Carbon Proofing Your Business

Carbon proofing your business

Howard Nielsen

Taking Care of Business:

Sustainable Transformation

Adapted from Cole (EPA -December 2007) from Lasch & Wellington (HBR – March 2007)

Business questions on carbon and costs

• How will carbon pricing and regulatory policy affect our

costs?

• What will be the raw materials cost impacts?

• How will our suppliers’ costs increase?

• What carbon price related costs will we pass on to

customers?

• How much will we have to pay for energy and water?

• How will our risk profile affect our insurance?

• Will our funders/customers be happy with our carbon

exposure?

Adapted from Cole (EPA December 2007) from Lasch & Wellington (HBR March 2007)

Business questions on carbon and revenue

• How will carbon pricing affect our customers and their perceptions and demand patterns?

• How will we work with customers and suppliers to minimise the impact on our value chain?

• Can our business differentiate itself in the market by adopting sustainable practices?

• How can we generate revenue from our low-carbon status?

© NACC 2012

The answer?

• Run an eco-efficient business

• Procure sustainably

• Be organised and plan for sustainability

HOW DO WE DO THIS?

© NACC 2012

Eco-efficiency?

Question yes no NA Will

do

What

action

Lighting

1.Are lights always switched off when not in use?

2.Is natural lighting used whenever possible during the day?

3.Do trees or other obstructions prevent light from entering buildings during the day?

4.Are there separate lighting controls for sections of large areas? (e.g. using half a

room)

5.Are dimmer controls used where appropriate?

6.Are low energy lights used in all cases?

7.Is there too much lighting used for any area?

8.Are light fittings free of dust?

9.Are skylights clean?

Do a workplace scan – find out what to do – pick the easy bits first.

Example checklist - 9 questions out of 106 for energy and 300 for all eco-efficiency

Energy site survey checklist - Sustainable Business Cluster Project: NACC For each item, tick the relevant column (yes/no/not applicable) then decide if you may consider doing something about it.

If so, tick the “Will do” column and note any action that needs to be taken in the workplace.

(Edited from the ecoBiz Toolbox checklist by NACC)

© NACC 2012

Sustainable procurement?

Stages and Key Questions Not

applic

Rate

1

Rate

2

Rate

3

Rate

4

Rate

5

Stage 1: Establishing the need

Q1: Do we really need this product? na yes probably unsure unlikely no

Q2: Can we use the existing product more efficiently to

avoid replacement right now?

na yes probably unsure unlikely no

Stage 2: Collecting information on the product

Q5: Can we access information about product options? na yes probably unsure unlikely no

Q6: Is the information reliable, using third party opinion? na yes probably unsure unlikely no

Stage 3: Rating the product

Q9: Is the product made from sustainable resources? na yes fair bit some not much no

Q14:Is the product reusable or recyclable at end of life? na yes fair bit some not much no

Q15:Where is the product made? na local regional state int’state o’seas

Q16:Is packaging used to transport / store the product? na none not much some fair bit a lot

Q17: Is the product produced in fair trade conditions? na yes unsure no

NACC Checklist for making sustainable decisions about the procurement of goods and services

(Examples extracted from NACC’s full policy and checklist)

© NACC 2012

The three keys

People

Systems

The rest of the world

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People

People

connecting and collaborating for capability

Skills

Knowledge

Attitudes

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Systems

Systems

connecting and collaborating for capability

Strategising

Operating

Procuring

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The rest of the world

The rest of the world

Respond to ‘requirements’, do good and be known to do good

Marketing

Perceptions

Reality

© NACC 2012

The three keys

Status

Certainty

Autonomy

Relatedness

Fairness

© NACC 2012

GRI - Global Reporting Initiative

Internationally recognised indicators for

sustainability

•Product responsibility

•Economic

•Environmental

•Human rights

•Labor practices and

decent work

•Society

© NACC 2012

• Social network style website

• Trend indicator for the

sustainability of organisations.

• Provides green tips

• Enables a Green Street Score

to be calculated and tracked

• Connects Sustainable

Business Precincts

www.greenstreet.net.au

Sustainable local

economy more likely to

be built

Samford Green Streets process

Green Street Café the

focus for businesses

and the community to

connect

People talk

themselves into

doing things Business Cluster

makes itself

known as a

Green St Precinct

© NACC 2012

SPART Sustainability Perception and Reporting Tool

• Use own indicators - GRI as a basis

• Check in with all stakeholders

• Survey current performance and future aspirations

• View graphs

• Have the conversations and set priorities

© NACC 2012

SPART - Stakeholder perception on one item

Comparing the perceptions of all stakeholders regarding

one question

© NACC 2012

SPART - Comparing combined perceptions

Comparing the perceptions of all stakeholders regarding

all questions