Energy

We are creating a culture of energy innovation and conservation.

PPG is committed to reducing the environmental impact of our operations. We work to reduce our energy usage, improve energy efficiency across our operations and increase the energy that we source from renewable power generation. These efforts minimize our greenhouse gas (GHG) emissions, lower operating costs and maximize resource efficiency.

We consumed 12.71 million gigajoules of energy in 2022, which was a 10% decrease from 2021. Despite our focus on reducing our overall energy use, our energy intensity increased 3% due to a change in product mix driven by changing customer demand. Our energy intensity was 3.04 gigajoules per metric ton of production – a 3% increase over the prior year. Our direct energy intensity increased 4%, and our indirect energy intensity increased 2% since 2017.

We completed the rollout of an energy management assessment at the majority of our large facilities in 2022. This evaluation supports our goal to continuously improve our energy efficiency efforts. We continue to improve the accessibility and usability of these evaluations to ensure that our facility managers benefit from them.

We also expanded our renewable energy sourcing efforts over the past year. In 2022, 6% of our total energy consumed came from renewable sources. Of the electricity that we purchased, 23% was generated by renewable sources in 2022. We continued to work with partners to evaluate on-site renewable opportunities and to secure renewable energy through power purchase agreements (PPAs). PPAs guarantee renewable energy supplies for years in the future, and help us lock in a fixed rate for electricity.

As part of our 2030 goals, we have announced decarbonization targets that have been approved by the Science-Based Targets initiative. As we prepare for the next phase of our decarbonization journey, we will be partnering with clean energy solutions providers to define a comprehensive global strategy for renewable and clean energy sources to our network of facilities around the world.

See the following case studies for specific examples of our work to improve energy efficiency in 2022.

Multi-year data highlights

Energy intensity

Gigajoules per metric ton of production

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_{Energy intensity includes all types of energy consumed within the organization related to manufacturing and research and development. Data changes from prior reporting reflect updated data and adjustments for acquired, divested and closed locations from the 2017 baseline onward. Total may not equal the sum due to rounding.}

Energy consumption

Million gigajoules

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_{Direct energy consumption is the amount of primary energy we combust on-site. Our direct energy sources may include coal, natural gas, fuel distilled from crude oil, propane, biofuels, ethanol and hydrogen. Indirect energy refers to the energy we consume that is generated by external suppliers. We consume indirect energy through electricity, heat, steam and electricity generated from renewable energy sources, such as solar and wind. Data changes from prior reporting reflect updated data and adjustments for acquired, divested and closed locations from the 2017 baseline onward. Total may not equal the sum due to rounding.}

Energy consumption by source

Million gigajoules/percent of total energy consumption

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_{Data changes from prior reporting reflect updated data and adjustments for acquired, divested and closed locations from the 2017 baseline onward. Total may not equal the sum due to rounding.}

Energy costs

Millions of dollars

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_{Data changes from prior reporting reflect updated data and adjustments for acquired, divested and closed locations from the 2017 baseline onward.}

Our energy approach

To fulfill our purpose to protect and beautify the world, we recognize the need to reduce our environmental impacts. We have committed to:

• Reduce our annual energy consumption through implementation of innovative energy solutions
• Increase our use of renewable energy across our operations
• Ensure reliable supply of energy and contingency measures in the event of a power failure or gaps in renewable energy generation
• Replace technologies that use fossil fuels (coal, oil and natural gas) with those that use electricity as an energy source

To enable these actions, we are focused on developing an energy-conscious culture throughout PPG. We build awareness across the company through frequent communication, developing energy management requirements for our facilities, and focusing our efforts and resources on locations with the highest energy use.

Energy management 

Most of our coatings are produced at ambient temperatures and pressures, and most of our production processes are not energy intensive. We focus on identifying the processes that require the most energy and making them more efficient. For example, we are working to improve the efficiency of the milling process, where ingredients such as pigments are broken down to the correct particle size for use in our paints and coatings, by improving production processes and upgrading technology in our facilities. We also work to shorten cycle times, and increase the efficiency of those processes that may require heating or cooling.

At our most energy intensive facilities, we establish energy management requirements based on the ISO 50001 Energy Management Standard. We regularly update and improve these requirements based on feedback from our facility managers, to support continuous improvement throughout the organization. Key aspects of these energy management requirements include:

• Identification and characterization of energy usage
• Documentation of and compliance with all regulatory requirements for energy usage
• Documentation of operational practices to reduce energy consumption, including identification of equipment with high energy use, a written preventative maintenance program and energy-reduction processes
• Training on energy use and minimization
• Documentation and records of energy usage on the site

We have an internal portal for sharing energy management performance data. The portal provides management with timely information on their sites' energy performance compared to goals, previous years and similar facilities. This allows us to identify areas of high energy use and evaluate the impact of efficiency improvements as they are implemented.

We conduct full-scale audits at our facilities that consume the most energy and make efficiency improvements based on these findings. We are undertaking these improvements over time to optimize the impact, focusing on the projects with the greatest improvement opportunities for the resource investment required. Efficiency improvements may include: 

• Process changes to reduce the energy required to manufacture our products
• Upgrading outdated equipment such as boilers, chillers and air compressors
• Switching to LED lighting
• Electrification of processes that use fossil fuels

We also use our energy audit process to look for opportunities to implement renewable energy generation on site at our facilities, including rooftop and freestanding solar panels.

Renewable energy sourcing

Most power generation still relies on burning fossil fuels, which are not renewable and release greenhouse gases. We work with external suppliers to increase the percentage of our electricity that comes from renewable sources. We source renewable energy through a variety of means, including direct investment, PPAs, renewable energy certificates and green tariffs.

Much of our renewable energy is sourced through PPAs, which allows us to purchase electricity at a fixed cost for anywhere from 10-25 years, and helps developers build renewable energy infrastructure. These agreements are key in supporting our decarbonization commitments. Learn more in the Emissions section.