CARBON
EMISSIONS IN
THE FOOD
AND BEVERAGE
SECTOR
A CLIMATE SMART TM INDUSTRY BRIEF
SPONSORS
SECTOR SPONSORS
ADDITIONAL SUPPORT
ABOUT CLIMATE SMART
Empowering businesses to reduce
carbon emissions and cut costs
Climate Smar t Businesses Inc. is a social enterprise that provides a training
and cer tification program for businesses to measure their carbon emissions,
identify oppor tunities for cost, energy, and carbon savings, and communicate
their effor ts internally and externally.
We work not as consultants, but as teachers, using a capacity-building
curriculum, top-rated software tool, and one-on-one client suppor t.
Businesses and organizations renew their Climate Smar t cer tification by
measuring their carbon emissions annually to track progress toward reducing
emissions and add to their reduction plans. Individuals coming through our
training learn to measure, analyze and reduce their company’s impact: key
skills in the emerging green economy.
Climate Smar t also works with local governments, utilities, industr y
associations and other corporate par tners to engage their business
communities. We catalyze innovation, which strengthens businesses in the face
of risks from volatile energy and fuel prices, the rising cost of waste disposal,
and an increase in climate change impacts.
Climate Smart business training session (photo credit: Climate Smart)
Climate Smar t businesses cut unnecessar y consumption of energy, fuel,
and materials, as well as waste generation, tying climate action to smar t
business practice. Since 2008, we have helped more than 770 businesses and
organizations of all sizes and sectors prepare for the future.
Using our growing set of data, Climate Smar t develops repor ts, case
studies and analysis for community emission modeling, utilized by both local
governments and businesses to benchmark their progress against emission
and cost-saving goals and amongst their peers.
Learn more about how Climate Smar t can help your organization’s move to a
new, prosperous normal.
Go to www.climatesmartbusiness.com or call 1-888-688-6283.
CONTENTS
1 Introduction
4 Food Processing and Distribution
15 Case Study: Left Coast Naturals
17 Case Study: Van Houtte Coffee Services
19 Food Retail
27 Food Services
34 Case Study: Recycling Alternative and Tacofino
36 Invitation to Businesses
37 Sponsors
INTRODUCTION
VISUALIZING A TONNE OF CARBON
Welcome to Climate Smart’s third Industry
Brief in a series showcasing data and trends in
climate change action among small and mediumsized enterprises (SMEs). These organizations
are making smart decisions to reduce their
greenhouse gas emissions, while improving their
top and bottom lines at the same time.
The series came about as a way of responding to
our clients’ curiosity about their performance
compared to their peers and competitors. In each
Brief we address sectors with similar operation
types, highlighting what we have learned about
the sector’s emission sources and opportunities
for reductions. It’s also a forum to share the
wealth we have gathered: ideas generated and
tested by Climate Smart businesses aiming to
improve the way business is done.
This Brief focuses on the food and beverage
sector, comprising food and beverage processors
and distributors, retail stores, and food service
businesses. The business data provided in this
Brief comes from the Climate Smart data pool
of greenhouse gas emission inventories and
reduction strategies for 770+ businesses, many
of which have measured their emissions with
Climate Smart for a number of years. 77 food
sector businesses have completed their Climate
Smart certification to date, forming the basis for
this study.
Learn more about how
Climate Smart can help your
organization transition to the
new low-carbon economy.
www.climatesmartbusiness.com
1-888-688-6283
In carbon accounting the unit of measure is tonnes of
carbon dioxide equivalent (CO 2e). This represents the
amount of seven different greenhouse gases (GHGs)
released into the atmosphere. Each of these gases
has a different global warming potential (capacity
to heat the atmosphere), so they are conver ted
into equivalent tonnes of CO 2: the most impor tant
greenhouse gas and the one that represents the vast
majority of the world’s GHG emissions.
1 tonne of CO2e
at ground-level
pressure and temperature
would fill a sphere
10.9 m in diameter
CO2
There are 2,989 billion tonnes
of CO2e in Earth’s atmosphere.
689 billion tonnes, or 22% of
this amount, has been added by
human activity.
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
1
THE FOOD AND BEVERAGE SECTOR
BC’s food sector includes producers, processors, and
distributors of food as well as food ser vices and food
retail sectors. There are over 30,000 food sector
businesses in BC employing just over 300,000 people and
contributing over 10.1 billion dollars to the province’s
GDP*. As our food travels down the supply chain from
growers to processors to grocer y stores and restaurants
and, ultimately, to our plates, energy, fuel, and other
resources are used at ever y step along the way to grow,
transpor t, prepare, package, cook, and ser ve the food we
eat. This energy and fuel use produces carbon emissions
and contributes to climate change, the environmental
challenge United Nations Secretar y General Ban Ki-moon
calls “the defining issue of our time”.
In this brief, we focus on the three sub-sectors of food
processing and distribution, food retail, and food ser vices
and profile forward-thinking and innovative businesses that
are taking action to reduce their carbon footprint while
strengthening their business and protecting themselves
from rising fuel and energy costs. These businesses are
using GHG emissions as a lens to look at their business
and identify and improve upon the areas of inefficiency,
while strengthening their top and bottom lines at the
same time. From small coffee shops to food distributors
employing hundreds of people, from corner stores to
supermarket chains, these businesses are taking the
lead in improving the way food business is done. We
hope that their journeys and achievements will inspire
more businesses to star t measuring and managing their
emissions. We encourage industr y associations to use
this repor t to help focus their effor ts to suppor t emission
reduction initiatives within their sectors.
Export
Direct Supply
Farming
and
Fishing
Food
Processing
and
Distribution
Food
Retail
Customers
Food Services
Traditional Supply Chain
Direct Supply
Import
Farming and
Fishing
Food
Processing and
Distribution
Food Retailers
Food Services
29,800
49,325
75,081
153,073
Establishments
(number of businesses)
9,887
3,443
4,441
12,562
GDP Contribution
(million $):
1,314
3,843
2,988
3,334
--
320,000
180,000
450,000
Employment
(total employees)
Projected Emissions
(tonnes CO 2e)
* Source: Fast Stats 2012: Agriculture, Seafood and Agrifood, September 2013, BC
Ministr y of Agriculture, and Statistics Canada Cansim Table 379-0030
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
2
KEY FINDINGS AND COST SAVINGS
There is much to be learned from the greenhouse
gas management journeys of food-related
businesses and organizations. Some of the points
Climate Smar t discovered are:
• Refrigerant emissions var y greatly and can
account for up to 90% of emissions for
some businesses. This is often an area where
businesses can make a real difference and
reap some substantial power bill savings by
retrofitting their aging refrigeration equipment.
• Waste is a large emission source for food
businesses. Often the majority of the waste
is organic, and businesses achieve significant
reductions by simply diver ting their organics
from the landfill through composting.
• Electricity, while being a relatively small
emission source for these businesses due to the
low emission intensity of BC’s power grid, often
corresponds to one of the highest operating
costs, and offers low-hanging fruit oppor tunities
for cost savings.
To date, Climate Smar t cer tified businesses in the
food and beverage sector have reduced 1,366
tonnes CO 2e and achieved annual cost savings
of $430,000 from transpor t, electricity, waste
disposal, and heating. This represents a 7% annual
reduction – higher than the average 5% achieved
to date by Climate Smar t businesses.
Emissions from food distribution, processing,
retail, and food ser vices sectors combined are
projected at nearly a million tonnes of CO 2e.
This includes just four key sources: electricity,
natural gas, waste, and fleets. If these businesses
reduced their emissions from these four sources
by just 5% (an average reduction achieved by
Climate Smar t cer tified companies), it would
translate into a reduction of nearly 50,000 tonnes
of carbon and $20M saved in operating costs. By
2020, this annual 5% reduction would add up to
over 250,000 tonnes reduced and $100M saved in
operating costs – a significant step towards helping
BC meet its greenhouse gas reduction targets.
Did you know?
BC’s Greenhouse Gas Reduction Targets Act sets aggressive legislated
targets for reducing the province’s greenhouse gas emissions. BC’s
emissions are to be reduced by at least 33% below 2007 levels by
2020. A further emission reduction target of 80% below 2007 levels is
required by 2050.
AN INTERNATIONAL STANDARD FOR
CARBON EMISSIONS MEASUREMENT
GHG inventories compiled through the Climate Smar t
program follow the GHG Protocol, an internationally
recognized standard developed by the World
Resources Institute and the World Business Council
for Sustainable Development. According to this
protocol, an organization’s emissions are divided into
three categories, or scopes:
Scope 1 comprises all direct sources of emissions
(i.e., sources owned or controlled by the repor ting
business): fuel combustion from heating, fleet vehicles,
and equipment owned or leased by the repor ting
company, as well as refrigerant leakage from companyowned machiner y. Repor ting of Scope 1 emissions is
mandator y under the protocol.
Scope 2 includes purchased electricity, heat, and steam.
Repor ting of Scope 2 emissions is mandator y under
the protocol.
Scope 3 comprises all other indirect emissions:
materials use, waste disposal to landfill, transpor t
of people and goods with vehicles not owned or
controlled by the repor ting company (business travel,
third-par ty shipping), paper use, staff commuting, and
others. Repor ting of Scope 3 emissions is currently
optional under the protocol; however, 96% of Climate
Smar t businesses choose to measure at least a por tion
of their Scope 3 emissions.
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
3
FOOD
PROCESSING AND
DISTRIBUTION
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
4
BY THE NUMBERS
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MET is one of Nor th America’s sought-after custom
printers and recognized not only for innovative
craftsmanship and environmental leadership, but also
for its commitment to doing the right thing within
the community. The finest print quality resides in the
same space as the finest environmental and social
attributes: right here at MET.
Food processing and distribution in BC
encompasses over 3,400 organizations and
employs nearly 50,000 people, contributing 3.8
billion dollars to the province’s GDP. The projected
emissions for this sector are 320,000 tonnes of
CO 2e – this includes emissions associated with
electricity and natural gas use, as well as fuel used
by vehicle fleets and emissions from waste sent
to landfill. If these businesses collectively reduced
their emissions from just these four sources by
5% (the average annual reduction recorded by
Climate Smar t cer tified businesses), it would
result in a reduction of 16,000 tonnes of CO 2e,
and approximately $7M saved in operating costs.
Over six years, by 2020, this would amount to a
reduction of 26%, or over 85,000 tonnes of CO 2e,
and $36M in operating costs for these businesses
– a significant step towards helping BC meet
provincial GHG reduction targets*.
In this section, we look at what motivates
businesses in food processing and distribution
to manage their carbon emissions, the sector’s
key emission sources, and reduction strategies
that Climate Smar t businesses in this sector
implement to cut their emissions and operating
costs. The data for this section is derived from
the Climate Smar t data set that includes over
40 food processing and distribution businesses
that have become Climate Smar t cer tified since
2008. We hope that showcasing the leadership of
these forward-thinking businesses will help create
momentum and inspire other companies to take
action on climate change while strengthening their
business and preparing for the clean economy of
the future at the same time.
* Emissions are estimated using emission intensities derived from the Climate Smart data set. Cost savings are calculated assuming a 5% reduction across all emission sources and
current energy and fuel prices.
MET provides incredible power to the food and
beverage community with our MET Resource Web
to Print por tals, putting all of the power MET’s print
communication tools at your finger tips.
Find out how MET can power your Marketing.
Visit www.METprinters.com or call 1-866-254-4201
for more of our stor y.
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SPONSOR
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
5
MOTIVATIONS FOR MANAGING CARBON
Climate Smar t sur veys businesses upon registering
for our training and cer tification program to
understand the motivations driving action on
carbon emissions management. The sur vey results
for food processors and distributors are shown in
the char t.
Education is the most oft-cited driver for
businesses (nearly 60% of par ticipants mention it).
The practice of carbon management is still new to
many businesses and educating themselves on this
new business practive is an impor tant driver.
Marketing and brand image make up another
strong factor as businesses obser ve the market
demand shift towards more environmentally
responsible products and ser vices. Many
companies seeking to become Climate Smar t
cer tified already have a number of sustainability
initiatives in place and are looking to solidify their
commitment and quantify the benefit of their
effor ts as well as prioritize next actions.
Education
58%
Marketing / reputation / brand image
52%
Building on existing green initiatives
50%
Cost-cutting / efficiency
44%
Industry / community engagement
29%
CSR mandate
24%
Networking / B2B opportunities
15%
Anticipating future requirements
14%
Supply chain / other requirements
10%
Customer / investor / partner demand
9%
Employee retention
8%
“Why are you choosing to manage carbon?”
Survey of food processing and distribution businesses on entering Climate Smart program
top three cited reasons for carbon management
personal interest
and education
marketing and
brand lift
building on green
practices
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
6
Finding cost saving oppor tunities is cited as a
driver by over 40% of the businesses as they
see energy, waste and fuel prices rise and want
to protect their business from the impact of
increasing production costs.
Industr y and community engagement is a factor
cited by nearly a third of businesses: companies
look to network and learn best practices from
their peers as well as take a leadership role within
their sector.
“
A corporate social responsibility mandate, and
supply chain/customer/par tner requirements are
also star ting to appear as drivers for businesses in
this sector to star t managing carbon.
Climate Smar t’s enthusiasm for teaching made it
really enjoyable to learn how to calculate greenhouse
gas emissions, which was a process that had always
seemed intimidating and cumbersome. Since we
star ted working with the organization in 2011, we have
published information about our footprint in our annual
sustainability repor t and gotten great feedback from our
customers, consumers and others in the coffee industr y.
I can’t recommend Climate Smar t highly enough!”
Kim Elena Ionescu
Coffee Buyer and Sustainability Manager,
Counter Culture Coffee, Durham, NC, USA
“
Salt Spring Coffee has been an environmental leader
since our inception in 1996. We reduce our GHG
emissions by optimizing green bean shipping, using fuelefficient vehicles, and working towards zero waste. We
continue to forge our own path by initiating climate
projects that impact our communities. In coffee regions
we are developing projects to create clean energy, and
in Vancouver we are suppor ting food ser vice companies
to reduce their waste as leading sponsor for LOCO
BC’s Zero Hero program.”
Mickey McLeod
Co-founder, President and CEO
Salt Spring Coffee, BC
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
7
CARBON EMISSIONS IN FOOD PROCESSING
AND DISTRIBUTION
One of the first steps businesses take in Climate
Smar t’s training and cer tification program is
to map their emission sources and determine
which to include when quantifying their carbon
footprints. In accordance with the Greenhouse Gas
(GHG) Protocol (the internationally recognized
standard used by Climate Smar t), all businesses
measure “direct” emissions such as natural
gas used for heating and processing, fuel used
in vehicle fleets, and refrigerant leakage, and
“indirect” emissions associated with consumed
electricity. The vast majority of Climate Smar t
businesses include other indirect emission
sources, such as landfilled waste, business travel,
staff commuting, and third par ty shipping. While
inclusion of these indirect emissions is not
mandator y under the GHG Protocol, these
activities often offer many oppor tunities for
improved efficiency, emission reductions, and
cost savings. Once a business has gathered the
necessar y data and entered it into Climate Smar t’s
online GHG management tool, it is reviewed by
Climate Smar t’s team of advisors for any errors
and for compliance with the GHG Protocol.
Below are two representative emission profiles
of businesses that have measured their emissions
with Climate Smar t, and the stories of what they
learned from the process.
In this section, we present profiles of a food
processing company and a food distribution
company in BC . The profiles are meant to illustrate
the process of quantifying emissions and to show
what a company may discover about its emissions.
Along with the emissions profile, we present the
cost corresponding to each measured activity. This
highlights not only carbon reduction, but also cost
savings oppor tunities that lie in optimizing these
aspects of the company’s operations.
Did you know?
A release of just one kg of
R-22 – a commonly used
refrigerant in the food sector
– is equivalent to a release of
1,770 kg of carbon dioxide.
This is equivalent to the
emissions generated from
burning four barrels of oil.
In addition to its high global
warming potential, R-22 is an
ozone-depleting refrigerant,
and, as such, it is scheduled to
be phased out of production
by 2020 according to the
Montreal Protocol – an
international environmental
agreement signed in 1987.
If you have a system that uses
R-22, talk to your refrigeration
contractor about replacement
options.
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
8
FOOD MANUFACTURER
24
18%
Carbon Emissions
133 tonnes CO2e
16
12%
6
5%
1
1%
<1
<1%
43
32%
0%
42
32%
$4,000
7%
$200
<1%
Costs
$57,800
Electricity
$28,600
50%
Natural Gas
Third-Party
Shipping
Air Travel
$6,800
12%
Landfilled
Waste
$7,200
12%
Paper Use
$11,000
19%
Refrigerants
Note: refrigerants include total maintenance costs
full-time equivalent
employees (FTEs)
annual revenue
key emission
sources
top reduction
strategies
25
$3M
refrigerants, waste
energy audit,
refrigeration system
audit, composting
This food processor measured its natural gas and electricity usage as well as
refrigerant leaks as their Scope 1 and 2 emission sources. They also chose to
include their waste, third par ty shipping, air travel, and paper consumption
in the measurement under Scope 3. The char ts show their emissions profile
as well as the corresponding costs profile. Refrigerants and landfilled waste
stand out in the emissions profile as the largest emissions sources, accounting
together for over 80 tonnes of CO 2e emissions. Emissions from natural gas
were also significant: 24 tonnes of CO 2e. Paper use and third par ty shipping
were small and together added up to under 1% of emissions. This was
because the majority of the company’s products were getting picked up by a
distributor located only 15 km away, and paper use was minimal. Electricity
emissions represented just 5% of the total emissions measured due to the
low emission intensity of the BC’s electric grid but presented, by far, the
highest cost – over $28K a year.
High refrigerant emissions immediately attracted the company’s attention to
the aging refrigeration system. Leaks in the system were not only emitting
over 40 tonnes of CO 2e (equivalent to consuming 100 barrels of oil), and
costing the company $11,000 per year in maintenance but also reducing the
refrigeration system’s efficiency, in turn increasing energy use and cost.
As par t of its Climate Smar t cer tification, Climate Smar t advisors worked
with the company to develop a reduction plan that included a business
energy audit, examining the refrigeration system, composting their organic
waste, and switching to a more energy-efficient forklift. The company also
worked on a number of smaller initiatives including minimizing packaging for
their products, designing boxes so that more cases would fit on the pallet to
reduce the number of shipments required, and printing product information
directly on boxes rather than having printed paper labels.
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
9
FOOD AND BEVERAGE DISTRIBUTOR
25
1%
1,328
56%
80
3%
711
30%
Carbon Emissions
2,386 tonnes CO2e
38
1%
188
8%
17
1%
$231,000
30%
$7,000
1%
Costs
$95,000
13%
$771,000
Electricity
Natural Gas
Fleet
$9,000 $9,000 $10,000
1%
1%;
1%
$410,000
53%
Business
Travel (Road)
Landfilled
Waste
Paper Use
Refrigerants
Note: refrigerant costs represents the amount spent on topped-up refrigerant
full-time equivalent
employees (FTEs)
annual revenue
key emission
sources
top reduction
strategies
80
not available
fleet, refrigerants
green routing,
refrigeration system
retrofit, driver training
This food distribution company came to Climate Smar t with the intention of
developing a strong sustainability commitment within the organization. The
company’s Scope 1 and 2 emission sources included natural gas, electricity,
fleet fuel, and refrigerants. In addition to these key sources, the company
measured emissions from their sales representatives’ travel, waste, and
paper consumption. Not surprisingly, fuel used by the company’s fleet was
its largest emission source. Another large por tion of the emissions profile
was refrigerants – refrigerants leaking from the cooling systems released
greenhouse gases equivalent to 711 tonnes of carbon, or 80,000 gallons of
gasoline consumed. Emissions from sales representatives’ reimbursed business
travel in personal vehicles “won bronze” at 188 tonnes.
Quantifying greenhouse gas emissions helped the company prioritize
actions in their sustainability plan. In their first year with Climate Smar t,
they developed a company timeline filled with specific action steps aimed at
reducing their footprint. Shor t-term strategies included “Smar t Routing” – a
fleet initiative aimed at smar ter planning of distribution routes to minimize
the amount of driving. Company drivers were trained in better driving habits
and a company-wide non-idling policy was established. Company trucks were
set to stop the engine after two minutes of idling. They are now investigating
options for retrofitting their refrigeration equipment to avoid leaks; using
their waste cooking oil to produce biodiesel for the fleet; and purchasing
hybrid or electric deliver y trucks. Installing a GPS tracking system on all
deliver y vehicles is also a par t of their long-term carbon reduction strategy.
In future, they plan to address sales team travel, which is costing the company
over $200K ever y year in reimbursements by investigating options for
rewarding sales representatives for purchasing fuel efficient vehicles, reviewing
sales territories to minimize driving, and researching the feasibility of having
drivers act as sales representatives for remote areas.
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
10
WHAT DOES YOUR BUSINESS EMISSION
PROFILE LOOK LIKE?
Emission profiles of food processors and
distributors var y widely from business to business.
The five char ts below show emissions profiles
for five Climate Smar t businesses: a brewer y,
three food manufacturers, and a food distributor.
The profiles highlight five key emission sources
for these businesses: electricity, natural gas, fleet,
landfilled waste, and refrigerants. Businesses that
use natural gas for process heat (breweries, coffee
roasters, meat products manufacturers, etc.) often
find that natural gas is the largest contributor
to their emissions profile. The landfilled waste
por tion of emissions varies considerably among
these businesses, with some producing little waste
(brewer y and the ethnic foods manufacturer
examples below), and others, such as the sauce
and meat products manufacturers, discovering
that waste is their second largest emission source.
Refrigeration emissions can be ver y high for food
distributors operating large refrigerated storage
spaces and refrigeration units on their vehicle
fleet, as well as manufacturers with large cold
storage spaces. Fleet emissions are significant
for distributors and processors delivering their
own product. If you are a food manufacturer or
distributor, we invite you to consider which profile
best corresponds to your business and where your
oppor tunities for emission reductions and savings
might be found.
?
Brewery
Meat Products
Manufacturer
Ethnic Foods
Manufacturer
Sauce
Manufacturer
Food
Distributor
Your Company
Carbon emissions profiles: food processing and distribution
Electricity
Natural Gas
Fleet
Landfilled
Waste
Refrigerants
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
11
HOW FOOD PROCESSORS AND DISTRIBUTORS
CUT CARBON
As par t of obtaining Climate Smar t cer tification, businesses, with the help of
Climate Smar t client advisors, develop a reduction plan – a set of strategies
that they are currently implementing or planning to implement in the near
future. The char t summarizes the areas businesses are tackling in their plans.
Strategies aimed at reducing emissions from landfilled waste are the most
popular – nearly 70% of businesses take action to improve their waste
diversion. This includes composting, expanding recycling programs to add
materials like soft plastics and Styrofoam, as well as more creative strategies
like introducing reusable totes for product deliveries. Companies not only
tackle waste coming from their operations, but also product waste – one in
five companies implemented initiatives to reduce their product packaging
and/or make it easily recyclable.
Reducing paper use is another common strategy. Over 40% of businesses
include actions to reduce paper use in their Climate Smar t reduction plans.
While paper is a relatively small emission source for the food processing and
distribution sector, it is often an area of “low hanging fruit”. For example, a
food manufacturer star ted printing labels directly on shipping boxes instead
of printing a paper label for each box, and another company switched to
paperless invoicing.
Over 40% of businesses are implementing fleet behaviour change strategies
like driver training, anti-idling policies, advanced route planning, and GPS fleet
tracking for improved routing efficiency and to monitor drivers’ behaviour.
These are often no- or low-cost measures that can significantly reduce fuel
expenses and emissions.
Behaviour Change
45%
Simple Equipment
45%
Capital Equipment
19%
Behaviour Change
17%
Simple Equipment
33%
Capital Equipment
26%
Reduce Paper Use
43%
Diverting Waste
69%
Packaging
21%
Driver Behaviour Change
43%
Capital Replacement
21%
Vehicle Fuel Switching
10%
Reducing Business Travel
19%
Alternative Staff Commuting
31%
Targeting Third-Party Shipping
26%
Electricity
Heat
Waste
Transport and equipment
Chosen reduction strategies: food processing and distribution
Electricity simple equipment and behaviour change strategies are
implemented by nearly half of the businesses. This includes initiatives such
as: a complete plant shut down policy at the end of the day, installing
motion sensors in areas with intermittent occupancy, or improving cold
room insulation – low- or no-cost strategies that bring easy wins and power
bill savings. Additionally, one in five companies opted for larger capital
investments to reduce emissions from electricity or natural gas.
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
12
“
In 2013 we contracted Climate Smar t
to do an in depth analysis measuring
the GHG emissions associated with the
production, distribution and destruction
of traditional 750mL glass wine bottles
versus the equivalent useful lifecycle
of our re-usable stainless steel 19.5L
wine keg. Climate Smar t considered the
GHG emissions that take place from raw
material extraction all the way through
recycling the waste materials at the end.
This analysis found the freshTAP wine
packaging and distribution ser vice emits
35,486 fewer kgs of CO 2e over the useful
life of the wine kegs versus the equivalent
volume (60,000 L) of wine in light-weight
glass wine bottles, or 68% fewer GHG
emissions.”
Mike Macquisten
CEO
FreshTAP & Vancouver Urban Winery, BC
“
Albion Fisheries Ltd. is Western Canada’s
largest wholesale seafood distributor and
is ver y conscious of our impact on the
environment. Since we began measuring
our carbon emissions in 2011, we have
been working to reduce them by taking
steps like: switching to cold water to wash
equipment, aligning deliver y orders to
reduce their frequency, routing trucks for
optimum fuel efficiency, reducing internal
paper use, and working with suppliers to
minimize incoming packaging at all of our
locations.
In our Haida Gwaii location, Albion
began offering off cuts from our seafood
production to local crab boats as bait and
to local farmers as fer tilizer. This project
has diverted approximately 3,000kg
of waste from the landfill and reduced
emissions by more than four tonnes of
CO 2e.
More recently, we relocated to a new,
energy efficient facility in Richmond that
was built with innovative technology
focused on reducing our energy use.”
Guy Dean
Vice President - Import/Export
Albion Fisheries, Richmond, BC
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
13
“
We are committed to running a
sustainable business in all ways. Since
we star ted working with Climate Smar t
to measure and reduce our emissions
in 2010, we implemented a number
of initiatives to reduce our carbon
footprint. This includes par ticipating in
the renewable natural gas program with
For tisBC, purchasing renewable energy
cer tificates to offset our electricity
use, and recently replacing our roaster
with the Loring Smar t Roaster model.
This upgrade is expected to reduce our
natural gas emissions, which is our biggest
emission source, by up to 80%.”
Paul Stratford
Chief Financial Officer
Ethical Bean, Vancouver, BC
“
Tantalus is BC’s first LEED cer tified winer y
and through Climate Smar t we are working to
fur ther reduce our emissions through a “Just Do
It” campaign, which includes maintaining a no
idling policy throughout winer y operations and
public areas, reducing paper consumption and
encouraging sustainable commuting practices.”
“
Following our first greenhouse gas
inventor y measured with Climate
Smar t, we developed a reduction plan
that included implementing a “Green
Routing” initiative for our goods
deliver y, promoting behaviour changes
amongst our staff around energy use and
commuting to work, diver ting waste–
par ticularly meat contaminated plastics
and Styrofoam–away from the landfill,
and reducing paper consumption. In
2014 we measured our second GHG
emissions inventor y. This measurement
provided us with the oppor tunity to see
how our emissions reduction strategies
had impacted our carbon footprint. We
discovered that our effor ts had in fact
been successful, generating a 12% overall
reduction!”
Victoria Petrenko
Special Projects Assistant
Trimpac Meat Distributors, Vancouver,BC
Jane Hatch
General Manager
Tantalus Vineyards, Kelowna, BC
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
14
“
Sustainability as par t
of our DNA impacts
ever ything we do. It
can make for some
difficult decisions, but
we believe we’re only
successful if we’re
being good to people
and the planet, which
is why we hold one
another accountable
to higher, and what
we see as necessar y
standards.”
Ian Walker
President
LEFT COAST NATURALS
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
15
Left Coast Naturals has been committed to
sustainability since day one, striving to benefit all
of the “3Ps”: people, the planet, and the company’s
financial prosperity. Since they got their star t
star t in 1996, the award winning processors
and distributors of organic and natural foods
have made sustainability “the core factor in all
decisions”.
Today, Left Coast Naturals distributes 27 brands
and processes three of their own: Hippie Foods,
Left Coast Bulk Foods, and Skeet & Ikes. They have
a fleet of trucks, a 32,000-square-foot warehouse,
a 10,000-square-foot production facility, and ship
foods from all over the world into their Burnaby
facilities and back out in the products they sell.
When Left Coast conducted a careful examination
of the company’s overall environmental footprint,
they learned that 80% of their impact occurs
outside of their facilities, in the production and
transpor tation of the food they sell.
This realization led to a number of initiatives
along the company’s supply chain, including:
the development of a “scorecard” to evaluate
suppliers’ practices; suppor t for smaller growers
that practice sustainable farming; a commitment to
become entirely GMO-free (genetically modified
organisms) by the end of 2015; a reduction in
CASE STUDY
package sizes to minimize materials used; and a
shift from trucking to bringing in supplies by less
carbon-intensive marine and rail shipping where
possible.
provides an incentive of $40 – $120 per month for
carpooling, taking public transit, and biking/walking,
respectively. 55% of employees now get to work
by alternative modes of transpor tation.
Specific to carbon emissions within their own
operations, the Left Coast team has been
working with Climate Smar t since 2012 to more
systematically track, and improve upon, the impact
of their ongoing effor ts to reduce emissions.
Over two years, while growing by more than
28% (number of employees), the company has
implemented several ideas gathered from Climate
Smar t staff and fellow Climate Smar t cer tified
businesses to lower the carbon intensity of their
operations. For example:
Climate Smar t cer tification has helped Left Coast
Naturals demonstrate their leadership within
the food industr y and across sectors. Climate
Smar t enabled Left Coast to understand their
carbon intensity and communicate the impact
of their reduction initiatives. This contributed to
the company’s selection in April 2014 for the
Canadian Health Food Association’s inaugural
Sustainability Award. Being “climate smar t” has also
helped improve Left Coast Naturals’ score as a
cer tified Benefit Corporation, or “B Corp”, against
rigorous standards of social and environmental
performance, accountability, and transparency.
• By installing plastic cur tains to reduce heat
loss when loading bay doors are open, natural
gas consumption decreased 15% per full-time
equivalent employee (FTE).
• Occupancy sensors in areas of intermittent
use, exterior dawn-to-dusk controls, and a
continued conversion to high efficiency options
have helped to dramatically reduce energy
consumed by lighting.
• Emissions from vehicles dropped 24% per FTE
through initiatives such as reduced idling time
and improved route planning.
• Reviewing how waste was handled in the
corporate offices led to the consolidation of
waste removal with one provider, which allowed
for the addition of a formal organic composting
ser vice while also reducing the cost of waste
management by approximately 12%.
Left Coast also provides employee benefits
that suppor t social, environmental, and financial
sustainability. For example, to encourage less
carbon-intensive commuting choices, the company
For a video with additional detail on the stor y of Left Coast
Naturals’ full environmental footprint, visit:
www.leftcoastnaturals.com
Results achieved:
15% fewer emissions from
natural gas, per FTE
24% fewer emissions from
vehicle fuel, per FTE
~12% costs saved on waste
removal
Supplier “scorecard” to
evaluate supplier practices
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
16
“
It was ver y impor tant
for us to work
with Climate Smar t
to measure our
emissions and create
a benchmark so that
we can measure
whether we have
truly improved. After
three years of tracking
emissions, we have
reduced our emissions
by 18% and realized a
savings of more than
$100,000 annually.”
Morten Schroder
VP Operations – BC
VAN HOUTTE COFFEE SERVICES
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
17
Van Houtte Coffee Ser vices’ British Columbia
operations directly ser vices 10,000 customers,
including offices, enter tainment centres, and
convenience store locations. Van Houtte’s vice
president of operations first spearheaded the
measurement of the company’s carbon emissions
for locations in Coquitlam, Kamloops, Cranbrook,
Prince George, Vancouver Island, and Kelowna for
the 2009 calendar year.
Since then, Van Houtte has realized a reduction
of 256 tonnes CO 2e —more than 18% of their
2009 baseline annual emissions—and more than
$100,000 in cost savings annually. Some of the
emissions reductions initiatives under taken to date
include: implementing a no-idling policy; optimizing
truck fleet routes by conducting eco-driver training
and installing GPS units on all trucks; establishing
a robust recycling program; upgrading its lighting
systems; reducing paper use and purchasing paper
with 100% post-consumer recycled content.
One of Van Houtte’s most compelling emissions
reduction projects has been the retrofit of 28
conventional gasoline cube-vans to a hybrid
gasoline-propane fuel system. Propane costs less
than gasoline, and produces considerably less
GHG emissions per distance travelled (~35% less
expensive, and ~25% less GHG emissions). With
fuel-conscious driving habits, Van Houtte has found
that the vehicles are capable of operating using
propane 95% of the time, and gasoline for only 5%
of their driving time. With an approximate cost of
$5,000 to retrofit each vehicle, the investment was
paid for in one year.
As a company continually striving to find fur ther
areas of efficiency, Van Houtte has made a
conscious effor t to reinvest their savings in
additional projects, such as purchasing hybrid
and electric cars for sales staff, improving endof-life recycling for its coffee machines and water
coolers, performing lighting retrofits at locations
outside the Lower Mainland; and continuing to
educate and engage employees to build a culture
of conser vation.
2009
2010
2011
-18%
2012
Carbon Emissions:
Van Houtte Coffee Services, BC
Van Houtte Coffee Ser vices also demonstrates
their leadership in business-to-business
engagement and sharing of knowledge. The
company has reduced paper use simply by
sur veying clients and switching many accounts
over to paperless e-statements. In speaking with
another Climate Smar t business, Van Houtte’s
vice president learned about using cardboard
baling machines. Installing one in the warehouse,
Van Houtte has now cut down significantly on
the frequency of cardboard pick-ups. As well, Van
Houtte now gets paid per tonne for their baled
cardboard, helping to offset the cost of recycling
and processing waste. Van Houtte’s experience
and willingness to share lessons learned with
others has inspired many Climate Smar t businesses
to look into driver training, vehicle fleet fuel
conversion, and other strategies to reduce
emissions and improve their operations.
Results achieved:
256 tonnes CO2e (>18%)
fewer emissions, annually
CASE STUDY
$100,000+ cost savings,
annually
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
18
FOOD RETAIL
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
19
BY THE NUMBERS
Food retail in BC includes over 4,400 businesses
and employs over 75,000 people, contributing 2.9
billion dollars to the province’s GDP. This sector’s
emissions from electricity, natural gas use, fleets,
and waste amount to over 180,000 tonnes of
CO 2e – equivalent to all the cars in Vancouver
idling for five days. If businesses in this sector
collectively reduced their emissions from just these
four activities by 5% (the average annual reduction
achieved by Climate Smar t businesses), it would
translate into a reduction of nearly 9,000 tonnes
of CO 2e, and $6.5M saved in operating costs.
By 2020, this reduction would add up to a 26%
reduction: 48,000 tonnes of CO 2e reduced and
$35M saved in operating costs*.
In this section, we showcase data from innovative
BC businesses that have become Climate Smar t
cer tified since 2008. We present the carbon
management drivers cited by these businesses,
look at the key emission sources for the sector,
and highlight the reduction initiatives implemented
by these businesses. By sharing the wealth we
have gathered: ideas generated and tested by
Climate Smar t businesses working to improve the
way they do business, we hope to inspire more
organizations to take action and star t managing
and reducing their carbon emissions.
* Emissions are estimated using emission intensities derived from the Climate Smart data set. Cost savings are calculated assuming a 5% reduction across all emission sources and
current energy and fuel prices.
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
20
MOTIVATIONS FOR MANAGING CARBON
Among food retailers, one out of ever y two
businesses entering the Climate Smar t program
cites education as a driver. With the practice of
carbon management still relatively new and the
subject of climate change appearing on the news
more and more often, companies and individuals
are looking to, first of all, educate themselves on
this new business practice.
Cutting costs is also a leading driver with nearly
50% of the businesses choosing it as a factor in
their decision to star t managing carbon emissions.
In the highly competitive food retail industr y,
constantly looking for ways to keep the operating
costs down is a crucial practice.
Education
48%
Cost-cutting / efficiency
48%
Industry / community engagement
35%
Marketing / reputation / brand image
30%
Building on existing green initiatives
30%
CSR mandate
17%
Networking / B2B opportunities
17%
Anticipating future requirements
9%
Customer / investor / partner demand
4%
Employee retention
4%
Supply chain / other requirements
0%
“Why are you choosing to manage carbon?”
Survey of food retail businesses on entering Climate Smart program
top three cited reasons for carbon management
personal interest
and education
cost savings
community and
sector leadership
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
21
Community and sector leadership as well as
marketing are cited as drivers by one out of three
businesses, with supermarkets and grocer y stores
looking to improve their brand image and to be
seen as a leader in their industr y when it comes to
environmental stewardship.
Building on existing green practice was cited
by over 30% of businesses as many companies
entering the Climate Smar t program already had a
number of environmental initiatives underway and
wanted to quantify their progress.
“
“
We’d been working to improve our performance for
a long time, but measuring was critical to letting us
see the oppor tunities in front of us. It was a real eyeopener.”
Herman Poon
Administration Manager
T&T Supermarket Inc., Richmond, BC
We have been a leader in the Climate Smar t program,
continually measuring year-over-year since 2009 and
implementing numerous reduction strategies, including
the sourcing of 100% recycled packaging materials, using
carbon neutral, hybrid and trike couriers, and investing
in lighting upgrades.”
Saul Brown
President
Saul Good Gift Co., Vancouver, BC
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
22
CARBON EMISSIONS IN FOOD RETAIL
GROCERY STORE AND CAFE
19
11%
96
54%
5
3%
Carbon Emissions
177 tonnes CO2e
24
13%
29
16%
5
3%
$9,000
7%
$24,000 $200
19%
<1%
Costs
Electricity
$11,000
9%
$78,000
63%
$124,000
Natural Gas
Fleet
Landfilled
Waste
Paper Use
$2,000
2%
Refrigerants
Note: refrigerant costs represents the amount spent on topped-up refrigerant
full-time equivalent
employees (FTEs)
annual revenue
key emission
sources
top reduction
strategies
75
$20M
waste, fleet, electricity
lighting retrofit,
fleet routing review,
expanded recycling
program
What are the carbon emissions of a grocer y store? This depends on many
factors such as, of course, the size of the store, cooling equipment used,
the store’s recycling program, etc. The profile shown here is an illustration
of what a grocer y store can expect to discover from its GHG emissions
inventor y. Costs are presented along with emissions for various activities like
natural gas use, fleet fuel consumption and others, highlighting how carbon
reductions are, more often than not, tied to substantial cost savings to the
business.
This grocer y store’s direct emission sources included natural gas, refrigerant
leaks, and fuel for its vehicle fleet. In addition, the company measured
emissions from electricity use, landfilled waste, and office paper consumption.
The largest emissions source for the business was landfilled waste – the store
was sending over 65 tonnes of waste to the landfill each year, resulting in
96 tonnes of carbon emissions produced – an equivalent of one and a half
Science World Domes, or 20 hot air balloons, filled with carbon dioxide.
Tackling landfilled waste became a priority in the store’s reduction plan that
they developed with their Climate Smar t advisor. The company prioritized
expanding their organic recycling program to diver t more waste from the
landfill. The store also placed reusable produce bags beside the plastic
produce bags. While the plastic produce bags were not included in their GHG
inventor y, the store saw it as a way to engage customers and demonstrate
their environmental commitment.
The company also targeted their fleet emissions by performing a review of
fleet routing to maximize efficiency.
Electricity took third place as the highest emission source. In addition,
electricity corresponded to the highest cost of all activities measured – the
company’s power bill was at over $75K a year. This led the business to replace
the store’s lights with LEDs, taking advantage of BC Hydro Power Smar t
incentives, and install timer-controlled thermostats on the air conditioning
units in the store. This technology turned the units off when the store was
closed, resulting in considerable savings on their electricity bill.
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
23
WHAT DOES YOUR BUSINESS EMISSION
PROFILE LOOK LIKE?
These pie char ts show emission profiles of five
Climate Smar t food retail businesses, from single
grocer y stores to grocer y chains, highlighting the
key emission sources: electricity, natural gas, fleet,
refrigerants, and landfilled waste.
These char ts show that typically, landfilled waste
and natural gas are the highest emission sources
for a grocer y store. Refrigerant emissions var y
greatly between these stores, and can comprise
up to 80% of the emissions profile as we can see
in middle top char t. Electricity usually accounts
for a relatively small por tion of a store’s footprint,
because of the low emission intensity of BC’s
electricity grid. However, electricity usually
represents the highest cost, and electric upgrades
often offer a shor t payback and can significantly
reduce operating costs.
?
Grocer A
Grocer B
Grocer C
Grocer D
Grocer E
Your Company
Carbon emissions profiles: food retail
Electricity
Natural Gas
Fleet
Landfilled
Waste
Refrigerants
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
24
HOW FOOD RETAILERS CUT CARBON
Food retailers have ample oppor tunity to reduce emissions from their
operations. From “low-hanging fruit” such as turning off lights at night,
to more capital intensive upgrades such as waste heat recapture from
refrigeration systems, these businesses are making a difference while reducing
their operating costs at the same time.
The char t shows the summar y of emission reduction strategies implemented
by Climate Smar t businesses following their first year of measurement. Waste
diversion and low-cost electricity upgrades as well as behaviour change
related to electricity stand out as the most widely adopted initiatives. These
strategies include installing night covers for open refrigerated display cases,
turning lights off at night, installing motion sensors in seldom-used areas such
as bathrooms, and reminding staff to keep cooler doors closed.
Paper use, staff commuting, and heat reduction initiatives, as well as capital
electric upgrades are also topping the list. Stores encourage their employees
to par ticipate in Bike to Work Week, and even offer financial incentives. One
store encouraged their employees to use their health bonus to suppor t
cycling: “One employee who was previously a non-cyclist put her health
bonus toward a new cruiser bike, and is now commuting by bike 75-100% of
the time!”
Nearly a third of the businesses are tackling their natural gas use through
both simple initiatives, such as separating night and day time temperatures,
and capital upgrades.
Behaviour Change
50%
Simple Equipment
67%
Capital Equipment
25%
Behaviour Change
25%
Simple Equipment
25%
Capital Equipment
17%
Reduce Paper Use
33%
Diverting Waste
58%
Packaging
8%
Driver Behaviour Change
17%
Capital Replacement
17%
Vehicle Fuel Switching
0%
Reducing Business Travel
0%
Alternative Staff Commuting
Targeting Third-Party Shipping
Electricity
Heat
Waste
33%
8%
Transport and equipment
Chosen reduction strategies: food retail
Did you know?
Carbon dioxide, despite being a greenhouse gas, can be put to good use: it is becoming a new refrigerant of choice
in North America. With its global warming potential thousands of times less that of commonly used refrigerants, it
has potential to significantly reduce emissions in retail.
Today, while ozone-depleting HCFC refrigerants like R-22 are being phased out, the replacement HFC gases still
have very high global warming potentials: thousands of times that of carbon dioxide. Carbon dioxide refrigeration
systems, in addition to their environmental benefits, offer significant energy and cost savings. Canada’s second
largest grocery chain, Sobeys, is committed to transitioning all their stores to carbon dioxide refrigeration systems.
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
25
“
T&T Supermarkets have long been
improving efficiency in their operations.
Though early along in the process of
carbon measurement, they see the value
in quantifying their achievements through
calculating their footprint and using
it to prioritize projects. They are now
investigating the feasibility of switching
to alternate fuel systems in their deliver y
fleet vehicles. As a major food retailer,
T&T are also tackling their organic waste
head-on, by testing different on-site waste
digester solutions to potentially eliminate
the need for waste disposal from their
stores.”
Herman Poon
Administration Manager
T&T Supermarket Inc., Richmond, BC
“
49th Parallel Grocer y Stores is a family
owned and operated business with four
convenient-sized full ser vice grocer y
stores in beautiful central Vancouver
Island. We have been managing our
emissions with Climate Smar t since
2010, and have identified strategies to
reduce our emissions in both the shor t
and long term. We are performing a
corporate fleet review, replacing vehicles
with more efficient alternatives where
possible, developing more efficient
routing, installing recycle bins in all back
rooms, initiating double-sided printing
options and setting a policy to purchase
paper with a minimum 30% recycled
content. We completed a lighting
retrofit and installed night cur tains on
all open refrigeration units. We also plan
on educating staff on energy efficient
behaviour, investigating alternative
refrigerants, performing a waste audit
with a goal of reducing waste by 10%, and
preparing a supplier preference system for
sourcing products locally.”
Peter Richmond
President & CFO
49th Parallel Grocery Stores, Ladysmith, BC
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
26
FOOD SERVICES
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
27
BY THE NUMBERS
Food ser vices include restaurants, bars, cafes, food
trucks, coffee shops, catering companies and other
establishments ser ving food and beverages. This
sector is composed of over 12,500 businesses and
employs 153,000 people in BC . Emissions from
electricity, natural gas, fleet, and waste for this
sector are projected at over 450,000 tonnes of
CO 2e. If businesses in this sector reduced their
emissions from these four key activities by just 5%
(the average annual emission reduction achieved
by Climate Smar t cer tified businesses), it would
lead to a reduction of over 22,000 tonnes of CO 2e
and savings in operating costs of nearly $6M. In
six years, by 2020, these reductions would amount
to over 118,000 tonnes of CO 2e and $30M in
operating cost savings*.
In this section, we share the carbon management
drivers, typical emission profiles, and reduction
strategies implemented by Climate Smar t
businesses in the food ser vices sector. We hope
that sharing the experience of these innovative
businesses will inspire more companies to take
action on climate change, make their operations
more efficient, and improve the way food is ser ved
in BC for years to come.
* Emissions are estimated using emission intensities derived from the Climate Smart data set. Cost savings are calculated assuming a 5% reduction across all emission sources and
current energy and fuel prices.
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
28
MOTIVATIONS FOR MANAGING CARBON
Food ser vice businesses are choosing to cer tify as
Climate Smar t as a way to improve their brand,
cut operating costs, engage with like-minded
businesses, and take their sustainability initiatives
to the next level.
As public-facing businesses, food ser vice
companies look to meet their corporate social
responsibility mandates. Attracting and retaining
employees is appearing as a factor as well,
likely since this is a sector with a normally high
employee turnover. Some businesses, especially
catering companies, choose to become Climate
Smar t cer tified to improve their competitiveness
when bidding for contracts and responding to
requests for proposals. These companies are
facing more and more questions from prospective
clients about their sustainability commitment in
general and, specifically, their carbon management
initiatives.
Education
68%
Building on existing green initiatives
54%
Marketing / reputation / brand image
50%
Cost-cutting / efficiency
46%
Industry / community engagement
39%
Networking / B2B opportunities
36%
CSR mandate
21%
Employee retention
21%
Anticipating future requirements
18%
Supply chain / other requirements
14%
Customer / investor / partner demand
11%
“Why are you choosing to manage carbon?”
Survey of food service businesses on entering Climate Smart program
top three cited reasons for carbon management
personal interest
and education
building on green
practices
marketing and
brand lift
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
29
CARBON EMISSIONS IN FOOD SERVICES
PUB AND LIQUOR STORE
129
65%
43
22%
Carbon Emissions
199 tonnes CO2e
9
5%
4
2%
$27,000
33%
13
6%
$6,000
7%
Costs
$3,000 $0
4% 0%
$45,000
56%
$81,000
Electricity
Natural Gas
Fleet
Landfilled
Waste
Staff
Commuting
Note: refrigerant costs represents the amount spent on topped-up refrigerant
full-time equivalent
employees (FTEs)
annual revenue
key emission
sources
top reduction
strategies
30
$6M
natural gas, waste
boiler upgrade, turnit-off policy for gas
appliances
This pub and liquor store came to Climate Smar t looking to “measure our
footprint and cut our energy costs”. In mapping out their operations, the
company has identified electriciy, natural gas, and vehicle fleet as their Scope
1 and 2 emission sources. They also chose to measure emissions from their
waste and staff commuting. When all the data was gathered and entered into
the Climate Smar t GHG Management Tool, it became obvious that natural
gas use along with their waste are the largest emission sources, accounting
together for over 85% of their footprint. While electricity accounted for just
5% of emissions, it was costing the company $45,000 annually, creating a good
business case for reduction initiatives.
Using suggestions from their Climate Smar t client advisor, the company
decided to install motion sensors in the liquor store cooler and pub
washrooms – areas where lights were left on constantly while occupancy
was intermittent. To reduce natural gas use, they upgraded their boiler and
implemented a turn it off policy for unused burners in the kitchen. To reduce
the company car use, they star ted encouraging management to have phone
meetings whenever possible, and star ted a campaign to recognize staff that
cycled or took transit to work. To cut down on their power bill, the company
trained employees to keep the cooler door closed as much as possible. The
company is currently looking at replacing their liquor store fridges with an
energy-efficient model.
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
30
WHAT DOES YOUR BUSINESS EMISSION
PROFILE LOOK LIKE?
These char ts show emission profiles of five
Climate Smar t businesses in the food ser vices
sector. A, B, and C are restaurants, D is a café,
and E is a coffee house. The char ts profile six
key emission sources for food ser vice businesses:
electricity and natural gas, landfilled waste, fleet,
refrigerants, and staff commuting. Natural gas
stands out as the highest emission source for all
but one company in this group. It is especially high
for restaurants, accounting for over 60% of the
emissions in all the restaurant profiles presented
here. This includes natural gas used for space and
water heating as well as food preparation. The
next highest emission source for restaurants is
waste. Staff commuting is usually relatively low,
with restaurant staff often living in close proximity
to their workplace or commuting by transit or
bicycle. Electricity emissions are relatively low as
well, primarily due to the low emission intensity
of BC’s power grid. Refrigerant emissions var y
greatly between restaurants, with some restaurants
recording no leaks and some, like Company C,
measuring significant emissions from refrigeration.
?
Restaurant A
Restaurant B
Restaurant C
Cafe
Coffee Shop
Your Company
Carbon emissions profiles: food services
Electricity
Natural Gas
Fleet
Landfilled
Waste
Refrigerants
Staff
Commuting
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
31
HOW FOOD SERVICE BUSINESSES CUT CARBON
As par t of their Climate Smar t cer tification, businesses are asked to submit
a reduction plan – a list of initiatives they will implement to reduce their
carbon footprint. The char t here summarizes the actions taken by the group
of food ser vices businesses that have become Climate Smar t cer tified to
date.
Electricity is the most popular area tackled by businesses in this group. Most
food ser vice businesses identify low capital, easy to implement strategies that
provide an immediate reduction of their power bill. This includes behavioural
changes such as creating a schedule for operating ovens to maximize
efficiency, creating an “end of day restaurant shut down” policy, training
employees to turn off unused lights and equipment, etc. Installing simple
equipment to reduce power use is another common strategy for this sector :
such as replacing bathroom light switches with motion sensors and installing
timers on patio heaters.
One in two businesses in this group tackled natural gas use through low-cost
initiatives like installing low flow nozzles in the dishwasher area and turning
off stove burners when not in use.
Landfilled waste is an area tackled by over 60% of businesses: expanding their
recycling program, introducing composting, and organizing staff training on
waste separation are some of the initiatives under taken.
Behaviour Change
69%
Simple Equipment
50%
Capital Equipment
6%
Behaviour Change
50%
Simple Equipment
25%
Capital Equipment
13%
Reduce Paper Use
31%
Diverting Waste
63%
Packaging
Driver Behaviour Change
6%
Electricity
Heat
Waste
25%
Capital Replacement
6%
Vehicle Fuel Switching
0%
Reducing Business Travel
13%
Alternative Staff Commuting
19%
Targeting Third-Party Shipping
13%
Transport and equipment
Chosen reduction strategies: food services
All catering companies in the group set out to reduce their fleet emissions
through driver training, anti-idling policies, fleet upgrades, and other initiatives.
Did you know?
Shipping a full container of kiwi fruit from New Zealand to Vancouver by boat emits 4.2 tonnes of CO2e.
Shipping this container to a grocery store in Kelowna by truck emits 2.1 tonnes of CO2e. If consumers drive
to the store (2.5 km each way) to pick up five kiwis each, these trips will emit 49.3 tonnes of CO2e – over
seven times the emissions from shipping the product from New Zealand to a Kelowna grocery store.
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
32
“
At the Listel Hotel we first tackled our
greenhouse gas emissions in 2008 by
installing solar hot water panels and a
heat exchange system to dramatically
reduce the amount of natural gas
needed to heat domestic water. With
that successful carbon- and cost-cutting
initiative under our belts, we’ve continued
to find ways to reduce our environmental
impact. Most recently, we renovated our
hotel restaurant to become a model
for energy efficiency and achieving zero
waste to landfill. Forage opened its doors
in November 2012 and has been widely
recognized for its leadership in sustainable
dining.”
Jim Mockford
General Manager
The Listel Hotel, Vancouver, BC
“
Bubby’s Kitchen opened its doors in
2011 and first measured our carbon
emissions for 2012, with almost two years
of operations under our belts. We are
working to reduce our emissions through
initiatives such as: installing low-flow
water faucets in our dishwashing area and
pre-rinsing our dishes with cold, rather
than hot water ; composting our solid
organic waste with Refuse; having our
kitchen grease recycled into biodiesel with
GreaseCycle; and looking into installing a
culinar y garden that will grow herbs and
vegetables for the restaurant. Recently,
the restaurant under took the task of
changing over our lighting to LED in order
to save energy as well as signing up for a
new MealShare program, which donates
meals to those in need. Our philosophy of
sustainability and reducing carbon extends
to our menu which procures vegetables
and meat locally whenever possible, and
includes all hormone-free and naturally
raised meats along with free run eggs
which is now adver tised along with our
other actions on the back of our menu.
Like the restaurant itself, reducing our
emissions is a work in progress, and one
we will continue to take action on, one
item at a time.”
Jesse Margolus
Restaurant Supervisor
Bubby’s Kitchen, Victoria, BC
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
33
“
When you’re in the
context of your own
local economy […]
it’s strategically ver y
impor tant to make
strong and promising
par tnerships with
the other groups
working in your local
economy.”
Louise Schwarz
Co-Founder and Co-Owner
Recycling Alternative
RECYCLING ALTERNATIVE AND TACOFINO
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
34
Organizations large and small are increasingly
taking a close look at where they source their
materials and with whom they purchase their
ser vices (their supply chain) in order to reduce
emissions and minimize the overall environmental
impact of their products and ser vices. This is the
stor y of a unique collaboration between Climate
Smar t businesses Recycling Alternative and
Tacofino to do just that.
Vancouver recycling exper ts Recycling Alternative
are helping the Tacofino family of food trucks and
commissar y restaurant address the company’s
carbon emissions from waste and truck fuel, two
of their most significant sources, at the same time.
Tacofino launched the first of its Vancouver food
car ts in 2011 and has been collaborating with
Recycling Alternative since 2013. The par tnership
began with Recycling Alternative’s core business
ser vice - managing Tacofino’s waste stream – and
looking to recover the highest-value raw materials
from this waste stream. This encompasses
returnables, such as aluminum cans and glass
bottles, as well as paper, cardboard and – key for a
restaurant – organic waste.
In addition to its recycling ser vices, Recycling
Alternative is a co-founder of the Vancouver
Biodiesel Co-op and has managed the operations
and administration associated with running the
pump and fuel supply since its debut. The carbon
emissions associated with the recycled biodiesel
are 90% less than those associated with ordinar y
diesel. Co-op members pay a small premium over
regular diesel – presently about 13% - but this still
pales in comparison to the cost of conventional
gasoline.
For a company like Tacofino – which runs dieselfuelled food trucks, and produces a fair volume
of waste vegetable oil (WVO) both at their
commissar y restaurant and their food trucks –
Recycling Alternative and the Biodiesel Co-op
represent a unique oppor tunity.
Recycling Alternative picks up Tacofino’s WVO
along with the rest of their recycling, and this
WVO is then conver ted into credits that Tacofino
can “recycle” into discounted biodiesel to fuel their
Vancouver truck, White Lightning. It’s the business
sustainability version of ‘what goes around comes
around’.
Tacofino’s and Recycling Alternative’s local green
supply chain arrangement extends far beyond
the par tnership with each other. Both work with
other Climate Smar t food businesses such as
meat distributors Trimpac and urban grower Sole
Food Farms, as well as with local green economy
catalyst, Vancity Credit Union.
Tacofino works hand-in-hand with Foodee, a
“corporate meal concierge”, to deliver “meals
on wheels” from a wide variety of Vancouver
restaurants to businesses throughout the region.
The meals are delivered in compostable containers
and the “wheels”’ come via the most sustainable
method that is logistically feasible, often the
Climate Smar t business Shift Deliver y Co-op:
Vancouver’s groundbreaking cargo-tricycle deliver y
ser vice.
It’s building these types of par tnerships that
resonates with Recycling Alternative co-founder
Louise Schwarz as the most sustainable overall
business plan. “When you’re in the context of
your own local economy […] it’s strategically
ver y impor tant to make strong and promising
par tnerships with the other groups working in
your local economy.”
CASE STUDY
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
35
INVITATION TO
BUSINESSES
At Climate Smar t, we are continually inspired
by our entrepreneurs and businesses. They are
essential par tners in any plan to overcome the
challenges we face today, and help create resilient,
regenerative communities that we can proudly call
home. If you are a business, we need your help to
change the way business is done.
Start measuring and reducing your footprint
Today more than ever, we need action from businesses to help reduce greenhouse gas emissions.
Get in touch with us today and we will guide you through measuring your footprint, and help
your organization develop strategies that will prepare your business for success in the new clean
economy.
Call 1-888-688-6283 or email [email protected] today.
A special thank-you
to our food and beverage industr y clients, for working with us to collectively
develop and share the business practices of tomorrow.
FOOD PROCESSORS
Freybe Gourmet Foods
Ltd.
Genuine Health
Hilar y’s Cheese Company Ltd.
Left Coast Naturals
Misty Mountain Ind. Ltd.
MOTEAS
Nature’s Path/Que Pasa
New World Natural Foods/
Everland
Okanagan Grocer y
Olivieri Foods Ltd.
Purdy’s Chocolatier
Rogers’ Chocolates
Sunrise Soya Foods
Superior Tofu Ltd.
True Grain Bread
Uprising Breads Baker y
WINERIES, BREWERIES,
DISTILLERIES
Bounty Cellars Winer y
CedarCreek Estate Winer y
FreshTAP
Maple Leaf Spirits Inc.
Nelson Brewing Company
Pacific Western Brewing
Company Ltd
Phillips Brewing Co.
Russell Brewing Co.
Summerhill Pyramid
Winery
Tantalus Vineyards
Tinhorn Creek Vineyards
Tree Brewing Co.
Victoria Spirits
COFFEE ROASTERS AND
DISTRIBUTORS
Coffee Bean International
Counter Culture Coffee
Ethical Bean Coffee
Hardy Sales
Level Ground Trading Co.
Nossa Familia Coffee
Salt Spring Coffee
Van Houtte Coffee
Services - BC
DISTRIBUTORS
Albion Fisheries Ltd.
Canadian Fishing Company
Discovery Organics
Ear th’s Own Food Company
Inc.
Oppenheimer Group
PSC Natural Foods
Sysco Kelowna Ltd.
Trimpac Meat Distributors
RETAIL
Canadian Springs
(AquaTerra)
Choices Markets
Codfathers Seafood Market
Country Grocer
Greater Vancouver
Bolded businesses have recertified with Climate Smart and made an ongoing commitment to sustainability.
Foodbank Society
Lonsdale Quay Market
Nature’s Fare Markets
Otter Farm and Home Cooperative
River Market
Saul Good Gift Co. Inc.
Share Organics
SPUD
T&T Supermarket Inc.
The Organic Box
The Whistler Grocer y Store
Trilogy Fish Co. Ltd.
Whole Foods Market
49th Parallel Grocery
Daily Roast Fine Coffee
Company Inc.
Great Bear Pub (JAK
Group)
Listel Hotel
Peaceful Restaurant
Rocky Mountain Flatbread
Spinnakers Brewpub
Stomping Grounds Coffee
House
Tacofino
Thai Away Enterprises Inc.
The Wilder Snail
Vij’s
White Spot Limited
RESTAURANTS AND CAFES
AJs Organic Cafe
Black Stilt Coffee House
Bubby’s Kitchen
Cactus Restaurants Ltd.
Chambar Restaurant
Corporation
Common Loaf Bake Shop
CATERING
Christine Catering
Pacific Coast Catering
Group
Savour y City Catering
The Truffles Group Inc.
A thank-you to Conscious
Brands for helping to
promote low-carbon ways
of doing business in the
food and beverage sector
and sharing the stories of
Climate Smar t businesses.
A thank-you to the Listel
Hotel for hosting a
Climate Smar t member
event to launch this
brief. The Listel is home
to Forage, a pioneer
restaurant for responsible
management through zero
waste effor ts, reduction
of energy consumption
and suppor t of our local
communities, from farmers
to fishers, and ever ything
in between.
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
36
SPONSORS
Leading the fight against climate change
The B.C . government is recognized internationally as a climate action leader,
with a revenue-neutral carbon tax, carbon-neutral provincial government
operations and cross-government climate change adaptation strategy.
B.C . has been carbon neutral since 2010, an unprecedented achievement
for provincial or state government in Nor th America. Carbon Neutral
Government is fundamentally about leadership. We are working to put
our government’s carbon emissions house in order as we ask businesses,
communities and individuals to do the same. Through Carbon Neutral
Government, we are demonstrating viable energy efficiency and conser vation
technologies, engaging British Columbians with a sustainability message, while
working hard to reduce our own carbon footprint. The Province is proud of
our achievements to date and wants to recognize the effor ts of all publicsector organizations across B.C .
The Ministr y of Agriculture plays a role in helping the Province achieve
its goals of job creation, sustainable communities and green economic
development in the context of a changing climate. Our par tnership with the
federal government resulted in the five-year Growing Forward 2 agreement
that will continue to provide B.C . farmers with risk management suppor t,
and includes a $110 million investment in programs that promote innovation,
adaptability and sustainable agriculture. Together, we will continue our effor ts
to ensure the next generation of British Columbians enjoy a clean and
healthy environment, and high-quality, local foods.
SPONSORS
Efficiency in the kitchen with natural gas
With appliances like fr yers, griddles and ovens operating all day, it’s no
surprise that commercial kitchens use more natural gas per square foot than
any other kind of business.* For tisBC, realizing the potential to help this
customer segment save energy and money on their operating costs, launched
the first ever natural gas Foodser vice Incentive Program in Canada in 2012.
It’s called Efficiency à la Car te.
The program offers rebates for natural gas cooking equipment, from $200 for
an efficient steam cooker, to as much as $3,500 for a rack oven. The rebates
are available for when customers are upgrading existing equipment or for
new construction projects.
One of Canada’s largest franchises, Pizza Hut, took notice of the rebates
when they were building a new store. For controller Steven Cheng, the
program made good business sense. “We received a $5,000 rebate from
For tisBC for installing high-efficiency conveyor ovens at our new Cloverdale
location, reducing our payback period and the store’s monthly utility bills,”
says Cheng.
The rebate offsets a por tion of the cost difference between a standard and
high-efficiency appliance. As well, par ticipants in the program experience
ongoing energy savings over the life of the appliance. Based on this, the
payback on investment could be less than one-and-a-half years.
Since 2012, dozens of par ticipants have received rebates through Efficiency à
la Car te, reducing their environmental footprint and their energy bills.
Learn more about Efficiency à la Carte. Or for some low-cost ways to
save energy in your commercial kitchen, tr y FortisBC’s commercial kitchen
energy-saving tips.
* Commercial and Institutional Energy Building Use Summar y Report, Natural Resources Canada, Chart 15: Energy Intensity by Type of Activity
Steven Cheng, Controller, Pizza Hut (photo credit: FortisBC)
SPONSORS
Vancity partners with Climate Smart
to build a green economy
At Vancity, we measure and manage our carbon footprint, and we’ve
suppor ted more than 160 business members to par ticipate in Climate Smar t
training.
We’re proud that Rocky Mountain Flatbread Company is both a Vancity
business member and a Climate Smar t-cer tified business committed to
reducing their greenhouse gas footprint in their restaurants and in their
wholesale pizza production. This year we’re assisting Rocky Mountain
Flatbread with the installation of an innovative new system that will help
them reduce food waste and expand their commitment to local food
production.
Dedicated to helping strengthen a sustainable local food system, Rocky
Mountain Flatbread Company sources local and organic ingredients to make
their award-winning pizzas. They also take great pride in managing their
environmental impact by reducing greenhouse gas emissions through waste
reduction, sourcing practices and other strategies. All this – and they make
great pizzas too!
Thanks to Rocky Mountain Flatbread for 10 years of local leadership in
sustainability and GhG reduction.
Rocky Mountain Flatbread Company (photo credit: Vancity)
If you’re a Vancity business member and you want to get climate smar t, ask us
about our scholarships for Climate Smar t training. Go to www.vancity.com/
climatesmart or contact [email protected].
SPONSORS
Aiming to make Vancouver the
greenest city in the world by 2020
Vancouver’s Greenest City 2020 Action Plan aims to double the size of the
Green Economy and make Vancouver the Greenest City in the World by
2020.
The local food sector is a key par t of this vision of a sustainable future. The
huge success of farmers markets helps illustrate the dramatic increase in
demand for local food from consumers. Farmers markets increased from
three in 2004 to seven summer and one winter in 2013. Vendor sales grew 13
percent from $6.3 million to $7.1 million between 2012 and 2013.
Vancouver’s street food vending scene has experienced a similar renaissance,
and the city boasted 120 car ts and 42 mobile trucks in 2013. Vancouver’s 19
small craft breweries were par t of a sector that saw an increase in sales of
40 percent in 2013. Vancouver facilitates access to local food to meet this
growing demand through a positive policy environment as well as through
suppor t for businesses and entrepreneurs entering this sector.
Increasing Vancouver’s competitiveness and innovation through business
sustainability is also key to creating a Green Economy. There are numerous
economic advantages to greener business practices, and it all begins with
an understanding of how environmental performance relates to your
business operations and bottom line. Data from Climate Smar t can help
you understand how your business compares with others in your sector.
It also highlights the approaches that other leading businesses are using
to successfully reduce their costs. These businesses are becoming greener
businesses and benefiting from brand lift, employee retention and new clients.
For more information on programs to help you green your business, visit
http://vancouvereconomic.com/page/green-business.
Kitsilano Farmers Market (photo credit: City of Vancouver)
The Vancouver Economic Commission (VEC) is an agency of the City of Vancouver working to
strengthen the city’s economic future by supporting existing businesses expansion, attracting foreign
investment and promoting international trade. The VEC works closely with local stakeholders and
relevant departments of all levels of government to achieve common goals with the support of peer
organizations, industr y associations and education facilities. In short, the VEC connects local and
international businesses to the right people.
ADDITIONAL SUPPORT
Sustainability and climate action have long been a par t of the
City of Nor th Vancouver’s core values, policies and programs. To build a
community resilient to future challenges, we must not only lead by example,
but provide oppor tunities for residents and businesses to play a role.
That’s why we’re launching a new initiative called Living City. It’s an
oppor tunity to share what we’re doing, connect with others, discuss ideas
and help people par ticipate in our climate action effor ts. Living City includes
a number of programs and initiatives in five areas: Sustainable Energy, Zero
Waste, Transpor tation, Urban Agriculture, and Natural Capital.
It’s about each of us doing our par t and respecting our environment as
we coexist to create a Living City. Go to www.cnv.org/livingcity for more
information.
The Capital Regional District (CRD) is a “community of communities”
committed to working together to create a vibrant, livable and sustainable
region for years to come. In practice, this means that our ser vices aim to
suppor t a good quality of life as well as a strong, resilient regional economy. It
also means that we have a commitment to climate action.
The CRD Climate Action Program philosophy is based on three pillars:
engage, reduce and prepare. The program works to suppor t the necessar y
shifts in policy, infrastructure, behaviour and planning that are required to
create a vibrant, healthy and low-carbon capital region.
For more information, go to www.crd.bc.ca/climatechange.
CARBON EMISSIONS IN THE FOOD AND
BEVERAGE SECTOR
A CLIMATE SMART
TM
INDUSTRY BRIEF
Elizabeth Sheehan Executive Editor
Anastasia Lukyanova Analysis, Author
Michelle Bonner Author, Editor
Jens Ourom Author
Photo Credits
all Creative Commons Attribution 2.0 Generic unless stated otherwise
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Copyright © 2014 Climate Smar t Businesses Inc. All rights reser ved.
This publication is protected by copyright and written permission is required
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means (electronic, mechanical, photocopying, recording, or otherwise).
For more information on Climate Smar t training, cer tification, and data
ser vices, contact [email protected]. go to
www.climatesmartbusiness.com, or call 1-888-688-6283.