Palsgaard has reached its goal of total carbon-neutral production two years early, describing the achievement as a milestone for the whole ingredients industry. In 2010, the Danish company set itself the goal of completely carbon-neutral production within 10 years. It has achieved this target two years ahead of schedule, reducing its net carbon emissions from 12,029 tons in 2010 to zero in 2018. Over that period, it has achieved CO2 reductions totaling 56,175 tons—equivalent to the amount produced by 4,885 European households in a year.

The company’s six global production sites are now all carbon-neutral, mainly through changing sources of energy. Strategies have included new heat recovery and insulation techniques, a switch from heavy fuel oil to certified biogas, and the use of renewables. At Palsgaard’s main site in Denmark, all electricity is sourced from hydro power, and indoor heating is powered by burning home-grown straw rather than oil.

The company’s Dutch factory has over 800 solar panels and has run off only renewable energy since the start of 2018. Because changing energy sources is not possible everywhere, Palsgaard has also partnered with the United Nation and purchases its official carbon credits to offset emissions.

“This is a major milestone―not just for Palsgaard but for the whole ingredients industry. The production of emulsifiers is very energy intensive and when we decided to eliminate our carbon footprint, many thought it couldn’t be done,” said Jakob Thøisen, CEO of Palsgaard. “However, we’ve demonstrated that with ambition and innovation, sustainable ingredient production is possible. Achieving CO2-neutral status ahead of schedule has given us extra energy to continue making a difference. We hope other companies will be inspired to go on the same journey.”

Press release

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