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General Motors Dealer Facilities Bill Hepburn & Gary Laundroche. Example: LaFontaine Buick – Pontiac - GMC – Cadillac. Located in Highland, Michigan 63,000 SF facility Pursuing a LEED “Gold” certification. Would be one of the first Gold certified dealerships in USA
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General Motors Dealer FacilitiesBill Hepburn & Gary Laundroche
Example:LaFontaine Buick – Pontiac - GMC – Cadillac • Located in Highland, Michigan • 63,000 SF facility • Pursuing a LEED “Gold” certification. • Would be one of the first Gold certified dealerships in USA • Dealers are independent businesses.
Short Term Goals • Assist our dealers: • Reduce energy use & cost • Develop a competitive advantage in the market place • Market & sell vehicles to environmentally conscious consumers • Expect an increase in sales • Improve image in the community • Part of solution – Not part of the problem • Stimulate local economies with regional materials • “Do the right thing”
Long Term Goals • Assist our dealers: • Reduce negative impact on the environment • Reduce long term lifecycle cost • Reduce the impact of spikes in energy cost • Help the local community • Be a good corporate citizen
Barriers to Success • Decision to go for LEED certification made too late in process • Project team including Architect, Contractors and Suppliers lacked LEED knowledge and experience at onset of project • Steep learning curve & sub education needed • Additional coordination efforts needed • General perception cost of construction would be considerably higher • Industry executives recently estimated 13-18%* incremental cost • Perception more difficult to build • General belief LEED is cost prohibitive * As reported by Market Barometer, Turner Construction
Business Case for Sustainability • Economic Benefits: • Reduced utility cost 2-30 %* • Improved employee productivity 2-16%* • Reduce total lifecycle cost over 20 years** • Sales & marketing benefits • Tax deductions & energy credits • Health & Community Benefits • Easier community permitting & less red tape in some cases • Environmental Benefits * As reported by US Green Building Council (USGBC) ** As reported “The Cost of Green Revisited” Davis Langdon, July 2007
Best Practices & Lessons Learned • Make decision to go for LEED certification early in process • Before site selection • Assemble a team of LEED accredited professionals with experience in designing & building “Green” buildings • LEED is about more than “Green” – it’s about sustainability for generations to come
Sustainability at PepsiCo Tim Carey
Global Food and Beverage Company Over $35 Billion in Revenue, more than $6 Billion in Profit 17 billion-dollar brands Major Operating Sectors PepsiCo Americas Foods (Frito Lay, Quaker Foods and Snacks) PepsiCo Americas Beverages (Pepsi Cola, Gatorade, Tropicana) PepsiCo International Profile of PepsiCo
Our Evolution Phase I – Environmental: • Reduce environmental impact by improving PepsiCo’s operational effectiveness and eco-efficiency • Strengthen corporate environmental governance mechanisms • Enhance external communications and transparency Phase II – Social: • Through engagement, address key social issues local and global. AIDS/HIV, child labor, safety Phase III – Integration: • Full integration of the three legs of sustainability into all decision making Phase 3 Phase 2 Phase 1 Integration Maturity Social Environmental 2010 1990s 2000
Energy and Water Environmental Platforms Resource Conservation 2010 Goals = 30% reduction over 2004 To date savings: PepsiCo-Chicago -- 1 billion gallons water -- 520,000 equivalent bbl’s of oil -- 386 million KWHs Technology Development - Faster product lines - On-Site Bottle Delivery - Waterless Rinsing • World Class Conservation • Largest LEED Bev Sites in World • Largest Energy Credits in World • Energy Star “Partner of Year” • (4) LEED Sites • - Facility Efficiency • - Process Innovation • - Sustainability Education
LEED Certification Blue Ridge Gatorade Plant, 2nd Largest Food /Beverage LEED Site in the World – LEED Gold – April 2007 Future PepsiCo Chicago Headquarters will be the first PepsiCo office to achieve LEED Certification – JUL’08 Future Tolleson, AZ Gatorade Plant LEED GOLD – AUG’07 Pryor, OK Gatorade Plant, Largest Food/Beverage LEED site in the World – April 2008 -- LEED GOLD Central Florida Gatorade DC LEED GOLD – ca 2009
Example Projects – Facilities Photovoltaics—Fullerton Warehouse • Capture Sun’s energy convert to electricity • Warehouse will be off-grid during peak hours (11AM to 3PM) • Start-up May 2008 • Target savings ~1,000 barrels of oil/year
Example Projects – Manufacturing Nearly 63mm Gallons of Juice Storage Tropicana Unit Train backhaul program Modified storage and transportation methods • Significant decrease in operating costs • Reduced electrical consumption • Reduced waste water discharge and treatment costs • Significantly reduced GHG emissions