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NG Group are proud to announce the winners of the Master's Thesis Award in Circular Economy

With over a third of the world's emissions linked to how we produce, use and discard materials, transitioning to a circular economy is crucial for addressing the climate crisis and better preserving nature. Through the NG Group Award, we aim to promote and support young talents and support knowledge sharing for a more sustainable future.  

We are proud to announce the winners: Trude Vigre and Eline Lund Westgaard from NMBU (Norges Miljø og Biovitenskaplige Universitet) who wrote a case study of the insurance industry’s opportunity to promote circular economy in automobile repairs. They impressed the jury by writing a thesis that addresses disruptive innovation in one of the more traditional sectors and identifies issues that extend far beyond the insurance and automotive industries.  

After a thorough review of an impressive range of submissions from talented students, the jury  chose to honor this thesis that clearly addresses future challenges in sustainability and innovation. Topics such as material selection, traceability, transparency, and the "right to repair" under EU regulations were thoroughly explored, as well as product durability over time. The choice of the insurance industry as the context provided the thesis with an unexpected approach to these issues. 

“The inspiration to write about the circular economy came from the realization that the overconsumption of natural resources is increasingly visible as a major cause of climate change, pollution, and biodiversity loss. We wanted to explore how economic activities can be structured to address these challenges in practice”, say`s Trude & Eline. They continue to tell that a surprising main finding was that there is a lack of effective systems to identify and distribute used parts. By promoting better systems for locating and distributing used parts, insurance companies can play a key role in increasing reuse. This could reduce the consumption of new materials and contribute to a more sustainable economy.  

Another clear finding was that the warranty for new cars from manufacturers effectively hinders repairs with used parts. This is a major challenge because it is difficult to solve without regulatory initiatives. Based on their findings, the students believe that inefficient technological solutions, inadequate communication and distribution systems, and a lack of financial incentives are barriers. Additionally, regulatory barriers make it difficult to promote reuse across industries. 

"We in NG Group are excited to honor young, forward-thinking, and innovative students who deliver outstanding work in the field of circular economy," say Hanne Fedje  Head of Group Sustainability. "This reinforces our commitment and daily work to promote sustainable solutions and the transition to a circular future." 

This year’s jury consisted of:  

Trygve Ulset, Seniorrådigver NHO, Kristine Laake-Bjurquist, Chief Sustainability Officer Zirq Solution,Helle Gaard, Communication advisor NG Metal,NG Metal, Eva Solskjær Boxaspen, Environmental Manager  NG Metal and from NG Group: Runa Opdal Kerr, Group Chief Sustainability Officer  – Hanne Fedje, Head of Group Sustainability, Janecke Mathiesen, Communication Manager 

NG has Norway's Best Reputation on Environmental Awareness

For the second year in a row, the public has placed NG Group at the top of the reputation list for environmental awareness, according to a major new survey. NG Group also holds a strong sixth place in terms of social responsibility and ethics.

In the annual reputation survey of the country’s largest companies and organizations, conducted by Ipsos, NG Group (referred to as Norsk Gjenvinning in the survey) maintains a strong position among Norway’s most prominent and leading companies. With the best reputation for environmental awareness and a strong sixth place for social responsibility and ethics, NG Group strengthens its position as one of the country’s key actors in environment and sustainability.

-This is the result of the important work our employees do every day. A strong reputation is built from within, through the efforts of our employees and in our interactions with customers and society around us, says Runa Opdal Kerr, Group CSO at NG Group.

NG Group is a leading player in circular solutions and environmental services, with facilities in Norway and the Nordics. With a clear mission to make the world more circular by transforming waste into valuable resources that can be reused, NG Group contributes to reducing carbon emissions, preserving nature, and ensuring responsible waste management.

-Together with our customers and partners, we contributed to saving society about 1.5 million tonnes of CO2 emissions last year, equivalent to the annual emissions of over 300,000 gasoline-powered cars. We handled over 2 million tonnes of waste from all sectors of society, ensuring that valuable materials were reused instead of going to waste. It is pleasing to see that our important societal role and contributions are being recognized, says Runa Opdal Kerr.

NG Group's emission reduction targets in-line with Paris agreement

NG Group has approved near and long-term company-wide emission reduction targets in line with climate science with the Science Based Targets initiative (SBTi) and reaffirmed its commitment to achieve net-zero greenhouse gas emissions across the value chain by 2050.  

-Securing validation from the SBTi is a key milestone for NG Group. Climate change affects us all, and the latest research on climate science gives a stern warning and a call for immediate action to reduce greenhouse gas emissions to avoid the catastrophic consequence of climate change, says Group Chief Sustainability Officer Runa Opdal Kerr in NG Group. 

The waste management sector plays a crucial role in decarbonizing society and the transition to a circular economy by providing secondary raw materials as an input factor and increasing the material recycling rate.   

-Pioneering circularity generates a positive impact. It affirms that our sustainability strategy offers a clear, science-backed roadmap for how much we need to cut emissions both within our own operations and across our value chain. I am happy to see that our efforts and initiatives will contribute to limiting global warming to 1.5°C., Kerr continues.  

Kerr encourages all stakeholders to set emission reduction targets in line with the Paris Agreement. 

-It requires long-term solutions and industrial partnerships to reduce emissions, says Kerr. 

Reducing emissions for both NG Group and its customers remains a key focus, driven by the ongoing transformation of our vehicle fleet to fossil-free alternatives.  

-By the end of the year, nearly 50% of the fleet will be fossil-free, supported by the addition of 18 new fossil-free vehicles this year. Investments in fossil-free vehicles and machinery, combined with energy and route optimization, are crucial drivers in achieving emission reductions going forward, says SVP Group Head of Sustainability Hanne Fedje in NG Group.   

NG GROUP’S EMISSIONS REDUCTION TARGETS 

Overall Net-Zero Target: NG Group commits to reach net-zero greenhouse gas emissions across the value chain by 2050.  

Near-Term Targets: NG Group commits to reduce absolute scope 1 and 2 GHG emissions 42% by 2030 from a 2023 base year.* NG Group also commits to reduce absolute scope 3 GHG emissions 25% within the same timeframe. The target boundary includes land-related emissions and removals from bioenergy feedstocks.  

Long-Term Targets: NG Group commits to reduce absolute scope 1*, 2 and 3 GHG emissions 90% by 2050 from a 2023 base year.  
 
*The target boundary includes land-related emissions and removals from bioenergy feedstocks.

The Science Based Targets initiative (SBTi) is a collaboration between CDP, the United Nations Global Compact, World Resources Institute (WRI) and the World Wide Fund for Nature (WWF). The SBTi defines and promotes best practice in science-based target setting and independently assesses companies’ targets. 

Norsk Gjenvinning handles Contaminated Waste

Norsk Gjenvinning is now taking an important step towards a waste-free future.  When working with contaminated materials, such as soil or sludge, there will occasionally be cases where there is no apparent safe or legal disposal method available. Norsk Gjenvinning addresses these challenges by consolidating its expertise and capacity under one umbrella to handle complex waste.

"We see that certain types of waste, contaminated soil, and sludge fall between the traditional waste treatment methods. Therefore, we see the need to connect expertise, facilities, technologies, and capacities across the company," says Christian Andresen, Marketing Manager at NGm3 AS, Norsk Gjenvinning’s company for contaminated soil.

Norsk Gjenvinning is now refining its service offerings in special waste to solve the unsolvable. This includes waste that cannot be recycled into new raw materials, incinerated, or safely landfilled.

New Solutions for Hazardous Waste

A recent example is the handling of contaminated soil from the construction of the new Espern Bridge in Hamar, which was unsuitable for both recycling and landfill disposal.

"The chemical properties of the soil were too complex for direct landfilling or recycling, and the excavated soil is not suitable for incineration without adding large amounts of supplemental fuel. By mixing the soil with another waste product that stabilizes its chemical properties, we created an end product that can safely be landfilled," says Tormod Selen Lundberg, Development Manager at Norsk Gjenvinning.

Renate Heder, Head of the Hazardous Waste Value Chain, explains further:" We use the combined expertise within the company and the tools we have in both mechanical, physical, and chemical treatment of both non-hazardous and hazardous waste. In the Hamar project, it was about expertise in both hazardous waste and soil, along with the treatment capacities at our facilities in Porsgrunn and Fredrikstad."

Together with colleagues from various departments at Norsk Gjenvinning, the three are behind the initiative for a joint customer and competence center that will handle the most challenging cases in the industry. "Our goal is to be able to say yes to almost any challenge our customers throw at us. We have the people, we have the facilities, and we have a large network of partners we can collaborate with," concludes Heder.

With this innovative step towards a sustainable future, Norsk Gjenvinning demonstrates its leading position in the waste industry and its commitment to a circular economy.

NG Group invests in eco-friendly vehicles

NG Group is making significant strides toward a greener future by incorporating more biogas and electric trucks into its fleet. This year, the group plans to introduce four electric and fourteen biogas trucks as a part of an ambitious environmental strategy.

NG Group has recently invested in new electric and biogas vehicles to modernize its fleet. This initiative not only enhance the competitiveness in bids but also attracts both new and returning customers by highlighting its environmental profile. Henrik Kvalem, Head of Group Sourcing, emphasizes the group's commitment to industry leadership and meeting the growing market demand for sustainable solutions.

- We have been patient in our search for vehicles that meet our range requirements. Now, we have found solutions that optimize both performance and efficiency, says Kvalem.

The new electric trucks will operate in the Norway's Agder region, where the milder winter conditions will ensure optimal efficiency.

Positive feedback from drivers

Another key reason for the investment was the necessity to reduce the costs associated with maintaining and operating the old vehicles in the fleet. Frank Lillevik, Logistics Manager at Norsk Gjenvinning AS, mentions that the process has been smooth, thanks to clear and precise communication at all levels.

- I want to thank Jørn Fredr Holden, Fleet Manager at Central Logistics. His expertise and support have ensured that the purchases were carried out without issues, says Lillevik.

He further explains that the drivers were initially skeptical, but their response has turned very positive.

- Drivers in Oslo have reported that the vehicles are easy to drive and provide a quieter and more comfortable work environment without noise. They have also mastered the charging routines and are now meeting the efficiency target for the number of containers, says Lillevik.

- Refueling the biogas trucks has also proven to be simpler than expected, thanks to good training and support, concludes Lillevik.

Mana, NORCE, and Equinor sign MoU to develop Norway’s first waste-to-Sustainable Aviation Fuel (SAF) plant

Waste-to-clean fuels company Mana, research institution NORCE, and Energy company Equinor today announced signing of a Memorandum of Understanding (MoU) with the ambition to develop a waste-to-SAF plant at Mongstad on the western coast of Norway.

The SAF facility will transform non-recyclable waste into clean fuel for the aviation industry. With the potential to reduce GHG emissions by more than 70% relative to traditional aviation fuel, SAF is widely regarded as the most promising solution to decarbonize aviation. The EU's ‘ReFuelEU Aviation’ initiative mandates that jet fuel suppliers blend an increasing share of SAF into the fuel supplied to EU airports from 2025 onwards.

Mana, which is owned by NG Group and based in Oslo, is Norway’s first company dedicated to converting non-recyclable waste into clean fuels.

We are excited to announce this early phase partnership, where companies from each side of the value chain are joining forces to develop the kind of complex project needed to realize the green transition. We share a joint vision and bring highly complementary expertise and experience to the table. By fully leveraging the energy potential in non-recyclable waste, we can be a significant part of the solution to decarbonize hard-to-abate sectors, like aviation.

Jon Bergan

CEO, Mana

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Summa Equity through NG Group acquires Fortum Recycling and Waste

FORTUM CORPORATION INSIDE INFORMATION 18 July 2024 AT 9:00 EEST

Fortum has today signed an agreement to sell its recycling and waste business to the thematic impact investment firm, Summa Equity through its portfolio company NG Group. The total consideration on a debt- and cash-free basis is approximately EUR 800 million. Based on the balance sheet available at signing, Fortum would record a tax-exempt capital gain of approximately EUR 110 million, however, the final capital gain will depend on the balance sheet value at closing. The gain will be reported as Items Affecting Comparability in the Other Operations segment’s results once the transaction is closed. The transaction is subject to customary closing conditions and is expected to be completed in the fourth quarter of 2024.

The divestment of the recycling and waste business is part of Fortum’s strategic review of its Circular Solutions businesses. The strategic review was initiated in August 2023. Fortum’s strategic focus is on delivering clean energy and driving decarbonisation of industries in the Nordics. Fortum’s core operations are located in the Nordics and consist of CO₂-free power generation, electricity sales, and district heating and cooling. The Circular Solutions businesses are not in the core of the strategy.

The recycling and waste business to be sold comprises municipal and industrial waste management and end-to-end plastics, metals, ash, slag and hazardous waste treatment and recycling services. These businesses are located in Finland, Sweden, Denmark and Norway and currently employ approximately 900 employees.

“We are very pleased to have found a very suitable new owner that is well positioned to further enhance and drive future growth opportunities for the recycling and waste business. Next to the clean energy transition, material scarcity is one of the biggest societal challenges we need to solve. Now is the right time for the new owner to take over,” says Markus Rauramo, President and CEO of Fortum.

Founded in 2016, Summa Equity is an impact investor focusing on three thematic areas: Resource Efficiency, Changing Demographics, and Tech-Enabled Transformation. The purpose of Summa is to invest in solving global challenges. Summa has approximately EUR 5 billion in assets under management and has made over 30 platform investments across three funds raised to date.

Materials account for 22% of the European CO₂ emissions. By combining Summa Equity’s NG Group with Fortum recycling and waste business, we are creating a EU Taxonomy aligned Nordic Circularity champion, enabling the EU 2050 Climate Neutrality and EU 2050 Zero Pollution goals,“ says Reynir Indahl, Founder and Managing Partner of Summa.

“This unique platform will provide our customers with innovative and end-to-end solutions across the full value chain. We believe the complementarity and culture fit between NG Group and Fortum’s recycling and waste business teams are strong and are key at the time of embarking on this sustainable growth journey together,” says Bertrand Camus, Chairman of the Board, NG Group and Partner at Summa.

“This divestment provides us with the opportunity to put enhanced focus on our core operations in clean power generation to drive electrification and build preparedness for future growth. Following this divestment, we continue with our priorities for capital allocation; to balance between balance sheet strength, investments and shareholder returns based on our dividend policy,” Rauramo continues.

Norsk Gjenvinning open substrate facility in Trondheim

Norsk Gjenvinning has acquired a facility in Trondheim, Norway, to focus on the production of substrate from food waste. Through extensive collaboration across NG Group, the position in various segments of the value chain has been strengthened.

Each year, Norsk Gjenvinning collects tens of thousands of tons of food waste from households and businesses. Now, the company has secured a new midstream position by investing in a new substrate facility in Trondheim.

- This is a position that makes us strong in the Mid/North region and an important step in Norsk Gjenvinning`s long-term strategy to improve food waste management in Norway, says Development Manager in Norsk Gjenvinning, Tormod Selen Lundberg.

Lundberg explains that substrate from food waste is a kind of food slurry, formed when food waste and water are processed to remove packaging and unwanted materials. Packaged food waste primarily comes from grocery stores, restaurants, or commercial customers.

- This product is highly attractive for biogas plants, where it is used as raw material to produce both biogas and biofertilizer. Previously, we transported the food waste directly to these facilities, Lundberg continues.

This purchase will provide greater flexibility and potential for increased profitability when Norsk Gjenvinning chooses to produce the substrate itself.

Best solution

The project has required close collaboration between various departments within the group. The Mid/North region, where the facility is located, has been involved throughout the process and will be responsible for operating the facility. Norsk Gjenvinning Downstream, the companies trading subsidiary, has also been part of the team and will handle the distribution of the substrate and participate in public tenders.

They have already secured the upstream bid in Nord-Gudbrandsdalen.

- We were delighted when Norsk Gjenvinning Downstream was selected as the supplier, with Norsk Gjenvinning Region Mid/Nord as the recipient of food waste. They won based on the best solution, quality, and execution, not on price, so it was particularly rewarding, says Lundberg.

- With increasingly stringent source sorting requirements and the need for innovative solutions, this facility represents a modern and efficient method for handling food waste. The next phase includes finding solutions for recycling the plastic packaging that the food waste comes in, which currently goes straight to incineration. This will help elevate this type of waste further up in the waste hierarchy, concludes Lundberg

Danish P.Olesen becomes part of NG Group

NG Group, a leading Nordic provider of circular solutions and, through the Urban Reuse platform, a pioneer in sustainable reuse of buildings and infrastructure in Norway, is pleased to announce the acquisition of P. Olesen. This significantly strengthens NG Group in Denmark and represents an important step forward in our commitment to circular solutions within the construction industry.

P. Olesen, with around 200 employees and an annual turnover of approximately 600 MNOK, is Denmark's leading demolition company specializing in reuse and circular solutions for construction waste. The family-owned company was established over 50 years ago and has one of the most advanced machinery fleets in the Nordic region. In recent years, P. Olesen has reinforced its position in rehabilitation and reuse, making it a very good fit for NG Group's activities in construction and infrastructure.

Group CEO Bjørn Arve Ofstad emphasizes that the group will continue its growth in the Nordic region with the aim of pioneering circular solutions.

-With P. Olesen, we are laying a solid foundation for further profitable expansion in the region. We have great confidence in the company, which, with its unique market position in Denmark, brings valuable expertise and potential. We look forward to the journey ahead together and are pleased that the Olesen family will join us as shareholders in NG Group, says Bjørn Arve Ofstad.

-In NG Group, we see a strong alignment in core values and an exceptional opportunity to develop activities in Denmark together, benefiting both existing and new customers—especially in recycling and circular thinking. We look forward to collaborating with NG Group and their skilled employees, sayes the owner-directors Henrik, Peter, and Kenneth Olesen of P. Olesen

The CEO of Urban Reuse at NG Group, Are Strøm, sees great opportunities for the future.

-I have had the opportunity to get to know P. Olesen over the past 1.5 years and am incredibly happy that we have brought P. Olesen on board. Their extensive experience in construction, as well as solutions in waste management and recycling, will strengthen our ability to deliver large-scale circular solutions and create value for our customers," says Are Strøm.

P. Olesen's focus on sustainable waste management and recycling has become a significant competitive advantage. The company operates several facilities that annually process approximately 300,000 tonnes of waste, of which over 90% is recycled. They have a wide range of treatment methods that deliver high-quality materials: wood for particleboard, glass for window glass, concrete for construction projects, as well as gypsum and asphalt for new gypsum boards and road asphalt.

Integrated Annual Report 2023

We are pleased to share our annual report for 2023. This report details our financial value creation, and highlights our commitments to environmental sustainability and social responsibility.We made significant strides toward our ambitious goal of accelerating the transition to a circular economy across the Nordics. This is made possible by strengthening our customers and partners through circular solutions and environmental services, offering tailored strategies that drive both sustainability and economic growth.

NG Group and INSEAD: Partnership for Forward-Looking Research

NG Group has entered a partnership with INSEAD’s Sustainable Business Initiative, strengthening our commitment to research and sustainable business practices.

-We are happy to announce our collaboration with INSEAD, an important partnership in our journey towards fostering innovative research and development, states Bjørn Arve Ofstad, Group CEO at NG Group. 

As one of the world's leading business schools, INSEAD offers a world-class research environment and expertise, creating a win-win collaboration for both parties.

- Our Sustainable Business Initiative engages with forward-looking industrial partners to create collective knowledge on challenges related to the transition to sustainable business. NG Group is such a partner, and we look forward to a successful collaboration, tells Professor Luk Van Wassenhove at INSEAD. 

With nearly a century of industrial experience, NG Group has established research and collaboration as important cornerstones of its success.

-This partnership enables us to push the boundaries of knowledge in ways that can lead to transformative industry solutions. At NG Group, we believe in the power of collaborative research to address complex challenges, Ofstad adds.

Case Study: Recycling Insulin Pens

The partnership has swiftly yielded results; earlier this year, INSEAD unveiled the case study Easier Together: Zirq Solutions’ Ecosystem Approach to Recycling Insulin Pens. The study showcases how Zirq Solutions, a part of NG Group, has developed the world`s only industrial process capable of reclaiming materials from used medical pens, transforming them into new products like high-end designer chairs. 

NG Group Welcomes New Chief DNA and Technology Officers to Executive Committee

NG Group is pleased to announce that our Executive Committee is being strengthened with two new key positions: Mette Hopsdal as our new Group Chief DNA Officer, and Mette Egli as our new Group Chief Technology Officer. Both will report directly to Group CEO Bjørn Arve Ofstad in their new roles.

NG Metall Welcomes Roy Hammer as New CEO

Claes Merborn has decided to step down from his position as CEO of NG Metall, a part of the NG Group. Roy Hammer has been appointed as his successor. NG Metall is recognized as a leading player in circular solutions for iron and metals, with advanced facilities in both Norway and Sweden where several hundred thousand tons are recycled annually.

Announcement from Summa

Summa announces the closing of Summa Circular with an investment in NG, a company originally acquired by Summa Fund I in 2018. Ownership of NG is thus transferred from Summa Fund I to Summa Circular. The ~EUR 550m transaction will allow Summa and the NG management team to continue executing their value creation plan by capturing the expanding market opportunity stemming from the shift towards a circular economy.

A tremendous effort by Øst Riv

The first milestone at Randklev Bridge has been reached.