We are mindful that our manufacturing processes require large amounts of energy, which is why we are committed to implementing innovative solutions to maximize efficiency and reduce greenhouse gas emissions. Energy efficiency is a critical component of our sustainability strategy, as evidenced through the inclusion of a corporate energy reduction goal on the personal performance commitment of the company’s CEO. Our commitment pays off — it delivers financial savings to our business and reduces our environmental footprint. Reducing our energy use and emissions is an ongoing effort around which we have clear, measurable targets.
In 2010, Eastman set an aspirational goal of 25% improvement in energy intensity in ten years, with a baseline of 2008 — the year Eastman became an ENERGY STAR® partner. As reported in 2014, Eastman’s Worldwide Energy Management team worked with the Department of Energy, and the Oak Ridge and Lawrence Berkeley National Labs to develop a refined goal of 20% by 2020 that, while still an aspirational goal, takes into account our rich history of energy efficiency improvements.Through 2016, we’ve reduced energy intensity by 10.1%, making significant improvement of 2.6% year-over-year compared to 2015.
While Eastman’s energy management program is
global and encompasses a multitude of projects and
improvement efforts, in 2016 the team emphasized
performance improvement at Eastman’s largest site
in Kingsport, Tennessee, which uses almost 50% of
the company’s energy. Data from 2015 indicated that
progress at this site had stalled. Work was done to
optimize the Combined Heat and Power system at the
site. In addition, we engaged an external consultant
to evaluate plans to improve system efficiencies.We
emphasized improved correlation between production
and energy use to offset headwinds due to Eastman’s
strategic shift to specialty materials, which tend to
be more energy intensive to manufacture. As a result,
the Kingsport site achieved a 2.8% improvement year over year.
In 2016, Eastman’s Indian Orchard facility near
Springfield, Massachusetts, completed installation
of a solar photovoltaic system with a total electrical
generation capacity of 2.5 megawatts. The system
includes more than 7,500 individual solar panels and
showcases state-of-the-art data monitoring capabilities.
The solar electricity generated is expected to produce
approximately 5% of the site’s electricity demand.
With the company’s increased focus on innovation, the energy team continues to implement innovative approaches to natural resource management, signified by the restructuring of Eastman’s energy management program in 2016 to become the global natural resource management program. The scope of the program now includes not only an increased focus on renewable energy but further emphasis on water, recognizing the inextricable linkage between water and energy.