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SustainabilityJuly 30, 2024|9 min read

Sustainability in the Supply Chain: The Role of IBC Tank Reuse

The Supply Chain Sustainability Imperative

Supply chain emissions — often categorized as Scope 3 in carbon accounting frameworks — represent the largest portion of most companies' total carbon footprint, often exceeding 70% of total emissions. For businesses that handle bulk liquids, the containers they use are a significant and often overlooked component of these supply chain emissions. IBC tanks, as one of the most widely used bulk liquid containers globally, represent both a challenge and an opportunity in the sustainability equation.

The Linear Problem

The traditional approach to IBC tank management follows a linear model: manufacture a new tank, fill it with product, ship it, empty it, and then... what? Too often, the answer is disposal. The tank sits in a yard until someone decides to send it to a landfill, or worse, it's abandoned. This linear approach wastes valuable materials and energy while generating unnecessary waste and emissions.

Consider the full lifecycle emissions of a single linear-use IBC:

  • Raw material extraction and processing: ~30 kg CO₂e
  • Manufacturing: ~25 kg CO₂e
  • Transportation to user: ~10 kg CO₂e
  • End-of-life disposal: ~15 kg CO₂e
  • Total: approximately 80 kg CO₂e per single-use cycle

The Circular Solution

Contrast this with a circular approach where IBCs are reconditioned and reused multiple times:

  • Reconditioning (cleaning, parts replacement): ~8 kg CO₂e
  • Transportation for reconditioning: ~5 kg CO₂e
  • Total per reuse cycle: approximately 13 kg CO₂e

That's an 84% reduction in per-cycle emissions. Over a typical 4-cycle IBC lifespan, the cumulative savings compared to four new single-use tanks is approximately 268 kg CO₂e — per tank. Scale that across an organization using hundreds or thousands of IBCs, and the impact becomes transformative.

Integrating IBC Reuse into Sustainability Strategy

Step 1: Baseline Assessment

Before you can improve, you need to measure. Conduct an audit of your current IBC usage: how many do you purchase per year? What percentage are new versus reconditioned? What happens to your empty IBCs? This baseline tells you where you are and helps you quantify improvement opportunities.

Step 2: Set Targets

Based on your baseline, set specific, measurable targets. For example: "Increase reconditioned IBC purchasing from 20% to 60% of total IBC procurement within 12 months" or "Establish 90% IBC recovery rate (recycling or reconditioning) for all used tanks within 18 months."

Step 3: Establish Partnerships

Circular economy practices require cooperation across the supply chain. Partner with a reconditioning company that can both supply reconditioned tanks and collect your empties. This dual relationship creates a closed loop that maximizes both economic and environmental value.

Step 4: Implement Tracking

Track each IBC through its lifecycle in your facility. This doesn't require complex technology — even a simple spreadsheet tracking tank ID, purchase date, contents, and disposition provides valuable data for sustainability reporting.

Step 5: Report and Communicate

Include IBC reuse metrics in your sustainability reports. Quantify the CO₂ savings, waste diversion, and resource conservation. These are concrete, auditable metrics that resonate with stakeholders, customers, and investors.

Industry Frameworks and Standards

Several sustainability frameworks recognize and support IBC reuse practices:

  • GHG Protocol: Scope 3 emissions accounting can include the lifecycle impact of packaging and containers, allowing you to claim credit for choosing reconditioned over new IBCs.
  • CDP (formerly Carbon Disclosure Project): Companies reporting through CDP can include IBC reuse as part of their supply chain emissions reduction strategy.
  • Science Based Targets initiative (SBTi): IBC reuse can contribute to meeting science-based emissions reduction targets, particularly for Scope 3 categories related to purchased goods and services.
  • ISO 14001: Environmental management systems certified to ISO 14001 should include IBC lifecycle management as part of their environmental aspects assessment.
  • UN Sustainable Development Goals: IBC reuse directly supports SDG 12 (Responsible Consumption and Production) and SDG 13 (Climate Action).

Real-World Impact: The Numbers

The global IBC market represents approximately 60 million units in circulation. If the global reconditioning rate increased from the current estimated 30% to 60%, the annual environmental benefit would be staggering:

  • Approximately 1.2 million metric tons of CO₂ emissions prevented
  • Over 500,000 metric tons of HDPE plastic diverted from landfills
  • Billions of gallons of water conserved
  • Millions of metric tons of steel production avoided

These numbers demonstrate that IBC reuse isn't a niche environmental gesture — it's a significant lever for industrial sustainability.

Overcoming Barriers

Despite the clear benefits, some businesses are slow to adopt circular IBC practices. Common barriers and solutions include:

  • "We need new tanks for quality/compliance reasons": In most applications, properly reconditioned IBCs meet identical quality and compliance standards as new. Work with your reconditioning partner to verify this for your specific application.
  • "We don't have space to store empties": Establish a regular pickup schedule with your reconditioning partner. Many companies, including EcoIBC, offer scheduled collection services.
  • "It's too complicated to track": Start simple. Even basic tracking provides valuable data and can be scaled as you see the benefits.
  • "Our procurement department only has relationships with new tank suppliers": Introduce your procurement team to reconditioning options. The cost savings alone usually get their attention.

The Path Forward

Sustainability in the supply chain isn't a destination — it's a continuous journey of improvement. IBC tank reuse is one of the most accessible, impactful, and economically beneficial steps on that journey. Every reconditioned tank represents a tangible, measurable reduction in your environmental footprint. At EcoIBC, we're committed to making that choice as easy and rewarding as possible for every business we serve.

EcoIBC

We buy, sell, recondition, and recycle IBC tanks from our facility in Vernon, CA. Have questions about anything in this article? We're happy to help.

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