We recognise our responsibilities to operate effective environmental practice and to continue to strive for improvement in areas of environmental impact. Our approach is to work through education, communication and direct action.
Working with our specialist energy consultants we have completed energy saving upgrades in our managed and our leased and tenanted estate to reduce consumption and monitor and identify savings made in kWhs and energy spend. Upgrading included installation of ECO flo chillers to reduce the energy usage by the cellar beer chillers. These are fitted with smart controls which can be pre-set to reflect the trading hours of the site along with variable speed drive which reduces the fan speed of the chillers dependent on the trading demand.
In our estate of managed houses we have commenced a programme of installation upgrades to reduce consumption and monitor and identify savings made in kWhs and energy spend. Upgrades have included LED lighting reducing the majority of lamps from between 40 and 55 watts per unit to between 4 and 5 watts, installing weather compensation controls to boilers to optimise the heating systems and room thermostats installed to control private accommodation heating separately to the pub.
Our managed businesses
Where we now have operational control of our estate of managed pubs, this enables us to influence how best to manage waste disposal, recycling and energy efficiency. As our managed business grows we will grow our capabilities to deliver sustainable operating procedures which are mindful of the environment and the local community.
We are reviewing ways of working to better manage water consumption across our head office, in our managed estate and by offering training and solutions to the leased and tenanted estate. With our energy consultants we are monitoring water meter readings for our managed houses and acting on any anomalies or irregularities to drive efficiencies. Our managed houses are in the process of having SMART water meters installed which will provide us with more visibility on usage. As part of the energy reduction programme in the managed estate we are reviewing new technologies including waterless urinals and cistermisers. Our learnings from these trials will influence the way we are able to support publicans in our leased and tenanted estate to benefit from the same efficiencies we are delivering in our own managed estate.
Wherever possible we combine all drinks deliveries into a single vehicle drop to reduce road miles, congestion, fuel and costs.
Ei group continues to fulfil its obligations imposed by the Packaging Waste Regulations based on all recyclables sold to publicans. In 2015, ei group changed its membership to the SUSTAIN Drinks Packaging Partnership, a pub industry initiative led by the BBPA, which will provide an improved waste packaging consultancy service and lowest cost compliance. SUSTAIN will also help us prepare for the more complex obligations required for our managed pubs, including food packaging waste. All our managed pubs have the facilities to recycle 100% of the glass used in the business.
Ei group has been working with suppliers to recycle cooking oil used in the estate. Publicans participating in this initiative receive a cash back incentive encouraging them to recycle oil. In the past year this has delivered over £70,000 cash back to publicans and we are seeing the amount of oil recycled increasing significantly, with over 350,000 litres deposited for recycling, almost double the prior year.
Greenhouse gas emissions:
During the course of this year we have implemented initiatives promoting carbon reduction. We have made good progress in assessing the benefits of and installing new energy efficient equipment in a number of sites across the estate, highlighting where the greatest reductions could be achieved and prioritising those sites. Utilising the industry standard measures of Scope 1 and Scope 2 of the Greenhouse Gas Protocol (GHG Corporate Accounting and Reporting Standard Revised Edition 2004) we aim to engender a carbon saving culture across all stakeholders in the organisation.
Our head office building is now 15 years old and some of the plant and systems are reaching the end of their life cycle. After completing a feasibility study assessing the upgrading of a number of systems it is intended to replace items in 2017 with the aim of achieving improved energy performance, reduce running and maintenance costs and overall reduction in energy consumption.
To reduce waste we are targeting a minimum 75% of all waste being recycled. This has already been achieved at the head office and to ensure this is attained within the managed estate our approved supply chain has been instructed that our policy is to return all packaging to source for recycling. We will monitor and manage this process to ensure adherence.
We are working with waste management providers across our managed estate with trials at over 10 sites. Across the trial we have achieved 0% waste direct to landfill, 3% residual to landfill, 63% direct to recycling and 34% to energy from waste initiatives.
We have conferencing telephony available in all meeting rooms and encourage web-based meetings and conference calls where feasible. On completion of our head office refurbishment we have the opportunity to further mitigate our Carbon Footprint by enhanced facilities aiming to reduce road miles
We continue to proactively promote to our staff the potential alternatives for each journey undertaken including public transport, car sharing and cycling.
Our Car Fleet Policy ensures all new cars procured are subject to CO2 restrictions and car option choices have been extended to include at least one super hybrid/ECO car.
Energy Performance Certificates (EPC)
We continue to make good progress towards compliance with the Minimum Energy Performance Standards Regulations to ensure that where in our portfolio leases and tenancies are approaching expiry they are appropriately rated for energy performance prior to deadlines set for 2018. We are proactively managing the future requirements of EPCs and where low efficiencies are identified we are seeking to prioritise those by investing in remedial works and following these up by further trial installations to capture the consumption savings prior to reviewing the roll out possibilities across the wider estate and businesses.
In 2016 we embarked on a project to model and evaluate energy saving measures that will help to underpin an eco-friendly approach to operating our leased and tenanted business. In conjunction with our energy consultants we have undertaken a series of energy reduction feasibility studies across the estate to better understand the running costs associated with energy usage in the pub estate and methods to reduce them. The sample sites all vary in size, trading style and opening hours and allow us to generate an accurate picture of energy usage associated with lighting, heating, water and cellar cooling and then model these with various methods of reducing consumption. We expect feasibility surveys to be completed early in 2017.
Energy Savings Opportunity Scheme (ESOS)
We confirm that we were fully compliant with reporting requirements by 5 December 2015 and have embraced this initiative and take learnings from all of the energy saving opportunities highlighted in our ESOS report. We have continued to complete surveys on all properties moving into our managed estate, working towards the next ESOS submission in 2019 and highlighting the ways to reduce energy consumption when pubs move from the leased and tenanted estate to our management.
Greenhouse Gas Emissions (GHG) Statement
The greenhouse gas emissions statement (which can be seen in the ei group plc 2016 Report & Accounts, pages 32 and 33) provides a summary of ei group’s greenhouse gas (carbon) emissions each year from 1 October 2015 to 30 September 2016. It gives a summary of emissions from fuel combustion and the operation of our facilities which include our offices, managed houses and company cars (Scope 1), and from our purchased electricity used during the year (Scope 2).
We have adopted the operational control approach, as defined in The Greenhouse Gas Protocol, A Corporate Accounting and Reporting Standard (Revised Edition), 2004. Therefore, emissions associated with our tenanted pubs and commercial property portfolio are not included in this statement as they are considered to be outside of our operational control. For ease of comparison the GHG statement is set out in two parts; an assessment breakdown for the head office only with the baseline year 2013 and the total combined emission statement (head office and managed houses) with the baseline year of 2015 ensuring year on year continuity as we grow our managed businesses. When comparing the greenhouse gas statement against that reported for 2015, a 4% reduction in emissions at our head office has been made. There has been an increase in the overall emissions across the entire estate due to the increased number of managed pubs under our direct operational control which opened and operated in 2016.
Our strategy is to grow the number of pubs in our managed business over the coming years and it is expected that with that the carbon emissions will continue to rise. As stated above, as we are better able to harness energy efficiencies where we have direct control we will do so to manage the growth in emissions.