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ICL is in the process of changing its operations from mainly highly polluting fuels such as coal, fuel oil, and shale oil to natural gas and renewable energy. Over 95% of ICL Israel’s main energy-consuming sites use natural gas. This transition has significantly reduced air pollutant emissions.
ICL transitioned to renewable energy (externally-supplied electricity) for the majority of its European sites. ICL is also searching for renewable sources for its sites in North America and Brazil. In addition, ICL plans to install Photo-Voltaic (PV) systems in order to generate solar energy on its sites. The Company conducted several feasibility studies across Europe and Israel during 2021 to identify which sites are suitable for Photo-Voltaic (PV) installations. Construction is expected to commence in 2022. During 2022, our North American operations will be similarly assessed, and our other main sites globally (predominantly in Brazil and China) will be assessed in 2023.
In the long-term, ICL is looking to increase its share of renewable energy and add hydrogen into its energy mix.
Units | 2018 | 2019 | 2020 | 2021 | |
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Total Energy Consumption | GJ (millions) | 35.3 | 33.6 | 33.8 | 34 |
In 2021, approximately 7.4% of energy consumed by ICL was electricity purchased from the grid. 4% of ICL’s consumed energy (electricity and steam) is sourced from renewable energy.
ICL’s Dead Sea combined heat and power (CHP) plant commenced operations in August 2018. Since becoming fully operational, there has been an increase in ICL’s fuel consumption (direct energy). At the same time, there has also been a significant decrease in the amount of external electricity (indirect energy) that ICL consumes.
The ICL Dead Sea CHP plant supplies steam to ICL Dead Sea facilities. It also supplies most of the electricity to ICL’s sites in Israel, replacing previously purchased electricity from external sources.
Electricity from the new CHP plant is also sold by ICL to Israel’s national grid and external customers. The amount sold in 2021 was 369,291 MWh. In accordance with the GRI methodology, the amount of electricity sold to Israel’s national grid was subtracted from ICL’s total energy figures.
The reduction in energy intensity is due to continued activities in energy efficiency and high revenues in 2021.
2018 | 2019 | 2020 | 2021 | ||
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Energy Intensity | GJ/million $ | 6,355 | 6,374 | 6,693 | 4,883 |
ICL promotes road transport efficiency. To this end, ICL Israel is in process of transitioning its leased vehicle fleet to hybrid or electric cars targeting to cut off CO2 emissions to 100 grams per km by 2023. In addition, high emissions vehicles will not be leased and vehicles emitting more than 170 grams/km will require CEO approval.
ICL is one of the first companies in Israel to offer a complete experience for employees who chose EVs. Approximately 25% of ICL’s leased fleet is made up of EVs, hybrid, and plug-in vehicles. As part of ICL’s efforts to cut CO2 emissions, ICL provides employees with a home charging station and refunds electricity costs accrued for charging EVs. ICL has also installed charging stations in all its facilities and sites. By the end of 2023, ICL aims to have 200 EVs in its fleet.