So where will the required change and innovation come from if the established industry is willing but not always able? A growing landscape of ambitious start-ups are willing to improve and offer more sustainable alternatives. However they have been struggling to achieve significant growth rates. Why? Key to the chemical industry is to look at sustainable business cases and in reality, many improvements in sustainability result in higher cost under the current price structures and mechanisms.
Relement has decided to focus on specialty, renewable chemicals. To offer higher value and performance improvement is our way forward. Not just greener. Our business case is based on product improvement and improved sustainability is a bonus. Wrong priority? I argue that if this is the way to get results and to build a sustainable chemical enterprise.
However I want to call governments to action. Use those ‘Post Corona’ funds to introduce sustainability criteria and more support mechanisms. Create a level playing field between sustainable products and the lower cost fossil feedback based materials. otherwise the blunt economics of 40 USD/barrel oil will dictate what happens, not the good intentions of the many willing start-ups.
In the meantime, we at Relement will focus on sustainable business cases using specialty chemicals. Relement is ready to take its place and offer better solutions, not only for product but also for planet.