A deep carbon footprint is the common hallmark of many energy-intensive manufacturing processes. Pharmaceutical production is no exception. However, emission levels can be reduced by adopting a sustainable approach to process efficiency, energy generation, and energy procurement.
Traditionally, pharmaceutical manufacturers have depended on their patented products to generate profit. However, the age of the blockbuster drug is coming to an end. Moody’s analysts stated that nine of the industry’s top 20 drugs by sales are set to lose exclusivity over the coming years. As patent protection expires, new entrants have an opportunity to compete with established manufacturers by introducing competitive products at lower prices.
Pharmaceutical companies now focus far more on margins – and therefore manufacturing costs – than ever before. With energy a growing contributor to manufacturing cost, reducing energy consumption emerges as a win-win-win: it cuts production costs, reduces emissions, and enhances environmental, social and governance (ESG) credentials.
Like many other businesses, pharmaceutical companies can expect their environmental practices to come under increasing scrutiny, and to be held to account by key stakeholders including investors and customers. There remains a strong relationship between brand reputation and a company’s bottom line.