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COMMITTING TO NET ZERO
research & development tax relief specialists
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FOREWORD THE TRAFFIC LIGHTS ARE ON GREEN FOR THOSE DRIVING TOWARDS NET ZERO
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ello! Welcome to the first edition of the GREEN Business Journal, a new digital magazine that provides a national platform for the enterprises and entrepreneurs intent on creating a sustainable future. In our book, GREEN stands for Green technology, Recycling, Energy, Environment and Net Zero – the challenges, the research and the breakthroughs - as well as the signal indicating now is the time, indeed, to put the foot on the accelerator. With this particular edition, COP26 seemed like a good place to start. What will be the four primary objectives driving the delegates in Glasgow come November - do you know? One of them will be ‘strengthening adaptation to climate change impacts’, the diametric opposite of most people’s perception of the challenges facing us right here, right now. While the conversation about climate change has been dominated by mitigation so far, what is equally pressing is the need to adapt to the unavoidable changes already on their way.
respect, its reed bed filtration plant - just one of several sustainable practices in operation - has been in place for several years now. ScottishPower Renewables has launched an innovative pilot project to further reduce its carbon emissions by using waste vegetable oil to help power crew transfer vessels working on its flagship East Anglia ONE offshore windfarm. And, in tandem with the publication of its inaugural sustainability report, wastemaster Biffa has announced accelerated investment plans in relation to its four key areas of Reduce, Recycle, Recover and Collect. The company aims to unlock £1.25bn in investment by 2030. We have so much to talk about, here at the GREEN Business Journal!
“We have absolutely no choice but to learn to adapt to a future with a very different climate,” says Doogie Black, of environmental consultancy Climate Sense. “It is imperative that organisations act now.” So, besides talking to Doogie, we have also taken a look at just what some of our more ethical companies are doing. Yorkshire Water is currently constructing an integrated wetland at its Clifton wastewater treatment plant to reduce reliance on an otherwise energy-intensive process; Herefordshire-based Westons Cider is ahead of the game in that
Helen Compson Editor, Green Business Journal
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issue 01
CO NTE NTS
CON T E N TS
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Green Technology 8|9 Innovators producing the green technology required to help the UK meet its climate targets have been given a £166m shot in the arm.
Green Technology 10|11
Recycling 22|24 Food grade sample bottles produced by Consortium – including Carbios, L’Oréal, Nestlé Waters, PepsiCo and Suntory Beverage & Food Europe – using breakthrough enzymatic recycling process.
Using robots to make offshore infrastructure inspection and repair safer is a step closer thanks to the backing of UK Research & Innovation.
Big Interview 26|30
Recycling 18|20
While the conversation about climate change has been dominated by mitigation, what is equally crucial is the need to adapt to the unavoidable changes already on their way.
Recycling and waste management sector to invest £10bn in achieving Net Zero by 2040
COP26 32|34 The UK will host the 26th UN Climate Change Conference of the Parties in Glasgow between 31 October and 12 November. The UK and Italy hold joint presidency of COP 26.
CO N TENTS
Editor Helen Compson helen.compson@distinctivepublishing.co.uk
Design Distinctive Publishing, 3rd Floor, Tru Knit House, 9-11 Carliol Square, Newcastle, NE1 6UF Tel: 0191 580 5990 www.distinctivepublishing.co.uk
Advertising Distinctive Publishing, 3rd Floor, Tru Knit House, 9-11 Carliol Square, Newcastle, NE1 6UF Tel: 0191 5805990 www.distinctivepublishing.co.uk
Social
Energy 44|45 Sustainable cooling experts are creating a roadmap to help reach the UK’s 2050 net zero carbon emissions target, whilst maintaining food security for consumers and economic opportunity for the country’s food industry, as the University of Birmingham secures £2.9 million of UK Government funding announced today for energy-related projects.
Green Business Journal @GreenBusinessJournal
Environment 58|59
Green Business Journal www.greenbusinessjournal.co.uk
Thames Water is co-funding an ambitious new £1.2 million project to help more Londoners enjoy the benefits of nature on their doorstep.
Energy 46|47
Net Zero 60|63
ScottishPower Renewables has launched an innovative pilot project to further reduce its carbon emissions by using waste vegetable oil to help power crew transfer vessels working on its flagship East Anglia ONE offshore windfarm.
Rooted in the soil of Herefordshire for five generations now, multi-award winning Westons Cider is wedded to the countryside it cherishes.
Distinctive Publishing or Green Business Journal cannot be held responsible for any inaccuracies that may occur, individual products or services advertised or late entries. No part of this publication may be reproduced or scanned without prior written permission of the publishers and Green Business Journal
Net Zero 64|65 Environment 52|55 Yorkshire Water and its partners Stantec and BarhaleDoosan JV are currently constructing an integrated wetland at Clifton wastewater treatment works to help reduce reliance on energy intensive treatment processes.
Anglian Water has this month acquired an additional 33 electric vans with a further 43 due by the end of the year, bringing its fleet of electric vehicles (EV’s) to 86 and leading the way across the industry.
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NE WS
Minette Batters
POLICY NEEDED TO DRIVE CLIMATE ACTION IN ARABLE SECTOR The British arable sector offers many solutions to the climate challenge, but it needs the right policy environment if it is to fulfil its potential when it comes to preventing and managing the impacts of climate change, says the NFU. Speaking at the Cereals event in Lincoln on June 30, NFU President Minette Batters discussed the important role growers have to play in tackling climate change, the opportunities climate mitigation can offer arable businesses and the challenges that will have to be overcome in order to maximise them. Mrs Batters said: “The crops grown in the UK form the very basis of our diets, producing the raw ingredients for the nation’s pantry staples, but their significance does not end there. I truly believe that British farming businesses can be global leaders in climate-resilient food production and the arable sector is at the core of this. “As we look down the road to net zero, growers have a rare ability to fuel the bioeconomy and have a positive impact on decarbonisation within both farming and other sectors. Our arable farmers are also uniquely placed to capture carbon through soil management, such as through green cover crops or reduced tillage systems, and it’s so important that government schemes such as the Sustainable Farming Incentive (SFI) properly incentivise, support and reward this type of work.
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“It’s really exciting that we will start to see E10 at petrol stations in a few months’ time and there will be further opportunities for farmers to direct more land and by-products into biomass production, renewable energy and carbon capture. It’s important that the contribution farmers can make toward the UK’s national net zero target by avoiding fossil fuel emissions and driving crucial greenhouse gas removal is recognised and encouraged in the government’s upcoming biomass strategy. “But while our national and industry net zero ambitions will provide a variety of economic opportunities for growers, we can’t underestimate the challenges that will come with it. “One challenge we face is around building climate resilience, both on a national scale and on an individual farm business basis to give our businesses the best chance of surviving and thriving in the future. “But perhaps the biggest challenge of all will be how we actually value carbon and the services farming as an industry can provide. This is a hugely complex area and one which needs global collaboration and uptake, which is why our trade policy must also align itself to our net zero ambitions, otherwise we risk undermining the good work here and exporting our carbon footprint abroad.”
ADV ERTORI AL Hone y B a r re t t
ELECTRIC CAR – ARE YOU READY?
The most enthusiastic petrolhead may sneer at the prospect of going electric, however the Government continues to move forward with its green policies to phase out the production of new petrol and diesel models by 2030. Over recent years there have been concerns of making that switch to electric vehicles such as access to charging points, the range, charging times and the cost of vehicle. It is fair to say that there have been massive improvements in these areas, although there is still plenty of work to do to improve the electric infrastructure in the UK.
Road tax The zero emissions produced by electric cars mean that there is no road tax to pay.
Benefit in kind – company cars
To encourage early adoption the Government released big incentives for individuals and businesses to use clean energy.
There is a 1% benefit in kind rate from 2021/22 on new and existing electric cars, which will rise to 2% for 2022/23, 2023/24 and 2024/25.
First year allowance for businesses
There is no fuel benefit as electricity is not classed as a fuel.
Your business can claim 100% of the cost of an electric vehicle in the year of purchase against profits made in the accounting period. The first year allowance is only available on new, or nearly new (e.g. demonstrator) vehicles and will be available for purchases made by 31 March 2025. Used electric models are not eligible for this allowance. For sole traders and partnerships, there will be an adjustment for private use. This first year allowance may play a key part in reducing taxable profits for companies once the new Corporation Tax rates commence from 1 April 2023.
The company has to pay Class 1A National Insurance on the benefit at 13.8%.
Charging points To further aid the uptake, grants are available for home owners to install electric charging points.
DENNY CARR, FCCA Director, Honey Barrett Chartered Accountants
If you are still sitting on the fence about making that switch, there are certainly benefits to make you think again. One thing is for certain, we will all be driving electric vehicles at some point! If you require any further advice please call 01892 784321 or visit www.honeybarrett.co.uk.
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GR E E N T E C H N O LO GY
GREEN TECH GALVANISED BY CASH INJECTION Innovators producing the green technology required to help the UK meet its climate targets have been given a £166m shot in the arm. The award of the money, to businesses, academics and heavy industry right across the UK, is designed to accelerate the delivery of the critical technologies needed to meet Britain’s climate change targets, while creating over 60,000 jobs in the process.
and our economy. This major cash boost – targeted at our most polluting industries - will encourage the rapid development of the technologies we need to reign in our emissions and transition to a green economy, one that reduces costs for business, boosts investment and create jobs.
The new technologies in carbon capture, greenhouse gas removal and hydrogen will also pave the way to decarbonising the UK’s polluting sectors, among them manufacturing, steel, energy and waste.
“Just (eight) months ago, the Prime Minister set out a clear 10 Point Plan for creating and supporting up to 250,000 British jobs as we level up and build back greener from the pandemic. Today we’re boosting our armoury for the fight against climate change and backing innovators and businesses to create green jobs right across the United Kingdom.”
Announcing the package, Energy Minister Anne-Marie Trevelyan said the investment would help put the UK at the forefront of the green technologies of the future, while supporting British industries to lowers costs, remain competitive and protect jobs as they improved their energy efficiency and transition to a green economy. It would also help the UK meet its ambitious climate commitments, including reaching net zero emissions by 2050 and the world’s most ambitious climate target of reducing UK emissions by 78% by 2035 compared to 1990 levels. She said: “We are determined to tackle climate change and make it win-win for both our planet
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The 10 Point Plan is committed to removing 10 megatonnes of carbon dioxide, generating 5GW of hydrogen by 2030, and creating 250,000 green jobs. The £166m fund includes: £60 million to support the development of low carbon hydrogen in the UK and to identify and scale-up more efficient solutions for making clean hydrogen from water using electricity. This will take the UK one step closer to using low carbon hydrogen in key industries across
G REEN TEC HN OLOGY
the UK – from powering transport such as trains and ships to factories and the heating systems in our homes. This funding will help create around 8,000 hydrogen jobs set out in the 10 Point Plan £37.5 million to fund the largest government programme of greenhouse gas removal methods helping cement the UK’s status as a worldleader in this technology. Of this, 24 projects across England and Wales will receive up to £250,000 to fund innovative designs that develop new ways of removing greenhouse gases from the atmosphere and store them safely, and a further 5 projects will receive up to £4.5 million each to investigate the viability of adopting greenhouse gas removal methods at scale £20 million to support the development of the next generation carbon capture, usage and storage (CCUS) technologies so they can be deployed at scale by 2030. This could include funding innovative technologies that widen the suitability of CCUS to a larger range of UK industrial uses such as chemicals and cement, reducing the cost of deploying CCUS and helping industrial waste or power sector companies to capture and store harmful emissions from the source, before they are emitted into the atmosphere £20 million to establish a new virtual Industrial Decarbonisation Research and Innovation Centre that will accelerate the decarbonisation of key energy-intensive industries which currently make a significant contribution to UK emissions. Run by Heriot-Watt University, Edinburgh, the Centre will bring together new technologies and address the challenges faced by industrial areas, helping to provide solutions that reduce costs, risks and emissions. This centre will connect and empower the UK industrial decarbonisation community with over 140 partners, including industry and
business, government and regulatory agencies and world-leading academics, working together to deliver an impactful innovation hub for industrial decarbonisation £16.5 million through the Industrial Energy Transformation Fund to develop new technologies and processes that help energyintensive sectors cut their emissions, while reducing their energy bills. Projects receiving funding include Tate & Lyle to decarbonise its London sugar refinery and cut emissions by up to 90% and Celsa Manufacturing to install new technologies that improve energy efficiencies in the process to melt scrap metal and produce steel. BAE Systems will also receive funding to install energy efficient technology that could save equivalent annual emissions of around 700 households £8 million for projects to develop innovations, such as repurposing textile waste, new clay production techniques for the ceramics industry and concrete manufacturing that support the rapid recovery and sustainability of UK industry. Projects include developing glazes for fast-fire manufacturing of ceramic tiles made entirely from recycled waste, creating a costefficient, low carbon concrete manufacturing solution using waste materials and developing the world’s first, high temperature heat pump that can compete commercially with burning fossil fuels £4.7 million will establish a new Transforming Foundation Industries Research and Innovation Hub. The hub will be led by Cranfield University and will help industries like metals, glass, cement, paper and glass to work together and address their common challenges while accelerating the development and adoption of new technologies and business models. This could include creating new, smart materials and processes that enable cheaper, lower energy and low carbon products.
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GR E E N T E C H N O LO GY orc a h u b
ROBOTS TAKE STEP FORWARDS IN OFFSHORE INSPECTIONS Using robots to make offshore infrastructure inspection and repair safer is a step closer thanks to the backing of UK Research & Innovation. Founded in 2017 and led by Heriot-Watt and the University of Edinburgh, the ORCA Hub which also includes Imperial College London, University of Liverpool and University of Oxford, is supporting the energy transition and the growth of renewable energy. It is one of the strategic projects within the National Robotarium. Working with industry partners, the Hub’s aim is to help the offshore energy industry to use robots to safely inspect, maintain and repair platforms, wind turbines, and other infrastructure, guided by human experts on ships or back on shore. £600,000 of the new funding will be used to help deliver six demonstration projects with industrial partners, including the inspection of wind turbine foundations and the deployment of Industrial Internet of Things (IIoT) sensors.
Professor Petillot said: “Robots have the potential to carry out inspection and maintenance in hazardous environments, reducing the risks of putting divers into the water in harsh conditions or workers operating at height on wind turbines. Finding ways to combine the flexibility of autonomous robots with remote human operators has been one of the key strands in my career over the past 20 years.
Robots have the potential to carry out inspection and maintenance in hazardous environments, reducing the risks of putting divers into the water in harsh conditions or workers operating at height on wind turbines.
The remaining £1.9 million will fund an extension of ORCA Hub’s activities to see if technologies and processes developed by the Hub can be used in other sectors, ranging from construction and urban infrastructure through to decommissioning and waste management. Yvan Petillot, professor of robotics and autonomous systems at Heriot-Watt University and co-academic lead of the National Robotarium, has been appointed as the ORCA Hub’s new director.
He takes over from Professor David Lane, founding
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director of the Edinburgh Centre for Robotics, who will continue to support the Hub as an advisor to its independent steering committee.
Finding ways to combine the flexibility of autonomous robots with remote human operators has been one of the key strands in my career over the past 20 years. “The international offshore energy industry is undergoing a revolution, adopting aggressive net zero objectives, and shifting rapidly towards large scale offshore wind energy production.
“The long-term industry vision is for a digitised offshore energy field, operated, inspected and maintained from the shore using robots, digital architectures and cloud-based processes to realise this vision. However, the recent pandemic has highlighted a widespread need for remote operations in many other industrial sectors. “The ORCA Hub has built a community of roboticists and expertise during its initial phase. This funding extension aims to accelerate the
G REEN TEC HN OLOGY orc a hub
translation of the research into our existing industry network, working with companies including Wood, EDF and Ross Robotics, while expanding into new sectors by adapting the current research and tackling the novel challenges these sectors bring.” During its first project for the ORCA Hub, the Spot robot will be deployed on construction sites, collecting data and measurements in real time. This will allow multiple parties, regardless of location, to access and review the data, building greater understanding of the construction process and allowing companies to identify new efficiencies, potential hazards and quality control measures. UK Government Minister for Scotland Iain Stewart said: “Advancements in robotics will be essential to meeting the UK’s ambitious climate targets. “Robots can help us to reduce waste, safely manage new infrastructure such as solar energy and offshore wind, and better monitor and protect our environment. “The UK Government is building back better from the pandemic, supporting cutting-edge research across the entire UK and investing £21 million in the National Robotarium as part of the Edinburgh and South East Scotland City Region Deal.” Professor David Lane added: “Since the ORCA Hub was launched, its successes have been wide ranging from launching tech that can help humans and robots to speak the same language to autonomous drones that can inspect offshore turbines. “However, research of this type can only have impact if it is driven by and addresses specific industry needs. Significant industry engagement has been achieved since 2017 with 68 individual research projects, PhD sponsorships, user engagements, and supply of equipment, hardware, software, data and asset samples taking place with a further 16 projects currently in discussion or
pending approval with an estimated value of over £6M. We’ve spun-out a company and two more are in the process of spin-out, alongside two patent applications enabling developments to be licensed to companies.”
Professor Yvan Petillot with the Spot robot
Engaging with the public has also been an important objective with events reaching over 15,000 members of the public. Simon Reeve, chair of the ORCA Hub’s Independent Steering Committee, said “The Hub’s success to date has been greatly helped by the contributions of a wide range of specialists overseeing its strategic direction. An international scientific panel supported the early stages of the Hub, while an industry panel reviews and guides the application of the new technologies. Our Independent Steering Committee is made up of international specialists representing government, public and private sector organisations across a wide range of sectors providing fresh perspective and the best possible support to achieving the Hub’s objectives.” Andrew Tyrer, Challenge Director – Robotics, Industrial Strategy Research Fund, said: “The funding is crucial to widening the scope of our work. With net zero ambitions underlying industrial plans in every sector, and the chance to rebuild new industries after the pandemic, robotics, AI and automation are vital ingredients for the future.” The National Robotarium is funded separately from the ORCA Hub. The National Robotarium is supported by £21 million from the UK Government and £1.4 million from the Scottish Government as part of the £1.3 billion Edinburgh and South East Scotland City Region Deal - a 15 year investment programme jointly funded by both governments and regional partners. The National Robotarium building will open on Heriot-Watt’s Edinburgh campus in 2022.
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GR E E N T E C H N O LO GY
26 CLIMATE TECHNOLOGY START-UPS WIN PLACE ON COP26 FUNDING PROGRAMME Greenbackers Investment Capital has revealed the identity of 26 climate technology start-ups who will be taking part in an innovative six-month programme designed to help them secure international funding ahead of the UN Climate Change Conference (COP26) in Glasgow. Called 26ForCOP26, the programme will introduce the businesses to a global investor base through Greenbackers Showcase, an online deal platform, via a series of hosted events between June and November. It will culminate in a live and live-streamed “SuperPitch”, hosted in Glasgow during COP26, which runs from October 31 to November 12. The programme launch comes after a recent report from the International Energy Authority stated that by 2050, “almost half the reductions in CO2 emissions will come from technologies that are currently at the demonstration or prototype phase. Major innovation efforts must take place this decade, in order to bring these new technologies to market in time.”
GREENBACKERS greenbackers.com
Robert Hokin, Managing Partner at Glasgow-based Greenbackers, said: “We developed a showcase of great technology ventures to coincide with the global focus on the COP26 Climate Summit happening here in our hometown of Glasgow this November. “There’s been plenty of talk about target-setting but to make Net Zero a reality, COP26 needs to be about action. Investment capital needs to flow faster into the climate technology start-ups that can and will make a difference.
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The full cohort of companies selected are: Blockchain Triangle – Bermuda Cheesecake Energy – UK Chitendai Ltd – UK CityQ – Norway CPower – USA Dryad Networks – Germany eHempHouse – UK ExxFire B.V. – Netherlands Forev Ltd – UK Hydrowheel UK Hypervolt – UK Lambda Energy – UK Limit Jeans – UK | Magtor – Malta Paua – UK Propelair – UK
“Our ‘26ForCOP26’ is an action programme for making that investment happen.”
Seawater Solutions – UK Smart Green Shipping – UK
The selected 26 have been picked from over 120 applicants and come from nine countries.
Subsea Micropiles – Ireland
They cover the following cleantech sub sectors: Sustainable transportation; Sustainable fashion; Renewable power generation; Water & energy conservation; Smart grid; Building & Internet of Things (IoT); Circular economy; Ocean & blue economy and Sustainable materials technology.
TISICS – UK
Swiss Vault – Switzerland Tocardo – Netherlands Zelim – UK ZUoS – UK Stealth Mode A (to be announced shortly) Stealth Mode B (to be announced shortly)
G REEN TEC HN OLOGY
STUDENTS WIN AWARD FOR FACEMASK MADE FROM POTATO A Year 12 student team who developed a biodegradable face mask made from potato were crowned the winners of an inaugural sustainability competition by Stephen Richardson, President of the Institution of Chemical Engineers. The University of Cambridge’s Davidson Inventors Challenge encouraged 14- to 17-year-old UK students to use engineering problem-solving skills to develop an innovative solution that addresses one of the UN Sustainable Development Goals. The winning team was AdMeliora (comprising Mehakdeep Kaur, Maya Rawat, Vivien Ablay, Niketa Walichchoru Evayage and Akshita Sudhir) from the Tiffin Girls’ School in Kingston-uponThames. They developed a face mask to combat the issue of increasing waste from disposable face masks used during the COVID-19 pandemic. The competition was held in memory of the university’s emeritus professor John Davidson, who died in December 2020. Known as the founding father of fluidisation, he had worked in chemical engineering since 1952, including in process dynamics, gas absorption and fluidisation technology. He was president of IChemE from 1970-1971 and in 2016 IChemE named a medal after him in recognition of the inspirational role he had played for young engineers. IChemE President Stephen Richardson, University of Cambridge alumnus, was part of the judging panel and announced the winners in a virtual presentation ceremony on 28 May. He said: “On behalf of IChemE, many congratulations to AdMeliora and all the finalists in this inaugural competition. I’m delighted to have been part of this awards ceremony. “A past president of IChemE and a friend of mine, Professor John Davidson was an active member of the Institution, committed to the profession and passionate about teaching the future leaders of chemical engineering. Through your creative and innovative projects, you have demonstrated the importance of applying chemical engineering skills and thinking to find sustainable solutions to problems that we all face around the world today. I am sure that this would have made him very proud. I hope you will consider this exciting profession as a potential for your future career journey.”
Professor Clemens Kaminski, Head of the Department of Chemical Engineering and Biotechnology at the University of Cambridge said:
The winning team from Tiffin Girls’ School in Kingston-upon-Thames
“I am really impressed by the innovative spirit and the quality of the presentations by the students. Their enthusiasm was tangible – clearly the next generation of brilliant scientists is on its way.” As well as presentations from the four finalists, the event featured talks from Professor Davidson’s son Peter Davidson, CEB alumnus, on his father’s life and legacy; IChemE Fellow Dr Rachel Cooke, CEB alumna and Senior Manager for Reliability Engineering at Amazon, on career opportunities for chemical engineers; and a keynote speech from MP Nadhim Zahawi, Parliamentary Under-Secretary of State for COVID-19 Vaccine Deployment. Zahawi, who was also a member of the judging panel, said: “I am delighted to see the enthusiasm this has generated amongst the scientists of the future, who will be at the forefront of developing new technologies as we look to build a more sustainable world.” The winning student team will receive a certificate, a personalised trophy and a special virtual tour of the Amazon facilities. The winners will also visit the University of Cambridge to meet the academics and students and to understand what studying at the Department of Chemical Engineering and Biotechnology is really like. The competition attracted more than 50 organisations, involving more than 200 students from 45 schools across the UK.
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R ES E AR C H AN D D E V E LO PM E NT TA X R E L IEF Co o de n Ta x Cons u l t i ng
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RESEARC H AN D D EV ELO PM EN T TAX REL I EF Co o den Ta x Con s ul t i n g
BEING GREEN DOESN’T HAVE TO BE TAXING Welcome to the 1st ever issue of the Green Business Journal. I thought I would take the opportunity to introduce, or in some cases perhaps reconnect, you to the wonderful world of Research and Development Tax Relief. Then I’d like to introduce you to a few businesses that we have been working with to support them with claims for relevant projects, to give you a feel for what you might be missing out on. Has it really been around that long? Research and Development Tax Relief has been available to small and medium-sized companies since 2000 and was the brainchild of Gordon Brown and Tony Blair. It has been supported and improved upon by every Government since. Large companies have been able to claim since 2001. The aim of the tax relief is to reward those SME companies that are doing interesting things with Science or Technology, with either a tax relief against profits or a repayable tax credit for surrenderable losses. For Large companies, or SMEs that have received funding for their project, the tax relief comes in the form of what is called an “Above the Line Credit” or Research and Development Expenditure Credit (RDEC). RDEC provides a taxable income that can either then be deducted from the tax charge or if there is insufficient liability can be reimbursed to the business subject to a number of qualifying criteria. The rate of tax relief for SMEs is 24.7% of the eligible expenditure and the rate of the repayable tax credit is 33.35% of the eligible expenditure. The rate for RDEC is 13% of the eligible expenditure,
which after being taxed equates to 10.53% of the eligible expenditure.
What is eligible expenditure? Well it falls into a number of categories for eligible projects: Staff Costs – payments to employees and workers for salaries, wages, bonuses, Employers NI and Pension Contributions and reimbursed out of pocket expenses, for both direct R&D and activities that support R&D. Subcontractor costs (SMEs only) – payments to subcontractors on a time and materials basis for work performed to assist with the project. This is important, I’ll explain in a later article! Externally Provided Workers – payments to agencies or other companies providing workers to operate at the behest of the R&D business. Materials Consumed – the cost of materials consumed in the R&D process, such that they either need to be scrapped or cannot be used again inside a working prototype that is not sold by the business.
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R ES E AR C H AN D D E V E LO PM E NT TA X R E L IEF Co o de n Ta x Cons u l t i ng
Utility Costs – Light, heat and water
Challenges
Payments to Universities and Prescribed Bodies – Any payment for support in an R&D Project to a place of learning or to a hospital that is free at the point of delivery.
The real challenge we always find when we talk to companies is identifying the scientific or technological challenges that they faced during their project. This is usually because we are getting involved after the fact. But it is these challenges and how you overcame them that will be the determining factor in whether you have an R&D project.
Software – the costs of software purchased (or developed, where the development is not itself R&D) to support the R&D Process. Payments to Clinical Trial Volunteers – perhaps not so relevant.
Is my project eligible This is the real crunch question. The Legislation states R&D for tax purposes takes place when a project seeks to achieve an advance in science or technology. The activities that directly contribute to achieving this advance in science or technology through the resolution of scientific or technological uncertainty are R&D. Certain qualifying indirect activities related to the project are also R&D.
COODEN TAX CONSULTING coodentaxconsulting.co.uk
An advance in science or technology means an advance in overall knowledge or capability in a field of science or technology (not a company’s own state of knowledge or capability alone). This includes the adaptation of knowledge or capability from another field of science or technology in order to make such an advance where this adaptation was not readily deducible. An advance in science or technology may have tangible consequences (such as a new or more efficient cleaning product, or a process which generates less waste) or more intangible outcomes (new knowledge or cost improvements, for example). A project which seeks to, for example: extend overall knowledge or capability in a field of science or technology; or create a process, material, device, product or service which incorporates or represents an increase in overall knowledge or capability in a field of science or technology; or make an appreciable improvement to an existing process, material, device, product or service through scientific or technological changes; or use science or technology to duplicate the effect of an existing process, material, device, product or service in a new or appreciably improved way (e.g. a product that has exactly the same performance characteristics as existing models, but is built in a fundamentally different manner), will therefore be R&D. Got it? The examples at the end certainly seem to explain it more than the narrative and it is these we will discuss with you.
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What can I do now to prepare for a claim? The best thing you can do for yourself right now is to document your thoughts, your ideas, your failures and to a certain extent your successes, both that have happened in the past or for when you move forward with your project. Focus more on your failures than your successes! We have a very basic form, if you’d like a copy of it contact me through the website: www.coodentaxconsulting.co.uk or contact me through LinkedIn https://www.linkedin.com/ in/simonbulteel74cooden/ there aren’t too many Simon Bulteels!
Our successes with Green Champions Tensei. We met Annabelle at the Business Show in 2015, Tensei have been developing technical papers from waste agricultural products, particularly straw. They have developed the treatment and manufacturing processes to produce these papers and now they have moved into developing pads for soft fruits that are currently being trialed by a leading supermarket. They are now looking at developing their own production plant to allow for the paper to be produced at scale. OSET Bikes. OSET were one of our first clients, we’ve been working with them since 2014 and helped them to claim several hundred thousand pounds in R&D Tax Relief. They develop electric trials bikes (if you are of an age like me, think Kick Start and Peter Purves), they are one of the leading names in the industry and have initially developed children’s bikes that actually have a competitive advantage over the petrol versions. Oset have recently been involved in a KTP with Brighton University. That’s just two of the companies we have worked with to date there are several more! If the article has piqued your interest you really should explore your potential to claim. We offer a no obligation discovery call, we call it “Find out in Fifteen Minutes”. You can book a call at www.calendly.com/simon-bulteel In future articles, we’ll explore some of the pitfalls and opportunities that exist within the R&D Eco-System, touch on other funding opportunities and give you as much information as you can dare to wish for as you continue on your research and development journey.
ADV ERTORI AL
Gre en Commute I n i t i at i ve
SWITCH TO CYCLING FOR THE WORKPLACE JOURNEY CHALLENGE The Workplace Journey Challenge kicks off in March with employers and employees from across Scotland being encourage to switch to more sustainable forms of transport. The sum total of these journeys will be used to calculate the winners but perhaps more importantly, show the positive impact the reduced car journeys has had on air quality, congestion and the economy. Green Commute Initiative’s cycle to work scheme can help incentivise employees to try cycling to work by offering them access to brand new bikes at a massive discount. There’s no £1,000 limit meaning any bike can be acquired through the scheme; road bikes, ebikes, cargo bikes and adapted cycles and trikes for those with mobility issues. As well as no spending cap, GCI’s scheme does not have any exit fees either. Whilst other providers charge 7%, making a massive dent in employee savings, GCI has an altogether fairer model, enabling employees to retain the bikes for just £1. This means employees make the maximum possible savings available to them; 32-47%, depending on their tax rate. GCI’s pay-as-you-go scheme, Instant GCI, is perfect for organisations who do not wish to register or commit to a supplier contract. Employees simply get a quote for the bike they want, enter the details on the GCI website and ask their employer to pay the proforma invoice. Once payment has been received, GCI will generate the agreements and, upon electronic signature, pay the bike shop and issue the collection voucher. It’s a same day or next day service. Check out our 5-star TrustPilot reviews. theteam@greencommuteinitiative.uk @greencommuteuk
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E nv i ronme nt a l S e r v ices A s s o c i at ion
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E nv ironment al S er v ices A ss o c i at ion
RECYCLING AND WASTE MANAGEMENT SECTOR TO INVEST £10BN IN ACHIEVING NET ZERO BY 2040 Recycling and waste management sector sets out detailed plan to cut 8% of UK total greenhouse gas emissions to net zero by 2040 Environmental Services Association members to invest £10bn and create 40,000 new jobs over the next decade to deliver this goal Goal requires more clarity on the regulatory and policy context for carbon capture technology and greater access to renewable energy sources. Success in reaching net zero equivalent to taking 7 million cars off British roads The UK recycling and waste management sector committed to meeting a challenging Net Zero emissions target a decade ahead of the Government’s own deadline, in a statement published on June 30.
Invest £10bn of new money in recycling infrastructure to drive up recycling rates and cut down waste; and increasing capture of methane emissions, the most potent form, by 85% from landfill by 2030
The recycling and waste management sector has reduced its GHG emissions by 46% since 1990. To go further and faster and deliver its 2040 target, the ESA said its members will:
Decarbonise non-recyclable waste treatment by diverting organic waste from landfill to recycling and energy production by 2030, and moving removing plastics from energy
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recovery facilities; and roll out carbon capture technology across our energy from waste facilities by 2040 where feasible Buy only zero emissions collection vehicles from 2030, phasing out petrol and diesel entirely by 2040. Move vehicle and all on-site fuel use to zero emissions sources by 2040, so that bin and recycling lorries and trucks across the country are powered by sustainable sources such as electric or biofuel rather than diesel Gavin Graveson, Chairman of the Environmental Services Association, said: “Our sector has made tremendous and rapid progress on decarbonisation, but the climate crisis continues to accelerate and our sector is determined to embrace the challenge by doing more to ensure we hit net zero. Our report also shows that done right, decarbonisation can deliver green jobs and investment right across the UK.” Jacob Hayler, Executive Director of the ESA, said: “Our members have committed to an ambitious target and we have developed a clear and detailed plan to get there. This is an urgent and important task for the UK which we are excited, willing and able to invest behind. Critical to our success is a continuing constrictive partnership with Government to ensure the policy framework around decarbonisation continues to drive the right decisions which will ensure we can accelerate the UK’s net zero ambition.”
A full GHG review for the sector will be conducted every two years and will be published in the ESA’s Annual Report, baselined against the first sectorwide emissions review conducted this year by Ricardo. In addition to delivery from the ESA and its members, success will also require government support on energy decarbonisation and carbon capture to ensure maximum benefit for the UK. The ESA will continue to work in close partnership with government on two critical policy areas. The first is the regulatory and policy context around carbon capture technology, which helps reduce emissions from non-recyclable waste and removes carbon dioxide from the atmosphere. The second is around decarbonisation of industrial vehicles such as collection wagons through the progressive electrification and deployment of renewable and alternative fuels.
The ESA’s commitment today is absolutely vital in helping us achieve our world-leading target of net zero greenhouse gas emissions by 2050, building a net zero economy and leaving the environment in a better state for future generations.
George Eustice, Secretary of State for Environment, Food and Rural Affairs, said: “The ESA’s commitment today is absolutely vital in helping us achieve our world-leading target of net zero greenhouse gas emissions by 2050, building a net zero economy and leaving the environment in a better state for future generations. “The recycling and waste management sectors are key to the success of our reforms, from creating deposit return schemes for drinks containers to encouraging more recyclable packaging. This commitment will help the nation transform the way we deal with waste and reduce our emissions.” The ESA’s Board will be responsible for monitoring performance against the targets set and will
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review and report on progress against this strategy annually, and the strategy itself every five years, to ensure that it remains aligned with policy and market shifts.
The Environmental Services Association is the member organisation for essential waste treatment and recycling service companies in the UK covering collection, sorting, landfill and energy from waste. The sector employs 123,000 people across 92 companies.
While it is an essential public service, waste management is a significant part of the UK’s overall GHG emissions; the UK produces 221m tonnes of rubbish a year and the waste management process generates 8% of the UK’s total emissions. The ESA’s activity is governed by the waste hierarchy, designed to promote reuse and repair, then recycling and energy recovery, to minimise the amount of waste which goes to landfill and promote a more circular economy. In 2018, this resulted in 50m tonnes of avoided CO2e emissions across the UK by preventing waste from reaching landfill, and in 2019, UK waste management facilities generated around 9% of the UK’s renewable energy.
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GOVERNMENT URGED TO RECOGNISE VALUE OF WASTE WOOD BIOMASS The Wood Recyclers’ Association has urged the Government to reflect the value waste wood biomass adds to the UK’s efforts to decarbonise in its Biomass Strategy 2022. In its response to a Business, Energy and Industrial Strategy consultation, the WRA stressed that there is a limit to the amount of times wood can be effectively recycled, and following that process it makes sense that the wood is then recovered as biomass fuel rather than being put into landfill. Richard Coulson, chair of the WRA, said: “The UK is now a success story in respect of waste wood. We can respect the demands of the waste hierarchy of reuse, recycle then recover, and also satisfy all end user demand because we have the capacity to divert all waste wood from landfill, saving the methane emissions which are circa 25 times more harmful than carbon dioxide.” The UK currently produces around 4.5m tonnes of waste wood a year, for which there is an equal end use demand. The UK waste wood market is structured for environmental compliance in that the higher quality waste wood is recycled into animal bedding or panel board (1.5m tonnes) and the balance of lower quality mixed waste wood (3m tonnes) is used as a fuel by biomass power plants which are compliant with the latest regulatory standards (Industrial Emissions Directive – Chapter IV). “The biomass facilities using waste wood in the UK operate under ROC or RHI subsidies,” said Richard. “These will end in an average of 15 years. and we are therefore asking the Government to be mindful
of this and consider future support mechanisms for the industry. Without that there is a risk that 3m tonnes of UK waste wood could end up with no market.” Chapter IV Biomass plants in the UK are highly regulated and use advanced abatement technologies to control emissions within tight parameters, making them compliant with the Industrial Emissions Directive. Furthermore, waste wood biomass produces no negative impacts in respect of land-use, food security or biodiversity. The WRA is also asking the government to ensure that its environmental and energy policies are aligned. This follows the publication of the Waste Management Plan For England by DEFRA in January this year, which suggested that recovery (power and/or heat generation) is less favourable than recycling. Richard added: “This is not the case for waste wood, because lower-quality mixed waste wood is not always suitable for recycling. Biomass therefore provides a valuable end market for that 3m tonnes of material, which may otherwise be destined for landfill.” The WRA also believes that as chemicals and transport fuels made from waste become increasingly important, waste wood may become a feedstock option for these sectors.
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GLOBAL CONSUMER BRANDS UNVEIL WORLD’S FIRST ENZYMATICALLY RECYCLED BOTTLES Food grade sample bottles produced by Consortium – including Carbios, L’Oréal, Nestlé Waters, PepsiCo and Suntory Beverage & Food Europe – using breakthrough enzymatic recycling process. The promise of endlessly recycled PET plastic is one step closer today, as the Consortium – Carbios, L’Oréal, Nestlé Waters, PepsiCo and Suntory Beverage & Food Europe – announces the successful production of the world’s first foodgrade PET plastic bottles produced entirely from enzymatically recycled plastic. Each Consortium company has successfully manufactured sample bottles – based on Carbios’ enzymatic PET recycling technology – for some of their leading products including: Biotherm®, Perrier®, Pepsi Max® and Orangina®.
It is very exciting to see that the quality of the prototype bottles made from colored recycled PET materials is virtually identical to clear virgin PET.
Today’s announcement is the culmination of nearly 10 years’ research and development by Carbios to create a new process and supercharge an enzyme naturally occurring in compost heaps that normally breaks down leaf membranes of dead plants. By adapting this enzyme, Carbios has fine-tuned the technology and optimized this enzyme to break down any kind of PET plastic (regardless of color or complexity) into its building blocks, which can then be turned back into like-new, virgin-quality plastic.
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Carbios’ patented enzymatic PET recycling process enables a wide variety of PET plastics to be recycled into virgin quality, food grade rPET. PET plastics that would otherwise go to waste or be incinerated, can now be brought back into a continuous circular system of recycling. And this can be achieved at high speed – breaking down 97% of plastic in just 16 hours – 10,000 times more efficient than any biological plastic recycling trial to date (peer-reviewed article in Nature). Together, these brands will work to scale this innovation to help meet the global demand for sustainable packaging solutions. In September 2021, Carbios will break ground on a demonstration plant, before launching a 40,000 tons capacity industrial facility, by 2025. Commenting on the announcement, Carbios’ CEO Jean Claude Lumaret commented: “In a world first, we have created food-grade clear bottles from enzymatically recycled colored and complex plastic with identical properties to virgin PET, and in partnership with the Consortium, we have proved
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the viability of the technology with the world’s leading brands. This is a truly transformational innovation that could finally fully close the loop on PET plastic supply globally, so that it never becomes waste.” Jacques Playe, L’Oréal’s Global Head of Packaging and Product Development added: “We have been working with Carbios since 2017 to develop this first bottle made from PET derived from enzymatic recycling technology, an alternative to mechanical recycling. We are pleased to announce today the feasibility of these bottles in a pilot phase and are delighted to be in a position to create the packaging of the future with our partners. This is a promising innovation for the years to come that demonstrates our commitment to bring to market
more environmentally friendly packaging and which is part of a circularity initiative begun more than 15 years ago”. Jean-Francois Briois, Head of Packaging Material Science and Environmental Sustainability Nestlé Waters global R&D added: “It is very exciting to see that the quality of the prototype bottles made from colored recycled PET materials is virtually identical to clear virgin PET. When we reach industrial scale, this enzymatic recycling technology will enable us to produce high-quality rPET bottles and help Nestlé Waters in our journey to boost the circular economy and reduce the use of virgin plastics.” Ron Khan, Global VP of Packaging, Beverages, PepsiCo added: “PepsiCo is committed to building a circular economy to achieve our vision that
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packaging never becomes waste. We are dedicated to reducing the virgin plastic we use and with the breakthrough Carbios enzymatic recycling technology, we can help keep valuable material in the circular economy, reduce waste and take another step toward a truly closed loop system.” Roberto Vanin, Chief R&D Officer, Suntory Beverage & Food Europe, added: “The global issue of plastic waste requires transformational thinking, creative partnerships and innovative brands coming together to seek out new solutions. Continued investment in new ways of tackling waste and creating true circularity such as this ground-breaking technology from Carbios will be key to Suntory Beverage & Food Europe achieving its 100% sustainable plastic ambition.” Enzymatic recycling overcomes the issue of degradation in conventional recycling and can be used on any type of PET plastic. Because Carbios’ recycling process works under mild conditions, it could also lower the carbon footprint of PET waste treatment by saving 30% of CO2 emissions compared to a conventional end of life mix of incineration and landfill, taking virgin PET production substitution into account. The successful completion of these initial food-grade bottles is a major milestone in the Consortium’s validation of Carbios’ technology. This partnership is part of a growing trend
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amongst brands to collaborate across industries to tackle these global challenges, working towards a world of circularity, where we limit the production of virgin plastic. Carbios will license its technology to PET manufacturers worldwide, accelerating the global adoption of enzymatic recycling for all kinds of PET based products.
CARBIOS – FACT SHEET 1 14% of plastic packaging is recycled for future use (EPA) 2 More than 359 million tons of plastics are produced globally, including 70 million tons of PET (Nature) 3 PET plastic accounts for around 20% of plastic produced globally 4 CARBIOS has discovered and optimized another natural enzyme to create a super-charged enzyme that is 10,000 times more efficient than any previous biological recycling discovery to date (Nature)
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INTERNATIONAL PARTNERSHIP DEMONSTRATES RECYCLING OF SINGLEUSE FACEMASKS POSSIBLE Procter & Gamble, Fraunhofer Institute UMSICHT and SABIC have announced their collaboration in an innovative circular economy pilot project which aimed to demonstrate the feasibility of closed-loop recycling of single-use facemasks. Due to COVID-19, use of billions of disposable facemasks is raising environmental concerns especially when they are thoughtlessly discarded in public spaces, including - parks, open-air venues and beaches. Apart from the challenge of dealing with such huge volumes of essential personal healthcare items in a sustainable way, simply throwing the used masks away for disposal on landfill sites or in incineration plants represents a loss of valuable feedstock for new material. “Recognizing the challenge, we set out to explore how used facemasks could potentially be returned into the value chain of new facemask production”, says Dr. Peter Dziezok, Director R&D Open Innovation at P&G. “But creating a true circular solution from both a sustainable and an economically feasible perspective takes partners. Therefore, we teamed up with Fraunhofer CCPE and Fraunhofer UMSICHT’s expert scientists and SABIC’s Technology & Innovation specialists to investigate potential solutions.” As part of the pilot, P&G collected used facemasks worn by employees or given to visitors at its manufacturing and research sites in Germany. Although those masks are always disposed of responsibly, there was no ideal route in place to recycle them efficiently. To help demonstrate a potential step change in this scenario, special collection bins were set up, and the collected used masks were sent to Fraunhofer for further processing in a dedicated research pyrolysis plant. “A single-use medical product such as a face mask has high hygiene requirements, both in terms of disposal and production. Mechanical recycling, would have not done the job”, explains Dr. Alexander Hofmann, Head of Department Recycling Management at Fraunhofer UMSICHT. “In our solution, therefore, the masks were first automatically shredded and then thermochemically converted to pyrolysis oil. Pyrolysis breaks the plastic down into molecular fragments under pressure and heat, which will also destroy any residual pollutants or pathogens, such as the Coronavirus. “In this way it is possible to produce feedstock for new plastics in virgin quality that can also meet the requirements for medical products”, adds Hofmann,
who is also Head of Research Department “Advanced Recycling” at Fraunhofer CCPE. The pyrolysis oil was then sent to SABIC to be used as feedstock for the production of new PP resin. The resins were produced using the widely recognized principle of mass balance to combine the alternative feedstock with fossil-based feedstock in the production process. Mass balance is considered a crucial bridge between today’s large scale linear economy and the more sustainable circular economy of the future, which today is operated on a smaller scale but is expected to grow quickly. “The high-quality circular PP polymer obtained in this pilot clearly demonstrates that closed-loop recycling is achievable through active collaboration of players from across the value chain”, emphasizes Mark Vester, Global Circular Economy Leader at SABIC. “The circular material is part of our TRUCIRCLE™ portfolio, aimed at preventing valuable used plastic from becoming waste and at mitigating the depletion of fossil resources.” Finally, to close the loop, the PP polymer was supplied to P&G, where it was processed into non-woven fibers material. “This pilot project has helped us to assess if the close loop approach could work for hygienic and medical grade plastics”, says Hansjörg Reick, P&G Senior Director Open Innovation. “Of course, further work is needed but the results so far have been very encouraging.” The entire closed loop pilot project from facemask collection to production was developed and implemented within only seven months. The transferability of advanced recycling to other feedstocks and chemical products is being further researched at Fraunhofer CCPE.
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SAGES TEACH THE ART OF ADAPTING TO CLIMATE CHANGE
While the conversation about climate change has been dominated by mitigation, what is equally crucial is the need to adapt to the unavoidable changes already on their way. “We have absolutely no choice but to learn to adapt to a future with a very different climate,” says environmental consultancy Climate Sense. “It is imperative organisations act now.” By HELEN COMPSON
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or 20 years now, the experts behind environmental consultancy Climate Sense have been driving the subject of adaptation to climate change up the political agenda.
The five years of EU funding he received gave him the opportunity to engage with some of the “biggest brains in the world” to propel adaptation into European consciousness.
It is no small measure of their success that this year, in Glasgow, Climate Sense director and technical lead Prof. John Dora is developing related sessions for COP26 in partnership with the University of Birmingham, the Strengthening Infrastructure Risk Management in the Atlantic (SIRMA) Project and the International Standards Organisation (ISO).
By the time he started up his own consultancy in 2008, Doogie himself was a leading expert on behaviour change and adaptive capacity.
The 26th UN Climate Change Conference of the Parties will also be the first COP to boast a Resilience Hub, dedicated specifically to the prerequisites of adapting to climate change. Eighteen years ago, it was an entirely different story, says Doogie Black, director and lead analyst at Climate Sense. Back then, organisations simply didn’t grasp the onus on them to act responsibly and act now! Tasked, in an EUfunded post, with raising awareness about the need to prepare for the impact of a future climate that will be more severe than the one we have, Doogie faced an uphill struggle in 2003.
But in the beginning, his primary function was one of education. “I was going out looking at the adaptive capacity of organisations, their people and their systems. I had developed the software and the metrics to do that, so I thought I had the best consultancy in the world, because everyone needs this,” he laughed.
It’s a different world today. Slowly people are coming to understand that we are talking about the adaptation efforts required for the human race to survive. People are prepared to have that conversation today.
Until very recently, any talk about climate change has tended to be about mitigation – the need to reduce carbon emissions and to preserve/bolster the carbon sequestration potential of our forests and peat bogs.
Few have considered the other side of the equation. Doogie said: “Even if we managed to stop all emissions right now, the repercussions of the damage we have already done will continue for at least another 30 years, and there’s no chance of us stopping that.” In his determination to open up the conversation and to get individuals and organisations alike to step up to the plate, he began studying human behaviour in the process of decision-making. What would make people accept and address the need for adaptation, he wanted to know. And what type of support would encourage them to embed adaptation to climate change in their decision-making?
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A key member of the team that developed the Capacity Diagnosis & Development framework, rated as being the most effective method in the field, he has since applied the framework to assessing more than 2000 public, private and civil society organisations all over the world.
“But then I realised nobody knew they needed it. At that time, there was still a lot of argument going on about whether climate change was natural or human-induced. “It’s a different world today. Slowly people are coming to understand that we are talking about the adaptation efforts required for the human race to survive. People are prepared to have that conversation today.”
Since 2017, Doogie has been a member of the British Standards Institute’s Adaptation to Change Committee, the national body responsible for ensuring the matter is fully incorporated into UK and, where possible, European and International standards. In 2019, he and John Dora launched Climate Sense. The two had met while drafting ISO14090, the first ever international standard on adaptation to climate change. Indeed, John, the global lead for adaptation for the International Standards Organisation, chaired the international working group concerned. A world-class authority on infrastructure and adaptation, his clients have included the World Bank, the United Nations, the Asian Development Bank, the European Bank for Reconstruction and
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John Dora at COP23
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Doogie chairing the EBRD Conference Bishkek
CLIMATE SENSE resiliencetoclimatechange.com climatesense.global
Development, and CEN/CENELEC, the European standards organisations. Doogie, meanwhile, the Principal UK Expert in the writing of ISO14090, has been appointed by the European Commission to write guidance on how to embed adaptation to climate change within new and existing European Infrastructure Standards (through CEN-CENELEC), and by the German Environment Agency to research and make recommendations on best practice in standardisation across Europe. The Climate Sense team as a whole continues to promote, educate and encourage in relation to the responsibility of organisations to do the right thing. “In the UK as far back as 2006, the Stern review of the economics of climate change showed that it was much more costeffective to act on adaptation sooner rather than later,” said Doogie. “A lot of decisions we make today have ramifications that will last well into the future. “Take the built environment. A bridge or dam or school or hospital might have a design life of 40
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years, but it will probably sit there for well over a 100 years and yet planning permission is still being given for building to take place on flood plains without any consideration for the flooding of the future. “Organisations and institutions are starting to recognise that they need to make better decisions today if they and the outcomes of what they do are to survive.” This month, Climate Sense added a new weapon to its arsenal in the form of an NVQ course entitled Adaptation to Climate Change. Developed and rolled out in partnership with L&DA, well-established providers of education, qualifications and assessment of competence in the water industry, the course is designed to teach people how to build resilience and sustainability in an organisation. Participants learn how to measure and develop the adaptive capacity of their organisation, their people and their systems and how to ensure adaptation to climate change is embedded in decision-making processes in the most constructive way.
FREE WEBINAR: Adaptation to Climate Change Monday, 16 August 11am – 12pm You are invited to a free webinar that is the first step on a learning journey that will bring you to the first ever approved professional qualification in understanding the management of climate change risk. It answers the question: How can businesses become resilient to our changing climate? During the webinar we will explore this critical question and provide pragmatic answers. Highlighting how this is addressed through our new courses and qualifications.
For more information visit: https://bookwhen.com/resiliencetoclimatechange/ e/ev-sdn4-20210816110000
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THE URGENCY DRIVING COP26 The UK will host the 26th UN Climate Change Conference of the Parties in Glasgow between 31 October and 12 November. The UK and Italy hold joint presidency of COP 26.
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t the summit in Glasgow, they will bring parties together to accelerate action towards the goals of the Paris Agreement and the UN Framework Convention on Climate Change. The reversal of biodiversity loss is also at the heart of their multilateral agenda.
reductions targets (NDCs) that align with reaching net zero by the middle of the century. To deliver on these stretching targets, countries will need to accelerate the phase-out of coal, encourage investment in renewables, curtail deforestation and speed up the switch to electric vehicles.
A statement on UKCOP26.org reads: “As part of this UK-Italy Presidency Partnership year, we agree on the need to build back better following the impact of COVID-19.
Adapt to protect communities and natural habitats. The climate is already changing and it will continue to change even as emissions are reduced, with devastating effects. At COP26 we need to work together to enable and encourage countries affected by climate change to protect and restore ecosystems, build defences, put warning systems in place and make infrastructure and agriculture more resilient to avoid loss of homes, livelihoods and lives.
“We will work with our international partners, and through our Presidencies, in support of a green and resilient recovery that promotes sustainable growth and jobs and delivers for those most vulnerable to the impacts of climate change. “We are calling on all countries to submit ambitious Nationally Determined Contributions and set out long term strategies to net zero emissions well in advance of COP26. “We will leverage our G7 and G20 Presidencies to drive forward the COP26 campaigns and help build momentum towards a successful COP26 outcome.” That includes working with international partners to advance action for the four COP26 goals: a step change in commitments to emissions reduction strengthening adaptation to climate change impacts getting finance flowing for climate action enhancing international collaboration, including for the COP26 campaigns on energy transition, clean road transport and nature
What needs to be achieved at COP 26? Secure global net zero by mid-century and keep 1.5 degrees within reach. Countries are being asked to come forward with ambitious 2030 emissions
Mobilise finance. To realise our first two goals, developed countries must deliver on their promise to raise at least $100bn in climate finance per year. International financial institutions must play their part and we need to work towards unleashing the trillions in private and public sector finance required to secure global net zero. Work together to deliver. We can only rise to the challenges of climate change by working together. At COP26 we must finalise the Paris Rulebook (the rules needed to implement the Paris Agreement). And, we have to turn our ambitions into action by accelerating collaboration between governments, businesses and civil society to deliver on our climate goals faster.
The world is currently not on track to limit global warming to 1.5 degrees The targets announced in Paris would result in warming well above 3 degrees by 2100 compared to pre-industrial levels. If we continue as we are, temperatures will carry on rising, bringing even more catastrophic flooding, bush fires, extreme weather and destruction of species.
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action, fast. Which is why developed countries must rapidly phase out coal power, and all countries should commit to not opening or financing any new coal-fired power stations across the world. At the same time, we must work together to provide developing countries with better support to deliver clean energy to their citizens. Forests play a vital role in removing carbon from the air. Protecting them is critical if we are going to meet our climate goals, and right now they are still being lost at the rate of a football pitch every few seconds. We are encouraging countries to work together to reform the global trade in agricultural commodities (like beef, soy and palm oil) so that sustainable production is rewarded, helping farmers to make a better living while forests are protected.
We have made progress in recent months to bend the temperature curve closer to 2 degrees; but the science shows that much more must be done to keep 1.5 degrees in reach. The world needs to halve emissions over the next decade and reach net zero carbon emissions by the middle of the century if we are to limit global temperature rises to 1.5 degrees. As part of the Paris Agreement, every country agreed to communicate or update their emissions reduction targets - their Nationally Determined Contribution (NDC) - every five years to reflect their highest possible ambition and a progression over time. These targets set out how far countries plan to reduce emissions across their entire economy and/or in specific sectors. 2020 marked the first of these five year cycles.
We are making progress
The world needs to halve emissions over the next decade and reach net zero carbon emissions by the middle of the century if we are to limit global temperature rises to 1.5 degrees.
This means that countries are expected to update their 2030 targets before the Glasgow summit. We are calling on all countries to update them so that they are in line with holding temperature rise to 1.5 degrees. It is especially important that developed countries and the largest emitters take the lead. While targets are important, they must translate into
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And finally, we need to clean up our air and reduce carbon emissions by switching to driving zero emission cars, vans and trucks. The UK will end the sale of new petrol and diesel cars by 2030. Countries with major car markets should follow our lead. If we send a strong signal to the industry, investment will shift more quickly to new, clean technologies, and all countries will be able to enjoy the benefits sooner.
Around 70% of the world’s economy is now committed to reaching net zero emissions, up from 30% when the UK took over as incoming COP Presidency. More than 80 countries have formally updated their NDCs, and all G7 countries have announced new NDC targets that put them on the path to net zero emissions by 2050.
Accounting for around half the global economy, all the countries that make up the G7 have updated their 2030 targets to put them on a pathway to net zero by 2050. Solar and wind are now cheaper than new coal and gas power plants in two thirds of countries of the world. Briefing documents on COP26 can be read in full on the website at https://ukcop26.org
THE RACE TO ZERO WILL BE WON ON TWO-WHEELS: JOIN THE ELECTRIC CARGO BIKE REVOLUTION In the year of COP26, the increasing urgency of the climate crisis is at the forefront of our minds. While the problem seems insurmountable, the Bike Coop remains optimistic that businesses have the power to implement positive changes and be part of the solution. Air quality in our cities remains a big problem, but infrastructure continues to improve and ease our transition to low-emission vehicle use. The Bike Coop believes that the answer to many transport problems in cities lies on two wheels. And the advancing technology of the electric cargo bike presents a viable, low-cost, long-term solution. If it’s about minimising environmental damage, preserving air quality and saving cash, the electric cargo bike ticks all the boxes.
What is it? A traditional cargo bike is a heavy, difficult vehicle. The bike itself could carry a hefty load, but even the strongest, most proficient cyclist could only manage short journeys before burning out. Not ideal if you were making deliveries all day or if you needed to get to a meeting after the school drop. Enter the electric cargo bike. And it is truly revolutionary. The electric assist means hills and loads are all but eliminated. Start pedalling and the motor kicks in, making long or hilly journeys significantly easier. The brakes are very reliable and pretty effortless, and the bikes are easy to manoeuvre round winding roads and city junctions.
The Cost Parking in urban areas of Scotland is at a premium, and is expensive. Whether it’s for staff parking or simply making deliveries, it costs a surprising amount just to have your vehicle
The Tern HSD or GSD can be stacked vertically
The Tern GSD electric cargo bike
remain stationary at the kerbside. The electric cargo bike can be placed on the pavement, removing the need for parking charges.
clients. Laptop, projector, product samples? Easy with an electric cargo bike! Brand it up and advertise your company wherever you ride.
And that’s only one aspect you can save on. The infographic below gives the cost comparison with a petrol-run van. The savings on fuel, insurance and initial outlay cost are clear, especially when you consider the benefits of an interest-free loan from Transport Scotland, repayable over four years. There are other, less obvious savings. Multiple studies have found that, on average, employees who exercise regularly take fewer sick days. Using an electric cargo bike provides staff an easy way to exercise without having to over-exert themselves.
Is an electric cargo bike an actual alternative to a business vehicle? It depends. If you’re delivering sofas, you can’t easily switch to an electric cargo bike – although Sustrans moved their entire London office using only pedal power so nothing is impossible! However, if you regularly carry loads of around 200kg (31 stone, 6 lbs) or less, switching to an electric cargo bike need not be difficult. The electric assist provides substantial help so it’s a world away from the old sweat-and-tears of getting to your destination. And, as no licence is required, any member of staff can ride it – an excellent way of adapting to unplanned staff absence, last-minute meetings or deliveries. If you’re not in the delivery business, electric cargo bikes can replace pool cars or the need for employees to use their own vehicle when visiting
Types of electric cargo Bikes There are two main types of electric cargo bikes: bikes with load-carrying at the front and bikes which load up on the back. The Riese & Muller range carries its load on the front (but you can add panniers on the back for even more space). This front-load space can be used in multiple ways including a fixed box or a platform to which you can attach your own carriers. The Tern GSD or HSD models carry most of its cargo at the back of the bike (although there is load capacity on the front too). They’re the same length as a regular bike and can be stored on their ends and fit in a car. This makes TERN very practical and versatile bikes. The Edinburgh Bicycle Cooperative is your local, independent electric cargo bike retailer. Drop in and speak to us about how we can help solve your business needs. Find us in Bruntsfield, Canonmills (Edinburgh) and Aberdeen in Scotland, or Leeds and Newcastle in England. www.edinburghbicycle.com 0345 257 0808
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TOP THREE TIPS FOR DECARBONISING YOUR BUSINESS Anthony Mayall, chief commercial officer at BiU, explains the most impactful ways that businesses can reduce their carbon footprint. Net zero is fast becoming the business norm. Over than a third of the UK’s FTSE 100 companies have set net zero emissions targets for 2050 or earlier, and more will certainly follow as regulatory, consumer and investor pressure drives the shift. The impact is being felt down the supply chain too, as organisations make climate change central to their procurement policies. One telling example is the arrival of new procurement rules last month for central government: any companies bidding for major contracts will soon need to have a net zero target and a credible carbon reduction plan. It’s clear that organisations ignoring their climate impact will find themselves on the back foot. So, what are the most meaningful steps that businesses can take to address their carbon footprint? Here are our top three tips:
1. Measure your energy consumption at a granular level and take action (daily). BiU www.biu.com
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Your electricity and gas use will account for a significant chunk (if not the majority) of your greenhouse gas emissions. The first step to reducing this is to understand how much you use, where, and when. Half-hourly metering information is a good start – but it can be a challenge to get a clear picture from such a large amount of data. It’s here that energy and carbon optimisation tools can help – such as BiU’s Energy Alarms service. Our analysts use your half hourly meter data to investigate periods of irregular or excess energy usage on your sites, and in turn take actions to reduce energy waste. As well as highlighting instant ways to improve efficiency, it forms an excellent basis for a long-term carbon reduction plan.
“100% renewable” tariffs while really getting most of their energy from fossil fuel sources. You need to ask potential suppliers directly how much of their energy mix comes directly from renewable sources. The more detailed the information you get, the better. BiU’s energy procurement team can do the hard lifting here, and help you source a genuinely green tariff. We can also offer advice on other routes too, which offer greater additionality, such as onsite renewable generation, or corporate power purchase agreements (CPPAs). These options take more careful consideration but are worth investigating longer term.
3. Offset. The word “offsetting” says “greenwash” to many people, but, if done in the right way, it can play an important role in a company’s decarbonisation journey. The fact is, although businesses may have a credible carbon reduction plan in place, they won’t get to zero emissions overnight. Offsetting should be used in parallel (not instead of) genuine decarbonisation measures, to compensate for the emissions that have not yet been eliminated. For offsets to be considered, they need to ensure environmental integrity, they need to be real, measurable, genuinely additional (reductions that wouldn’t have occurred without the offset project) and achieve emissions reductions. The quality of offsets is often queried but over the past 10 years there have been significant advancements and there are now excellent, widely recognised standards in place, including the Verified Carbon Standard and Gold Standard.
2. Move your electricity and gas to truly renewable sources.
It pays to get advice
As well as reducing your energy use, you should be switching to clean energy sources. This may seem like a simple matter of choosing the best-value green tariff, but it’s not quite that straightforward. The UK’s system of secondary trading in green energy certificates (known as REGOs) means that it is both legal and common practice for suppliers to advertise
At BiU, we work with many companies, big and small, to help them identify the most practical routes to carbon reduction. We can help you come up with a strategy to fit your organisation’s needs and resources. Today’s businesses face difficult decisions to stay competitive, but our expertise can help you thrive in an increasingly low carbon economy.
Net zero with a net saving Decarbonise your energy Optimise energy costs Ensure compliance Recover lost revenue
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01253 789 816
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Optimising energy for industrial and commerical private sector businesess, and public sector organisations, across the UK, since 1997
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FUTURE IS BRIGHT FOR SCOTTISH RENEWABLE SECTOR It’s an exciting time for the renewables industry in Scotland. The sector has remained relatively unscathed by the economic hardship brought on by COVID-19 and there is now a global focus on ensuring a post-pandemic green recovery. At the heart of its recovery plans, the Scottish Government has pledged nearly £1.6 billion to support up to 5,000 jobs and tackle fuel poverty in a bid to end Scotland’s contribution to climate change. The investment will also transform heat and energy efficiency of buildings and rapidly accelerate the decarbonisation of an area which makes up a quarter of Scotland’s greenhouse gas emissions. Figures revealed earlier this year show that 97.4 per cent of Scotland’s electricity demand was met by renewable sources in 2020 – 70 per cent of which came from onshore wind power. Investor appetite in the Scottish onshore wind market remains strong despite both the pandemic and continued political uncertainty from Brexit and renewed support for Scottish independence. Andy McFarlane, Head of Renewables at Scottish law firm, Wright, Johnston & Mackenzie says: “The future of the renewable energy sector is looking bright here in Scotland. “There are plenty of opportunities in this country at the moment – particularly in onshore wind power. Scottish onshore wind projects are attractive to developers who know there is a ready market for investors. “Glasgow is set to host the COP26 climate change conference later this year, which will serve to bolster Scotland’s green potential and ambition.” Wright, Johnston & Mackenzie LLP’s expert renewables team has a diverse range of specialisms
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across property, agricultural and crofting law, planning, construction, tax, and dispute resolution. Whether it is onshore wind, battery storage, hydro, biomass or solar - the renewable energy law team will be able to advise you. Visit www.wjm.co.uk/services-and-sectors/ sectors/energy or call 0141 248 3434 to find out more.
WHY EDUCATION IS KEY FOR SUSTAINABLE BUSINESSES In fulfilling net zero obligations, UK businesses face pressure to adopt sustainable practices. With new legislation on the horizon, soon sustainability will be a legal business requirement.
Steven Kiakowski Director of The Verdancy Group
But talk about organisational change is cheap. If I’ve learnt anything with my work supporting businesses to enact environmental change with The Verdancy Group, it’s that success comes from a sincere desire for meaningful change from the top with an emphasis on education.
Why be sustainable? You’ve heard it a thousand times before, but it bears repeating: going green is good for business. Adopting better practices not only allows companies to play their part in protecting the planet, but also leads to new opportunities. Increasingly, investments and contracts are going to businesses that can demonstrate their green values in action, not just in words. Consumers prefer sustainable businesses and unsustainable may soon mean unprofitable. Green businesses can cut costs through reduced waste and energy bills, while attracting forwardthinking staff. But achieving a sustainable vision takes a shared desire. And that takes education.
What we do As the world’s transition gathers pace towards a net zero norm, we foresee nations, governments and businesses making sustainability, the environment and the circular economy core and critical aspects of everything they do. In order to lead and support this, we create bespoke learning
materials, designed to maximise engagement either fully online, blended or delivered face to face. Our learning platform provides personalised content and curated experiences to not only fully engage the learner but also bring to life the purpose and importance of the subject area.
Change from the top
Our value add
Before introducing new programmes, leaders must assess their current practices. Are they committed to sustainability or are they throwing money at carbon offset programmes simply to gain environmental management accreditations?
We believe that our value is achieved when we work with organisations to scope, consult and create the learning and engagement content required to affect change. We understand that terms such as “net zero”, “carbon neutral” and “zero waste to landfill” impact a wide and diverse workforce in many ways. A culture change requires every member of a team to understand the fundamental principles not only the ‘’why’’ but importantly the ‘’how’’ in the steps and actions both personally and at a business level that we need to make to achieve net zero.
While education is crucial, leadership must show sincere and ongoing commitment to sustainability. Often, that means going beyond current standards.
Only through true leadership commitment does sustainability education effectively take hold.
Final thoughts In our fight against climate change, education is vital. Let’s teach everyone to care for the planet, regardless of their industry.
Next steps Sustainability skills for everyone Transforming attitudes toward sustainability is a tough ask, particularly for long-established organisations with deeply instilled processes and practices. Sustainable education is not just for new recruits; existing staff also need training and support to understand the importance of sustainability. Businesses should consider where teams are lacking in their environmental understanding.
Working with organisations large and small we have delivered cost-effective training to employees improving the organisations’ ability to reduce their carbon footprint as part of their economic and societal transition towards net zero. If you would like to find out more, please talk to us about how to start your journey today. hello@theverdancygroup.com www.theverdancygroup.com 0800 707 6710
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ECO-MINDED ENERGY FIRMS ARE A HOTBED OF INNOVATION BUT VALUABLE TAX CREDITS ARE GOING UNCLAIMED By Nigel Holmes, head of R&D Technical Operations, and Karen Taylor, group head of Grants, at specialist tax consultancy Catax We are in the midst of a green revolution, but our progress toward Net Zero would be impossible were it not for the innovators - the companies striving to improve technologies and develop ones we cannot even conceive yet. All over the country, businesses large and small are drawing up blueprints for the next advances that will make our homes greener and reduce emissions and pollution.
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However, innovation in any form usually requires significant upfront investment. This can make it less attractive to businesses focused in the short term on maintaining healthy cash flow and protecting profit margins. Even for companies committed to innovating regardless of the cost, the big leaps forward in technology, systems and processes would be out of reach for many without financial assistance.
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Yet the innovations companies are already undertaking - and those they will in the future - are crucial in the fight against global warming and worsening environmental problems. Thankfully, help is at hand through R&D tax relief initiatives and grants. Unfortunately, we know from our own experience that too many companies remain unaware of these schemes. Take-up for Patent Box in particular remains low, and awareness is especially poor among SMEs. But if we are going to tackle the biggest environmental issues facing our planet, it is important that knowledge of these schemes becomes more widespread and that companies utilise them to propel us into a greener, cleaner world.
What are R&D tax credits? The UK likes to think of itself as a global centre for research and development, and it has the tax breaks to match — a fact that is becoming increasingly important in light of the Government’s ambitious plans to reach Net Zero by 2050. That the R&D tax credit scheme has been successful in stimulating innovation is clear when you consider that it has been running for two decades. More than 300,000 claims have been
made in that time, with total tax relief hitting £33.3 billion. Yet too many companies do not realise they are “doing R&D”. This can be due to the fact they see it as their day job, or they think R&D is for pharmaceutical companies curing diseases in laboratories. But the scheme is open to any company investing time and money in new products or processes that meet HMRC’s definition of R&D. Any firm whose work seeks a “scientific or technological advance” and has faced a “scientific or technological uncertainty” can claim. This can take the form of a new process, product or service, or be an improvement to an existing one. Firms can claim either a reduction in their limited company’s corporation tax bill or a cash lump sum (depending on whether the company is profitable or loss-making) - the average claim is £73,000. Qualifying expenditure include staff costs - also covering subcontractors and externally provided workers, materials consumed, software and more. The work does not even need to have been recent. Claims can be backdated up to two years from the end of the accounting period in which the work took place. Overall, R&D tax credits for SMEs are worth between 24.7% and 33.4% of qualifying expenditure, so it’s a significant benefit.
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Companies with green technologies have already benefited Successful R&D claims for green technologies are being made in a broad range of sectors. One client, for example, has received a tax benefit to the tune of £114,000 so far for their ongoing commitment to improve farming and agricultural processes. They have made their equipment more eco-friendly by designing increasingly efficient systems for the drying of products, and cleaning and chopping. Another company - which has received £54,000 in benefit so far - has become one of the leading manufacturers of low volume and high technology battery products. It designed a smaller battery pack to fit a popular compact car, supporting the global move from fuel to electric. The project had a number of complications, including retrofitting a new battery into a classic car with little space, while also ensuring it was highly efficient and low weight. Meanwhile, another client has developed ecofriendly paint to prevent marine life attaching onto a vessel’s hull and causing drag. Not only is the paint better for the environment than previous solutions involving pesticides and volatile organic chemicals, it only requires two coats rather than four. The company has received a tax benefit of £39,500.
However, watch out for patents being registered in an individual’s name, rather than the name of the company that carried out the development of the product. Such an ownership arrangement means Patent Box is not available. While the sale or licensing of the patent will resolve this, it does lead to additional legal costs and other tax implications.
Using grants to unlock innovation The strides companies are making in green technologies are crucial not just for protecting the environment, but also to help the UK bounce back from the economic consequences of the pandemic. Grant funding will therefore almost certainly play an increasingly important role in freeing up funds to enable businesses to innovate.
Too many companies do not realise they are “doing R&D”. This can be due to the fact they see it as their day job, or they think R&D is for pharmaceutical companies curing diseases in laboratories.
The money these companies, and thousands like them, have claimed is often pumped back into even more R&D work, building on the progress they have already made and playing an important role in helping their relevant industry become more sustainable and eco-friendly.
R&D is not the only tax relief R&D is just the tip of the iceberg in tax reliefs on offer. The development of green technologies often involves creating intellectual property, which may need to be protected via a patent. This is where another tax relief scheme can come in useful. Patent Box reduces the Corporation Tax paid on patent-related profits to an effective 10% tax rate compared to the normal 19%. However, as the newest of three tax relief schemes, a huge proportion of companies remain unaware of it.
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Yet Patent Box can even be worthwhile for lossmaking companies to consider. If a company is loss-making overall, but has made profit from its patented products, it is still worthwhile claiming, as it increases the tax loss available elsewhere.
One recently launched grant scheme from the Department for Business, Energy & Industrial Strategy is making £19.5 million available to projects developing novel Carbon Capture, Usage and Storage technologies and processes that reduce the cost of deployment. It is open for applications until August 29.
Meanwhile, the Low Carbon Hydrogen Supply 2 Competition aims to provide funding for projects that can help develop a wide range of innovative low-carbon hydrogen supply solutions. It is open for applications until August 2, while an energy storage innovation competition is due to launch later this year. Other funding sources outside of the Government include Innovate UK. It is part of UK Research and Innovation, a non-departmental public body funded by a grant-in-aid from the UK government. Since 2007, Innovate has invested around £2.5 billion to help businesses across the country, with match-funding from industry taking the total value of projects above £4.3 billion. These are just a few of many grants available, and there will doubtless be many more schemes opening in the coming year. It can be a minefield sourcing the best grant funding streams and then
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applying, but experts can help you navigate this field and unlock the all-important cash to set a project on its way.
Some tax relief is available to companies receiving grants It is worth remembering that a project cannot receive state aid twice. This means that if a state aid grant has been received, then the company cannot claim SME R&D tax relief. However, this does not mean tax relief is not available. Legislation allows the company to claim Research & Development Expenditure Credit (RDEC). It is not as generous but does allow a project funded by a state aid grant to have some additional R&D tax relief too.
to be a systematic project seeking to achieve an advance in science or technology. Therefore, from the outset of your project, it is worth noting down what advances you are hoping to make and putting it in the context of the current state of knowledge and technology. This demonstrates your intent of making an advancement - and not that you just stumbled upon something new. There is no record-keeping requirement specifically for the purposes of claiming R&D relief, but documents you could consider keeping track of include copies of meeting notes and correspondence relating to the research, contracts, invoices, bank records and PAYE records.
Going unclaimed Don’t overlook Capital Allowances It’s easy to forget about physical assets, as you don’t necessarily consider the place you work every day as being something eligible for tax relief. However, Capital Allowances (CAs) are a form of tax relief that relate to physical assets and can be worth considering. CAs allow firms to offset the Corporation Tax they pay on profits against the expenses associated with a commercial property such as air conditioning, wiring, heating, lighting and security systems. They are a tax relief on profits, so there can be no immediate benefit if a company is lossmaking. However, if a loss-making company is also making an R&D tax relief claim, a CA claim can increase the amount that HMRC will pay on the R&D claim.
Remember your record keeping For anyone considering embarking on a project which could be eligible for R&D tax credits, it is worthwhile keeping a paper record as you go. HMRC explains that there is a difference between making an unexpected discovery and the carrying out of R&D. For it to count as R&D, there needs
Our research suggests that although around 800,000 UK businesses are likely to be eligible for R&D tax relief, just eight per cent are claiming it. As we march toward Net Zero, for the sake of the environment and the economy, the country needs companies which are innovating in the green space now more than ever, and these schemes are set up to help.
CATAX catax.com
But we also know the world of R&D can be a minefield at times, especially for those who have never accessed it before. The tax laws around R&D tax relief are complicated, and the criteria for eligibility can be ambiguous. In order to get the largest tax relief return, companies need to have an expert on your side. There’s no risk attached to an initial assessment with our experts, which will only take around thirty minutes. We’ll carry out a thorough assessment and if we can’t see an opportunity for an R&D tax relief claim, you walk away without spending a penny. But if there is an opportunity to claim, companies can unlock tens of thousands of pounds - even hundreds of thousands in some cases. It’s worth enquiring to see what you might be able to get back.
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SUSTAINABLE ENERGY ROUTE MAP DEVELOPED FOR ZERO-CARBON HEATING AND COOLING Sustainable cooling experts are creating a roadmap to help reach the UK’s 2050 net zero carbon emissions target, whilst maintaining food security for consumers and economic opportunity for the country’s food industry, as the University of Birmingham secures £2.9 million of UK Government funding announced today for energyrelated projects.
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acked by £1.4 million of UKRI funding, the four-year Zero Emission Cold-Chain (ZECC) project will create the first detailed road map to allow the UK food cold chain industry to identify opportunities to reduce emissions. Led by the University of Birmingham, the project includes experts from Heriot-Watt University, London South Bank University and Cranfield University - highlighting ways in which the industry can become more competitive whilst heading towards zero-carbon. In parallel at the University of Birmingham and supported by £1.5 million of UKRI funding, the Heat Accumulation from Renewables with Valid Energy Storage and Transformation (HARVEST) project will develop new heat storage and conversion technology to help ensure that renewable electricity is stored in times of less electricity demand and ready for use to meet high heating demand in winter and high cooling demand in summer. ZECC project leader Toby Peters, Professor of Cold Economy at the University of Birmingham, commented: “Much of UK’s food is dependent on the cold food chain, which is also a significant contributor to the country’s energy demand. Our project is about thinking thermally and analysing engineering, energy resources, food quality and safety, finance and business aspects to crack the conundrum of sustainable decarbonisation of cooling and the cold-chain. We’re bringing together world-leading researchers, industry, technology innovators and customers such as farmers and retailers to look at the whole system and map the opportunities and challenges to ensuring that the chain can support UK-wide Net Zero goals and decarbonise while also meeting demand and being resilient.” Professor Peters, who is also a visiting professor at Heriot-Watt University added that the food cold chain is complex and lacks integration between sectors. Technological challenges exist, but many decarbonisation issues are techno-economic or behavioural. The project provides fresh analysis in a field yet to be researched from a system approach, also targeting food loss in line with the Sustainable Development Goals of United Nations (12.3). Researchers will identify how sustainability of the cold-chain system can be increased by exploring integrated measures covering societal, technical, operational and economic perspectives across: Reduce: Reducing the need for cooling, ensuring optimal conditions for food Shift: Transitioning to more sustainable technologies and working fluids and taking different approaches to cooling
Improve: Enhance equipment and operation efficiency Aggregate: synergies within the cold-chain to better integrate different cooling demands into single system The project aims to deliver energy savings, significantly reduced postharvest food losses and better quality of product to UK industry and policy makers, as well as reduced emissions related to crop loss, by: Updating information on energy usage and CO2 emissions; Assessing how to maintain the quality and safety of fresh produce in the supply chain; Designing strategies to reduce food loss; Evaluating future cooling energy consumption demands and their impact on UK energy; Using a systems approach to explore how to manage cooling demand; and Determining areas of intervention considering available energy and thermal resources, emission targets and other commitments as well as costs. The HARVEST project sees researchers at Birmingham working in partnership with their counterparts at University of Edinburgh and UCL to develop a microwave-assisted process to flexibly absorb electricity and then regenerate it through reaction between thermochemical materials and ammonia solution. HARVEST project lead Dr Yongliang Li, from the University of Birmingham, said: “Great Britain curtailed wind power on 75% of days in 2020, with over 3.6TWh of wind power being turned off in total. The HARVEST project will develop new decentralised heat storage and conversion technology to meet high heating demand in winter and high cooling demand in summer.”
TOBY PETERS birmingham.ac.uk
The UK Minister for Climate Change, Lord Callanan, said: “The way we use energy in our buildings makes up almost a third of all UK carbon emissions. Reducing that to virtually zero is going to be key to eradicating our contribution to climate change by 2050. “That’s why it’s important that innovative projects like HARVEST and ZECC in Birmingham receive backing to develop new and effective ways to heat and cool our homes and workspaces, helping drive down the costs of low-carbon technologies so everyone can feel the benefits of cheaper and greener energy.”
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WASTE VEGETABLE OIL REDUCES EMISSIONS ON EAST ANGLIA ONE WINDFARM
ScottishPower Renewables has launched an innovative pilot project to further reduce its carbon emissions by using waste vegetable oil to help power crew transfer vessels working on its flagship East Anglia ONE offshore windfarm.
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upporting the company’s commitment to Net Zero, the renewable vessel fuel, HVO30 – made from 30% hydrogenated vegetable oil and a marine gas oil fuel blend – will be used to power two crew transfer vessels provided by Great Yarmouth-based NR Marine Services. Compared to standard marine gas oil, HVO30 is predicted to result in around a 30% reduction in equivalent CO² emissions from the two vessels. The renewable fuel is created from 100% waste vegetable oils and holds a proof of sustainability certificate from the International Sustainability & Carbon Certification (ISCC) system. ScottishPower Renewables’ East Anglia ONE project director, Charlie Jordan, commented: “As part of the drive to get to Net Zero, we’ve been working with suppliers across our East Anglia ONE windfarm to reduce CO² emissions throughout the project. Developing low emission vessels for use in operational windfarms is a real challenge for the industry and we’re proud to be leading the way and taking on this challenge to help us operate in a cleaner and greener way. “As we continue to work towards Net Zero – and with the UK hosting the COP26 UN climate change summit later this year – it’s vital we all do our bit to ensure our operations are as sustainable as possible. Our ambition is to continually work with our supply chain to find ways of reducing our environmental impact across our projects. We’re really pleased to be working with NR Marine Services to deliver this pilot project, which is an exciting milestone on that journey.” Owen Nutt, director of NR Marine Services, which is operating crew transfer vessels on East Anglia ONE as part of a contract with Turner Iceni, added: “We are really pleased to be paving the way with reducing vessel emissions on two of our vessels, NR Cougar and NR Jaguar. “East Anglia ONE is an important project for us and it’s great to see ScottishPower Renewables committing to purchase the HVO30 fuel in a bid to further reduce carbon emissions. We are looking forward to analysing the performance of the new fuel and hopefully rolling it out to the entire fleet in the future.” Located 43km off the coast of Suffolk and completed during lockdown in 2020, East Anglia ONE is one of the largest offshore windfarms in the world. It comprises 102 Siemens Gamesa 7MW offshore wind turbines and the capacity to produce 714MW of clean energy – enough to power the equivalent of more than 630,000 homes - every year. The £2.5bn project includes: £25m invested in a state-of-the-art operations and maintenance base at Lowestoft Port, delivering 100 long-term skilled jobs
£5m co-invested in Great Yarmouth Port to prepare the facility for construction and assembly of the turbine components £70 million committed to local suppliers delivering works across the East of England the creation of 3,500 jobs at the peak of construction Outcomes from ScottishPower Renewables’ programme of work in East Anglia include the sponsorship of 10 engineering masters at the University of East Anglia, the recruitment of several local young people for a new offshore wind apprenticeship, the sponsorship of 26 places to date at the Offshore Wind Skills Centre, with a focus on retraining experienced engineers from the wider offshore or engineering sectors, and ongoing active support for International Women in Engineering Day events across the region.
SCOTTISHPOWER RENEWABLES scottishpowerrenewables.com
East Anglia ONE is a joint venture between ScottishPower Renewables and Macquarie’s Green Investment Group. It is one of four offshore windfarms ScottishPower Renewables plans to develop in the region.
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END TO COAL POWER BROUGHT FORWARD From 1 October 2024 Britain will no longer use coal to generate electricity, a year earlier than planned, Energy and Climate Change Minister Anne-Marie Trevelyan has announced.
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he move is part of ambitious government commitments to transition away from fossil fuels and decarbonise the power sector in order to eliminate contributions to climate change by 2050. The announcement on June 30 confirms the intention set out by the Prime Minister last year to bring forward the deadline to end unabated coalfired electricity generation. The UK Government is similarly calling on all nations to accelerate the phase out of coal power. Coal is one of the most carbon intensive fossil fuels and responsible for harmful air pollution. By eliminating its use in electricity generation, the UK can make sure it plays a critical role in limiting global temperature rise to 1.5 degrees – a key aim of its COP26 presidency. The UK has made huge progress in reducing the use of coal across the power sector, with coal accounting for only 1.8% of the UK’s electricity mix in 2020, compared with 40% a decade ago.
UK government brings forward the date to remove unabated coal from the UK’s energy mix to 2024 key step in UK government’s plans to decarbonise the power sector and eliminate the UK’s contribution to climate change by 2050 move means that within just 10 years Britain will have reduced its reliance on coal for electricity from around a third to zero
The announcement was made ahead of Trevelyan speaking at the Powering Past Coal Alliance (PPCA) Europe Roundtable on the importance of countries phasing out coal as part of London Climate Action Week. The UK government had already ended its support for the fossil fuel energy sector overseas earlier this year.
The rise in the use of renewables thanks to competition, free enterprise and government incentives to kick start new technologies had in turn helped to drive down the cost of green energy, with coal power now more expensive in most countries. She said: “As one of the first countries to commit to ending coal power combined with its significant success in driving up renewables, the UK is leading the world in moving away from fossil fuels and significantly decarbonising its energy system.” Through its COP26 presidency, the UK government is urging nations to follow its example and abandon coal power for good.
Today we’re sending a clear signal around the world that the UK is leading the way in consigning coal power to the history books and that we’re serious about decarbonising our power system so we can meet our ambitious, worldleading climate targets.
The minister said: “Coal powered the industrial revolution 200 years ago, but now is the time for radical action to completely eliminate this dirty fuel from our energy system. “Today we’re sending a clear signal around the world that the UK is leading the way in consigning coal power to the history books and that we’re serious about decarbonising our power system so we can meet our ambitious, world-leading climate targets. “The UK’s net zero future will be powered by renewables, and it is this technology that will drive the green industrial revolution and create new jobs across the country.” The UK had run for 5,000 hours without coal-fired electricity in 2020, and earlier this year broke a
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new wind power record, with just over a third of the country’s energy coming from wind.
In May, under the UK’s leadership, G7 Climate and Environment Ministers agreed to end all new finance for coal power by the end of 2021 and to accelerate the transition away from unabated coal capacity and to an overwhelmingly decarbonised power system in the 2030s. COP26 PresidentDesignate Alok Sharma said: “The next decade will be make or break for our planet and the most powerful way we can make a difference is to end our reliance on coal.
“Ahead of COP26, I hope the UK’s decisive step towards a cleaner, greener future sends a clear signal to friends around the world that clean power is the way forward. The impact of this step will be far greater if we can bring the world with us, and so our desire to support a clean and just energy transition is central to my discussions on the road to COP26.” A top priority of the UK COP26 presidency is to accelerate the global transition from coal to clean energy. The UK government is asking governments to set coal phase out dates and end overseas coal investments, and has set up the Energy Transition Council to bring together partners to ensure that clean power is the most attractive option for developing countries and to support just transitions.
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CONRAD ENERGY COMPLETES STRATEGIC ASSET ACQUISITION Conrad Energy has further consolidated its move into the battery storage arena with the acquisition of a 44MW operational battery asset near Bedford. The largest flexible power producer in the UK continues to put supporting the transition to a low carbon economy at the heart of their strategic plans and the acquisition will enhance its growing organic battery pipeline of over 250MW. “Battery storage has a growing role to play in supporting the grid network and creating futurefit power infrastructure for the UK,” said Steven Hardman, Managing Director. “This exciting acquisition reflects our vision for Conrad Energy as a full-service power solutions provider, leveraging the expertise of our growing team to support both the grid as well as commercial and industrial customers. Storage projects complement our flexible generation fleet as both provide essential support for increasing levels of renewable power.” The battery asset will provide immediate revenue for Conrad Energy and the company anticipates making further targeted acquisitions and placing equipment orders in the coming weeks. Specialist business advisory firm FRP, was appointed as the Administrators of the site on 28 September 2020 and secured the sale of the site and assets to Conrad. The site in Bedford has recently introduced
Dynamic Containment (DC), a system designed to deploy energy quickly following any significant changes in frequency deviation. DC was introduced to the UK in October 2020 and only 12 companies have been appointed by the National Grid to provide this type of energy service due to its complex technical and reporting requirements. Jason Baker, partner at FRP and Joint Administrator, said: “We’ve been working closely with a specialist team to review the development site since we were appointed, and are pleased to have been able to secure a purchaser for the asset so quickly. It’s also a huge coup to see that the battery site has been given the green light to adopt Dynamic Containment to support the National Grid and we wish the new owners well as they take the site forward.” The acquisition fits with Conrad Energy’s strategy to support the energy transition through owning and operating flexible power generation and storage assets as well as providing route to market services for similar plants and renewable power projects. The business also supplies commercial and industrial customers with flexible energy solutions from onsite generation as well as competitive and tailored supply contracts.
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E N VI RON ME N T yor k s h i re wate r
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EN V IRO N MENT york shire wate r
INNOVATION DRIVING SUSTAINABLE SOLUTIONS TO TREAT YORKSHIRE’S WASTEWATER Yorkshire Water and its partners Stantec and BarhaleDoosan JV are currently constructing an integrated wetland at Clifton wastewater treatment works to help reduce reliance on energy intensive treatment processes.
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E N VI RON ME N T yor k s h i re wate r
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ere Yorkshire Water project lead Michael Housby explains the thinking behind the innovative project.
Phosphorus removal from treated wastewater is a particular focus for Yorkshire Water and all water companies alike and we have looked at a variety of innovative ways of meeting our goals in this area. We are always looking for innovative/alternative solutions. One element of our programme identified a number of our existing sites where the creation of wetlands integrated into the treatment process could have significant benefits in terms of energy saving, carbon reduction and long-term positive impacts for the environment and local biodiversity while achieve the regulated Phosphorus performance Integrated wetlands are considered to be lowcost, low-energy and low-maintenance in nature, compared with traditional chemical-based
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solutions. They are particularly well suited to rural areas, so our innovation and strategic planning teams identified our wastewater treatment works at Clifton – a small site near Doncaster – as the number one site to begin this project. As a result, we are now building a wetland which will be planted with more than 20,000 plants to naturally remove phosphorus from treated wastewater before it is returned to the environment. The £1.2m project is the first of its kind in Yorkshire and will remove phosphorus from millions of litres of treated water in a natural, sustainable and low-carbon process, while also achieving a biodiversity net gain. The project also removed the need for carbon-intensive engineering solutions to upgrade the treatment works. The mechanically driven rotating biological contactor at Clifton required replacement and the new 4mg/l phosphorus permit would require the installation of a chemical dosing set up, new settlement tanks
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and regular deliveries of ferric sulphate to the small rural site. By reducing reliance on building and grey infrastructure and removing the chemical dosing activity at Clifton, we will be enabling a 58% carbon efficiency in terms of the entirety of the scheme, with reduced operator intervention and next to no energy input, with the additional benefit of being a biodiversity net gain.
with the planting process and asking them to build bug hotels for the new biodiversity section of the works that will be completed once the wetlands is in operation. Not only does this let the next generation play a part in establishing the new ecosystem but also gives them a first-hand opportunity to see the process and the importance of treating sewage.
To mitigate carbon and cost from significant material movements offsite, and to enhance local biodiversity, a material management plan has been approved under the CL:AIRE process to keep all excavated material on site, further reducing carbon emissions and potential disruption to local residents.
Our approach instead uses the natural slope present at the treatment works with construction of a series of shallow natural clay cells, approximately the size of three Olympic swimming pools, planted with a diverse range of native water vegetation to mimic the natural processes that occur in wetlands to remove pollutants. These cells use a combination of sedimentation filtration via the action of plants, as well as aerobic and anaerobic breakdown of pollutants by microorganisms and insects, resulting in clean water for discharge to local watercourses.
To enable YW to learn from this project, we have accelerated the delivery of this project three years ahead of schedule and it really is just the start for Yorkshire Water when it comes to integrated wetlands and natural treatment solutions. Seven further sites have been identified where wetlands could be implemented and feasibility investigations are underway with our strategic planning partners Stantec. We hope to use Clifton as a potential template for future naturebased solutions to support our 2030 net zero carbon commitment and change the way in which we consider design and construction within the built environment.
YORKSHIRE WATER yorkshirewater.com
We worked hard with the Environment Agency throughout the planning stages and because of our collaboration this is one of the first projects to be delivered as part of an operating techniques agreement, which is designed to encourage innovation. The flexibility afforded by the agreement has enabled us to use natural clay in the wetland rather than an artificial pond liner, helping us to be much more integrated with nature and deliver real benefits. To mitigate carbon and cost from significant material movements offsite, and to enhance local biodiversity, a material management plan has been approved under the CL:AIRE process to keep all excavated material on site, further reducing carbon emissions and potential disruption to local residents. The wetland has also created opportunities for engagement with the local community. We will be engaging with local schools to get pupils involved
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E N VI RON ME N T env i ronme nt a ge nc y
HABITATS PROTECTED IN NORFOLK THROUGH STRICTER ABSTRACTION LIMITS The Environment Agency has announced changes to water abstraction licences held by 20 businesses in the Ant Valley on the Norfolk Broads. This means that farmers and local businesses will be required to develop alternative and more sustainable sources of water, rather than take it from rivers, lakes or groundwater. The Ant Valley – which is home to a number of Sites of Special Scientific Interest (SSSI) – is facing significant water pressures, with evidence showing that current abstraction levels may be causing damage to the environment.
ENVIRONMENT AGENCY environment-agency
The Environment Agency has therefore announced it will revoke, reduce or constrain licences used by 20 businesses in order to bring abstraction back to sustainable levels. It is proposed that four new abstraction applications, for activity that was previously exempt from the licencing regime, will also be refused. The proposed changes will see up to three billion litres water returned to the environment each year, benefiting a wide range of plants, invertebrates, fish, birds and other animals. These include swallowtail butterflies, Norfolk hawker dragonflies and a number of rare plants such as the Fen Orchid which are rarely found outside of the Ant Valley. The move is part of a wider abstraction reform programme which has returned 47 billion litres of water a year to the environment since 2008. Environment Agency Chief Executive James Bevan said: “We need to move beyond stemming the loss of biodiversity and take action to help nature recover. Today’s decision will play an important part in protecting the Ant Valley from the significant water pressures that it is facing. “If we don’t address these pressures now, the additional challenges from the climate emergency
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will bring even greater impacts on the environment and our water resources in the future. “We also know that businesses need time to adjust, which is why we have worked with the affected licence holders and are giving them up to 2024 to make the necessary changes.” The Environment Agency has been working closely with Natural England, which has provided expert advice to help inform the decision on this issue. Natural England Chief Executive Marian Spain said: “This decision marks an important step in helping nature recovery of this unique mix of habitats, which are home to over 350 priority species of plants, insects and birds. “By addressing water abstraction pressures in the Ant Valley we expect to see significant benefits over time to its unique landscape and its flora and fauna. “We will continue to provide specialist advice to partners to help them adjust as we work together to protect our precious protected sites and all the life they support.” RSPB Operations Director Jeff Knott said: “The RSPB welcomes the Environment Agency’s proposal to review, reduce and cease water abstraction close to the Ant Broads and Marshes SSSI. This is a welcome step being taken towards responsible and sustainable water management for both farming and the natural environment. “Once enacted, it will help secure the future of this special place and the many rare species which call the Broads home. We look forward to working with EA and local farmers to ensure a sustainable future for nature and farmers, to help tackle the nature and climate emergency.”
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TOOTHLESS POLICY FAILS TO TACKLE BIODIVERSITY LOSS The Environmental Audit Committee (EAC) has taken aim at the government’s existing biodiversity policy and targets in a new report, branding them ‘inadequate’ to address plummeting biodiversity loss. The Biodiversity in the UK: bloom or bust? report argues that a lack of joined up thinking on biodiversity across government coupled with inadequate monitoring and a lack of ecologist expertise in the heart of government and in local authorities are just some of the reasons why halting biodiversity decline will present an ongoing challenge.
Dr Richard Benwell, CEO of Wildlife and Countryside Link, said the report was right to represent this year as a critical turning point. “Decisions in the Environment Bill and the Spending Review will determine whether nature continues to decline, or whether the UK can lead the world along a new path toward environment recovery.
Overall the EAC found that biodiversity loss was not being treated with the same urgency and ambition as climate change and that the government has failed to provide an additional measure of economic activity which includes consideration of the UK’s natural capital alongside GDP.
“The Environment Bill must set an unambiguous target to halt nature’s decline by 2030 – a genuine “net zero for nature” – backed by serious and sustained investment in delivery in the Spending Review.”
EAC chairman the Rt Hon. Philip Dunne MP said: “The UK is home to many millions of species, but Government inaction to protect habitats is leading to a significant decline in wildlife. “Although there are countless Government policies and targets to ‘leave the environment in a better state than we found it’, too often they are grandiose statements lacking teeth and devoid of effective delivery mechanisms. “We have no doubt that the ambition is there, but a poorly-mixed cocktail of ambitious targets, superficial strategies, funding cuts and lack of expertise is making any tangible progress incredibly challenging. “All Government departments must consistently factor nature into policy decisions, the Bank of England should develop a nature stress-test, and the 25-year Environment Plan must have interim statutory targets to assess progress.” Despite central Government’s responsibility for policy decisions, the responsibility for nurturing natural habitats also rested with each and every citizen, he added. Work to embed nature into the national curriculum, and to inspire the ecologists of the future, was crucial if we were to protect biodiversity effectively for generations to come.
The Committee was also right to focus on habitats, he continued. The Government’s commitment to protect 30 per cent of the land and sea would only be effective when designated areas had meaningful management. “The promising biodiversity net gain policy must protect new habitat for the long-term, not just for 30 years,” he said. The report makes several recommendations for how the UK can stem the tide of biodiversity loss. These include: The Government starting the process of setting an environmental footprint target by launching a consultation ahead of COP15 on how to model the overseas environmental impact of UK consumption. Ministers should implement recommendations of the EAC’s Invasive Species without delay, including increasing biosecurity funding directed at countering invasive species to at least £3m a year. Invasive species cost the UK economy £1.8bn a year. The Government must provide a comprehensive, consistent, and time-bound record of funding for the 25 Year Environment Plan. The Government should develop nature tests to ensure spending packages are aligned with the Post-2020 Biodiversity Framework.
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Thames Water CEO Sarah Bentley launches Grow Back Greener with Sadiq Khan
THAMES WATER CO-FUNDS £1.2 MILLION LONDON NATURE PROJECT Thames Water is co-funding an ambitious new £1.2 million project to help more Londoners enjoy the benefits of nature on their doorstep.
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he Grow Back Greener fund will provide grants to dozens of projects to improve access to green spaces in some of the capital’s most deprived areas. Thames Water is providing £500,000 towards the project in partnership with the Greater London Authority, with community gardens, food growing schemes and pocket parks among those set to benefit.
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Last year more than £700,000 was awarded to 34 projects. Thames Water’s funding this year means the programme can now be expanded to reach significantly more communities, helping achieve Mayor Sadiq Khan’s goal of all Londoners living within a ten-minute walk of a green space. Launching the fund with Mr Khan in London, Sarah Bentley, Thames Water CEO, said: “I’m excited we’re partnering with the Mayor of
EN V IRO N MENT t h ame s wate r
London on the Grow Back Greener scheme, which closely connects with our own aims to protect the environment and invest in the communities we serve. “We’ve seen during the pandemic how important access to green spaces and nature is to people’s physical and mental wellbeing. “We kept Walthamstow Wetlands open during lockdowns, which meant over 650,000 Londoners could enjoy the fresh air and see the wildlife the site has to offer. It really mattered to us that we could share such an amazing space during that difficult time.
against climate change by replacing hard surfaces with sustainable drainage and natural flood management schemes; tree-planting to increase shade and reduce the heat given off by roads and buildings, and the restoration of waterways.
Sadly, not everyone has a nature reserve or waterway on their doorstep though, so we’re really supportive of the ambition to make sure every Londoner lives within 10 minutes of green spaces and am proud we’re co-funding this inspiring initiative to create a positive legacy for generations to enjoy.
“Sadly, not everyone has a nature reserve or waterway on their doorstep though, so we’re really supportive of the ambition to make sure every Londoner lives within 10 minutes of green spaces and am proud we’re cofunding this inspiring initiative to create a positive legacy for generations to enjoy.”
An additional £4 million under the separate Green and Resilient Spaces Fund will help protect
Mayor of London, Sadiq Khan, said: “I want London to lead the way in tacking the climate emergency and for all Londoners to have access to great green spaces close to where they live. “The new funding I am announcing today during London Climate Action Week is just the start of even more investment in green spaces, nature and projects to help tackle the climate emergency.” As well as a shared ambition for a greener, healthier and more equitable London, Thames Water has over a decade of experience administering similar funds across the south.
THAMES WATER thameswater.co.uk
Since 2015 alone the company has invested nearly £10m through its own Community Investment Programmes with a variety of partners, from large wildlife organisations to small community groups.
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N ET ZERO weston s c ide r
VENERABLE CIDER COMPANY MOVES WITH THE TIMES Rooted in the soil of Herefordshire for five generations now, multi-award winning Westons Cider is wedded to the countryside it cherishes.
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NE T Z E RO we s tons c ide r
By HELEN COMPSON “We are passionate about the environment where we both live and work,” said Darryl Hinksman, head of business development. “Looking after it is important to us and to our brand.” DEFRA minister Victoria Prentis, who holds the remit for beer and cider, paid a visit recently. During her tour, she took a look at the reed bed filtration plant, used to clean waste water, that covers around 10 acres of Westons’ headquarters near the village of Much Marcle, and the main office block, built a decade ago, which is covered in solar panels to power the lighting and computer usage within. The ethos of closing the loop with sustainable practices is very much at the heart of this family business. In 2019, Westons began sending the pomace – the stuff left over after apple pressing – to anaerobic digester-owning BioCarbonics Ltd. As a side note, BioCarbonics, supplier in turn of high-quality green CO2 for the carbonation of bottled and canned drinks, is a joint venture between J V Energen and the Duchy of Cornwall. Hence Prince Charles opened Energen’s newly installed CO2 capture facility near the Duchy of Cornwall’s Poundbury development in Dorset in June. The fact one of the venture’s anaerobic digesters is just six or seven miles down the road from Westons
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has ended the need to bring CO2 all the way from Teesside. The premium cider company is currently working on the other half of that particular equation by installing a new production line that will allow canning to be brought in-house - under the same roof as its bottling and keg-filling plants - for the first time. And in another improvement, the plastic rings that used to hold four cans together have also been replaced with a recyclable cardboard version. That surfaced as being an important detail for some of its key customers, Tesco, Sainsbury and the Co-op among them. Behind the scenes, perhaps the most important element of all, in terms of sustainability, is quietly taking shape. Darryl said: “As a leadership team we have just appointed consultants who are working with us on a road map to becoming carbon neutral. “They are gathering the information now and then they will set our route, telling us when we can become carbon neutral and what we have to do to get there.” Westons proved equally adaptable and responsive to the times when ‘sustainability’ took on the added dimension of ‘sustaining the business’ in the eye of the pandemic. Within weeks of its descent, the management team had ramped up the online business 20 fold, all the while adjusting the nature of the stock they held.
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Darryl said: “From March last year, when we first went into lockdown, we met as a leadership team every day for the first hundred days. “We made a lot of changes! We worked through the whole process, from the production line to the focus of our stockkeeping.” Westons was forewarned and as a result, forearmed, when Darryl got a taste of things to come in early 2020. He was in Australia, looking after the company’s antipodean brewery, when Covid-19 began to emerge. “I flew out of Melbourne just as it went into lockdown and I got back saying ‘we are going to follow suit’,” he said.
“OK, yes, the on-site business is coming back pretty swiftly as pubs and restaurants reopen,” said Darryl. “The recent spurt of good weather has certainly helped there and each time there is a lifting of restrictions, we see a bit of an uplift.
Our best guess is that while people are returning to pubs and restaurants, they will probably go out less often, but will expect a premium offer when they do. For us that means they will drink less, but choose the best.
“There was an almost instant recognition that business had to change and we pretty much got on with it.” In a sure indication the team did indeed find the sweet-spot for consumers suddenly house-bound, Westons’ online turnover of yesteryear, somewhere in the region of £50,000 to £100,000 per annum, has become £1.5m. While the online takings are small beer in the scale of things – the business as a whole has an annual turnover of £60m – the team recognises the shift forced on consumer trends in the past year is here to stay.
“But with the way the online orders are flowing in, they will soon account for 2.5% of our overall turnover. “Our best guess is that while people are returning to pubs and restaurants, they will probably go out less often, but will expect a premium offer when they do. For us that means they will drink less, but choose the best.”
Established in 1880, the company is now in the care of the fourth and fifth generations of the Weston family. Managing director Helen Thomas is the great-granddaughter of founder Henry Weston. Using the wide variety of regional fruit grown in the surrounding orchards, Henry started pressing and blending the ciders and perries that went down a treat with his thirsty neighbours. Today The Bounds, the charming 17th century farmhouse and cider mill where it all began, is still at the centre of the business.
WESTONS CIDER westons-cider.co.uk
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NE T Z E RO a ng l i a n wate r
ANGLIAN WATER ACCELERATES TOWARDS NET ZERO WITH EXPANSION OF ELECTRIC FLEET Anglian Water has this month acquired an additional 33 electric vans with a further 43 due by the end of the year, bringing its fleet of electric vehicles (EV’s) to 86 and leading the way across the industry.
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he company, which currently spends more than £4.5million on diesel every year, is expected to add to this number again next year by a further 130 EVs. In addition to the electric vans the company has reviewed its car policy and is enhancing its offering of EV’s with orders already received for 32 electric cars and they expect this number to exceed 60 by the end of the year.
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Anglian Water vans currently cover 20 million miles on the road each year which is the equivalent of going to the moon and back 24 times. The new electric vans, supplied by Vauxhall & converted by vehicle converters Bott Ltd, will be used across the company by Anglian Water front line engineers. Mick Farmer, Head of Fleet at Anglian Water, said: “Extensive analysis of telematics data has
N ET ZERO ang l i a n wate r
identified large numbers of vans that meet a set criteria for operational teams to transition to electric vehicles. We will now be working even closer with these teams once the new vans have been deployed to help us identify any additional challenges other operational teams are facing. This analysis will enable us to create our next EV plan enhancing our transition as we expand the fleet further.” In order to operate electric vehicles Anglian Water has installed additional electric charging points across a number of their sites enabling both the company and its employees to recharge their electric vehicles on-site. “As one of the largest energy users in the East, it’s our responsibility to do all we can to minimise our impact on the environment and growing our electric vehicle fleet is a great step for us in doing so.
in this latest EV project for Anglian Water. With a mutual, strong commitment to the EV development, we pride ourselves on our ability to understand the specific needs of our customers and have developed a conversion which matches the base vehicle capability and the requirements of Anglian Water. “One particular difference from an ICE variant vehicle to an EV, is that the electrical power available for the necessary tools and equipment a utility user needs to perform their job role, is potentially reduced. This means we have to look to alternative methods of control and optimisation, to reduce the impact of electrical accessories on vehicle performance and range.
As one of the largest energy users in the East, it’s our responsibility to do all we can to minimise our impact on the environment and growing our electric vehicle fleet is a great step for us in doing so.
“Increasing our fleet of electric vehicles provides us with the opportunity to utilise more renewable and sustainable technology, helping to make a positive impact on our region’s environment, and reach the industry’s ambition to reach net zero by 2030.” Bott Ltd Manging Director, Kevin Woodward said: “Bott recognise the ever-growing demand for electric and alternative fuel vehicles, providing both financial efficiencies and environmental benefits. We are delighted to have been involved
“With our own investigations, and working closely with Vauxhall, we have built in a combination of manual and automatic regulation of the auxiliary electrical system. This keeps the user working effectively without exceeding any manufacturerrecommended limits.
ANGLIAN WATER anglianwater.co.uk
“We look forward to continuing our partnership and helping Anglian Water get a step closer, towards their commitment to be net zero carbon.” Anglian exceeded its 2020 carbon goals and drove down capital carbon by 61% and operational carbon by 34%, with the company on track to reach, and help others to reach, net zero by 2030.
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NE T Z E RO road way s
ENVIRONMENTAL R&D AND INNOVATION CENTRE LAUNCHED IN BRIGHTON A new research, development and innovation centre has been set up at Plus X Brighton by regional highways construction leader Roadways.
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he Mayor of Brighton & Hove, Coun. Alan Robins, declared the centre officially open at the beginning of July.
Roadways’ chief executive James Bailey said it would take the company’s innovative environmental work to the next level, while helping it to scale up. “Not many people know that the concrete carried in a single drum mixer truck typically involves as much CO₂ as driving 17,000 kilometres by car,” he said. “That’s halfway around the planet.
ROAD-WAYS road-ways.co.uk
“Some construction professionals and much of the wider public are simply not aware how the carbon footprint of concrete and other construction materials can be significantly greater than other everyday items. “As a result they are unlikely to consider it a priority to cut down on concrete consumption. Do you think about the effects of adding a concrete base to your shed? It’s little things like that which all add up. “ If people thought that way, rather than simply focusing on the headline stories about flying, low energy lightbulbs or electric cars, it would make a huge difference in the fight against global warming. He added: “Just 10 wheelbarrows of concrete has the same carbon footprint as a flight from London
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to Madrid. Looking at it another way: it would take a football stadium full of mature trees two years to absorb the CO₂ of that single concrete mixer truck.” Roadways’ objectives for its Brighton research, development and innovation centre are to: raise awareness of the carbon and wider ethical impact of construction materials. help specifiers and end users embrace the idea of a built environment with lower levels of these problematic materials. enable anyone interested to find better solutions. research, develop, launch and grow Roadways’ own low carbon materials and solutions business. If successful, this will help the company’s own concrete supply service (and other independent concrete producers) to cut their carbon footprint in half. identify, develop and launch digital construction technologies, improving the safety, quality and productivity of contracting works. promote Roadways’ highways contracting, civil engineering and asphalt surfacing services. The company knows what is possible, because it has already developed and launched cold asphalt, which
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reduces related carbon production by 40%, and the concrete it uses under roads (called hydraulically bound materials or HBM) saves 70%. For each lorry load, that was a CO₂ saving equivalent to driving 3,500 kilometres by car. James, who previously led corporate innovation and venturing teams at BT, said: “We are actively looking to collaborate with civil and structural engineers, architects and anyone with an interest in the industry who has the same ethical and environmentally-focused goals as ourselves. “I’ve seen the amazing things that can be achieved when start-ups, corporate innovators and established SMEs like Roadways get together. “Plus X provides the ideal environment for us to achieve our objectives - I’m really excited about the talent pool and business opportunities that Brighton offers”. He said the team was delighted to have been accepted into the Brighton Research, Innovation and Technology Exchange (BRITE) programme, which had been made possible by a partnership between Plus X Brighton and the University of Brighton and funding from the European Regional Development Fund. Samantha Harland, BRITE programme manager at Plus X, said: “The past year has presented new challenges for lots of industries, so it is great to see businesses like Roadways continue to adapt, grow and innovate, especially in the area of sustainability. “Plus X Brighton champions innovation and invention. Our seven-storey innovation hub provides unique support to pioneers in the sustainable economy, and we are proud to have Roadways as part of the BRITE cohort. “Roadways will be able to access a variety of programmes designed by Plus X and the University of Brighton including business coaching, circular innovation strategy and access to our state-of-theart workshop to build and test new eco materials and solutions.” The initial focus of the R&D and innovation centre will be to build an expert team to look at the answers to these questions: 1. Why are awareness levels of the carbon footprint of construction materials in the industry (and among the general public) so low? What’s the most effective way to raise awareness? Who can help to achieve this? 2. What are the best alternatives to help people avoid the use of concrete? For example: 3. Building an extension, garden office or shed on paving slabs or innovative corkscrew piles rather than a concrete base or trench foundation. 4. Using timber rather than concrete for path edgings.
5. In the Brighton area, how widely available are low carbon concretes like British Standard CEM III A mixes? These offer an easy way to achieve a 50% CO₂ saving. 6. What is the take up of low carbon concrete like CEM III A? What can be done to increase take up? This offers an easy way to achieve a 50% CO₂ saving. 7. Why is there currently no supply available of pre-blended low-carbon cement CEM III A to independent concrete producers in the UK? This offers an easy way to achieve a 50% CO₂ saving. 8. Today, Brighton’s concrete is made using 100% primary aggregates dredged from the sea. What is the environmental impact of this? Can recycled aggregates from the local circular economy be used instead? 9. Why is low-carbon cold asphalt made from locally sourced recycled aggregates (40% CO₂ saving) not used in Brighton at the moment? It meets all the relevant Highways specifications. What can be done to change this?
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NE T Z E RO d ar k fa r m
UK’S FIRST HYDROPONIC HOP FARM RELOCATES TO MID WALES Since the craft beer boom, the demand for hops has exploded. At one point, the average homebrewer was faced with a limited choice of hops as craft and commercial breweries were first in line to claim the pick of the lot. One beer lover decided to do something about it. But not in the way you would expect. Traditionally, hops are grown in fields, taking up vast areas of land. Gareth Davies, Founder and Director of Dark Farm grows his hops in pots, indoors, using hydroponic growing methods - normally used for crops like salad leaves and herbs rather than a plant that can reach 7.5 m (25ft) in height.
DARK FARM HOPS darkfarm.co.uk @darkfarmhops
Believed to be first indoor hop yard in whole UK, Dark Farm offers a quarterly hop subscription to homebrewers, and have recently relocated to a disused warehouse near Lampeter in mid Wales. They are out to prove that the benefits of hydroponics can revolutionise hop farming. ‘Growing hops in a controlled environment and adjusting the nutrient feed according to their growing cycle saves a great deal of water,’ says Davies. ‘Growing indoors also protects the hops from pests and diseases. We don’t use any pesticides or fungicides on our hops. And the feed we give them is organic.’ Dark Farm currently have around 400 hop plants, made up of 12 different varieties. Being able to regulate the hops’ water supply is a great advantage during these times when we’re going from prolonged dry spells to
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extremely rainy periods. Growing hops this way has being successfully done in the US for several years, and it’s estimated that this method of growing can produce the same yield using one tenth of the area, compared to traditional methods. Davies, whose background is in web development rather than farming, launched his business in Devon in 2017. Now Davies and his wife, who grew up in Carmarthenshire, have returned to Wales to continue their journey and build on their experience. ‘Homebrewing is becoming more and more popular, especially since lockdown,’ says Davies, ‘We’ve been having to supplement our hop subscription service with hops grown on other farms to keep up with demand. Our vision is to supply our members with hops grown entirely on our indoor farm - apart from certain varieties which we can’t produce ourselves.’ As well as hops, Dark Farm sell homebrewing equipment. They also publish the homebrewing magazine, MASHED!, providing part-time employment for Davies’ wife, Yohanna, a writer and graphic designer. Gareth has a clear vision of further expanding operations to provide employment for more local people, as well as acting as a hub to inspire other rural and urban enterprises to embrace sustainability alongside community and business.
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BIFFA UNLOCKS £1BN IN GREEN INFRASTRUCTURE INVESTMENT In its inaugural sustainability report, Biffa has confirmed today that it has already unlocked £1bn worth of investment in vital UK green infrastructure, well ahead of its targets. The update comes as the business publishes its first sustainability report following the launch of its sustainability strategy ‘Resourceful, Responsible” in March 2020.
The three pillars of Biffa’s sustainability strategy are: Building a circular economy, Tackling climate change, and Caring for our people, supporting our communities.
Biffa has accelerated its investment plans over the course of the last year, focusing on four key areas – Reduce, Recycle, Recover and Collect, aligned to the waste hierarchy. The Group has an overall ambition to unlock £1.25bn investment by 2030.
Key highlights since March 2021 include:
The report shows the company has made further progress against ambitious targets despite the challenges of the Covid-19 pandemic. As part of the investment programme the Group has doubled its plastics recycling capacity this year to more than 120,000 tonnes at its state-of-the-art facilities in the North East as well as establishing an industry leading position in waste reduction through the acquisition of Company Shop Group and making further acquisitions to expand its low carbon collections service. Biffa has also announced further progress against its commitment to reduce emissions, outlining a roadmap to reach net zero no later than 2050. Since 2002 Biffa has reduced its CO2 emissions by 70% and is targeting a further 50% reduction by 2030. Michael Topham, CEO of Biffa, said: “We have accelerated our sustainability programme despite the challenges posed by Covid-19, with meaningful delivery across a range of areas. “The waste industry plays a critical role in shaping a better future for our communities and the environment. As part of our commitment to delivering on our ambitious plans Biffa has committed to unlocking £1.25bn investment in vital UK green infrastructure and I’m delighted to have already realised £1bn of that commitment, well ahead of plan.
Building a circular economy The Group’s plastics recycling capacity has been doubled with investments in facilities in the North East. It entered the world of UK surplus redistribution through our acquisition of Company Shop Group. Tackling climate change It is on track to reduce greenhouse gas emissions by 50% by 2030. Since its peak emissions in 2002, it has reduced emissions by 70%. Its ultimate target is net zero by no later than 2050. Biffa’s programme of acquisitions, including Ward and Simply Waste, has helped to improve collection efficiencies and route densities, significantly reducing CO2 emissions per tonne of waste collected.
BIFFA biffa.co.uk
Through the expansion of its rail network, thousands of truck journeys have been taken off the road. Caring for our people, supporting our communities Since 2019, almost £14m of Landfill Tax receipts has been distributed by the Biffa Award fund to local community projects, which have included important biodiversity initiatives. It has boosted its employee engagement score to 59% (3% above UK average) and continued with its successful Diversity and Inclusion programme.
“Biffa has a defining and important role to play in delivering more sustainable solutions to help combat the UK’s waste challenge. I’m proud of this progress but we cannot be complacent and remain fully focussed on strengthening our commitment to delivering more circular solutions for our customers and wider society.”
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BIKING BRITS HIT THE ROAD FOR A STAYCATION SUMMER Research finds over 12m bikes expected to be on the roads with many first-time riders and 80% of them without insurance. Key stats: Two fifths of Brits (39%) are planning a summer staycation this year with 44% taking or hiring a bike Expected to be 12.4 million bikes being used on staycations across the UK Nearly a quarter (25%) have not done so on a staycation before - 31% of children and 35% of partners Almost half (49%) have not taken out any insurance with only 18% having bike insurance in place Lake District will be the most popular destination for cycling staycationers - 15% heading there Britain will experience a biking boom this summer as millions of families turn to staycations for their summer holidays. That’s according to research released from cycleGuard, part of Thistle Insurance. The research, conducted by Opinium last week, found that two fifths of Brits (39%) are planning a summer staycation this year, with this rising to almost half of those aged 18-34 (47%). Of those planning a trip, almost half (44%) said that they or someone in their party will be taking or hiring a bike whilst on the trip, most notably their partners (28%) or children (15%). With this in mind, there are planned to be 12.4 million bikes being used on staycations across the UK this summer, with those cycling using, on average two bikes per trip. “This is going to be the summer holiday of cycling” said Alex Bennett, Director of Thistle Insurance,
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“With the weather finally turning, schools about to break-up and families desperate to get a break there is no doubt we’re about to see far more bikes around and for all the fun and fitness this will, unfortunately, bring with it an increase in damage, accidents and theft as a result.” For many, it will be their first time using a bike whilst on staycation. According to the research, 23% of those planning to cycle themselves have not done so on staycation before. This figure increases to 31% of children cycling for the first time and further still for first-time partners (35%). Despite this marked increase in bikes on the road, holidaymakers are not going to take out any additional or specialist insurance. The research found that almost half (49%) of those on staycation will not take out insurance. This figure rises to almost two thirds of those aged 55+ (64%). According to the data, 25% of those planning on cycling will rely on health insurance with less than a fifth (18%) having bike insurance in place. Bennett concluded, “Given we’re going to see many more cyclists on the road - many of them children and first-time riders, the lack of appropriate insurance is worrying. Many policies might cover injury, accident or bike theft so this is something we would urge holiday makers to reconsider to avoid a potential expensive and unwanted surprise at the end of their trip.” The Lake District is expected to see the most amount of cycling staycationers with 15% holiday makers heading there. This was followed by Wales and Cornwall (both 14%).
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