Environment, social and governance integrated process design for global decentralised sustainable methanol production

Methanol is a strategic bulk chemical and energy carrier. It is central to sustainable industrial transformation and emerging carbon-neutral roadmaps. Conventional production through centralised natural gas reform remains dominant, but it faces critical challenges due to fossil fuel dependence, greenhouse gas emissions, and inflexible infrastructure. The aim is to critically compare centralised fossil routes with decentralised low-carbon options under an ESG-integrated process and risk lens. It contrasts decentralised pathways with conventional centralised routes. Emphasis is placed on renewable-integrated alternatives, including biomass gasification, CO 2 hydrogenation, electrochemical conversion and hybrid thermochemical-electrochemical processes. Recent progress in catalysts, modular microchannel reactor systems, and carbon capture integration has further supported decentralisation transition with increased selectivity, thermal efficiency, and environmental performance. The feasibility of decentralised production system is assessed through integrated process design engineering evaluation, and sustainability metrics within an environmental, social, and governance (ESG) framework. Region-specific deployment patterns support climate-centred transition and stranded-asset risk while keeping methanol commercially competitive. The review further highlights the role of biochar co-production, carbon credit markets, and distributed renewable energy in strengthening modular methanol, particularly in biomass-rich regions with strong decarbonisation policies. A transformative approach is advanced by integrating computational modelling, regional adaptability, and ESG compliance into process design. Regional case studies from Australia, Europe, and Latin America provide an in-depth analysis of how renewable resources and policy incentives are shaping distributed methanol hubs. The study results that decentralised methanol is more than a sustainable option; it is a competitive strategy for energy security, industrial resilience, and climate-aligned growth. Future efforts will enhance ESG-related design measurements and regional implementation strategies. • Decentralised methanol reduces risks of fossil-based, centralised systems. • Renewable, hybrid, and CO 2 routes enable low-carbon methanol production. • Catalysts and modular reactors improve efficiency at smaller scales. • Biochar–methanol co-production yields carbon credits and resilience. • ESG, policies, and carbon pricing drive decentralised methanol adoption.