Carbon Footprinting 101

Carbon Accounting for Hospitals June 15, 2011

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“The problem of global climate change is one that affects us all and action will only be effective if it is taken at the international level... What do we, the international community, do about it?”

Margaret Thatcher

"We are playing Russian roulette with features of the planet's atmosphere that will profoundly impact generations to come. How long are we willing to gamble?“

David Suzuki

“Climate change… is the only thing that I believe has the power to fundamentally end the march of civilization as we know it, and make a lot of the other efforts that we're making irrelevant and impossible”

Bill Clinton

“We call on all people and nations to recognize the serious and potentially irreversible impacts of global warming caused by the anthropogenic emissions of greenhouse gases and other pollutants”

Vatican

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Carbon Footprinting 101

State of Carbon

Why Hospitals Matter

GHG Protocol

Communicating CO2

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STATE OF CARBON IN 2011

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Political Landscape

•Government of Canada

•Aligned with the US and shares targets with major economies

•Committed to reducing Canada's total greenhouse gas emissions by 17 percent from 2005 levels by 2020

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Political Landscape

•Government of Ontario

•Member of the Western Climate Initiative •Ontario’s Climate Change

Action Plan•Reduce regional GHG

emissions to 15 percent below 1990 levels by 2020

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Ontario’s Climate Change Action Plan

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Ontario’s Climate Change Action Plan

149 Mt (2020)

•Ambitious target:

•Reduce GHG emissions by 15 percent from 1990 levels by 2020

80% in 2050…

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Ontario’s Acts and Regulations

•The Environmental Protection Amendment Act (GHG Trading) 2009 •Ontario Regulation 452/09

(Greenhouse Gas Emissions Reporting )

•Requires facilities emitting 25,000 t CO2e to report

• Invited: Many•Required: Few

•Green Energy Act (GEA) 2009 Green Energy Act (GEA) 200•Energy Conservation Plans

for Public Agencies: Proposed Regulation

•BPS (including hospitals) report energy use and CO2

•All hospitals (proposed)

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What does it all mean?

•A growing expectation to measure and report:•Directly – Cap and Trade (2011)• Indirectly – Energy Conservation Plans (2013)•Public Disclosure, Public Interest, Engagement, Outreach

•A growing opportunity for carbon-financing projects:•First Ontario Emissions Reports (2011)• “Aligned” with the US, and the US is going forward•Post-Kyoto Copenhagen Accord•Western Climate Initiative

• Still plenty of uncertainty…

WHY CARBON

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Why Carbon?

•A global issue : A global unit•Agnostic

•Technology•Politically•Regionally

Conservation is KEY but the question is…

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Why Carbon?

Are we conserving enough?

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HOSPITALS MATTER

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The Case for Hospitals

•Buildings account for 40% of the developed world’s energy consumption.

•Hospitals have the highest energy intensity of all publicly-funded facilities, and 2.5x the GHG emissions of commercial buildings.

•Many operate 24/7

=International Energy Agency

U.S. Hospital Energy Alliance (HEA)

The Case for Hospitals

•In addition to high energy use:•Hospitals have unique

challenges with high GWP medical gases.•Medical gases in use with

GWP of 300 to 1,000 times that of CO2.

U.S. Hospital Energy Alliance (HEA)NRCan Office of Energy Efficiency

(OEE)

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The Case for Hospitals

•The typical expenditure (2006) for utilities in Ontario hospitals is approximately:•$8,037,000 per year for teaching hospitals; •$2,472,000 per year for large/medium community hospitals•$1,121,000 per year for CCC/Rehab hospitals•$609,000 per year for smaller hospitals

•Cost-effective measures could:• -29% GHG (IPCC)• -20-25% in utility costs

Intergovernmental Panel on Climate Change (AR4)Energy Efficiency Opportunities in Ontario Hospitals (Sure Solutions, 2006)

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The Case for Hospitals

•Less than 1% of buildings are newly constructed.•Of the buildings that will exist in 2050…

three out of four have already been built. •We need to focus on EXISTING HOSPITALS NOW

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If we solve existing buildings

We solve global warming

And we… save the world!!

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THE GHG PROTOCOL

The GHG Protocol

•The Greenhouse Gas Protocol is the international standard methodology for benchmarking greenhouse gas performance.

•The GHG Protocol provides organizations of all types with a transparent, standardized, and auditable method to quantify, classify, and report GHG emissions.

•It is the basis for the dominant regional and international carbon markets and compliance scenarios, including the Western Climate Initiative (WCI).

WBCSD/WRI Greenhouse Gas Protocol: A Corporate Accounting and Reporting Standard, Revised Edition (2004).

Principles

• Relevance• GHG inventory reflects GHG emissions of the

hospital

• Completeness• All GHG emission sources and activities are

reported within chosen Boundary

• Consistency• Use consistent methodologies

• Transparency• Address all relevant issues in factual and

coherent manner

• Accuracy• Reduce uncertainties and ensure GHG

emissions quantification is as accurate as possible

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Regulated Greenhouse Gases &Global Warming Potentials

Common Name Formula Global Warming Potential Factor

1 Carbon dioxide CO2 1

2 Methane CH4 21

3 Nitrous oxide N2O 310

4 Sulfur hexafluoride SF6 23,900

5 Nitrogen trifluoride NF3 17,200

6… Hydrofluorocarbons (HFCs) CxHxFx 12 to 11,700

7… Perfluorocarbons (PFCs) CxFx 6,500 to 9,200

O. Reg. 452/09, s. 6.

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Scope

NF3

WBCSD/WRI Greenhouse Gas Protocol: A Corporate Accounting and Reporting Standard, Revised Edition (2004).

Scope 1

• Direct GHG emissions

Scope 2

• Indirect GHG emissions

Scope 3

• Other Optional Indirect GHG emissions

• Fuel use for Heating and Transportation, fugitive emissions

• GHG emissions from purchased electricity, steam, or chilled water

• Waste, EPP, flights, travel, purchased goods or services

Scope

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APPLYING THE GHG PROTOCOL

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Build your Baseline Inventory

Communicate, Communicate, Communicate

Be strategic: Have targets and a plan

Roll-up data to corporate level

Measure your impact

Collect data and emission factors

Identify boundaries, sources, and Scope 3

Identify your base year

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Now you have a Baseline and a Plan

Scope 1 Scope 2 Scope 30

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Fuel use for Heating and Transportation, Fugitives

Electricity & Purchased Steam

Contracted Services, Waste, Other

objective

current

Measure Your Impact

•Changes in GHG between years or within years.

•GHG Reductions are a result of:• Using less – Energy efficient technology or practices

•Better boiler, smarter lights…• Needing less – Displace the need for energy

•White roofs, green roofs, deep lake cooling, solar water…• Switching fuels – Trade one kind of energy for another

•Cogeneration, Green Power…• Externalization – Outsourcing to a more efficiently run service

•Green Data Centre, Sterilization, Laundry…• Internalization – Accounting for Scope 3 footprint… and

savings•Generating less waste, telemedicine, procurement…

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Scope 1 – Direct Emissions

•High efficiency boiler installation•Solar Hot Water•Eliminate CFC refrigerants•Efficient diesel backup•Waste heat recovery

Scope 1 Scope 2 Scope 30

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Fuel use for Heating and Transportation, Fugitives

Electricity & Purchased Steam

Contracted Services, Waste, Other

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Scope 2 – Indirect Emissions

• Lighting retrofit: Occupancy Sensors• Lighting retrofit: T12 to T8• Recover rejected heat from chillers• Install high efficiency motors• White Roof Installation• Tower - Fluid Cooling Loop

• Cogeneration• Solar Photovoltaic• Data Centre Virtualization• Demand Management / Peak

Avoidance• Deep Lake Cooling (EnWave)

Scope 1 Scope 2 Scope 30

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Fuel use for Heating and Transportation

Electricity & Purchased Steam

Contracted Services, Waste, Other

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Scope 3 – Other / Optional Indirect Emissions

•Waste Diversion Strategy•Sharps Service•Anesthetic Gas Capture•Local Food programs•Extended Supplier

Responsibility (i.e. reducing packaging)•Contracted Services (i.e.

outsourced linen service) Scope 1 Scope 2 Scope 30

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Fuel use for Heating and Transportation

Electricity & Purchased Steam

Contracted Services, Waste, Other

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Impact felt in both Scope 1 and 2

•Occupant Awareness Program•Recommissioning and

Optimization•Update O&M Measures•Set forward / set back

temperature policy•Weather Stripping•Building Insulation Scope 1 Scope 2 Scope 3

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Fuel use for Heating and Transportation

Electricity & Purchased Steam

Contracted Services, Waste, Other

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Example: Bundling Cost-Effective Energy Opportunities

Financial Benefits Typical Hospital

Projects 8

Total Investment $585,000

Annual Savings $178,000

ROI (years) 3.3

Preliminary Data: Average results from 5 energy audits having a gross floor space of 250,900 sqft.

Environmental Benefits Typical Hospital

Energy Conservation (GJ) 13,608

Energy Conservation (homes) 127

Avoided GHG Emissions (tCO2e) 664

Avoided GHG Emissions (cars) 136

Proposed Energy Conservation Measures reduce electricity by 9.4% and natural gas consumption by 27% and pay for themselves in 3.3 years.

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Example: Potential In-House Waste Opportunities

Financial Benefits Typical Hospital

Projects 4

Investment Not yet available

Annual Savings $5,300 ($1,000 - $57,000)

ROI <1 year

Preliminary Data: Projected Non-Hazardous Waste Savings is limited to direct savings through in-house non-hazardous waste diversion initiatives at 7 piloted sites.

Environmental Benefits Typical Hospital

Waste Diversion 10% (tonnes) 75.9

Waste Diversion 10% (homes) 124

Avoided GHG Emissions (tCO2e) 212

Avoided GHG Emissions (cars) 44

Conventional “In-House” Waste Reduction and Diversion increases by 10%.

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COMMUNICATING RESULTS

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Do’s and Don'ts

DO•Stick to the Protocol•Ensure data is complete and

accurate•Be consistent and transparent

in your approach. •Use simple metrics to

communicate•Set a target, and invest in it•Engage staff

DON’T•…Use carbon where it doesn’t

fit

•…Overstate benefits

•…Bring in Scope 3 if there’s no value

•…Forget about non-CO2 benefits

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Visualizing Impact

Take “X” Cars off the road•4.87 tCO2e/car•Midsize, 20,000 km per year•USEPA

Power “X” Homes•107 GJ / house (all fuels)•Households and the Environment Survey: Energy Use (Statistics Canada, 2007.)

Fill “X” TTC Subway Cars Back-to-Back•1 subway car, 22.7m long, per 33 tonnes of waste•150 kg/m3 uncompacted waste per m3•22.7m x 3.1m x 3.1m (220m3) subway car

Fill “X” Olympic Swimming Pools•2,500m3 pool

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Carbon Footprinting is an Opportunity

•“There is still time to avoid the worst impacts of climate change, if we take strong action now.”

•Sir Nicholas Stern, Economist, London School of Economics•Stern Review Report on the Economics of Climate Change

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Thank YouGraham Takata

OHA Green Health Care

gtakata@oha.com Find out more at www.oha.com/green

Go ‘Nucks!

APPENDIX

Scope 1, 2, 3 Definitions

• In accordance with the GHG Protocol, emissions are divided into three categories: scope 1, scope 2, and scope 3.

• Scope 1 emissions are direct emissions that occur from sources owned or controlled by the company, such as natural gas used to heat company buildings or emissions due to company owned fleet vehicles.

• Scope 2 accounts for GHG emissions from the generation of purchased electricity consumed by the company. Purchased electricity is defined as electricity that is purchased or otherwise brought into the organizational boundary of the company. Scope 2 emissions physically occur at the facility where electricity is generated.

• Scope 3 is an optional reporting category that allows for the treatment of all other indirect emissions. Scope 3 emissions are a consequence of the activities of the company, but occur from sources not owned or controlled by the company. Some examples of scope 3 activities are extraction and production of purchased materials; transportation of purchased fuels; and use of sold products and services (such as paper use or shipping services).

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Key Resources

•Canada's Greenhouse Gas Inventory• http://www.ec.gc.ca/ges-ghg/default.asp?lang=En&n=83A34A7A-1

•Greenhouse Gas Emissions Quantification Guidance• http://www.ec.gc.ca/ges-ghg/default.asp?lang=En&n=DDE56C0F-1

• Emission Factors• Electricity Intensity Tables• Global Warming Potentials• Useful Conversion Factors and Units• Sector-Specific Guidance Manuals

•Greenhouse Gas Emissions Data• http://www.ec.gc.ca/indicateurs-indicators/default.asp?lang=en&n=BFB1B398-1

• By Province, Sector, and among nations

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Key Resources

•Ontario Regulation 452/09: Greenhouse Gas Emissions Reporting

•http://www.e-laws.gov.on.ca/html/regs/english/elaws_regs_090452_e.htm•Table 1: Complete list of GHGs

•Guideline for Greenhouse Gas Emissions Reporting, December 2010

• http://www.ene.gov.on.ca/environment/en/resources/STDPROD_081650.html•Appendix 8 Electricity generation and cogeneration•Appendix 10 General stationary combustion - Table 20-2:

Default Emission Factors by Fuel Type

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Key Resources

•The Greenhouse Gas Protocol (GHG Protocol)•http://www.ghgprotocol.org/

• Standards•Calculation Tools

•Waste Management Industry Survey: Business and Government Sectors, 2008

•http://www.statcan.gc.ca/pub/16f0023x/16f0023x2010001-eng.htm•Waste Generation

• Intergovernmental Panel on Climate Change•http://www.ipcc.ch/

•Global Warming Potentials