Goals & Progress

Energy & Emissions

Optimizing our overall energy consumption while also seeking alternative economical, cleaner-burning fuels is the best way for Mohawk to increase our bottom line and decrease our carbon footprint at the same time. As a vertically integrated manufacturer, we have ample opportunities to do both.

Energy Intensity* (in MWh/net sales)

*These numbers have been restated to reflect the integration of IVC and KAI environmental data.

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GHG Intensity* (in metric tonnes/net sales)

*These numbers have been restated to reflect the integration of IVC and KAI environmental data.

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2015 Energy Consumption By Source* (in MWh)

*In addition to direct and indirect energy consumption, we also measured 105,958 MWh related to biomass.

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2015 Total GHG Emissions* (in metric tonnes)

*In addition to direct and indirect GHG emissions, we also measured 87,742 metric tonnes of GHG emissions related to biomass sources. Product and refrigerant emissions are excluded from our metrics.

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Our strategy primarily targets improving the energy efficiencies of manufacturing and distribution processes via proven technologies and innovative solutions that transform energy use in our operations. Overall our energy intensity decreased 3.64 percent during 2015. Our businesses have largely stayed the course to maintain this downward trend. Since 2010, for example, our Ceramic North America division has reduced its energy intensity by 21 percent and our Carpet & Rug division has reduced its energy intensity by 6 percent. Though our new acquisitions have not had the time that our legacy businesses have had to reduce their impacts, we are confident that they will implement efficiencies, optimize processes and apply industry solutions to reduce their carbon and energy and contribute to Mohawk’s reductions as a whole.

Greenhouse gas intensity has even greater momentum, decreasing 8.66 percent from 2014 to 2015 and 9.26 percent since the 2010 baseline. As in previous years, much of our focus during 2015 was on the continued integration of newly acquired operations and the identification of opportunities to share best practices and processes among our new and existing businesses.

In 2015, Marazzi realized energy reductions through the replacement of their older kiln burners with new, more efficient ones, which recover and reuse heat in the tile-making process. In four European plants, these optimized heat recovery burners and other kiln upgrades are resulting in a combined savings of 6,656 tons of CO2 annually, equivalent to taking 1,406 cars off the road. Marazzi Russia also reduced their overall energy usage in 2015 by finishing updates on their power-generation equipment through the use of condenser units. Since 2013, a total of 13 condenser units have been installed to decrease the energy required to operate this equipment by 5 percent.

Unilin’s capital investments at its plants during 2015 included the installation of a heat exchanger; the addition of extra insulation on thermal oil presses, implementation of small changes recommended by energy audits; and optimization of the fan design on dryer air ducts. This series of energy-saving investments across business units provide an excellent example of how enhancements add up incrementally over time: Together the initiatives are saving more than 15,500 metric tons of CO2 annually. Also this year, Unilin’s Breestraat, Belgium, plant began the process of purchasing permits and certificates to install a cogeneration plant. With an initial investment of €2 million, the plant, to be opened in 2016, is set to save 17,000 MWh of primary energy and 12,000 tons of CO2 annually.

Optimizing processes within our carpet manufacturing helps position us to meet growing carpet demand in the future with a cleaner and reduced environmental footprint. In addition to ongoing lighting technology updates, our commercial carpet tile manufacturing plant in Glasgow, Virginia, has completed process changes to improve pre-coat operational efficiencies. This contributed to a 15 percent electricity savings and a 25 percent reduction in gas and oil consumption over 2014. Mohawk Home also improved energy efficiency through a process change that eliminated the need for additional air compressor capacity, even with the addition of more yarn-weaving capacity.

With the acquisition of IVC, we are pleased to report that renewable energy is now meeting a small portion of our overall energy needs. A wind farm provides over 40 percent of the energy consumed at IVC’s vinyl production site in Belgium, while a 654 MW solar array is generating a portion of the electricity consumed at our new LVT manufacturing facility in Dalton, Georgia.

Because we manufacture the majority of our products at owned facilities, our plants are the most obvious way we look to reduce our emissions. However, our fleet also presents a significant opportunity to reduce our energy and emissions impact. In 2015, Mohawk began a fleet optimization project that tracks vehicle performance with regard to miles per gallon (MPG), miles driven, idle time, fuel consumption and other metrics. Originally, this project started with a local fleet, but has since expanded to Over the Road and regional fleets as well. By tracking this data, the Mohawk fleet is reducing diesel consumption through increased MPG performance, reduced truck idle time and maintenance performance on underperforming assets.