Digital level monitoring, automated inventory notifications, and continuous visibility into mobile liquid containers promise greater transparency, lower safety stocks, and more efficient supply chains for the chemical industry.
However, as soon as IoT sensors are used on IBCs, tanks, or other containers in potentially explosive environments, technical performance alone is not enough.
Procurement teams therefore need to answer one crucial question:
Is the proposed IoT solution actually suitable and properly ATEX-certified for the intended application?
Choosing the wrong device can have serious consequences, ranging from delayed commissioning and additional inspection costs to compliance issues and safety risks.
At the same time, the topic is complex because procurement, health and safety, production, maintenance, IT, logistics, and management all have different expectations of an IoT solution.
This article explains the key terminology, typical use cases, and five essential points chemical procurement teams should consider when sourcing ATEX-compliant IoT sensors.
The term ATEX comes from the French phrase “ATmosphères EXplosibles.” It refers to European requirements for equipment and workplaces in which potentially explosive atmospheres may occur.
Two directives are particularly relevant:
For purchasing companies, this means that an ATEX-certified sensor does not remove the operator’s own responsibilities. The device certification and the operational risk assessment must match.
An explosive atmosphere can form when flammable gases, vapors, mists, or dusts mix with air in a certain concentration. If an effective ignition source is present, combustion can spread rapidly.
Even small electronic devices can potentially become ignition sources, for example through:
For this reason, even a compact battery-powered IoT sensor must be appropriately designed, tested, and marked if it is used in a hazardous area.
Typical applications in the chemical industry include:
Level monitoring in IBCs and tanks
Sensors measure the level of raw materials, auxiliary materials, or finished products continuously or at defined intervals.
Automated replenishment planning
Current inventory data can trigger purchasing processes or alert suppliers before a container runs empty.
Monitoring mobile containers
For mobile IBCs and reusable packaging, location, level, and movement data can be combined.
Preventing unplanned production downtime
Consumption data helps ensure that critical materials are available before shortages interrupt operations.
Inventory and container management
Companies gain visibility into where containers are located and how much product they contain.
The commercial value of these applications can only be realized when the sensor is technically and legally suitable for the actual operating environment.
One of the most common mistakes in procurement is selecting a sensor first and checking its suitability for the hazardous area afterward.
The correct order is the opposite:
First assess the operating area, then select the appropriate equipment category.
For gases, vapors, and mists, hazardous areas are generally divided into the following zones:
For combustible dusts, the corresponding classifications are Zones 20, 21, and 22.
Procurement teams are often given a requirement such as “the sensor must be ATEX-compatible.” This statement is too vague.
A device approved for Zone 2 is not automatically suitable for Zone 1 or Zone 0.
Before issuing a request for quotation, procurement should have access to at least the following information:
The zone classification should be based on the company’s risk assessment or explosion protection document. It should not be guessed or defined solely by the sensor supplier.
Procurement: needs a clear and comparable specification for supplier selection.
HSE and occupational safety: must verify that the zone classification and equipment approval match.
Production and site management: understand the actual process conditions and possible deviations from normal operation.
Maintenance: needs to know where and under which conditions the device will be installed, inspected, or replaced.
ATEX is not a simple yes-or-no feature.
The key question is not whether the supplier uses the term “ATEX,” but for which equipment group, category, atmosphere, and protection concept the product is approved.
A complete Ex marking may include information such as:
A marking such as “II 2G,” for example, broadly describes equipment in Group II, intended for non-mining applications, for use in a specific category of gas-hazardous area.
However, the complete marking contains additional details that may be essential for operational approval.
Incomplete product data often leads to lengthy approval processes.
Procurement may see an ATEX symbol in a brochure, while HSE or engineering later discovers that important information is missing or that the approval does not match the intended location.
Before placing an order, request at least the following documents:
Pay particular attention to an “X” at the end of a certificate number. This usually indicates that special conditions for safe use apply.
These conditions may concern:
Make the complete Ex marking a mandatory field in the supplier selection process.
Instead of asking only “ATEX available: yes or no,” require the supplier to document the exact marking and approved application area.
Certification always applies to a specific device configuration and a defined intended use.
Changes to the installation method, power supply, enclosure, or accessories may affect safe operation.
For IoT sensors installed on IBCs and tanks, the following questions should be answered:
IoT projects are often planned around the ideal operating state. In reality, however, devices also need to be installed, cleaned, maintained, inspected, and occasionally repaired.
A solution that requires the container to be removed from the hazardous area for every battery replacement may create substantial ongoing costs.
The same applies when installation or servicing can only be carried out by specially trained personnel.
Procurement should therefore evaluate the full lifecycle, including:
Mobile IBCs create an additional challenge.
A container may be located in one ATEX zone at the filling site, transported through non-hazardous areas, and later placed in a differently classified zone at the customer’s facility.
For scalable container management, companies must determine whether the sensor is suitable for every intended location and use case.
Otherwise, they may need different hardware variants, manual exception processes, or restrictions within the container fleet.
IoT projects often focus on data transmission, dashboards, APIs, analytics, and artificial intelligence.
In potentially explosive environments, however, the physical safety of the field device remains the first priority.
Whether a sensor uses cellular connectivity, NB-IoT, LTE-M, LoRaWAN, Bluetooth, or another wireless technology does not determine whether it is suitable for an ATEX environment.
The following characteristics are also not substitutes for proper Ex certification:
An IP rating, for example, describes protection against the ingress of solid objects and water. It does not automatically confirm explosion protection.
IT teams correctly evaluate areas such as cybersecurity, data ownership, interfaces, and network coverage.
Procurement must combine these requirements with the expectations of HSE and engineering.
A suitable industrial IoT solution therefore requires several layers:
An ATEX-compliant sensor without reliable connectivity provides little operational value.
A powerful IoT platform with unsuitable field hardware, on the other hand, may not be permitted in the intended location at all.
Both perspectives must be included in the specification from the beginning.
ATEX-certified hardware is more demanding to develop, test, and manufacture than conventional electronics.
A simple comparison of sensor purchase prices is therefore not sufficient.
Procurement should evaluate the measurable value of the overall solution.
Potential benefits include:
Pilot projects often generate useful data but fail to scale economically.
Common reasons include:
A robust business case should therefore not look only at the price per sensor.
The more relevant metric is the total cost per monitored container or measurement point over the planned service life.
This includes:
These costs should be compared with measurable savings and avoided risks.
Procurement must align several competing interests:
A structured proof of concept should therefore evaluate more than whether the sensor can measure a level.
It should test the entire process:
Before making a purchasing decision, procurement should clarify at least the following points.
ATEX-certified IoT sensors create the foundation for digitally monitoring inventory, consumption, and mobile containers in demanding areas of the chemical industry.
However, it is not enough to look for an ATEX logo in a product brochure.
The certification must match:
Successful projects therefore involve all relevant stakeholders at an early stage:
This is how an isolated sensor project becomes a safe, scalable, and commercially valuable IoT solution.
Would you like to improve visibility into the levels, consumption, and locations of your IBCs and tanks, including in demanding industrial environments?
Packwise supports companies in digitally connecting mobile liquid containers using intelligent sensor technology and a centralized IoT platform.
Together, we assess your application, operational conditions, and integration requirements to develop a scalable solution for your container and inventory processes.
Talk to our IoT experts and discover how you can make your container management safer, more transparent, and more automated.
Disclaimer: This article provides general information only. It does not replace an individual risk assessment, ATEX suitability assessment, or professional explosion-protection consultation.