After COP28: Energy Saving and Carbon Reduction Action for Businesses

The COP28 UN Climate Change Conference recently closed in Dubai. This conference’s significance lies in conducting the first “global stocktake” of the Paris Agreement passed in 2015, reviewing the world’s progress towards achieving the temperature control targets. According to the newly released “Global Stocktake Report,” to achieve the goal of limiting global warming to 1.5°C, global carbon emissions need to be reduced by 43% by 2030 (based on 2019 levels) and by 60% by 2035.

This conference once again highlighted the trend towards net-zero carbon emissions. Taiwan, committed to sustainable development, also showcased its net-zero transition highlights to the world at this year’s conference. To meet the 2050 net-zero target and enhance climate action, Taiwan plans to implement a carbon fee within the next two years, by 2025. The initial phase will target the manufacturing and power industries with annual carbon emissions exceeding 25,000 metric tons, initially estimated to affect nearly 500 companies, with plans to gradually expand the scope and range of industries covered.

Based on ACE Energy’s extensive experience in the ESCO (Energy Service Company) industry, we suggest that to effectively implement energy-saving and carbon reduction measures, industries should address the root causes through comprehensive planning. This involves two main aspects: “improving energy efficiency” and “increasing the proportion of renewable energy,” which are essential for truly implementing climate actions. We also propose specific ESCO energy-saving solutions, such as:

• Replacing air conditioning equipment, refrigeration, and motors to improve electrical efficiency
• Using energy-saving lighting fixtures
• Installing solar power generation and energy storage equipment to shift peak electricity usage to off-peak times, thereby avoiding overconsumption during peak periods
• Introducing intelligent power management systems to automatically monitor and adjust electricity use
• Implementing heat recovery systems to reuse thermal energy at different temperatures

How can a company determine which solutions and equipment to implement? ACE Energy offers a comprehensive “energy saving, energy creation, energy storage, and energy selection” integrated energy service. This not only provides a customized and complete energy management service for businesses but also uses data and scientific methods to assist in energy-saving financial planning, including calculating payback periods and planning installment financing.

Our integrated energy-saving service is divided into four main steps: “diagnosis process, strategy development, financial planning, and operation management”:

Diagnosis Process

• Carbon emission diagnosis
• Production electricity usage/public electricity usage
• Purchased steam, thermal energy, high-pressure air
• Preliminary planning (1 week)
• Detailed planning (3 weeks)

Strategy Development

• Energy saving/energy storage/renewable energy
• Planning for uninterrupted operations
• Optimal contract capacity

Financial Planning

• Estimating payback periods
• Applying for energy-saving subsidies
• Planning installment financing

Operation Management

• Cloud-based energy management
• Optimal adjustment
• Immediate anomaly reporting
• Carbon emission aggregation and reporting
• Regular on-site inspections

The ACE Energy team is trained and certified in the International Performance Measurement and Verification Protocol (IPMVP), the globally recognized standard for energy performance measurement and verification. As of 2023 mid-year, we have helped companies reduce carbon emissions by over 111,723 tons using these methods, gaining client trust through energy-saving performance guarantees and benefit-sharing  mechanisms.

The milestones of 2025, 2030, and 2050, with their seemingly distant carbon reduction and net-zero targets, are actually just around the corner and will directly impact companies as they undergo energy transitions. For a company to operate sustainably, it must implement climate actions, starting from the root with “energy saving and carbon reduction”!