E.ON UK PLC CORPORATE RESPONSIBILITY REPORTING GUIDANCE

Transcription

1 E.ON UK PLC CORPORATE RESPONSIBILITY REPORTING GUIDANCE This Reporting Guidance document supports the preparation and reporting of the following Customers and People Key Performance s (KPIs) prepared by E.ON UK plc. 1. Environmental indicators Reportable environmental incidents Total Carbon Dioxide (CO 2 ) emissions from generating electricity Carbon Dioxide (CO 2 ) intensity from generating electricity 1 Greenhouse gas (GHG) emissions This includes all direct GHG emissions (heat or steam) as defined by the GHG Protocol. Direct GHG emissions are emissions from sources that are owned or controlled by E.ON in the UK. This includes, and to be assured separately: CO 2 e emissions from gas consumption in buildings CO 2 e emissions from business miles in commercial vehicles CO 2 e emissions from business miles in company cars Included but not assured separately: CH 4 emissions from electricity generation (as CO 2 equivalent (CO 2 e)) N 2 0 emissions from electricity generation (as CO 2 e) SF 6 losses from power generation sites (as CO 2 e) CO 2 e emissions from burning waste CO 2 e emissions from refrigerant losses 2 Greenhouse gas (GHG) emissions This includes indirect GHG emissions from the consumption of purchased electricity (heat or steam) as defined by the GHG Protocol. Indirect GHG emissions are emissions that are a consequence of the activities of E.ON UK PLC, but occur at sources owned or controlled by another entity. This includes, and to be assured separately: CO 2 e emissions from electricity consumption in our buildings CO 2 e emissions from imported electricity for electricity generation in power stations This excludes:

2 CO 2 e emissions from electricity distribution losses We consider that we do not have any scope 2 losses associated with heat networks as all of our CHP heat customers are on the same sites as the CHP stations. It is the responsibility of the management of E.ON in the UK to ensure that appropriate procedures are in place to prepare its reporting in line with, in all material respects, this Reporting Guidance document. All data, unless otherwise stated, are prepared for the reporting period January 1 to December 31, The data extracted on 31 st March has been used- unless specified otherwise. Data is prepared on a 100% basis for all operations in UK which E.ON has a 50% or more interest, including for joint ventures, alliances and stations operated by third parties under lease. Acquisitions and divestments are included and terminated respectively from the date of contractual completion of the transfer of asset ownership/leasehold. Restatements In some circumstances restatements of prior year reported and assured data may be required. Restatements are considered where there is a change in, which means the restated data shows a more representative or accurate figure. The 2011 and 2012 data have been restated for the following indicators due to changes in DEFRA emission : 2 GHG emissions (total) (tonnes CO2e) CO2 emissions from electricity consumption in buildings (tonnes CO2e) CO2 emissions from electricity consumption in power stations (tonnes CO2e) General Reporting Principles In preparing this guidance document, consideration has been given to the following principles: Information Preparation to highlight to users of the information the primary principles of relevance and reliability of information; and Information Reporting - the primary principles are comparability / consistency with other data including prior year and understandability / transparency providing clarity to users.

3 SCOPE OF REPORTING During 2013, E.ON SE. was managed through both geographically segmented Regional Units, of which E.ON Regional Unit UK (RUUK) is one, and Cross Functional Units (CFUs) operating across the Group. For the data included in this reporting guidance document, the scope comprises RUUK and the CFUs assets and operations which occur in the UK (hereafter E.ON in the UK ), subject to the exclusions detailed below. Details of the organisational reporting boundaries are summarised below and explained further in the individual data sections of this Reporting Guidance. Organisational Reporting Boundaries E.ON Regional Unit UK comprises a series of business areas, which together serve over 5 million residential and small and large business customers, based at different offices across the UK, including a UK central office in Coventry. The business areas are Customer Operations (our direct customer facing business) Sales and Marketing, including brand New Business (new technologies and obligation delivery) Change Management HR Finance Strategy and Regulation (focuses on the long term direction of the business and our regulatory requirements) Corporate Affairs Internal Audit CFUs operations in the UK comprise: The UK Generation business which in 2013 was involved in producing electricity from a portfolio of 7 coal, gas and oil-fired power stations and 11 combined heat and power sites. It also includes ancillary facilities. These include:

4 CHP Stoke, Winnington (sold to client 1 st September 2013), Port of Liverpool, Citigen, Leeds, Bradford, Nottingham, Thornhill, Sandbach, Castleford. We no longer own Kemsley CHP but do still own Kemsley Incinerator CCGT & Steam Ratcliffe, Taylor s Lane, Grain, Enfield, Connah s Quay, Killingholme, CDC. The UK Renewables Business which forms part of E.ON Climate and Renewables (EC&R) operating 23 onshore and offshore wind farms and one dedicated biomass station. We re also a partner in the London Array, the world s largest offshore wind farm. E.ON Global Commodities (EGC) sells all of the E.ON UK generation output and provides electricity and gas for E.ON UK supply activities. EGC is a wholly owned subsidiary of E.ON SE. E.ON New Build & Technology Limited (ENT) is a subsidiary company of E.ON New Build & Technology GmbH, offering consulting engineering and scientific services. E.ON New Build & Technology Limited is located at Ratcliffe, near Nottingham. E.ON Gas Storage UK Ltd (EGS UK), a UK subsidiary, currently operates an underground gas storage facility at Holford in Cheshire. E.ON IT UK is a subsidiary of E.ON Business Services GmbH, Germany. E.ON IT UK is an IT company of E.ON UK providing a full range of IT solutions and services to its customer base within the E.ON group. E.ON E&P UK Ltd is an upstream oil and gas company with its head office in London and offices in Aberdeen and Great Yarmouth. It operates assets in the central North Sea and southern North Sea. Throughout both regions, the company also has interests in key pipeline infrastructure. E.ON E&P UK is owned by E.ON E&P GmbH, a subsidiary of E.ON Global Commodities SE. The E.ON Group management systems don t currently allow the consistent capture of the data of all the E.ON E&P operations at a geographical level- for example UK only. Therefore, these operations have only been included in this year s data where it is possible to gain accurate data and this is clearly marked against the data. All E.ON E&P operations are included in our Group CR Report available here ( E.ON Connecting Energies ( ECT ), headquartered in Essen, Germany, is a 100 percent subsidiary of E.ON SE, focusing on energy efficiency and distributed energy solutions in the Business 2 Business sector globally. ECT also acquired Matrix in late 2013 the UK market leader in energy management and energy efficiency services for commercial buildings. Due to the late nature of this acquisition these operations have only been included in this year s data where possible. All ECT operations are included in our Group CR report available here.

5 REPORTING SPECIFICS AND METHODOLOGY 1. Environmental indicators Environmental incidents (number) Reportable Environmental Incidents comprise reportable incident data from all E.ON in the UK businesses using the definition provided by environmental regulatory agencies. ARNIE is an internal incident reporting system and is the official medium to report environmental incidents and near hits. Its use throughout the business is varied and therefore not all reportable environmental incidents can be tracked through ARNIE. A record of all incidents and near hits is held at a Regional Business Unit and Global Unit level. All units are required to notify the Corporate Environment Manager of all reportable incidents. A record of these incidents is recorded by the Corporate Environment Team. E.ON in the UK activities. All Regional and Global Units within E.ON in the UK have the potential to have reportable environmental incidents however; some have a higher risk than others. Generation and EC&R UK have the highest risk. Nonetheless all Regional and Global Units remain in scope. Total Carbon Dioxide (CO 2 ) emissions (million tonnes) from generating electricity s and Carbon Dioxide (CO 2 ) Intensity (kt CO 2 /TWh) from generating electricity Annual CO 2 emitted (million tonnes) from all generating sites as reported under European Union Emissions Trading Scheme (EU ETS). The best view of the data on 31 March 2014 has been used- to allow completion of the audit process by LRQA. CO 2 intensity applies the following calculation to the total figure: CO 2 emissions (kilotonnes) from generating electricity Total electricity, heat and steam supplied (TWh) Total electricity, heat and steam supplied: this comprises all electricity, heat and steam supplied from UK Generation and UK Renewables (EC&R) businesses. The data is obtained

6 directly from the power station performance data obtained through continuous measurement of output except in the case of wind farms where electricity supplied is measured through a meter which measures total output. Heat and steam is converted into Power using normal Heat Accountancy rules. Carbon intensity is calculated on a monthly basis with a full annual calculation performed for reporting purposes. All majority owned (including 50/50 joint venture) generating plants that are obligated under EU-ETS, in the following business areas E.ON Generation- See Organisational Reporting Boundaries section, page 4, for list of plants. E.ON Climate & Renewables Steven s Croft (biomass) Plus electricity supplied by ALL onshore and offshore wind within E.ON Climate & Renewables in the UK As required by the EU ETS site permit EU ETS site permit CH 4 Emissions from electricity generation (tonnes) Annual CH 4 emitted (tonnes) from all generating sites as reported under Pollution Inventory. All generating plants that are regulated under Environmental Permits (EPR, PPC, IPPC), this currently includes the following business areas: E.ON Generation- See Organisational Reporting Boundaries section, page 4, for list of plants. E.ON Climate & Renewables Steven s Croft (biomass) The emissions factor to convert methane emissions into CO 2 e is 21.

7 The methane emissions are converted into CO 2 e using the Defra conversion factor as taken from the spreadsheet downloaded from the link below. When selecting a download option all should be downloaded. Tab: Refrigerant & Other, Cell E18. N 2 0 Emissions from electricity generation (tonnes) Annual N 2 0 emitted (tonnes) from all generating sites as reported under Pollution Inventory. Emissions data is determined through the Joint Environment Programme (JEP) PI Reporting Methodology. This comprises the N 2 O emissions from all majority owned (including 50 / 50 joint ventures) generating plants of E.ON in the UK that are regulated under Environmental Permits (EPR, PPC, IPPC). This currently includes the following business areas: E.ON Generation- See Organisational Reporting Boundaries section, page 4, for list of plants. E.ON Climate & Renewables Steven s Croft (biomass) The emissions factor to convert N 2 O emissions into CO 2 e is 310. The nitrous oxide emissions are converted into CO 2 e using the Defra conversion factor as taken from the spreadsheet downloaded from the link below. When selecting a download option all should be downloaded. Tab: Refrigerant & Other, Cell E19. CO 2 e Emissions from SF6 losses on power generation sites (tonnes) Annual SF6 emitted (tonnes) from all generating sites as reported under Pollution Inventory. Emissions data is determined through the Joint Environment Programme (JEP) PI Reporting

8 Methodology. All majority owned (including 50/50 joint venture) generating plants that are obligated under EU-ETS, in the following business areas E.ON Generation- See Organisational Reporting Boundaries section, page 4, for list of plants. E.ON Climate & Renewables Steven s Croft (biomass) Plus electricity supplied by ALL onshore and offshore wind within E.ON Climate & Renewables in the UK SF6 has a Global Warming potential (GWP) of 23,900. SF6 emissions are multiplied by to convert to Tonnes CO 2 e. SF6 emissions are converted into CO 2 e using the Defra conversion factor as taken from the spreadsheet downloaded from the link below. When selecting a download option all should be downloaded. Tab: Refrigerant & Other, Cell E40. CO 2 e emissions from gas (scope 1) and electricity (scope 2) consumption in buildings (tonnes) Annual CO 2 e emitted (tonnes) from E.ON in the UK buildings arising from electricity and gas consumption. Any notification of new sites is provided by the Property Team to the Facilities Contract Management team which will arrange for change of energy supplier to E.ON. Once with E.ON, sites will appear on our internal system via E-Data or View-bill software (for Non Half Hourly (NHH) supplies or those with no Automated Meter Reading (AMR)). If a new site is supplied by another supplier, the consumption data will not be included in the calculation until the transfer of the supply over to E.ON has been completed. Monthly consumption data is downloaded from E-data or taken from invoices off View-bill

9 software. This includes all buildings where E.ON in the UK has operated during the year. This excludes: Buildings where electricity or gas is paid as part of rental agreements or any periods where electricity or gas is supplied by an energy supplier other than E.ON. Power generating sites as their emissions are accounted for under EU ETS and imported electricity for electricity generation. Buildings where no staff are based (e.g. storage facilities) The emissions factor for consumed electricity is The emissions factor for consumed gas is The electricity or gas consumed is converted into CO2e using the Defra conversion factor as taken from the spreadsheet downloaded from the link below. When selecting a download option all should be downloaded. Please follow the below link and refer to tab UK Electricity, Cell F22 for the electricity emissions factor. The emissions factor is Please follow the below link and refer to Fuels Cell E41 for the gas emissions factor. The emissions factor is CO 2 e Emissions from commercial vehicles (tonnes) Annual CO 2 e emitted (tonnes) from all business miles travelled in E.ON in the UK commercial vehicles. Emissions from commercial vehicles are calculated based on a conversion of fuel purchased. Records of quantities and types of fuel purchased for commercial vehicles are accessed in the BP Fleet expert application. Fuel purchased is broken down by the following categories:

10 Diesel Petrol All fuel purchased for commercial vehicles issued by E.ON in the UK are included in the calculation. The emissions factor for petrol is The emissions factor for diesel is The total petrol or diesel purchased is converted into CO2e using the Defra conversion factor as taken from the spreadsheet downloaded from the link below. When selecting a download option all should be downloaded. Please follow the below link and refer to tab Fuels and cell M87 for the petrol emissions factor. Please follow the below link and refer to tab Fuels and cell M63 for the diesel emissions factor. CO 2 e Emissions from company cars (tonnes) Annual CO 2 e emitted (tonnes) from all business miles travelled in E.ON in the UK owned company cars. This is based on the number of employee cars at year-end. Emissions reported are calculated based on a conversion of miles claimed per vehicle based on fuel type and size of vehicle. The HR MI Team download mileage claims as retained in the HR SAP system, and sort by the following categories, checking for reasonableness and completeness: No. of miles claimed in petrol vehicles <1.4l, l, >2.0l No. of miles claimed in diesel vehicles <1.7l, l, >2.0l The E.ON Fleet Reporting Team then check employee number against the end of year fleet list (provided by LEX Autolease) to allocate mileage to a particular vehicle and person. HR MI data for all company cars in 2013 is then checked to find all people with a company car at the end of 2013 and the data cross checked to the end of year fleet list.

11 Of the remaining unallocated individuals, a manual check of each month of 2013 is carried out to find the month the individual left the business and match this against corresponding vehicle data. From this list, all HEC (Home Energy Consultant) and VEC (Venue and Events Consultants) leavers are identified and the assumption made that all mileage by these was done in HEC and VEC pool cars (1.6 diesel). This was deemed as a reasonable assumption as the majority of these employees drive this type of vehicle. All business miles claimed in company cars issued by E.ON in the UK are included in the calculation. This includes hybrid cars but excludes electric cars which are deemed not material. All conversion are listed in kgco 2e /mile Parameter Emissions Factor reference Emissions Factor No miles in petrol vehicles <1.4l Annex 6, Table 6b. Cell K No miles in petrol vehicles l Annex 6, Table 6b. Cell K No miles in petrol vehicles >2.0l Annex 6, Table 6b. Cell K No miles in diesel vehicles <1.7l Annex 6, Table 6c. Cell K No miles in diesel vehicles l Annex 6, Table 6c. Cell K No miles in diesel vehicles >2.0l Annex 6, Table 6c. Cell K The total mileage claimed is converted into CO2e using the Defra conversion factor as taken from the spreadsheet downloaded from the link below. When selecting a download option all should be downloaded. CO 2 e Emissions from refrigerant losses (tonnes) Annual CO 2 e emitted (tonnes) from losses of refrigerant from our air conditioning systems. Air conditioning systems are maintained by a third party contractor. Third party contractor sends details on the volumes of refrigerant used to top up our air

12 conditioning systems for the year. The data is then converted into greenhouse gas emissions. All refrigerant losses in E.ON in the UK buildings are included in the calculation. Parameter Emissions Factor reference Factor R407C Refrigerant & Other, Cell E R410A Refrigerant & Other, Cell E HCFC-22/R22 = Refrigerant & Other, Cell E Chlorodifluoromethane R134A Refrigerant & Other, Cell E (Total kg CO 2 e per kwh) These conversion are sourced from the Defra conversion as taken from the spreadsheet downloaded from the link below. When selecting a download option all should be downloaded. CO 2 e emissions from imported electricity for electricity generation (tonnes) Annual CO 2 e emissions related to imported electricity. Imported refers to electricity used by the sites which is imported from the national transmission and distribution networks rather than electricity generated on site. Works Power is measured differently depending on the type of station and how the meters are set up. Larger sites We use PowerHub (PowerHub is a web based application which provides metering data via National Grid) metering in addition to PI (Plant Information system) to do the calculations to work out Works Power. This allows us to ascertain whether Works Power has come from our own Generation or whether National Grid has supplied this from the network.

13 Note that some stations do not have auxiliary generation so are unable to provide power for themselves during start-up so rely on the Grid for this. This approach is followed for the larger power Generating sites. CHP sites Works power is not usually collated for the CHP fleet for internal reporting and the process used for the larger sites has not been applied. Imported works power has therefore been calculated as a percentage of generation based on comparison to the larger sites and expert judgement. The total imported power figure is then converted into CO 2 e using the latest DEFRA emissions factor. This comprises the electricity imports to all majority owned (including 50 / 50 joint ventures) generating plants of E.ON in the UK that are regulated under Environmental Permits (EPR, PPC, IPPC). This currently includes the following business areas: E.ON Generation- See Organisational Reporting Boundaries section, page 4 for list of plants. No data is available for E.ON Climate & Renewables in the UK for 2013 reporting. This does not include Steven s Croft. It is estimated that EC&R in the UK imported electricity would represent less than 2% total imported electricity compared to the Generation fleets. The emissions factor is These conversion are sourced from the DEFRA conversion as taken from the spreadsheet downloaded from the link below. When selecting a download option all should be downloaded.

14