Carbon Offsetting Scenario Simulation

Transcription

1 South Pole Group Carbon Offsetting Scenario Simulation Chris Perceval, Director Transport and Technology Christian Dannecker, Director Supply Chain and Land Use

2 South Pole Group Page 2 Agenda About South Pole 03 Examples of offsetting in the Aviation Sector 12 Checklist of Recommended Best Practices 21 Introducing the Group Exercise 29 Presentation of the results

3 South Pole Group Page 3 About us

4 South Pole Group Who we are Page 4 We offer comprehensive sustainability solutions and services. We enable our customers to create value from sustainability-related activities. Our staff of 150 employees worldwide are passionate about fighting climate change.

5 South Pole Group Page 5 Developing solutions worldwide

6 South Pole Group Page 6 Our solutions Carbon Credit Solutions Renewable Energy Solutions Green Finance Sustainability Advisory Carbon credits (offset credits) Eco-gas for public utilities and energy provider Carbon Project Design Insetting GoldPower Guarantees of Origin (GoO) I-REC - the international REC standard Green e US RECS Fund Advisory (renewable energies, clean technologies) Due Diligence Services Investment Climate Impact Assessment Advisory on clean supply chains, water risks, city-level climate programs GHG Accounting Svante GHG Software tool Labels Monitoring, reporting and verification

7 South Pole Group Page 7 Track record: 10 years of creating global impact

8 South Pole Group Our global footprint (1) Page 8 Forest Restoration Growing effective carbon sinks Solar Power Global energy transition Wind Power Reducing fossil fuels

9 South Pole Group Our global footprint (2) Page 9 Waste Management Local job creation Water Treatment Improving lives Energy Efficiency Real impacts on livelihoods

10 South Pole Group Page 10 Some examples of our clients and partners

11 South Pole Group Page 11 Credentials Winner Environmental Finance Best Project Developer award Annual Market Rankings winner 2016 WEF Schwab Foundation Social Entrepreneur of the Year 2011 Zürcher Kantonalbank Sustainability Prize for SMEs 2013 Member WEF Global Agenda Council on Climate change United Nations Global Compact

12 South Pole Group Page 12 Some Aviation Sector Examples

13 South Pole Group Trends in Airlines Carbon Offsetting Page 13 Launch date of offsetting scheme British Airways, SAS Malaysia, Air New Zealand, Atlas Blue, Jet Blue, Copa Airlines, NatureAir, Austrian Airlines Flights within EEA covered by ETS Kenya Airways, South African Airways Mango, Sri Lankan Airlines LATAM (corporates) Virgin Australlia Delta, Lufthansa-Swiss AirPlus, TUI Travel, Qantas, Jetstar, Easyjet, Continental AirFrance-KLM Cathay Pacific Dragon Air Virgin America, TAP Thai Airways United, Japan Airlines United (corporate), Delta (carbon neutral growth) Source: South Pole Group, 2016

14 South Pole Group Page 14 A Leader, Aiming High Qantas Fly Carbon Neutral programme Fuel efficient fleet, facilitated the Sustainable Aviation Fuel industry in Australia, and engaged in aircraft weight reduction initiatives. In addition, 2.5 million tonnes of carbon emissions have been offset since 2007 Fly Carbon Neutral programme focuses on climate change mitigation, protection of wildlife and nourishing communities. Offer brazil nuts to enhance funding to the offset project and providing Qantas passengers with a sustainable snack

15 South Pole Group Page 15 Align offsetting with strategic priorities LATAM s sustainability program Stated goal to be A leader and worldwide reference in climate change A focus on environmental management system; risk management; eco-efficiency; sustainable alternative energy; internal capacity development; transparency; value chain; emission offsets; communications Offsets ground emissions in pursuit of carbon neutrality Air New Zealand s carbon offset programme New Zealand Emissions Trading Scheme (ETS) offsetting domestic flights Option for passengers to also offset as part of booking process Projects protecting New Zealand s native forestry projects

16 South Pole Group Page 16 Align offsetting with strategic priorities Cathay Pacific s FLY greener programme FLY Greener Programme offsets staff business travel, carriage of passengers, and selected ground activities Passengers can easily calculate emissions The offset projects make a contribution in regions where Cathay Pacific has operations KLM s CO2ZERO Programme 20% reduction in its CO 2 emissions per passenger by the year of 2020 Strong focus on market for sustainable biofuels, and also involving passengers in offsetting emissions Preference for Gold Standard Projects

17 South Pole Group Page 17 Align offsetting with strategic priorities Virgin America s offsetting program Option for passengers to offset the carbon footprint of their flights on the inflight entertainment system Offset HQ carbon footprint Scandinavian Airlines Convention Program Priority to target organizers of international conferences and events Give a range of options for the organizer to choose from

18 South Pole Group Page 18 IATA Carbon Offset Program Some IATA s members such as Thai Airways and South African Airways purchase via IATA Includes a Carbon Calculator methodology Offset supplier, Climate Care, provides high quality carbon credits IATA assists airlines with the implementation Offers a portfolio of offset projects with: large geographical coverage social and economic benefits for local communities.

19 South Pole Group Page 19 Check List of Recommended Best Practices.

20 South Pole Group Page 20 Good practices checklist 1. Decide on focus and approach 2. Establish suitable criteria that reflect priorities and requirements 3. Plan to communicate externally and internally 4. Get ready to answer challenging questions 5. Select a reliable, valuable and reputable solutions provider / supplier

21 South Pole Group Page Decide on focus and approach What is the purpose? (e.g. compliance vs. voluntary) What is the objective? (e.g. offsetting own emissions, industry growth emissions, EU ETS compliance, as a client service offering, etc.) How to balance cost and impact?

22 South Pole Group Page Establish criteria that reflect your priorities Make a decision on: Standard Type Project location Additional (social) benefits Trends across all sectors: Most used standard: 37% VCS, 12% VCS-CCB, 20% CAR, 19% Gold Standard, 12% other Wind is most popular project type (25%) Major project locations: US, India, Indonesia, Turkey, Kenya and Brazil Source: Ecosystem Marketplace 2016

23 South Pole Group Page Plan to communicate externally and internally

24 South Pole Group Page Get ready to answer challenging questions Offsetting is green-washing by an industry that must stop growing - Compensating unavoidable emissions makes a difference that would not otherwise occur. - Moreover, it is an addition to other activities in a basket of measures, e.g. technology, operational measures (e.g. route optimisation), and sustainable biofuels. Do the emission reduction projects really have a positive impact? - Yes. Verification and certification procedures ensure additionality, sound practice and measure positive social impacts. Carbon projects can actually be bad for the environment - Certain forestry and large hydro projects have been controversial because of harmful impact on local ecosystems. Supporting different project types with high quality standards is advisable.

25 South Pole Group Page Select a reliable partner and supplier Check the reputation, service, track record and size of the supplier Review other useful solutions and services that a partner can offer Consider a long term supplier agreement, to reduce transaction costs Run a tender process to engage in competitive bids

26 South Pole Group Page 26 Benefits of pre-compliance to CORSIA Take action to reduce the amount of CO 2 in the atmosphere and fight climate change Gain experience with carbon markets and providers Benefit from locking in better prices and managing risks Differentiation from competitors and demonstrating climate leadership

27 South Pole Group Page 27 Introducing the Group Exercise

28 South Pole Group Page 28 Presentation of the results