Climate Neutral Player
WHAT ABOUT OUR CLIMATE NEUTRALITY?
The EU has a goal of becoming the first Climate Neutral continent by 2050 with European Climate Law (effective since July 2021) outlining the regulations to support this. With 2030 targets already in place, on 02 July 2025 the European Commission introduced a legislative proposal to add new legally binding climate targets for 2040. This proposal suggested a net reduction of 90% in greenhouse gas (GHG) emissions by 2040, compared to the 1990 baseline. It also provided the regulatory frameworks to achieve this goal.
Related to this there will be expectations for industry to play its part in achieving such goals, and European chlor-alkali is no exception. While the 2040 proposal promotes technology neutrality and simplification, we will need clarity on implementation to ensure competitiveness and investment are not impacted as a result. Further (legislative) developments on this are expected.
In preparation for such targets, Euro Chlor has been assessing the possibilities here for many years, as explained in the following section.
WHAT THESE DATA TELL US…
ENERGY CONSUMPTION
To measure the overall energy footprint of the chlor-alkali sector, we use a metric that combines both electricity and steam consumption. It is expressed on a relative scale to make it easier to understand and compare over time.
Since our first Sustainability Programme was initiated in 2001, we have seen a decline in overall energy consumption of about 16%. However, this reduction has levelled out over the past five years.
Whilst in 2024 our specific electricity consumption remained consistent with 2023, we saw a reduction of about 14% in our steam consumption. The latter has led to an overall decrease of 0.8% in our primary energy consumption, bringing it to 84.2% compared to 85.2% in 2023 (with respect to the 2001 reference year).
It should be noted though that lower 2024 production rates could have an impact here (as electrolysers are potentially being run at lower current densities). Calculating the energy consumption using the higher current densities needed at higher production rates (e.g. in 2021) means the 2024 number would have increased to around 86.1% compared to 2001. This is shown via the grey section in the graph below.
Primary fuel energy consumption 
ENERGY AND STEAM CONSUMPTION
Since the launch of our first Sustainability Programme in 2001, there has been a decline in electricity consumption per tonne of chlorine. This decline continued until 2018, when mercury-based production ceased. We are now approaching what is thermodynamically possible given the minimum amount of energy we need to split our raw materials to make our key chemicals. This means further efficiency gains may become increasingly difficult to find.
In 2024, the weighted average electricity consumption remained flat compared to 2023. Despite this, member companies and their suppliers continue to explore ways to achieve further energy efficiency.
Electricity and steam consumption per tonne of chlorine
GRID BALANCING
Our sector supports the need for grid stability solutions that maintain affordable and reliable energy supplies. As such, we continue looking at the possibilities for flexible production. Several Euro Chlor companies are already adjusting their production levels to meet the grid’s needs but they must respect safety, product quality and availability for their customers and the restrictions on the storage volumes of chlorine.
The graph shows our members’ flexibility support as a percentage of the total installed electricity demand capacity since we started to collect this data in 2020. In 2024, 21.2% of our capacity was available for grid balancing. This is an increase from the 17.5% reported in 2023.
Further flexibility requires substantial investments and full consideration of the hydrogen safety issues associated with continually changing an electrolyser status. As this forms part of many ongoing regulatory actions to support the rollout of renewable energy, Euro Chlor will continue exploring ways to increase our sector’s flexibility.
Electrical capacity reserved for grid balancing
FCR = Frequency Containment Reserve
aFRR = Automatic Frequency Restoration Reserve
mFRR = Manual Frequency Restoration Reserve
CARBON FOOTPRINT
Since we started to monitor the carbon footprint of our members’ production in 2020, we have observed a decrease of about 28.2%.
The year 2023 marked a 13% drop that was bolstered in 2024 with an additional 5% decrease, bringing the figure to 0.77 tonnes of CO2 per tonne of chlorine produced (compared to 0.82 in 2023).
Our carbon footprint reduction reflects a transition to more renewable sources of electricity in the countries where our members operate. However, it is essential to balance this positive outcome with the availability of affordable and stable supplies of such electricity and the current lower production levels. Euro Chlor members are continuing their efforts in this important aspect given the thermodynamic, practical and economic restrictions here.
Carbon footprint of Euro Chlor members’ production
KICK-STARTING THE HYDROGEN ECONOMY…
Low-Carbon Fuels Delegated Act… One of the last pieces of the puzzle to kick-start the European hydrogen economy?
The EU Hydrogen and Gas Decarbonisation Package (better known as the ‘Gas Package’), which came into force on 05 August 2024, gave the Commission the mandate to develop and finalise a Low-Carbon Fuels Delegated Act within one year of the Package’s adoption (i.e. by 05 August 2025).
The published Act establishes a methodology for calculating greenhouse gas (GHG) emissions savings from low-carbon fuels, ensuring they meet a minimum threshold of 70% GHG emissions reduction compared to fossil fuels. This methodology also clarifies the definition of low-carbon fuels (e.g. hydrogen) to facilitate their certification, providing a clear framework for investors and stakeholders.
The Act is one of the last major legislative pieces needed to kick-start the hydrogen economy. It complements the existing rules for renewable hydrogen and Renewable Fuels of Non-Biological Origin (RFNBOs) as defined in the Renewable Energy Directive (RED III) and ‘Gas Package’. We hope that the act will promote investment in Europe’s hydrogen production and infrastructure.
Alongside the monitoring of the various regulatory developments, Euro Chlor’s Energy & Climate Change Committee (ECCC) is connecting with people across the hydrogen space (Commission approved certification agencies, storage and fuel cell suppliers, other associations etc.) to investigate solutions for our industry and demonstrate our readiness to support a vibrant European hydrogen economy.
CHLOR-ALKALI HYDROGEN UTILISATION
Over the years, Euro Chlor members have attempted to valorise all of their hydrogen but have experienced practical, safety and economic road blocks. This means that, sometimes, they have to vent their hydrogen. This issue persists despite Europe’s push to create a robust hydrogen market.
In 2024, we experienced the highest hydrogen utilisation rate since 2019, with utilisation rising to 86.8% compared to 85.7% in 2023. This is an encouraging sign, but we still see challenges in finding offtakes for our hydrogen.
For example, many of our members cannot physically connect to the grid due to their isolated location or an inadequate local network of hydrogen pipelines. Our sector relies on the EU to take the right policy actions to unlock the potential of our low-carbon hydrogen and move Europe’s hydrogen economy from niche to scale.
With our Cefic colleagues, Euro Chlor continues to raise these problems with authorities in an attempt to find regulatory solutions.
Chlor-alkali hydrogen utilisation
Note: The figure for vented hydrogen varies from that reported previously as it results from a separate questionnaire with a slightly different level of detail.
Net-Zero Industry Act (NZIA)… Making Europe the industrial hub of clean technologies
As part of Europe’s Green Deal Industrial Plan, the Net-Zero Industry Act, effective since June 2024, aims to enhance the EU’s manufacturing capacity for nineteen ‘clean technologies’ that support the energy transition and emit extremely low, zero or negative greenhouse gas (GHG) emissions during operation.
Hydrogen (electrolysers and fuel cells) is one such key technology with its significant potential to decarbonise European industry and contribute to EU’s ambitious climate and energy targets. Increasing hydrogen production could enable the reduced use of fossil fuels in European industries and cater for the needs of sectors that are difficult to electrify. The NZIA includes the Net-Zero Europe Platform and the European Hydrogen Bank designed to attract private and public funding in hydrogen value chains.
On 23 May 2025, the Commission adopted new secondary legislation related to the NZIA to secure Europe’s access to a robust and sustainable supply chain. One of these is a Delegated Act on components primarily used for net-zero technologies. This act clarifies and expands the scope of the NZIA by listing specific components subject to its requirements. This Delegated Act is expected to come into force in the third quarter of 2025. With its interest in the hydrogen economy, Euro Chlor is closely monitoring developments here.
TWELFTH INTERNATIONAL CHLOR-ALKALI TECHNOLOGY CONFERENCE & EXHIBITION
Shaping chlor-alkali’s climate-neutral future
From 13 to 15 May, Euro Chlor held its twelfth International Chlor-Alkali Technology Conference & Exhibition in the beautiful city of Barcelona. Organised every three years, this eagerly anticipated three-day event gave industry stakeholders the opportunity to showcase their expertise in various aspects of chlor-alkali technology.
Our interim Chair, Jan Nouwen (BASF), welcomed an impressive audience of 367 participants from 37 countries. Attendees included Euro Chlor members, partners, staff, related regional associations and other key industry players, alongside a large exhibition of 55 exhibitors presenting their equipment and services.
On the theme ‘Chlor-alkali: Achieving Climate Neutrality’, the rich programme of presentations detailed Europe’s ambitions and considered how our sector can actively contribute to shaping its climate-neutral future. The topics were diverse, including advances in decarbonisation, efficiency and sustainable growth. There was also a specific focus on the potential and industrial readiness of hydrogen in Europe, hydrogen safety and technological developments for green hydrogen production. Specific sessions also covered innovations in chlor-alkali, safety in chlor-alkali (including behavioural aspects), an economic overview of the global chlor-vinyls sector and a special briefing on PFAS from Cefic.
The Halogens Industry Sector Executive Director, Marleen Pauwels, concluded the event by celebrating the energy, innovation and collaborative spirit of the conference. Finally, she looked forward to the next event in 2028.
