Chemical
Leasing

What is Chemical Leasing?

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Chemical Leasing is a performance-based, service-oriented business model in which the chemical supplier gets paid based on the function performed by the chemical, not the volume sold. The supplier retains ownership and provides not just the chemicals, but also expertise, process monitoring, training, and supply chain services.

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Key Characteristics

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• Shift from volume to value: Payment is for outcomes like “parts cleaned” or “area coated,” aligning incentives for resource efficiency.

• Extended responsibility: Suppliers manage the lifecycle: delivery, dosing, recovery, disposal, and continuous optimization.

• Win–Win relationships: Mutual trust, transparency, and shared benefits underpin long-term contracts.

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Benefits for Industry & Environment

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1. Resource Efficiency
   Cuts chemical, water, energy, and packaging use—often by 20–60%—resulting in lower costs and emissions.

2. Health & Safety
   Reduced chemical exposure and waste risks through optimized dosing, better training, and proper recycling practices.

3. Innovation & Know-how Transfer
   Suppliers drive process innovation and share technical expertise, improving both partners’ competitiveness.

4. Regulatory & SDG Alignment
   Supports compliance with EU REACH, contributes to UN SDGs (3, 6, 9, 12, 13), and embeds circular economy principles.​

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Proven Success – Real-World Examples

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• Powder coating in Egypt: 20% reduction in chemical use, 5% less waste, improved energy management1.

• Oil dehydration in Colombia: Cost and environmental gains in water treatment and corrosion inhibition.

• Hotel cleaning in Brazil: 40% reduction in chemicals and significant water savings.

• Lubrication in Uganda: Up to 48% lower consumption—and energy demand .

• Adhesive bonding in Serbia: 30% less adhesive, 50% energy savings.

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Global Governance & Recognition

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• UNIDO’s Global Chemical Leasing Programme launched in 2004 with Austrian support, advancing SDGs and circularity.

• Joint Declaration of Intent (2016) adopted by UNIDO, Austria, Germany, Switzerland—and later Peru, Serbia, El Salvador, Sri Lanka.

• Global Chemical Leasing Award (since 2009) highlights innovations and excellence in five categories.

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How to Implement Chemical Leasing

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1. Feasibility & Baseline Audit
   Assess current use, costs, quality, and environmental impact (REACH etc.)

2. Define KPIs & Payment Units
   Set measurable metricsB — e.g., “cost per part cleaned.”

3. Contract & Responsibility Setup
   Include dosing, monitoring, recycling responsibilities.

4. Implementation & Training
   Supplier leads setup, process optimization, staff training.

5. Review, Optimize & Scale
   Continuous improvement and monitoring for efficiency gains and impact.

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Refer to the Chemical Leasing Toolkit and UNIDO publications for detailed guidance.

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Why Globylity Consortium Supports Chemical Leasing

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At Globylity, we integrate Chemical Leasing into broader consulting services — such as Circular & Green Chemistry, ESG strategy, and regulatory compliance. We help clients:

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• Evaluate technical and economic feasibility

• Design and negotiate functional contracts

• Manage stakeholder relationships and compliance

• Monitor performance, improve processes, and report on impact

• Traning, Consulting and Education

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Learn More​

 

Explore toolkits, webinars, case studies, and upcoming events at:

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• ChemicalLeasing.com

• unido.org

• Access in-depth UNIDO materials like “Chemical Leasing: Function to Impact” and OECD economic reports unido.org.

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