Energy

When Siemens sees a feasible way to save resources and improve efficiency, the company takes it. 

Case in point: The global industrial manufacturing and technology business recently opened one of the first all-electric powder coating paint lines for the electrical distribution industry in the U.S., in Grand Prairie, Texas, to cut down on natural gas consumption.

• Siemens wholly replaced the original paint line to an all-electric system, which has reduced natural gas consumption by more than 90%, according to the company.
• “The timing was fortuitous,” said Stacy Mahler, U.S. head of sustainability for Siemens Smart Infrastructure. “We’d done an assessment of [the facility] and saw that our Scope 1 emissions were coming mostly from the paint line, which at 30 years old was due for replacement. The team realized that there was an opportunity to make an investment that would not only modernize the process but also lower the carbon footprint and help to manage the volatility in energy cost.”
• That change—made without interruption to plant operations because the new line was built alongside the old line—is part of Siemens’ larger goal to achieve a net-zero carbon footprint across its operations by 2030. It’s 55% of the way there already.
• Next up: assessing other company facilities globally for the same all-electric upgrade. One outcome of the effort in Grand Prairie is a cross-business team of experts working to replicate success at Siemens’ other facilities, like the newly expanded facility in Pomona, California, while sharing their knowledge with the broader manufacturing community.

Waste not: At its Spartanburg, South Carolina, site, Siemens is extracting and reusing waste oil found in materials on the floor.

• “We’ve partnered with a third-party company that provides the infrastructure within our own facility to take oil from rags and other materials, absorb it and then recycle or downcycle it,” Mahler told the NAM, adding that in the latter, the oil can be made available for other downstream applications.
• The impact is big, recycling about “3,000 pounds of oil-absorbent material that otherwise would have gone to landfill.”

From trash to energy: Siemens has also designated two of its American facilities—the one in Grand Prairie and another in Hingham, Massachusetts—as “landfill-free,” meaning that the sites incinerate all their nonrecyclable waste, producing thermal energy to power operations.

• “We’re taking waste that’s coming out of the facility, and instead of having waste management take it, we partner with a company that extends the useful life of the raw material and prevents it from sitting in a landfill,” Mahler said.
• The two-facility program redirects approximately 1,000 tons of waste each year.

Reusing metals: At its Roebuck, South Carolina, manufacturing center, Siemens uses a wastewater treatment process that recovers metals for reuse.

• The onsite system “extracts valuable metals—including copper, aluminum, tin and iron—from sludge that are a byproduct of painting and fabrication processes,” Mahler said. “These are then recycled instead of sent to the landfill.”
• Siemens recovers about 59,000 pounds of metal annually this way.

Even the windows: Siemens has also slashed energy consumption at its Fort Worth, Texas, facility using a unique type of window.

• Michigan-based glass solutions startup LuxWall recently installed its Enthermal Glass windows throughout the office in the Siemens plant. “The glass operates like a thermos, reducing both emissions and the energy bill,” according to Mahler.
• Installing the windows can cut a building’s emissions by 35% to 40% and reduce cooling costs by 20%, according to LuxWall.
• Siemens has been so impressed with the reductions it’s seen that it has even begun “sharing the product with our suppliers and customers.”

Onward and upward: Chief among Siemens’ sustainability goals for the coming years is “accelerating action across our other U.S. facilities, our supply chain and for the manufacturing sector as a whole,” said Mahler.

• “We’re trying to pave the way, show proof of concept and hopefully remove some of the barriers in the name of sustainability and more efficient operations.”

Washington, D.C. – National Association of Manufacturers President and CEO Jay Timmons released the following statement on President Donald Trump’s recent executive order establishing the National Energy Dominance Council:

“President Trump is moving quickly to unleash America’s full energy potential by establishing the National Energy Dominance Council, setting America up to lead on energy and secure our energy independence. This action demonstrates President Trump and his administration’s commitment to ensuring manufacturers have the energy they need to drive economic growth.

“On day one, President Trump declared the United States will be a manufacturing nation, lifting the moratorium on liquefied natural gas (LNG) export permits—one of the NAM’s top recommended regulatory actions for the Trump administration to tackle. This was a significant move that will bolster our energy sector, strengthen our position in the global market and ensure manufacturers in America have the energy resources they need to power economic growth here at home. We look forward to working with President Trump and the administration to improve the processes for permitting for all energy sources, which this action also addresses. The federal permitting system is broken—delaying projects that would create jobs, secure supply chains and reinforce America’s competitive edge.

“The National Energy Dominance Council, under the leadership of Interior Secretary Burgum and Energy Secretary Wright, will help power the future of manufacturing in America because when manufacturing wins, America wins.”

-NAM-

The National Association of Manufacturers is the largest manufacturing association in the United States, representing small and large manufacturers in every industrial sector and in all 50 states. Manufacturing employs nearly 13 million men and women, contributes $2.93 trillion to the U.S. economy annually and accounts for 53% of private-sector research and development. The NAM is the powerful voice of the manufacturing community and the leading advocate for a policy agenda that helps manufacturers compete in the global economy and create jobs across the United States. For more information about the NAM or to follow us on Twitter and Facebook, please visit www.nam.org.

Among President Trump’s Day One executive orders were several manufacturing-crucial energy policies. We break them down here.
 
Domestic energy resources: The president focused on unlocking the vast wealth of energy resources in the United States with the “Unleashing American Energy” executive order, which:

• Orders a 30-day review by all federal departments and agencies of regulations and other barriers to the identification and development of domestic energy resources (particularly oil, coal, natural gas, biofuels, critical minerals, nuclear and hydropower);
• Directs the Department of Energy to resume liquefied natural gas export permits, ending the previous administration’s moratorium, and resumes review of LNG export applications;
• Rescinds the “NEPA Phase 2” rulemaking, the Council on Environmental Quality’s revisions to the National Environmental Policy Act;
• Directs the reconsideration of the legality of regulating greenhouse gas emissions under the Clean Air Act;
• Revokes an executive order by President Carter that gives the CEQ authority to issue binding regulations to other agencies;
• Terminates state emissions waivers that limit the sale of gas-powered vehicles and begins the process of unwinding a suite of vehicle tailpipe regulations from the previous administration;
• Directs all agencies to provide the opportunity for public comment and rigorous, peer-reviewed scientific analysis for regulations; and
• Disbands the Interagency Working Group on the Social Cost of Greenhouse Gases.  

A “National Energy Emergency”: The president’s declaration of a “national energy emergency”:

• Authorizes the heads of every federal agency and department to use emergency powers to facilitate domestic energy development and production;
• Requires the Environmental Protection Agency and DOE to consider issuing emergency fuel waivers to allow for year-round sale of E15 fuel with a blend of 15% ethanol;
• Requires a report from the Army Corps of Engineers and other agencies on potential and planned permitting provisions to speed up energy infrastructure permitting under various legislative measures; and
• Requires agencies to use emergency authority under the Endangered Species Act to expedite energy project permitting consultations.   

Alaskan energy: The president’s “ Unleashing Alaska’s Extraordinary Resource Potential” order provides for the opening of Alaskan lands to energy exploration and development and promotes Alaskan LNG production.
 
The Paris Agreement: “Putting America First in International Environmental Agreements” withdraws the U.S. from the Paris Agreement, a 2015 climate change accord.
 
Rescissions: “Initial Rescissions of Harmful Executive Orders and Actions” includes revisions of multiple executive orders put in place by the previous administration, including “Tackling the Climate Crisis at Home and Abroad,” “Establishment of the Climate Change Support Office,” “Climate-Related Financial Risk” and “Strengthening American Leadership in Clean Cars and Trucks.”  
 
Offshore wind: The “Temporary Withdrawal of All Areas on the Outer Continental Shelf from Offshore Wind Leasing and Review of the Federal Government’s Leasing and Permitting Practices for Wind Projects” blocks lease sales for offshore wind projects and pauses new approvals for leases, permits or loans for on- and offshore wind projects.   
 
Our view: “Expanding domestic energy production drives innovation, creates jobs and powers the growth that keeps America at the forefront of the global economy,” NAM President and CEO Jay Timmons wrote in a social post Monday.

• “Energy is the lifeblood of our industry, and we look forward to working with President Trump to build our manufacturing nation.”   

The Biden administration’s ban on new offshore oil and gas drilling in most American coastal waters “sets a bad precedent for the country,” the NAM said Monday.

What’s going on: The decision, which comes just two weeks before President Trump takes office, applies to “new drilling off the entire East Coast, as well as California, Oregon and Washington state” and “some drilling off Alaska’s coast in portions of the Northern Bering Sea and in the eastern Gulf of Mexico” (The Hill).

• Though there is currently no active drilling in the Atlantic and most U.S. offshore oil and gas production comes from the central and western Gulf of Mexico, the area placed under the ban is the largest ever “formally taken off the table for drilling by a president.”
• In response, President Trump on Monday said he would “unban it immediately” (Associated Press).

Why it’s a problem: The moratorium could prove harder for Trump to undo than other 11th-hour moves by Biden. That’s in large part because of the Outer Continental Shelf Lands Act, which gives U.S. presidents the right to block drilling in certain areas but not the right to reinstate it.

• However, Congress could work with the new president to undo the move—and it should, Timmons said. “Manufacturers are committed to working with Congress and [President Trump] to scale back this harmful decision that undermines American energy dominance.”

Washington, D.C. – Following the publication of new final guidance by the U.S. Department of Treasury for the hydrogen production tax credit, National Association of Manufacturers President and CEO Jay Timmons released the following statement:

“America leads when we unleash all our energy potential, including hydrogen, American natural gas, nuclear and more. With a strong build-out of hydrogen production facilities, we will be able to add more sources of reliable energy for manufacturers, power plants and communities while cementing our energy dominance.

“The NAM has advocated consistently for flexibility in the credit using project-specific emissions data rather than national or regional averages. The Biden administration’s guidance provides manufacturers with an important step forward. But for hydrogen to truly become a game-changing energy source, we need to address restrictions that make it harder to cost-compete on a global scale. A robust and flexible hydrogen industry will also be a major boon to the production and utilization of American natural gas as well as American nuclear power.

“Under President Donald Trump’s leadership, we have an opportunity to cut taxes, slash red tape and unleash permitting reform—turning this credit into a powerful tool for American energy leadership and fuel security. It’s time to build on this momentum and ensure these incentives deliver on their full promise for America’s manufacturers, workers and economy.”

-NAM-

The National Association of Manufacturers is the largest manufacturing association in the United States, representing small and large manufacturers in every industrial sector and in all 50 states. Manufacturing employs nearly 13 million men and women, contributes $2.91 trillion to the U.S. economy annually and accounts for 53% of private-sector research and development. The NAM is the powerful voice of the manufacturing community and the leading advocate for a policy agenda that helps manufacturers compete in the global economy and create jobs across the United States. For more information about the NAM or to follow us on Twitter and Facebook, please visit www.nam.org.

The NAM is urging President Trump to reconsider the Biden administration’s misguided findings regarding new liquefied natural gas export permits, following the release of a Department of Energy study claiming that increased permit numbers would have negative effects on the nation.
 
What’s going on: The Department of Energy’s analysis, released Tuesday, holds “that ‘unfettered’ shipments of the fuel would make domestic prices rise … [and would] displace more renewables” (E&E News).

• However, the “report from Energy Secretary Jennifer Granholm is clearly a politically motivated document designed for an audience who believes no form of carbon-based energy is acceptable,” NAM President and CEO Jay Timmons said. “LNG exports play a crucial role in reducing emissions by providing cleaner energy alternatives to countries reliant on higher emission sources.”   

What the ban’s done: The result of the Biden administration’s moratorium—issued in January—on the issuance of new U.S. LNG export permits has been “chilled energy investment, costing the country manufacturing jobs and holding us back from achieving energy dominance on the world stage,” Timmons continued.

• “The DOE’s report claims to be concerned about security, but the actions of this administration on LNG only serve to incentivize Europe to purchase natural gas from Russia.”  

A popular, key energy source: U.S. LNG is far cleaner than Russian LNG (House Energy and Commerce Committee). Furthermore, an October study by the NAM and PwC found that U.S. LNG is a significant and crucial contributor to gross domestic product, as well as an important source of jobs and federal, state and local taxes.

• What’s more, Americans want to keep exporting it. In a March NAM poll of 1,000 registered voters, more than 87% said they believe the U.S. should continue to export LNG.   

The bottom line: “The data is clear: LNG exports are a driving force for economic growth and job creation in the United States,” Timmons concluded. “Halting LNG export licenses as suggested would threaten nearly a million jobs and undermine our nation’s economic stability. The NAM asks President Trump to end this political war on the energy manufacturers that power our economy, fuel job growth and help ensure America’s national security.” 

Washington, D.C. – The National Association of Manufacturers today responded to the Department of Energy’s report on liquefied natural gas exports and highlighted the harmful impact of the DOE’s misguided attempts to restrict new LNG export terminals.

A comprehensive study conducted by the NAM, in collaboration with PwC, reveals that robust LNG export operations could support more than 900,000 jobs, contribute up to $216 billion to U.S. GDP and generate $46 billion in tax revenue by 2044. Furthermore, the LNG sector supports approximately 222,450 jobs, resulting in $23.2 billion in labor income, and contributes $43.8 billion to the national GDP.

“Today’s report from Energy Secretary Jennifer Granholm is clearly a politically motivated document designed for an audience who believes no form of carbon-based energy is acceptable. LNG exports play a crucial role in reducing emissions by providing cleaner energy alternatives to countries reliant on higher emission sources,” said NAM President and CEO Jay Timmons.

“The result of the LNG export ban that has been in place since January is chilled energy investment, costing the country manufacturing jobs and holding us back from achieving energy dominance on the world stage. The DOE’s report claims to be concerned about security, but the actions of this administration on LNG only serve to incentivize Europe to purchase natural gas from Russia.

“The data is clear: LNG exports are a driving force for economic growth and job creation in the United States. Halting LNG export licenses as suggested would threaten nearly a million jobs and undermine our nation’s economic stability. The NAM asks President Trump to end this political war on the energy manufacturers that power our economy, fuel job growth and help ensure America’s national security.”

-NAM-

The National Association of Manufacturers is the largest manufacturing association in the United States, representing small and large manufacturers in every industrial sector and in all 50 states. Manufacturing employs nearly 13 million men and women, contributes $2.91 trillion to the U.S. economy annually and accounts for 53% of private-sector research and development. The NAM is the powerful voice of the manufacturing community and the leading advocate for a policy agenda that helps manufacturers compete in the global economy and create jobs across the United States. For more information about the NAM or to follow us on Twitter and Facebook, please visit www.nam.org

In its current form, the Environmental Protection Agency’s recent proposal to add specific per- and polyfluoroalkyl substances and PFAS categories to a database of toxic chemicals would place an unnecessary hardship on manufacturers, the NAM told the agency recently.
 
What’s going on: In October, the EPA published draft rules that would add 16 individual PFAS and 15 PFAS categories representing more than 100 individual PFAS to its Toxic Release Inventory, a list of potentially hazardous chemical release and waste management activities taking place in the U.S.

• Companies producing or manufacturing products with chemistries added to the TRI are required to complete and submit inventory forms each year for the chemicals they make and use over established limits.
• “The NAM believes this proposed rule will create unduly burdensome compliance requirements and increase costs for manufacturers and consumers as written,” NAM Vice President of Domestic Policy Chris Phalen said this month.

What should happen: The EPA should “adopt the following approaches to the proposed rulemaking”:

• Stay the proposal to give the public more time to comment on it.
• Revise the proposed PFAS and PFAS category additions to reflect “a meaningful baseline of scientific evidence” and ensure that “the scientific evidence justifying the listing[s] [is] supported by peer review and public comment.”
• List individually every PFAS added to the TRI and make each one identifiable.
• Narrow the group of PFAS listed as “chemicals of special concern” to reflect the scope of authority granted to the EPA by the fiscal year 2020 National Defense Authorization Act.

Why it’s important: “While the EPA estimates this proposed rule would result in up to 1,110 TRI reporting forms annually at an estimated cost of up to $6.6 million for its first year and up to $3.1 million for subsequent years, we anticipate the compliance costs to manufacturers will be significantly higher,” Phalen continued.

• If finalized as written, the rule will force manufacturers to hire additional workers and consultants, train employees on proper reporting processes, spend huge sums of money on testing and verifying results and much more.
• The result: “a costly drain on [manufacturers’] resources … [that] will lead to a rise in operational and production costs far above the EPA’s cost estimates for the proposed rule.”

At Milo’s Tea, every element of the company’s delicious beverages is scrutinized for sustainability opportunities—from bottle-sourcing to the water and tea leaves that go into each gallon.

The bottles: The Bessemer, Alabama–based business recently opened a new, one-gallon bottle-blowing facility in its hometown, right next to its distribution center.

• The new facility will reduce carbon dioxide emissions by 1,000 metric tons per year, since it will eliminate the need for trucks to travel from farther-off bottling locations to the Bessemer distribution facility.

• “We’re still family-held, and sustainability is a family value, too,” said Chief Operating Officer Chris Droney. “When you have a project like this, that has a positive environmental impact and allows us to reinvest in our company growth, that’s a win–win.”

The water: The 78-year-old Milo’s Tea—which in 2022 became the top-selling refrigerated tea brand in the U.S. and is the fastest-growing refrigerated lemonade brand—has a strong track record of environmental resource preservation, starting with its water conservation.

• Since 2019, Milo’s has conserved nearly 37 million gallons of water, an achievement that has helped earn the certified woman-owned business two Platinum TRUE Zero Waste certifications (one for its Bessemer plant and another for its Tulsa, Oklahoma, facility).
• Among other measures, the company has invested in new, more water-efficient line-cleaning (clean-in-place) technology, which it uses between production runs to clean the brew, blend and filler equipment. “If we’re going from making sweet tea to zero-calorie tea, for example, it’s very important to make sure there’s no residue” in the lines, Droney explained.
• The enhanced equipment reduces energy, water and cleaning agent consumption, while also improving the effectiveness of the cleaning cycle. Milo’s made additional improvements to the production scheduling process, which decreased the total number of cleaning cycles required and further reduced energy, water and cleaning agent consumption.
• Milo’s was also able to reduce the amount of excess product the company had in its tanks during those flavor switchovers, further reducing waste and water use.

The tea: Milo’s earned its Oklahoma Zero Waste certification in part through “re-earthing” its tea leaves—“the largest waste stream we have”—in partnership with GEM Dirt, Droney said.

• The topsoil company takes Milo’s spent tea leaves and turns them into compost that it blends with dirt to create nutrient-rich soils. In 2023, Milo’s re-earthed more than 10,000 tons of used tea leaves from all facilities.

The packaging: When it comes to packaging, Milo’s doesn’t let dents stand in its way. The firm has installed compressed air stations on its lines to un-dent damaged bottles before they’re filled, so that none are thrown away.

• “At our flagship facility in Bessemer, if bottles can’t be undented, we send them back to the manufacturer and they can be reground and made into new bottles,” Droney continued. “A recycled bottle uses less resin than a new one.”

The production process: Milo’s has also recycled and diverted more than 148,000 tons of waste since 2019, another reason it has been so highly certified. On top of that, it has prioritized renewable energy sources at its facilities.

• Solar panels went live at the Bessemer plant in 2023, and this past summer, the business commissioned a rooftop solar farm at its Tulsa facility.
• The panels offset from 5% to 10% of each site’s total annual energy consumption, Droney told us. More solar panels are scheduled for other Milo’s sites, he added.

Advice for other manufacturers: Careful environmental stewardship can pay dividends for manufacturers, according to Droney.

• Profitability and sustainability “go hand in hand; we really believe that,” he said. “Solar power, onsite bottle blowing—there’s a cost to it, but there’s also a benefit. When you combine those, not only are you doing the right thing, but you’re generating fuel for future growth. We all have a responsibility to drive sustainability.”

If you ask the leaders at Hyzon what kind of company it is, the answer might surprise you. The business, which manufactures “high-performance hydrogen fuel cell systems,” doesn’t consider itself just a manufacturer.

Making things possible: “We are a clean technology company that makes it possible to provide emissions-free power to some of the most difficult applications out there,” said Chief Operating Officer Dr. Bappaditya Banerjee. “It just so happens we are starting with Class 8 and refuse trucks.”

• In September, the Bolingbrook, Illinois–based firm announced the start of production of its single-stack, 200-kilowatt fuel cell systems to power those heavy-duty hydrogen fuel cell trucks. Hyzon is the only U.S. producer of the single-stack 200-kilowatt fuel cell.
• The new system is an upgrade from the 110-kilowatt fuel cell assemblies that Hyzon used in its first-generation vehicles.
• “If we were to put together two 110-kilowatt fuel cells to get to 200 kilowatts, the single-stack system would be 30% lighter than two110-kilowatt systems, as well as 25% cheaper to produce,” Banerjee said.

A differentiator: The company aimed to scale up the power of the engine without also significantly scaling up the size—no easy task. So Hyzon developed a proprietary solution: its hybrid bi-polar plate technology.

• “Most [fuel cell] stacks are either metal or carbon, but ours are hybrid,” Banerjee explained. “By hybrid, we mean that the cathode—where the oxygen comes into the system—is carbon, while the anode side is metal. The carbon side is more corrosion resistant while the metal side is strong, rigid and easier to manufacture, which allows a compact design.”
• “It’s the structure of the plates and the unique 200-kilowatt, single-stack design that allowed us to make it small enough to fit under the hood of a truck,” added Hyzon Vice President of Global Engineering Ravi Desai. “What does this is the design combination of our Membrane Electrode Assembly, the bi-polar plates and the compact balance of plant,” he said, referring to the network of pipes, hoses and fittings necessary for the fuel cell stack to work.

Uses and range: Hyzon offers two different emissions-free, heavy-duty vehicle types for industrial and commercial use, including a refuse collection truck. The models boast driving ranges comparable to those of diesel-powered trucks.

• The Heavy Duty Class 8 Fuel Cell trucks can typically go 350 miles from full storage tanks to empty, while the Fuel Cell garbage trucks can do a full day of work (at least 1,200 trash bin lifts and 125 miles of driving range) on a full tank.
• The trucks take about 15 to 20 minutes to refuel with a fast-fill dispenser at 350 bar, the pressure of the hydrogen gas needed to fill the trucks.

A challenge: In the U.S., the only publicly available hydrogen fuel refilling stations are in California, restricting widespread adoption for now. Meanwhile, the cost of filling up can be high.

• To support the construction of stations around the country and lower prices, the Biden administration announced $7 billion in funding last year for regional clean hydrogen “hubs.”
• In addition, the Inflation Reduction Act created the 45V hydrogen production tax credit, designed to help jumpstart scalable and sustainable domestic hydrogen fuel production.
• The credit is not yet available to companies, however, as the administration works to issue final regulatory guidance. The NAM has worked tirelessly to ensure this guidance is as broad, flexible and fair as possible.

Good for everyone: Hyzon doesn’t want to be the only player in the hydrogen ecosystem. On the contrary, it welcomes competition for the good of consumers and the industry.

• “The number of people who have been able to provide something useful [in transportation] using hydrogen is so limited that the more of us who succeed, the more it allows for hydrogen to become a normal part of our infrastructure,” said Banerjee. “A rising tide lifts all boats.”