The merger between Fiat Chrysler Automobiles and PSA Group in 2021 resulted in a reduction of carbon footprints at the North American plants, thanks to more efficient protocols implemented.
Prior to the formation of Stellantis, the facilities under Fiat Chrysler Automobiles’ umbrella adopted a process called Excellent Plant Shutdown, developed by PSA Group. This eight-step process strategically shuts off equipment during nonproduction periods to minimize energy consumption.
The implementation of these measures in 2021 has resulted in significant savings at nine Stellantis plants in Michigan. These plants have saved $1 million and conserved 15 million kilowatt-hours of electricity, which is equivalent to charging about 950 million smartphones. Combined with other energy-saving programs, the total savings amount to 25 million kilowatt-hours.
Kevin Dunbar, the director of North America facilities and general services at Stellantis, explained that the key steps are documented to assign responsibility, determine which equipment can be shut down and to what extent, and designate the individuals responsible for shutting down. This is followed by an audit and measurement of the results. Dunbar emphasized the simplicity of the process.
Through these simple actions, the Michigan plants have achieved significant carbon dioxide reductions, equivalent to 7,800 tons over the past two years. This brings Stellantis closer to its goal of reducing its carbon footprint by 50 percent by 2030, as part of its Dare Forward 2030 business plan. The company aims to achieve net zero carbon emissions by 2038.
Dunbar highlighted the importance of documenting the process, as it encourages responsibility and provides a record of equipment capabilities. While some machinery may not be able to be shut down fully, the documentation allows for the shutdown to be done to the fullest extent possible.
Implementing these changes initially presented a challenge due to the large number of equipment pieces in the assembly plants. However, the moves were supported by the UAW and took several months to implement, ultimately leading to successful results.
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Omprakash Tiwary is a business writer who delves into the intricacies of the corporate world. With a focus on finance and economic landscape. He offers readers valuable insights into market trends, entrepreneurship, and economic developments.