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Department of Environment and Climate Change NSW ROD CLARE Business Partnerships 11 November 2008. TAKING A FRESH LOOK. Overview. Who is the DECC? Working towards sustainable business Sustainability Advantage Getting involved. Business Partnerships Energy Saver Funding.

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department of environment and climate change nsw rod clare business partnerships 11 november 2008
Department ofEnvironment and Climate Change NSWROD CLAREBusiness Partnerships11 November 2008
overview
Overview
  • Who is the DECC?
  • Working towards sustainable business
  • Sustainability Advantage
  • Getting involved
department of environment and climate change nsw

Business Partnerships

  • Energy Saver Funding
Department ofEnvironment and Climate Change NSW
  • NSW environmental regulator
  • Lead agency on climate change adaptation
  • Sustainable business support
slide5

What is the problem?

  • Unsustainable use of resources
  • Climate Change
  • Air pollution
  • Disappearing forests, fisheries, cropping lands and plant and animal species.
    • Danger of ecological collapse
slide6

What is the RISK of not taking action?

  • Physical
  • Reputation
  • Commercial
    • Most energy contract prices will rise 35% – 40% from June 09 (+ CPI and network charges)
    • Waste Disposal Costs up 25% By 2010-11
    • Water costs expected to rise by approx 50% by 2011-2012 (Subject to IPART)
  • Regulatory
  • Supply Chain

“ … I am no scientist. But I do know how to assess a risk – and this one is clear. Climate change poses clear, catastrophic threats. We may not agree on the extent, but we can’t afford the risk of inaction”

Rupert Murdoch

11 May 2007

what are the opportunities from action
What are the opportunities from action?
  • Leadership
  • Direct business benefits
    • Reduce compliance costs
    • Cost savings through operational efficiency

– energy, water and waste

    • Improve reputation and “intangible” value
  • Engaged stakeholders
    • Retain / motivate staff (satisfaction, productivity)
    • Community licence to operate

86% of people would think more highly of their employer if they were addressing the climate change issue

[STW Group: Climate change and its implications for business and brands 2007]

slide8

Economic

Environmental

Social

What is sustainability?“Meeting the needs of the present without compromising the ability of future generations to meet their own needs.”Brundtland Report, 1987

Remember!

“ The future is not somewhere we are going…..It is somewhere we are creating.”

Professor Ian Lowe

what does it mean to be a sustainable organisation
What does it mean to be a sustainable organisation?
  • Stakeholder driven – recognise the need to make trade-offs (between shareholders and stakeholders)
  • Transparentandaccountable- internally and externally
  • Trustworthy – perception impacts reputation
  • Integrated - social and environment is just part of day to day activity
  • Risk aware – continually review risk and opportunity
  • Data aware– integrated tracking and reporting
  • Communicate- engage proactively internally and externally
  • Treads lightly– reduce to minimum environmental and social impacts
  • Account for costs – account for environmental cost on balance sheet

… to “create value”

slide10

Eco-Efficiency

Strategic Sustainability

Visionary

Sustainability Road Map

Most companies

Leaders

Not for all

Reactive

Competitive

Advantage

Objective >>

Regulatory compliance

Resource management

Leadership - Set the agenda

Open

Culture >>

Closed

Activities >>

  • Compliance focus to avoid liabilities
  • Ad hoc eco- efficiency projects
  • Environmental risk the responsibility of the operations manager only
  • No engagement with staff and external stakeholders
  • Systematic approach to eco-efficiency projects (EMS)
  • Technological best practice
  • Benchmarking & continuous improvement
  • Staff training
  • Public corporate commitment to sustainability
  • Sustainability fully integrated into policies & plans
  • Employee participation
  • Operational & personal Sustainability KPIs
  • Product stewardship
  • Sustainability vision determines corporate structure & strategy
  • Sustainable products & services
  • New markets
  • Promote Sustainability

Where does your company sit?

environmental action traditional approach

Government & Business interface

Environmental

Responsibility/Risk

Resource

Efficiency

Environmental Action – Traditional Approach

Does this sound like your business?

We want to improve….but where do we start?

  • Prioritise, ‘pull together’ and add value
  • Holistic rather than ad hoc

We’ve had some resource efficiency successes.....

what next?

slide13

Visioning

Resource Efficiency

Environmental Responsibility

Staff Engagement

The Process

Diagnostic

Commitment

Cluster network

Modules

Tailored support

+

+

choice of

Commitment and Planning

Supply Chain

12 to 18 months

Climate Change

Stakeholder Engagement

Continuous improvement and evaluation

management diagnostic
Management Diagnostic

ACHIEVEMENT

Achievement in the past 12 months

MEASUREMENT &

VERIFICATION

INNOVATION &

NEW TECHNOLOGY

Metering & Monitoring

Reporting, feedback and control systems

Innovation & new technology

FINANCIAL

MANAGEMENT

OPERATIONS &MAINTENANCE

SUPPLY CHAIN

MANAGEMENT

Operating procedures

Maintenance procedures

Raw Materials and Equipment Product Stewardship

Operating and Capital Budgets

PEOPLE /

STAKEHOLDERS

LEADERSHIP

UNDERSTANDING

PLANS

Understanding of performance and opportunities

Demonstrated corporate commitment

Targets, performance indicators (KPI) and motivation

Plans

Accountabilities

Awareness and training

Employee Management

Stakeholder Engagement

diagnostic one 2 five rating
= Best Practice and Continuous Improvement

= Management of Environmental Sustainability integrated into Business Systems

= Formal Systems for Managing Environmental Sustainability

= Informal Eco-efficiency Practiced

= Identified the Need to Improve (Default rating)

Diagnostic One-2-Five® Rating
action plan

Your Recommended Actions

Module

Responsibility

Date

2.1 Understanding environmental impact s and obligations

·Put a system in place to ensure you comply with your environmental obligations

Risk Mgnt. & Envt. Responsibility

4.1 Targets, performance indicators (KPIs) and motivation

·Set overall cost (and/or volume) reduction targets that specifically incorporate eco-efficiency savings.

Vision Com.& Planning

2.3 Understanding of energy performance and opportunities

·Perform a detailed assessment of energy savings in each of your energy intensive processes and operations.

Resource Efficiency

5.2 Awareness and training

·Conduct training in components of Environmental Sustainability and the associated environmental implications for relevant staff.

Staff Engagement

3.1 Supply chain management - Procurement

·Develop supplier selection guidelines

Supply Chain

Action Plan
slide19
Resource Efficiency

Walkthrough audit

Staff briefing & set up Efficiency Teams

Brainstorming sessions & REAP Action Plans

Efficiency teams meetings

Prioritise opportunities

Assign roles

Set performance monitoring

Continuous improvement

Implementation

What happens in a Module?

slide20
Climate Change

Awareness workshop

Develop GHG inventory

Quality check

Specific workshops

Minimising GHG footprint

Managing climate risk

Opportunities

Strategy & action plan

Implementation

What happens in a Module?

clusters in action 200 companies
Clusters in Action –200 companies
  • Newcastle Council (Marquis, Newcastle Airport, Fairfax Regional Printers)
  • Food manufacturers (Goodman Fielder, Coca Cola, Kelloggs)
  • Poultry (Bartter, Inghams, Red Lea, Biaida)
  • Building products (Laminex Group, Ontera Carpets, Austral Bricks, Vinidex, CSR Gyprock, James Hardie)
  • Healthcare (Ramsey, Carrington Centennial)
  • Illawarra Resource Recovery – Bluescope Steel
  • Riverina(Cassella Wines, McWilliams Wines, Orlando Wines, De Bortoli Wines, National Foods, Polkinghorne & Longhurst (surveyors),Murrumbidgee Irrigation)
  • TAFE & universities (7 TAFE Institutes & 2 unis)
resource efficiency opportunities
Resource Efficiency Opportunities

Riverina Cluster (18 months) - 12 wineries and agribusiness

Casella, Debortoli, McWilliams, Orlando, Westend, Bartter, Rockdale Beef, National Foods, Murrumbidgee Irrigation, Real Juice, Chicken Income Fund, PHL Surveyors

  • Electricity 1,600 MWh
  • Gas 9,600 GJs
  • Kilometres 100,000 + (truck movements)
  • Waste 150 tonnes
  • Water 150 ML p/a
  • Vegetation 27,000 trees

Saving - $2.36 million pa in 07/08 (payback < 2 years)

Expected to double in 08/09

slide23

“It is the most well conceived continuous improvement system I have seen. It balances systems with resources and strategic intervention to provide momentum and understanding to environmental programs.

  • This concept should enable all areas of industry at any level of environmental management, to make real environmental progress.”
    • James Kelly, Innovations Manager, Rockdale Beef, January 2008
benefits of the program
Benefits of the program

“The Sustainability Advantage Program has supported and helped establish the integration of the environmental aspects of McWilliams Wines’ business planning processes”. (McWilliams Wines)

“Facilitation, networking and feedback from fellow cluster members has been a very positive experience for Orlando Wines. Efficiency gains can translate across many different industries.”

(Orlando Wines)

“We found the Climate Change module very informative and we now have a better understanding of our place in a carbon emissions environment as well as our risks and opportunities as a company. “

(Koppers Australia)

“Our business model is underpinned by long-term sustainable systems, providing long-term customers with sustainable high quality beef products”.

(Rockdale Beef)

invitation to participate
Invitation to participate
  • Joining fee – up to $3,000 ( more than 100 employees)
  • To find out more please contact:
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