Teva Pharmaceuticals, a leading generic pharmaceutical company, is taking proactive measures to reduce its environmental impact by partnering with Honeywell, a technology company, to optimize energy consumption and carbon emissions at its manufacturing facility in Debrecen, Hungary.
Through Honeywell’s innovative ‘Energy as a Service’ (EaaS) model, Teva will be able to implement energy improvement upgrades without a significant capital investment. This move aligns with Teva’s commitment to environmental, social, and governance goals, demonstrating its dedication to sustainability and responsible business practices.
Under the EaaS contract, Honeywell will establish a three-year energy performance baseline for the Debrecen facility, enabling them to identify the key drivers of energy consumption on-site. By utilizing Honeywell Forge Sustainability plus for Buildings | Carbon and Energy Management alongside submetering tools, Honeywell will continuously monitor energy use data at both the device and asset levels. This data-driven approach will help Honeywell and Teva collaborate on a comprehensive plan to reduce energy usage while ensuring an ideal occupant experience.
Gary Baker, General Manager of Teva Active Pharmaceutical Ingredients in Hungary, emphasized the company’s commitment to reducing its carbon impact as a responsibility, not just a commitment. Teva has already achieved significant progress in minimizing its environmental footprint. The company reported a 24 percent reduction in absolute scope 1 and 2 greenhouse gas emissions compared to 2019, putting them ahead of schedule to meet their 2025 target of a 25 percent reduction. Additionally, they reduced absolute scope 3 GHG emissions by 12 percent compared to 2020. The partnership with Honeywell aims to further reinforce Teva’s efforts to minimize its environmental impact.
The significance of effective energy management cannot be overstated, particularly in the commercial building sector. In 2011, commercial buildings and construction contributed to 37 percent of global energy- and process-related carbon dioxide emissions and accounted for over 34 percent of global energy demand.
Honeywell’s EaaS model presents a compelling solution for businesses looking to prioritize sustainability while managing costs. This approach allows companies like Teva to implement crucial energy improvement updates without major capital expenditures, freeing up resources to invest in other critical areas.
Evangelos Alepochoritis, European leader for energy and sustainability at Honeywell, emphasized the growing recognition among multinational companies like Teva that sustainability is a strategic business priority and an environmental imperative. As sustainability takes center stage, energy efficiency in owned or leased buildings becomes crucial for success.
According to a company statement, through Honeywell’s EaaS approach, Teva can achieve its sustainability goals by implementing a range of upgrades throughout the facility to reduce energy consumption. Honeywell is actively building an ecosystem of third-party solutions and complementary services to further support customers in their energy reduction efforts.