Unveiling Sustainable Future: Honeywell MD Dives Into AI, SAF, Carbon Capture

The company’s sustainability bet comes with leveraging artificial intelligence (AI) and research and development (R&D) to address crucial environmental challenges, optimise processes and enhance safety for the companies. Its advancements in sustainable aviation fuel, the use of plastic waste in road construction, liquid organic hydrogen carriers, and carbon capture are testaments to using technology for efficient and sustainable operations.

In an exclusive interview with BW Businessworld, Ashish Gaikwad, Managing Director, Honeywell Automation India discussed a wide array of subjects such as AI, R&D, cybersecurity and advancements in sustainable innovation.

How can the cost of sustainable solutions be balanced without significantly affecting the end customer?

Sustainability comes at a cost, as it involves additional changes and efforts. To bring down the cost, we focus on finding the right technology and continuously improving it. However, we also need the help of the government and the policies so that the initial momentum is generated, and that's where the incentives or the penalties can help. So, both companies like ours and government policies are essential to reducing costs and driving sustainability.

How funding intensive is the research and development in this sector and what percentage actually gets materialised as a part of R&D?

The funding required for research and development in this sector depends on expertise, experience, and available funding. At Honeywell, we have allocated 60 per cent of our R&D budget to sustainability-related projects. This funding, combined with expertise allows us to drive innovation in this area. Moreover, around 60 per cent of 2021 sales were comprised of solutions that contribute to ESG-oriented outcomes.

As a tech-driven company, how can AI address key challenges within Honeywell and what portion of your investment goes towards AI innovation?

AI heavily relies on data and knowledge. Honeywell possesses extensive data and expertise in various domains, such as aviation, process industries and building technologies. We leverage AI to develop products that enhance efficiency and safety for our customers. For example, we deploy AI when operating refineries and hazardous chemical plants to prevent accidents. Additionally, AI helps optimise energy usage in large buildings and infrastructure. We are also exploring AI for more efficient software development internally.

What types of input materials or feedstock can be used to produce sustainable aviation fuel (SAF) and how does it vary between the Western world and India?

SAF can be produced from various types of input materials or feedstock. In the Western world, particularly in North America and Western Europe, vegetable oil or animal fat serves as a suitable feedstock due to lifestyle factors. However, in India, our cooking oil is often reused multiple times, making it unsuitable as a feedstock. 

Therefore, we at Honeywell have developed a process that not only works well in the Western world but also in India. This involves converting agricultural waste into ethanol, which can then be used to produce SAF.

Ethanol is already used for blending with petrol, and we need to focus on increasing ethanol production. This will ensure that the surplus ethanol, which is not used for gasoline blending, can be utilised for biodiesel or SAF production.

Additionally, involving farmers and the agricultural sector in this value chain is crucial. Traditionally, they have not been part of the field-making process, which heavily relies on imported crude oil. However, by utilising agricultural waste as feedstock, we can bring farmers and the agricultural sector into the equation. This process, known as "2G ethanol", is gaining traction in India, with companies like Indian Oil, BPCL, and HPCL building plants to produce 2G ethanol. They use waste materials from paddy fields or wheat fields to convert them into 2G ethanol. This innovative technology, developed in India, enables ethanol production from these feedstocks.

Will the use of ethanol jet fuel require modifications to existing aircraft or can they work as they are?

Ethanol jet fuel can be blended with existing jet engines without requiring significant modifications. Theoretically, the engines can operate with up to 50 per cent ethanol jet fuel without major changes. This provides a large headroom for adoption without significant alterations. Beyond 50 per cent, some modifications may be necessary to maintain engine efficiency. 

However, we still have a long way to go from 0 per cent to 50 per cent. Let's achieve that first because that requires absolutely no change in the existing engines on the existing aircraft. Hence, the primary focus currently is on achieving the initial milestone of blending ethanol jet fuel up to 50 per cent without any changes to existing engines.

What will incentivise airlines to opt for sustainable aviation fuel?

Airlines are increasingly taking responsibility for sustainability and voluntarily blending SAF into their fuel without strong liabilities or incentives. Leaders of large airlines are investing their capital in SAF-related infrastructure, signalling their commitment to environmental sustainability. Additionally, if global mandates require a certain percentage of SAF for flights landing in specific countries, it becomes necessary for airlines to adopt this technology to remain competitive. As demand for SAF increases, economies of scale can be achieved, leading to cost reductions and further incentivizing airlines to opt for this technology.

Talking about the utilisation of plastic waste in road construction. Can you explain how this technology works and how it improves the water resistance of the roads?

300 MT of plastic waste is generated annually. 8MT finds its way to the oceans, killing over 1 million seabirds and 100,000 marine mammals every year. In India, where we have monsoons and heavy traffic, roads are often weakened or washed away by water. By combining plastic waste with binding materials, we can create stronger, water-resistant roads. This approach addresses two issues: the growing plastic waste problem and the need for more resilient roads. Instead of allowing plastic to harm the environment, we repurpose it for road construction, making the roads more reliable and robust.

Are there any incentives or programmes supporting this initiative?

Perhaps indirectly, there are new rules coming with the Build Own Operate model, where contractors build and operate roads for a certain period. To ensure the roads' reliability during the operation phase, contractors need to adopt new technologies. This indirectly incentivizes the use of innovative solutions. However, I believe there should also be direct incentives, such as mandating the use of waste plastic or specific binding materials for road construction on heavy traffic routes.

In terms of industry usage, apart from storing and transporting hydrogen, what other utilities can liquid organic hydrogen carriers (LOHC) have?

India aims to become the hydrogen hub of the world, generating green hydrogen through solar and wind power. To transport hydrogen in large quantities, we need a safe and stable form. Liquid organic hydrogen carriers (LHCs) can address this need. LHCs attach hydrogen to another molecule, making it harmless and easier to transport in liquid form. The existing infrastructure, such as ships, can be used for transportation. LHCs enable the safe and effective movement of hydrogen between countries and can find applications in industries that require hydrogen consumption. Moreover, it is a recyclable set of substances that can carry hydrogen from one place to another and use the same ship infrastructure in a safe and effective manner.

Which countries have already shown interest in adopting LOHC technology?

Several countries ncluding Japan are showing interest in adopting LOHC technology. Countries that require increased hydrogen consumption are potential customers for LOHCs. Collaboration between stakeholders and countries will be crucial for the successful implementation of this technology.

Is Honeywell India considering international collaboration in carbon capture technology?

We encourage strong collaboration between US and Indian companies for mutual benefits. India has a rapidly growing economy and is one of the largest in the world. As we transition to renewable energy, we need to address our energy needs, which include both fossil fuels and non-conventional renewable energy sources. Carbon capture will play a crucial role in decarbonizing existing industries. Collaborating with the United States, for example, will greatly assist in capturing and utilising carbon effectively.