Subhash Deodhar, Senior Consultant, Fisher International
So far, the impact of the carbon, or Greenhouse Gas (GHG), issue on pulp and paper mills has been relatively small and uneven. Some mills may pay small amounts of penalties while others actually benefit from Renewable Energy Credits (RECs) they earn and are allowed to sell when they produce energy from renewable fuels.
The carbon issue, however, has the potential to have a large impact on individual mills and paper companies. Consumers are increasingly concerned about global warming threats and inclined to prefer products that can claim to be carbon neutral.
Governments throughout the world, both local and national, are considering instituting a variety of disincentives for carbon emissions. The wide range of penalties under consideration, if instituted, could affect pulp and paper mills in wildly varying degrees.
Fisher International has calculated the GHG emissions of every operating mill and machine in the world for each of the products it produces. The data are in the Carbon Benchmarking Database of FisherSolve™. We’ve used some of this data to analyze the potential impact of the carbon issue on the industry as a whole in this article. Since societal responses and government policies are still evolving, we’ll look at the uneven range of carbon emissions across countries and grades and how they may affect individual mills differently.
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