http://www.energyprosolutions.com/newsroom/ http://www.energyprosolutions.com/the-business-of-energy-efficiency-and-productivity-/ <p>A half day panel discussion on how managing energy in your <br />business can improve your bottom line <br />When: Wednesday, 17th August 8.15 –1.30pm, including <br />registration, lunch/networking </p><p>Where: The Conference Centre, 585 Gt South Road, Penrose </p><p>“Collectively, NZSBA members have a vast amount of <br />knowledge about energy and productivity, and to get the most <br />from this event participants are encouraged to share their own <br />experiences with all attendees. <br />“Speakers and participants at this timely, half day panel <br />discussion have worldwide experience in improving their <br />companies’ energy efficiency while increasing productivity - <br />and they’re willing to share this knowledge with you. <br />“The event will be moderated by international business <br />journalist and researcher Rod Oram. Speakers and <br />participants include representatives from; ABB, CA, DB <br />Schenker, EECA, Electrolux, ISS, NZTE, Sandvik and SKF, <br />Wallenius Wilhelmsen and XSol. <br />Contact details at: <a href="http://www.scandinavia.org.nz/">www.scandinavia.org.nz</a> <br />Source: Stig Ehnbom.
</p> Thu, 21 Jul 2011 09:53:51 +1200 http://www.energyprosolutions.com/the-business-of-energy-efficiency-and-productivity-/ http://www.energyprosolutions.com/iso-50001-energy-management-standard-published/ <p>The International Organisation for Standardisation has released ISO 50001, a standard for energy management systems. </p><p>The standard aims to help organisations establish the systems and processes to improve their energy performance, including efficiency and consumption. The ISO says the standard is applicable to all types and sizes of organisations. </p><p>ISO 50001 is designed to help companies make better use of their energy-consuming assets, evaluate and prioritise the implementation of energy-efficient technology, and promote efficiency throughout the supply chain. It is designed to integrate with other management standards, especially ISO 14001 on environmental management and ISO 9001 on quality management. </p><p>The new standard specifies requirements for measurement, documentation and reporting, and for equipment design and procurement processes. It does not prescribe specific performance criteria, though it does require participating companies to commit to continual energy performance improvements. ….. </p><p>“ISO 50001 stresses the involvement of executive leadership, saying that top management must establish, implement and maintain an energy policy. …... " </p><p>More at <a href="http://www.environmentalleader.com/2011/06/15/iso-50001-">www.environmentalleader.com/2011/06/15/iso-50001-</a> <br />energy-management-standard-published/ </p><p>Source: Environmental Leader, 16th June 2011.</p> Thu, 23 Jun 2011 09:17:36 +1200 http://www.energyprosolutions.com/iso-50001-energy-management-standard-published/ http://www.energyprosolutions.com/budget-spells-doom-for-eeca/ <p>“The National-led Government intends to abolish the Energy Efficiency & Conservation Authority (EECA) next week, Labour's Environment spokesperson Charles Chauvel says. </p><p>"A number of well-placed sources have confirmed that budget legislation, which doesn't go to a select committee for public input, will merge EECA into the Ministry of Economic Development late next week. <br />"If EECA is abolished next week, the move will speak volumes about this Government's commitment to Energy Efficiency and Conservation", Charles Chauvel says. <br />"EECA has done excellent work to promote the Warm Up NZ programme, which began life as Labour's home insulation scheme. Promoting efficient energy use, and energy savings, should be a core issue for any New Zealand Government. Instead, National has kneecapped energy efficiency at every opportunity. <br />"First, they scrapped the phase-in of en ergy efficient light bulbs, something every other developed county is doing. Then they refused to promote smart metering in homes and businesses, so consumers could decide when to run appliances on cheap power rates. Then they came up with "more market" solutions to higher energy prices, which have not only failed to deliver, but have led to outrageous hourly charges by state power company Genesis. <br />"Now, thanks to having an acting minister of energy, who has been unable to defend her patch against budget cuts, we have the final nail in the coffin of energy efficiency with the abolition of EECA. <br />"I hope we won't see the demise of EECA next week. If we do, the next Labour-led Government will restore EECA, and give it a proper leadership role, at the earliest opportunity", Charles Chauvel said. </p><p>More>>[<a href="http://www.scoop.co.nz/stories/PA1105/S00162/budget-spellsdoom-for-energy-efficiency-conservation.htm">www.scoop.co.nz/stories/PA1105/S00162/budget-spellsdoom-for-energy-efficiency-conservation.htm</a>.] </p><p>Source: LinkdIn New Zealand Sustainability Professionals Networking Group, 10 <br />th May 2011.</p> Thu, 12 May 2011 14:59:12 +1200 http://www.energyprosolutions.com/budget-spells-doom-for-eeca/ http://www.energyprosolutions.com/towel-rail-timers-could-save-70m/ <p>NZ Herald Apr 19, 2011 <br />A small, cheap timer could save households $70 million a year on electricity bills, a study has revealed. Most owners of 1.25 million heated towel rails nationwide are guilty of leaving them on 24 hours a day. </p><p>An Energy Efficiency and Conservation Authority study found this habit cost the average household around $175 a year. This could be cut by about $115 if a timer switched the towel rail off while it was not in use. </p><p>EECA spokesman Stuart Ross said: "Making the most of the energy we use every day isn't about sacrifice, it's about doing things in a smarter way. Using a timer still means you get a nice warm, dry towel waiting for you when you get out of the shower, but without wasting electricity." </p><p>A case study of the Migounoff family, from Pukekohe, found installing timers would cut around 6 per cent off the family's power bill. Jane Migounoff said with three children, two of them with asthma, the family felt it was important to have dry towels. </p><p>Two towel rails in their home were left on non-stop, adding to a power bill of $3600 a year. </p><p>Electrician Bryan Arthur said the typical setting for a timer was four hours on, eight hours off - enough to have a dry towel. </p><p>Timer costs ranged from $30 to $220. A Consumer NZ report found every brand of electrical timer will reduce your electricity bill. </p><p>More at: <a href="http://www.nzherald.co.nz/energy/news/article.cfm?c_id=37&objectid=10720246">http://www.nzherald.co.nz/energy/news/article.cfm?c_id=37&objectid=10720246</a></p> Wed, 27 Apr 2011 15:10:27 +1200 http://www.energyprosolutions.com/towel-rail-timers-could-save-70m/ http://www.energyprosolutions.com/the-centre-of-the-paln-b-energy-economy/ <p>World on the Edge: How to Prevent Environmental and Economic Collapse; <br />“For many years, a small handful of countries dominated growth in wind power, but this is changing as the industry goes global, with more than 70 countries now developing wind resources. Between 2000 and 2010, world wind electric generating capacity increased at a frenetic pace from 17,000 megawatts to nearly 200,000 megawatts. </p><p>“Measured by share of electricity supplied by wind, Denmark is the leading nation at 21%. Three north German states now get 40% or more of their electricity from wind. For Germany as a whole, the figure is 8% – and climbing. And in the state of Iowa, enough wind turbines came online in the last few years to produce up to 20% of that state's electricity. <br />“In terms of sheer volume, the United States leads the world with 35,000 megawatts of wind generating capacity, followed by China and Germany with 26,000 megawatts each. Texas, long the leading U.S. oil-producing state, is now also the nation's leading generator of electricity from wind. It has 9,700 megawatts of wind generating capacity online, 370 megawatts more under construction, and a huge amount under development. If all of the wind farms projected for 2025 are completed, Texas will have 38,000 megawatts of wind generating capacity – the equivalent of 38 coal-fired power plants. This would satisfy roughly 90 percent of the current residential electricity needs of the state's 25 million people…. <br />“Since wind turbines occupy only 1% of the land covered by a wind farm, farmers and ranchers can continue to grow grain and graze cattle on land devoted to wind farms. In effect, they double-crop their land, simultaneously harvesting electricity and wheat, corn, or cattle. With no investment on their part, farmers and ranchers typically receive US$3,00010,000 a year in royalties for each wind turbine on their land. For thousands of ranchers in the U.S. Great Plains, wind royalties will dwarf their net earnings from cattle sales. <br />“In considering the energy productivity of land, wind turbines are in a class by themselves. For example, an acre of land in northern Iowa planted in corn can yield US$1,000 worth of ethanol per year. That same acre used to site a wind turbine can produce $300,000 worth of electricity per year. This helps explain why investors find wind farms so attractive. </p><p>More>> [<a href="http://www.earth-policy.org/book_bytes/2011/wotech9_ss2">http://www.earth-policy.org/book_bytes/2011/wotech9_ss2</a> ] <br />Source: DIocesan CLiamte Change Action Group, 16th Mar.</p> Thu, 14 Apr 2011 10:38:53 +1200 http://www.energyprosolutions.com/the-centre-of-the-paln-b-energy-economy/ http://www.energyprosolutions.com/kpmg-sustainability-survey/ <p>The 2nd KPMG New Zealand Sustainability Survey was conducted during October 2010. It consisted of an on-line questionnaire covering aspects of sustainability relevant to understanding the approach by New Zealand business and the extent of integration into organisational strategy. </p><p>Key messages: <br />• Definitions of sustainability focus on the environment and do not tend to refer to the concepts of “resilience”, “capacity” or “innovation”. <br />• 69% of respondents are either developing or have developed a sustainability strategy into the core business processes of the organisation – a significant improvement on the 2008 results. <br />• Whilst sustainability is becoming a strategic priority for respondents, only 19% assessed the governing body with reference to the sustainability performance of the <br />organisation. <br />• Customers are a key influencer in respect of how and why respondents are addressing sustainability. <br />• The majority of respondents have assessed, or are in the process of assessing suppliers in respect of their social or environmental performance. <br />• Waste and energy are the key environmental areas currently being addressed by respondents but the impacts of climate change are not well understood. </p><p>More: <a href="http://www.kpmg.com/NZ/en/IssuesAndInsights/ArticlesPublications/Pages/2010-NZ-sustainability-survey-report.aspx">www.kpmg.com/NZ/en/IssuesAndInsights/ArticlesPublications/Pages/2010-NZ-sustainability-survey-report.aspx</a> </p><p>Source: Jamie Sinclair.</p> Thu, 31 Mar 2011 09:29:44 +1300 http://www.energyprosolutions.com/kpmg-sustainability-survey/ http://www.energyprosolutions.com/why-does-energy-efficieny-s-promise-remain-unfulfilled-/ <p>“In 2006, Paul Rak, president of VeriForm Inc, a Canadian steel fabricator, set his company on the kind of do-gooder mission that could have given his corporate accountant fits. Rak had just seen Al Gore’s climate change film, An Inconvenient Truth, his first child had recently been born, and Rak decided he was obliged to find ways to deeply cut his company’s greenhouse gas emissions, even though he knew it was going to cost plenty. </p><p>“It turned out the company accountant had every reason to relax, even smile. Doing good quickly turned into doing well. <br />“Over the next two years, VeriForm installed more efficient lighting, automated its heating system, and found ways to run its saws and other tools more efficiently. Rak says he was floored by how quickly the resulting energy savings dropped right to the company’s bottom line. Between 2006 and 2008 …. he spent about $46,000 on energy efficiency, an investment that immediately began returning about $90,000 in reduced energy bills annually, a nearly 200% return on the investment. Meanwhile, VeriForm had cut its energy costs by 58% and its greenhouse gas emissions by 233 metric tons per year. Today, Rak continues to avidly pursue energy efficiency at his company, an effort that this month earned him a $100,000 award from the Canadian government. <br />“That a company, or a household, can make such an energy leap shouldn’t come as a surprise. What is surprising, though, is that more businesses and individuals aren’t embracing energy efficiency measures, given the significant savings that come from steps as simple as changing light bulbs, adding insulation, or installing smart electric meters……. </p><p>More: [<a href="http://e360.yale.edu/feature/why_does_energy_efficiencys_promise_remain_unfulfilled/2367/">http://e360.yale.edu/feature/why_does_energy_efficiencys_promise_remain_unfulfilled/2367/</a>] </p><p>Source: Yale Environment 360, 11th February 2011.</p> Thu, 03 Mar 2011 13:19:58 +1300 http://www.energyprosolutions.com/why-does-energy-efficieny-s-promise-remain-unfulfilled-/ http://www.energyprosolutions.com/tips-to-make-the-most-of-enterprise-carbon-and-energy-software/ <p>“There are many reasons why firms are turning to carbon and energy software providers. It could be pressure from stakeholders to take a more sustainable approach to business, or an obligation to comply with environmental regulations, or simply a cost cutting exercise implemented from the board. But there is a considerable gap between identifying a need for suitable software solutions and meeting that need. </p><p>“At Verdantix, our research has found that firms are stumbling over common issues when selecting software suppliers. It doesn’t matter which industry we researched, executives always identified the same hurdles: budget constraints, immature carbon strategies, concerns over energy management and ineffective crossfunctional communications. The problems don’t stop here, either. <br />Having interviewed 44 key suppliers of carbon and energy software, only 19% said they had contact with CIOs or IT directors. <br />“….. Sustainability cannot afford to sit at the bottom of executives’ priority lists -- it’s an issue that isn’t going to go away and what’s more, is one that can bring widespread benefits if approached strategically. <br />“As part of the research for the Verdantix report, ‘ Green Quadrant Carbon And Energy Management Software 2010’ ….we identified seven best practice recommendations for potential buyers: <br />• Map out users <br />• Consider how as well as whom. <br />• Link software to business plans. <br />• Shortlist on key functionality. <br />• Past clients count. <br />• Do a demo. <br />• Partnerships matter. “Matching the right software provider to the right firm is not an <br />easy goal, but following these recommendations will certainly help buyers save time and money as they seek the appropriate application for their firm. </p><p>More: <a href="http://www.greenbiz.com/blog/2011/01/19/7-tips-make-most-enterprise-carbon-and-energy-software">http://www.greenbiz.com/blog/2011/01/19/7-tips-make-most-enterprise-carbon-and-energy-software</a> </p><p>Source: GreenerComputing News, 19th January 2011.</p> Thu, 17 Feb 2011 14:01:20 +1300 http://www.energyprosolutions.com/tips-to-make-the-most-of-enterprise-carbon-and-energy-software/ http://www.energyprosolutions.com/energy-management-not-a-priority-for-many-cfo-s-/ <p>“We are currently conducting an online survey of purchase intentions of large companies for carbon and energy management software and services. One notable finding that has already surfaced is the lack priority some chief financial officers (CFO) assign to energy management, which mirrors our consulting in the field….. </p><p>Simply stated, energy management is not a priority for many CFOs. <br />“If sustainability is to move beyond a marketing-type function and truly become integrated in the core business processes in a company, sustainability leaders need the leadership, support and involvement of their CFO. <br />“The CFO role is vast and covers many areas, but CFO <br />leadership is critical if energy management and sustainability are to move from isolated teams in the company to pervasive aspects of all critical business functions. Sustainability leaders play a critical role in this evolution. </p><p><a href="http://www.greenbiz.com/blog/2010/12/22/energy-management-not-priority-many-cfos">More >></a> </p><p>Source: ClimateBiz News, 7th January 2011.</p> Thu, 03 Feb 2011 09:45:49 +1300 http://www.energyprosolutions.com/energy-management-not-a-priority-for-many-cfo-s-/ http://www.energyprosolutions.com/energy-efficiency-tops-the-agenda-as-electricity-bills-skyrocket/ <p>Using renewable energy gives your business a certain cachet, but don't underestimate the importance of energy efficiency, says Benj Sykes </p><p>Let's be honest. In the rush to produce cleaner sources of energy, efficiency is often seen as the poor cousin to breakthrough developments in renewable technologies. This needs to change. </p><p>The reasons for investing in efficiency are ever growing. An interesting early sign of this comes from the venture capital community which last year did more deals in energy efficiency than any other cleantech sector in the EU. </p><p>But why should you care? The impact of cutting utility bills on your company's bottom line will become increasingly important as energy prices rise. A drive for efficiency now will also help to hedge against likely energy price volatility in the future. Recent changes to the Carbon Reduction Commitment Energy Efficiency scheme announced by the Government mean even more of a financial incentive to reduce carbon emissions for those companies involved. Beyond this, many sectors have committed to improve their energy efficiency in exchange for tax rebates through Climate Change Agreements. </p><p>On top of the financial and regulatory reasons to care about energy efficiency, you now need to add the demand from consumers for more environmentally friendly products. Recent research by the Carbon Trust found that 86% of consumers want their favourite brands to reduce their carbon footprint and 43% are actively seeking information about the carbon impact of the products they buy. Whether you're selling the cake or baking the cake, demand for 'greener' goods means re-evaluating energy usage across the entire length of the supply chain. </p><p>More>> <a href="http://www.guardian.co.uk/sustainable-business/carbon-trust-energy-efficiency">http://www.guardian.co.uk/sustainable-business/carbon-trust-energy-efficiency</a></p> Tue, 07 Dec 2010 14:45:59 +1300 http://www.energyprosolutions.com/energy-efficiency-tops-the-agenda-as-electricity-bills-skyrocket/ http://www.energyprosolutions.com/climate-change-requires-shift-similar-to-smoking-slavery/ <p>“Maybe what we have here isn't just a failure to communicate." <br />Addressing climate change requires a shift in cultural attitudes <br />about greenhouse gas emissions on a scale similar to the rise <br />of abolitionism in the 19th century, according to a new study. </p><p>“The conversation over climate disruption, in other words, must <br />morph from a collection of scientific or moral facts to a set of <br />established social facts, said University of Michigan researcher <br />Andy Hoffman, professor of sustainable enterprise at the Ross <br />School of Business. <br />“Hoffman's analysis, published in the journal Organizational <br />Dynamics, compares current cultural norms on climate science <br />to historical societal views on smoking and slavery. <br />"At core, this is a cultural question…., The change in attitudes <br />about smoking in the 20th century is similar. The issue was not <br />just whether cigarettes cause cancer. It was whether people <br />believed it. The second process is wholly different from the <br />first." <br />“For years, researchers raised the alarm over data linking <br />smoking to lung cancer, only to see the public ignore it. <br />Gradually awareness shifted, and now the public widely <br />accepts the fact that smoking and second-hand smoke causes <br />cancer, with bans on public smoking increasing and smoking <br />rates and deaths on decline. <br />"They have become 'social facts,' and with that shift, action <br />becomes possible." <br />“Abolition offers an even more telling example of the difficulties <br />associated with changing deeply set economic structures. <br />“In the 1700s slavery was a primary source of energy and <br />wealth worldwide, especially for the British Empire. Abolitionism <br />challenged that way of life and threatened to trigger economic <br />collapse. It took more than 100 years, several uprisings and a <br />civil war to change cultural norms and abolish slavery. <br />“Just as few people saw a moral problem with slavery in the 18th <br />century, Hoffman said, few in the 21st century see a moral <br />problem with burning fossil fuels. <br />“The shift in value requires a new cultural perspective, he added. <br />“The problem, …. is that often society fails to define or <br />acknowledge a problem until it has the beginnings of a solution. <br />More: <a href="http://www.dailyclimate.org/tdc-newsroom/2010/10/culture-shift">www.dailyclimate.org/tdc-newsroom/2010/10/culture-shift</a></p> Fri, 26 Nov 2010 12:24:54 +1300 http://www.energyprosolutions.com/climate-change-requires-shift-similar-to-smoking-slavery/ http://www.energyprosolutions.com/emanz-throws-down-the-gauntlet-and-challenges-businesses-to-energy-savings-duel/ <p>The Energy Management Association (EMANZ) is challenging businesses that think it’s impossible to make further energy savings to an energy savings “duel”.</p><p>EMANZ executive officer, Ewan Gebbie, issued the challenge following the release last week of a survey by Statistics New Zealand. The survey showed one third of industrial and trade sector businesses believe they cannot make further energy savings.</p><p>Mr Gebbie believes they are misguided.</p><p>He said there are energy savings opportunities in every business.</p><p>“This is why we’ve issued businesses with a challenge to take part in the energy savings duel.</p><p>“For the first five companies that contact us, we guarantee that our accredited energy auditors will find them savings with payback within three years or the audit will be free – it’s as simple as that.”</p><p>Mr Gebbie said energy savings opportunities continue to emerge through a combination of factors including (rapidly) rising energy costs and new energy saving techniques [1]and technologies.</p><p>“It may seem counter-intuitive but sometimes subsequent opportunities are larger in value and can be achieved at less cost than the obvious “low hanging fruit” savings at the beginning of the energy management process.”</p><p>He said EMANZ wants to work alongside larger energy users to demonstrate what is possible.</p><p>“We don’t want to tell people how to run their own business, but we do have a high degree of technical expertise that can help them on their journey to greater profits through reduced input costs.”</p><p>He said there are hundreds of millions of dollars of savings to be made in the commercial building sector and in manufacturing from implementing audit findings.</p><p>“Executing energy audit recommendations produces substantial cost savings and delivers real benefits to Kiwi businesses’ bottom line. In 2008-09, 85 energy audits identified potential energy savings per year of $8 million.”</p><p>Audit results over the last five years show that for every $1 invested in an energy audit, $7.50 of savings opportunities are identified[2]. On average businesses can save ten per cent of their total annual energy spend, said Mr Gebbie.</p><p>“For example, a company with an energy bill of $1 million could save approximately $100,000 by implementing no or low cost savings opportunities that also need very little in terms of time or resources to make them happen.”</p><p>Duel conditions</p><p> * · The first five businesses that contact EMANZ will receive an energy audit carried out to the conditions above – no savings identified, no charge<br /> * · The annual spend on energy must exceed $250,000<br /> * · If auditors are unable to find savings worth more than the cost of the audit with payback within three years, the audit is free<br /> * · Interested companies should contact EMANZ at 04 385 2839</p> Tue, 19 Oct 2010 10:56:00 +1300 http://www.energyprosolutions.com/emanz-throws-down-the-gauntlet-and-challenges-businesses-to-energy-savings-duel/ http://www.energyprosolutions.com/how-to-write-an-energy-policy/ <p>In order to know how to write an energy policy you must first identify what it is that your organisation wants to achieve from the policy document. </p><p>What are the overall objectives? Is the energy policy intended to save energy or simply cut costs? Does the policy aim to reduce energy across the entire organisation or just a few sites where most of the energy is being used? Is there an overall target for saving energy and is it achievable? What timescales have been set out to achieve the targets within the policy and what will happen if the targets are not met on time? </p><p>What resources are available to implement the energy policy? Will the policy have the backing and long-term commitment of senior management? How will staff be motivated to continually implement the energy policy? Does the organisation have the relevant expertise to meet the targets set out in the policy or will it need to bring in external help? Is there a sufficient budget available to pay for investment in new technology or consultancy fees? </p><p>Who will have overall responsibility for the energy policy and who will manage or implement it on a day-to-day basis? Has the management structure been clearly defined so that all stakeholders are aware of who is responsible for implementing the energy policy? </p><p>The energy policy must also consider what financial resources are available. Is there a separate energy budget with sufficient funds to be invested in the energy policy implementation? Does the budget extends beyond simple maintenance to enable investment in new technology and improvements? Are their accounting procedures in place that will enable any energy cost savings to be reinvested in further energy efficiency initiatives? Has the organisation identified a realistic payback period for investments? Are procedures in place to calculate the life cycle cost of implementing energy-saving technology and practices? </p><p>The energy policy should also consider how energy and energy efficiency can be monitored. From simple manual meter readings and checking of monthly invoices to a more developed process of automated meter reading facilities, the energy policy should identify what energy management information is required. Once the energy information has been gathered, consideration should be made for how this information can be used to the greatest effect. </p><p>Energy policy should set out clear targets and objectives to reduce consumption and/or costs. The targets should be both challenging and achievable, and cover both the long-term and short-term. The energy policy should also consider how different parts of the organisation may need to have individual targets. </p><p>A good energy policy will also consider how the organisation aims to engage all stakeholders. From training and awareness campaigns to staff suggestion schemes and incentives, the policy should seek to involve all people who can help to ensure the long-term success of the energy policy. </p><p>Credit: <a href="http://www.energymanagementnews.co.uk/how-write-energy-policy">http://www.energymanagementnews.co.uk/how-write-energy-policy</a></p> Tue, 31 Aug 2010 20:12:11 +1200 http://www.energyprosolutions.com/how-to-write-an-energy-policy/ http://www.energyprosolutions.com/tracking-carbon-emissions/ <p><strong>It's Time to Give Up Spreadsheets for Tracking Carbon Emissions</strong> </p><p>CEO's, CFOs, CIOs and sustainability teams at large companies have used spreadsheets for years to track corporate carbon emissions. </p><p>We are now, however, at a tipping point where the benefits of carbon management software, also known as enterprise carbon accounting (ECA) software, outweigh the benefits of spreadsheets. </p><p>With many large companies recently completing their Corporate Social Responsibility (CSR) reports and Carbon Disclosure Project (CDP) questionnaires, and entering budget planning in the fall, it is time to move away from spreadsheets to reduce risk, save money, increase productivity, and establish an enterprise-class source of record for carbon emission data. </p><p>Investors and Top Customers Demand High Quality Carbon Emission Data </p><p>The calculation and reporting of carbon emissions today is a standard, mainstream business process and needs to be treated as such. The majority of Fortune 500 companies now publicly report carbon emissions via their website and registries such as CDP; companies that don't are viewed as laggards. </p><p>Regulators, such as the Securities and Exchange Commission, and investor advocacy groups, such as Ceres, are demanding more accurate data. Meanwhile, emission data submitted to the CDP is widely available to investors through Bloomberg terminals and Google Finance. Financial accounting groups, including the Financial Accounting Standards Board (FASB) and International Accounting Standards Board (IASB), are debating carbon emission disclosure standards and approaches, which will likely become a future requirement. </p><p>Investors are ever more insistent that reported environmental data have the same rigor and processes of reported financial data. Leading companies, including BASF Global and Novo Nordisk, already report with fully integrated financial and non-financial information, both of which are supported by rigorous data, control, and auditing processes. Other companies treat voluntarily reported carbon data with same transparency as financial data. El Paso Corporation, for example, issued a press release to correct an error in its voluntary submission to the CDP. </p><p>Companies are finding their top customers, such as Bank of America, HP, Procter and Gamble, and Walmart, asking for carbon emission data and, in some cases, scoring their processes against competing suppliers. </p><p>Large companies simply cannot afford the brand and image risk of incorrectly reported emission data to these important stakeholders. </p><p>7 Major Problems with Spreadsheets </p><p>Spreadsheets allow a single user to enter, manipulate, analyze and visually represent numerical data with great flexibility. It can also be easily distributed via e-mail or a network-accessible location. Without a content management system to coordinate and track changes from multiple sources, however, spreadsheets quickly becomes unwieldy and error-prone. </p><p>Problems are compounded when a spreadsheet becomes so complex that only the original author can make required fixes and improvements. This leads to the “spreadsheet guru” -- the irreplaceable employee who is the only person in the company who understands the 15MB spreadsheet. </p><p>As carbon data collection and reporting needs increase, spreadsheet disadvantages become more acute and lead to additional labor costs and frustration when coordinating changes and updates. The major problems of spreadsheets include: </p><p>• Lack of proper documentation and audit trails <br />• Propensity for errors, especially without proper cell protection and lack of validation and <br />testing of spreadsheet formula and macros <br />• Difficulties in reconciling year-to-year data sets <br />• Poor tools for creating and enforcing data ownership, including global standards for asset <br />types and energy usage <br />• Inability to generating real-time reports and read-only views across the organization <br />• Difficulties obtaining ad-hoc reports and analysis for numerous internal and external <br />stakeholders <br />• Difficulties in managing and sharing large files </p><p>These problems are compounded by sporadic backup processes and high training cost if or when the spreadsheet guru leaves. </p><p>Moreover, spreadsheets hamper sustainability team effectiveness. Sustainability team members with responsibility for the carbon emissions file spend an inordinate amount of time managing this spreadsheet. These activities include gathering, correcting and inputting data, reconciling current emissions with emissions from previous years and baseline calculations, and creating custom reports by country, division, product line or customer. </p><p>Team members should focus on communicating and educating stakeholders about sustainability plans and identifying reduction efforts, not draining time as spreadsheet monkeys. </p><p>To reduce risk when using spreadsheets, firms must spend more money on labor, either with its employees or outside consultants. The good news is that this does not need to be the case. </p><p>Numerous Cost-Effective Software Solutions Are in the Market </p><p>The market for carbon management or ECA software has been emerging during the past few years. Our research shows that more than 75 companies now offer a solution, including a handful of leaders. Many of these solutions more than adequately meet customer needs and are cost effective. </p><p>Sustainability teams need to educate the CFO and CIO about the importance of good carbon management processes and tools, and to develop budget requests for software investment during the upcoming fall budget season. </p><p>This summer, too many hours were spent on managing spreadsheets for CSR and CDP reports for this important, and now mainstream, business process. Better solutions now exist. </p><p>By Paul Baier <br />Published July 29, 2010 </p><p>Read more: <a href="http://www.greenbiz.com/blog/2010/07/29/its-time-give-spreadsheets-tracking-carbon-emissions">http://www.greenbiz.com/blog/2010/07/29/its-time-give-spreadsheets-tracking-carbon-emissions</a></p> Tue, 24 Aug 2010 17:14:04 +1200 http://www.energyprosolutions.com/tracking-carbon-emissions/ http://www.energyprosolutions.com/energy-efficiency-becomes-priority-for-businesses/ <p>11/08/10 By Claire West <br />BUSINESS owners are pushing energy efficiency higher up their agenda when choosing potential new premises, in a bid to cut costs. </p><p>According to reports published by the Department of Energy and Climate Change, energy bills for businesses could rise by 26 per cent in the next decade as a result of the Government's comprehensive plan to cut greenhouse gases. This is leading companies to pay closer attention to the energy performance of their offices. </p><p>Business owners looking to relocate will benefit from the energy efficiency information made available this December when it is expected all commercial properties will be obliged to carry an Energy Performance Certificate (EPC) graph. </p><p>Marc Blomfield, managing director of The National EPC Company, the UKs leading provider of commercial property EPCs, believes in a saturated market, energy efficient properties will become the most desirable options. </p><p>Marc said: "The capital value of the exposed inefficient buildings will fall considerably once all commercial properties are obliged to carry an energy efficiency rating on their sales particulars. </p><p>"Badly built offices have been costing British businesses millions of pounds each year. It's essential that this ailing office stock is improved. If bills are rising, efficiency needs to be made a priority. Making offices sustainable will help companies in the battle against the energy price hike." </p><p>The second cast of the Energy Performance of Buildings Directive (EPBD) is currently undergoing consultation. One of the likely proposals is that all marketing materials and adverts for both residential and commercial properties will need to include the EPC graph by December this year. </p><p>Mr Blomfield added: "No business owner is going to want to fork out more money than they have to just because they don't have an efficient building. At the same time, landlords and sellers must be aware that EPCs are their responsibility and not the agent's." </p><p>For more information on EPCs go to <a href="http://www.nepcco.co.uk/">www.nepcco.co.uk</a></p> Sun, 15 Aug 2010 18:17:10 +1200 http://www.energyprosolutions.com/energy-efficiency-becomes-priority-for-businesses/ http://www.energyprosolutions.com/uk-to-strengthen-environmental-reporting-rules/ <p>Written by Oliver Wagg 08 July 2010 <br />UK companies may have to report their carbon emissions in annual reports from as early as next year, according to Trucost. </p><p>Citing a government policy paper, Trucost said under the UK Climate Change Act 2008 the government must introduce mandatory greenhouse gas reporting regulations by April 2012 or explain why it hasn't done so. </p><p>"Carbon disclosure by the UK's largest companies would act as a significant driver of emissions reduction and create a competitive advantage in the corporate sector by establishing a level playing field, allowing consumers and investors to make meaningful comparisons," the green paper says. </p><p>Trucost said companies could also see stricter rules for wider environmental reporting in annual reports - the coalition government plans to consult this summer on proposals to reinstate a requirement for large firms to produce an Operating and Financial Review. </p><p>The previous government dropped plans to make publication of an OFR mandatory. Since then, the Accounting Standards Board has issued a Reporting Statement of best practice on the OFR, recommending disclosure of water and energy use, waste and climate change, including greenhouse gas emissions. </p><p>Source: Ethical Investor Newsletter, 9th July 2010. <br /><a href="http://www.ethicalinvestor.com.au/index.php?option=com_content&task=view&id=3752&Itemid=402">Read more >></a></p> Tue, 03 Aug 2010 18:46:40 +1200 http://www.energyprosolutions.com/uk-to-strengthen-environmental-reporting-rules/ http://www.energyprosolutions.com/new-zealand-government-releases-strategies-for-energy-efficiency/ <p>The Government has launched its new drafts for energy efficiency and conservation strategies. According to Energy Minister Gerry Brownlee, the strategies are restructured in order to make them in line with the new policy preferences by the Government. These new strategies will also aim for a better economy of the country.</p><p>There are three new strategic drafts known as New Zealand Energy Strategy and New Zealand Energy Efficiency and Conservation Strategy. New Zealand Energy strategy will set the guidelines for the energy sector, whereas, NZEECS would be focusing on the encouragement of energy efficiency and its conservation. The new strategies also focus on decreasing the greenhousegas emissions.</p><p><a href="http://topnews.net.nz/content/26472-new-zealand-government-releases-strategies-energy-efficiency">http://topnews.net.nz/content/26472-new-zealand-government-releases-strategies-energy-efficiency</a></p> Wed, 28 Jul 2010 17:35:00 +1200 http://www.energyprosolutions.com/new-zealand-government-releases-strategies-for-energy-efficiency/ http://www.energyprosolutions.com/nz-carbon-market-a-work-in-progress/ <p>By Brian Fallow <br />On July 1 something that has always been free, the right to emit carbon dioxide to the atmosphere, starts to cost money. </p><p>Under the emissions trading scheme, enacted in the Labour Government's dying days in office and substantially watered down by the National Government last year, the meter starts running next month on emissions from the liquid fossil fuels, stationary energy and industrial processes sectors. </p><p>From large corporates to small horticulturists and farm foresters, people have had to get their heads around the arcane world of carbon trading. </p><p>The demand side of the market consists of a small number of large companies which are "points of obligation". </p><p>They will have to surrender, to the Government, emission units to cover the CO2 emissions from the fossil fuels they sell (in the case of the oil companies) or burn (in the case of electricity generators with plants fired by gas or coal) or which arise from the chemistry of their manufacturing operations (for the likes of cement, steel or aluminium producers). </p><p>But only for every other tonne emitted. One of the ways the Government moderated Labour's scheme was to introduce a half obligation as a transitional measure until the end of 2012. The taxpayer will pick up the bill for the other half. </p><p>And in fact they don't have to buy any units. They have the option of simply paying the Government $25 a tonne instead, in effect paying a carbon tax. That puts a cap on the price. </p><p>In recent months what trading there has been has tended to be in the range of $17 to $19 a tonne. </p><p>Companies with large fuel bills can opt to become points of obligation, managing their own carbon price risk rather than paying a carbon-inclusive price for their fuel. Air New Zealand has opted to do this. </p><p>Officials estimate that the demand for units over the next 2 years (that is, until the end of the Kyoto Protocol's first, and so far only, commitment period) will be 47 million tonnes. </p><p>Just over a third of that will come from the oil companies, and the rest from the smokestack sector - generators and large industrial emitters. </p><p>The supply side of the market, by contrast, mainly consists of a large number of small players who receive units called NZUs from the Government. </p><p>The great majority will be forest owners, predominantly the owners of "Kyoto" forests - those planted after 1989 on land not previously forested. </p><p>The devolution of units to these foresters recognises that their trees, while they grow, absorb CO2 from the atmosphere and so provide an offset to emissions elsewhere. The units are allocated annually. </p><p>The flipside is that when the trees are harvested most of that carbon is deemed to be emitted then and there, so those receiving units also accept a liability for the corresponding emissions upon harvest. </p><p>A lot of uncertainty surrounds how many NZUs will be available from this source: how many Kyoto foresters will opt in and register for units? </p><p>How many of them will sell and how many will put them in the bottom drawer? And of those who want to sell, how many will sell to foreign Governments with Kyoto obligations rather than domestic emitters? </p><p>The Government is working on the assumption that two-thirds of Kyoto foresters will opt into the scheme. If so, and together with 16.9 million units to be allocated to the owners of pre-1990 forests, that would represent a potential supply of 76.1 million units - more than enough to meet local demand. </p><p>Roger Dickie of the Kyoto Forestry Association believes most Kyoto foresters intend to opt in. </p><p>"But they realise they have got time. A lot of them have been thinking that the price is relatively low at the moment so there's no panic," he said. </p><p>"But the sceptics are having such a run in New Zealand at the moment that there is probably a percentage of Kyoto forest owners who think they had better get in quick and sell in case [the market] disappears. Just what percentage it would be hard to say, but we have definitely had some investors who sold on that basis." </p><p>The Ministry of Agriculture and Forestry reports that it processed more than 300 emission returns from foresters in this year's annual round and transferred 4.4 million NZUs to foresters. </p><p>Just over 1 million units have been converted to the form which can be sold offshore. The Norwegian Government is understood to have been a buyer. </p><p>Climate Change Minister Nick Smith said it would take some time to see how the market developed. </p><p>"But my expectation is that the bulk of the obligations will be met domestically by buying units off New Zealand foresters. I do sense a degree of caution among smaller foresters, of wanting to register and have the units allocated but to then take a watch-and-see approach." </p><p>Those on the buy side of the market do not have to surrender units to the Government until May next year. </p><p>"I think it is going to take at least a year for the market to settle down," Smith said. </p><p>A second source of supply is units allocated to compensate trade-exposed firms, which have to compete in either export or local markets with foreign competitors who do not face a cost of carbon. </p><p>Officials estimate 11.7 million units will be allocated over the next 2 years under this element of the scheme. </p><p>It is done on an "intensity" basis in two tiers. </p><p>Trade-exposed firms whose activities (including the combustion of fuel) involve emissions of 1600 tonnes of CO2 per $1 million of revenue are eligible for free units to cover 90 per cent of those emissions - as compensation in kind. If they are above 800 tonnes but below 1600 they get compensated for 60 per cent. </p><p>In practice, given the half obligation and the $25 price cap, it means that a trade-exposed firm whose carbon costs exceed 1 per cent of its revenue will get 60 per cent compensation and those exceeding 2 per cent will get 90 per cent. </p><p>"I have yet to have an example from the business community of someone who is significantly affected by the ETS who is not going to receive support," Smith said. </p><p>When the policy was announced the Government expected only about 65 firms would qualify for a free allocation under the trade-exposed provisions. </p><p>It now appears hundreds will, the ranks swollen in particular by horticultural firms with heated greenhouses. </p><p>This is not, however, expected to materially increase the number of units allocated. The horticulture sector as a whole is only expected to qualify for around 90,000 tonnes. </p><p>With large numbers of people wanting to sell relatively small quantities of units, the role of aggregators who assemble small parcels into large ones is key. </p><p>Commodity broker OM Financial is active in that space. Its carbon expert, Nigel Brunel, said: "We don't take principal positions. We are brokers. Emitters will come and say 'Nigel, we need 50,000 tonnes.' We then go out and find that for them." </p><p>OM Financial has a website providing price information. </p><p>Westpac has also recently entered the aggregation market. With the balance sheet of a large bank it is able to act as a market maker, buying and selling on its own account. </p><p>Smith expects other banks to follow suit but acknowledges a degree of political uncertainty may have led the banks to hold back on investment in this area. </p><p>He said that had turned around since the Government made it clear in late April it would not follow the Australian Government's decision to shelve its scheme. </p><p>A third potential source of supply to the New Zealand market is units traded in the international Kyoto market. </p><p>In particular there are units called CERs which are issued by a United Nations body to emissions-reducing projects in developing countries that meet certain criteria. </p><p>That scheme is beset by problems, however, and the World Bank estimates it now takes more than three years for the average project to make its way through he process and be issued its first CERs. </p><p>The New Zealand carbon market remains a work in progress. It is a purely over-the-counter market with no exchange and only a handful of intermediaries. </p><p>The mechanisms of the market would need to develop significantly to enable it to operate efficiently, Smith said. </p><p>"I see the ETS as an incredibly challenging reform. I have been pleasantly surprised how smoothly the implementation has been going to date. It is inevitable there will be a few blips. But there have been far more challenges on the political management side than in getting the mechanics of the scheme operable."</p> Mon, 28 Jun 2010 07:19:29 +1200 http://www.energyprosolutions.com/nz-carbon-market-a-work-in-progress/ http://www.energyprosolutions.com/emissions-scheme-could-cost-nz-up-to-5b/ <p>By John Armstrong <br />New Zealand's failure to cut greenhouse gas emissions has left taxpayers staring down the barrel of a Kyoto Protocol liability of at least $1 billion and possibly more than $5 billion, according to a book analysing National's emissions trading system. </p><p>The authors of The Carbon Challenge - Victoria University researcher and economist Geoff Bertram and climate-change analyst and researcher Simon Terry - also describe the Government's current ETS as "technically obsolete" and "beyond rescue" as a sustainable framework for tackling climate change. </p><p>They say the scheme will not make any inroads into cutting New Zealand's gross emissions levels. </p><p>On top of that, the ETS was so unfair in the way it distributed benefits to high emitters with political influence, while placing a regressive quasi-tax burden on households, that there was a risk it could undermine the public's willingness to support a stronger regime in the future. </p><p>Such was the scale of subsidies that only one in every five dollars charged under the ETS would become available to the Government to pay off the Kyoto liability. Households already bore half the total costs resulting from the ETS during its first five years while accounting for just a fifth of all emissions, </p><p>Households, small to medium industry, commerce and services and transport operators would pay 90 per cent of the costs resulting from the ETS during the first five years while being responsible for only 30 per cent of total emissions. </p><p>The book says New Zealand can expect countries importing its products to become aware of the "hollowness" of the current ETS, thereby upping the pressure for a complete rethink of that policy "from the ground up". </p><p>Otherwise, New Zealand was likely to face general tariff penalties or targeted imposts on particular goods which had not been fully costed and exposed to emissions charges. </p><p>"If New Zealand producers find themselves excluded from key overseas markets through their failure to meet required standards, the ETS will provide no protection." </p><p>The authors say the bulk of the financial liabilities of several billion dollars arising from New Zealand exceeding its Kyoto Protocol target will fall on future taxpayers, making it a "massive intergenerational transfer of liability". </p><p>"The ETS completely fails as a mechanism to make today's polluters meet today's emissions bill." </p><p>The book says there is complacency in New Zealand that credits for storing carbon in forestry crops will save the country from having to seriously address reductions in greenhouse gas emissions. </p><p>But this year's Budget had broken with the past by flagging the real cost of New Zealand's 22 per cent overshoot of its Kyoto target. Depending on the price of carbon, it said the Kyoto liability could be as much as $5.7 billion. </p><p>That Budget reference officially scotched the myth that the Government did not face any financial effects under the protocol because it could rely on offsetting credits from plantation forests. </p><p>"The credits must be paid back when the trees are harvested in the 2020s." The authors say using these credits to pay the Kyoto bill is like putting it "on the plastic" for the next generation to pay.</p> Tue, 22 Jun 2010 17:46:55 +1200 http://www.energyprosolutions.com/emissions-scheme-could-cost-nz-up-to-5b/ http://www.energyprosolutions.com/emissions-trading-scheme-should-be-delayed/ <p>by Bruce Goldsworthy <br />Next month, on July 1st, our emissions trading scheme (ETS) will ‘put a price on carbon’ so businesses can trade in carbon credits. Energy prices will go up and electricity and gas companies have already sent customers notices to this effect. </p><p>Petrol will go up by 4 cents a litre and power to business and other consumers alike will rise about 1 cent a KWh (on average $5 a month for electricity per household, according to Vector). </p><p>The ETS has already introduced rewards for ‘carbon sink’ business sectors to do things that remove greenhouse gas emissions from the air. These include forest-planting, and foresters are getting credits for this that they can sell or put aside to trade off against the ‘negative’ effects of cutting down their trees to sell for building materials, furniture and so on. </p><p>But according to our surveys of members there’s no business support for New Zealand leading the world with our ETS. </p><p>In response to them we have been asking for its delay, at least until Australia introduces theirs. As it stands, from July 1st large emitters will be expected to take responsibility for their emissions by buying credits from people like foresters, with the hope there will be more trees planted and less emissions. </p><p>By doing this over the longer term the ETS is intended to incentivise New Zealand firms to produce lower carbon products and services, and hopefully these will be profitable, given the growing global appetite for such goods. Implementing our ETS will supposedly help offset our trade disadvantages, including distance, from international markets. These are some of the reasons why both Labour and National Governments agreed to an ETS in the first place. </p><p>Unfortunately, before businesses can invest sufficiently to make such products and capture markets for them, many could find their competitiveness significantly undermined by the ETS, with margins down, jobs lost, and investment capital heading elsewhere. </p><p>Seriously lacking is an assessment of the cost to New Zealand of the transition from our present reliance on producing goods and services that result in carbon emissions to circumstances where we can capitalise on making low carbon goods. </p><p>Meanwhile our situation is very different from Australia’s: Australia has never had an ETS and it has delayed introducing it relatively easily. </p><p>But there are signs that other countries are heading towards putting a price on their carbon emissions. Many governments have signalled their intention to restrain emissions using economic tools. </p><p>Practically all developed, and many developing countries are now associated with the Copenhagen Accord that accepts the need to limit the increase in global temperatures to 2°C, though this not a target as such. The Accord says human activity can reverse the dangerous effects of climate change it caused, and emissions trading will do that. However, no targets for emissions reduction have been agreed. </p><p>While this is encouraging, New Zealand business did not expect to be an ETS leader; rather they expressly sought the role of fast follower, and the fear is they will be losers under the scheme. </p><p>Farmers, high energy users and small businesses will be disadvantaged by higher prices on the domestic and offshore markets and these extra costs will not be borne by our trading competitors. Even our largest company Fonterra will feel the effect to the tune of $38 million or more next year. </p><p>Despite the pleas for a delay the Government has ruled it out. Having come to power on the election promise of improving on Labour’s ETS, the National Government’s mandate is not to ditch or delay the scheme – only to improve it, and they remain confident they’ve done that. But the jury is still out whether the improvements are enough. </p><p>So we want the review of the ETS which was scheduled for next year, to be brought forward to this calendar year. Improving the scheme’s design is essential. </p><p>Problems to fix include the affordability of energy costs, the impact on consumer confidence, its impact on small firms, and insufficient protection for trade-exposed firms. These need to be fixed sooner rather than later. </p><p>In addition, if it is to proceed, business needs to see serious moves to offset its cost on our international competitiveness. </p><p>We need to be alert too, to what’s happening here and overseas regarding related environmental, market and economic issues, and holding the Government to account on its promise to deliver an ETS that’s fit for purpose, one that actually reduces emissions, and that gives us an international advantage, not disadvantage.</p> Thu, 17 Jun 2010 00:18:51 +1200 http://www.energyprosolutions.com/emissions-trading-scheme-should-be-delayed/