Climate Change Target Setting
Dr Wendy Buckley
Carbon Footprint Ltd
Chair of North Hants Sustainable Business Network
01256 592599
wendy.buckley@carbonfootprint.com

SBN – Carbon Offsetting 8th January 2021
Carbon Footprint Ltd© Carbon Footprint Ltd 2021

SBN – Carbon Offsetting 8th January 2021
Carbon Footprint Ltd© Carbon Footprint Ltd 2021

Today’s Packed Programme• Legal & Market Updates – Dr Wendy Buckley, SBN North Hants Chair/Carbon
Footprint Ltd• Climate Change Target Setting – Prof Ian Williams, University of Southampton• Climate Change Target Setting in Practice – Joel Fernandez, Carbon Footprint Ltd• Case Study – Our Climate Change Targets – Sharon Ball, Portals

SBN – Carbon Offsetting 8th January 2021
Carbon Footprint Ltd© Carbon Footprint Ltd 2021

Legislation & Market Trends
Dr Wendy Buckley
Carbon Footprint Ltd
01256 592599
wendy.buckley@carbonfootprint.com

SBN – Carbon Offsetting 8th January 2021
Carbon Footprint Ltd© Carbon Footprint Ltd 2021

SBN – Carbon Offsetting 8th January 2021
Carbon Footprint Ltd© Carbon Footprint Ltd 2021

HomeWork Footprint is significant and not zero
• 60% working population are currently HomeWorkers*• Continued HomeWorking for an extended period of time
• Reduced site energy use if you reduce site energy use• Lower company emissions (Saving ~0.3 tCO2e/office employee/year)• Yet, home energy consumption have increased & UK homes are lossy!
• Emissions differ from employee to employee• Measure in your carbon assessment for more holistic footprint* sorce Working from home (WFH) statistics 2020 | Finder UK

SBN – Carbon Offsetting 8th January 2021
Carbon Footprint Ltd© Carbon Footprint Ltd 2021

What the UK’s Brexit Deal Means for the Environment• UK and EU’s Net Zero Carbon by 2050 commitments a key
condition for future cooperation.
• If the UK fails to keep pace with EU levels of environmental
protection and this affects trade or investment, the EU could takeproportionate measures in response, such as introducing tariffs.
• The European Court of Justice will not be involved after pressure
from the UK• Will the UK be weak in protecting environmental standards ifrepercussions are rare
• Post Brexit Environmental Watchdog – no update

SBN – Carbon Offsetting 8th January 2021
Carbon Footprint Ltd© Carbon Footprint Ltd 2021

UK’s new target ahead of COP26 UN Climate
Summit• UK hosts UN Climate Change Conference (COP26) in Glasgow
November 2021.
• Ahead of this, the UK have announced an increase in its NDC(Nationally Disclosed Contribution) to a 68% reduction inemissions by 2030 (up from 57%).
– EU target currently 55%• Net Zero Carbon by 2050
• Calls to be more ambitious with opportunities to drive green
jobs and low-carbon economic growth following pandemic.

SBN – Carbon Offsetting 8th January 2021
Carbon Footprint Ltd© Carbon Footprint Ltd 2021

The UK will is set to miss its 4th & 5th Carbon
Budgets says Committee of Climate Change• Large National Grid reductions (grid net zero target)• Estimate for costs is now below 1% of GDP throughout the next 30 years.
– Savings such as from reduced fuel consumption and therefore cost, cancel out the investment costs• Not currently on track to meet 5th carbon budget– This is based on projection data from BEIS (2020) – currently projected reduction of ~57% by 2040
– Recommend a 78% reduction in UK territorial emissions between 1990 and 2035 and ramping up ofpolicies & action, particularly for transport, agriculture and residential.

SBN – Carbon Offsetting 8th January 2021
Carbon Footprint Ltd© Carbon Footprint Ltd 2021

`

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Carbon Footprint Ltd© Carbon Footprint Ltd 2021

Few fines reported from Environmental Agency(EA)…delayed by pandemic• £2.1 million confiscation order for John Bruce labelled ‘career criminal’ – caseconcluded 22nd Dec• Prosecuted for six offences for dumping, burying and burning 25,000 cubic metres ofwaste at the farm.
• Given three months to pay else faces a 7 year jail sentence• Received a 26-month custodial sentence in May 2018 for operating an illegal waste anda second jail sentence for a permit breach.
• One of the biggest orders the EA has gained. Shows that they’re not just prosecuting
those who run illegal waste sites, but also coming after getting back the profits they
made from their illegal activities and to recoup taxpayers’ money spent on pursuingthem.

SBN – Carbon Offsetting 8th January 2021
Carbon Footprint Ltd© Carbon Footprint Ltd 2021

EA action slowed down during the pandemic• The EA has dramatically reduced the frequency that it attends water pollution
incidents amid the pandemic• Concerns this is allowing companies to break environmental regulations with
impunity.
•

April - August attended just 292 water pollution incidents––

1,726 were attended during the same period in 2019
Number of reports of pollution incidents remaining high–Released report showing that only 14% of the UK’s watercourses are in good ecological health• The head of the EA (Sir James Bevan) said that post-Brexit he wanted to end theone-out-all-out rule to allow rivers to be judged on one criterion instead of all
four.
– This would dramatically increase the number of rivers judged to be in a good state
overnight.

• The EA is accountable to Parliament through ministers

SBN – Carbon Offsetting 8th January 2021
Carbon Footprint Ltd© Carbon Footprint Ltd 2021

If your large businesses just finished its financial year –you need to complete your first Streamlined Energy &Carbon Report (SECR)• Companies now reporting – for financial years starting on or after 1st April
2019• Company or LLP qualifies if satisfies two or more of the following
requirements: (exempt if use <40MWh of energy)– Turnover £36 million or more
– Balance sheet total £18 million or more
– Number of employees 250 or more

• Enforced by The Conduct Committee of the Financial Reporting Council

Videos - https://www.carbonfootprint.com/secr.html

SBN – Carbon Offsetting 8th January 2021
Carbon Footprint Ltd© Carbon Footprint Ltd 2021

Phase outs to be aware of.
• Installation of gas boilers banned in new homes from 2025
– Move to greener options such as air/ground source heat pumps, solar PV &batteries• Ban on new fossil fuel cars by 2030 ( incl mild & plug-in hybrids)• From 1st Jan 2021, virgin R404A will not be permitted for maintenance&servicing.
– Recovered or reclaimed R404a can be used until the end of 2030.

SBN – Carbon Offsetting 8th January 2021
Carbon Footprint Ltd© Carbon Footprint Ltd 2021

Images courtesy – BBC, Netflix,
Reuters, The Guardian
SBN – Carbon Offsetting 8th January 2021
Carbon Footprint Ltd© Carbon Footprint Ltd 2021

References / Useful Links••

Homework Footprint - in SBN Session https://youtu.be/cRq2MB2YDbc
Environment Agency slashes number of water pollution incident visits – The Guardian
Environment Agency slashes number of water pollution incident visits | Environment Agency | The Guardian••

Data reveals just 14% of good ecological standard and none of good chemical standard – The Guardian
https://www.theguardian.com/environment/2020/sep/17/rivers-in-england-fail-pollution-tests-due-to-sewage-and-chemicals••

Brexit deal threatens UK labour and climate standards, thinktank warns – The Guardian
Brexit deal threatens UK labour and climate standards, thinktank warns | Politics | The Guardian•

Environment Agency chief supports plan to weaken river pollution rules – The Guardian
Environment Agency chief supports plan to weaken river pollution rules | Rivers | The Guardian••

How Brexit deal could force UK and EU to stick to tougher climate targets – The Independent
How Brexit deal could force UK and EU to stick to tougher climate targets | The Independent••

CCC: UK must cut emissions ‘78% by 2035’ to be on course for net-zero goal – Carbon Brief
CCC: UK must cut emissions ‘78% by 2035’ to be on course for net-zero goal | Carbon Brief•

The-Sixth-Carbon-Budget-The-UKs-path-to-Net-Zero.pdf (theccc.org.uk)•

Updated energy and emissions projections 2019 (publishing.service.gov.uk)•

ENDS Report Fines Monitor : https://www.endsreport.com/fines-monitor

SBN – Carbon Offsetting 8th January 2021
Carbon Footprint Ltd© Carbon Footprint Ltd 2021

Legislation & Market Trends
Dr Wendy Buckley
Carbon Footprint Ltd
01256 592599
wendy.buckley@carbonfootprint.com

SBN – Carbon Offsetting 8th January 2021
Carbon Footprint Ltd© Carbon Footprint Ltd 2021

SBN – Carbon Offsetting 8th January 2021
Carbon Footprint Ltd© Carbon Footprint Ltd 2021

Image source: www.bbc.co.uk (last accessed April 2019)

Setting Science-based Climate
Change Targets for Business
Sustainable Business Network Winter Meeting, 8 January 2021

Ian Williams
Professor of Applied Environmental Science
Associate Dean (Enterprise)
Faculty of Engineering and Physical Sciences,
University of Southampton, UK.
idw@soton.ac.uk; @EnviroTaff

19

Source: www.bbc.co.uk (last accessed October 2019)

World Meteorological Organization:
•
•
•
•
•

Climate change continued its relentless march in 2020
Year is likely one of three warmest years on record
2011-2020 warmest decade on record
Warmest six years all since 2015
Despite COVID-19 lockdown, atmospheric concentrationsof greenhouse gases continued to rise
• Av. global temperature in 2020 ~1.2 °C above preindustrial (1850-1900) level• ~1 in 5 chance of it temporarily exceeding 1.5 °C by 2024
• Despite La Niña (has cooling effect on global temps)

Source: www.bbc.co.uk (last accessed October 2019

CO2 emissions and concentrations

Source: https://folk.universitetetioslo.no/roberan/t/CO2_drivers.shtml(Last accessed January 2021)

Evidence for rapid climate change is compelling:• Global temperature rise
• Warming oceans• Shrinking ice sheets• Glacial retreat• Decreased snow cover• Sea level rise
• Declining Arctic sea ice• Extreme events• Ocean acidification
23
Image source: climate.nasa.gov (last accessed June 2019)

“The finding of 97% consensus in publishedclimate research is robust and consistent”

Source: www.bbc.co.uk (last accessed October 2019)

WE MUST MOVE FAST! AN EXAMPLE:• Home heating - biggest challenge in terms of reducing UK emissions• Accounts for average 21% of a household's carbon footprint• UK - 30 million homes and 30 years to decarbonise

Chris Stark (UK Committee on Climate Change):“Simple arithmetic suggests weneed to decarbonise one million
homes every year, starting now”

Source: www.un.org (last accessed September 2017)

What can business do?

SET A SCIENCE-BASED TARGET
1. Commit to setting a science-based target.
2.
3.
4.
5.
6.

Develop your target(s) in line with science-based criteria.
Validate your target (needs scientific expertise).
Announce your target and inform your stakeholders.
Disclose your progress.
Conduct an annual review & make necessary amendments.

Recommend these standards are used28

Science-based target setting criteria

GHG Emissions Inventory and Target Boundary
1. Scopes: Targets to cover company-wide scope 1 and scope 2 emissions.
2. Significance thresholds: May exclude up to 5% of scope 1 and scope 2
emissions combined in boundary of inventory and target.
3. Greenhouse gases: Targets to cover all relevant GHGs.
4. Bioenergy accounting: Direct CO2 emissions from combustion of biofuels
and/or biomass feedstocks, plus associated sequestered C, to be
included in inventory and target boundary. If accounted for as neutral,provide justification of underlying assumptions.
5. Subsidiaries: Recommended companies submit targets only at parent- orgroup-level, not at subsidiary level.

Science-based target setting criteria

Timeframe
6. Base and target years: Targets to cover min.5 years and max.15 years.
7. Progress to date: Targets already achieved not acceptable.

Science-based target setting criteria

Ambition
8. Level of ambition: At minimum, scopes 1 and 2 targets must be
consistent with decarbonization required to keep global temperature
increase to well-below 2°C cf pre-industrial temperatures.
9. Absolute vs. intensity: Intensity targets and absolute reductions for
scope 1 and scope 2 emissions consistent with well-below 2°C goal.
10. Method validity: Use latest version of approved methods and tools.
11. Combined scope targets: Targets that combine scopes (e.g. 1+2 or
1+2+3) permitted; scope 1+2 portion in line with well-below 2°C.
12. Offsets: Not counted as emissions reduction towards targets.
13. Avoided emissions: Do not count toward science-based targets.

Science-based target setting criteria

Scope 2
14. Approaches: Use a location- or market-based approach to calculatebase year emissions and to track performance against target. Use
single, consistent approach for setting and tracking progress (e.g. using
location-based approach for both target setting and progress tracking).
15. Renewable electricity: Targets to actively source renewable electricity atrate consistent with 1.5°C scenarios an acceptable alternative to scope
2 emission reduction targets

Science-based target setting criteria

Scope 3
16. Screening: Suggest completion of scope 3 screening for all relevant andmandatory scope 3 categories to determine significance.
17. Requirement to have a scope 3 target: Depends on sector and ambition.
18. Boundary: Set one or more emission reduction targets and/or supplier orcustomer engagement targets in line with Standard.

Science-based target setting criteria

Reporting
19. Frequency: Publicly report company-wide GHG emissions inventory andprogress against published targets on an annual basis.

Science-based target setting criteria

Recalculation and validity
20. Target recalculation: Targets to be reviewed, and if necessary,recalculated and revalidated, at a minimum every 5 years.
21. Target validity: Announce target publicly (website).

LONGER-TERM RESPONSES REQUIRED:

1. We must build resilient and sustainable infrastructure
2. We must reinvent urban environments to enhance liveability and enable
sustainable lifestyles
3. We must find effective and efficient ways to feed and fuel cities
4. We must find ways to meet the economic challenge associated with this transition
5. We must encourage leadership, cooperation and lifelong learning

Ian Williams, July 2017
(Source: https://www.southampton.ac.uk/news/2017/07/how-to-build-a-sustainable-city.page)Setting Science-based Climate
Change Targets for Business
Sustainable Business Network Winter Meeting, 8 January 2021

Ian Williams
Professor of Applied Environmental Science
Associate Dean (Enterprise)
Faculty of Engineering and Physical Sciences,
University of Southampton, UK.
idw@soton.ac.uk; @EnviroTaff

Be scientifically realistic.
Demand the politically impossible.
George Monbiot, October 201937

Practical Climate Change
Target Setting for your Business
Let’s predict the future
Joel Fernandez, MEng (Hons) AMIMechE
Environmental Consultant & Engineer
Carbon Footprint Ltd.
joel.fernandez@carbonfootprint.com
Carbon Footprint Ltd

Target Setting 8 January 2021
© Carbon Footprint Ltd 2020

I have calculated my carbon footprint,
what happens next?
• Offset your footprint and then:Do Nothing

Carbon Footprint Ltd

Actively reduce

Target Setting 8 January 2021
© Carbon Footprint Ltd 2020

I have calculated my carbon footprint,
what happens next?
• Let’s use an anonymous company to make some scenarios

Element(Using per £million turnover to accountfor company growth)

Carbon Footprint Ltd

Cash opt out car travel
Van travel and distribution
Company car travel
Site electricity
Refrigerants
Rail travel
Flights
Hire cars
Taxi travel
Total

2019
(tCO2e per£million)
6.40
2.69
2.01
1.48
0.51
0.21
0.19
0.05
<0.01
13.54
Target Setting 8 January 2021
© Carbon Footprint Ltd 2020

What if I do nothing? (except change myelectricity tariff in 2021)• Passive reductions account for:– Forecasted emissions factors based on current trends– Legislation for fuel burning vehicles– Government targets for grid decarbonisation– Switching to a green tariff
Forecast of Company’s Emissions Until 2040

16

tCO2e/£million turnover

14

Passive/£Million

12
Passive/£Million(Market-Based)

10
8
6
4
2

2040

2039

2038

2037

2036

2035

2034

2033

2032

2031

2030

2029

2028

2027

2026

2025

2024

2023

2022

2021

2020

2019

0

Year

Carbon Footprint Ltd

Target Setting 8 January 2021
© Carbon Footprint Ltd 2020

…but if I actively reduce my emissions?
• Some example methods of reduction:– Holding site energy audits to look for savings– Switching to electric vehicles faster– Changing flights to economy class– Reducing energy use/distance travelled by small amounts each year
Forecast of Company’s Emissions Until 2040

16
14

Passive/£Million

tCO2e/£million turnover

12
10

Passive/£Million(Market-Based)

8
6

Active/£Million

4
2

Active/£Million(Market-based)

2040

2039

2038

2037

2036

2035

2034

2033

2032

2031

2030

2029

2028

2027

2026

2025

2024

2023

2022

2021

2020

2019

0

Year

Carbon Footprint Ltd

Target Setting 8 January 2021
© Carbon Footprint Ltd 2020

…and how will this be broken down?
Fuel emissions → Electricity Emissions → Decarbonisation
Actively Reduced Forecasted Emissions Breakdown
16

tCO2e per £million turnover

14
12
10
8

6
4
2
0
2019

2025

2030

2035

2040

Company car travel

Year
Cash opt out car travel

Electric car electricity

Van travel and distribution

Site electricity

Refrigerants

Other**Other includes emissions from rail, flights, hire cars and taxi travel
Carbon Footprint Ltd

Target Setting 8 January 2021
© Carbon Footprint Ltd 2020

Review your Targets on Yearly basis• Chart your progress to your targets against your annual Carbon
Footprint Assessment• Adjust your targets – too fast/too slow etc• Remember to promote/communicate with your teams to celebrate
success and foster the right behaviours going forward

Carbon Footprint Ltd

Target Setting 8 January 2021
© Carbon Footprint Ltd 2020

What about Science Based Targets (SBTs)?
• SBTs are high level goals
Pros

Cons

Provides a top down approachto emissions targets

Limited breakdown of future
emissionsAims to keep global warming
below 2oC from pre-industrial
levels

Doesn’t account for passive
reductions

Widely recognised, improves
marketabilityLess insight into what you need to
do to reduce

Carbon Footprint Ltd

Target Setting 8 January 2021
© Carbon Footprint Ltd 2020

To conclude
•
•
•
•
•

Set goals tailored to your business’s footprint
Find out where cost effective emissions savings can be madeActively reduce by taking advantage of passive reductions
Review your footprint and targets annually
Get ahead of the legislation

Carbon Footprint Ltd

Target Setting 8 January 2021
© Carbon Footprint Ltd 2020

Information & Further Resources•••

Carbon Footprint Website:
https://www.carbonfootprint.com/sciencebasedtargets.html
Emissions factors and predictions based on Defra 2016 to 2020:
https://www.gov.uk/government/publications/greenhouse-gasreporting-conversion-factors-2020
Graphs and data belong to Carbon Footprint Ltd

Carbon Footprint Ltd

Target Setting 8 January 2021
© Carbon Footprint Ltd 2020

Practical Climate Change
Target Setting for your Business
Let’s predict the future
Joel Fernandez, MEng (Hons) AMIMechE
joel.fernandez@carbonfootprint.com

Carbon Footprint Ltd

Target Setting 8 January 2021
© Carbon Footprint Ltd 2020

Do the Right Thing

Portals Climate Change
Goals
portalspaper.com
January 2021
portalspaper.com

PUBLICWe’re very pleased to present to you
today an update on October 2019’s
case study on our Climate Change
Goals. We’ll be discussing

AgendaPUBLIC•

Our energy needs as a papermaker•

Our goals and the role of KPIs in
achieving them

Overton• Banknote paper• Cotton based operation• Three highly flexible
paper machines• 14,000 tonne capacity

Our locations

Proud to be an independent paper
business, entirely dedicated tosupplying the highest quality paperand service to the world’s leading
security printers

PUBLIC

Bathford•High security paper•
Wood pulp operation•
One paper machine•2500 tonne capacity

Our accreditations

Using best practices and industry
standards and accredited by thebanknote ethics initiative• ISO 9001 (Quality)• ISO 14001 (Environment)• ISO 45001 (Health & Safety)• Intergraf CWA 15374 (Security)• PEFC Chain of Custody (Forestry Sustainability)

52
PUBLIC1. Track and act on any opportunity tochange to green gas and alternatives
to grid electrical imports,
2. Have a programme to drive short andlong term improvements in Energy
Efficiency,

Our goals

Portals Climate Change Goals

3. Give purchasing preference to energy
efficient equipment (pumps, motors,
agitators etc),
4. Have a programme of replacement of
inefficient equipment,
5. Sustain our Climate Change
Adaptation plans.

PUBLICLooking for the Climate Change HEROES!

• Imperative that globally we cap carbon
dioxide emissions to cap the averagetemperature increase to 1.5’C HOWEVER• How do we know that the goals we set will
have a material influence?

• Can we in any way influence others not toundo the good work we are doing?
• Should the UK and other countries regulate
for carbon emissions so that the emissions
don’t go unregulated elsewhere?

• We need heroes and we need innovators.

PUBLIC

National progress towards 2050

Paper – the sustainable, renewable choiceEnvironmental Packaging Week November 20

55

Cost of reaching Net Zero
Committee of Climate Change estimate –£50bn per year, less than 1% of projected GDP.
Treasury and BEIS estimate –£70bn per year, or over £1 trillion by 2050.
Proper cost assessment by Treasury underway - reports next year.
Success in decarbonising the electricity sector - but at a huge cost.
For UK based industry - what substitutes for gas - are any economic in the UK?
All alternatives are currently more expensive or not technically feasible at present.
Electrification;
On-site renewables;
Low carbon gas/Hydrogen;
Biomass;
Capture & Storage;
Industrial Clustering

Paper – the sustainable, renewable choiceEnvironmental Packaging Week November 20

56

Funding schemes
Industrial Energy Transformation Fund (IETF)➢ To support businesses with high energy use to transition to a low carbon future andto cut their bills through increased energy efficiency.
➢ £315m re-directed from the Enhanced Capital Allowance Scheme.
➢ £30m initial funding round now open now closed – results next year.
(Scotland to follow).
➢ No support for gas-CHP or biomass conversion.
➢ New funding rounds Spring & Summer 2021.
➢ Planning to target close to market equipment.

Decarbonising Industrial Clusters➢ Ongoing consultation to identify the priority areao South Wales & Scotland only potential area with paper millso £20m for Industrial Decarbonisation Centre at Heriot-Watto Seen as a key opportunity

Paper – the sustainable, renewable choiceEnvironmental Packaging Week November 20

57

UN Climate Change Conference UK 2021

• #RacetoZero• Count Us In campaign#TogetherForOurPlanet• Partner with cabinet office

PUBLICSBN – Carbon Offsetting 8th January 2021
Carbon Footprint Ltd© Carbon Footprint Ltd 2021

Climate Change Target Setting
Dr Wendy Buckley
Carbon Footprint Ltd
Chair of North Hants Sustainable Business Network
01256 592599
wendy.buckley@carbonfootprint.com

SBN – Carbon Offsetting 8th January 2021
Carbon Footprint Ltd© Carbon Footprint Ltd 2021