On October 15, BASF announced that it has received approximately €310 million in funding approved by the German Federal Ministry of Economics and Climate Protection for the construction of the world's largest industrial heat pump. The heat pump will utilize waste heat from steam cracking units to produce steam without carbon dioxide emissions.
In the coming months, the company will initiate preliminary construction work for the project at the Ludwigshafen plant, with construction planned to start in the first quarter of 2025 and be operational by 2027. Upon completion, greenhouse gas emissions from BASF's Ludwigshafen plant's formic acid production will be reduced by up to 98%. According to BASF, the planned facility will be the world's first of its kind for steam production, with no comparable industrial pilot projects globally. The planned heat pump will have an annual steam production capacity of up to 500,000 tons.
Specifically, the waste heat as thermal energy will come from the cooling and cleaning processes of the process gases from one of the two steam cracking units at the plant. Powered by renewable energy, the heat pump will generate carbon dioxide-free steam, most of which will be used for formic acid production. This heat pump has the potential to reduce greenhouse gas emissions by up to 98%. A small amount of carbon dioxide-free steam will be supplied to other BASF production facilities through the plant's steam network. Overall, the heat pump will allow the company headquarters to reduce greenhouse gas emissions by up to 100,000 tons annually. BASF aims to achieve net zero carbon dioxide emissions by 2050. Electrification of steam production is a crucial step towards a more sustainable energy future urgently needed in the chemical industry. Integrated production joint facilities are particularly well-suited for implementing and promoting new technologies on an industrial scale. Earlier, in April this year, the electric heating steam cracking demonstration plant at the Ludwigshafen facility was also put into operation.