Taking on a stronger Energy Efficiency mentality – what’s next?
LARTC Advisory Board Meeting
Here are the following key takeaways from the LARTC Advisory Board Meeting that took place in Buenos Aires, in February. The industry experts present at the meeting and sharing their insights include:
- Hector Godoy, Conversion Manager, Pampa Energía
- Pablo Baravalle, Senior Optimization & Control Process Engineer, YPF
- Adrián Guzmán, Head of Products Downstream Division, Y-TEC
- Ignacio Millán, Chemical Commercial General Manager, YPF
Key Takeaway 4: Taking on a stronger Energy Efficiency mentality – what’s next?
The whole region needs to become more efficient in their operations, including their energy consumption. With increased awareness of the impact and severity of climate change, efforts to reduce emissions and improve energy efficiency are key to the region’s refining and petrochemical industrial future. NOCs across Latin America need to be looking into incentives and projects encouraging a stronger focus on energy efficiency and sustainable practices. Actions need to be taken to mitigate the environmental impact of refining and petrochemical activities, and focus on becoming more sustainable in an ever-changing market.
The Chilean downstream industry was discussed as an interesting case study in this context as it is clearly taking a stronger stance on the importance of moving towards more sustainable practices, with environmental regulators recently sanctioning refineries not complying with environmental standards and the increasing reliance on the development of renewables.
“Today’s challenges call for increased levels of
production flexibility within plants
so as to maximise their utilisation and
adjust to ever-changing market demand”
The electrification of the transport sector needs to be taken into account
The electrification of the transport industry is picking up momentum. Europe has seen electric vehicles take increasingly significant market share. Looking at the long-term, they offer a more sustainable and competitive cost alternative to fuel powertrain vehicles.
Latin America needs to prepare for similar market changes and assess when and what impact this trend will have on the regional industry. Some countries are already making steps towards these changes. The city of Bogota has pledged to convert 50% of its taxi fleet to electric vehicles in the next 10 years and hopes to substitute all of its bus fleet with hybrid and electric vehicles by 2024. Chile’s “E-mobility Readiness Plan” aims to grow the electrical vehicle (EV) market to 70,000 cars by 2020.
While electric transport is in initial stages in Latin American countries, the industry needs to take this market trend into account in its industrial refining and fuel distribution network strategy.
Read the first key takeaway here.
Read the second key takeaway here.
Read the third key takeaway here.