Less is More

It is not just new companies that are seizing clean technology opportunities in London Thames Gateway, but established firm Tate & Lyle is pioneering energy reducing methods too. Gateway to London takes a closer look...

Stealing a march on European regulations and rising gas prices, Tate & Lyle, one of London Thames Gateway's longest established manufacturers, is investing heavily in the latest technology. By employing the latest innovative energy reducing measures, Tate & Lyle hopes to help the environment and improve the balance sheet.

Based in London Thames Gateway since 1878, Tate & Lyle is one of the region's best known and respected manufacturers. Its high quality sugar and syrup products have stayed true to their original recipes, remaining popular with generations of consumers. Tate & Lyle is a household name, with its European headquarters right here in east London's Sugar Quay. The HQ is at the core of the company's UK operation which includes the Thames Refinery in Silvertown, the syrup manufacturing site at Plaistow Wharf Refinery and the molasses storage and blending operation in Dagenham.

The process of getting sugar grown overseas to market here isn't as carbon hungry as you might think. Raw cane sugar milling is almost carbon neutral. Cane grows in the field, waste fibre from the cane powers the factory and the cane re-grows each year, often up to 10 times without the need for replanting. It is then transported by Tate & Lyle to its UK refinery by ship, which is widely regarded as the most energy efficient mode of transport, only producing very small levels of CO2 emissions per tonne shipped.

Energy is the single largest cost for Tate & Lyle, with gas prices rising steadily, it has become vital to find ways to control this expense. In light of this, the company committed to measuring and reducing its carbon footprint in December 2007 when it also announced plans for a new biomass boiler at the Thames site. Having existed through many changes; today, energy reduction is an essential ingredient in Tate & Lyle's success. To create a new way of powering one of Tate & Lyle's oldest plants, the recent installation of a £20 million biomass boiler on the Thames site will cut costs, save energy, improve business efficiency and environmental performance.

European regulations around carbon dioxide emissions are also tightening, so finding ways to reduce Tate & Lyle's carbon footprint is critical, particularly as financial incentives in the form of energy credits are on offer. The boiler burns renewable biomass (initially bought in wheat feed) to generate steam to power the refinery, as well as electricity Tate & Lyle will sell back to the National Grid at a premium as "green" energy produced from renewable fuel.

The carbon emissions of biomass are also considerably lower than gas. Tate & Lyle believe its investment will soon pay for itself, reducing their carbon footprint by around 25 per cent. Keeping costs under control whilst managing and minimising Tate & Lyle's carbon footprint are vital if it is to continue to produce sugar competitively under toughening environmental regulations.

The new biomass boiler will deliver 70 per cent of the energy needs of its London refinery. Post 2009, with the boiler working at full capacity, the carbon footprint of cane sugar produced at the UK refinery will be reduced to 0.32 tonnes per one tonne of industrial sugar, and 0.38 tonnes per one tonne of retail sugar.

Furthermore, the boiler is not only the largest of its kind for London, but also a first for the UK food and drink industry. Efforts to reduce carbon emissions at the Thames Refinery are part of Tate & Lyle's group-wide environmental and energy saving measures, which have seen energy consumption per unit of output reduced by 1.2 per cent, water consumption per unit of output reduced by 2.5 per cent; and non hazardous solid waste consumption per unit of output reduced by 29.5 per cent (calendar year 2006).

In the year to 31 March 2009, Tate & Lyle employed 5,718 people in its subsidiaries and joint ventures and sales totalled £3.55 billion. The multinational food giant says its success is achieved by adding taste, texture and nutrition to everyday products.