As climate regulations tighten worldwide, carbon reporting is rapidly shifting from a compliance exercise to a strategic business priority. In this interview, Andrew Yagüe of The Carbon Trust explains why pump manufacturers must act now to strengthen emissions monitoring, improve lifecycle transparency, and engage suppliers to stay competitive in a carbon-conscious global market.
Preparing for a new wave of regulation
According to Yagüe, pump manufacturers should focus on a growing set of climate disclosure and product transparency regulations—particularly in Europe, but increasingly across global markets.
A key development is the EU Corporate Sustainability Reporting Directive (CSRD), which significantly expands requirements for companies to disclose climate risks, emissions—including Scope 3—and transition strategies under the European Sustainability Reporting Standards.
In parallel, emerging frameworks such as the Ecodesign for Sustainable Products Regulation (ESPR) and the Digital Product Passport (DPP) initiative will require detailed product-level environmental data, including lifecycle impacts, energy performance, and material composition.
“These regulations signal a broader shift,” Yagüe explains, “towards embedding environmental transparency directly into products and supply chains.”
Manufacturers should also track developments in carbon pricing mechanisms such as the EU Emissions Trading System (EU ETS) and the Carbon Border Adjustment Mechanism (CBAM), which are reshaping cost structures across industrial value chains.
Building a strong foundation of metrics
For companies at the early stages of their sustainability journey, Yagüe highlights the importance of establishing core emissions metrics.
At an operational level, this includes:
- Scope 1 and Scope 2 greenhouse gas emissions
- Energy consumption (electricity and fuel)
- Process-related emissions
As companies mature, the focus should expand to Scope 3 emissions—particularly those linked to supply chains and product use.
“For pump manufacturers, the use-phase is often the largest contributor to lifecycle emissions,” he notes, given the energy intensity and long operational life of pumping systems.
At a product level, manufacturers are increasingly expected to track:
- Energy efficiency performance
- Material-related emissions
- Recycled content and circularity
- Product carbon footprints (PCFs)
Improving lifecycle carbon accuracy
Accurate lifecycle assessments remain a challenge, particularly when it comes to Scope 3 emissions.
Yagüe emphasises the need to move beyond theoretical models and incorporate real-world data. This includes:
- Using actual operating profiles and duty cycles
- Factoring in installation and maintenance variations
- Leveraging digital monitoring from installed equipment
Engaging directly with customers can also improve data quality, especially in understanding how pumps are used in real operating environments.
On the supply side, manufacturers should transition from generic emission factors to supplier-specific data—particularly for high-impact materials such as metals and castings.
“Combining better supplier data with operational insights and standardised methodologies such as Life Cycle Assessment (LCA) allows for more credible and decision-useful carbon reporting,” he explains.
Strengthening data governance and transparency
One of the biggest barriers to effective carbon reporting is fragmented or inconsistent data.
Yagüe recommends treating sustainability data with the same rigour as financial reporting. This includes:
- Establishing clear data ownership and governance structures
- Standardising methodologies across sites
- Integrating environmental data into operational systems
Aligning with recognised frameworks such as the Greenhouse Gas Protocol is also essential for ensuring consistency and enabling third-party verification.
As regulatory scrutiny increases, independent assurance is expected to become standard practice, further reinforcing the need for robust internal controls.
Engaging suppliers for meaningful impact
Supplier engagement is now central to any effective decarbonisation strategy.
Yagüe advises manufacturers to prioritise suppliers based on their contribution to overall emissions and focus on building long-term partnerships. Initial steps may include standardised data requests, but leading companies are going further by:
- Setting joint decarbonisation targets
- Sharing best practices
- Supporting capacity building among smaller suppliers
Embedding sustainability criteria into procurement processes ensures that environmental performance becomes a core element of supplier relationships.
Turning compliance into competitive advantage
While regulatory compliance is a key driver, Yagüe stresses that carbon monitoring can also unlock new opportunities for innovation and differentiation.
In the pump sector, improving energy efficiency remains one of the most impactful areas. Solutions that reduce energy consumption not only lower emissions but also deliver direct cost savings for customers.
Emerging business models—such as equipment-as-a-service and take-back schemes—are also gaining traction, enabling manufacturers to maintain performance over the product lifecycle.
“There is growing demand for transparent, product-level environmental data,” he adds. “Manufacturers that can demonstrate lower lifecycle emissions and provide credible carbon footprints will have a clear advantage in procurement processes.”
A strategic shift for the future
As global markets transition toward lower-carbon technologies, the role of environmental monitoring is evolving rapidly.
For pump manufacturers, investing in lifecycle transparency, robust data systems, and supplier collaboration is no longer optional—it is a strategic imperative.
Those that act early will be better positioned not only to meet regulatory requirements but also to lead in a market increasingly defined by sustainability, efficiency, and resilience.
