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Energy Efficiency Opportunities Engaging with and securing buy-in from key staff

Energy Efficiency Opportunities Engaging with and securing buy-in from key staff. 2012 EEO Workshop Sydney Tuesday 28 th August 2012 Dr Carl Williams Climate Change & Resource Efficiency Manager Downer Group. The Downer Group. People 23,000. Work-in-hand A$20 billion.

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Energy Efficiency Opportunities Engaging with and securing buy-in from key staff

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  1. Energy Efficiency OpportunitiesEngaging with and securing buy-in from key staff 2012 EEO Workshop Sydney Tuesday 28th August 2012 Dr Carl Williams Climate Change & Resource Efficiency Manager Downer Group

  2. The Downer Group People 23,000 Work-in-hand A$20 billion Market capitalisation A$1.6 billion Divisions Downer Australia Downer NZ Downer Mining Downer Rail Sectors -Minerals & Metals - Oil & Gas - Power - Communications - Transport Infrastructure - Water - Social Infrastructure - Property

  3. The Assessment & Reporting Schedule (ARS) (Assessment Planning for the first 5 years of EEO – 2006-11) Developed in collaboration with external Consultants for Downer Group: • limited input by Downer • limited awareness of requirements by Downer • something to comply with - not a business imperative Result: • did not secure across the business buy-in to ARS by Downer • limited Senior Management drive to comply • rested with Zero Harm and Business Improvement enthusiasts Theoretical approach, limited practical considerations. BIG LEARNING CURVE FOR DOWNER…

  4. Outcomes from the First Assessment Cycle • Assessed 81% (over 2 PJ) of total Group energy consumption covering the (former) Works and Mining divisions • Over 300 energy reduction opportunities identified, representing- • potential annual energy savings of 200 TJ • and cost savings of around $5 million

  5. From Compliance to Business Improvement • Benchmarking was already in place and helping to deliver energy efficiency improvements • Statement from key divisional CEO- • “We don’t want to just satisfy the politicians, we need to use the energy data to improve the business” • Our skills in energy management developed quickly • Business Improvement Teams were in place in some areas - these helped drive some EEO initiatives • EEO initiatives have linked in well with Downer improvement programs such as F4B (where priority EEO projects are listed and progress reported)

  6. Developing an Energy Efficiency Framework Sustainability Policy • Drivers: • Legislation • Sustainability commitments & objectives • Operational efficiencies • Risk management • Reputation • Stakeholder & community expectations • Role/job descriptions (with KPIs) • Systems & Tools: • Strategic (blue sheet) process • Resource Efficiency Action Plans (high level, strategic document) • Facility/project Environmental Action Plans (site specific, operational documents) • Environmental STI (sets environmental performance targets) • Alignment with F4B program (procedures, forms, templates) Corporate Strategy Environmental Sustainability Objectives Environmental Sustainability Business Plan EEO Assessment Plan Compliance Environmental /business Improvement Projects (Action Plans) Reporting • Voluntary • CDP • Sustainability • Operational reporting • Regulatory • EEO • NGER

  7. Improvements to the EEO Program(Group level) • Platform dedicated to EEO on the Downer intranet, comprising: • guidance material relating to the program • relevant information and case studies for sharing • standardised templates/ pro formasfor capturing data, outcomes from workshops and assessments, and managing and tracking energy efficiency opportunities • divisional and facility-level plans, actions and achievements • reports tracking performance against the requirements of the EEO program • EEO awareness raising and educational campaign will be refreshed and enhanced:

  8. Improvements to the EEO Program(Divisional level) • Knowledge transfer from Mining and (former) Works divisions to build capacity within the divisions new to EEO • Further alignment of the EEO and F4B process across all divisions, including: • common templates and pro formas • common processes and analysis techniques • integrated Project Registers for EEO and F4B • F4B Innovation Awards also includes projects that have been identified through EEO • Initiatives to raise the profile of EEO and to improve the effectiveness of communicating EEO activities, including: • KPI/Environmental STI objectives included in Position Descriptions of key staff • tracking of energy improvements on Divisional Environmental Scorecards • regular EEO update e-mail covering: • progress of projects • case studies of successful EEO initiatives • new ideas will be reported (e.g. quarterly reports) • other channels such as CEO updates, F4B Hints and Tips, F4B monthly newsletter, Downer intranet

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