Rolls-Royce increases U.S. manufacturing capabilities in South Carolina – Rolls-Royce plc

Report on Rolls-Royce Aiken Facility Expansion and Alignment with Sustainable Development Goals

Executive Summary

This report analyzes the recent expansion of Rolls-Royce’s manufacturing capabilities in Aiken, South Carolina, with a specific focus on its contributions to the United Nations Sustainable Development Goals (SDGs). The investment underscores a strategic alignment of business growth with key sustainability targets, particularly in the areas of infrastructure, clean energy, education, and economic growth.

Contributions to Sustainable Development Goals (SDGs)

SDG 9: Industry, Innovation, and Infrastructure & SDG 11: Sustainable Cities and Communities

The expansion of the Aiken facility directly supports the development of resilient, reliable, and sustainable infrastructure, a core target of SDG 9. By increasing production of power generation systems, Rolls-Royce enhances the infrastructural backbone of critical sectors.

• Supporting Critical Infrastructure: The company provides high-performance backup generators for essential services, including hospitals, municipalities, and government installations, thereby contributing to the resilience and safety of communities (SDG 11).
• Enabling Digital Transformation: With a nearly 50% growth in sales to the data center segment, Rolls-Royce is a key enabler of the digital infrastructure required for global innovation, including AI development.
• Investment in Advanced Manufacturing: The 395,000 square foot campus features state-of-the-art production capabilities, a research and development center, and a remanufacturing and overhaul center, representing a significant investment in industrial innovation (SDG 9).

SDG 7: Affordable and Clean Energy & SDG 12: Responsible Consumption and Production

Rolls-Royce demonstrates a commitment to sustainable energy practices and responsible production within its own operations at the Aiken campus.

1. Renewable Energy Generation: The facility has integrated clean energy solutions, directly addressing SDG 7. This includes:
   • A 1.35 MW ground-mounted solar array installed in 2017.
   • A microgrid with solar panels on a covered parking lot, generating sufficient power for the entire administration building.
2. Sustainable Production Patterns: The presence of a remanufacturing and overhaul center promotes circular economy principles, extending product lifecycles and contributing to responsible consumption and production patterns (SDG 12).

SDG 4: Quality Education & SDG 8: Decent Work and Economic Growth

The Aiken facility has pioneered a program that fosters quality education and promotes decent work, directly aligning with SDG 4 and SDG 8.

• Vocational Training and Education: The nationally recognized High School Apprenticeship Program, the first of its kind in South Carolina, provides vocational training based on the German dual-education system. This initiative offers inclusive and equitable quality education and lifelong learning opportunities (SDG 4).
• Skilled Workforce Development: Since 2012, the program has trained over 70 students, cultivating the next generation of skilled manufacturing professionals. Graduates earn certifications recognized by the U.S. Department of Labor, promoting full, productive employment and decent work (SDG 8).

Strategic Conclusion

The investment in the Aiken campus is a key component of Rolls-Royce’s strategic transformation. This initiative demonstrates that corporate growth in the power generation sector can be pursued in a manner that actively supports and advances multiple Sustainable Development Goals. The expansion simultaneously strengthens critical infrastructure, incorporates clean energy, fosters educational opportunities, and drives local economic growth, positioning the company’s strategic objectives in alignment with global sustainability targets.

1. Which SDGs are addressed or connected to the issues highlighted in the article?

• SDG 4: Quality Education

  The article highlights the company’s “nationally recognized High School Apprenticeship Program,” which provides vocational training and certifications to students, directly contributing to quality education and skills development.

• SDG 7: Affordable and Clean Energy

  The installation of a “1.35 MW ground-mounted solar array” and a microgrid using solar panels demonstrates a commitment to increasing the use of renewable energy within its own operations.

• SDG 8: Decent Work and Economic Growth

  The article discusses significant business growth, investment in infrastructure, and the creation of skilled labor through its apprenticeship program, all of which are central to promoting sustained economic growth and productive employment.

• SDG 9: Industry, Innovation, and Infrastructure

  The text focuses on the expansion of manufacturing capabilities, the establishment of a research and development center, and the provision of power generators for critical infrastructure like hospitals and municipalities. It also details the upgrading of its own industrial facilities with sustainable technology (solar power).

2. What specific targets under those SDGs can be identified based on the article’s content?

1. SDG 4: Quality Education

   • Target 4.4: By 2030, substantially increase the number of youth and adults who have relevant skills, including technical and vocational skills, for employment, decent jobs and entrepreneurship.

     The article’s description of the High School Apprenticeship Program, “modelled after the German dual-education system to help cultivate the next generation of skilled manufacturing professionals,” directly aligns with this target by providing vocational skills for employment.

2. SDG 7: Affordable and Clean Energy

   • Target 7.2: By 2030, increase substantially the share of renewable energy in the global energy mix.

     The company’s Aiken campus has actively worked towards this target by installing a “1.35 MW ground-mounted solar array” and a “microgrid that generates enough solar power from panels on its covered parking lot to supply its entire administration building.”

3. SDG 8: Decent Work and Economic Growth

   • Target 8.6: By 2020, substantially reduce the proportion of youth not in employment, education or training.

     The apprenticeship program, which has been “training more than 70 students since its inception in 2012,” is a direct initiative to reduce the number of youths not in education or training by providing a clear pathway to skilled employment.

4. SDG 9: Industry, Innovation, and Infrastructure

   • Target 9.1: Develop quality, reliable, sustainable and resilient infrastructure… to support economic development and human well-being.

     The article states that Rolls-Royce “provides high performance backup generators to power critical U.S. infrastructure including hospitals, municipalities and government installations,” which directly supports the development of resilient infrastructure.

   • Target 9.4: By 2030, upgrade infrastructure and retrofit industries to make them sustainable, with increased resource-use efficiency and greater adoption of clean and environmentally sound technologies.

     The addition of the solar array and microgrid at the Aiken manufacturing facility is a clear example of retrofitting an industrial site with clean and sustainable technology.

3. Are there any indicators mentioned or implied in the article that can be used to measure progress towards the identified targets?

1. For Target 4.4 (Relevant Skills for Employment):

   • Indicator: The number of youth and adults participating in vocational training programs. The article provides a specific figure: “training more than 70 students since its inception in 2012.”
   • Indicator: The number of graduates earning recognized certifications. The article mentions that “successful graduates earn certifications recognized by both the U.S. Department of Labor and Apprenticeship Carolina.”

2. For Target 7.2 (Renewable Energy Share):

   • Indicator: Renewable energy capacity. The article specifies the capacity of the new installation: a “1.35 MW ground-mounted solar array.”

3. For Target 8.6 (Youth Employment and Training):

   • Indicator: The number of young people engaged in apprenticeship programs. The article states the program has trained “more than 70 students.”

4. For Target 9.1 (Resilient Infrastructure):

   • Indicator: The provision of services to critical infrastructure sectors. The article implies this by stating the company provides backup generators to “hospitals, municipalities and government installations.”

5. For Target 9.4 (Sustainable Industries):

   • Indicator: The adoption of clean technologies in industrial processes. The installation of the solar array and microgrid at the manufacturing campus serves as a direct indicator of this adoption.

4. Create a table with three columns titled ‘SDGs, Targets and Indicators” to present the findings from analyzing the article. In this table, list the Sustainable Development Goals (SDGs), their corresponding targets, and the specific indicators identified in the article.

Source: rolls-royce.com