Implementation
As a measure for implementing the CO2 strategy, Metall Zug decided to charge an internal levy on CO2 emissions to the Group companies in 2018. The internal levy of CHF 120 per ton of CO2 to the internal Greenhouse Gas Fund (GHG Fund) has been paid by all companies at all sites of the Metall Zug Group globally since the financial year 2023. This levy is collected in addition to existing public charges on fuels and it is not only limited to fuels but also applies to emissions from the company’s own vehicle fleet, electricity consumption, and business flights. The GHG Fund is run together with the V-ZUG Group.
The three objectives of the GHG Fund
Objective 1
By allocating an internal price to CO2 emissions, business decisions at all management levels should be given an additional incentive to avoid CO2-inefficient processes and to invest in new, innovative technologies.
Objective 2
Metall Zug’s production sites in Switzerland are already being CO2 offset with regard to greenhouse gas emissions in Scope 1, Scope 2, and Scope 3 (limited to business flights). The reported compensation of the recorded CO2 emissions is carried out via marketable quality certificates from additional reduction projects. The certificates are financed by the GHG Fund.
Objective 3
The main part of the fund's assets should support the participating companies with substantial contributions to develop and implement internal greenhouse gas-reducing innovation projects, thus seizing climate-related opportunities. All operational units will be involved through workshop processes to develop new ideas for internal or external projects that will relieve the climate in the medium and long term. These projects will be alimented by the fund. In order to further strengthen the innovative capacity of the Business Units in this specific area, Metall Zug AG has also proposed to its Annual General Meeting that an additional 5% of the dividend distribution be paid into the GHG Fund starting in 2023. As of the end of 2024, the fund amounted to around CHF 3.0 million, of which CHF 2.0 million is earmarked for projects that have already been approved.
Financed projects
Some of the projects financed in recent years are already in the implementation phase.
- Belimed Infection Control, in collaboration with the GHG Fund, developed a new EHD (Electro Hydro Dynamic Air Amplifier) technology. This technology is used to replace conventional motor-driven fans. It enables efficient drying of medical devices in disinfection washing systems by reducing drying time by up to 50% and reducing the customer's energy consumption by up to 90%.
- Gehrig Group AG has successfully launched the “all-inclusive rent” model for the efficient and newly developed ARIANE GTW 3300. The responsibility and incentive to develop long-lasting, repairable and recyclable devices thus lies with the manufacturer.
- Furthermore, part of the money from the GHG Fund contributes to the methane pyrolysis project of the Association for the Decarbonization of Industry in Zug. The association's medium-term goal is to achieve zero-emission industrial use of natural gas. The technology is based on pyrolysis, in which methane is split into hydrogen and solid black carbon without producing CO2 emissions. In the long term and as a vision of the project, negative emissions are aimed to be achieved by replacing fossil natural gas with renewable, synthetic methane, resulting in a net reduction of CO2 in the atmosphere.
The newly financed projects will promote activities in the circular economy, support research into more sustainable materials in the medical devices industry and enable the initiation of further new technologies.
- Circular economy: Haag-Streit is intensively committed to the use of more sustainable materials. A detailed life cycle analysis was carried out for the slit lamp, one of the most relevant products. The analysis shows that the largest part of the CO2 footprint is due to the consumption of materials. As a result, take-back and refurbishment programs, as well as other initiatives, have been launched to reduce the use of natural raw materials and their CO2 footprint.
- Alternative designs and materials: The financial resources of the GHG Fund support research and development of a concept for reduction by design, the use of recycled materials and more sustainable plastics suitable for medical grade.