Fenland District Council Carbon Management Plan
AGENDA ITEM NO. 8 CABINET Date
23 APRIL 2009
Title
KEEN TO BE GREEN – CARBON MANGEMENT PROGRAMME
1. PURPOSE/SUMMARY To consider the development of a 5 year Carbon Management Plan for the Council with an emphasis on saving energy and delivering efficiencies.
2. KEY ISSUES •
For the last 9 months the Council in partnership with Huntingdonshire DC has had free support from the Carbon Trust to audit our use of resources, ie electricity.
• From this we have identified an aspirational target of 30% carbon dioxide reduction over 5 years. •
In order to achieve this we have quantified a series of projects with short payback periods that will enable the Council to make energy and efficiency savings.
•
If the Council continues to use energy as it does now by 2012 it will have spent £5,716,599 on energy. However, through investment to save initiatives, carbon reduction savings of 30% could be achieved that may reduce the Council’s overall energy spend to £4,648,531 by 2012. This is a potential saving of £1,068,068 on energy/fuel costs.
•
This report was presented to the Quality Organisation Policy Development Group on 7 April 2009. Cost of fuel and energy to the Council 2007
2008
2009
2010
2011
2012
Total spend over 5 years
Business as Usual Reduced energy use/CO emissions Value at Stake
£ 756,811
£ 826,125
£ 901,788
£ 984,381
£1,074,539
£1,172,954
£ 5,716,599
£ 756,811
£ 763,899
£ 771,054
£ 778,276
£ 785,566
£ 792,924
£ 4,648,531
£
£ 62,226
£ 30,734
£ 206,105
£ 288,973
£ 380,030
£ 1,068,068
2
-
•
By investing in energy saving measures the amount of energy being used will be reduced as will the amount of money being spent.
•
By investing to save over 5 years the Council will also prevent 4258 tonnes of carbon dioxide being emitted into the atmosphere, which would fill 25,548 Double Decker buses.
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•
We have also identified potential to receive match funding of £80k from Salix Finance which is not repayable providing the money is reinvested in projects a least 3 times over a 15 year period.
•
It is important that Keen to be Green capital projects are accompanied by an awareness campaign ‘Green Champions’ and policy endorsed by members and corporate management to ensure that savings are also made by behavioural change at little or no cost.
•
As a leader in the community the lessons learnt will be widely disseminated to businesses through the Green Business Club.
3. RECOMMENDATION(S) Members are asked to consider and approve the report.
Wards Affected
None
Forward Plan Reference No.
2009/3/16/5
(if applicable)
Portfolio Holder(s)
Report Originator Contact Officer(s) Background Paper(s)
Cllr Peter Murphy, Portfolio Holder - Cleaner and Greener, 01354 692582, [email protected] Cllr Geoffrey Harper, CBE, Leader and Portfolio Holder – Quality Organisation Isabel Edgington, Climate Change Officer, Email [email protected]; Tel: 01354 622436, Richard Cassidy, Corporate Director, Email - [email protected]; Tel: 01354 602142 Carbon Management Plan Attached
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Fenland District Council Carbon Management Plan working with
Fenland District Council
Carbon Management Plan (CMP) Date: 13/03/2009 Version number: 3 Owner: Isabel Edgington Approval route: Cabinet Approval status: Draft
Fenland District Council Carbon Management Plan working with
Contents Foreword from Tim Pilsbury and Councillor Peter Murphy Foreword from the Carbon Trust Executive Summary
3 3 4
Background
4
Emissions Baseline and Projections
5
Cost and Savings
Introduction
5
6
1.1 Background
6
1.2 Carbon Management Timescale
7
Carbon Management Strategy
8
2.1 Context and drivers for Carbon Management
8
2.2 Strategic objectives
9
2.3 Targets
9
Emissions Baseline and Projections
10
3.1 Scope
10
3.2 Baseline
10
3.3 Projections and Value at Stake
12
Carbon Management Projects
14
4.1 Existing capital projects
14
4.2 Year one and two capital projects
14
4.3 Non Capital projects year one and two.
15
4.4 Capital Projects to be considered from year 3.
17
4.5 Projected achievement towards target
Carbon Management Plan Financing
17
18
5.1 Benefits / savings
19
5.2 Financial costs and sources of funding
20
5.3 Use of Resources Assessment for Comprehensive Area Assessment (CAA)
Actions to Embed Carbon Management in Your Organisation
21
22
6.1 Corporate Strategy – embedding CO2 saving across your organisation.
22
6.2 Programme Management – bringing it all together effectively
22
6.3 Responsibility – being clear that saving CO2 is everyone’s job
23
6.4 Data Management – measuring the difference, measuring the benefit
23
6.5 Communication and Training – ensuring everyone is aware
24
6.6 Finance and Investment – the money to match the commitment
24
6.7 Policy Alignment – saving CO2 across your operations
25
Programme Management of the CM Programme
26
7.1 The Programme Board – strategic ownership and oversight
26
7.2 The Keen to be Green Team – delivering the projects
27
7.3 Succession planning for key roles
28
7.4 Annual progress review
28
Fenland District Council Carbon Management Plan working with
Foreword from Tim Pilsbury and Councillor Peter Murphy Fenland District Council is delighted to see the development of this plan, as it demonstrates how by using resources more efficiently and investing in low cost and no cost measures the Council can save money. As a lead influencer in our community we will be able to share our experiences of carbon management with local businesses through the Green Business Club. Keen to be Green also provides clear evidence that as a Council we take our social responsibility very seriously.
Foreword from the Carbon Trust Cutting carbon emissions as part of the fight against climate change should be a key priority for local authorities - it's all about getting your own house in order and leading by example. The UK government has identified the local authority sector as key to delivering carbon reduction across the UK inline with its Kyoto commitments and the Local Authority Carbon Management programme is designed in response to this. It assists councils in saving money on energy and putting it to good use in other areas, whilst making a positive contribution to the environment by lowering their carbon emissions. Fenland District Council was selected in 2008, amidst strong competition, to take part in this ambitious programme. Fenland District Council partnered with the Carbon Trust on this programme in order to realise vast carbon and cost savings. This Carbon Management Plan commits the council to a target of reducing CO2 by 30% by 2012 and underpins potential financial savings to the council of around £1,068,068. There are those that can and those that do. Local authorities can contribute significantly to reducing CO2 emissions. The Carbon Trust is very proud to support Fenland District Council in their ongoing implementation of carbon management.
Richard Rugg Head of Public Sector, Carbon Trust
Fenland District Council Carbon Management Plan working with
Executive Summary Background In 2006 Fenland District Council produced a Climate Change Framework that highlighted the potential impacts of a change in Fenland and the measures that should be considered to ensure that Fenland reduces its contribution to global warming and is prepared for such impacts. In November 2007 the Council signed the Nottingham Declaration. As a signatory, we pledged to significantly reduce greenhouse gas emissions arising from Council operations. From July 2009 all Local Authorities will be required to submit an annual report on emissions produced from council operations to adhere to National Indicators 185 and 194. To facilitate the Council’s commitment to the Nottingham Declaration, and to prepare for the National Indicators, Fenland District Council has participated in the sixth phase of the Carbon Trust’s Local Authority Carbon Management Programme (LACMP). The application process was very competitive and as a small authority Fenland District Council would not have been large enough to attain a place. Therefore we decided to bid for a place in partnership with Huntingdonshire District Council (HDC). This decision has been beneficial as not only have we managed to receive the free consultation and guidance from the Carbon Trust but we have also been able to share knowledge and experiences with other staff members at HDC. This Carbon Management Plan will enable the Council to both take ownership of its emissions and make financial savings. Such savings can be reinvested into future projects that will reduce both energy use and carbon emissions, setting the Council apart as a leading Local Authority in tackling Climate Change. The recommended actions within the plan are primarily simple low and no cost measures that will reduce the Council’s energy consumption. The Programme coordinates many existing good practices from across the Council, demonstrating our One Team philosophy. The Programme also ensures that carbon management; environmental responsibility and energy efficiency will be engrained within the whole Council’s ethos, indefinitely. Since being awarded a place in April 2008, the programme has contributed to the delivery of the corporate plan. It has allowed the Council to establish a baseline for current carbon dioxide emissions arising as a result of Council operations. The baseline will enable the Council to inform which measures will best enable the Council to reduce carbon dioxide (CO2) from our operations over the next five years by 30% from a baseline of 2007. The Carbon Management Plan (CMP) is the first output from the programme. The CMP shows how we intend to take a systematic approach to reduce greenhouse gas emissions. It illustrates how we have examined current emissions, projected emissions, and outlines the carbon management projects identified.
Fenland District Council Carbon Management Plan working with
Emissions Baseline and Projections In 2007 Fenland District Council emitted 4060 tonnes of CO2. 88% of all emissions originate from buildings (See Figure 1.0). Collectively, emissions cost the council £757K per annum and this is continuing to rise. Cost projections, allowing for a modest 8.4% business as usual increase in energy prices, suggest that if the Council fails to reduce its carbon emissions the financial value at stake (the extra cost incurred by the council failing to act and reduce its energy consumption) by year five of the programme equates to £1,068,068 This clearly highlights that doing nothing is not an option. Offices Electricity 3%
Offices Gas or Oil
14%
Leisure Centre Gas 25%
Leisure Centre Electricity
5%
Public Conveniences Electricity Street Lighting
18%
0%
Sewage Treatment and Pumping Stations Markets and Clocks
2% Car
1% 3%
Rail
6% 6%
17%
Fleet Boat
Figure 1.0. Breakdown of baseline CO² emissions of 4060 tonnes.
Fenland District Council’s 30% aspirational CO2 reduction target equates to a total reduction of 4258 tonnes of CO2 against baseline 2007 over the next five years. To achieve this target, we have identified a series of projects with a short payback period that could be implemented in the first 2 years. Each year the CMP will be reviewed and more carbon saving projects which show potential to save the Council money, improve performance or benefit staff will be considered. Cost and Savings The total expenditure required over the next five years to achieve a 30% reduction in carbon emissions is estimated to be £425K The investment initially required to implement projects in the short term will result in further reinvestment in the medium to long term; thus ensuring the sustainability of the programme. Section five of the plan details how the Carbon Trust can help to fund projects through Salix Finance.
Fenland District Council Carbon Management Plan working with
Introduction 1.1 Background Fenland District Council secured a place on the Carbon Trust’s Local Authority Carbon Management Programme (LACMP) in April 2008. The programme has supported the corporate vision, by facilitating an audit into our operations to allow the Council to quantify, and reduce, its energy usage, reduce carbon emissions and save money. We are committed as a signatory to the Nottingham Declaration to putting plans in place to address the causes and impacts of climate change; carbon reduction both from local authority operations and on a per capita basis in Fenland are also national priorities (National Indicators 185 and 186). The programme has allowed the Council to investigate how it can become more financially sustainable through implementing low carbon projects, at a time when increasing energy prices and uncertain energy supplies are placing an increasing burden upon local authority resources. In 2007 alone, the energy consumed by Council buildings and transport resulted in 4060 tonnes of carbon dioxide being emitted into the atmosphere. Collectively this cost the council around £757K. Carbon management is therefore not just of environmental importance, but also of financial significance. The purpose of this document, which has been produced following 9 months work with the Carbon Trust, is to demonstrate how Fenland District Council will reduce its emissions by 30% over the next five years. The CMP outlines the following:
Baseline 2007: This establishes the local authority’s current carbon emissions. It is against this baseline that all projects aiming to reduce consumption will be measured and the success of the CMP will be judged.
Future projections: Based upon data provided by Defra, this section illustrates the environmental and financial implications of the council failing to reduce its current consumption over the next five years. The difference between the business as usual scenario (BAU) and the reduced emissions scenario demonstrates a clear case for action.
Carbon reduction measures: This part of the plan outlines those projects, which have been identified, approved or implemented by officers within the Council. The contribution these measures make towards achieving the Council’s target is explained.
Carbon management financing: This section summarises the overall cost of the programme to the local authority and the savings that it will deliver. This section will also include information on the potential to obtain funding using Salix Finance.
Programme implementation and management: Finally, the manner in which carbon management will be embedded within the organisation and how the five year programme will be managed is demonstrated.
Fenland District Council Carbon Management Plan working with
1.2 Carbon Management Timescale The CMP outlines key deliverables over five years. Several quick wins have already been identified and delivered; however other projects are awaiting implementation. To ensure the projects are progressing sufficiently, the CMP will be monitored annually as part of the National Indicator 185 reporting process, and progress will be published. The review process will: •
Monitor the impacts of projects that have been delivered
•
Discover how knowledge gained from undertaking measures can be shared with the business community.
•
To reassess measures that have previously been disregarded to assess whether; a) Energy costs have risen making the pay back period more cost effective b) A reduction in the capital cost of implementing a measure has reduced c) Alternative finances have become available to implement the project
Fenland District Council Carbon Management Plan working with
Carbon Management Strategy 2.1 Context and drivers for Carbon Management It is now widely accepted that climate change is driven by anthropogenic (human derived) greenhouse gas emissions. Illustrated by the Intergovernmental Panel on Climate Change’s (IPCC) Fourth Assessment Report, natural forces alone cannot account for the changes in our climate. Consensus on our influence has resulted in national, regional and local regulation of green house gas emissions. Legislation and guidance is now requiring organisations to investigate their impact on the environment and ultimately reduce their footprint in response. In a time of economic uncertainty, the need to reduce energy consumption has never been so pressing. Increasing energy and fuel prices are causing great concern for local authorities, so too are uncertain fuel supplies. Aiming to use public funds efficiently, whilst making cost savings; low carbon operations are becoming increasingly important. In addition to meeting strategic aims and objectives, the CMP has been developed in response to a number of other key drivers: •
Display Energy Certificates legally required under the EU Energy Performance of Buildings Directive (EPBD) for all public sector buildings with a useful floor space of over 1,000m2.
•
Public interest in environmental issues, which has grown in recent years due to increasing media attention. As a leader for the local community, Fenland District Council recognises the important role it has to play demonstrating good practice in relation to low carbon solutions and behavioural change within the district. Such good practice will also be disseminated to the business community through the Green Business Club.
•
The need for member and officer commitment to carbon management. In order for the authority to reduce emissions. It is vital that members officers and understand how behaviour within the workplace impacts upon the environment.
•
Given the Council’s desire to improve business efficiency Keen to be Green can be a mechanism to reduce costs and make financial savings.
Fenland District Council’s vision for carbon management is as follows: “Keen to be Green will enable the Council to both take ownership of its emissions, to save energy and make financial savings. The Programme will bring together and build on many existing good practices from across the Council, demonstrating our One Team philosophy. It will also ensure that good carbon management; environmental responsibility and energy efficiency is engrained within the whole Council’s ethos, indefinitely.” We can realise our vision by targeting activity into three key areas: • Policies and procedures • Encouraging behavioural change • Improvements to buildings, facilities and assets
Fenland District Council Carbon Management Plan working with
2.2 Strategic objectives • • • • • •
To deliver long term year on year cost savings through carbon management project To reduce carbon dioxide (CO2) emissions generated from transport and buildings operated by the council through implementing ambitious, tangible measures. To increase the amount of waste that is diverted away from landfill and is recycled. To encourage behavioural change both within the Council and district wide through environmental awareness campaigns. To lead by example, demonstrating good practice both within the district and nation wide. To integrate carbon management into council policies and procedures.
2.3 Targets
Fenland District Council will aim to reduce CO2 emissions from Council Operations by 30% by 2012 from 2007 levels.
Fenland District Council Carbon Management Plan working with
Emissions Baseline and Projections The baseline data defined in this section will form the basis of the CMP. This section projects how future trends will impact upon the Council’s energy consumption, and carbon emissions; demonstrating the challenge facing the Council in its endeavour to achieve a 30% reduction in CO2 emissions. 3.1 Scope When calculating Fenland District Council’s emissions baseline, the following were considered: •
Energy consumption in Council-owned buildings (electricity, gas, oil etc).
•
Fuel consumption by fleet travel.
•
Staff business travel.
3.2 Baseline The baseline year chosen to calculate projections is 2007 (calendar year). To achieve an accurate, representative record of carbon emissions, data was collected in the following ways: •
Gas and electricity bills, based upon actual meter readings where available, allowed for the calculation of the total amount of energy consumed by councilowned buildings.
•
Fuel data, relating specifically to fleet travel, was assessed by volumes of fuel purchased.
•
Business mileage was recorded through analysing rail and car mileage claims.
All data recorded was done so using the NI 185 tool developed by Defra. A summary of emissions for baseline year 2007 is shown below (Table 2.0). The cost to the Council is calculated using average costs per unit provided by Defra or where available actual unit prices. It does not include additional charges such as climate change levy or standing charges. CO2 emissions (tonnes)
% CO2 emissions
Cost (£)
% Cost
Buildings
2788
69
391,093
52
Fleet transport
1166
28
333,403
44
Business Mileage
106
3
32,316
4
Table 2.0 – Summary table for baseline year 2007.
Fenland District Council Carbon Management Plan working with
Offices Electricity 3%
Offices Gas or Oil
14%
Leisure Centre Gas 25%
Leisure Centre Electricity
5%
Public Conveniences Electricity Street Lighting
18%
0%
Sewage Treatment and Pumping Stations Markets and Clocks
2% Car
1% 3%
Rail
6% 6%
17%
Fleet Boat
Figure 3.0 Breakdown of baseline CO2 emissions of 4060 tonnes.
Data shows that for baseline year 2007, a total of 4060 tonnes of CO2 was emitted from Council operations into the atmosphere. The largest single emission source was that of Leisure Centres (See Figure 2.1). Of the 4060 tonnes 35% was from leisure centres, illustrating the potential savings which could result by focussing resources in this area. Another significant source, which must not be overlooked, is that of offices. 29% of all emissions originated from council offices, which again highlights an area with carbon saving opportunities. 1272 tonnes of CO2 generated was done so through council related travel. Approximately 92% of total transport emissions originated from fleet travel, including the boats whereas 8% of travel emissions were from business mileage. Despite being relatively small emission sources, it must be noted that commuting and business related travel are areas where simple measures could be implemented to make significant carbon savings. Public conveniences and street lighting both contribute 6% to the Council’s baseline. We have identified a potential project to reduce the amount of energy used to power the 900 street lights owned by the Council. However, vandalism and a lack of natural light source in some of the public convenience sites have prevented a similar technology being used. However we will continually monitor the situation at these sites and endeavour to implement alternative energy saving measures when available.
Fenland District Council Carbon Management Plan working with
3.3 Projections and Value at Stake 3.3.1 Business-as-Usual (BAU) Scenario The BAU scenario assumes the Council will fail to reduce existing trends in energy consumption (0.7% increase pa) and therefore incur substantial costs due to an expected increase in energy prices (8.4% pa). By 2012, CO2 emissions resulting from Council operations are estimated to reach 4204 tonnes per annum, whilst the cost to the council is expected to rise to £ 1,172,954 by 2012. (Figure 4.0 & Figure 5.0) Such projections clearly highlight that doing nothing is not financially viable. 3.3.2 Reduced Emissions Scenario (RES) The RES demonstrates the carbon and financial savings associated with Fenland District By Council reducing their baseline CO2 emissions by 30% over the next five years. implementing Keen to be Green and still assuming a modest energy price rise of 8.4%, the Council can reduce its emissions to 2842 tonnes per annum and reduce its annual energy cost to £792,924 by 2012. Comparison of actual emissions with BAU increases and reduction targets predicted 4,500,000
4,204,265
Carbon emissions (kgCO2)
4,000,000
3,500,000
2,842,110 3,000,000
2,500,000
2,000,000
1,500,000
1,000,000
500,000
-
-
-
-
-
-
2007
2008
2009
2010
2011
2012
Year Actual emissions
Figure 4.0
BAU emissions
Target
Fenland District Council Carbon Management Plan working with
Comparison of emissions with BAU increases and reduction targets - financial 1,400,000 1,200,000
£1,172,954
1,000,000 800,000
£792,924
£ 600,000 400,000 200,000 £-
£-
2008
2009
£-
£-
£-
2011
2012
2007
Actual cost
2010 Year BAU cost
Target cost
Figure 5.0
3.3.3 Value at stake (VAS) The VAS refers to the difference between the BAU scenario (red line) and the RES (blue line) over the entire lifetime of the carbon management programme. It is used to explain the carbon value and financial cost at stake if the Council fails to reduce its energy consumption. 3.3.4 Carbon Value at Stake If the Council fails to reduce its environmental footprint, carbon emissions are predicted to rise annually by approximately 0.7% over the next five years. It is estimated that the total carbon value at stake (i.e. the total area between the blue and red line) over the next five years is 4258 tonnes cumulative. 3.3.5 Financial Value at Stake Due to increasing energy prices, the costs incurred by the Council if its energy usage continues to rise will dramatically increase. It is estimated that the financial value at stake to the Council over the next five years £1,068,068. This demonstrates a clear case for action.
Fenland District Council Carbon Management Plan working with
Carbon Management Projects This section outlines those projects that have been identified through the LACMP; during workshops held with Keen to be Green team across both Huntingdonshire District Council and Fenland District Council to share best practice and engage officers in the production and the delivery of the CMP. Several criteria were used to examine the feasibility of projects proposed. These included:
Potential for carbon savings.
Financial investment required.
Staff resource/support required.
Technical practicality.
Payback period for capital investment.
4.1 Existing capital projects Implement Cost (£)
Annual Saving CO2 t
Pay back (years)
Year
1314
9
N/A
2008
422 from existing budgets
1300
1
4
2008
Annabel Tighe
from existing budgets
1200
0.1
1.2
2008
John Hardy
from existing maintenance budgets
12462
89
7
2008
Phil Hughes
from existing budgets
0
0.1
0
2008
Geoff Kent
from existing budgets
10000 (ink)
3
2
2009
Ref
Project
Lead
1.
Sever Virtualisation
Geoff Kent
from existing maintenance budgets
2.
Office Recycling
Pete Walls
3.
Electric Bikes
4.
Re-commission AHU’s in 2006 build at Manor Leisure Centre. Old Air Handling Unit was too old to function.
5.
Assisted Cycle Purchase
6.
Printer rationalisation
Fin (£)
4.2 Year one and two capital projects Ref
Project
7/8.
Smart Metering and Awareness Campaign
Lead
Implement Cost (£)
Annual Saving Fin £
CO2 t
Pay back (years)
Year
Steve Napier Alex Page
35000
7800
56
4.4
2009
Voltage Optimisation Fenland Hall 9.
Voltage Optimisation Manor
John Hardy
8000
3525
25
2.84
2009
10.
Pipework Insulation Fenland Hall
John Hardy
1000
159
1
6
2009
11.
Draught Proofing Fenland Hall
John Hardy
15500
3138
22
4.94
2009
12.
Travel Plan
Wendy Otter
TBC
TBC
TBC
TBC
2010
13.
Variable Speed Drive Manor Leisure Centre
John Hardy
3000
563
4
5.3
2009
14.
Lighting Sensors in offices
John Hardy
1500
225
2
6.6
2010
Fenland District Council Carbon Management Plan working with
Annual Saving 15.
Building Rationalisation
Steve Napier
From existing budgets
3800
27
1
2010
16.
Street Lighting
Trevor Watson
10000
3775
24
2.96
2010
17.
Power downs fitted 5 vending machines
Geoff Kent Martin Rogers
150
525
4
0.29
2009
18.
Loft Insulation Fenland Hall
John Hardy
1000
281
2
3.56
2009
19.
Cam Share car sharing online resource.
TBC
1200
2709
6
1
2009
20.
Eco Driving
TBC
1600
422
1
1-5
2010
21.
Trade Waste recycling
Pete Walls
10000
15000
89
1
2010
4.3 Non Capital projects year one and two. •
Green Champions. In order to make Keen to be Green a success members of staff from across the whole Council will help deliver the key messages of the awareness campaign. Champions will have a job description and for each theme the green champions will host fun sessions for staff to see what is planned and how they can get involved. These should take the form of a well being event roughly once a quarter. Evidence from previous rounds of the LACMP hosted by the energy saving trust has shown that this has made energy savings of 5%.
•
Review of Fleet significant financial CO2 and savings can be made by reviewing the efficiency of fleet rounds and implementing Eco driver training as quantified above. A 5% reduction in fuel usage could lead to £15K savings and 20 tonnes of CO2 in the first year alone.
•
Implement policy to restrict weekend working in Council buildings. This will remove the need to heat council buildings during weekends in the winter months and hence reduce both fuel consumption and costs.
•
All staff annual travel survey and energy survey. An annual survey will allow the Council to assess whether awareness campaigns are effective and also to continue to monitor emissions associated with staff commute travel.
•
Carbon to be incorporated into procurement policy. Fenland District Council is required to report to government all indirect emissions from contracted services. Therefore all contracts for external services should specify that an annual emissions summary is submitted.
•
Council policy on reduce and reuse. If we are to reduce the embedded energy we use in the Council’s office materials and deliveries Corporate Management Team will need to set a clear reduce and reuse policy for all service areas. This may include a maximum materials allotment per department, prohibition of special stationery deliveries and requirement to reuse materials before purchasing more.
Fenland District Council Carbon Management Plan working with
•
All staff policy on building temperature. Reducing the thermostat by 1 degree could result in a 10% reduction in fuel consumption. Corporate Management Team will need to support a small reduction in temperature in order for building facilities staff to implement this change. Staff will be encouraged to bring appropriate clothing to work. The buildings boiler management system will also need to be used efficiently for this to be effective.
•
Council printing policy and paper purchasing moving towards paper free offices. Restrictions should be placed on printers to prevent the printing of large documents other than via the print room. Managers should send a clear message to staff that printing should be minimised and the use of computer libraries should be encouraged. In particular the printing of agendas and multiple documents for meetings should be reduced.
•
If new equipment is absolutely necessary equipment should be at least A rated. This will minimise the amount of additional energy added to the buildings energy usage.
•
Carbon management to be included in Managers Handbooks. This will ensure that all managers have a good understanding of what the Council is trying to achieve and how they can contribute to meeting this target.
•
Review of mileage subsistence. Currently business mileage claims are administered in accordance with the number of miles travelled. Essential user allowance also increases with car size. There is potential to review the current system to insentivise car sharing and use of public transport between certain destinations. The Council could also review essential user allowance to benefit drivers of more efficient vehicles. A subsistence based on fuel used rather than miles travelled coupled with essential user eco driving could see savings of £15,000 based on and average of 35p per mile and 15% improvement in fuel consumption.
•
Energy Efficiency training at staff induction. All new staff will have a good understanding of the Council’s policy on energy efficiency and what is expected of them regarding energy efficiency as an employee.
•
Review of car loans. A policy should be set out to determine the maximum size and emissions of vehicle to be funded through the loan scheme.
•
Removal of portable heaters, fans and non essential electrical appliances from offices. CMT to support this policy and reduce the amount of energy being used.
•
Restrictions when ordering journals and requesting external documents. A database and online library should be kept detailing which journals have been subscribed to by individuals to prevent duplicate orders, unnecessary expense and wasted paper.
•
Carbon Management annual objectives to be included in the corporate plan. This will ensure that each stage of Keen to be Green is adopted as a continued priority by the whole Council.
Fenland District Council Carbon Management Plan working with
4.4 Capital Projects to be considered from year 3.
Ref
Project
Annual Saving
Implementation Cost
Lead
Fin
Pay back (years)
Year
(£)
CO2 (tonnes)
22.
CHP at Manor Leisure Centre
Steve Napier/ Phil Hughes
125000
30000
228
4
2011
23.
CHP Hudson Leisure Centre
Steve Napier
125000
30000
228
4
2011
(£)
Before these measures are implemented a full review, as detailed in part 1.1.2 will be undertaken.
4.5 Projected achievement towards target By implementing the projects currently identified through the LACMP, Fenland District Council will achieve a 21% reduction in CO2 emissions. Due to the nature of carbon management, the projects identified within this document are not absolute and new, innovative projects are continually being identified and implemented which will contribute to our 30% reduction target. It is vital that the CMP is continually reviewed and updated to reflect the Council’s overall achievement towards the target set.
Carbon progress against target 4,500 4,000 3,500 3,000 2,500 2,000 1,500 1,000 500 2007
2008
2009
2010
2011
Year Predicted Business as Usual Emissions Target Emissions Emissions in chosen plan
Figure 5.0. Projected achievement towards 30% reduction target.
2012
Fenland District Council Carbon Management Plan working with
Carbon Management Plan Financing In a time of economic uncertainty, the need to reduce energy consumption has never been so pressing. Increasing energy and fuel prices are causing great concern for local authorities, so too are uncertain fuel supplies. Aiming to use public funds efficiently, whilst making cost savings; low carbon operations are becoming increasingly important. This Carbon Management Plan makes recommendations which will enable the Council to reduce carbon emissions by 30% between now and 2012 and in doing so reverse the trend of increasing energy use by the Council and save £1,068,068 over the life of the plan. The investments identified within this plan for the period 2008 – 2013 will be recouped on average in around 4 years from savings in reduced energy consumption. Of the 23 projects identified by the plan, some are existing already funded projects. Others, such as the Corporate Travel Plan and Green Champions initiative, are low, or nil cost measures, which will encourage behavioural change in employee travel or use of council buildings. Other projects such as the use of Voltage Optimisation systems at Council leisure centres are ‘spend to save’ initiatives that will achieve significant cost and carbon savings after an initial investment. Some projects require funding and will be subject to the usual budgetary process over the period of the plan. Assumptions
• Average electricity rate for stationary sources in 2007 £0.075/kwh • Average gas rate for stationary sources in 2007 £0.0265/kwh • Average electricity rate for CHP unit in 2007 £0.0357/kwh • Cost of burning oil in 2007 £0.0440/ltr • Cost of gas oil in 2007 £0.0330/ltr • 8.4% annual increase to the cost of purchasing fuel • 0.7% increase in carbon dioxide emissions from Council estate. • Average cost of diesel for 2007 £0.826
Fenland District Council Carbon Management Plan working with
5.1 Benefits / savings £300,000 £250,000 £200,000 £150,000 Total net cost savings for this year (exc capex)
£100,000
Cumulative net present cost of programme
£50,000 £2007 2008 2009 2010 2011 2012 2013 2014 2015 -£50,000 -£100,000 -£150,000
The cost savings are based completely on savings made from not purchasing fuel or energy. They do not account for other potential savings such as reduction in the cost of materials or maintenance savings. You will notice that the % achieved towards target begins to decline in 2013 this is because prices and consumption will continue to rise and demonstrates the need to continue to invest to save. As the programme progresses and projects are continually identified and quantified the % savings towards target will increase which will counteract the BAU 0.7% consumption increase. Given the initial expenditure above it is estimated that the Council will make the first financial gain (i.e. its savings from projects are more than the amount spent on projects in that year) in 2014 of approximately 13K rising to 80K in 2015 and rising each year after that. However, this will only satisfy a 15% CO2 reduction. In order to meet a 30% reduction and to continue to counter consumption and fuel price rises, further projects will be needed (see table below). Further investment will extend the time before we are able to reap the financial gains of having installed enough measures to make savings against the overall fuel bill but rises in fuel costs shorten this period.
Fenland District Council Carbon Management Plan working with
5.2 Financial costs and sources of funding 2009/10
2010/11
2011/12
Annual capital costs:
50K
50K
250K
Potential external funding
25K
25K
125K
FDC Funding (Invest to Save)
25K
25K
Future Capital Bid
2012/13
2013/14
125K
It would be beneficial to utilize the ‘invest to save’ reserve to fund projects in the first 2 years of the plan together with funding from Salix finance. Costs savings identified in the table above would need to be reinvested in further projects in future years to achieve the savings in CO2 required to meet the stated aim of 30% reduction by 2012. Consideration will be given the setting up of a carbon management reserve to fund the projects detailed in the report through the combination of an initial contribution from the ‘invest to save reserve’, Salix finance funding and reinvestment of savings generated from the individual projects. Salix Finance work with public sector bodies to reduce energy costs and carbon emissions. Salix Finance can offer interest free match funding typically of £250k to be spent over the first 2 years to enable Fenland District Council’s funds to go twice as far. Funds are ring fenced and are to be spent on energy efficient projects only. The savings are then recycled to be spent on future energy saving projects. Funding does not need to be paid back to Salix Finance provided the funds are invested and reinvested 3 times over a 15 year period Funding is drawn down in instalments over 2 years. The funding and match funding is ‘ring fenced’, although up to 15% can be spent on other costs involved in energy efficiency promotion.
Salix finance only fund cost effective projects with high CO2 reductions. Two project compliance criteria are; 5 year payback period and £100/tCO2 7.5 year payback period and £50/tCO2
At least 8 of the projects identified above already meet this criteria including: Voltage Optimisation Insulation Street Lighting Controls Vending controls Draught proofing
Fenland District Council Carbon Management Plan working with
Capital projects are an important part of any carbon management plan as they simultaneously lower energy bills and our carbon footprint while delivering technology and efficiency upgrades to the whole estate. They also provide a focus for education and cultural change especially among employees. 5.3 Use of Resources Assessment for Comprehensive Area Assessment (CAA) From 2008/09 the criteria for the ‘Assessing the use of Recourses Assessment’ for CAA changed. This has meant that within the criteria for assessing value for money in the use of resources there is a new element of assessment in relation to; ‘How well does the Council manage its natural resources, physical assets and people to meet current and future needs and deliver value for money?’ Implementation of the Keen to be Green plan will be evidence of a proactive Council approach to managing use of natural resources in an efficient way.
Fenland District Council Carbon Management Plan working with
Actions to Embed Carbon Management in Your Organisation
6.1 Corporate Strategy – embedding CO2 saving across your organisation.
5
CORPORATE STRATEGY
ACTIONS
• Top level target allocated across organisation
The Council is currently at level 2 we have a draft environment strategy and the reference to Climate Change in other strategies.
CO2 reduction targets in Directorate Business Plans
4
• CO2 reduction commitment in Corporate Strategy • Top level targets set for CO2 reduction Climate Change Strategy reviewed annually
3
• CO2 reduction vision clearly stated and published Climate Change Strategy endorsed by Cabinet and publicised with staff
2
• Draft Climate Change Policy Climate Change references in other strategies
1
• No policy No Climate Change reference
By 2012 we feel that it is achievable to reach level 4. To achieve this members and CMT will need to commit to reducing emissions in the Corporate Plan. CMT will also need to embed the CMP within the business Efficiency Strategy, setting top level annual targets for each service. The project lead and building facilities will justify future investment by providing real savings evidence to members and CMT.
6.2 Programme Management – bringing it all together effectively
5
PROGRAMME MANAGEMENT
ACTIONS
• Cabinet / SMT review progress against targets on quarterly basis • Quarterly diagnostic reports provided to Directorates
The Council is currently at level 2 some good measures have been taken to reduce energy usage but the success of the projects has not been monitored.
Progress against target published externally
4
• Sponsor reviews progress and removes blockages through regular Programme Boards • Progress against targets routinely reported to Senior Mgt Team
3
• Core team regularly review CM progress: o actions o profile & targets o new opportunities
2
• Ad hoc reviews of CM actions progress
1
• No CM monitoring
It is achievable to reach level 5 by 2012 by regularly imputing data and monitoring consumption using smart metering and software. Presenting achieved savings to Cabinet and CMT. This plan will be reviewed as part of service planning and ideas will be welcomed from all service areas. Successful projects and savings will be used as good exemplars for businesses through the green business club.
Fenland District Council Carbon Management Plan working with
6.3 Responsibility – being clear that saving CO2 is everyone’s job RESPONSIBILITY
ACTIONS
5
• • • •
The Council is currently at level 1. Although work has begun to reduce energy use, the Council has not taken responsibility for carbon dioxide reduction.
4
• CM integrated in to responsibilities of department heads • Cabinet / SMT regularly updated • Staff engaged though Green Champion network
3
CM integrated in responsibilities of senior managers CM part of all job descriptions Central CO2 reduction advice available Green Champions leading local action groups
• CM integrated in to responsibilities of department heads • Cabinet / SMT regularly updated • Staff engaged though Green Champion network
2
•
CO2 reduction a part-time responsibility of a few department champions
1
•
No recognised CO2 reduction responsibility
BY 2012 it is realistic to reach level 4. In order to achieve this we must establish a green champions’ network of staff and also develop member champions. Communications will need to be engaging and emphasise everyone’s responsibility. This will need to come from the Council leader and Chief Executive. There should also be an onus on Service Heads to take responsibility for the carbon impact of their operations.
6.4 Data Management – measuring the difference, measuring the benefit
5
DATA MANAGEMENT
ACTIONS
• Quarterly collation of CO2 emissions for all sources • Data externally verified • M&T in place for: o buildings o street lighting
The Council is currently at level 3 we have collated data for a 1 year period to assess the emissions from buildings, street lights and transport.
waste
4
• Annual collation of CO2 emissions for: o buildings o street lighting o transport o waste Data internally reviewed
3
Collation of CO2 emissions for limited scope i.e. buildings only
2
• No CO2 emissions data compiled
1
• No CO2 emissions data compiled
Energy data compiled on a regular basis Estimated billing
In order to reach level 5 by 2012 smart metering will be required in buildings and simple energy management software to be used regularly by building facilities to monitor weekly and run reports from monthly. This will enable us to measure success of capital projects, identify any inconsistencies and potentially negotiate better energy rates. Purchasers of fuel will also be required to input purchased quantities. Annual travel and energy surveys should be undertaken to monitor behavioural change and staff engagement.
Fenland District Council Carbon Management Plan working with
6.5 Communication and Training – ensuring everyone is aware
5
COMMUNICATIONS AND TRAINING
ACTIONS
• All staff given formalised CO2 reduction: o induction and training o communications • Joint CM communications with key partners
The Council is currently at level 1 no communication or training is in place.
Staff awareness tested through surveys
4
• All staff given CO2 reduction: o induction o communications
3
• Environmental / energy group(s) given ad hoc: o training
CM matters communicated to external community
communications
2
• Regular awareness campaigns
1
No communication or training
Level 4 is achievable by 2012. Green Champions will play a key role in achieving this. New messages will delivered in a fun way through quarterly open sessions to staff in the style of well being days, posters, green fairies and What’s Breaking. Green champions will also be responsible for delivering a short ‘green induction’ to new staff to show what is expected of them at the Council.
Staff given CM information on ad-hoc basis
Green champions will give regular updates on ‘keen to be green’ at team meetings and their responsibilities should be recognised in ‘springboards’
6.6 Finance and Investment – the money to match the commitment
5
FINANCE AND INVESTMENT
ACTIONS
• Finance committed for 2+yrs of Programme • External funding being routinely obtained
The Council is at level 3. We have been working with the chief accountant to investigate potential funding for capital projects and we have an understanding of what investment will be required.
Ring-fenced fund for carbon reduction initiatives
4
• Coordinated financing for CO2 reduction projects via Programme Board • Finances committed 1yr ahead Some external financing
3
• A view of the cost of CO2 reduction is developing, but finance remains ad-hoc • Some centralised resource allocated Finance representation on CM Team
2
Ad hoc financing for CO2 reduction projects
1
No specific funding for CO2 reduction projects
By 2012 it is achievable to reach level 5 with the assistance of Salix Finance and the carbon trust on establishing a discrete fund for carbon reduction. Identified projects will natural be assessed for carbon saving and if they are compliant can be funded in the next two year cycle. We initially need to gain commitment to the project from members and CMT at cabinet in March 2009. Following this we will also need to plan how Keen to be Green will be incorporated into the MFS.
Fenland District Council Carbon Management Plan working with
6.7 Policy Alignment – saving CO2 across your operations
5
POLICY ALIGNMENT
ACTIONS
• CO2 friendly operating procedure in place • Central team provide advice and review, when requested • Barriers to CO2 reduction routinely considered and removed
The Council is currently at level 1. Although due to business efficiency review some financial savings have been identified that also reduce carbon emissions.
4
• Comprehensive review of policies complete • Lower level policies reviewed locally • Unpopular changes being considered
3
• All high level and some mid level policies reviewed, irregularly • Substantial changes made, showing CO2 savings
2
• Partial review of key, high level policies • Some financial quick wins made
1
No alignment of policies for CO2 reduction
It is achievable to reach level 4 by 2012. A policy review should be undertaken every year in order to ensure that all policies recognise carbon reduction and do not counteract the Council’s emissions reduction target. Any identified changes should be considered by Members, CMT and the Keen to be Green team. Policy on procurement should include the requirement for existing external agencies to report quarterly on their emissions, as we are required to submit this to the government. New tenders should emphasise the benefits of meeting green credentials to potential contractors.
Fenland District Council Carbon Management Plan working with
Programme Management of the CM Programme 7.1 The Programme Board – strategic ownership and oversight
• The Project Lead will produce monthly updates for the Carbon Management Team to review progress on activities and projects, identifying any issues that need to be discussed with the Programme Board. The Project Lead will also arrange meeting, when necessary, with key members of the Team in relation to specific actions within the project plan. • The Project Lead will meet at least monthly with The Project Sponsor to discuss progress. • The Programme Board will meet monthly, approximately one week after the Project Lead has met with the Project Sponsor. • The Programme Board will be the Corporate Management Team.
Cabinet
Senior Management Team
Programme Board: Corporate Management Team
Project Lead: Isabel Edgington Deputy Project Lead: Dan Horn
Keen to be Green Team
Fenland District Council Carbon Management Plan working with
7.2 The Keen to be Green Team – delivering the projects
Role
Name and position in the LA
Contact details
Project Leader
Isabel Edgington: Climate Change Officer
Deputy Project Leader
Dan Horn: Head of Housing and Neighbourhood Services
01354 622436 [email protected] 01354 622470 [email protected]
Carbon Management Team
Keith Ashworth: Customer Access Manager Chris Copeman: Leisure Centre Manager Mark Gregory: Fleet and Technical Manager Geoff Kent: Head of Income and ICT David Hamilton: Corporate Communications Manager John Hardy: Building Surveyor Manager Alvin Harrison: Insurance and Lease Car Manager Steve Napier: Property Services and Asset Manager Guy Robinson: Procurement Manager Mark Saunders: Chief Accountant Pete Walls: Operations Manager Trevor Watson: Engineering Services Manager Anna Goodall: Business Efficiency Manager Lucy Watsham: Policy Officer Sam Anthony: Human Resources Manager Alex Page: Communications Officer
Project Sponsor
Richard Cassidy: Director of Environment and Leisure
01354 622382 [email protected] 01354 627521 [email protected] 01354 602119 [email protected] 01354 622290 [email protected] 01354 622313 [email protected] 01354 622421 [email protected] 01354 622284 [email protected] 01354 622403 [email protected] 01354 622270 [email protected] 01354 622486 [email protected] 01354 602140 [email protected] 01945 427151 [email protected] 01354 622357 [email protected] 01354 622592 [email protected] 01354 622268 [email protected] 01354 622409 [email protected] 01354 602142 [email protected]
Fenland District Council Carbon Management Plan working with
7.3 Succession planning for key roles In order to ensure that the project will continue into the future given that individuals may move from post the programme will need to be robust enough to withstand such changes. The Council should adapt a system of data management that can be accessed remotely and updated regularlly by more than one member of staff within the building faciltites service and remote site managers such as the leisure centres’ managers. CMT should instigate the inclusion of carbon management projects and targets annually within the corporate plan and inform managers of service targets. The Keen to be Green Team will meet quarterly to discuss new oportunities and the progress of projects. The recommendations of the groups will be presented quarterly to members and CMT via the project sponsor. Should the project sponsor leave post the group will seek a new sponsor from CMT. There should always be a financial sponsor on the Keen to be Green team who will provide quarterly updates on financial spend and savings achieved. Should the financial sponsor move from post CMT should provide a financial sponsor to ensure that the ringfenced fund continues to fundtion.
7.4 Annual progress review A formal review of progress against the Carbon Management Plan will take place on an annual basis. Statistical analysis of the carbon reduction achieved by the Council will take place every calendar year, whereas a review of the projects identified and any proposed projects will take place alongside the Councils Medium-Term Bidding process. This will also coincide with the review of Fenland District Council’s Environment Strategy. CO2 savings against the Councils 30% reduction target will be assessed, so too will the financial savings achieved and other less quantifiable benefits will be assessed to holistically demonstrate the impact carbon management has had each year. Progress will be reported via the Programme Board to Cabinet annually. 7.5 The review process will: •
Monitor the impacts of projects that have been delivered
•
Discover how knowledge gained from undertaking measures can be shared with the business community.
•
To reassess measures that have previously been disregarded to assess whether; d) Energy costs have risen making the pay back period more cost effective e) A reduction in the capital cost of implementing a measure has reduced f) Alternative finances have become available to implement the pro
23 APRIL 2009
Title
KEEN TO BE GREEN – CARBON MANGEMENT PROGRAMME
1. PURPOSE/SUMMARY To consider the development of a 5 year Carbon Management Plan for the Council with an emphasis on saving energy and delivering efficiencies.
2. KEY ISSUES •
For the last 9 months the Council in partnership with Huntingdonshire DC has had free support from the Carbon Trust to audit our use of resources, ie electricity.
• From this we have identified an aspirational target of 30% carbon dioxide reduction over 5 years. •
In order to achieve this we have quantified a series of projects with short payback periods that will enable the Council to make energy and efficiency savings.
•
If the Council continues to use energy as it does now by 2012 it will have spent £5,716,599 on energy. However, through investment to save initiatives, carbon reduction savings of 30% could be achieved that may reduce the Council’s overall energy spend to £4,648,531 by 2012. This is a potential saving of £1,068,068 on energy/fuel costs.
•
This report was presented to the Quality Organisation Policy Development Group on 7 April 2009. Cost of fuel and energy to the Council 2007
2008
2009
2010
2011
2012
Total spend over 5 years
Business as Usual Reduced energy use/CO emissions Value at Stake
£ 756,811
£ 826,125
£ 901,788
£ 984,381
£1,074,539
£1,172,954
£ 5,716,599
£ 756,811
£ 763,899
£ 771,054
£ 778,276
£ 785,566
£ 792,924
£ 4,648,531
£
£ 62,226
£ 30,734
£ 206,105
£ 288,973
£ 380,030
£ 1,068,068
2
-
•
By investing in energy saving measures the amount of energy being used will be reduced as will the amount of money being spent.
•
By investing to save over 5 years the Council will also prevent 4258 tonnes of carbon dioxide being emitted into the atmosphere, which would fill 25,548 Double Decker buses.
1 of 2
•
We have also identified potential to receive match funding of £80k from Salix Finance which is not repayable providing the money is reinvested in projects a least 3 times over a 15 year period.
•
It is important that Keen to be Green capital projects are accompanied by an awareness campaign ‘Green Champions’ and policy endorsed by members and corporate management to ensure that savings are also made by behavioural change at little or no cost.
•
As a leader in the community the lessons learnt will be widely disseminated to businesses through the Green Business Club.
3. RECOMMENDATION(S) Members are asked to consider and approve the report.
Wards Affected
None
Forward Plan Reference No.
2009/3/16/5
(if applicable)
Portfolio Holder(s)
Report Originator Contact Officer(s) Background Paper(s)
Cllr Peter Murphy, Portfolio Holder - Cleaner and Greener, 01354 692582, [email protected] Cllr Geoffrey Harper, CBE, Leader and Portfolio Holder – Quality Organisation Isabel Edgington, Climate Change Officer, Email [email protected]; Tel: 01354 622436, Richard Cassidy, Corporate Director, Email - [email protected]; Tel: 01354 602142 Carbon Management Plan Attached
2 of 2
Fenland District Council Carbon Management Plan working with
Fenland District Council
Carbon Management Plan (CMP) Date: 13/03/2009 Version number: 3 Owner: Isabel Edgington Approval route: Cabinet Approval status: Draft
Fenland District Council Carbon Management Plan working with
Contents Foreword from Tim Pilsbury and Councillor Peter Murphy Foreword from the Carbon Trust Executive Summary
3 3 4
Background
4
Emissions Baseline and Projections
5
Cost and Savings
Introduction
5
6
1.1 Background
6
1.2 Carbon Management Timescale
7
Carbon Management Strategy
8
2.1 Context and drivers for Carbon Management
8
2.2 Strategic objectives
9
2.3 Targets
9
Emissions Baseline and Projections
10
3.1 Scope
10
3.2 Baseline
10
3.3 Projections and Value at Stake
12
Carbon Management Projects
14
4.1 Existing capital projects
14
4.2 Year one and two capital projects
14
4.3 Non Capital projects year one and two.
15
4.4 Capital Projects to be considered from year 3.
17
4.5 Projected achievement towards target
Carbon Management Plan Financing
17
18
5.1 Benefits / savings
19
5.2 Financial costs and sources of funding
20
5.3 Use of Resources Assessment for Comprehensive Area Assessment (CAA)
Actions to Embed Carbon Management in Your Organisation
21
22
6.1 Corporate Strategy – embedding CO2 saving across your organisation.
22
6.2 Programme Management – bringing it all together effectively
22
6.3 Responsibility – being clear that saving CO2 is everyone’s job
23
6.4 Data Management – measuring the difference, measuring the benefit
23
6.5 Communication and Training – ensuring everyone is aware
24
6.6 Finance and Investment – the money to match the commitment
24
6.7 Policy Alignment – saving CO2 across your operations
25
Programme Management of the CM Programme
26
7.1 The Programme Board – strategic ownership and oversight
26
7.2 The Keen to be Green Team – delivering the projects
27
7.3 Succession planning for key roles
28
7.4 Annual progress review
28
Fenland District Council Carbon Management Plan working with
Foreword from Tim Pilsbury and Councillor Peter Murphy Fenland District Council is delighted to see the development of this plan, as it demonstrates how by using resources more efficiently and investing in low cost and no cost measures the Council can save money. As a lead influencer in our community we will be able to share our experiences of carbon management with local businesses through the Green Business Club. Keen to be Green also provides clear evidence that as a Council we take our social responsibility very seriously.
Foreword from the Carbon Trust Cutting carbon emissions as part of the fight against climate change should be a key priority for local authorities - it's all about getting your own house in order and leading by example. The UK government has identified the local authority sector as key to delivering carbon reduction across the UK inline with its Kyoto commitments and the Local Authority Carbon Management programme is designed in response to this. It assists councils in saving money on energy and putting it to good use in other areas, whilst making a positive contribution to the environment by lowering their carbon emissions. Fenland District Council was selected in 2008, amidst strong competition, to take part in this ambitious programme. Fenland District Council partnered with the Carbon Trust on this programme in order to realise vast carbon and cost savings. This Carbon Management Plan commits the council to a target of reducing CO2 by 30% by 2012 and underpins potential financial savings to the council of around £1,068,068. There are those that can and those that do. Local authorities can contribute significantly to reducing CO2 emissions. The Carbon Trust is very proud to support Fenland District Council in their ongoing implementation of carbon management.
Richard Rugg Head of Public Sector, Carbon Trust
Fenland District Council Carbon Management Plan working with
Executive Summary Background In 2006 Fenland District Council produced a Climate Change Framework that highlighted the potential impacts of a change in Fenland and the measures that should be considered to ensure that Fenland reduces its contribution to global warming and is prepared for such impacts. In November 2007 the Council signed the Nottingham Declaration. As a signatory, we pledged to significantly reduce greenhouse gas emissions arising from Council operations. From July 2009 all Local Authorities will be required to submit an annual report on emissions produced from council operations to adhere to National Indicators 185 and 194. To facilitate the Council’s commitment to the Nottingham Declaration, and to prepare for the National Indicators, Fenland District Council has participated in the sixth phase of the Carbon Trust’s Local Authority Carbon Management Programme (LACMP). The application process was very competitive and as a small authority Fenland District Council would not have been large enough to attain a place. Therefore we decided to bid for a place in partnership with Huntingdonshire District Council (HDC). This decision has been beneficial as not only have we managed to receive the free consultation and guidance from the Carbon Trust but we have also been able to share knowledge and experiences with other staff members at HDC. This Carbon Management Plan will enable the Council to both take ownership of its emissions and make financial savings. Such savings can be reinvested into future projects that will reduce both energy use and carbon emissions, setting the Council apart as a leading Local Authority in tackling Climate Change. The recommended actions within the plan are primarily simple low and no cost measures that will reduce the Council’s energy consumption. The Programme coordinates many existing good practices from across the Council, demonstrating our One Team philosophy. The Programme also ensures that carbon management; environmental responsibility and energy efficiency will be engrained within the whole Council’s ethos, indefinitely. Since being awarded a place in April 2008, the programme has contributed to the delivery of the corporate plan. It has allowed the Council to establish a baseline for current carbon dioxide emissions arising as a result of Council operations. The baseline will enable the Council to inform which measures will best enable the Council to reduce carbon dioxide (CO2) from our operations over the next five years by 30% from a baseline of 2007. The Carbon Management Plan (CMP) is the first output from the programme. The CMP shows how we intend to take a systematic approach to reduce greenhouse gas emissions. It illustrates how we have examined current emissions, projected emissions, and outlines the carbon management projects identified.
Fenland District Council Carbon Management Plan working with
Emissions Baseline and Projections In 2007 Fenland District Council emitted 4060 tonnes of CO2. 88% of all emissions originate from buildings (See Figure 1.0). Collectively, emissions cost the council £757K per annum and this is continuing to rise. Cost projections, allowing for a modest 8.4% business as usual increase in energy prices, suggest that if the Council fails to reduce its carbon emissions the financial value at stake (the extra cost incurred by the council failing to act and reduce its energy consumption) by year five of the programme equates to £1,068,068 This clearly highlights that doing nothing is not an option. Offices Electricity 3%
Offices Gas or Oil
14%
Leisure Centre Gas 25%
Leisure Centre Electricity
5%
Public Conveniences Electricity Street Lighting
18%
0%
Sewage Treatment and Pumping Stations Markets and Clocks
2% Car
1% 3%
Rail
6% 6%
17%
Fleet Boat
Figure 1.0. Breakdown of baseline CO² emissions of 4060 tonnes.
Fenland District Council’s 30% aspirational CO2 reduction target equates to a total reduction of 4258 tonnes of CO2 against baseline 2007 over the next five years. To achieve this target, we have identified a series of projects with a short payback period that could be implemented in the first 2 years. Each year the CMP will be reviewed and more carbon saving projects which show potential to save the Council money, improve performance or benefit staff will be considered. Cost and Savings The total expenditure required over the next five years to achieve a 30% reduction in carbon emissions is estimated to be £425K The investment initially required to implement projects in the short term will result in further reinvestment in the medium to long term; thus ensuring the sustainability of the programme. Section five of the plan details how the Carbon Trust can help to fund projects through Salix Finance.
Fenland District Council Carbon Management Plan working with
Introduction 1.1 Background Fenland District Council secured a place on the Carbon Trust’s Local Authority Carbon Management Programme (LACMP) in April 2008. The programme has supported the corporate vision, by facilitating an audit into our operations to allow the Council to quantify, and reduce, its energy usage, reduce carbon emissions and save money. We are committed as a signatory to the Nottingham Declaration to putting plans in place to address the causes and impacts of climate change; carbon reduction both from local authority operations and on a per capita basis in Fenland are also national priorities (National Indicators 185 and 186). The programme has allowed the Council to investigate how it can become more financially sustainable through implementing low carbon projects, at a time when increasing energy prices and uncertain energy supplies are placing an increasing burden upon local authority resources. In 2007 alone, the energy consumed by Council buildings and transport resulted in 4060 tonnes of carbon dioxide being emitted into the atmosphere. Collectively this cost the council around £757K. Carbon management is therefore not just of environmental importance, but also of financial significance. The purpose of this document, which has been produced following 9 months work with the Carbon Trust, is to demonstrate how Fenland District Council will reduce its emissions by 30% over the next five years. The CMP outlines the following:
Baseline 2007: This establishes the local authority’s current carbon emissions. It is against this baseline that all projects aiming to reduce consumption will be measured and the success of the CMP will be judged.
Future projections: Based upon data provided by Defra, this section illustrates the environmental and financial implications of the council failing to reduce its current consumption over the next five years. The difference between the business as usual scenario (BAU) and the reduced emissions scenario demonstrates a clear case for action.
Carbon reduction measures: This part of the plan outlines those projects, which have been identified, approved or implemented by officers within the Council. The contribution these measures make towards achieving the Council’s target is explained.
Carbon management financing: This section summarises the overall cost of the programme to the local authority and the savings that it will deliver. This section will also include information on the potential to obtain funding using Salix Finance.
Programme implementation and management: Finally, the manner in which carbon management will be embedded within the organisation and how the five year programme will be managed is demonstrated.
Fenland District Council Carbon Management Plan working with
1.2 Carbon Management Timescale The CMP outlines key deliverables over five years. Several quick wins have already been identified and delivered; however other projects are awaiting implementation. To ensure the projects are progressing sufficiently, the CMP will be monitored annually as part of the National Indicator 185 reporting process, and progress will be published. The review process will: •
Monitor the impacts of projects that have been delivered
•
Discover how knowledge gained from undertaking measures can be shared with the business community.
•
To reassess measures that have previously been disregarded to assess whether; a) Energy costs have risen making the pay back period more cost effective b) A reduction in the capital cost of implementing a measure has reduced c) Alternative finances have become available to implement the project
Fenland District Council Carbon Management Plan working with
Carbon Management Strategy 2.1 Context and drivers for Carbon Management It is now widely accepted that climate change is driven by anthropogenic (human derived) greenhouse gas emissions. Illustrated by the Intergovernmental Panel on Climate Change’s (IPCC) Fourth Assessment Report, natural forces alone cannot account for the changes in our climate. Consensus on our influence has resulted in national, regional and local regulation of green house gas emissions. Legislation and guidance is now requiring organisations to investigate their impact on the environment and ultimately reduce their footprint in response. In a time of economic uncertainty, the need to reduce energy consumption has never been so pressing. Increasing energy and fuel prices are causing great concern for local authorities, so too are uncertain fuel supplies. Aiming to use public funds efficiently, whilst making cost savings; low carbon operations are becoming increasingly important. In addition to meeting strategic aims and objectives, the CMP has been developed in response to a number of other key drivers: •
Display Energy Certificates legally required under the EU Energy Performance of Buildings Directive (EPBD) for all public sector buildings with a useful floor space of over 1,000m2.
•
Public interest in environmental issues, which has grown in recent years due to increasing media attention. As a leader for the local community, Fenland District Council recognises the important role it has to play demonstrating good practice in relation to low carbon solutions and behavioural change within the district. Such good practice will also be disseminated to the business community through the Green Business Club.
•
The need for member and officer commitment to carbon management. In order for the authority to reduce emissions. It is vital that members officers and understand how behaviour within the workplace impacts upon the environment.
•
Given the Council’s desire to improve business efficiency Keen to be Green can be a mechanism to reduce costs and make financial savings.
Fenland District Council’s vision for carbon management is as follows: “Keen to be Green will enable the Council to both take ownership of its emissions, to save energy and make financial savings. The Programme will bring together and build on many existing good practices from across the Council, demonstrating our One Team philosophy. It will also ensure that good carbon management; environmental responsibility and energy efficiency is engrained within the whole Council’s ethos, indefinitely.” We can realise our vision by targeting activity into three key areas: • Policies and procedures • Encouraging behavioural change • Improvements to buildings, facilities and assets
Fenland District Council Carbon Management Plan working with
2.2 Strategic objectives • • • • • •
To deliver long term year on year cost savings through carbon management project To reduce carbon dioxide (CO2) emissions generated from transport and buildings operated by the council through implementing ambitious, tangible measures. To increase the amount of waste that is diverted away from landfill and is recycled. To encourage behavioural change both within the Council and district wide through environmental awareness campaigns. To lead by example, demonstrating good practice both within the district and nation wide. To integrate carbon management into council policies and procedures.
2.3 Targets
Fenland District Council will aim to reduce CO2 emissions from Council Operations by 30% by 2012 from 2007 levels.
Fenland District Council Carbon Management Plan working with
Emissions Baseline and Projections The baseline data defined in this section will form the basis of the CMP. This section projects how future trends will impact upon the Council’s energy consumption, and carbon emissions; demonstrating the challenge facing the Council in its endeavour to achieve a 30% reduction in CO2 emissions. 3.1 Scope When calculating Fenland District Council’s emissions baseline, the following were considered: •
Energy consumption in Council-owned buildings (electricity, gas, oil etc).
•
Fuel consumption by fleet travel.
•
Staff business travel.
3.2 Baseline The baseline year chosen to calculate projections is 2007 (calendar year). To achieve an accurate, representative record of carbon emissions, data was collected in the following ways: •
Gas and electricity bills, based upon actual meter readings where available, allowed for the calculation of the total amount of energy consumed by councilowned buildings.
•
Fuel data, relating specifically to fleet travel, was assessed by volumes of fuel purchased.
•
Business mileage was recorded through analysing rail and car mileage claims.
All data recorded was done so using the NI 185 tool developed by Defra. A summary of emissions for baseline year 2007 is shown below (Table 2.0). The cost to the Council is calculated using average costs per unit provided by Defra or where available actual unit prices. It does not include additional charges such as climate change levy or standing charges. CO2 emissions (tonnes)
% CO2 emissions
Cost (£)
% Cost
Buildings
2788
69
391,093
52
Fleet transport
1166
28
333,403
44
Business Mileage
106
3
32,316
4
Table 2.0 – Summary table for baseline year 2007.
Fenland District Council Carbon Management Plan working with
Offices Electricity 3%
Offices Gas or Oil
14%
Leisure Centre Gas 25%
Leisure Centre Electricity
5%
Public Conveniences Electricity Street Lighting
18%
0%
Sewage Treatment and Pumping Stations Markets and Clocks
2% Car
1% 3%
Rail
6% 6%
17%
Fleet Boat
Figure 3.0 Breakdown of baseline CO2 emissions of 4060 tonnes.
Data shows that for baseline year 2007, a total of 4060 tonnes of CO2 was emitted from Council operations into the atmosphere. The largest single emission source was that of Leisure Centres (See Figure 2.1). Of the 4060 tonnes 35% was from leisure centres, illustrating the potential savings which could result by focussing resources in this area. Another significant source, which must not be overlooked, is that of offices. 29% of all emissions originated from council offices, which again highlights an area with carbon saving opportunities. 1272 tonnes of CO2 generated was done so through council related travel. Approximately 92% of total transport emissions originated from fleet travel, including the boats whereas 8% of travel emissions were from business mileage. Despite being relatively small emission sources, it must be noted that commuting and business related travel are areas where simple measures could be implemented to make significant carbon savings. Public conveniences and street lighting both contribute 6% to the Council’s baseline. We have identified a potential project to reduce the amount of energy used to power the 900 street lights owned by the Council. However, vandalism and a lack of natural light source in some of the public convenience sites have prevented a similar technology being used. However we will continually monitor the situation at these sites and endeavour to implement alternative energy saving measures when available.
Fenland District Council Carbon Management Plan working with
3.3 Projections and Value at Stake 3.3.1 Business-as-Usual (BAU) Scenario The BAU scenario assumes the Council will fail to reduce existing trends in energy consumption (0.7% increase pa) and therefore incur substantial costs due to an expected increase in energy prices (8.4% pa). By 2012, CO2 emissions resulting from Council operations are estimated to reach 4204 tonnes per annum, whilst the cost to the council is expected to rise to £ 1,172,954 by 2012. (Figure 4.0 & Figure 5.0) Such projections clearly highlight that doing nothing is not financially viable. 3.3.2 Reduced Emissions Scenario (RES) The RES demonstrates the carbon and financial savings associated with Fenland District By Council reducing their baseline CO2 emissions by 30% over the next five years. implementing Keen to be Green and still assuming a modest energy price rise of 8.4%, the Council can reduce its emissions to 2842 tonnes per annum and reduce its annual energy cost to £792,924 by 2012. Comparison of actual emissions with BAU increases and reduction targets predicted 4,500,000
4,204,265
Carbon emissions (kgCO2)
4,000,000
3,500,000
2,842,110 3,000,000
2,500,000
2,000,000
1,500,000
1,000,000
500,000
-
-
-
-
-
-
2007
2008
2009
2010
2011
2012
Year Actual emissions
Figure 4.0
BAU emissions
Target
Fenland District Council Carbon Management Plan working with
Comparison of emissions with BAU increases and reduction targets - financial 1,400,000 1,200,000
£1,172,954
1,000,000 800,000
£792,924
£ 600,000 400,000 200,000 £-
£-
2008
2009
£-
£-
£-
2011
2012
2007
Actual cost
2010 Year BAU cost
Target cost
Figure 5.0
3.3.3 Value at stake (VAS) The VAS refers to the difference between the BAU scenario (red line) and the RES (blue line) over the entire lifetime of the carbon management programme. It is used to explain the carbon value and financial cost at stake if the Council fails to reduce its energy consumption. 3.3.4 Carbon Value at Stake If the Council fails to reduce its environmental footprint, carbon emissions are predicted to rise annually by approximately 0.7% over the next five years. It is estimated that the total carbon value at stake (i.e. the total area between the blue and red line) over the next five years is 4258 tonnes cumulative. 3.3.5 Financial Value at Stake Due to increasing energy prices, the costs incurred by the Council if its energy usage continues to rise will dramatically increase. It is estimated that the financial value at stake to the Council over the next five years £1,068,068. This demonstrates a clear case for action.
Fenland District Council Carbon Management Plan working with
Carbon Management Projects This section outlines those projects that have been identified through the LACMP; during workshops held with Keen to be Green team across both Huntingdonshire District Council and Fenland District Council to share best practice and engage officers in the production and the delivery of the CMP. Several criteria were used to examine the feasibility of projects proposed. These included:
Potential for carbon savings.
Financial investment required.
Staff resource/support required.
Technical practicality.
Payback period for capital investment.
4.1 Existing capital projects Implement Cost (£)
Annual Saving CO2 t
Pay back (years)
Year
1314
9
N/A
2008
422 from existing budgets
1300
1
4
2008
Annabel Tighe
from existing budgets
1200
0.1
1.2
2008
John Hardy
from existing maintenance budgets
12462
89
7
2008
Phil Hughes
from existing budgets
0
0.1
0
2008
Geoff Kent
from existing budgets
10000 (ink)
3
2
2009
Ref
Project
Lead
1.
Sever Virtualisation
Geoff Kent
from existing maintenance budgets
2.
Office Recycling
Pete Walls
3.
Electric Bikes
4.
Re-commission AHU’s in 2006 build at Manor Leisure Centre. Old Air Handling Unit was too old to function.
5.
Assisted Cycle Purchase
6.
Printer rationalisation
Fin (£)
4.2 Year one and two capital projects Ref
Project
7/8.
Smart Metering and Awareness Campaign
Lead
Implement Cost (£)
Annual Saving Fin £
CO2 t
Pay back (years)
Year
Steve Napier Alex Page
35000
7800
56
4.4
2009
Voltage Optimisation Fenland Hall 9.
Voltage Optimisation Manor
John Hardy
8000
3525
25
2.84
2009
10.
Pipework Insulation Fenland Hall
John Hardy
1000
159
1
6
2009
11.
Draught Proofing Fenland Hall
John Hardy
15500
3138
22
4.94
2009
12.
Travel Plan
Wendy Otter
TBC
TBC
TBC
TBC
2010
13.
Variable Speed Drive Manor Leisure Centre
John Hardy
3000
563
4
5.3
2009
14.
Lighting Sensors in offices
John Hardy
1500
225
2
6.6
2010
Fenland District Council Carbon Management Plan working with
Annual Saving 15.
Building Rationalisation
Steve Napier
From existing budgets
3800
27
1
2010
16.
Street Lighting
Trevor Watson
10000
3775
24
2.96
2010
17.
Power downs fitted 5 vending machines
Geoff Kent Martin Rogers
150
525
4
0.29
2009
18.
Loft Insulation Fenland Hall
John Hardy
1000
281
2
3.56
2009
19.
Cam Share car sharing online resource.
TBC
1200
2709
6
1
2009
20.
Eco Driving
TBC
1600
422
1
1-5
2010
21.
Trade Waste recycling
Pete Walls
10000
15000
89
1
2010
4.3 Non Capital projects year one and two. •
Green Champions. In order to make Keen to be Green a success members of staff from across the whole Council will help deliver the key messages of the awareness campaign. Champions will have a job description and for each theme the green champions will host fun sessions for staff to see what is planned and how they can get involved. These should take the form of a well being event roughly once a quarter. Evidence from previous rounds of the LACMP hosted by the energy saving trust has shown that this has made energy savings of 5%.
•
Review of Fleet significant financial CO2 and savings can be made by reviewing the efficiency of fleet rounds and implementing Eco driver training as quantified above. A 5% reduction in fuel usage could lead to £15K savings and 20 tonnes of CO2 in the first year alone.
•
Implement policy to restrict weekend working in Council buildings. This will remove the need to heat council buildings during weekends in the winter months and hence reduce both fuel consumption and costs.
•
All staff annual travel survey and energy survey. An annual survey will allow the Council to assess whether awareness campaigns are effective and also to continue to monitor emissions associated with staff commute travel.
•
Carbon to be incorporated into procurement policy. Fenland District Council is required to report to government all indirect emissions from contracted services. Therefore all contracts for external services should specify that an annual emissions summary is submitted.
•
Council policy on reduce and reuse. If we are to reduce the embedded energy we use in the Council’s office materials and deliveries Corporate Management Team will need to set a clear reduce and reuse policy for all service areas. This may include a maximum materials allotment per department, prohibition of special stationery deliveries and requirement to reuse materials before purchasing more.
Fenland District Council Carbon Management Plan working with
•
All staff policy on building temperature. Reducing the thermostat by 1 degree could result in a 10% reduction in fuel consumption. Corporate Management Team will need to support a small reduction in temperature in order for building facilities staff to implement this change. Staff will be encouraged to bring appropriate clothing to work. The buildings boiler management system will also need to be used efficiently for this to be effective.
•
Council printing policy and paper purchasing moving towards paper free offices. Restrictions should be placed on printers to prevent the printing of large documents other than via the print room. Managers should send a clear message to staff that printing should be minimised and the use of computer libraries should be encouraged. In particular the printing of agendas and multiple documents for meetings should be reduced.
•
If new equipment is absolutely necessary equipment should be at least A rated. This will minimise the amount of additional energy added to the buildings energy usage.
•
Carbon management to be included in Managers Handbooks. This will ensure that all managers have a good understanding of what the Council is trying to achieve and how they can contribute to meeting this target.
•
Review of mileage subsistence. Currently business mileage claims are administered in accordance with the number of miles travelled. Essential user allowance also increases with car size. There is potential to review the current system to insentivise car sharing and use of public transport between certain destinations. The Council could also review essential user allowance to benefit drivers of more efficient vehicles. A subsistence based on fuel used rather than miles travelled coupled with essential user eco driving could see savings of £15,000 based on and average of 35p per mile and 15% improvement in fuel consumption.
•
Energy Efficiency training at staff induction. All new staff will have a good understanding of the Council’s policy on energy efficiency and what is expected of them regarding energy efficiency as an employee.
•
Review of car loans. A policy should be set out to determine the maximum size and emissions of vehicle to be funded through the loan scheme.
•
Removal of portable heaters, fans and non essential electrical appliances from offices. CMT to support this policy and reduce the amount of energy being used.
•
Restrictions when ordering journals and requesting external documents. A database and online library should be kept detailing which journals have been subscribed to by individuals to prevent duplicate orders, unnecessary expense and wasted paper.
•
Carbon Management annual objectives to be included in the corporate plan. This will ensure that each stage of Keen to be Green is adopted as a continued priority by the whole Council.
Fenland District Council Carbon Management Plan working with
4.4 Capital Projects to be considered from year 3.
Ref
Project
Annual Saving
Implementation Cost
Lead
Fin
Pay back (years)
Year
(£)
CO2 (tonnes)
22.
CHP at Manor Leisure Centre
Steve Napier/ Phil Hughes
125000
30000
228
4
2011
23.
CHP Hudson Leisure Centre
Steve Napier
125000
30000
228
4
2011
(£)
Before these measures are implemented a full review, as detailed in part 1.1.2 will be undertaken.
4.5 Projected achievement towards target By implementing the projects currently identified through the LACMP, Fenland District Council will achieve a 21% reduction in CO2 emissions. Due to the nature of carbon management, the projects identified within this document are not absolute and new, innovative projects are continually being identified and implemented which will contribute to our 30% reduction target. It is vital that the CMP is continually reviewed and updated to reflect the Council’s overall achievement towards the target set.
Carbon progress against target 4,500 4,000 3,500 3,000 2,500 2,000 1,500 1,000 500 2007
2008
2009
2010
2011
Year Predicted Business as Usual Emissions Target Emissions Emissions in chosen plan
Figure 5.0. Projected achievement towards 30% reduction target.
2012
Fenland District Council Carbon Management Plan working with
Carbon Management Plan Financing In a time of economic uncertainty, the need to reduce energy consumption has never been so pressing. Increasing energy and fuel prices are causing great concern for local authorities, so too are uncertain fuel supplies. Aiming to use public funds efficiently, whilst making cost savings; low carbon operations are becoming increasingly important. This Carbon Management Plan makes recommendations which will enable the Council to reduce carbon emissions by 30% between now and 2012 and in doing so reverse the trend of increasing energy use by the Council and save £1,068,068 over the life of the plan. The investments identified within this plan for the period 2008 – 2013 will be recouped on average in around 4 years from savings in reduced energy consumption. Of the 23 projects identified by the plan, some are existing already funded projects. Others, such as the Corporate Travel Plan and Green Champions initiative, are low, or nil cost measures, which will encourage behavioural change in employee travel or use of council buildings. Other projects such as the use of Voltage Optimisation systems at Council leisure centres are ‘spend to save’ initiatives that will achieve significant cost and carbon savings after an initial investment. Some projects require funding and will be subject to the usual budgetary process over the period of the plan. Assumptions
• Average electricity rate for stationary sources in 2007 £0.075/kwh • Average gas rate for stationary sources in 2007 £0.0265/kwh • Average electricity rate for CHP unit in 2007 £0.0357/kwh • Cost of burning oil in 2007 £0.0440/ltr • Cost of gas oil in 2007 £0.0330/ltr • 8.4% annual increase to the cost of purchasing fuel • 0.7% increase in carbon dioxide emissions from Council estate. • Average cost of diesel for 2007 £0.826
Fenland District Council Carbon Management Plan working with
5.1 Benefits / savings £300,000 £250,000 £200,000 £150,000 Total net cost savings for this year (exc capex)
£100,000
Cumulative net present cost of programme
£50,000 £2007 2008 2009 2010 2011 2012 2013 2014 2015 -£50,000 -£100,000 -£150,000
The cost savings are based completely on savings made from not purchasing fuel or energy. They do not account for other potential savings such as reduction in the cost of materials or maintenance savings. You will notice that the % achieved towards target begins to decline in 2013 this is because prices and consumption will continue to rise and demonstrates the need to continue to invest to save. As the programme progresses and projects are continually identified and quantified the % savings towards target will increase which will counteract the BAU 0.7% consumption increase. Given the initial expenditure above it is estimated that the Council will make the first financial gain (i.e. its savings from projects are more than the amount spent on projects in that year) in 2014 of approximately 13K rising to 80K in 2015 and rising each year after that. However, this will only satisfy a 15% CO2 reduction. In order to meet a 30% reduction and to continue to counter consumption and fuel price rises, further projects will be needed (see table below). Further investment will extend the time before we are able to reap the financial gains of having installed enough measures to make savings against the overall fuel bill but rises in fuel costs shorten this period.
Fenland District Council Carbon Management Plan working with
5.2 Financial costs and sources of funding 2009/10
2010/11
2011/12
Annual capital costs:
50K
50K
250K
Potential external funding
25K
25K
125K
FDC Funding (Invest to Save)
25K
25K
Future Capital Bid
2012/13
2013/14
125K
It would be beneficial to utilize the ‘invest to save’ reserve to fund projects in the first 2 years of the plan together with funding from Salix finance. Costs savings identified in the table above would need to be reinvested in further projects in future years to achieve the savings in CO2 required to meet the stated aim of 30% reduction by 2012. Consideration will be given the setting up of a carbon management reserve to fund the projects detailed in the report through the combination of an initial contribution from the ‘invest to save reserve’, Salix finance funding and reinvestment of savings generated from the individual projects. Salix Finance work with public sector bodies to reduce energy costs and carbon emissions. Salix Finance can offer interest free match funding typically of £250k to be spent over the first 2 years to enable Fenland District Council’s funds to go twice as far. Funds are ring fenced and are to be spent on energy efficient projects only. The savings are then recycled to be spent on future energy saving projects. Funding does not need to be paid back to Salix Finance provided the funds are invested and reinvested 3 times over a 15 year period Funding is drawn down in instalments over 2 years. The funding and match funding is ‘ring fenced’, although up to 15% can be spent on other costs involved in energy efficiency promotion.
Salix finance only fund cost effective projects with high CO2 reductions. Two project compliance criteria are; 5 year payback period and £100/tCO2 7.5 year payback period and £50/tCO2
At least 8 of the projects identified above already meet this criteria including: Voltage Optimisation Insulation Street Lighting Controls Vending controls Draught proofing
Fenland District Council Carbon Management Plan working with
Capital projects are an important part of any carbon management plan as they simultaneously lower energy bills and our carbon footprint while delivering technology and efficiency upgrades to the whole estate. They also provide a focus for education and cultural change especially among employees. 5.3 Use of Resources Assessment for Comprehensive Area Assessment (CAA) From 2008/09 the criteria for the ‘Assessing the use of Recourses Assessment’ for CAA changed. This has meant that within the criteria for assessing value for money in the use of resources there is a new element of assessment in relation to; ‘How well does the Council manage its natural resources, physical assets and people to meet current and future needs and deliver value for money?’ Implementation of the Keen to be Green plan will be evidence of a proactive Council approach to managing use of natural resources in an efficient way.
Fenland District Council Carbon Management Plan working with
Actions to Embed Carbon Management in Your Organisation
6.1 Corporate Strategy – embedding CO2 saving across your organisation.
5
CORPORATE STRATEGY
ACTIONS
• Top level target allocated across organisation
The Council is currently at level 2 we have a draft environment strategy and the reference to Climate Change in other strategies.
CO2 reduction targets in Directorate Business Plans
4
• CO2 reduction commitment in Corporate Strategy • Top level targets set for CO2 reduction Climate Change Strategy reviewed annually
3
• CO2 reduction vision clearly stated and published Climate Change Strategy endorsed by Cabinet and publicised with staff
2
• Draft Climate Change Policy Climate Change references in other strategies
1
• No policy No Climate Change reference
By 2012 we feel that it is achievable to reach level 4. To achieve this members and CMT will need to commit to reducing emissions in the Corporate Plan. CMT will also need to embed the CMP within the business Efficiency Strategy, setting top level annual targets for each service. The project lead and building facilities will justify future investment by providing real savings evidence to members and CMT.
6.2 Programme Management – bringing it all together effectively
5
PROGRAMME MANAGEMENT
ACTIONS
• Cabinet / SMT review progress against targets on quarterly basis • Quarterly diagnostic reports provided to Directorates
The Council is currently at level 2 some good measures have been taken to reduce energy usage but the success of the projects has not been monitored.
Progress against target published externally
4
• Sponsor reviews progress and removes blockages through regular Programme Boards • Progress against targets routinely reported to Senior Mgt Team
3
• Core team regularly review CM progress: o actions o profile & targets o new opportunities
2
• Ad hoc reviews of CM actions progress
1
• No CM monitoring
It is achievable to reach level 5 by 2012 by regularly imputing data and monitoring consumption using smart metering and software. Presenting achieved savings to Cabinet and CMT. This plan will be reviewed as part of service planning and ideas will be welcomed from all service areas. Successful projects and savings will be used as good exemplars for businesses through the green business club.
Fenland District Council Carbon Management Plan working with
6.3 Responsibility – being clear that saving CO2 is everyone’s job RESPONSIBILITY
ACTIONS
5
• • • •
The Council is currently at level 1. Although work has begun to reduce energy use, the Council has not taken responsibility for carbon dioxide reduction.
4
• CM integrated in to responsibilities of department heads • Cabinet / SMT regularly updated • Staff engaged though Green Champion network
3
CM integrated in responsibilities of senior managers CM part of all job descriptions Central CO2 reduction advice available Green Champions leading local action groups
• CM integrated in to responsibilities of department heads • Cabinet / SMT regularly updated • Staff engaged though Green Champion network
2
•
CO2 reduction a part-time responsibility of a few department champions
1
•
No recognised CO2 reduction responsibility
BY 2012 it is realistic to reach level 4. In order to achieve this we must establish a green champions’ network of staff and also develop member champions. Communications will need to be engaging and emphasise everyone’s responsibility. This will need to come from the Council leader and Chief Executive. There should also be an onus on Service Heads to take responsibility for the carbon impact of their operations.
6.4 Data Management – measuring the difference, measuring the benefit
5
DATA MANAGEMENT
ACTIONS
• Quarterly collation of CO2 emissions for all sources • Data externally verified • M&T in place for: o buildings o street lighting
The Council is currently at level 3 we have collated data for a 1 year period to assess the emissions from buildings, street lights and transport.
waste
4
• Annual collation of CO2 emissions for: o buildings o street lighting o transport o waste Data internally reviewed
3
Collation of CO2 emissions for limited scope i.e. buildings only
2
• No CO2 emissions data compiled
1
• No CO2 emissions data compiled
Energy data compiled on a regular basis Estimated billing
In order to reach level 5 by 2012 smart metering will be required in buildings and simple energy management software to be used regularly by building facilities to monitor weekly and run reports from monthly. This will enable us to measure success of capital projects, identify any inconsistencies and potentially negotiate better energy rates. Purchasers of fuel will also be required to input purchased quantities. Annual travel and energy surveys should be undertaken to monitor behavioural change and staff engagement.
Fenland District Council Carbon Management Plan working with
6.5 Communication and Training – ensuring everyone is aware
5
COMMUNICATIONS AND TRAINING
ACTIONS
• All staff given formalised CO2 reduction: o induction and training o communications • Joint CM communications with key partners
The Council is currently at level 1 no communication or training is in place.
Staff awareness tested through surveys
4
• All staff given CO2 reduction: o induction o communications
3
• Environmental / energy group(s) given ad hoc: o training
CM matters communicated to external community
communications
2
• Regular awareness campaigns
1
No communication or training
Level 4 is achievable by 2012. Green Champions will play a key role in achieving this. New messages will delivered in a fun way through quarterly open sessions to staff in the style of well being days, posters, green fairies and What’s Breaking. Green champions will also be responsible for delivering a short ‘green induction’ to new staff to show what is expected of them at the Council.
Staff given CM information on ad-hoc basis
Green champions will give regular updates on ‘keen to be green’ at team meetings and their responsibilities should be recognised in ‘springboards’
6.6 Finance and Investment – the money to match the commitment
5
FINANCE AND INVESTMENT
ACTIONS
• Finance committed for 2+yrs of Programme • External funding being routinely obtained
The Council is at level 3. We have been working with the chief accountant to investigate potential funding for capital projects and we have an understanding of what investment will be required.
Ring-fenced fund for carbon reduction initiatives
4
• Coordinated financing for CO2 reduction projects via Programme Board • Finances committed 1yr ahead Some external financing
3
• A view of the cost of CO2 reduction is developing, but finance remains ad-hoc • Some centralised resource allocated Finance representation on CM Team
2
Ad hoc financing for CO2 reduction projects
1
No specific funding for CO2 reduction projects
By 2012 it is achievable to reach level 5 with the assistance of Salix Finance and the carbon trust on establishing a discrete fund for carbon reduction. Identified projects will natural be assessed for carbon saving and if they are compliant can be funded in the next two year cycle. We initially need to gain commitment to the project from members and CMT at cabinet in March 2009. Following this we will also need to plan how Keen to be Green will be incorporated into the MFS.
Fenland District Council Carbon Management Plan working with
6.7 Policy Alignment – saving CO2 across your operations
5
POLICY ALIGNMENT
ACTIONS
• CO2 friendly operating procedure in place • Central team provide advice and review, when requested • Barriers to CO2 reduction routinely considered and removed
The Council is currently at level 1. Although due to business efficiency review some financial savings have been identified that also reduce carbon emissions.
4
• Comprehensive review of policies complete • Lower level policies reviewed locally • Unpopular changes being considered
3
• All high level and some mid level policies reviewed, irregularly • Substantial changes made, showing CO2 savings
2
• Partial review of key, high level policies • Some financial quick wins made
1
No alignment of policies for CO2 reduction
It is achievable to reach level 4 by 2012. A policy review should be undertaken every year in order to ensure that all policies recognise carbon reduction and do not counteract the Council’s emissions reduction target. Any identified changes should be considered by Members, CMT and the Keen to be Green team. Policy on procurement should include the requirement for existing external agencies to report quarterly on their emissions, as we are required to submit this to the government. New tenders should emphasise the benefits of meeting green credentials to potential contractors.
Fenland District Council Carbon Management Plan working with
Programme Management of the CM Programme 7.1 The Programme Board – strategic ownership and oversight
• The Project Lead will produce monthly updates for the Carbon Management Team to review progress on activities and projects, identifying any issues that need to be discussed with the Programme Board. The Project Lead will also arrange meeting, when necessary, with key members of the Team in relation to specific actions within the project plan. • The Project Lead will meet at least monthly with The Project Sponsor to discuss progress. • The Programme Board will meet monthly, approximately one week after the Project Lead has met with the Project Sponsor. • The Programme Board will be the Corporate Management Team.
Cabinet
Senior Management Team
Programme Board: Corporate Management Team
Project Lead: Isabel Edgington Deputy Project Lead: Dan Horn
Keen to be Green Team
Fenland District Council Carbon Management Plan working with
7.2 The Keen to be Green Team – delivering the projects
Role
Name and position in the LA
Contact details
Project Leader
Isabel Edgington: Climate Change Officer
Deputy Project Leader
Dan Horn: Head of Housing and Neighbourhood Services
01354 622436 [email protected] 01354 622470 [email protected]
Carbon Management Team
Keith Ashworth: Customer Access Manager Chris Copeman: Leisure Centre Manager Mark Gregory: Fleet and Technical Manager Geoff Kent: Head of Income and ICT David Hamilton: Corporate Communications Manager John Hardy: Building Surveyor Manager Alvin Harrison: Insurance and Lease Car Manager Steve Napier: Property Services and Asset Manager Guy Robinson: Procurement Manager Mark Saunders: Chief Accountant Pete Walls: Operations Manager Trevor Watson: Engineering Services Manager Anna Goodall: Business Efficiency Manager Lucy Watsham: Policy Officer Sam Anthony: Human Resources Manager Alex Page: Communications Officer
Project Sponsor
Richard Cassidy: Director of Environment and Leisure
01354 622382 [email protected] 01354 627521 [email protected] 01354 602119 [email protected] 01354 622290 [email protected] 01354 622313 [email protected] 01354 622421 [email protected] 01354 622284 [email protected] 01354 622403 [email protected] 01354 622270 [email protected] 01354 622486 [email protected] 01354 602140 [email protected] 01945 427151 [email protected] 01354 622357 [email protected] 01354 622592 [email protected] 01354 622268 [email protected] 01354 622409 [email protected] 01354 602142 [email protected]
Fenland District Council Carbon Management Plan working with
7.3 Succession planning for key roles In order to ensure that the project will continue into the future given that individuals may move from post the programme will need to be robust enough to withstand such changes. The Council should adapt a system of data management that can be accessed remotely and updated regularlly by more than one member of staff within the building faciltites service and remote site managers such as the leisure centres’ managers. CMT should instigate the inclusion of carbon management projects and targets annually within the corporate plan and inform managers of service targets. The Keen to be Green Team will meet quarterly to discuss new oportunities and the progress of projects. The recommendations of the groups will be presented quarterly to members and CMT via the project sponsor. Should the project sponsor leave post the group will seek a new sponsor from CMT. There should always be a financial sponsor on the Keen to be Green team who will provide quarterly updates on financial spend and savings achieved. Should the financial sponsor move from post CMT should provide a financial sponsor to ensure that the ringfenced fund continues to fundtion.
7.4 Annual progress review A formal review of progress against the Carbon Management Plan will take place on an annual basis. Statistical analysis of the carbon reduction achieved by the Council will take place every calendar year, whereas a review of the projects identified and any proposed projects will take place alongside the Councils Medium-Term Bidding process. This will also coincide with the review of Fenland District Council’s Environment Strategy. CO2 savings against the Councils 30% reduction target will be assessed, so too will the financial savings achieved and other less quantifiable benefits will be assessed to holistically demonstrate the impact carbon management has had each year. Progress will be reported via the Programme Board to Cabinet annually. 7.5 The review process will: •
Monitor the impacts of projects that have been delivered
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Discover how knowledge gained from undertaking measures can be shared with the business community.
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To reassess measures that have previously been disregarded to assess whether; d) Energy costs have risen making the pay back period more cost effective e) A reduction in the capital cost of implementing a measure has reduced f) Alternative finances have become available to implement the pro
