Foundry 'prospers by going green'

The foundry was helped to identify an opportunity to save money and energy

A foundry has cut its carbon emissions by 600 tonnes and saved itself £110,000 in energy costs in just one year.

Melloy, based in Treforest, Pontypridd, took the decision to invest in "greener" technology in June 2008.

With help from Carbon Trust Wales (CTW) the precision die-casting and engineering company set - and met - an emissions reduction of 45%.

"Any business taking steps to reduce carbon emissions is doing a good thing," said CTW's Mike Batt.

Faced with unpredictable energy prices, Melloy, which employs 65, took steps to reduce its carbon emissions and save money by investing in greener technology, it said.

The firm, which is based on the Treforest Industrial Estate and produces 550 tonnes of castings mainly for the automotive industry, hoped to gain a competitive advantage in the market by lowering its costs and raising its green credentials.

We don't see energy management as a one-off project. We have made it part of our ongoing business agenda Neil Barrell, Melloy

It also planned to re-invest any money saved into growing the business further.

With a loan and additional support from the Carbon Trust, an independent organisation set up by the UK government to help create a low carbon economy, Melloy installed 18 new recuperative burner furnaces and upgraded all furnace linings.

As a result the firm now claims to be at the forefront of manufacturing in Wales and one of the most energy-efficient foundry melting facilities in Europe.

It says its customers are receiving the same quality product produced with a massive 45% less carbon - a significant market advantage.

In all the firm is expecting to save over £1m at current energy prices over the 10-year life the equipment - and save 5,000 tonnes of carbon.

'Reduced costs'

Neil Barrell, managing director at Melloy, said: "Working with the Carbon Trust has transformed the way we do business and the way we produce our products.

"We don't see energy management as a one-off project. We have made it part of our ongoing business agenda."

Mr Batt said the switch to more eco-friendly technology had paid off for Melloy.

"It's made a big difference to their energy costs, to their carbon emissions and, most of all for them the cost of unit production has been reduced," he said.

"Any business taking real steps to reduce carbon emissions is doing a good thing."

"This has helped Melloy put themselves in a strong position. In the current recession it makes good business sense to reduce costs."