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Being bold. Many food and drink companies have good individual environmental records FDF decided to be bold about making a real difference for the environment We decided to take a more structured approach towards tackling the challenges. Why change?.

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being bold
Being bold
  • Many food and drink companies have good individual environmental records
  • FDF decided to be bold about making a real difference for the environment
  • We decided to take a more structured approach towards tackling the challenges
why change
Why change?
  • Expert opinion on the consequences of climate change
  • Support for the waste hierarchy
  • Expert opinion on water stress
  • Defra research showing that 87% of the external costs of food transport arise in the UK
collective commitment
Collective commitment
  • FDF is focusing on areas where we can make the biggest difference
  • Last October we launched our Five-fold Environmental Ambition
  • No other food trade body had taken this collective approach
our five fold ambition
Our five-fold ambition
  • The 1st part of our Five-fold Ambition is:
    • to achieve a 20% absolute reduction in CO2 emissions by 2010 compared to 1990
    • to show leadership nationally and internationally by aspiring to a 30% reduction by 2020
our five fold ambition6
Our five-fold ambition
  • The 2nd part of our Five-fold Ambition is:
    • to seek to send zero food and packaging waste to landfill from 2015
our five fold ambition7
Our five-fold ambition
  • The 3rd part of our Five-fold Ambition is:
    • to make a significant contribution to WRAP’s work to achieve an absolute reduction in the level of packaging reaching households by 2010 compared to 2005
    • to provide more advice to consumers on how best to recycle or otherwise recover used packaging
our five fold ambition8
Our five-fold ambition
  • The 4th part of our Five-fold Ambition is:
    • to embed environmental standards in our transport practices to achieve fewer and friendlier food transport miles
    • to contribute to the FISS target for the food chain to reduce its external impacts by 20% by 2012 compared to 2002
our five fold ambition9
Our five-fold ambition
  • The 5th part of our Five-fold Ambition is:
    • to achieve significant reductions in water use
    • to contribute to an industry-wide absolute target in the FISS to reduce water use by 20% by 2020 compared to 2007
delivering fdf s ambition
Delivering FDF’s ambition
  • In January 2008 we jointly launched the Federation House Commitment on water best practice with Envirowise, to achieve greater water efficiency
  • Yesterday we launched our Checklist and Clause for Greener Food Transportto achieve fewer and friendlier food transport miles
delivering fdf s ambition11
Delivering FDF’s ambition
  • We are also making good progress with our CO2 reduction ambition
  • The extent and pace of change is influenced by a number of drivers such as:
    • the policy framework
    • price
    • corporate responsibility
understanding the policy framework
Understanding the policy framework
  • The policy framework works alongside other drivers such as price and customer and consumer expectations
  • Take gas prices for example – they have risen steeply in recent months and will drive fresh changes in business behaviour
slide14

UK Wholesale Gas Prices

90

80

70

60

50

40

30

20

10

Pence Per Therm

Wholesale gas

Industry retail gas

understanding the policy framework15
Understanding the policy framework
  • The policy framework itself is extremely complex
  • It operates at many levels, international, EU and member state
understanding the policy framework16
Understanding the policy framework

Defra SCP Research

Energy White Paper

Climate Change Levy

EUETS/Transport

Sustainable Consumption & Production

CHP Cogen

F Gas Regs

Integrated Pollution Prevention & Control

Market Transformation Programme

Planning

Post Kyoto

EU Emissions Trading Scheme

2004 Transport White Paper

End use Energy Efficiency

Carbon Trust/ Energy Savings Trust

CAP Reform

Energy Using Products

Climate Change Agreements

Sustainable Farming and Food Strategy

Carbon Reduction Commitment

EEC/CERT

Renewables Obligation

Road Transport Fuels Obligation

Landfill

Diet & Health

Climate Change Policy

Ozone Depleting Substances Regs

Action CO2

Hazardous waste

Biofuels

Enhanced Capital Allowances

Renewable Heat

Combined Heat & Power Strategy

Renewables

Food Industry Sustainability Strategy

Kyoto

Energy Performance of Buildings Directive

Biomass Strategy

Cabinet Office Food Strategy

Climate Challenge

EE Action Plan

Climate Change Bill

Animal By-products

PAS2050

Farming and Food Link

UK Climate Change Programme

understanding the policy framework17
Understanding the policy framework
  • The policy framework can be distilled down into a few key drivers
where does food and drink fit in
Where does food and drink fit in?
  • The UK food chain is responsible for 17% of UK GHG emissions
  • Of the UK food chain, the food and drink manufacturing industry is responsible for 1.8% of UK GHG emissions
slide21

Household 15%

Food Shopping 3%

UK Road Freight 6%

Catering 5%

Agriculture 49%

Retail 8%

Manufacturing 11%

Where does food and drink fit in?

UK Food Chain Greenhouse Gas Emissions (2004)

Fertiliser/pesticide production 4%

17% UK GHG Emissions

Source: Defra

making a difference through leadership
Making a difference through leadership
  • Tate & Lyle’s new biomass boiler producing renewable energy at its Thames Cane Sugar Refinery from 2009, should deliver:

-70% reduction in the site’s CO2 emissions

-120,000 tonnes less CO2 emissions per year

making a difference through leadership24
Making a difference through leadership
  • A key part of FDF’s Five-fold Ambition is:
    • to achieve a 20% absolute reduction in CO2 emissions by 2010 compared to 1990
    • to show leadership nationally and internationally by aspiring to a 30% reduction by 2020
making a difference through leadership25
Making a difference through leadership
  • McCain Foods’ 3 new wind turbines, producing renewable energy at its Whittlesey plant are delivering:

-60% of the site’s annual electricity needs

-20,000 tonnes less CO2 emissions per year

slide27

Barriers to progress & long term success

  • Gap
  • Market
  • Product demand/mix
  • Import/export
  • Demand Side
  • ‘CCA/EUETS’ Energy Efficiency
  • New/updated process equipment
  • New technology
  • Process design
  • Supply Side
  • CHP/Trigeneration
  • On site renewable electricity
  • Bio-energy/renewable heat
  • Carbon Intensity Grid Electricity
  • (Fuel mix, renewables, nuclear, CCS)

-20%

MS2 10.7

Food &Drink

Sector CCAs

BY 11.0

MS5 9.3

-60%

EUETS

Food & Drink

Sector

4.3

3.9

barriers to progress long term success
Barriers to progress & long term success
  • What are the barriers to the UK food and drink industry adjusting to a low carbon economy and the implications for its long term success?
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