2. Part I
Grogan’s Green Generation are a leading environmental consultancy firm based in
south-east England. The following carbon footprint report has been produced in
accordance with the Greenhouse Gas Protocol, the most popular carbon calculation
methodology, and is also compatible with ISO14064. The emitting activities covered
in this carbon footprint report for 2012-2013 include direct emissions from Advanced
Distribution such as company vehicles, electrical emissions and all other potential
indirect emissions including waste and water for example.
ADVANCED DISTRIBUTION Ltd.
Advanced Distribution is an electrical distributor, development and assembly
manufacturing company based in Portsmouth. The company currently employs 25
people who work full time and 10 people who work part time in their headquarters, a
three storey building. Advanced Distribution have two smaller companies, who will
be referred to as Company A and Company B. Company A is the assembly part of the
corporation and is based in Leeds while Company B supplies the parts to Company A
and is based in Birmingham. This report will provide a baseline carbon audit for the
Advanced Distribution offices in Portsmouth and the added effects of Companies A
and B.
3. Introduction:
Since 1750 the atmospheric concentrations of the Greenhouse Gases (GHGs) carbon
dioxide (CO2), methane (CH4), and nitrous oxide (N2O), have all increased due to
human activity (IPCC, 2013). Figure 1 below illustrates the change in atmospheric
concentrations in these three gases over the last 2000 years. Most climate models have
predicted that the build-up of these gases is likely to lead to surface air temperature
rises of 1.5o
C to 4.5o
C and changes in precipitation and cloud patterns over the next
century (IPCC, 2013), while rises in sea level and an increase in the frequency and
severity of extreme hazards is also likely. This is caused by the ‘Greenhouse Effect’
which occurs naturally when infrared radiation emitted from the surface of Earth is
absorbed and re-emitted by GHG molecules, warming the atmosphere. High
concentrations of GHGs have magnified this to a potentially alarming level. Due to
the importance of mitigating climate change and preventing the aforementioned
consequences, many governments have already taken action and introduced emission-
reducing policies. If a company wishes to establish long term success in a competitive
business environment, it is vital they understand and manage their GHG risk
accordingly (The Greenhouse Gas Protocol Initiative, 2004). The Kyoto Protocol have
highlighted a ‘basket’ of six GHGs, including the three already mentioned,
hydrofluorocarbons (HFCs), perfluorocarbons (PFCs), and sulfur hexafluoride (SF6)
(Rao & Riahi, 2006).
Carbon dioxide, the most prevalent GHG which made up 77% of global emissions in
2004 (IPCC, 2007), most commonly enters the atmosphere through the burning of
fossil fuels such as coal, natural gas and oil, but can be absorbed and removed by
vegetation and oceans. Methane, or natural gas, enters the atmosphere during the
production and transport of fossil fuels and through livestock and the decay of organic
waste. Nitrous oxide is most commonly emitted during agricultural and industrial
activities while the three other fluorocarbons are emitted from a range of different
industrial processes. The effect of these gases on the environment is dependent on
Figure 1 – Atmospheric concentration of CO2, CH4 and N2O over last 2000 years (US
Global Change Research Program, 2009)
4. several factors; the quantity of the gas is in the atmosphere, how long the gas stays in
the atmosphere for, and the potency of the gas.
The Global Warming Potential of a gas is a relative measure of the total energy that a
gas absorbs over 100 years, compared to the same mass of carbon dioxide (IPCC,
2007). Carbon dioxide therefore has a base value of 1. Methane only stays in the
atmosphere for a decade or two but has a GWP of 21, meaning pound-for-pound,
methane will cause 21 times as much warming as carbon dioxide. Nitrous oxide has a
GWP of 310 and can stay in the atmosphere for more than 100 years while
fluorocarbons also have the ability to trap substantially more heat than the equivalent
CO2 mass. Fluorocarbons vary greatly in the amount of time they can potentially stay
in the atmosphere but can vary between a year and several thousands of years. Table 1
shows the six GHGs, their respective GWP and atmospheric lifetime.
What is carbon footprinting?
The term carbon footprint has become a widely used term and concept in the public
debate on responsibility and abatement action against the threat of global climate
change (ISAUK
Research & Consulting, 2007) since emerging in the 1990s. Despite
this, there is currently no universal definition of what a carbon footprint is (The
Edinburgh Centre for Carbon Management, 2008). First promoted by
nongovernmental organisations (NGOs) and various private initiatives (Weidema,
Thrane, Christensen, Schmidt, & Løkke, 2008), a carbon footprint is best defined as a
measure of the total greenhouse gas emissions caused directly and indirectly by a
person, organisation, event or product, expressed in equivalent tons of carbon dioxide
(Carbon Trust, 2007).
Why produce a carbon footprint?
Climate change itself has been described as an issue that may prove to be humanity’s
greatest challenge (Karl & Trenberth, 2003) and from a nationwide perspective
carbon footprinting ensures that the responsibility of greenhouse gas emissions is
traced back fairly to the polluter. Furthermore, the United Kingdom is committed to
reducing greenhouse gas emissions by the Kyoto Protocol and the Climate Change
Act (2008) and must meet the targets set by these. The UK is bound by the second
Greenhouse Gas (GHG) Global Warming Potential
(GWP)
Atmospheric Lifetime
(Years)
CO2 1 50-200
CH4 21 12
N2O 310 114
HFCs 140-1170 1 - 270
PFCs 6500-9200 2600 - 50000
SF6 23,900 3200
Table 1 – Global Warming Potential and Atmospheric Lifetime of the six Kyoto
GHGs (US Global Change Research Program, 2009)
5. phase of the Kyoto Protocol (2013-2020) to reduce greenhouse gas emissions by at
least 18% below 1990 levels (UNFCCC, 2012). The 2008 Climate Change Acts looks
further into the future with a hope of reducing UK emissions by at least 80% in 2050,
based on 1990 levels. Carbon footprinting is required if we are to meet these targets as
it can be effectively utilised as a tool to measure progress.
A company such as Advanced Distribution may choose to undertake a carbon
footprint for their own benefit too. A successful carbon footprint should highlight the
departments and actions of the organisation that are particularly high emitters. As a
carbon footprint is a quantitative expression of GHG emissions, finding out emission
figures from an activity or sector in the organisation can help in emission
management and then the evaluation of mitigation measures (Carbon Trust, 2007).
Targeting high emitting practices can help reduce overall emissions considerably,
providing a company with huge economical savings and further motivation to
complete a carbon footprint report. The money saved can then be reinvested in the
corporation in a number of different ways including technological advancements or
further sustainable practices to ensure emissions are reduced even more. Using carbon
footprinting as a tool to reduce GHG emissions can result in an improvement in the
brand image of a company, providing a competitive edge over other businesses. It was
discovered that 67% of UK consumers are more likely to buy a product with a low
carbon footprint (Carbon Trust, 2012), further encouragement to complete a footprint
and reduce emissions. Corporate social responsibility (CSR) is the way that firms
develop innovative and economically viable products, processes and services,
resulting in improved environmental protection and social conditions (International
Institute for Sustainable Development, 2007). To summarise briefly, it is a
commitment to help develop society while protecting the environment at the same
time. It was found that 88% of consumers said they were more likely to buy from a
company that supports and engages in activities to improve society (UK Small
Business Consortium, 2006). Reducing company GHG emissions using a carbon
footprint would benefit the whole of society and is likely to increases the popularity of
the company, another incentive to undertake a footprint.
6. Carbon Footprint methodology:
The methodologies for carbon footprint calculations are still evolving but it is still
emerging as an important tool for greenhouse gas management (Pandey, Agrawal, &
Pandey, 2010). Different types of footprint exist for organisations, individuals,
products, services, and events. A report published by UNESCO in 2012 classified
three types of approach; bottom-up, top-down and hybrid and their recommended use
(Figure 2).
Each method presented by UNESCO most commonly follows the steps illustrated
below in Figure 3.
Figure 2 – UNESCO classification of carbon footprinting methods and their
recommended use (UNESCO, 2012).
Figure 3 – Key steps in calculating an organisational carbon footprint (Carbon Trust,
2010)
7. The first step to any footprint is to identify which set of standards and guidelines is
most appropriate to use. Figure 4 identifies some of the most widely used guidelines
and their specific purposes.
Once the guidelines have been decided it is necessary to set organisational and
operational boundaries. There are two approaches that can be used to determine
organisational boundaries; Equity Share or Control Approaches. Equity Share
considers GHG emissions according to its share of equity in the operation whereas the
Control Approaches consider all GHG emissions from operations over which the
corporation has control (Greenhouse Gas Protocol, 2004). The two types of Control
Approaches are Financial Control and Operational Control. Operational boundaries
classify emissions into three different scopes, 1, 2 and 3 (Figure 5).
Figure 4 – Overview of widely used guidelines and their specific purposes (Carbon
Footprint of Freight Transport, 2011)
Scope 1:
Direct GHG
emissions
Scope 2:
Electricity indirect
GHG emissions
Scope 3:
Other indirect
GHG emissions
Figure 5 –
Scope 1, 2
and 3
emissions and
examples of
each
(epa.gov,
2012)
8. Scope 1 emissions are direct GHG emissions from sources that are owned or
controlled by the company, scope 2 emissions account for the emissions generated
from purchased electricity and scope 3 emissions are all other indirect GHG emissions
(Greenhouse Gas Protocol, 2004), although these are optional to report. Data collected
from meters and fuel cards must then be collated and converted to the appropriate unit
before it can be multiplied by the relevant DEFRA emission factor using the
following formula:
Results must then be thoroughly double-checked to ensure no errors exist, which
often involves verification from a third-party. The example from Tesco below
illustrates how they have carried out their carbon footprint and followed the procedure
outline (Table 2).
ACTIVITY
DATA
× EMISSION
FACTOR
= GHG
EMISSIONS
9. Step Tesco Carbon Footprint
Choose Guidelines World Resources Institute (WRI) and World Business Council
for Sustainable Development (WBCSD) Greenhouse Gas
(GHG) Protocol
Set organisational
boundaries
Operational control approach, illustrated by diagram below:
Set operational
boundaries
Scope 1, 2 and 3 emissions included.
Some data excluded due to unavailable data or unreasonable
estimates. Not of significant importance to overall carbon
footprint.
Collect and collate
data
Data collected by managers and entered into internet-based
reporting tool.
Apply emission
factors
Internet tool automatically calculates CO2e based on
requirements of the GHG protocol
Verify results Validation and assurance of report provided by consultancy
group Environmental Resources Management Certification
and Verification Services.
Alternative techniques measuring ecological impacts?
Table 2 – Tesco Carbon footprint procedure, 2013/2014 (Tesco, 2014)
10. Numerous tools currently exist to assist organizations in determining the impact of a
product, firm or organization on the environment (Network for Business
Sustainability, 2011). Listed below in Figure 6 are a host of alternative techniques and
their potential uses.
Part II
Figure 6 – Overview of alternative methods to assess environmental impact and their
potential uses (Network for Business Sustainability, 2011)
11. The Equity Share Approach has been chosen for the purposes of consolidating and
reporting GHG emissions. Utilising this approach means this report includes
emissions from the two subsidiary companies located in Leeds and Birmingham. The
Equity Share Approach reflects economic control over the two subsidiary companies
which in this case is 35% and 75% respectively.
Scope 1 and 2 emissions are mandatory but to ensure that this report is as accurate and
as detailed as possible all Scope 3 emissions have been included.
COMPANY EMISSIONS 2012-2013
Advanced
Distribution
(Parent Company)
Company A (Assembly)
88.2 tonnes
35% Equity Share
Company B (Supplier)
42.2 tonnes
75% Equity Share
Figure 7 – Illustration of Organisational Boundaries
12. 1) Company Owned Vehicles
2) Managed Assets – Vehicles
3) Delivery Vehicles
4) Energy
5) Waste
6) Water Supply & Waste
TOTAL
ACTIVITY DATA
EMISSION
FACTOR
RESULT RESULT
(TONNES)
67,009 km 0.17475 11709.82275 11.709
556 litres gas oil 2.9343 1631.4708 1.631
3,466 km 0.34564 1197.98824 1.198
15,600 km 0.14048 2191.488 2.191
51,916 km 0.153464 7967.237024 7.967
72, 123 kWh 0.44548 32129.35404 32.129
90,113 kWh 0.18404 16584.39652 16.584
14.5 tonnes 289.835514 4202.614953 4.203
0.8 tonnes 570 456 0.456
2.1 tonnes 21 44.1 0.0441
13. 7) Business Travel - Air
8) Train Travel
9) Taxis
10) Air Conditioning Information
11) Freighted Goods
2760 m3
0.3441 949.716 0.950
1920 m3
0.7085 1360.32 1.360
4,152 km 0.275101 1142.219352 1.142
16736 km 0.275101 4604.090336 4.604
6,612 km 0.326615 2159.57838 2.160
14,111 km 0.479574 6767.268714 6.767
6,550 km 0.04904 321.212 0.321
2,666 km 0.06361 169.58426 0.170
91 km 0.083144 7.566104 0.008
18 km 0.15294 2.75292 0.003
1.25 kg 1300.0 1625 1.625
14. 12) Subsidiary Companies
Summary of results:
580 km 0.0499 28.942 0.028942 0.260
750 km 0.02721 20.4075 0.0204075 0.163
1740 km 2.572376 4475.93424 4.47593424 8.952
88.2 tonnes CO2
e
0.35 30.87 0.031
42.2 tonnes CO2
e
0.75 31.65 0.032
Table 3 – Advanced Distribution carbon footprint results
15. • Total GHG emissions for 2012-2013 is 106.599 CO2e.
• Scope 1 makes up 39.157 CO2e of total emissions (37%)
• Scope 2 makes up 32.129 CO2e of total emissions (30%)
• Scope 3 makes up 34.952 CO2e of total emissions (33%)
Scope 1 summary:
• Natural Gas, with 16.584 CO2e, accounts for the largest contribution to Scope 1
emissions (42%)
• Company Owned Vehicles, with 13.340 CO2e, is the second largest contributor to
Scope 1 emissions (34%)
• Delivery Vehicles, with 7.967 CO2e, is the third largest contributor to Scope 1
emissions (20%)
• Air Conditioning refrigeration, with 1.625 CO2e, is the smallest contributor to
Scope 1 emissions (4%)
Scope 2 summary:
Figure 8 – Total GHG emission
percentages by Scope
Figure 9 – Percentage breakdown of
Scope 1 emissions
16. • UK Electricity emits 32.129 CO2e and is the only contributor to Scope 2
emissions
Scope 3 summary:
• Business Travel – Air, with 14.673 CO2e, accounts for the largest contribution to
Scope 3 emissions (41.980%)
• Freighted Goods, with 9.376 CO2e, is the second largest contributor to Scope 3
emissions (26.825%)
• Waste Disposal, with 4.703 CO2e, is the third largest contributor to Scope 3
emissions (13.456%)
• Managed Assets – Vehicles, with 3.389 CO2e, is the fourth largest contributor to
Scope 3 emissions (9.696%)
• Water Supply & Waste, with 2.31 CO2e, is the third smallest contributor to Scope
3 emissions (6.609%)
• Business Travel – Train, with 0.498 CO2e, is the second smallest contributor to
Scope 3 emissions (1.425%)
• Taxis, with 0.003 CO2e, is the smallest contributor to Scope 3 emissions (0.009%)
Figure 10 – Percentage breakdown of Scope 3 emissions
17. Emission sources summary:
• Energy, with a combined 48.714 CO2e, is the largest source of emissions
contributing 46% to overall GHG emissions
• Business Travel – Air, with 14.673 CO2e, is the second largest source of
emissions contributing 14% to overall GHG emissions
• Taxis, with 0.003 CO2e, is the smallest source of emissions contributing 0.0003%
to overall GHG emissions
• Business Travel – Train, with 0.498 CO2e, is the second smallest source of
emissions contributing 0.467% to overall GHG emissions
Figure 11 – Chart illustrating the top 5 sources of GHG emissions
18. Part III (Recommendations then gaps?)
Gaps:
Many progressive companies, such as Walmart, Tesco, Hewlett Packard, and
Patagonia, have capitalized on the opportunities of green supply chain management
and are therefore very concerned with the environmental burden of their supply chain
processes (Hoffman, 2007). Unfortunately information on the emissions from
subsidiary company A and B are not provided. A breakdown of these emissions from
both subsidiary companies would be beneficial and highlight further areas that require
attention.
Unfortunately, information on employee commuting habits is not available and
therefore not taken into consideration in this footprint. This suggests that the total
value of emissions is actually higher than the figure provided. To provide a more
accurate report in future years it is recommended that this data is provided. One way
to attain this data is to install a tracking system in cars which can be synced to a
computer and automatically updated. If the tracking system shows that commuting is
a large source of GHG emissions, Advanced Distribution could introduce a work-at-
home scheme, popularised by organisations including Amazon, IBM, Apple and Dell
for example. Commuting emissions and energy usage in the building would therefore
be reduced. Sustainable methods of transport to work should also be encouraged,
including walking and cycling.
Finally, to account for electricity emissions fully, Advanced Distribution should
account for the Transmission and Distribution loss associated with their purchased
power. Including this in the report would make the study more representative of their
true GHG emissions.
19. Recommendations focusing on changing ethos:
Bilborough College
(Nottingham)
Advanced Distribution
(Portsmouth)
Model Suntech 240 Suntech 240
Size of individual panel 1.6m2
1.6m2
Size of roof covered 1064.94m2
532.48m2
Number of panels required 416 208
Price per panel £280 £280
Total price £116,480 £58,240
Total Annual Output 79,127 kWh 39,563.5 kWh
Annual CO2 saving 41.858tonnes 17.625tonnes
Solar panels:
Given that UK Electricity is such a large contributor to GHG emissions from
Advanced Distribution, it is recommended that an alternative source of energy is used.
Solar panels are recommended as this alternative source. Using information from
Bilborough College in Nottingham it has been calculated that 208 solar panels taking
up roughly 1/6th
of the flat roof space could annually generate 39,563.5kWh (almost
55%) of the 72,123 kWh required. An annual saving of 17.625tonnes is therefore
being made, reducing overall emissions to 88.974. Furthermore, if renewable energy
is generated for electrical use as intended, the company will not have to account for
the previously mentioned losses from Transmission and Distribution, an added bonus.
Hardware:
Grogan’s Green Generation were informed that computer desktops were left on
standby overnight. Although they don’t contribute a great amount to electrical
emissions it is bad environmental practice and should be discouraged. If the 18
computers are left on standby (using 3 watts of power) for 14.5 out-of-work hours for
the 253 working days of the year, it equates to 0.088 tCO2e each year (see Appendix
1a). While this is clearly not a significant contributor to emissions in the grand
scheme of things, it is worth turning computers off completely at the socket at the end
of the day. A small reduction in emissions is possible but more importantly it will
help develop an environmentally-conscious ethos and attitude within the corporation.
A transition from hard-copy documents to digital documents could also save 0.445
tonnes of CO2 each year (see Appendix 1b) as there would no longer be a need for the
printers. This is calculated by estimating that the four printers combined print for a
total of 45 minutes per day (using 400watts) and are left on standby (using 40 watts)
for the rest of the day. While this does not provide a large reduction in the emissions it
reinforces the eco-friendly approach the corporation is looking to install.
Table 4 – Bilborough College versus Advanced Distribution, solar panel comparison
(evoenergy.co.uk, 2012)
20. It is assumed the single photocopier is used for a total of 15 minutes per day (at 180
watts) and is left on standby (at 75 watts) for the remainder of the day. This equates to
a total of 0.205 tonnes (see Appendix 1c). The combined emissions from the four
printers & single photocopier is equal to 0.65 tonnes. According to Xerox, 50% less
energy is used by one multifunction printer than the combined annual consumption of
the individual products it replaces (xerox.com, n.d.). An investment is therefore
recommended to not only reduce emissions but also to assist with the digital
documents.
Low-E double glazing glass:
There is currently 920m2
of single-glazed, non-energy efficient windows around the
building. It is recommended that these windows are replaced with double-glazed,
low-emissivity glass seeing as studies have shown that there is the possibility to save
91 kg of CO2 per year if one square metre of single glazing glass is replaced with
low-E double glazing glass (glassforeurope.com, n.d.). Replacing all 920m2
of
windows there is the possibility for an incredible saving of 83720kg of CO2,
equivalent to 83.27t.
Cavity Wall Insulation:
There is currently no cavity insulation in the walls of the building despite the fact that
studies have suggested that every square metre of cavity wall insulation could save
more than a tonne of Carbon Dioxide over the average life of the building
(ciga.co.uk, n.d.). There is 3680m2
of wall space meaning the potential saving is over
3680t over the life of the building. If the building exists for 50 years this equates to
73.6 tonnes per year, another large saving.
Transition to LED lamps:
21. Figure (?) illustrates the benefits of switching a single regular lamp to a single LED
lamp, including a comparison between the monthly cost of each lamp per month and
monthly CO2 emissions for each form of lamp. It is clear the LED lamp is far cheaper
and more energy-efficient. If all standard lamps are replaced with LED lamps a bigger
financial saving and reduction in GHG emissions is certainly possible. Occupancy
sensors are also recommended as by dimming or switching off lighting when there is
nobody in a room there is the potential to reduce electricity use by 30% (npower,
2013).
Videoconferencing:
Where possible, it is recommended that video conferencing replace face-to-face
meetings that entail unnecessary travelling. A report commissioned by the Carbon
Disclosure Project (CDP) found that an individual business implementing four
telepresence rooms can reduce its CO2 emissions by 2,271 metric tons over five years
(Verdantix, 2010), clearly highlighting the fact that big reductions are possible.
Air conditioning:
Figure 12 – Comparison between standard lamp and LED lamp
22. The current air conditioning system is 12 years old and it is estimated that, in the best
case scenarios, air conditioning units only last 10-15 years. According to EcoAir, an
inverter air condition system can reduce electricity consumption by as much as 30%
(ecoair.org, n.d.) and it is therefore recommended that the Bravo-Inverter aircon
system therefore replaces the existing, ageing unit.
Vehicle fuel:
Company Owned Vehicles, Delivery Vehicles and Managed Assets – Vehciles,
account for a fairly large chunk of emissions from Advanced Distribution.
Fortunately there is the potential to reduce this contribution by simply changing the
type of fuel these vehicles run on. Cars that are run on petrol can be replaced with
bioethanol whereas diesel run cars can be powered by biodiesel.
Conclusion:
23. While it is unrealistic to suggest that all recommendations should be implemented it is
encouraged that several of the ideas suggested are adopted. For example, the
instalment of solar panels should be a top priority. Furthermore, turning off computers
at the end of the day should be promoted and a transfer to hard-documents should
seriously be considered. Changing the current lamps to LED bulbs is also an easy,
effective way to save both money and energy. Looking forward, larger-scale projects
such as cavity wall insulation, double glazing windows, videoconferencing and a
change of fuel used in company vehicles are ideas that could be worth looking into.
Appendix 1a
(3watts x 14.5hours) = 0.00435
1000
x18 = 0.783
x253 = 198.1
x0.44548 = 88.25
1000
= 0.088 t
24. Appendix 1b
Appendix 1c
Actual printing: Standby:
(400w x 0.75hours) = 0.3 (40w x 23.25) = 0.93
1000 1000
x253 = 75.9 x253 = 235.29
x0.44548 = 33.82 x0.44548 = 104.82
1000 1000
= 0.34 t = 0.105 t
Total = 0.34 + 0.105
= 0.445
Actual photocopying: Standby:
(180watts x 0.25hours) = 0.045 (75w x 23.75) = 1.781
1000 1000
x253 = 11.385 x253 = 450.7
x0.44548 = 5.072 x0.44548 = 200.8
1000 1000
= 0.005 = 0.2 t
Total = 0.005 + 0.2
= 0.205
