Making Sustainability Goals Relevant for all Employees

Transcription

1 Making Sustainability Goals Relevant for all Employees NAEM Sustainability Management Conference - August 2016 Dennis Wilson Director, Product Stewardship & Sustainability, Saint-Gobain North America

2 A Brief History Commitments & Partnerships Objectives & Internal Programs A Case Study

3 Compagnie de Saint-Gobain 1665

4 Proud of our history 17 th Century Louis XIV and Colbert decide on an economic recovery plan for France 1688 Invention of the process of glass poured on a table, Saint-Gobain becomes the undeniable leader 1970 Merger between Pont-à-Mousson and Saint-Gobain TODAY Saint-Gobain focuses its strategy on Habitat 1665 Saint-Gobain is established Creation of the Manufacture royale des glaces New markets and new products appear, making Saint-Gobain a diversified group Refocus on materials with a high technological content and entry into building distribution and plasterboard

5 Saint-Gobain

6 Who We Are

7 SAINT-GOBAIN SOLUTIONS What We Do HABITAT HEALTH INDUSTRY ENVIRONMENT

8 What We Make North America HABITAT Asphalt Roofing Shingles Gypsum Wallboard Vinyl & Polypropylene Siding Acoustic & Decorative Ceiling Tiles Fiberglass Insulation

9 What We Make North America INNOVATIVE MATERIALS Abrasives Ceramic Materials Performance Plastics Electrochromic Glass Technical Fabrics

10 Saint-Gobain North America

11 Saint-Gobain in the United States and Canada 14,000 employees $1.2 billion payroll 110 manufacturing sites $125 million income tax liability $106 million employment taxes

12 Saint-Gobain in the U.S. and Canada 2016

13 In 2015, North America accounted for 8% Global Team 13% Global Sales 19% Global Profits

14 A Brief History Commitments & Partnerships Objectives & Internal Programs A Case Study

15 Saint-Gobain s Global Commitments Official partner of COP21 Global Compact initiative dedicated to water resources under the United Nations Millennium Development Goals. Global Compact initiative that aims to implement effective measures to combat climate change.

16 Saint-Gobain s Public-Private Partnerships U.S. DOE Better Plants Challenge U.S. EPA ENERGY STAR Industrial Partnership

17 Saint-Gobain s Public-Private Partnerships Energy-Saving Partnership Better Buildings, Better Plants, Industrial Strategic Energy Management Energy Challenge - Commit to 25% improvement goal over 10 years Water Challenge - Commit to 20% improvement goal over 10 years Supply Chain Challenge - Suppliers become partners in the Better Buildings, Better Plants Challenge

18 Saint-Gobain s Public-Private Partnerships Provides external validation of corporate program Increases the support available for energy management Provides a valuable method for documenting corporate energy program achievements each year

19 A Brief History Commitments & Partnerships Objectives & Internal Programs A Case Study

20 Objectives & Internal Programs Environmental Objectives World Class Manufacturing Life Cycle Assessment Internal Carbon Policy Making if Fun!

21 Environmental Objectives: 2025 Goals at isoproduction baseline 2010 Energy consumption: -15% Total CO 2 emissions: -20% Emissions of NO X, SO X, and dust: -20% Water discharge: -80% Long-term: zero industrial water discharge in liquid form Non-recovered waste: -50% Long-term: zero non-recovered waste

22 Objectives & Internal Programs Environmental Objectives World Class Manufacturing How we do business Life Cycle Assessment Internal Carbon Policy Making if Fun!

23 Saint-Gobain: World Class Manufacturing

24 Saint-Gobain Environmental Aspects Code Category Examples P Primary Resources Primary resources consumption (raw materials, process aids, maintenance products, laboratories samples, etc.) E Energy Energy consumption from plants, buildings, vehicles, etc. W1 A Water Air Water withdrawal (or use at the activity) and water discharge (into surface water, drains, etc.) Air emissions (dusts, CO 2, NO X, SO X, vapors, either channeled or fugitive) from roads, conveyors, stock piles, stacks, vehicles, etc. L Soil Release of chemicals into the soils (leakages, spills, etc.) W2 Waste Waste generation from processes, utilities, administration activities, etc. O Others Generation of noise, odors, vibrations, light, etc.

25 Deployment of Environmental Pillar

26 WCM - Energy Efficiency Assess initial conditions Collect data and information concerning energy utilities and machines Analyze and prioritize potential opportunities Approve the actions to be implemented Carry out actions and measure the achieved gains Sustain an Energy Management System

27 What is World Class Manufacturing? Understanding of analysis Monitor through action Act on results! Act Plan Identify risk/opportunities Create action plants Evaluate losses Statistical evaluation Check Stakeholder communication Do Assemble multifunctional team Implement action plans Validating results Establish new standard conditions 27

28 Objectives & Internal Programs Environmental Objectives World Class Manufacturing Life Cycle Assessment Where it matters Internal Carbon Policy Making if Fun!

29 What is a Product Life Cycle? Inputs Outputs Raw materials Products Energy Emissions Water Waste

30 LCA: A Shared Objective Within the Group Environmental Objectives: Life Cycle Assessment: All product families related to habitat, energy, and transportation must have LCAs and verified EPDs Why LCA? To respond to customer demands (LEED, BREEAM, etc.) To establish product transparency To assess and reduce our environmental impacts Multi-step and multi-criteria tool leading to eco-innovation

31 Example LCA Results: Manufacturing Impacts (per unit of production) 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Mfg Process A Mfg Process B Mfg Process C Mfg Process D Mfg Process E Mfg Process F 2 Impact Category Unit Total Global warming (GWP100a) kg CO2 eq Ozone layer depletion (ODP) Collect data and information concerning energy utilities and machines kg CFC-11 eq 1.56E-07 Acidification kg SO2 eq Eutrophication kg PO4 eq Photochemical oxidation kg C2H4 eq Abiotic depletion kg Sb eq 4.47E-07 Abiotic depletion (fossil fuels) MJ

32 Objectives & Internal Programs Environmental Objectives World Class Manufacturing Life Cycle Assessment Internal Carbon Policy Financial impact Making if Fun!

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34 Commitment to an Internal Carbon Price Internal corporate carbon pricing approaches: Shadow price: Hypothetical cost for carbon emissions to better understand the potential impact of external carbon pricing on the profitability of a project. Internal taxes, fees, or trading systems: Formal internal financial incentives and programs assessed on activities. Internal trading program where business units can buy and sell credits to meet GHG targets. Implicit price: No explicit carbon price set, an implicit cost is calculated based on current investments made to achieve GHG targets.

35 Commitment to an Internal Carbon Price As of 2016, Saint-Gobain has reaffirmed its commitment to fighting climate change by introducing an internal carbon price which will be factored into all assessments of future investments. Climate change represents both a major challenge for society and a growth opportunity for Saint-Gobain s products.

36 Objectives & Internal Programs Environmental Objectives World Class Manufacturing Life Cycle Assessment Internal Carbon Policy Making if Fun!

37 NORTH AMERICA Competing for Impact Strategic Realignment of Energy role for NA Purchasing to EHS Energy, Water, & Waste = EWW! Who wants to do that? Waste, Water, Energy = WWE WWE What Ya gonna do?!?

38 NORTH AMERICA Competing for Impact

39 NORTH AMERICA Conclusion Keep it simple! Grass roots the best ideas come from the floor Leverage existing systems to eliminate confusion and streamline communication. No need to create a new program that can create another pain point Weave it in to how the business does business - Context Tie to it to business goals Understand the competitive position Make it fun! Competition motivates Leveraging what people are passionate about Different by business, geography, & market

40 NORTH AMERICA Thank you Dennis Wilson

41 A Brief History Commitments & Partnerships Objectives & Internal Programs A Case Study

42 Vancouver, BC CertainTeed Gypsum: Impact Mill Heat Recovery

43 CertainTeed Gypsum: Impact Mill Heat Recovery The CertainTeed site in Vancouver, BC produces gypsum wallboard. The process utilizes two Impact Mills to produce an intermediate product called stucco. Stucco is produced by simultaneously heating and grinding gypsum rock. Diagram 1 Original Process Flow

44 CertainTeed Gypsum: Impact Mill Heat Recovery Originally, the mills operated in a single pass system, where ambient traveling air was drawn into the burner chamber, heated between C and exhausted at C Cool, ambient air enters the system. Diagram 1 Original Process Flow Hot air is exhausted to the 150 C 1 Assess initial conditions C

45 CertainTeed Gypsum: Impact Mill Heat Recovery This method was inefficient because thermal energy was lost by exhausting humid, heated travelling air. Also, electrical energy was wasted by using inefficient fixed speed fans and dampers to draw air through the 25 C Cool, ambient air enters the system. Diagram 1 Original Process Flow Hot air is exhausted to the 150 C 1 Assess initial conditions C

46 CertainTeed Gypsum: Impact Mill Heat Recovery Heat and energy models were used to estimate potential natural gas savings from the project. The models showed that returning hot, moist air instead of cool ambient air to the system would significantly reduce the energy required to create the stucco. Diagram 2 Suggested Improvement Recirculation Air 150 C 25 C ΔT = C 2 Collect data and information concerning energy utilities and machines Analyze and prioritize potential opportunities 3

47 CertainTeed Gypsum: Impact Mill Heat Recovery The project improved efficiency by installing recirculation ducting to capture a portion of the heated exhaust stream and return it to the burner. As well, inefficient system fans and dampers were replaced with new fans on variable frequency drives. Diagram 3 Implemented Improvement 4 Approve the actions to be implemented Carry out actions and measure the achieved gains 5

48 CertainTeed Gypsum: Impact Mill Heat Recovery Annual natural gas consumption reduced by 4.5% with a corresponding CO 2 emissions reduction of 865 tons/year. Additionally, the reductions in CO 2 emissions from fan efficiency improvements total 14,700 kilograms annually. 6 Sustain an Energy Management System

49 CertainTeed Gypsum: Impact Mill Heat Recovery These energy savings, along with the incentives available from the utility companies, resulted in an ROI of 1.19 years! Using an internal carbon price of $30 / t-co2e equates to an annual shadow incentive of $25,000! 6 Sustain an Energy Management System

50 CertainTeed Gypsum: Impact Mill Heat Recovery Stucco quality improved due to this project. The re-circulation loop allows the process to run more consistently at higher humidity levels than before the installation. 6 Sustain an Energy Management System