The Client
The client is a privately owned Australian company which produces and distributes poultry products throughout the country. The company is one of Australia’s largest poultry processing companies, and has a vertically integrated model, meaning they control and manage production process from start to finish.
The Project
The client is a large energy user with a correspondingly large GHGGreenhouse gases trap heat in the atmosphere. They all have different global warming potentials (GWP) over different time frames, the higher the number, the worse the impact. For simplicity of accounting everything is referenced back to carbon dioxide which has a global warming potential of 1. There are over 200 GHGs listed in the IPCC fifth assessment report, a sample are below. Note that in current carbon accounting standards the 100 year GWP is used. Greenhouse gas 20 year GWP100 year GWPCarbon dioxide CO211Methane CH48428Hydrofluorocarbon HFC-134a37101300Chlorofluorocarbon CFC-1169004660Nitrous Oxide N2O264265Sulfur hexafluoride SF617,50023,500 emissions footprint. This means that they are likely to be impacted as the state, national and global economies transition to net zero emissions over the coming decades. The company has already noted that these impacts are already starting to be felt, in particular from supply chain pressures from their major customers, who have made public net zero emissions commitments and are therefore requiring their suppliers to provide information on their current emissions and their emissions reduction plans. In order to ensure business continuity and profitability during this transition to a net zero emissions world, they recognised the need to prepare a corporate carbon emissions reduction strategy.
Our Role
Northmore Gordon developed a Corporate Carbon Emissions Reduction Strategy for the client, including:
• Identifying strengths and gaps in the client’s current approach to managing carbon emissions;
• Conducting a series of workshops with a range of stakeholders across the organisation to review key carbon management concepts and frameworks, including the Greenhouse Gas ProtocolThe GHG Protocol is the most widely used greenhouse gas accounting standard for companies. It provides guidance on the calculation of scope 1, 2 and 3 emission sources. It is consistent with the ISO 14064 series of accounting standards on greenhouse gases., Science Based Targets initiative (SBTiScience Based Targets initiative), Climate ActiveClimate Active is an accreditation program for Australian companies to certify their organisations, products, services, events, buildings or precincts as carbon neutral. The program is backed and administered by the Australian government. Companies have to measure their scope 1, 2 and material scope 3 emissions, reduce where possible and offset the remainder by purchasing and retiring offsets. Allowed offsets are LGCs for scope 2 and ACCUs, CERs, RMUs, VCUs or VERs for scope 1 or 3 emissions. Annual reporting is required and published on the Climate Active website. More, and the Task Force on Climate-related Financial Disclosure (TCFDThe Task Force on Climate-related Financial Disclosures (TCFD) is an industry-led effort, chaired by Michael Bloomberg, with 32 global expert members from the private sector. The TCFD recommendations are designed to solicit consistent, decision-useful, forward-looking information on the material financial impacts of climate-related risks and opportunities, including those related to the global transition to a lower-carbon economy. More)
• Establishing a baseline carbon emissions footprint, covering all relevant scope 1, 2 and 3 greenhouse gas emissions
• Identifying opportunities to reduce carbon emissions across the organisation;
• Modelling various emissions reduction pathways, including Marginal Abatement Cost Curves (MACC);
• Defining emissions reduction targets with timeframes and implementation pathways
• Developing engagement tools to communicate the strategy internally and externally
The Outcome
“With Northmore Gordon’s help we were able to establish a carbon footprint and develop a strategy, we can now share to our key stakeholders and most importantly our customers. We believe it is our responsibility to work in a manner that reduces harm to the environment and had already been doing a lot to reduce our impacts. We are now able to set ambitious targets, understand our footprint and collaboratively work together with our customers and suppliers towards zero emissions.”
For more information contact: c.morgan@northmoregordon.com
