ABB and sustainable development Michael Robertson Life cycle assessment techniques are the key to “greener” products ABB © ABB Ltd - Page 1

How ABB supports sustainability Sharing technology 45,000 employees in developing countries Ecoefficient products Life Cycle Assessment LCA Environmental declarations Innovative R&D programs Economic performance Sustain- ability ABB’s environmental performance ISO 14001 in place (97% of sites) Environmental performance Social performance Contribution to common efforts Environmental and social improvement projects

Life-Cycle Assessment (LCA) - what is it? Environmental impact Scrapping & recycling of motor Waste Emission Resource depletion Noise Disposal Use of motor 20-30 years Recycling Manufacturing of motor Manufacturing of materials Emissions Power demand Fuel ABB Gate 1 Gate 2 Gate 3 Utility This OH shows the cumulative Life Cycle impact over the life cycle. I think it is very important to point out that the major product impact is not within ABB but outside at our suppliers and users sites. However even if the major impact is outside ABB it is very important for ABB to design a product with low life cycle impact as possible to contribute to a sustainable society. Life Cycle Management is then a prerequisite for a sustainable society LCA is a necessary operative tool to achieve this in an industrial organisation Cradle Grave LCA is a tool to define the environmental impact during the product’s whole life cycle from cradle to grave

Typical input data for an LCA study Materials Manufacturing Product use Disposal ABB Gate 1 Gate 2 Gate 3 Utility Materials types & amounts Energy consumption & type Energy losses Disposal process This OH shows the cumulative Life Cycle impact over the life cycle. I think it is very important to point out that the major product impact is not within ABB but outside at our suppliers and users sites. However even if the major impact is outside ABB it is very important for ABB to design a product with low life cycle impact as possible to contribute to a sustainable society. Life Cycle Management is then a prerequisite for a sustainable society LCA is a necessary operative tool to achieve this in an industrial organisation Emissions & waste Scrapping, waste handling, recycling, landfill Emissions & waste Transport distances & type

Typical result of an LCA study Global warming potential down by 25% (CO2, N20, SF6) 18 Reference motor (efficiency 98.0%) 12 Impact /MWh “Motorformer” (efficiency 98.5%) 6 This OH will be updated and maybe some more pictures will be used…... Resources and emissions from a system can be grouped into a number of impact categories. These may describe effects on global warming (greenhouse effect), acidification and ozone depletion. Global warming potential for the different life cycle phases of the systems. The use phase is the dominant phase for both systems. That means that the largest impact on the environment is during operation and that is due to the long operating time, which embraces many years. The manufacture of the system thus plays a minor part in the impact of the whole life cycle. The environmental impact of the losses during operation is dependent on how the electricity is generated. In this study it is assumed that the compensation is carried out with the electricity production mix in the USA which is based on approximately 20 % nuclear power, 10 % hydro power and 70 % fossil fuel. The contribution to global warming is mainly via CO2, carbon dioxide (1). Other global warming gases are CH4, methane (24,5) and N2O, nitrous oxide (320). The impact value is expressed in CO2-equivalents. The reference system has a higher global warming potential compared to the new motor. Note: Other results: Acidification potential (SO2, NOx), Ground-level ozone formation (VOCs), Eutrophication potential (NOx), Depletion of the ozone layer (CFCs) Manufacture Use End of life

LCA experience Enables design of ecoefficient products - identifies significant environmental aspects Enables comparisons with other suppliers’ products - enhances our competitive edge Helps increase environmental awareness - builds company reputation and performance Serves as basis for environmental product declarations - an ABB group-wide objective

Environmental Product Declaration (EPD) Good for business - good for the environment Provides information on a product’s environmental performance Takes account of materials, energy, emissions & waste over a product’s life cycle Used for R&D and marketing  user benefits, recycling, disposal Over 30 EPDs produced, covering all product segments

Motorformer- environmental benefits Builds on ABB’s powerformer technology platform Low losses, high efficiency More compact system, less space No transformer - no oil risks (fire, spillage) Less maintenance No materials of environmental concern - no epoxy-resin High recyclability This is a preliminary list to be checked more with ABB Motors

ABB’s development of Life Cycle Assessment (LCA) Web tools LCA integrated in business area strategies Database A B B ’ s L C A t o o l - E c o l a b Expertise LCA introduced in ABB’s environmental management program LCA studies - switchgear, motors, etc. ABB has been an active part in the LCA development during the last decade. LCA has been fully implemented into ABBs business activitiese during the last years. Joint projects - university collaboration, ISO standardization 1995 2000 1991

Future development - Web technology A pioneering development by ABB An ABB environmental design handbook information, instructions, search facilities Design for Environment (DFE), Life Cycle Assessment (LCA), EcoLab LCA tool, Environmental Product Declarations (EPDs), Standards (ISO), Self-training courses For global access by ABB designers on our internal website to share experience to design new products