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15 June 2010 Nick Hall-Stride

Industrial Energy Efficiency Accelerator. Innovation opportunities for the meat processing industry. 15 June 2010 Nick Hall-Stride. Who we are… What we do….

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15 June 2010 Nick Hall-Stride

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  1. Industrial Energy Efficiency Accelerator Innovation opportunities for the meat processing industry 15 June 2010 Nick Hall-Stride

  2. Who we are… What we do… • The Carbon Trust is a not-for-profit company with the mission to accelerate the move to a low carbon economy. We provide specialist support to help business and the public sector cut carbon emissions, save energy and commercialise low carbon technologies.  • By providing specialist advice and finance to help organisations cut carbon • By setting standards for carbon reduction • By opening markets for low carbon technologies • By leading industry collaborations to commercialise technologies • By investing in early stage low carbon companies

  3. Carbon Trust products you may be familiar with will continue…

  4. The IEEA programme is a new, differentiated offering…

  5. There are still CO2 reduction opportunities in industrial processes… • Industrial CO2 emissions account for 25% of the UK total. Despite the UK’s overall emissions falling between 2006 and 2007, industrial emissions continued to rise, by 9.5%1 • Policy measures that impact industry (CCL, CRC) are insufficiently strong and/or slow acting e.g. the EU ETS may not stimulate the desired action in all cases. • Opportunities to reduce emissions in industry lie in multiple relatively small process improvements2 • Targeting sector-specific processes alongside traditional energy efficiency opportunities motivates industries whose energy use is mostly consumed by these processes. 1 DECC, 2007 Greenhouse Gas Emissions Final Figures, February 2009 2 Committee on Climate Change Report, December 2008

  6. The IEEA programme aims to unlock those opportunities… • The IEEA programme is a new sector based approach recently piloted by the Carbon Trust • The target is industrial sector-specific processes • Identify practical, replicable, cost-effective carbon saving opportunities • We identified a significant number of opportunities for CO2 reduction in three pilot sectors1 which would save an average of 28% CO2 emissions per sector (160,000 tonnes CO2) To deliver a step change reduction in CO2 from industrial processes by accelerating innovation in process control and the uptake of low-carbon technologies. 1 animal feed, plastics blow moulding, asphalt production

  7. IEEA Process “Black Box” Services e.g. cooling water, compressed air, boilers, conveying, ventilation Products IEEA PROCESS BLACK BOX Energy Intensive Elements Operational Variables Different Products Different Hardware People • Raw Materials • Energy: gas, electricity, heat • Scheduling • Management By-products e.g. heat, waste, recyclables, secondary feedstocks NOT Lighting or space heating Training and awareness Transport Renewables

  8. The prize… • 3.5-4 Mt CO2 emissions reduction identified by 2012 across industrial sectors • 2.5-3 Mt CO2 emissions reduction implemented by 2014 • traditional carbon management approach achieves implementation rates of 30-40% in 9-18 months. • pilot sector experience suggests the IEEA approach should be capable of doubling the implementation rate in an accelerated time-frame. Pro-active Trade Associations... Active industry membership… Collaborative climate change aware companies… Are invited to participate.

  9. We work closely with Trade Associations and Member Companies… • IEEA approach piloted in 2008/09 • Average 28% savings identified Animal Feed Milling Plastic Blow Moulding Asphalt Production • BOCM Pauls • AB Agri • Noble Foods • Davidson Bros • Carrs-Billington • Agricultural Industries Confederation • Tarmac • Hanson • Aggregate Industries • Lafarge • Cemex • Mineral Products Association • Highland Spring • McBride • Britvic • RPC • British Plastics Federation

  10. New sectors recently added ... Dairies Bakeries • Arla Foods • BV Dairy • Dairy Crest • Robert Wiseman • Glanbia • Dairy UK • Allied Bakeries • Irwin’s Bakery • Jacksons Bakery • Premier Foods • Food & Drink Federation Bricks Brewing Paper • Smurfitt Kappa • St Regis • Arjo Wiggins • James Cropper • Confederation of Paper Industries • PITA • Carlsberg • Tennent Caledonian • InBev • Marstons • Diageo • British Beer and Pub Association • Hanson • Michelmersh • Wienerberger • Ibstock • British Ceramics Confederation

  11. And more… Confectionery Malting • Cadbury • Nestle • Tangerine • Food & Drink Federation • Highland Distillers • Crisp Malting • Simpson’s Malt • Thomas Fawcett • Maltsters Association of Great Britain • Diageo • Molson Coors • Munton’s • Baird’s Malt • Morrison Bowmore Distillers MicroElectronics Laundries • Seagate • NXP • National Semiconductor • International Rectifier • +… • National Microelectronics Institute • Sunlight Textile • Johnson Service • Fishers Services • Cannon Hygiene • Paragon Laundry • Textile Services Association

  12. The approach… Stage 1 Stage 2 Stage 3 Investigation and Solution Identification Implementation Replication Examination of specific processes in depth to understand energy use and interfaces with other systems. Demonstration of the cost-effectiveness and carbon saving potential of the identified solutions such as equipment upgrades and process optimisation. Dissemination and replication of results throughout the industry sector and potentially also to other relevant industry sectors. Identification of solutions that improve energy efficiency based on this investigation. Collect the evidence to build a business case 6 months 12-24 months Ongoing…….

  13. Opportunities identified typically occur in three areas… 1 2 3

  14. Structured approach designed to… • Increase breadth • 20 new sectors enrolled in Stage 1 by September 2010, pro-active trade associations, collaborative member companies, black-box process consensus – fully funded by Carbon Trust • Increase depth • develop business case to facilitate transition from Stage 1 to Stage 2 • Build relationships, disseminate, implement • sector guides, business and energy drivers, CO2 reduction opportunities, data and analysis. Sector wide roll-out, implementation support

  15. An integrated part of the Carbon Trust landscape…

  16. Targeting new sectors through 2010… • Dairies • Bakeries • Confectionery • Bricks& ceramics • Paper, printing, packaging • Microelectronics manufacturing • Laundries • Contract catering • Malting • Brewing • Distilling • Meat processing • Rubber & polyurethane products • Metal forming/ packaging • Particle board & wood panel • Flour milling • Meat, Fish, Poultry Ready Meals • Packaging & films • Foundries/ casting • Composites • Pharmaceuticals/ healthcare • Water/ waste water treatment • Textile manufacturing • Speciality chemicals • Coatings/ paints/ dyes/ inks

  17. Summary of IEEA Benefits.. • A new ‘industry sector specific’ initiative - Stage 1 fully funded. • Progress into Stage 2 is dependent upon success of Stage 1. • Existing Carbon Trust offerings on a company/site basis e.g. carbon management, energy efficiency surveys, loans, R&D etc are not being withdrawn - the IEEA stands as a differentiated new offering. • The programme has Government and Carbon Trust Board support – and substantial budget (£15 million) comparable to recent high profile initiatives Offshore Wind and Marine Energy Accelerators. • Spend on Stage 1 typically the order of £135,000 per sector. • Spend on Stage 2 could be £250,000 to £500,000 per project. • We are looking to the Trade Associations and their Industry Members to take the lead – agree to collaborate, reach a consensus on your priorities, identify processes that you know need looking at, and if it fits the IEEA Framework [‘black box’, industry specific, replicable, cost-effective] we’ll resource it. • It is an initiative that will be supported for at least three years. • We are aiming to have 20 new sectors enrolled into Stage 1 by September 2010.

  18. Nick Hall-Stride Technology Acceleration Manager T: 020 7832 4585 nick.hall-stride@carbontrust.co.uk IEEA@carbontrust.co.uk The Carbon Trust, 6th Floor, 5 New Street Square, London EC4A 3BF

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