Solving the Net Zero Conundrum: The Green Transformation of the UK Glass Industry

British Federation of Glassmakers (Paul Pearcy, co-manager of British Glass Manufacturers' Confederation, writes that the glass industry has a bright future for low-carbon development – but this can only be achieved if the government pushes for a "just transition".

The road to net zero is never easy, it's more of a complex jigsaw puzzle – each step requires precision to solve the puzzle. For the UK's glass manufacturing industry, this means that the conditions must be created now to decarbonise the industry in the future while remaining competitive and sustainable.

Like those head-scratching yet fascinating puzzle challenges, I believe this change is worth persevering. A decarbonisation and healthy glass industry represents not only a huge opportunity to reduce CO2 emissions on a large scale, but also whether the manufacturing capacity of the UK's key basic industries can be preserved.

The UK glass industry contributes more than £2.5 billion to the UK economy each year and creates more than 120,000 jobs across the supply chain. With the UK government rolling out 150 major economic infrastructure projects and launching the largest housing construction programme in 50 years, the importance of the glass industry is only going to grow.

Housing construction requires glass windows and insulation, renewable energy facilities such as wind turbines require fiberglass, and glass is needed for all solar solutions. From energy-efficient glass to optical technology, including barcode scanning and internet communications, glass products are essential for life in the 21st century.

What's more, glass itself has the natural advantage of "closed-loop recycling". It is one of the few materials that is truly recyclable, and most glass products contain a high percentage of post-consumer recycled glass. Long before "sustainability" became a buzzword, glass quietly took on the role of reuse and recycling.



Constraints: Energy costs and infrastructure bottlenecks

What's the problem? The core contradiction lies in the mismatch between the urgency of the industry's need to decarbonize rapidly and the realities of the economy. Currently, the UK's glass furnaces rely heavily on natural gas as an energy source, and electricity will be the main source of energy to achieve industrial-scale decarbonisation. However, the current wholesale price of natural gas is much lower than that of industrial electricity, creating a huge cost gap.

The UK's industrial electricity prices are among the highest in all of Europe, largely due to the UK's high dependence on natural gas for electricity generation, as well as the high volatility of natural gas prices. While the UK is ambitious in terms of decarbonisation, it will be difficult for the glass manufacturing industry to remain competitive without long-term stable government policy support and competitive energy prices.

Another "puzzle" puzzle is grid access. In order for a fuel mixture or all-electric furnace to run smoothly, companies must switch fuels in a timely manner after the old furnace has been decommissioned, which places high demands on power access.

Some manufacturers have been told that they will have to wait five to 10 years before they can connect to the grid – which is clearly a lack of confidence. Clear guidance from governments on energy infrastructure planning and competitive electricity tariffs will provide much-needed certainty for significant investments in decarbonisation for the glass industry.



Opportunity and hope in transformation

Despite the challenges, I remain optimistic. Around 60% of the UK's 32 existing glass furnaces will be replaced in the next decade. If all of these furnaces were to be powered by low-carbon energy, they would reduce on-site carbon emissions by 42% and are expected to result in an investment of up to £1.3 billion in the UK (based on a rebuild cost of £60 million per furnace).

According to the updated version of the Net Zero Strategy for the UK Glass Industry, and with the right policies, we have the technology to achieve the "net zero" goal.

Successful cases in many parts of Europe have also given us confidence. For example, Stoelzle Flaconnage is building an all-electric furnace in Nottingley, UK, which is scheduled to come online in 2026/27; Encirc's hydrogen furnace in Elton, Cheshire, is expected to come on stream in 2027, which will enable the world's first large-scale "net-zero" glass bottle production; Ardagh Glass in Auburnkirchen, Germany, has managed to reduce carbon emissions by 64% since the beginning of 2024, equivalent to 18,000 tons of CO2, using the NextGen hybrid furnace.

While delays and setbacks have been inevitable in this seismic shift, given the time constraints, the unique circular value of the glass industry and its role in supporting the UK economy, we call on the government to address the issues as soon as possible.

What we really need are two things: competitive electricity prices, and ensuring that grid access goes hand in hand with the furnace renewal plan.

If policy support is in place, the decarbonised glass industry will be at the heart of the UK's circular and low-carbon economy, providing strong support for national growth and 'net zero' targets.

It may be a headache, but once we solve it, we will not only earn the sense of accomplishment of solving the puzzle, but also the planet and future generations.