Energy Efficiency Opportunities

Transcription

1 Reporting Period: July 2006 to June 2011 Energy Efficiency Opportunities Public Report 2011 Reporting Period July 2006 to June 2011 Energy Efficiency Opportunities - Public Report 2011 Page 1

2 A message from the Managing Director & CEO The Spotless Group is pleased to outline its progress on the Australian Government s Energy Efficiency Opportunities (EEO) Program for the year ending 30 June Local and global energy demand continues to put added pressure on retail energy prices and energy network infrastructure. As a company with operations in over 30 countries, Spotless is also acutely aware of the global push to reduce greenhouse gas emissions. Energy efficiency is a key aspect of Spotless integrated business and investment decisions. Energy efficiency must be a core value of all corporations - it won t be optional, or a program - it must be enduring and habitual. Spotless clients value its ability to extend the group s capability, expertise and resources to assist clients in making their facilities smarter, efficient and safer. The support Spotless provides is good for clients business bottom line and the environment. It is also one of the most cost-effective ways to reduce greenhouse gas emissions, and improve energy security by reducing unnecessary demand on energy infrastructure. In reality, Spotless achieves similar benefits a win-win. This year marks the end of Spotless first five-year period participating in the EEO Program. In that time, the group s business has changed markedly. Spotless looks forward to supporting the process of developing an assessment and reporting schedule aligned to current operations that guides its second program cycle activities. Spotless approach continues to reflect the group s goal of embedding energy efficiency across integrated services in support of client businesses. Spotless commends this report to interested readers and invites your comments. Jo Farnik Managing Director & CEO December 2011 The information included in this report has been reviewed and noted by the board of directors and is to the best of my knowledge, correct and in accordance with the Energy Efficiency Opportunities Act 2006 and Energy Efficiency Opportunities Regulations The report is made available to the Department of resources, energy and tourism and interested stake holders. Page 2 Energy Efficiency Opportunities - Public Report 2011

3 Spotless is more Over 40,000 global staff deliver 30 million service hours per year into industry sectors including health, defence, resources, leisure, sports & entertainment, education, commerce and industry, government and retail Spotless is a fully integrated services company. Specialised services include Managed Services, Food Services, Laundry Services, Cleaning Services and Retailer Services. The Spotless Energy Efficiency Opportunities Assessment and Reporting Schedule (ARS) was endorsed in early 2008, and since that time Spotless has been systematically identifying, assessing and evaluating energy efficiency initiatives within various parts of the business. This year marks the end of Spotless first five-year cycle participating in the Energy Efficiency Opportunities (EEO) Program. In that time, the business has changed markedly. Managed Services provides long term infrastructure planning and facilities management as well as day to day services including facility and grounds maintenance, cleaning and security. Spotless corporate offices support management and administrative staff in better servicing clients. In 2008, when the Spotless ARS was approved, it was based on 2006/07 baseline data. At that time, both Managed Services and Spotless corporate offices were not included in the assessment schedule. In 2010/11, Managed Services and Spotless corporate offices together contributed 28% of total Australian energy use and 40% of Australian greenhouse gases. Therefore, the plan to assess 80% of all energy has been challenging given key contributors to current energy are not included in the original assessment schedule. Spotless is pleased recent amendments to the EEO legislation provide for increased administrative and reporting flexibility. This is important for Spotless where acquisitions and award of significant long-term contracts (i.e. Public Private Partnerships) under its control continues. For the year ended 30 June 2011, Spotless Australian total energy use was 937,061 gigajoules (GJ), a 7.8% increase from the previous financial year. In absolute terms, the increase represents new contract wins including the South Australia Schools Public Private Partnership. Additionally, the Somersby Laundry in New South Wales and Brisbane Composite Laundry Plant in Queensland were both operational during the full year. The group also decided to cease operations at the end of the reporting period at Spotless Marrickville Laundry in New South Wales. Laundry Services comprised 68% of total energy use with key energy sources including natural gas (55%), transport fuel (21%) and electricity (20%). The uncertainty associated with Spotless energy inventory is calculated at ±1.4 per cent. Much of the activity in the past 12 months has been focused on evaluating and implementing energy efficiency initiatives in the laundry division. Spotless has also made significant improvement to the way it collects, analyses and reports energy data. Spotless has continued to develop and refine an effective energy management and reporting system that supports the capture and reporting of innovative actions to reduce the energy intensity of operations (including clients). Spotless has been able to achieve improved levels of data accuracy and reliability. Laundry Services (68%) Corporate Administration (17%) Natural Gas (55%) Transport Fuel (21%) Total 2010/2011 Energy Use by Division (GJ) Managed Services (11%) Food Services (4.1%) Total 2010/2011 Energy Use by Source (GJ) Electricity (20%) Stationary Fuel (4%) Cleaning Services (0.03%) Energy Efficiency Opportunities - Public Report 2011 Page 3

4 Reporting Period: July 2006 to June 2011 Page 4 Energy Efficiency Opportunities - Public Report 2011

5 Murdoch Laundry Western Australia Spotless has been partnering with GT Power Pty Ltd for several months to assess the potential to offset natural gas use with geothermal energy at its commercial laundry site in Murdoch, Western Australia. Ground source heat pumps are used in many areas of the world, but until recently were limited in use in Australia. The units can scale from residential to commercial/industrial applications, however, there is limited knowledge in how these systems can apply and be used optimally under Australian conditions. Two heat pump technologies are currently being researched by Spotless and GT Power. Both have very different capabilities and technologies. The project is seeking to pre-heat laundry water to a temperature of between 36 C and 38 C over the hours of wash operations. It is expected to offset a minimum of 11,000 GJ or 9.4% of natural gas per annum using the ground source heat pump technology. A Western Australian Government Low Emissions Energy Development Fund grant application was made during 2011 to facilitate research and identification of the optimum application for the task and will support the implementation of the preferred system at the laundry site. The outcome will provide an important demonstrator project in Australia for industrial and commercial heating of commercial volumes of water using geothermal energy. At the same time, Murdoch Laundry has been piloting a new Spotless energy and carbon tool. The tool provides a quick, high-level analysis of future energy prices, calculation of the financial benefits of energy efficiency initiatives and the potential cost implication of a carbon price. The Spotless energy and carbon tool considers multiple cost factors including: Capital and ongoing operational costs of the proposed initiative Current and future energy costs (based on documented and forecast retail energy price projections) Expected energy savings A future carbon price By providing a comparison between business-as-usual costs and the potential savings from energy improvement initiatives, the tool clearly demonstrates net present value and how the initiative will save money. Of course there are also other business benefits that require documentation such as improved maintenance and health and safety outcomes. Energy Efficiency Opportunities - Public Report 2011 Page 5

6 Our approach Spotless takes a broad and long-term view of sustainability through informed and balanced decision making processes, minimising the impact of our operations on the environment, supporting local communities, dealing fairly and responsibly with suppliers and valuing its people and customers. Energy efficiency is a key aspect of Spotless integrated business, investment decisions and sustainability agenda. Spotless goal is to ensure energy efficiency is embedded as a core value within the business and becomes enduring and habitual. Environmental sustainability and energy governance and policy related matters are approved by the Managing Director & CEO and Occupational Health Safety and Environment Committee. The Spotless Sustainability Policy commits to establishing objectives and targets and using natural resources more efficiently. The single most important aspect of Spotless approach to energy efficiency is implementing systematic frameworks for energy management and continual improvement. Spotless achieves this through our ISO14001: 2004 Certified Environmental Management System. The process of identifying, assessing and evaluating energy efficiency opportunities is continually being aligned to our environment management system frameworks and has involved external and internal investigation programs. EEO at Spotless Over the past five years, Spotless has been working towards meeting its EEO Assessment and Reporting Schedule commitments. Processes for opportunity identification, assessment, evaluation and decision-making are continually improving. Spotless has worked hard to implement those processes within its large and complex business operations. Spotless key EEO Program successes throughout the past year have included: Achieving independent certification to ISO14001: 2004 Environmental Management Systems for the corporate systems and processes governing environment (including energy) management; Establishing a business-wide energy initiative opportunity tracking system; and Reviewing and revising Spotless EEO documented procedures to provide more rigorous processes. Spotless implements a range of processes for identifying energy efficiency (and other continuous improvement) opportunities, including: Internal audits and system reviews; Toolbox meetings, service delivery improvement teams; Staff/subcontractor engagement (standard operating procedures for innovation and continual improvement which include energy efficiency related improvements). Engagement of external consultants to support opportunity identification and assessment; and Surveying staff through the intranet to provide for opportunity identification. This year marks the end of Spotless first five-year period participating in the EEO Program. In that time, the business has changed markedly. Spotless has embarked on developing a new assessment and reporting schedule aligned to its current operations that will guide the second program cycle activities. The progress of Spotless EEO response and further insight into future strategies are outlined in the next section of this report. Spotless Facility Services Environment Management System (EMS) has recently been independantly certified to the internationally recognised - ISO14001: 2004 Environment Management Systems Standard. Page 6 Energy Efficiency Opportunities - Public Report 2011

7 Summary of assessments As a large services company, the majority of Spotless operations are conducted on client sites, where the client has the responsibility to meet the obligations of the Energy Efficiency Opportunities Program. Summary of energy efficiency initiatives by payback category Notwithstanding, clients value Spotless ability to contribute to their energy efficiency programs through innovation and implementation of facilities maintenance and behaviour-based related initiatives. This means that only a small percentage of Spotless energy footprint is under direct control, including the Laundry Services division, key sites within our Food Services division and the corporate vehicle fleet. These areas of the business form the basis of Spotless exsisting EEO Assessment and Report Schedule. Since the beginning of Spotless EEO Program in 2008, 54% of the current energy footprint has been assessed (refer below). This has increased from the 22% reported for the previous 2009/10 period. As previously discussed, when Spotless assessment schedule was approved both Managed Services and Spotless corporate offices were not included for assessment. Energy Saving (GJ) 80,000 70,000 60,000 50,000 40,000 30,000 20,000 10,000 Payback Period 0 < 2 years 2 4 years > 4 years In 2010/11, these key areas of the business together contributed 28% of total Australian energy use. In addition, new laundry acquisitions during recent years (North Rocks, Somersby and Brisbane Composite Plant) have been added to the portfolio, while Marrickville ceased operations in Therefore, the plan to assess 80% of all energy has been challenging given key contributors to current energy were never included in the assessment schedule. When compared to the 2006/07 baseline year, Spotless has in fact assessed 96% of that energy profile for energy efficiency initiatives. 0 Under Investigation To be Implemented Implementation Commenced Implemented Not to be Implemented Spotless Laundry Services continued to be the focus of energy reduction activities during the 2010/11 reporting period. Energy assessment summary Energy Remaining to be Assessed (46%) Energy Assessed (54%) Perth Convention & Exhibition Centre (4%) Southbank Institute of Technology (4%) Laundry Vehicles (6%) Abbotsford Laundry (8%) Murdoch Laundry (14%) Other Laundries (18%) Energy Efficiency Opportunities - Public Report 2011 Page 7

8 Assessments in 2010/11 During the July 2010 June 2011 reporting period, 38 new opportunities were identified for energy efficiency improvements. Nine have already been implemented, four are planned for implementation and the remaining 25 will be further investigated. The progress of these investigations will be reported in the second cycle of our EEO program. Victorian Laundries During the July 2010 June 2011 reporting period, the Victorian laundries progressed a number of initiatives from under investigation to implemented. These included: Insulation of process pipes to reduce heat loss expected 360 GJ saving Program of process pipe leak detection and repair expected 720 GJ saving Washwater temperature reductions from 80 C to 60 C as a result of optimising wash processes expected 1201 GJ saving Spotless Environmental Management System (EMS) Now Independently Certified Spotless corporate Environment Management System (EMS) has recently been independently certified to the international standard ISO14001: 2004 Environmental Management Systems. Effective and systematic management and control of environmental factors including energy Efficient, flexible and saves money Independent evidence Spotless is serious about minimising its impact on the environment Spotless EMS is a series of processes, procedures, plans and supporting tools that are available to site and contract managers to implement on a day to day basis. It provides a structured approach to managing potential impacts of our activities, products and services on the environment. Spotless adopts a systematic approach, consist with the EMS, for the assessment for energy efficiency initiatives. The registration covers the head office in Melbourne and those processes employed in the management of the following integrated services: Managed Services, Cleaning Services, Laundry Services, Food Services and Corporate Management and Administration. It excludes Retailer Services (Braiform). For further Information regarding this Spotless Report or any matter concerning Environmental Sustainability,contact: Sean Silvey General Manager Safety and Sustainability Telephone: +61 (0) sean.silvey@spotless.com.au Page 8 Energy Efficiency Opportunities - Public Report 2011

9 Energy use assessment Energy use assessed Business unit and/or key activity Assessment Period 2010/2011 Total Energy Use (GJ) 1 Vehicle fleet (key activity) January June ,063 Laundry Division - Abbotsford - Northcote - Brisbane Composite - Darwin - Murdoch - Geelong - Fyshwick - Somersby - Punchbowl - Dudley Park Food Services - Perth Convention & Exhibition Centre Managed Services - Southbank Institute of Technology January June ,335 January June ,111 October June ,769 Total energy assessed 504,260 Total energy use of the group 937,061 Total energy assessed expressed as a percentage of total current energy use 54% Notes: Total energy use data has an accuracy of ±1.4% Energy Efficiency Opportunities - Public Report 2011 Page 9

10 EEO Assessment outcomes for 2010/11 Opportunities assessed to an accuracy of ±30% or better Status of opportunities identified Number of opportunities Estimated energy savings per annum by payback period (GJ) 0 < 2 years 2 4 years > 4 years Total estimated energy savings per annum (GJ) Outcomes of assessment Business Response Total Identified 38 51,565 (13) 7,637 (14) 27,210 (11) 86,412 Under Investigation 25 37,482 (8) 7,237 (12) 23,852 (5) 68,571 To be Implemented 4 11,467 (2) nil 2,622 (2) 14,089 Implementation Commenced nil nil nil nil nil Implemented 9 2,616 (3) 400 (2) 735 (4) 3,751 Not to be Implemented nil nil nil nil nil 1. () refers to the absolute number of energy efficiency opportunities Page 10 Energy Efficiency Opportunities - Public Report 2011

11 Update of assessments originally reported in previous reporting periods Opportunities assessed to an accuracy of ±30% or better Status of opportunities identified Number of opportunities Estimated energy savings per annum by payback period (GJ) 0 < 2 years 2 4 years > 4 years Total estimated energy savings per annum (GJ) Outcomes of assessment Business Response Total Identified 23 35,064 (16) 3324 (3) 917 (4) 39,306 Under Investigation 4 4,189 (3) 2,838 (1) nil 7,027 To be Implemented nil nil nil nil nil Implementation Commenced nil nil nil nil nil Implemented 14 29,219 (11) 487 (2) 187 (1) 29,893 Not to be Implemented (2) nil 730 (3) 2,386 Energy Efficiency Opportunities - Public Report 2011 Page 11

12 Reporting Period: July 2006 to June Page 12 Energy Efficiency Opportunities - Public Report 2011