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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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Presentation Transcript
Being bold l.jpg
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


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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


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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


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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


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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


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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


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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


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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


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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


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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



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Understanding the policy framework implications

  • 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


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UK Wholesale Gas Prices implications

90

80

70

60

50

40

30

20

10

Pence Per Therm

Wholesale gas

Industry retail gas


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Understanding the policy framework implications

  • The policy framework itself is extremely complex

  • It operates at many levels, international, EU and member state


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Understanding the policy framework implications

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


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Understanding the policy framework implications

  • The policy framework can be distilled down into a few key drivers




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Where does food and drink fit in? implications

  • 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


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Household 15% implications

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



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Making a difference through leadership implications

  • 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


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Making a difference through leadership implications

  • 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


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Making a difference through leadership implications

  • 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



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Barriers to progress & long term success implications

  • 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


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Barriers to progress & long term success implications

  • 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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