Novelis Shapes Circularity

The world leader in aluminium recycling and sustainability, Novelis drives an innovative circular strategy that includes decarbonising melting and sourcing, maximising circularity, innovating new high-recycled-content alloys, expanding recycling capabilities, and supporting low-carbon primary aluminium.

Novelis, a wholly-owned subsidiary of Hindalco (the metals flagship of Aditya Birla Group), is one of the hallmarks of ESG leadership in the industry, particularly through its efforts to drive alumnium recycling for a more circular economy.   
Alumnium is one of the most recyclable materials -- 75% of the metal ever produced is still in use today. Moreover, using recycled aluminium cuts both energy consumption and greenhouse gas emissions by a staggering 95%.

Aditya Birla Group as the global leader in aluminium recycling, Novelis has succeeded in making the metal the sustainable material of choice for a number of everyday uses – ranging from beverage cans to automotive, aerospace, transportation, building and construction, and a wide range of other vibrant, growing industries that demand strong, yet lightweight, sustainable materials.

With a global recycled content average of 63% in FY24, Novelis cemented its place among the industry’s highest recycled content percentages. 

The 3x30 vision

Novelis takes its responsibility to reduce the carbon footprint of the manufacturing industry seriously, with an ambitious vision for the future to continue decarbonising its operations while meeting the growing demand for its products. Through this vision termed as Novelis 3x30, the company will help its customers accelerate their sustainability programmes with the lower-carbon, higher-recycled-content products they need.

Novelis 3x30 = Three objectives by 2030

1. Increase Recycled Content to 75% 
2. Reduce Emissions to < 3 tonnes of CO2e / tonne of Flat-Rolled Product (FRP) shipped 
3. Lead the industry with first-mover investments to drive circularity   
    

Innovation in Decarbonisation 

Due to its strong, durable and infinitely recyclable properties, aluminium is central to Novelis’ circularity goals, with 63% of the company’s production coming from recycled aluminium. Its efforts to scale circularity in order to drive sustainable growth, are further propelled by a multi-levered decarbonisation strategy, outlined in detail in its Corporate Sustainability Report 2024, and summarised here:

• Decarbonising the Energy used in Melting Process 

  To decarbonise the melting process, Novelis is evaluating the use of alternative fuels, new clean electricity sources, waste heat recovery, and innovative carbon capture technology. It is also exploring other eco-friendly initiatives and implementing new technologies to increase efficiency and reduce fuel and energy use throughout its plants.

• Maximising Circularity 

  To enhance circularity, Novelis focuses on the entire product lifecycle. It is fuelled by innovation, collaboration with stakeholders, and the relentless pursuit of a low-carbon, circular economy. Novelis has also upped its game in improving sorting and segregation technologies that streamline the process to meet the growing demand for source materials. The company is investing in new approaches and building partnerships with stakeholders all along the value chain as part of its holistic approach to sustainability.

  

• Innovating new High-Recycled-Content Alloys 

  Novelis is working closely with customers in all the key industries it serves i.e. beverage packaging, automotive, aerospace, and specialties, to develop high-recycled-content alloys that meet their unique technical specifications and requirements. To achieve more efficient recycling, it is developing uni-alloy designs to simplify the recycling process by reducing the complexity of separating multiple alloys. The company is testing several use cases across sectors to explore the full potential of this approach and accelerate sustainable growth.

• Increasing Recycling Capacities and Capabilities 

  Novelis is increasing its recycling and casting capacity and capabilities, to reduce its need for higher-carbon primary aluminium, and support the efforts toward decarbonisation. Between 2012 and 2022, the company invested approximately $700 million in recycling infrastructure, and has additional investments underway to increase its recycling leadership position. In FY24, it purchased or tolled 2,316kt of recycled metal, including more than 82 billion used beverage cans.

• Supporting Decarbonisation of Primary Aluminium

  To supplement its use of recycled content, Novelis prioritises on securing the lowest-carbon primary aluminium available. In many cases, this low-carbon primary aluminium purchased is produced using renewable energy – generally hydropower – for the smelting process.  
   

Collaborating for Change 

Novelis is a member of the World Economic Forum’s First Movers Coalition (FMC) — a global initiative aimed at decarbonising eight “hard to abate” sectors. Through the partnership, Novelis has a prominent role among a global network of forward-thinking companies committed to dramatically reducing carbon emissions. The coalition serves as a platform for businesses around the world to leverage their purchasing power and supply chains to create early markets for innovative, clean energy technologies, including those for low-carbon primary.

In collaboration with Alcoa and Ball Corporation, Novelis unveiled a ground-breaking, virtually infinitely recyclable version of the Ball Aluminium Cup, during the World Economic Forum’s 2024 Annual Meeting in Davos, Switzerland.

Through its innovative decarbonisation strategy, Novelis continues to give concrete shape to its circularity goals, and to set new benchmarks in ESG leadership for the metals sector.