StandardAero

Introduction:

Aircraft maintenance, repair, and overhaul (MRO) specialist StandardAero needed a comprehensive plan to measure and reduce its greenhouse gas (GHG) emissions.

First, it intended to demonstrate it could reduce GHG emissions in-line with customers’ expectations. Next, it sought to comply with emerging regulations requiring in-scope companies to measure and disclose GHG emissions. Last, StandardAero aimed to demonstrate that it could leverage the decarbonization process to help drive financial value and foster growth. 

The mid-sized business required support and additional resources to take on this multi-pronged effort across its global operations. It needed a partner to help gather emissions data, assess reduction options, detail related costs, and set a course for implementation. 

The Challenge:

Many mid-size companies desire to reduce GHG emissions but face significant roadblocks to get started. Factors such as budget limitations, skill deficits, competing priorities, and lack of time are consistent challenges. 

StandardAero was looking for a partner that could provide tailored recommendations, inform the company’s decision-making process, and expand its expertise around GHG emissions. 

Carlyle, Standard Aero’s private equity sponsor, introduced the company to Rappel in 2023, believing Rappel's capabilities could potentially be a good fit. Rappel has relevant expertise helping mid-sized businesses decarbonize including building accurate and actionable GHG management strategies at competitive cost compared to traditional consultants.

The Engagement:

Rappel hit the ground running by utilizing its proprietary CO2-AIM software to create a detailed GHG inventory. 

After completing virtual walkthroughs of several StandardAero operations facilities and collecting energy and asset data, Rappel allocated emissions to building systems, manufacturing processes, and fleet vehicles, specific to each site. This gave StandardAero a reporting-compliant view of its overall carbon emissions and a plan to manage them.

Using this clean and accurate data, Rappel then analyzed more than 800 carbon reduction methods, including options to make buildings and operations more energy efficient, options to replace existing vehicles with low or zero emission alternatives, and opportunities to install solar panels. 

Rappel again deployed its CO2-AIM software to model and prioritize decarbonization actions that were specific to more than 20 sites, helping StandardAero understand how different choices could be evaluated based on cost, GHG emissions reduction potential, and return on investment. This analysis was delivered through Rappel’s centralized decarbonization dashboard, where leaders at StandardAero could explore the variety of ways the company could manage its emissions. 

StandardAero saw how it could achieve carbon reduction targets by 2030 while simultaneously driving more than $2 million in annual energy cost reductions. The quick wins were spread across sites, reflecting opportunities throughout the company’s operations.

In one case, StandardAero learned that its jet engine testing was responsible for nearly 30% of its global carbon footprint. With this information, the company is redesigning its engine testing process to not only reduce fuel use and carbon emissions but also significantly cut operating expenses. 

Throughout the engagement, Rappel acted as a de facto Chief Carbon Officer, actively supporting StandardAero to implement its decarbonization roadmap and build employee capacity around decarbonization.

The Outcome:

Through its work with Rappel, StandardAero was able to build an effective pathway towards its goal to decrease its Scope 1 and Scope 2 GHG emissions by net 45% by 2030. The company’s decarbonization roadmap details which GHG reduction solutions take priority, how they should be implemented, and what comes next once milestones are achieved. Importantly, the company knows it can both reduce emissions and create financial value. StandardAero is now working with Rappel to implement and update its action plan. 

StandardAero has also satisfied key customers who wanted to reduce their supply chains’ GHG footprints, and the company has created an accurate GHG emissions inventory that can be leveraged when customers call for future disclosures or reductions. 

StandardAero is proud of this progress and confident it can continue to use decarbonization to sustain and grow its business.