Business Case for Carbon Footprint

Most organisations now realise that carbon reduction means energy and cost reduction


Here, we present the business case for a programme  with Carbon Footprint Ltd, illustrated with quantitative examples of the cost reduction and value add we have delivered to our clients.

 

Winning New Business

Our clients have increased their turnover by just over 10% per annum even during the economic recession.  Sales tenders of significant value have been won that have been directly linked to achieving credentials, such as such ISO14001.
  

Cost Reduction

Carbon Footprint Ltd's clients reduced their carbon footprint by an average of 20% over the past four years (saving ca. 20% of energy/fuel costs each; these savings are sustained in ongoing years). Significant reductions have been made by behavioural change (involving no capital expenditure) and others by quite modest investment.  
 

An example monetisation of the cost reduction

  •  For a 500 person Office business
  • With a Carbon Footprint of 3 tonnes per person per annum
  •  At a cost of £240 per tonne (using cost of carbon per unit of electricity)

A 20% reduction would bring a £72,000 cost reduction per annum.

Staff motivation & retention

Employees prefer to work for organisations that have sustainability credentials.

Research by Gallup has shown that 92% employees prefer working for ‘green’ organisations. You will attract talented candidates and they will stay longer in the business, saving you recruitment costs and resource.

 

Compliance

The Carbon Reduction Commitment Energy Effiiciency Sheme  is already in place and currently costs participants £12per tonne CO2 emitted. There are also penalties for incorrect reporting. Incoming Mandatory Greenhouse Gas (GHG) Reporting from 1 October 2013 will see initially UK incorporated LSE (and also UK incorporated and NYSE/NASDAQ and some other European market listed companies) disclosing their results in their Annual Reports.

Reputation & Brand

For some, the sustainability credentials are key to enable them to enter specific markets/market schemes (e.g. FTSE4Good etc ). Global organisations like Honda and GE have seen their brand values increase by 28% and 17% respectively due to their sustainability initiatives. For others the credentials enable other external funding and it is estimated that £20 billion of intangible value in the Uk alone comes from sustainability credentials.

We encourage and are able to help our clients to apply for reputation enhancing Sustainability Awards and they have frequent success to being listed as finalists and winning their categories. Awards are also a great way to say 'thank-you' to your staff and recognising the sustainable changes they are making in the business. 

We are also frequently able to identify funding/ finance opportunities for our clients, to help make their business case even more attractive.     


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