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BASF and Siemens Energy form strategic partnership

Published by , Editorial Assistant
Hydrocarbon Engineering,

As part of a strategic partnership, BASF and Siemens Energy plan to accelerate commercial implementation of new technologies designed to lower greenhouse gas emissions. By combining BASF’s technological expertise with Siemens Energy’s product and services portfolio, BASF aims to extend its role in lowering CO2 emissions in chemical production.

Several pilot projects at BASF’s Ludwigshafen, Germany, site are under discussion. The company’s headquarters is one of the largest chemical production sites in the world.

Possible pilot projects include the construction of a PEM (proton exchange membrane) electrolyser for hydrogen production with an output of 50 MW, with the possibility of modular capacity expansions and the installation of a high-temperature 50 MW thermal heat pump for generating process steam from waste heat in a production plant. In addition, a modernisation of the power grid at the Ludwigshafen site using digital and CO2-optimised products from Siemens Energy is being evaluated. Furthermore, a study is underway to assess the potential for common system and catalytic converter development in an effort, to boost the efficiency of electrolysis plants (PEM electrolysis) and for collaboration in generating electricity from wind energy.

BASF has sought further reduction of greenhouse gas emissions within the scope of its carbon management since 2018. Until the year 2030, the absolute level of the company’s emissions is targeted not to exceed that of 2018. With a planned substantial increase in production volumes, this means a further reduction of the emission intensity by around 30% in this period. In tandem with the availability of newly developed technologies and the increased use of renewable energies, BASF also aims to further reduce its emissions in absolute terms beyond the year 2030. This will lead to a significant increase in the company’s demand for electricity from renewable sources.

BASF and Siemens Energy have signed a Memorandum of Understanding (MoU) for the companies’ strategic partnership, which will focus above all on supporting the chemical company in achieving its ambitious climate targets. For Siemens Energy, the partnership represents a further key step toward pursuing its strategic goals, namely low-emission or emission-free generation of electricity and heat, transmission and storage of electricity, a smaller carbon footprint and lower energy consumption in industrial processes, as well as shaping a sustainable hydrogen economy.

The two companies will strive to study the pilot projects identified for technical and commercial feasibility as soon as possible, in order to be able to reliably quantify the investments needed and to launch the implementation of the pilot projects within the scope of the currently prevailing framework conditions.

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