to share the figures and acknowledge that our actions also count as a part of the larger, global push to reduce emissions.
Rebounding from a COVID-19 related downturn in 2021, sales of ACE centralizers, clamps and sleeves have been on the rise since early 2022. 2023 is on course to be every bit as good - or possibly even better. This gives our GHG strategy an added boost in the form of increased CO2 savings on shipping and air miles for installation crews.
As an example, our shipment activity in Q4 2022 showed that all parts were freighted directly to customers, saving the maximum possible emissions compared to freight via Norway. The same quarter also stands out on installation activities. The physical deployment of ACE personnel to installation sites worldwide would have resulted in over 31 tonnes of CO2 emissions. We saved 91% of these emissions by utilizing local crews trained online by ACE.
Less weight saves more
At the core of our operations is our Ace Ratchet Collar (ARC), which underpins our entire suite of products. The ARC acts as the perfect foundation for creating innovative and effective solutions, while delivering unrivalled holding force. It is fully independent of weight, grade, and thread, making it extremely versatile in its application. In addition, both the ARC and our entire product range are fairly lightweight due to their innovative design. This is also an environmental benefit when it comes to shipping tariffs and fuel consumption, material utilization and lifecycle impact.
ESG are no longer buzzwords, but integral to shaping the business landscape. From environmental conservation to social equity and transparent governance, ESG factors underpin a holistic approach to sustainable development. Companies that prioritize ESG considerations stand to reap benefits that extend far beyond profits, contributing to a more resilient, equitable, and environmentally conscious global future. As ESG principles continue to evolve, they pave the way for transformative change that transcends industries and generations.