How SmartParc is rewriting the rules of food production

On the outskirts of Derby, in the U.K., a different kind of food factory is taking shape. Spread over 100 acres, SmartParc is a purpose-built manufacturing park designed around one idea: that food can be produced more efficiently, collaboratively and more sustainably when producers stop duplicating infrastructure and start sharing it.

Food manufacturing: a sector under pressure

The food industry is facing unprecedented challenges. Inflation is squeezing margins in an already low-profit sector. Many producers are operating from aging facilities that are energy-hungry and difficult to decarbonize. At the same time, customers, regulators and investors demand real progress towards net-zero greenhouse gas emissions.

“A lot of food factories in the U.K. and across Europe are more than 20 years old,” says Phil Lovell, Chief Operations Officer of SmartParc Europe. “They are tied to legacy buildings that are inefficient. Energy costs are high, processes are constrained and sustainability targets are becoming much harder to reach.” SmartParc is a response to these pressures, focusing instead on the entire food manufacturing ecosystem.

The SmartParc concept

The idea is simple, but powerful: Cluster modern, purpose-built food factories on a single site and manage key services centrally. Rather than duplicate assets, key infrastructure such as energy generation, utilities and distribution services are designed as shared systems. This approach delivers economies of scale that individual manufacturers could never achieve alone. Production lines are designed first, then wrapped in highly efficient buildings. Centralized management reduces complexity, while proximity between tenants slashes food miles, lowers transport emissions and extends product shelf life.

“By clustering buildings together, you reduce truck movements and reduce waste. Businesses can even sell to each other on site, if they choose,” explains Lovell. “Combined, these measures support lower costs and build producers’ sustainability credentials.” However, for SmartParc to deliver on its efficiency promise, the site’s energy system would need to look forward, not to the past.

Rethinking energy with waste heat recovery

Working with GEA, SmartParc created a shared energy network that instead of treating energy as a by-product or waste, instead captures, recalibrates and redistributes it.  This helps tenants take meaningful steps toward net zero without sacrificing reliability or performance.

“SmartParc looked at this as a sustainability project right from the beginning,” says John Burden, Director Project Sales Heating and Refrigeration Solutions at GEA U.K. “So instead of rejecting heat to the environment, GEA designed a district heating network for them that captures and reshares this heat across the park.”

This solution works by capturing the heat generated by the refrigeration processes, sends it through an industrial ammonia heat pump, then stores and shares it via more than 11 kilometers of underground pipework with the tenants. The same principle is used in district heating networks that supply cities with energy: At the Derby site, any connected business can draw on the network for energy, even if they did not generate it themselves. The result is a closed-loop system that balances heating and cooling needs across multiple users – at scale.

Why ammonia refrigeration matters

Choosing the right refrigerant was critical. For SmartParc and GEA, ammonia was the clear choice. “Ammonia is a naturally occurring, environmentally friendly refrigerant,” Lovell explains. “It has excellent thermodynamic properties, which means far less energy is required to provide both cooling and heating compared to alternatives.”

In an industry still burdened by legacy fluorocarbons that are costly, inefficient and harmful to the climate, ammonia offers a future-proof solution. Combined with advanced heat pump technology, it allows SmartParc to maximize efficiency while dramatically reducing emissions.

Engineering for real-world complexity

Designing the system was one challenge. Making it work in the real world with fluctuating demand and a park that is still filling up was another. Partial-load performance is notoriously difficult in large industrial energy systems. At SmartParc, demand changes with the seasons and will evolve further as new tenants arrive.

“With support from GEA’s engineering team, we’ve been able to run the system down to just five percent of its load,” Lovell explains. “That flexibility is critical, especially in winter when heating demand is high but cooling demand drops.” Achieving that balance requires a mix of compressor technologies, continuous monitoring and precise temperature control across multiple users, all while ensuring costs are fairly allocated. “It wasn’t easy,” Burden admits. “But accurate control is essential in a shared service model. Each business needs to operate independently while benefiting from shared infrastructure.”

A partnership, not just a project

For SmartParc and GEA, the relationship goes far beyond equipment supply. “We needed a partner with deep engineering expertise but also one that would stay with us and help us improve and evolve the system over time,” says Lovell. That long-term mindset was decisive. SmartParc has global ambitions and the energy center is designed to grow and adapt as technologies advance.

“We need a global partner that invests in innovation,” Lovell adds. “The technology we use in ten years will be different. GEA understands that.” Burden agrees: “We were involved from the very beginning. We looked at the system holistically, and that built trust. It’s been a true partnership.”

Engineering for a better world, together

Now running successfully for two years, the SmartParc energy center delivers around five megawatts of cooling and 2.5 megawatts of heating. These figures should more than double as the park reaches full occupancy. For tenants, the benefits are tangible: lower energy costs, reduced emissions and a clearer path to meet ESG targets. For SmartParc, it validates a bold idea. And for GEA, it’s a living example of how engineering can enable systemic change.

“It’s cheaper, it’s better and it drives sustainability credentials,” says Lovell. “Most importantly, it works for our customers.” The system has earned external recognition, winning awards that confirm what tenants already know: This is not theory, it’s a proven model.

As the food industry searches for ways to feed a growing population sustainably, SmartParc offers a glimpse of what’s possible when collaboration replaces isolation and engineering is guided by purpose. Together, SmartParc and GEA are redefining how food factories can operate in a low-carbon future. In Derby, that future is already up and running.