Evaluation of circular economy potential in the life cycle of low voltage marine motors: A case study of identifying environmental hotspots and new business models

Abstract

Today’s society is more enlightened about the earth’s resources and how we, the humans, are exceeding the usage of those. This problem is something that affects all manufacturing companies in one way or another, e.g. by increased customer demands on environmental friendly products and stricter environmental requirements from the governments. A work approach that, when done properly, is highly protective towards the environment is circular economy. Circular economy is an approach that prolongs the usage of products and resources by circling them back into the system. This master’s thesis is based on a circular economy initiative at ABB Corporate Research in Västerås. The aim of this project is divided into two parts; perform a screening life cycle assessment (LCA) of one of ABB’s low voltage marine motors in order to find CO 2 peaks and suggest changes to minimize those. The second aim is to evaluate whether the motors can be provided to the customers in a more circular way. The result of the LCA performed in this study shows that the use-phase of the low voltage marine motors have, by far, the highest environmental impact in terms of global warming potential (GWP). The use-phase stands for around 99% of the total GWP of the motors. The use-phase however is something that ABB have little to no possibility to affect. The phase in the motors life cycle that had the second highest impact on the GWP is the material acquisition which is a part that ABB have high possibilities to affect. The result of evaluating new, more circular, business models shows that there is a chance to provide the customers with motors in a more circular matter. Two circular economy business models (CEBM) was developed and evaluated in the study. The two CEBM are; the remanufacturing/refurbishment model where the motors and its components are to be repaired and reused to the longest extent and when the components are used until they can no longer be repaired they are to be properly recycled. The second model is the product service system (PSS) model where the motors no longer will be sold in a conventional way. Instead the function of the motors will be sold e.g. mechanical motion per-minute. The two parts of the study were linked together and it was shown in the study that, by adapting to the remanufacturing model there is a chance of reducing the GWP in all phases except the use-phase with 40% due to decreased need of virgin material. By adapting to the PSS model it was proved that there was a possibility to reduce the GWP in the material acquisition-phase, the manufacturing-phase and the end-of-life-phase with 75%. Furthermore, the work procedure in this report could be used as guideline for companies and students for similar projects. However, be aware that adoptions would most likely be needed which can be read throughout the report.