A dual approach to decarbonization in aerospace

July 18, 2022Commercial aviation accounts for about 3% of the world’s CO2₂ Including all relevant factors such as NOx, contrails and water vapor effects, the share could more than double. While airlines have already committed to achieving net zero emissions by 2050, there is also a need for companies in the aerospace industry – airframe OEMs, propulsion specialists, and other suppliers – to produce greener products. I have an opportunity. These companies do more than just support their airline customers in decarbonizing their airline operations. They can also decarbonize some of their own operations, processes that they truly own.

For a typical narrowbody aircraft, our analysis shows that CO for about 99% of its life is₂ Emissions come from the fuel, including its source and combustion. About 1% comes from aircraft manufacturing, assembly, and maintenance, or the materials used in these processes.¹ This is significantly different from the lifetime emissions of a typical passenger car, which has a high share of emissions from manufacturing, assembly and materials (Appendix). A big factor in that difference is that automobiles typically have a shorter operational life and less daily use than commercial aircraft.

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The difference in emissions profiles explains why the automotive and aviation industries are approaching decarbonization in different ways. The automotive industry mainly he reduces lifecycle emissions in two ways. The first is to reduce tailpipe emissions by accelerating the transition to battery electric, hybrid and hydrogen fuel cell electric vehicles. The second is implementing a circular vehicle initiative focused on reducing or eliminating emissions throughout the manufacturing and maintenance process. In contrast, most discussions in the aviation industry have focused on reducing fuel-related emissions. This is often referred to as ‘well-to-wake’ emissions and counts primarily as Scope 1 and Scope 3.11 (use of products sold) for airlines. ) for aerospace OEMs.²

In the aviation industry, efforts to reduce well-to-wake emissions are driven by increased use of sustainable aviation fuel (SAF), the most influential short- and medium-term lever in the industry’s decarbonization pathway. is focused on Additionally, the industry is developing true zero-propulsion technologies such as battery-electric and hydrogen-based propulsion, increasing operational efficiency, and replacing aircraft with more modern, fuel-efficient aircraft. However, less attention has been paid to the non-fuel-related emissions of aircraft throughout their lifecycle, including the value chain of materials, manufacturing, assembly and maintenance operations.

Non-fuel related emissions are relatively small, but in absolute terms remain an issue that companies must address. The main reason is that they are directly manageable elements. Moreover, as the aviation industry adopts true zero technology, non-fuel factors will account for a greater proportion of total emissions, creating an opportunity for OEMs and suppliers to start decarbonizing their products. Potential actions by the aerospace industry to address aviation’s non-fuel-related emissions could include:

1. Decarbonization of own business. Aircraft manufacturers, suppliers and maintainers should include direct Scope 1 and 2 emissions in their decarbonization efforts, such as moving to green power and streamlining processes. For example, you can insulate the building. Aerospace companies can also develop ambitious strategies to adopt (and possibly co-develop) technologies to capture, store and reduce carbon emissions, starting with their own operations.
2. Safe access to low carbon materials. Materials and their supply chains are significant sources of emissions and are part of industry emissions as Scope 3.1 (Purchased Goods and Services) and Scope 3.4 (Upstream Transportation). As other industries move to net-zero emissions, demand for low-carbon materials such as green aluminum will increase, and immature value chains for these products could lead to shortages and arbitrage. To do so, aerospace companies must act quickly to develop their supplier base and secure sources of low-carbon materials.
3. Expand decarbonization efforts along the supply chain. Supply chain management can be modified to incorporate sustainability issues. For example, procurement teams can quantify and document the carbon intensity of all parts over their lifetime, with the goal of increasing the emissions transparency of delivered products at a comprehensive level. In addition, companies can help suppliers build their own decarbonization capabilities and work with them to set and achieve goals across aircraft programs. An aerospace OEM helped eliminate waste in its supply chain by providing coaching and other support. They could use a similar approach for decarbonisation. Like any other aspect of supplier management, negotiation is important. OEMs can be prepared to act as buyers to establish standards and drive change among suppliers.
4. Build decarbonization into your design. During the design phase, OEMs can choose from a variety of products and materials. This may include choosing specifications that reduce the environmental impact of the product or creating designs that can improve reuse and recycling at the end of the product’s life.
5. Build your abilities on all levels. In operations, much more awareness can be raised about decarbonization, similar to what has been done for safety. Players can build sustainability capabilities across their organization at every level, from CEO to store clerk. An engineer needs to understand the impact of his engineering decisions on carbon, a factory worker needs to understand the impact of a particular process, and a supply chain manager needs to understand the impact of the goods and services purchased. , you should optimize them. In short, decarbonization can be factored into every decision. To do that, decision makers at all levels need to understand the topic.

The aviation industry is ambitious to improve its environmental performance and has programs underway to reduce fuel-related emissions. But decarbonization is a big goal that the industry can only achieve if it also pays attention to reducing non-fuel-related emissions in its lifecycle.

Axel Esuke Partner in McKinsey’s Paris office. Stephen Liddell is a Senior Capabilities and Insights Analyst in our Munich office. Franz Royer I am a consultant. Kritika Rastgi I am a consultant in the New York office.When Robin Riedel Partner in our San Francisco office.

¹ This analysis does not include corporate overhead costs. Carbon emissions from these activities are very small compared to emissions from operations.
² Greenhouse Gas Protocol, ghgprotocol.org