Free workshop: Carbon Footprint 101

Carbon Footprint 101 SASIN CENTRE FOR SUSTAINABILITY MANAGEMENT Liam Salter, CEO, RESET Carbon January 2016

Objectives

¡ To provide par+cipants with a clear understanding of the market drivers and context for carbon footprin+ng.

¡ To provide a high level view of how carbon footprints are developed and used to influence individual and corporate decision making in the areas of: ¡ Lifestyles ¡ Companies ¡ Products

© 2016 RESET Carbon Ltd.

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RESET – Your One-Stop Service Provider 3

2 offices and 20 staff in Hong Kong and Bangkok.

Conducted environmental strategy and carbon footprinting projects for over

20 international corporations

Implemented 10 energy and environmental assessment or improvement

projects in 11 Asian countries in commercial property, retail and light industrial facilities.

Conducted implementation projects saving clients between

125,000 and

1,000,000 USD/year.

Current and Previous Clients

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Climate change and the importance of our

carbon footprint

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We can already see impacts from climate change today

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Sources: IPCC, NASA/GISS, EM-‐DAT Interna+onal Disaster Database, UN, WWF

Global warming § 2015: warmest year on record § 10 warmest years occurred since 1998 § April 2016: 12th consecu+ve warmest month on record

Rising sea level § Average annual rise roughly doubled from 1993 to 2010 vs. 1901 to 2010

Natural disasters § Occurrences tripled from 2000 to 2009 vs. 1980 to 1989

Water scarcity § More than 1.2 billion people lack access to clean drinking water

§ ~20% of world popula+on

Coral reef damage § ~25% of coral reefs worldwide considered damaged beyond repair § 66% under serious threat

Climate change is happening

now

Global carbon cycle 7

http://www.globalcarbonproject.org/carbonbudget/16/presentation.htm

Carbon intensity Electricity and fuels

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Global carbon emissions 9

http://www.globalcarbonproject.org/carbonbudget/16/presentation.htm

Emissions trends per country 10


Emissions per person 11


Thailand’s situation 12


Thailand emissions in context

Four potential global warming scenarios 13


Source: Intergovernmental Panel on Climate Change (IPCC)

Note: The four Representa+ve Concentra+on Pathways (RCPs) are named a]er a possible range of radia+ve forcing values in the year 2100 rela+ve to pre-‐industrial values (+2.6, +4.5, +6.0, and +8.5 W/m2, respec+vely).

RPC 8.5 RPC 6.0 RPC 4.5 RPC 2.6

Goal of science-‐based targets

Es+mated 2.7-‐3.7 °C with INDCs

The global carbon budget 14


Carbon budget 15


2100GtCO2

Indicative range450-1050GtCO2

800GtCO2

Government carbon footprint goals 16

© 2016 RESET Carbon Ltd. Source: World Resource Ins+tute

No INDC submibed INDC submibed NDC submibed

China § Peak CO2 emissions by 2030 § 60-‐65% intensity reduc+on by 2030 vs. 2005

United States § 26-‐28% GHG emissions reduc+on by 2020 vs. 2005

European Union § At least 40% GHG emissions reduc+on by 2030 vs. 1990

India § 33-‐35% intensity reduc+on by 2030 vs. 2005

Japan § 26% GHG emissions reduc+on by 2030 vs. 2013

Hong Kong § 50-‐60% intensity reduc+on by 2020 vs. 2005 § Upcoming carbon target

Vietnam § 20% intensity reduc+on by 2030 vs. 2010

Cambodia §  27% GHG emissions reduc+on by 2030 vs. BAU

Bangladesh §  5% GHG emissions reduc+on by 2030 vs. BAU

Thailand §  20% GHG emissions reduc+on by 2030 vs. BAU

Corporate goals Carbon Disclosure Project (CDP) Overview

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https://b8f65cb373b1b7b15feb-c70d8ead6ced550b4d987d7c03fcdd1d.ssl.cf3.rackcdn.com/cms/reports/documents/000/001/384/original/carbon-action-infographic-2016.pdf?1481208408

https://data.cdp.net/Climate-Change/Global-500-Emissions-and-Response-Status-2013/marp-zazk

City goals C40 Cities

¡ hbps://www.compactofmayors.org/

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“There is no Democra/c or Republican way of fixing a sewer.” New York Mayor Fiorello La Guardia

Conclusions

Carbon is constrained

Ins+tu+ons are under pressure to set targets

Therefore measuring is cri+cal!!!!

Carbon footprint approaches are being refined to enable measurement and target segng to be achieved in a consistent, verifiable manner

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Measuring carbon footprints

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Main steps 21

Collect raw data Collect emissions factors

Define scope and boundary

Calculate carbon footprint

Lifestyle footprints

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Lifestyles footprints are:

¡ Easily available online

¡ Not standardised

¡ Highly variable

¡ Difficult to compare

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Define boundary and scope

¡ What are we seeking to measure and why?

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Lifestyle carbon calculator walkthrough

Standardising emissions factors 26


Worked example of GHGP purchased electricity tool

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Carbon per passenger km Solo driving

Carbon per passenger km Transport modes

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Corporate Footprints

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Corporate footprints are:

¡ Widely reported

¡ Follow common standards

¡ Frequently 3rd party verified

¡ Excellent tools for measuring performance within a company over +me

¡ Influenced by a large number of factors and difficult to compare across companies ¡ Timeframes ¡ Geographies ¡ Varia+ons in nature of similar businesses

¡ Challenges in repor+ng accurately and consistency year-‐on-‐year over large opera+onal porlolios

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Corporate footprints The Greenhouse Gas Protocol & ISO 14064

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http://www.ghgprotocol.org/about-ghgp

Standardising scope for companies 32

6 GHGs, but CO2 most relevant for most

companies

Scope 3 occurs outside of direct business

opera+ons but can be largest source

Most companies currently focusing on scope 1 & 2 due to good data and cost savings from

reducing emissions

Case study: Global Professional Service company

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Business air travel = 72% of global emissions

Paper = 2% of emissions

64% of emissions from 4 largest offices

Professional services Data sources

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Defra emissions factors used for credibility and consistency

Best in class specialist calculator

to provide customer with maximum

management op+ons

Professional services Carbon strategy

¡ What is my emissions trend?

¡ Which emissions are under most significant?

¡ Should I act across my global business or priori+se?

¡ Which emissions should be included in a target?

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Professional services Customer response

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Company tackled all major emissions sources but reduc+ons resulted from business air travel

Emissions reduc+ons from focus on largest offices drove the overall trend

Emissions essen+ally flat but 23% improvement per full +me employee

Professional services Customer response – air travel

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Variance in use of first and business class implied

inconsistency with corporate policy

Some offices exhibited large shares of flights as non-‐

billable expenses

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Paper use decreased significantly

Professional services Customer response – paper

Recycled paper also contributed. 50% recycled =

20% carbon reduc+on

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Typical interna+onal airport carbon footprint Direct emissions limited

Business partner emissions > direct

Rising trend due to global air traffic increase

LTO emissions usually lion’s share

APU result from planes but airports can help

reduce

Case study: Airports

Airports Carbon strategy

¡ What is my emissions trend?

¡ Which emissions are under most significant?

¡ Which emissions are under greatest control of the airport management team?

¡ Which emissions should be included in a target?

¡ Which emissions should I priori+se trying to reduce?

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Case study Hong Kong Airport strategy

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Included •  Airport opera+ons •  Business partners •  Emissions at gate Excluded •  Landing and take off •  Passenger access

As a result of its scope choice HK Airport makes a legi+mate claim to be a leading airport globally from a carbon reduc+on perspec+ve.

Products

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Product – or Life Cycle - footprints are

¡ Uncommon but growing as a tool for differen+a+ng products on basis of environmental performance

¡ Extremely complicated to calculate ¡ Account for complex raw materials, manufacturing and consump+on chains ¡ O]en not just carbon only

¡ Standards – and cer+fica+ons -‐ are available but not that widely used yet ¡ Verifica+on is possible but o]en perceived as rela+vely expensive

¡ Usually built with complex commercial database products

¡ S+ll not par+cularly comparable between similar products

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Lifecycle footprint approaches

Lee ReThink: Overview

•  Sources of environmental benefits: –  BCI Cobon yield increase, water and chemical use; –  Replace cobon with recycled PET (SCafé); –  Central: energy, chemical and water efficient produc+on process; –  Crystal: efficient washing process.

Carbon (kgCO2e) Energy (MJ) Water (L)

Lee ReThink 14.8 138.4 2921.1

Baseline 24.2 195.9 5294.5

Carbon Footprint Energy Demand Water Footprint

-39% -29% -45%

Thai Greenhouse Office (TGO) Product carbon label

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http://thaicarbonlabel.tgo.or.th/products_approval/products_approval.pnc

Complexity Example of polyester fabric LCA farm-gate only!

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Main steps (refresh) 48

Collect raw data Collect emissions factors

Define scope and boundary

Calculate carbon footprint

Internalised with so]ware tools

Future trend

¡ Branded carbon product footprint to be delivered by recognised commercial or government en++es, leveraging core interna+onal databases and supplemented with local emissions factors in key areas

¡ Main issues driving demand are ¡ applicability of methodology, ¡ reputa+on of label provider ¡ regula+on ¡ cost

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Conclusion

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Conclusions

¡ Carbon footprin+ng con+nues to grow as a tool for measuring and reducing carbon emissions.

¡ Corporate – or opera+ons – lens is the most widely used and in the future will be driven by ¡ Need to set deeper – or Science Based – reduc+on targets ¡ Need for companies to move beyond direct opera+ons and influence supply chains and business partner performance

¡ Product footprin+ng becoming more widespread driven by ¡ Desire to brand products credibly ¡ Recogni+on that impacts are huge and not covered by more ‘direct’ emissions ¡ Increasing power and accessibility of life cycle databases via branded intermediaries

¡ Recognised skillsets will be needed to do the job properly and stay abreast of the evolving standards ¡ hbp://www.ghgprotocol.org/training-‐capacity-‐building

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For more informaSon: Liam SalterCEOe: [email protected] RESET Carbon Ltd. www.resetcarbon.com

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Cost savings – energy efficiency

Business Annual spend (USD) Savings Typical ROI Hypermarket 1m 20% 4 – 5 years Hotel 500 000 to 1.2m 20% 3 – 5 years Dye mill 3m to 10m 15% 1 – 2 years Electrical products 2m 15% 2 – 4 years Food and beverage 10m 10% 3 – 5 years Large airport 30m+ 15% 4 – 6 years Large university 20m+ 20% 4 – 7 years Commercial building 1m 15% 3 – 5 years Large Office 20 000 15% 2 – 3 years

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Free workshop: Carbon Footprint 101

Economy & Finance

Transcript of Free workshop: Carbon Footprint 101