The Berlin Waste Management and City Cleaning Company (BSR) Strategy and Sustainability
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1 The Berlin Waste Management and City Cleaning Company (BSR) Strategy and Sustainability Federal Ministry of Labour and Social Affairs (BMAS), Italian CSR study visit to Berlin, February 19 th 2014 Michael Resch
2 Sustainability in the EU EU Sustainable Development Strategy focus on: Climate change and clean energy Sustainable transport Sustainable consumption & production Conservation and management of natural resources Public Health Social inclusion, demography and migration Global poverty and sustainable development challenges The European Commission's definition of Corporate Social Responsibility (CSR) is: "A concept whereby companies integrate social and environmental concerns in their business operations and in their interaction with their stakeholders on a voluntary basis. 2
3 Sustainable Development stands for meeting the needs of present generations without jeopardizing the ability of futures generations to meet their own needs. offers a vision of progress that integrates immediate and longer-term objectives, local and global action, and regards social, economic and environmental issues as inseparable and interdependent components of human progress. will not be brought about by policies only: it must be taken up by society at large as a principle guiding the many choices each citizen makes every day, as well as the big political and economic decisions that have. requires profound changes in thinking, in economic and social structures and in consumption and production patterns. Local Authorities and (their) Public Infrastructure Companies (can) go ahead! 3
4 Infrastructure and Sustainability Infrastructure companies are large consumers of the environment and big users of energy. Some produce energy e.g. waste to energy. If they act responsible they have large effect on their environmental impacts and can e.g. reduce their carbon footprint. In many cases infrastructure companies belong to the government of their region or are at least influenced by government s contracting policies. Public procurement can and should! - influence the development towards sustainability by integrating ecological criteria into their acceptance of tender. 4
5 Sustainability means in the social field: Investments in health and employability Instruments for Work Life Balance Integration of disabled employees Investment in training Team building, Client orientation, efficiency Instruments to deal with the demographic change 5
6 Sustainability means in the field of ecology: Efficient Waste Management Energy Efficiency Engineering of building services Usage of renewable energy Low-emission vehicles Ecological Accounting, new parameters! 6
7 Sustainability is well-anchored in the fundamental pillars of our strategy The City of Berlin is intrusting us furtheron with the sole responsibility to the collection, treatment and disposal of waste as well as street cleaning and winter road maintenance Guaranteeing low charges and rate stability Development and Improvement of the environmental profile Guaranteeing high quality of performance Meeting the standards of social responsibility for all employees and the State of Berlin 7
8 The fundamental pillars of our strategy The City of Berlin is intrusting us furtheron with the sole responsibility to the collection, treatment and disposal of waste as well as street cleaning and winter road maintenance Guaranteeing low charges and rate stability Development and Improvement of the environmental profile Guaranteeing high quality of performance Meeting the standards of social responsibility for all employees and the State of Berlin 8
9 Type of Company and Mandate of the BSR BSR is 100% owned by the State of Berlin and as a public legal entity it is organized like a public limited company (management board, supervisory board) since BSR is commissioned to perform sovereign tasks of the State of Berlin. Refuse collection (residual waste, organic waste) and waste treatment (incineration plants, mechanical physical stabilisation plants) Street cleaning, snow removal and gritting BSR is financed though fees when fulfilling the responsibilities of public administration. In this case the generation of profits is strictly ruled out. Fees are calculated according to the principles of cost coverage Fee payers are directly benefitting from decreasing costs as their fees are reduced. BSR is allowed to also operate commercially (though subsidiaries), which in the broader sense is also part of their range of tasks. 9
10 (Partly owned) Subisidiaries Berlin Recycling GmbH (100% BSR) gbav GmbH (51% BSR) BRAL GmbH (50% BSR) Collection and transport of paper, cardboard, glass and mixed urban waste from private households and trade Recycling of waste and recyclables Processing of hazardous waste 2012 Revenue: EUR 39.6 m 258 employees Treatment of street waste, building waste and contaminated soil Cleaning of mineral waste Waste disposal management and project support 2012 Revenue: EUR 12.0 m 21 employees Recycling of old refrigeration units and electronic scrap Collection and disposal of catering and food waste Coordination of organic waste recycling by BSR 2012 Revenue: EUR 10.5 m 47 employees 10
11 In July 2000 BSR and the State of Berlin concluded a Target Agreement Citizens as well as the Employees had great Benefits Berlin Citizens: Lowering of charges for cleaning and waste management by 10% until 2003 Future guarantee of low charges and rate stability Guarantee of a high quality of service; enhancement of customer focus Employees: Assurance of labour agreement, no termination of employment for operational reasons; applicable to all employees of BSR who were employees before Oct, Safeguarding the tasks of BSR and thus jobs in the long term State of Berlin (Owner): Contribution to the consolidation of the budget through a one-off payment to the State of Berlin amounting to approx. 412 Mio. Safeguarding the future through enhancement of efficiency and thus the competitive capacity The State of Berlin continues ownership 11
12 During the last Years, BSR has undergone a successful Transformation Process 1992 Fusion of the two city cleaning services of East and West Berlin Efficiency Enhancement Programmes I-IV (3 years each) Total cost reduction: approx. 180 Mio. Total reduction of human resources: approx. 2,750 full-time positions Transformation of the legal organisational form from owneroperated municipal enterprise to a public legal entity 2000 Conclusion of Target Agreement between BSR and the State of Berlin i.a. a one-off payment to the State of Berlin amounting to approx. EUR 412 Mio Strategy Update 12
13 Turnover in m Euro Revenue and Employee Growth BSR Number of Emplyees Sales Revenue (BSR) Full-time employees (BSR) *TASI/AbfAblV coming into effect from 1 June 05 13
14 The fundamental pillars of our strategy The City of Berlin is intrusting us furtheron with the sole responsibility to the collection, treatment and disposal of waste as well as street cleaning and winter road maintenance Guaranteeing low charges and rate stability Development and Improvement of the environmental profile Guaranteeing high quality of performance Meeting the standards of social responsibility for all employees and the State of Berlin 14
15 Costs for Waste Collection vs. Service Charges of an Appartement with 70 m 2 in Berlin sonstige "warme" Betriebskosten 2011 Warmwasser Heizung sonstige "kalte" Betriebskosten Antenne / Kabelanschluss Sach- und Haftpflichtversicherung Schornsteinreinigung Beleuchtung (Allgemeinstrom) Gartenpflege Schneebeseitigung Gebäudereinigung/Ungezieferbeseitigung Hausmeister / Hauswart Aufzug Niederschlagswasser Entwässerung Wasserversorgung Grundsteuer Straßenreinigung Müllbeseitigung 2003 Berlin Household pay approx. 113 on average per year for the collection and treatment of Municipal Solid Waste. The annual service charges added to the rent amount approx Waste Management Fees represent approx. 5% of these costs. 1) Quelle: Berliner Betriebskostenübersicht für die Jahre 2003 und 2011 der Senatsverwaltung für Stadtentwicklung 2) die kalten Betriebskosten betrugen in ,43, die warmen 1,09 /m 2. Der Wert in Klammern ergibt sich aus der Summierung der Einzelpositionen der abgebildeten Tabelle. In der Praxis fallen allerdings nicht immer alle Betriebskostenarten an. 15
16 Financing Waste Management (and Street Cleaning) Costs may be either paid from the general municipal budget or are passed on to the citizens through a local waste tax or through user charges for waste management services Only a few countries (Austria, Germany, Poland) do not levy general taxes or waste resp. Street cleaning taxes. Within Germany some cities demand fees that consist of one part that depends on the size and collection / emptying frequency of a bin that is complemented by a basis charge per household, per person or per kilogramm. 16
17 The Comparison between the largest German Cities, Berlin is ranking at the Top 17
18 The fundamental pillars of our strategy The City of Berlin is intrusting us furtheron with the sole responsibility to the collection, treatment and disposal of waste as well as street cleaning and winter road maintenance Guaranteeing low charges and rate stability Development and Improvement of the environmental profile Guaranteeing high quality of performance Meeting the standards of social responsibility for all employees and the State of Berlin 18
19 Performance Data of Refuse Collection ~ 1,510 employees and ~ 400 vehicles Collection of household and commercial waste (approx million collections per annum, from approx. 341,000 waste containers) Collection of recyclables (approx. 0.7 million emptyings of about 40,000 waste containers) Collection of organic waste (approx. 3.2 million collections per annum, from approx. 83,000 waste containers) 15 recycling depots taking on approx. 20 types of recycling materials and approx. 30 pollutants Collection of approx. 10,850 tons of bulky waste Other, e.g. 350,000 collected and recycled Christmas trees 19
20 Citizens are provided with city-specific and widely differenciated collection systems grey bins for MSW sizes: 60, 80, 90, 120, , 500, 550, 660, 770, l brown or green bins for biological / organic waste sizes 60, 80, 120, 240 and l blue bins for paper or cardboard sizes 240 l or l) yellow bins or sacs for lightweight packaging (metals, plastics, paper, composites such as milk or juice cartons, plastic bottles or cans) 20
21 Bulky Waste Collection by BSR: You clean up - we collect Household clearances (with well-swept service on request) Full service free of charge Express service; collection within 24 hours Disassembly service ~ 61,200 customer contacts p.a. ~ 10,850 tons of bulky waste p.a. ~ 223,000 m 3 collection volume p.a. Combined tour with collection of scrap electronics from 01/2011 only in combination with the collection of bulky waste Neighbourhood furniture swap parties Collection tour at housing associations incl. of scrap electronics 21
22 15 Recycling Centres across the whole of Berlin with 6 Collection Points for Pollutants Recycling-Centre with Collection Point for Pollutants 22
23 BSR provides 15 Recycling Centres in Berlin for the separate Collection of recyclable Materials ~ 2.2 million visits by clients... ~ 138,000 tons total volume of waste ~ 600,000 leaf bags (sold) Type of Waste Quantity scrap tyres 437 scrap carpets 2,224 scrap textiles 2,642 tree and shrub brashings 1,361 electronic scrap 13,568 tiles and ceramics 2,042 glass 1,467 wood 52,226 lightweight packaging 1,029 leaf disposal bags 9,774 paper 10,609 residual waste 2,162 pollutants 2,769 scrap metal 7,988 bulky waste 26,830 total 137,128 [all figures in tons] 23
24 Separate Collection of recyclable Material could be increased significantly in Berlin over the past Years Recyclable waste that is collected separately Street cleaning waste Commercial Waste Bulky Waste from households Household waste and waste from small business
25 City Cleaning: Seasonal Challenges Spring Summer Winter Autumn 25
26 Guaranteeing Cleanliness through state-of-the-art Technology - Performance Data of Cleaning Dept. ~ 2,124 employees and ~ 820 vehicles - Cleaning of streets and pavements (approx. 1.5 million kilometres) approx. 5.7 million waste basket collections approx. approx. 209,000 gully clean-ups Collection of approx. approx. 102,000 m 3 leaves Removal of illegal debris ( convoy of container trucks with a length of more than 7 kilometres / 4.3 miles) Snow removal and gritting ( more than 18,000 crossroads, the length of roads covered matches the distance of 5 times Berlin - Moscow, GPS navigation and data recording) 26
27 Vehicle Fleet - Performance Data ~ 242 workers, ~ 80 employees, ~ 1,623 vehicles Vehicles Refuse collection vehicles Organic waste collection vehicles (Large, middle and small) Road sweepers Suction excavators Street washers Rubbish collection vehicles Unimogs (with leaf suction mechanism) ~ 274,000 maintenance hours p.a. 2 main maintenance workshops Marzahn, Nordring 5 Tempelhof, Ringbahnstraße workshops located at the regional centres 27
28 The fundamental pillars of our strategy The City of Berlin is intrusting us furtheron with the sole responsibility to the collection, treatment and disposal of waste as well as street cleaning and winter road maintenance Guaranteeing low charges and rate stability Development and Improvement of the environmental profile Guaranteeing high quality of performance Meeting the standards of social responsibility for all employees and the State of Berlin 28
29 Utilisation of energy contained in the waste in the treatment plants of BSR (2012) Waste-to-Energy-Plant Ruhleben 3 landfills with cogeneration plants 2 mechanical physical stabilisation plants Treatment plant for scrap wood and bulky waste Production of Steam: Recovering of Landfill gas: Substitution of fuel: Substitution of fuel: ~ 1.1 Mio. tons p.a. ~ 40 Mio. m 3 /a ~ 160,000 tons p.a. ~ 50,000 tons p.a. ~ 188 GW hours of power ~ 534 GW hours district heating ~ 77 GW hours of power ~ 43 GW hours district heating ~ 635 GW hours of energy ~ 115 GW hours of energy covers the energy requirement of ~ 100,000 households and the district heating requirement of ~ 34,000 households 29
30 Energetic optimisation of Waste Incineration Plant Ruhleben Start-up of a new, highly efficient incineration line Energy efficiency of 85% and a recycling status compliant with the European Waste Substances Directive 30
31 Ecological orientation of the BSR Car pool Vehicles are low-emission We use 100 garbage trucks with CNG today, from next year on we will use our own bio gas for the whole fleet of 150 trucks that we produce from bio waste We just now test the world s first garbage truck with fuel cell (hydrogen) (with Daimler) Test a hybrid garbage truck (electro/diesel) Change-over to e-mobility with the first passenger cars 31
32 Biofuel a sustainable alternative? At first glance: The CO 2 released into the atmosphere when biodiesel is burned, is recycled by growing plants, which are later processed into fuel. A study by the US Department of Energy and the US Department of Agriculture concluded biodiesel reduces net CO 2 emissions by 78 percent compared to petroleum diesel. This is due to biodiesel s closed carbon cycle. But: If energy plants are being grown on a former forest, rain forest or swamp, emissions are higher when you look at the whole process. For instance palm oil: This fuel is 2,5 times more harmful to the climate than diesel from mineral oil if rainforest has been cleared for those palm trees (Öko-Institut, Freiburg). But if they grow on former grassland the climate balance is much better. A similar analysis is possible for other plants used for fuel production like sugarcane. 32
33 New Bio Fermentation Plant Organic Waste Fuelling own Vehicle Fleet Organic Waste Collection Plants and agricultural products Compost Insertion Feeding into Gas Grid Biogas Preparation of Organic Waste Supply to Gardening and Landscaping Companies Preparation of Digestate Preparation of Biogas Fermentation Input: Biogas production: Substitution of Diesel: Sustainability Award in 2012: t/a organic waste approx. 32,000 MWh/a 2.5 million litres/a BSR finished 3 rd. in the German Sustainability Award 33
34 Concept of Organic Waste Fermentation 34
35 Energy-efficient Buildings Use of solar energy More than m² collectors installed, CO 2 reduction of 150 Mg/a Modern heating systems / thermal shielding at 44 locations CO 2 reduction of Mg per year 35
36 The five Pillars of the BSR Energy Strategy 36
37 Selected Examples for practical Implementation Real Estate Processes Traffic Efficient use of the area Use of innovative building systems Red. of energy consumption & incr. energy efficiency Expansion of the energy production Optimise route planning Use of innovative propulsion technology Plants Energy-optimised plant portfolio Expansion of the energy production activities Renewable Energy Expansion of renewable energies Concentration & expansion of commercial exploitation 37
38 Further Expansion of Renewable Energies Expansion of photovoltaic plants in Berlin Entering the world of wind energy plants Transformation of redevelopment sites (e.g. landfills) into energy centres (photovoltaics, wind energy and biogas) Utilisation of waste heat of technical facilities for power generation Expansion of carbon neutral concepts for heat supply, e.g. through the use of bio mass Expansion of renewable energies for the use in buildings/building sector 38
39 Reduction of CO 2 emissions by BSR Mg per year Emissions could be reduced by 70% since Following actions were taken: Improvement of Energy Efficiency Intensified Usage of dump gas Engineering of building services Usage of renewable energy Purchase of Low-emission vehicles 39
40 The fundamental pillars of our strategy The City of Berlin is intrusting us furtheron with the sole responsibility to the collection, treatment and disposal of waste as well as street cleaning and winter road maintenance Guaranteeing low charges and rate stability Development and Improvement of the environmental profile Guaranteeing high quality of performance Meeting the standards of social responsibility for all employees and the State of Berlin 40
41 BSR s Social Responsibility Social incentive activities / projects for orientation and preparation for traineeship e.g. for young people with migration background or with learning difficulties Further training and continuing education (~9,150 qualification days, approx. 1,300 internal and external seminars Supporting the children and youth work of sports clubs and organizations (e.g. Hertha BSC, BFV, 1. FC Union, Füchse) Health and social counselling, prevention, occupational safety (~900 vaccinations, ~1.200 medical examinations, health counseling, psychosocial support and addiction aid, company-facilitated sports activities, ~ 250 work safety instructions) Supporting charitable organisations for children and adolescents ( Berliner Tafel, public recreation center Wuhlheide, Rote Nasen, Stiftung Naturschutz ) Traineeships in industrial engineering, in the commercial sector and academic degree courses,each year ~60 traineeships and 10 dual degree training positions Employment of staff with disabilities (~ 740 employees -approx. 14,5%- are disabled resp. not able to fulfill the requested performance standards in waste collection and street cleaning Integration Award 2012) 41
42 Sustainability is well-anchored in the fundamental pillars of our strategy The City of Berlin is intrusting us furtheron with the sole responsibility to the collection, treatment and disposal of waste as well as street cleaning and winter road maintenance Guaranteeing low charges and rate stability Development and Improvement of the environmental profile Guaranteeing high quality of performance Meeting the standards of social responsibility for all employees and the State of Berlin 42
43 43
44 Si prende cura della citta! Puliamo la Citta per Voi! 44
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