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OFFICES AND

CARBON
EMISSIONS
A CLIMATE SMART TM INDUSTRY BRIEF

SPONSORS

ADDITIONAL SUPPORT

Empowering businesses to reduce


carbon emissions and cut costs
Climate Smart Businesses Inc. is a social enterprise providing training,
coaching, and software tools for businesses to measure their carbon footprint,
identify key oppor tunities for cost, energy, and carbon reduction, and
communicate their effor ts internally and externally.
We work not as consultants, but as teachers, utilizing a workgroup-based
training curriculum, top-rated software carbon tool, and one-on-one hotline
technical suppor t. Par ticipants leave the room with the ability to analyze,
measure and reduce their companys impact by themselves: key skills in the
green economy of the future.
Climate Smar t par tners with local governments, helping them link community
economic development and emissions reduction. The Climate Smar t program
builds resilience in local businesses to risks associated with volatile energy
prices and costs of climate change impacts, and catalyzes innovation and new
business practices. Municipalities are able to engage their local businesses in
climate action that will benefit the entire community.
Since 2008, we have worked with over 700 businesses and organizations of
all sizes, from ever y industr y sector of our economy. We empower clients to
focus their entrepreneurial spirit on reducing the impact of their business.
Climate Smar t enables to methodically cut unnecessar y consumption of
energy, fuel, materials and waste, and tie climate action to smar t business
practice.
Learn more about how Climate Smar t can help your organizations move to a
new greener, low-carbon economy. Go to www.climatesmartbusiness.com or
call 1-888-688-6283.

Climate Smart business training session (photo credit: Climate Smart)

CLIMATE SMART

Reducing emissions can equal


money saved and dollars back
Reducing your carbon footprint can take many forms. But whats
one action that a select yet diverse mix of businesses and organizations
share? Theyve par ticipated in For tisBCs Energy Efficiency and Conser vation
programs.
From no-cost energy assessments to rebates on efficient natural gas water
heaters, boilers and even cooking equipment, businesses and organizations
are reducing their greenhouse gas emissions and, in some cases, experiencing
substantial savings.
When Ryan Mar tin, manager of the Hume Hotel in Nelson, B.C . had to
replace a water heater due to a flood, he took the oppor tunity to reduce
their carbon footprint as well. We decided to go high-efficiency and lessen
our impact on the environment at the same time, says Mar tin. Plus the hotel
was rewarded with a $4,500 rebate from For tisBC .
The one high school in the Rocky Mountain town of Elkford, B.C . can attest
to significant energy savings and money back from For tisBC . After the school
upgraded insulation and replaced its aging furnaces with three high-efficiency
boilers, the energy savings from one year to the next was more than 40 per
cent. Plus the school qualified for a $48,000 boiler rebate from For tisBC .
Our Energy Efficiency and Conser vation Programs help commercial
customers incorporate energy efficient measures with rebates for highefficiency natural gas boilers, water heaters and cooking equipment and even
tailored solutions such as building re-commissioning, says Ramsay Cook,
commercial and industrial EEC program manager at For tisBC .
For more information on how For tisBC can help your organization save
energy and receive money back, visit fortisbc.com/businessoffers.

Ryan Martin, manager, Hume Hotel (photo credit: FortisBC)

SPONSORS

Vancity partners with Climate Smart


to build a green economy
With a little commitment and good advice, any business can reduce its
carbon footprint.
Dale Dubberley is the owner of Thai Away, a food business that specializes in
authentic Thai cuisine. She wanted to reduce her greenhouse gas emissions
but didnt know where to star t, so she signed up for Vancitys Climate Smar t
program.
I am ver y clear that in my business I am committed to a healthy platform,
both in the food we make and, more broadly, in the world, she says. I didnt
have a concept for how to create a measurable accountability model or a
suppor t group to help me implement it. Being able to tap into the Climate
Smar t network and connect with other Vancity business members helped me
bridge the gap between my companys social consciousness and our social
action.
Between 2007 and 2012, Vancity suppor ted more than 110 small businesses,
co-operatives and not-for-profit organizations to measure and reduce their
organizations greenhouse gas emissions through Climate Smar t training.

Recycling Alternative, Vancity business member and Climate Smart alumnus (photo credit: Vancity)

SPONSORS

If youre a Vancity business member and you want to measure and manage
your carbon footprint, contact us at greenbusiness@vancity.com to find out
about our scholarships for Climate Smar t training.

Aiming to make Vancouver the


greenest city in the world by 2020
Vancouvers Greenest City 2020 Action Plan aims to double the size of the Green Economy and make
Vancouver the greenest city in the world by 2020. These goals seeks to grow Vancouvers economy, while increasing
competitiveness and innovation of Vancouver businesses through sustainability strategies.
The good news is even small and medium-sized companies can benefit from greener practices. Eight 1/2 Restaurant
owner-operator Mike Wiebe does not like to waste anythingtime, energy, not even pickle jars. So he made it his
goal to reduce or eliminate waste from the restaurants operations, and to become one of the greenest restaurants
around. A Business Energy Advisor went in to talk about energy, and how the business could star t saving as well
as leverage BC Hydros Product Incentive Program. The restaurant decided to replace their old dishwasher, which
Wiebe says was probably their biggest energy user, with an ENERGYSTAR, low-water, low-temperature model.
Later they changed 50 incandescent lights to LEDs, saving energy and maintenance time. Wiebe says he used to have
to replace bulbs ever y two weeks due to overheating. With the new lights, we havent changed any yet.
There are numerous economic advantages to greener business practices, and it all begins with an understanding of
how environmental performance relates to your business operations and bottom line.
Data from ClimateSmar t can help you understand how your office-based business compares with others in your
sector. It also highlights the approaches that other leading office-based businesses from industr y associations and
consulting firms, to financial ser vices offices and media and marketing houses are using to successfully reduce their
costs. These businesses are becoming greener businesses and benefiting from brand lift, employee retention and new
clients. The City of Vancouver also suppor ts the Business Energy Advisor program, offering free advice for less than
an hour of your time. The program has already assisted dozens of energy saving suggestions and helped over 200
businesses save thousands of dollars.
For more information on programs to help you green your business, visit http://vancouver.ca/green-vancouver/howyou-can-green-your-business.aspx.

Mike Wiebe, owner, Eight 1/2 Restaurant


(photo credit: City of Vancouver)

SPONSORS

Sustainability and climate action have long been a par t of the


City of Nor th Vancouvers core values, policies and programs. To build a
community resilient to future challenges, we must not only lead by example,
but provide oppor tunities for residents and businesses to play a role.
Thats why were launching a new initiative called Living City. Its an
oppor tunity to share what were doing, connect with others, discuss ideas
and help people par ticipate in our climate action effor ts. Living City includes
a number of programs and initiatives in five areas: Sustainable Energy, Zero
Waste, Transpor tation, Urban Agriculture, and Natural Capital.
Its about each of us doing our par t and respecting our environment as
we coexist to create a Living City. Go to www.cnv.org/livingcity for more
information.

ADDITIONAL SUPPORT

The Capital Regional District (CRD) is a community of communities


committed to working together to create a vibrant, livable and sustainable
region for years to come. In practice, this means that our ser vices aim to
suppor t a good quality of life as well as a strong, resilient regional economy. It
also means that we have a commitment to climate action.
The CRD Climate Action Program philosophy is based on three pillars:
engage, reduce and prepare. The program works to suppor t the necessar y
shifts in policy, infrastructure, behaviour and planning that are required to
create a vibrant, healthy and low-carbon capital region.
For more information, go to www.crd.bc.ca/climatechange.

1 Introduction
2 Office-Based Businesses Span Many Industries
5 Driving Action in Offices
8 How Offices Measure Up
12 GHG Emissions: Money Up In Smoke
16 Case Study: THA Architecture

CONTENTS

INTRODUCTION
Welcome to Climate Smarts first Industry
Brief. We are thrilled to launch this quarterly
series dedicated to showcasing data and trends
among small and medium-sized businesses in all
sectors. These organizations are making smart
moves to reduce their greenhouse gas emissions,
while improving their top and bottom lines at the
same time.
The series came about as a way of responding
to our clients curiosity: how are we doing, and
how do we compare to others in my field? Each
Brief will address business sectors with similar
operational types, and as such is designed to
help businesses benchmark their progress against
their peers. It is a forum to share the wealth we
have gathered: a trove of ideas generated and
tested by Climate Smart businesses aiming to
improve the way business is done.

This first issue focusses on office-based


businesses, which compose a broad section of
the economy: over three-quarters of Canadian
businesses are service-producing, with small firms
(fewer than 100 employees) making up 98% of
those.
Office-based businesses also include some of
the most dynamic and fast-growing businesses
in Canada: a greater proportion of high-growth
firms are professional and administrative
service businesses, as compared to many other
industries.
If saving the world requires us all to take action,
then we at Climate Smart see ourselves as the
business recruiters. Not simply because small
and medium-sized enterprises form the majority
of our economy, but because entrepreneurs can
contribute as innovators, calculated risk takers
and investors, while bringing a healthy dose of
competition to hasten the race towards a better,
more sustainable future.

Learn more about how


Climate Smart can help your
organization transition to the
new low-carbon economy.
www.climatesmartbusiness.com
1-888-688-6283

OFFICES AND CARBON EMISSIONS

OFFICE-BASED
BUSINESSES SPAN
MANY INDUSTRIES

OFFICES AND CARBON EMISSIONS

SIZES AND SECTORS


A variety of industries form the Climate Smar t office-based poll of
117 companies, with over half of the organizations falling into one of four
categories:
Associations: professional associations, unions, chambers of commerce,
business networks, and other membership organizations
Engineering Consulting: environmental, geotechnical, structural, and
transpor tation engineering companies.
Finance/Insurance: accounting firms, investment funds, businesses offering
leasing ser vices, insurance companies, and financial consultants.
Social Ser vices: community ser vice centres, neighbourhood houses, and
community suppor t organizations.
Other well-represented industries that together form over a third of the
poll are design/media/marketing, architects, business consultants, policy
consultants/advocacy, and law firms.

Associations
Engineering Consultants
Accounting, Finance, Insurance
Social Services
Design, Media, Marketing
Architects
Business Consulting
Policy Consultants, Advocacy
Lawyers
Education
Software
HR
Medical
Real Estate

19%
16%
14%
11%
10%
9%
9%
8%
7%
6%
3%
2%
2%
1%

20

full-time equivalents (FTEs)


work at a median Climate
Smart office-based business

The majority of participating businesses were a combination of


small but high-revenue-generating businesses. Nearly three-quar ters of
the companies had fewer than 50 full-time equivalents (FTEs), and nearly
a quar ter (23% of the sample) were micro-businesses with fewer than 5
FTEs. Nearly two thirds (64%) listed annual revenue above $1,000,000,
with 5% generating over $10,000,000 annually.

64%

74%

of participants have annual


revenue over $1m

of participants employ
50 FTEs or fewer

FTE count
of participants

1-5
610
1150
51200
> 200

23%
16%
35%
20%
6%

annual revenue
of participants

< $0.5m
$0.5m$1m
$1m$5m
$5m$10m
> $10m

OFFICES AND CARBON EMISSIONS

18%
18%
39%
20%
5%

LOCATION
The sample organizations operate 236 office
locations across Canada (82% in BC, 15% in the
rest of Canada), and the US (3%). This averages to 2
office locations per business, with the majority (65%)
having only one location.
The majority of the sample businesses were urbanbased, with 71% of the offices were located in large
urban cores within Census Metropolitan Areas
(CMA), such as Vancouver, Toronto, or Calgar y.

236

office locations covered in


this study

One in five locations were within the CMAs surrounding these large urban cores.
One in ten locations were located outside CMAs: medium census agglomeration cores; small population
centres; and rural areas.

71%

of participants are located


in large urban cores

location
of participants

Our locally sourced and produced spring and


demineralized water comes in large format
refillable containers that carr y 1,000L of water
in their useful lives. All 18L refillables are then
recycled, including caps, making them distinct from
the single use beverage bottle waste problem.
Canadian Springs is also the nations leading
provider of advanced tap water filtration systems
with exper t knowledge and ser vicing for addressing
var ying tap water conditions in each community.
Today we supply both homes and offices with a full
selection of hot beverages. From local, organic and
fair trade brands to the worlds best known coffee
and tea brands, Canadian Springs has one of the
largest selections anywhere.
From hybrid electric deliver y trucks to many other
initiatives, find out why Canadian Springs is leading
sustainable deliver y solutions in Canada.

large urban core 71%


large urban 18%
medium CA core

5%

small CA core

1%

small urban

3%

rural

2%

Census Metropolitan Areas (CMAs) and Census Agglomerations (CAs) are areas consisting of one or more neighbouring municipalities situated
around a core. A CMA must have a total population >100,000, of which 50,000 or more live in the core. A CA must have a core population
>10,000. A population centre is an area with a population >1,000 and a density of >400 people per square kilometre: small population centres have
a population of between 1,000 and 29,999; medium population centres have a population of between 30,000 and 99,999; and large urban population
centres have a population of 100,000 and over. All areas outside population centres are defined as rural areas.
Source: Statistics Canada, 2011 Census Reference Material

Canadian Springs delivers nourishing beverages


promoting health and wellness across Canada. No
longer just the water cooler company, Canadian
Springs has transformed into a beverage deliver y
company ser ving home and office customers with
top quality water, filtration systems, coffee, tea and
other hot beverages.

SPONSOR
OFFICES AND CARBON EMISSIONS

DRIVING
ACTION IN
OFFICES

OFFICES AND CARBON EMISSIONS

MOTIVATIONS FOR MANAGING CARBON


top five reasons for carbon
management, cited by offices

personal interest
community and
sector leadership
marketing and
brand lift
cost savings
solidifying green
practice
In this early majority market, programs
such as Climate Smar t find personal
interest in learning about climate change
and acquiring green job skills leads the
list of drivers for carbon management.
The strong showing for community and
industr y engagement also points to
progressive organizations wishing to
lead within their sectors and communities.
Cost savings motivate one in four
businesses to look at reducing expenses
through managing their businesses
emissions.

Motivators are largely similar across industries; however, more nuanced business-case drivers
appear that are par ticular to cer tain sectors.
Associations

Engineering Consultants

Industr y and community engagement was the


predominant motivation. These organizations
were interested in taking the lead within their
community and setting an example for their
membership. In some organizations, the members
themselves were the driving force in their decision
to under take GHG management.

The benefits of GHG mangement on marketing


and improving reputation/brand were impor tant
to engineering consultants. In par ticular, they are
seeing an increasing need to remain competitive
by showing quantifiable, third-par ty-validated green
initiatives on bids and RFPs. Some also see GHG
management as an emerging business oppor tunity.

Accounting, Finance, Insurance


Marketing/reputation, and networking
oppor tunities, were deemed impor tant, possibly
as a strong B2B market exists for companies
in this sector. In addition, insurance companies
have demonstrated an interest in using GHG
management knowledge to identify potential
environmental liability in client businesses.

Our members are


incorporating green
practices into their
work and we would like
to lead by example.
- membership organization

Interest / Personal Motivation


Industy / Community Engagement
Marketing / Reputation / Brand Image
Cost-Cutting / Efficiency
Building on Existing Green Initiatives
Networking / B2B Opportunities
CSR Mandate
Anticipating Future Requirements
Customer / Investor / Partner Demand
Employee Retention

51%
31%
30%
25%
25%
17%
13%
8%
8%
7%

why manage carbon? motivators for offices


OFFICES AND CARBON EMISSIONS

Social Services

Design, Media, Marketing

The larger environmental and sustainability


message aligns well with social ser vices looking to
effect positive change in their local communities.
Organizations with a strong social mandate,
especially non-profits, also see GHG management
as helping them to deliver their ser vices in a more
cost-effective way.

Industr y and community engagement, and


marketing/brand were dominant. Attracting
and retaining employees also appeared as a
significant driver. In creative fields such as these,
demonstrating a companys sustainability may be
a good differentiator when recruiting the most
talented staff.

Architects

Business Consulting

Building on existing green initiatives, and


marketing/reputation, were the top two
motivations for architecture firms. As green
construction and energy-efficiency projects
become more widespread, firms are seeing the
need to conduct their own operations sustainably
as well (and to demonstrate doing so).

Similar to accounting and financial ser vices,


networking, B2B oppor tunities, and industr y/
community engagement were the primar y drivers
for business consultants.

Policy Consultants, Advocacy


As with social ser vices, GHG management aligns
with the mandates of many policy and advocacy
groups (many in the sample are environmental
organizations). This sector is also motivated by
industr y and community engagement, as well as
marketing and reputational lift: walking the talk
and adding rigour to their existing green practices.

We want to improve
our operations
internally to be more
sustainable. This is also
a potential ver tical/
emerging market that
we have thought about
creating solutions for.

Met Fine Printers is proud to be one of Nor th


Americas sought-after custom printers, recognized
not only for stellar craftsmanship and environmental
leadership, but also for its commitment to doing the
right thing. We believe that the finest print quality
resides in the same space as the finest environmental
and social attributes: right here at MET. We operate
within a social economy, where sustaining great
design through creative par tnerships and pioneering
technology plays an equal role with helping our
community. We enhance our clients ideation process,
working with their marketing teams to develop the
ideal communication mix, be it digital, print, or unique
dimensional solutions.
METs innovative zero-waste program takes recycling
to a new level. Even our printing blankets are
renewed with our par tner Enviro Image Solutions.
As a Climate Smar t alumni, we continually create
oppor tunities to share our ideas with our friends.
Invite MET onto your team.
www.METprinters.com

- business consultancy organization

Law Firms

Education

Cost-cutting and marketing/brand image motivated


law firms to take up GHG measurement. Mid-level
firms may see GHG management as a market
differentiator as well. Many firms also had existing
green initiatives in place already, and were driven
to build upon those effor ts.

For educational institutions, community


engagement and industr y leadership was the
dominant motivator. Some cited their CSR
mandates as well. Others see this as an emerging
field of interest to their clients and students and
wish to lead by example.

MET Hard Goods: recycled printing blanket iPad cases

SPONSOR
OFFICES AND CARBON EMISSIONS

HOW OFFICES
MEASURE UP

OFFICES AND CARBON EMISSIONS

AVERAGE GREENHOUSE GAS EMISSIONS


The emissions profile for a typical office
encompasses all business activities or product
use that results in GHG emissions being counted
against its carbon footprint.

Air Travel
Staff Commuting
Heating
Ground/Water Travel
Electricity
Paper
Waste
Third-Party Shipping

Air travel
This is the largest emission source for a typical
office. Consulting businesses measured especially
high emissions in this activity type, unsurprisingly
due to extensive travelling to clients locations.

average GHG emissions profile


office-based businesses

Staff Commuting
Measured by four out of five businesses, staff
commuting is nearly a quar ter of the average
emissions profile. Businesses in the outskir ts of
large urban centres were predictably the largest
emitters in terms of staff commuting. The lowest
obser ved emissions were in small population
centres and in downtown areas of large urban
centres that are well ser viced by public transit.
Heating
A fifth of an average GHG office emissions
profile comes from on-site fuel combustion
(primarily natural gas in BC). Higher-emitting
officesheating emissions within the upper
two quar tiles of the samplewere split evenly
between offices in colder and more temperate
climates (e.g., Nor thern/Interior BC vs. the CMA
of Vancouver). While local climate impacts heating
use, inefficiencies in building stock and heating use
are a major factor.
Ground and Water Travel
Although ground and water travel compose only
8% of the profile, this can actually be the largest

37%
24%
20%
9%
4%
4%
2%
<1%

emission source for some offices. Engineering


consulting and financial ser vices measured the
highest emissions from this activity: up to 8
tonnes CO 2e per FTE annually, greatly exceeding
emissions even from heating or staff commuting.
Electricity
While the carbon impact of electricity is small in
BC (due to relatively low-carbon grid intensity on
a provincial scale), emissions from electricity use
can be dramatically higher in other jurisdictions. In
Alber ta, for instance, electrical use equivalent to
the BC median per-FTE value of 0.12 tonnes CO 2e
translates to over 4 tonnes CO 2e.
Paper
For some companies, emissions from the paper
used can be much higher than the median usage
measured (for instance, in law firms). The largest
values come from individual member associations

(e.g., unions, and associations), where the amount


of paper used for correspondence with their
members can dwarf the usage in a normal office.
Landfilled Waste
The emissions from landfilled waste are typically
small, although for some businesses that host
events or workshops, waste can be a significant
source of emissions (see section below on offices
with public spaces). Note these emission values
account only for carbon emitted by decomposition
in landfill; they do not account for the emissions
produced in making the disposed items.
Third-Party Shipping
Emissions from third-par ty shipping are
typically quite low in offices. Exceptions include
organizations that ship documents or product
between office locations and to customers (e.g.,
software companies; law firms).
OFFICES AND CARBON EMISSIONS

BENCHMARKING AGAINST OTHER OFFICES


Unsurprisingly, even typical emissions
within a single sector can var y greatly. To remove
size of organization as a factor, Climate Smar t
measures emissions across organizations of
different sizes using GHGs per full-time-equivalent
employee (FTE). Within a sector, FTEs ser ve as
a proxy for size and productivity, given the basic
premise that offices typically have similar numbers
of employees in similar roles, effecting and
impacting operations in similar ways.
Using this graph to benchmark offices
This graph shows the emissions per FTE measured
across Climate Smar ts office-based client
organizations. The circles indicate medians: half
the businesses measured above those values; half
measured below. Most impor tantly, values are
given for the thick band in each column, which
represents the range of emissions measured by the
middle 50% of the sample.

annual
emissions
per FTE

100

10

tonnes CO2e
2.51
1.24

1
0.28

0.32

0.87

0.89

0.32

0.1

0.16
0.09

0.08

maximum value

0.23

75th percentile

0.10
0.05

0.04

median
25th percentile

0.02

minimum value

0.01

values plotted logarithmically

<0.01

0.001
Air
Travel

Staff
Heating
Commuting

Ground Electricity
& Water
Travel

Paper

Waste

Third-Party
Shipping

If an offices emissions are known

If an offices emissions are unknown

Dividing an offices emissions in a particular activity type by number


of FTEs gives a metric to compare against the values in this graph.

Multiplying an offices FTE count by the upper and lower values in


this graph will give an indication of what range that offices emissions
will possibly fall within. This will not give an accurate value of actual
emissions: only an indication of likelihood.

If emissions fall above the upper value, significant oppor tunities to


reduce those emissions may exist.
If emissions fall below the lower value, it is possible that effective
reduction programs are already in place, or that the organization in
question is inherently efficient in that par ticular business-activity type:
for instance, a web design company may naturally use less paper than a
law firm. Note this graph only gives a rough indication of performance
relative to all other businesses in offices.

It also shows that offices can have significant impacts: an office of 50


employees can emit as much as 125 tonnes CO 2e from air travel alone:
equivalent to operating 24 cars for a year.
Measuring an organizations emissions accurately is a rigourous process,
but not a difficult one. Contact Climate Smar t for more information.

OFFICES AND CARBON EMISSIONS

10

OFFICES WITH PUBLIC SPACES


10

1.0

0.8

0.6

0.4

annual
emissions
per FTE
0.67

2.36
2
0

0.2
0.87
0.32
Typical

Public
Space
Heating

15%

office-based
businesses had
a public space
that resulted in
additional energy
use and waste

0.25
0.16
0.08

0.52

tonnes CO2e

0.09

0.10

0.10

0.02

0
Typical

Public
Space
Electricity

Typical

Public
Space
Waste

Offices with public spaces include educational


institutions (e.g., colleges, and professional schools) and
social ser vice organizations (e.g., community centres,
neighbourhood houses). They are characterized by the need
to maintain larger, periodically occupied spaces, which require
additional electricity and heating use. The typical emissions
ranges due to energy use are higher than offices without
public spaces; in the case of heating, over two times higher
(2.36 tonnes CO 2e per FTE vs. 0.87).
Transient occupantsstudents, clients, the publiccan
greatly outnumber an offices employees. This results in far
more waste than a typical office would generate: over 6
times the waste measured by offices without public spaces.
Even the maximum waste measured by an office without
public space in the businesses polled (~0.4 tonnes CO 2e per
FTE) is exceeded by many public-space offices.

Certified General Accountants have ser ved


and advanced the interests of businesses, government
and the general public in B.C . for more than 60
years. Today, the Cer tified General Accountants
Association of British Columbias 15,000 CGA
members and students continue to bring a reasoned
and intelligent voice to the public debate concerning
impor tant economic and environmental issues. CGABC is striving to be one of BCs most progressive
professional associations in terms of reducing its
environmental footprint. In fact, the Cer tified General
Accountants Association of B.C . is ver y proud to be
Climate Smar t accredited, the first accounting body
to achieve that distinction.
If leading truly begins with learning, the
Associations effor ts to date have inspired individual
action and can ser ve as the foundation to influence
changes beyond just our members and students. By
placing environmental responsibility at the centre
of the organization, CGAs will not only continue to
find ways to make sustainability par t of the ever yday
way they do business, but can provide motivation for
change with other people.

SPONSOR

OFFICES AND CARBON EMISSIONS

11

GHG EMISSIONS:
MONEY UP IN SMOKE

OFFICES AND CARBON EMISSIONS

12

CARBON = COST
Business activities generate carbon emissions, and they therefore
have associated expenses: facilities require energy for light and heat;
transpor ting goods and people consumes fuel; tipping fees are charged on
landfilled waste. While GHG emissions in some activity areas may seem
insignificant, they can be associated with high business costs. In looking at
the carbon cost of these activities, the business case for reductions quickly
becomes clear.
The cost per tonne CO 2e for each activity, shown at right, was calculated
using the exact associated costs repor ted by businesses, divided by
corresponding emissions. The single most expensive emission source is
electricity: emitting 1 tonne CO 2e through electricity use costs a business
on average almost $3,000 (assuming BC grid-intensity and energy tariffs).

Electricity
Ground/Water Travel
Third-Party Shipping
Paper
Air Travel
Waste
Natural Gas

cost of carbon:
cost per tonne CO2e by activity

Factoring in the average emissions profile for office-based businesses, these


amounts translate into approximate annual costs to offices per FTE. For
instance, offices spend nearly $350 per FTE on electricity annually.
Annually, air travel costs businesses over $750 per FTE; by comparison,
ground and water travel costs offices over $380 per FTE. Paper
consumption is also a substantial cost ($117 per FTE), more than natural
gas use for heating ($98). Waste generated by offices and use of third-par ty
shipping is minimal compared to other sectors, costing offices $19 and $11
per FTE per year, respectively.

Air Travel
Ground/Water Travel
Electricity
Paper
Heating
Waste
Third-Party Shipping

1,800

$792
$382
$344
$117
$98
$19
$11

annual carbon cost of activity per FTE

Taken together, carbon-emitting activities cost offices nearly $1,800 per


FTE per year. For a median office in this sample, this equates to $36,000
annually.

$2,962
$1,423
$1,365
$1,042
$686
$493
$162

all figures are in Canadian dollars

per FTE

approximate cost of
carbon-emitting activities
to an office-based business, in
Canadian dollars

OFFICES AND CARBON EMISSIONS

13

HOW OFFICES ARE CUTTING CARBON


Offices are devising carbon reduction strategies that work for their individual businesses,
focussing on a blend of behaviour-change programs and technological upgrades.
Travel: business and staff
Popular strategies focus on staff commuting and
and business trips:
teleconferencing for out-of-town meetings (e.g.,
using programs like GoToMeeting and Skype)
consolidating travel by scheduling multiple outof-office meetings on the same day
replacing leased/owned fleets with memberships
in corporate carshare programs
introducing telecommuting policies; implementing
remote-desktop software
setting up rideshare programs and carpooling for
commuters and to/from company events

Energy: Heating and Electricity

Paper Use

Behaviour-change campaigns are inexpensive to


implement and help motivate other best practices.
Simple equipment upgrades are also common.

All staff can par ticipate in reducing paper use.


switching printer defaults to print double-sided
reusing single-sided sheets as notebooks
engaging clients in switching to electronic
correspondence, catalogues and invoices
reconciling mailing lists to reduce wastage
cancelling unnecessar y magazine subscriptions

unplugging equipment at night to reduce standby


power consumption
programming thermostats: off when vacant
fun, memorable turn-it-off campaigns to engage
staff (e.g., depar tment competitions)
installing energy-efficient lighting, occupancy and
daylight sensors (often making use of utility or
government incentives)
improving access to natural light when possible
(e.g., repainting darker areas to improve
reflectance; moving desks to windowed areas)

top five priorities if reducing

GHG
emissions

costs related to
emissions

air travel
staff commuting
heating
ground/water travel
electricity use

air travel
ground/water travel
electricity use
paper use
heating

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OFFICES AND CARBON EMISSIONS

14

BIG SAVINGS TO BE MADE


average net reduction in emissions achieved in the first year of active
GHG management (as measured by Climate Smart client businesses)

10.5% 4.0%
office-based businesses

all sectors

Behaviour Change 53%


Simple Equipment 35%
Capital Equipment 6%

Electricity

Behaviour Change 26%


Simple Equipment 16%
Capital Equipment 8%

Heat

Reduce Paper Use 60%


Diverting Waste 41%
Reduce Packaging Use 3%

Materials

Driver Behaviour Change 10%


Capital Replacement 4%
Vehicle Fuel Switching 2%

Fleet

Reducing Business Travel 42%


Alternative Staff Commuting 42%
Targeting Third-Party Shipping 9%

Transport

chosen reduction strategies: office-based businesses

Offices have measured more reductions in


emissions than the larger pool of Climate Smar t
businesses, on a percentage basis.
The average office-based business has achieved
a 10.5% reduction in GHG emissions after one
year of acting to measure and reduce their
emissions. By way of comparison, this is more
than double the reductions measured in the larger
pool of organizations engaged in Climate Smar t
GHG management (4.0%). This may highlight the
effectiveness of reduction strategies chosen by
office-based businesses. Normal environmental
practice in offices may also be such that simple
changes in behaviour can have quick results.
Offices are mainly choosing strategies that involve
staff engagement and behaviour change: electrical
and heating turn-it-off campaigns; increasing
recycling and cutting paper use; and new policies
and driver training around vehicle use. Many are
targeting business travel and staff commuting: both
identified as high-GHG-impact activities for offices.
Many offices operate in leased spaces, reducing
their ability to directly control building stock
(shor t of moving offices), and capital upgrades
such as boiler and substantial electrical retrofits.
Still, over one in three offices are choosing to
pursue simple electrical equipment projects
such as installing more energy-efficient lights and
occupancy sensors. One in six are simple heating
projects: investigating programmable thermostats;
inexpensive, easily installed weatherproofing; etc.
The ultimate success of these behaviour-change
programs depends heavily on implementation:
how management or green teams roll out
environmental initiatives to its workforce.
OFFICES AND CARBON EMISSIONS

15

We have gained some


momentum that we
now need to sustain.
There is a lot more
we can do!

THA Architecture is an architecture


firm in Por tland, Oregon recognized for the
design of public buildings and urban spaces.
THA star ted managing their GHG emissions
with Climate Smar t in 2010. Following
their first GHG inventor y, the company
developed a one-year carbon-reduction plan
that focused on different emission sources
month-by-month. This allowed them to stay
on track by tackling one emission source at
a time.
As a result, THA measured a reduction of 23
tonnes CO 2e from their baseline inventor y,
while growing the company from 37 to 46
employees.
Case study presented by

THA ARCHITECTURE

A month-by-month reduction plan pays off


OFFICES AND CARBON EMISSIONS

16

July 2010: Launch


The plan took off in July 2010 with par ticipation
in Por tlands Carefree Commuter Challenge. The
companys employees logged their alternative
transpor tation trips for a month; THA won
the challenge in their categor y. The company
also launched an innovative incentive program:
employees who commuted 60% of the month by
alternative transpor tation modes got a bonus. The
program was a hit: over half the employees used
the incentives.
August: Waste Reduction
The company provided reusable to-go containers
for their employees lunches labeled with the
company name, and created a list of all food car ts
and restaurants that accepted the containers. An
office composting program was established.
September: Staff Commuting
September was spent maintaining momentum
on the staff commuting initiatives: the company
organized group happy-hour bike rides, supplied a
bike tune-up kit, purchased a new valve pump and
installed a full-length mirror in the locker room to
suppor t employees biking to work. The effor ts to
reduce emissions related to staff commuting paid
off: they dropped by over 15%.
October: Electricity and Heating
The companys lease for their photocopiers was
ending and THA decided to lease a newer, more
efficient model. They also focused on turning off

CASE STUDY

computers at night, achieving a per-employee


reduction in their electricity use of nearly a
quar ter. Turning the thermostat one degree up in
summer and one down in winter combined with
turning heating off when the office was unoccupied
allowed THA to achieve a 17% reduction in their
heating emissions.
November: Paper Use
THA sent out a sur vey to understand how
their employees used paper and to see if those
needs could be met electronically. This resulted
in installing a PDF viewer program that allowed
editing. Print to PDF was set as the default
option on the companys printers. Screens and
smar tboards were installed in conference rooms
to avoid using printed materials at meetings. THA
also star ted to collect one-sided prints and turned
them into company sketchbooks. Consequently,
THA measured a 50% reduction in their paper
emissions.
December: Office Supplies
To reduce purchasing and waste, THA organized
an office-supply amnesty day: accumulated but
unused office supplies were liberated from desk
drawers and redistributed to other employees.
January 2011: Waste Reduction
THA revisited their waste initiatives, creating an
unknown objects bin to identify the items that
the employees were unsure of how to dispose of
and star ted a plastic recycling program for plastics
not accepted by the citys recycling program. THA
also removed all trash cans from employees desks:
a subtle change that forced staff to think before
they threw something away. THA has been able to
reduce their landfilled waste by over 50%.

March: Business Travel


Business travel is one of THAs largest emission
sources. THA sold three older company station
wagons and replaced them with a hybrid car and
a fuel-efficient diesel station wagon. Emissions
from the companys fleet decreased by over 40%.
The company also committed to using video
conferencing instead of travel whenever possible
and joined a car-sharing program. As a result, their
air travel emissions were cut by nearly 10%.
Going Forward
That first year of reduction was impor tant for
us and so we put a lot of effor t into it, said
Annie Mahoney, an associate at THA. Inspired
by the impressive reductions measured in their
second inventor y, THA has since developed and
implemented a new 2012 reduction plan and is
currently measuring their third year with Climate
Smar t to see the results of their new initiatives.
We have gained some momentum that we now
need to sustain. There is a lot more we can do!

Reductions achieved:

50% waste and paper


17% heating
15% staff commuting
40% company fleet
Annual savings:

23 tonnes CO2e
$29,000+

OFFICES AND CARBON EMISSIONS

17

CALL TO ACTION
At Climate Smart, we are continually inspired
by our local entrepreneurs and businesses. They
are essential par tners in any plan to overcome the
challenges we face today, and help create resilient,
regenerative communities that we can proudly call
home.
If you are a business, we need your help to change
the way business is done.

Find out where you stand

Share your story

If your operation spends more on energy,


waste, or travel than your peers, we
welcome the oppor tunity to help find
creative, more efficient ways to deliver your
product or ser vice with less environmental
impact.

Your leadership matters. Be generous with


what does and doesnt work. Tell your staff,
clients, suppliers and community. If you spend
less on energy, waste, or travel than your
peers, you may have a stor y to share with
the world, and we can help you tell it.

A special thank you to our office-based clients, for working with us to collectively develop and share the business practices of tomorrow.
Abbotsford Community Ser vices
Agency for Co-operative Housing
APEGBC
Ash Creek Associates
Associated Engineering
Atticus Financial Group
BC Teachers Federation
BC211
Becker & Company Law Offices
Best Enter tainment Corp
Bing Thom Architects Inc
BOMA BC
Bruce Carscadden Architect
bty group
Canadian Centre for Community
Renewal
Canadian Direct Insurance
Canadian Mental Health Association Kelowna Branch
Carmichael Toews Ir ving Cer tified
General Accountants
Cause+Affect Design Ltd.

CEI Architecture
Cer tified General Accountants
Association of BC
Chislett Manson and Company
City Green Solutions
Clark Wilson LLP
College of Midwives of BC
Collingwood Neighbourhood House
Columbia Institute
Communication Solutions
Communicopia Internet
Cool Works - Working Enterprises
Co-operative Housing Federation of BC
COPE 378
Council of Tourism Associations
Deltassist Family and Community
Ser vices Society
Dentons (formerly FMC Law)
DMCL LLP
Dr. Bing & Dr. Henderson
Ear thwise Society/Tilbur y Eco Industrial
Par tnership

EBA Engineering Consultants Ltd.


Ecojustice Canada
Ecotrust Canada
Elemental Architecture and Interiors Inc.
EP Canada Film Ser vices Inc.
EPR Coquitlam
Ethos Law Group LLP
Fair Trade Vancouver
Fasken Mar tineau Dumoulin LLP
Fraserside Community Ser vices Society
Frog Hollow Neighbourhood House
Glotman Simpson Consulting Engineers
go2
Green Table Network
GreenStep Sustainability Coaching
Habanero Consulting Group
Halcrow Inc.
Hay & Watson, Char tered Accountants
Hemmera
ILSC
ISL Engineering and Land Ser vices
Recycle Smar t (formerly Keystone)

Kirk Integrated Marketing Ser vices Ltd


KOKO Productions Inc
Langley Environmental Par tners Society
Lidstone & Company
Light House Sustainable Building Centre
Loren, Nancke & Company
Ly & Company
Madrone Environmental Ser vices Ltd.
Mahlum
Markets Initiative
McElhanney Consulting Ser vices Ltd
Nor th Vancouver Chamber of
Commerce
NOW Communications
Open Box Integration Inc.
Opus DaytonKnight Consultants Ltd.
Pacific Community Resources Society
Pacific Spirit Investment Management
Prism Engineering
Pushor Mitchell LLP
Raincoast Education Society
RDH Building Engineering Ltd

Reid Hurst Nagy Inc.


Renewal2 Investment Fund
Resources Nor th Association
Rober t Ciccozzi Architecture Inc.
Selkirk Eyecare
SFU Community Trust
Sharp & Diamond Landscape
Architecture Inc.
South Vancouver Neighbourhood House
Strathcona BIA
studentcare.net/works
Surrey Board of Trade
Syntaris Power Corp
TDB Consultants Inc.
Teco Natural Resource Group
THA Architecture
The Condo Group/Synergy
The Jibe Multimedia, Inc.
The Next Institute
The Personnel Depar tment
The Tar tan Group
Tourism Victoria

Travis Strain (Investors Group Financial


Ser vices)
Trinity Western University
Tripwire
Union of BC Municipalities
United Community Ser vices Co-op
Vancouver Economic Commission
Vancouver Film School
Vancouver School of Bodywork and
Massage
Vancouver Society of Childrens Centres
Victoria Women In Need Community
Cooperative
Walker Group Inc.
Waterkind Consulting Ser vices Ltd.
West Vancouver Chamber of
Commerce
Western Principles

OFFICES AND CARBON EMISSIONS

18

OFFICES AND CARBON EMISSIONS


A CLIMATE SMART

TM

INDUSTRY BRIEF

Lloyd Lee Editor, Design, Analysis


Anastasia Lukyanova Analysis, Author
Photo Credits
all Creative Commons Attribution 2.0 Generic unless stated otherwise
Front Cover : flickr/epicharmus
Contents: flickr/15216811@N06
Page 1: flickr/oakleyoriginals
Page 2: flickr/jdhancock
Page 5: flickr/daxko
Page 8: flickr/coreforce
Page 12: flickr/shashwat
Page 16: THA Architecture, used with permission
Back Cover : flickr/Wonderlane

Copyright 2013 Climate Smar t Businesses Inc. All rights reser ved.
This publication is protected by copyright and written permission is required
to reproduce, store in a retrieval system or transmit in any form or by any
means (electronic, mechanical, photocopying, recording, or otherwise).
For information regarding permission, contact
info@climatesmartbusiness.com.

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