Decarbonising Heavy Equipment: How Solar Energy Offers a Cleaner Path

From construction and cement production to mining and logistics, heavy equipment forms the backbone of economic growth in Southeast Asia. For example, as of 2025, the heavy equipment market in ASEAN was valued at USD 8.12 billion, with projections estimating it will reach USD 10.31 billion by 2030.

Yet the heavy equipment sector is a highly polluting one with construction activity alone accounting for about 40% of global energy use with most on-site demand met by diesel equipment and generators. These equipment contribute significantly to greenhouse gas emissions and local air pollution, producing high levels of carbon dioxide, nitrogen oxides, and fine particulate matter.

In fact, studies have found the buildings and construction sector to be a top emitter of greenhouse gases, responsible for 34% of final energy use and 37% of energy and process-related CO₂ emissions in 2022. 

To understand how solar energy companies can offer a solution, it’s important to first examine where the industry’s emissions originate — and why heavy equipment operations are so energy-intensive.

Sources of Emissions from Heavy Equipment

Heavy-equipment operations rely on multiple energy-intensive processes that significantly contribute to carbon and pollutant emissions. Understanding these sources is key to identifying where solar energy can make an impact.

1. Diesel-Powered Machinery

Most heavy equipment still runs on diesel — from excavators and loaders to cranes, haulers, and mobile generators. 

Diesel remains the fuel of choice due to its availability, cost efficiency, and ability to deliver the torque required for large-scale operations. However, it is also one of the most polluting energy sources in use today. 

Burning diesel produces large volumes of carbon dioxide along with nitrogen oxides and particulate matter, pollutants that contribute to both greenhouse gas emissions and poor air quality.

Because most sites operate equipment for long hours, sometimes around the clock, diesel usage can reach thousands of litres per machine each year. The result is a significant and ongoing carbon impact that accumulates across entire fleets and operations.

2. Electricity Use

Beyond the machinery itself, a large portion of emissions comes from the facilities that support heavy equipment operations. These include batching plants, crushing units, conveyor systems, warehouses, and maintenance workshops — all of which rely on electricity to power lighting, ventilation, and production equipment.

Many of these sites are located in remote areas where grid access is limited or unreliable, leading operators to depend on on-site diesel generators. This adds another layer of fossil fuel consumption and emissions to already energy-intensive operations.

3. Idling and Inefficient Power Systems

Energy inefficiency is another major factor. On construction and industrial sites, heavy machinery often runs idle for long periods, consuming fuel without producing output. Similarly, many sites use oversized generators to meet occasional peak loads, which stay underutilised for most of the day.

These inefficiencies lead to unnecessary fuel burn, higher operational costs, and increased emissions. In some cases, the cumulative impact of idle time and inefficient energy management can account for a sizable portion of a site’s total carbon footprint.

How Solar Energy Fits Into Heavy Operations

While the heavy equipment sector still remains a key pillar of various Southeast Asian economies, drastic action must be taken in order for them to remain sustainable in the years ahead.

Steps taken by heavy equipment companies looking to go green include adopting hybrid or electrified machinery. However, operators need to consider the fact that electric equipment is still reliant on external power sources - those of which may be powered by less sustainable options such as coal.

To that end, solar energy solution providers in Singapore like TotalEnergies ENEOS offer these businesses a viable and sustainable alternative power source through solar power. 

By generating clean electricity directly at the point of use, companies can meaningfully offset the emissions created by their heavy equipment operations, lower energy costs and enhance long-term energy efficiency.

Flexible Solar Panel Solutions for Industrial Applications

Offsetting Carbon Emissions Through Solar Energy Generation

Across Asia, sustainability reporting and environmental accountability are fast becoming an essential part of business with governments tightening disclosure requirements. As a result, companies are now expected to demonstrate measurable progress toward reducing their carbon emissions.

In Singapore, for example, new sustainability reporting requirements mean that all listed companies on the Singapore Exchange (SGX) must publish climate-related disclosures aligned with international standards by 2025. 

Similar trends are emerging across APAC, with Malaysia, Indonesia and the Philippines also introducing mandatory ESG frameworks. Movements which reflect a broader global movement toward carbon neutrality and transparency.

For heavy equipment manufacturers and operators, these changes carry major implications as their operations are energy-intensive. Plus, their carbon footprint comes from electricity use, transport and production activities — all of which fall under Scope 1 and Scope 2 emissions. Because of this, these businesses must now find reliable, verifiable ways to decarbonise their operations.

By installing solar panels, companies can generate renewable electricity directly on-site, which offsets part of their grid consumption and reduces overall energy-related emissions. 

The clean power produced contributes directly to Scope 2 reduction, while providing auditable data that can be incorporated into ESG reports and sustainability disclosures.

For example, every kilowatt-hour generated through solar energy in Singapore translates into tangible emission savings that can be tracked and verified for ESG purposes. For manufacturers supplying to global brands, this is especially valuable — as it provides documented evidence of progress toward sustainability targets, aligning with the carbon reduction expectations of multinational clients.

By embracing solar power, heavy equipment companies can future-proof their operations, reduce costs and contribute meaningfully to Asia’s transition toward a low-carbon economy.

Zero-CAPEX: Making Solar Adoption Simple
with TotalEnergies ENEOS

Across Asia, one of the biggest barriers to adopting solar power is cost. While awareness and interest in renewable energy are growing, businesses throughout APAC including those in Malaysia remain hesitant to invest because of the high perceived upfront costs associated with solar panel installations.

For other companies, there’s also concerns about long payback periods, ongoing maintenance costs and uncertainty about system performance. All of which can discourage businesses from embracing solar power despite its long-term benefits.

To address these challenges, TotalEnergies ENEOS offers a zero-CAPEX model designed to make solar adoption simple, accessible and risk-free. Under this arrangement, TotalEnergies ENEOS fully finances, installs and operates the solar energy system, allowing clients to pay only for the electricity generated.

This structure  eliminates the need for any upfront investment, enabling businesses to enjoy the benefits of clean, renewable power without diverting capital from their core operations. It is particularly attractive for SMEs and manufacturers looking to offset their carbon footprint while managing operational costs.

From a financial perspective, the model provides immediate advantages. Energy costs under this setup remain stable throughout the duration of the agreement, shielding companies from fluctuations in fuel prices or grid tariffs. The predictability of these rates supports accurate budgeting, improved financial planning, and potential long-term savings compared to conventional electricity sources.

A Cleaner Future for Heavy Industry with Solar Energy in Singapore and Asia

The heavy equipment sector will continue to play a vital role in Southeast Asia’s growth story. From building cities to driving industrial output, its contribution to regional development is undeniable. Yet, as the global economy pivots toward sustainability, the pressure on carbon-intensive industries to decarbonise is stronger than ever.

Solar energy offers these businesses a clear and achievable path forward. By partnering with a trusted solar energy company such as TotalEnergies ENEOS, manufacturers and operators can offset their emissions, stabilise energy costs, and strengthen their sustainability credentials — all without major upfront investment.

In a region where climate regulations, investor expectations, and customer priorities are rapidly evolving, the ability to demonstrate measurable progress toward carbon neutrality has become a competitive advantage. 

Through solar panel installations and long-term zero-CAPEX solar power agreements, TotalEnergies ENEOS enables companies to take immediate, tangible steps toward that goal. 

Learn more about our tailored solar solutions for businesses in the heavy equipment industry.