Sustainable Business IE Q1 Mar 2019

Q1 / 2019 A SUPPLEMENT BY MEDIAPLANET DISTRIBUTED WITHIN THE IRISH INDEPENDENT

TOMÁS SERCOVICH Without clear climate action none of the great ambitions of this country can be realised. » p2

MARTIN HOFLER Origin Green: Driving sustainable food production. » p4

JAMES HOGAN The sustainability of businesses is threatened by the limited resources of the planet. » p6

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Climate change: from rhetoric to business action It took an emotional appeal from David Attenborough: ‘The collapse of civilisation is on the horizon1,’ and a powerful message from 16-year-old student and activist, Greta Thunberg: ‘Our house is on fire2,’ to raise our attention towards the most critical challenge of our generation.

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cience is clear on the need to decarbonise our carbon economy, as evidenced in the latest IPCC Report3. However, there is limited understanding of how to achieve such substantial and fundamental change.

We must all want to lower carbon We must share a common vision of a low carbon economy and society.

It requires leadership and it also requires a broad perspective of all key actors.

The need for a common vision and concerted action was evidenced in January when the Minister for Communications, Climate Action and the Environment, Richard Bruton TD, convened a crosssection of Irish society, economy

and government to a consultation on the All of Government Action Plan on Climate Disruption.

At the consultation, Business in the Community Ireland was highlighted as one example of such common vision through our Low Carbon pledge.

Ireland’s largest companies pledge to cut carbon emission intensity by 50% by 2030 Launched in November 2018, 47 of Ireland’s largest companies signed, at CEO level, a public commitment to measuring, reporting and reducing their scope 1 and 2 carbon emission intensity by 50% by 2030.

All of the critical sectors of the Irish economy are represented in the Pledge, including ICT, biopharma,

We must share a common vision of a low carbon economy and society. It requires leadership and it also requires a broad perspective of all key actors.”

energy, food and drink and retail, to name some.

The pledge results from the work of a group of 30 CEOs of major Irish companies, who developed a vision of what will be the private sector engagement and contribution to evolving the concept and practice of a low carbon economy. The Pledge is Ireland’s first such platform convened by business.

TOMÁS SERCOVICH CEO, Business in the Community Ireland

Companies are getting staff, clients and communities on board The Pledge is underpinned by action: signatories commit to share data and best practices on their journeys to achieving the targets set. Additionally, some companies are engaging in programmes to engage their staff, clients and local communities in this low carbon transition.

In June of this year, an annual report will be presented, charting the results of these companies’ roadmaps to a decarbonised Ireland.

Will the commitment set by the Business in the Community Low Carbon Pledge be enough to achieve the targets set by Ireland and the EU in the Paris Agreement? No, but it’s a move in the right direction. Tackling

climate challenge will require a fundamental and unprecedented change. We need to start working together and challenging more companies to join this movement towards a low carbon economy.

We need to focus on the opportunities ahead for our economy to become a leader on climate action, a leader on energy efficiency, renewable energy, circular economy models and indeed a leader in the next phase of economic development and social prosperity.

Without clear climate action none of the great ambitions of this country can be realised.

Read more at businessnews.ie

1: unfccc.int/sites/default/files/resource/The%20People%27s%20Address%202.11.18_FINAL.pdf 2: www.weforum.org/agenda/2019/01/our-house-is-on-fire-16-year-old-greta-thunberg-speaks-truth-to-power/ 3: www.ipcc.ch/sr15/

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Reducing packaging weight qru ruRn Zd rvnRqcEqaRu XYu EXEZdru nbEruZN |EruR Byline: James Alder

Solving the planet’s plastic binge culture isn’t a supermarkets job, but it is big businesses like these that hold the key to ensuring we buy less and therefore throw away less plastic. Simply reducing packaging weight is making a difference in Ireland, with a long road still ahead.

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he stark impact that our plastic use is having on the environment is now an unescapable fact, with programmes such as the BBC’s Blue Planet II showing us the effect that plastic waste has, especially on wildlife.

According to Greenpeace UK, a truckload of plastic enters our oceans every minute, affecting marine wildlife and making its way back into the food and beverages we continue to consume.

Single-use plastics pose the greatest threat to the environment, with supermarkets generating a substantial amount of the plastic that consumers end up throwing away.

Clearly, big businesses like supermarket chains have had to ask themselves how they can minimise waste.

Proactive approach to the challenge of plastic Head of Trading Law and Technical at Tesco Ireland, Tracey McDermott, says: “Supermarkets must plan how they will help to tackle the social and environmental challenges that matter most to their customers. A valuable target is to ensure to never

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A truckload of plastic enters our oceans every minute, affecting marine wildlife and making its way back into the food we consume.” use more packaging than is needed, and that any packaging that must be used comes from sustainable sources and goes on to be reused or recycled.”

“There’s growing concern from our customers about packaging, quite rightly. Packaging does play an important role in protecting food from damage and preventing wastage. But, its use shouldn’t come at an unaffordable cost to the environment,” says McDermott.

Commitment to reduction of ‘hard-to-use recyclables’ ‘Hard-to-use recyclables’ – namely PVC and polystyrene – are incredibly difficult to recycle compared to alternatives such as cardboard or other fully recyclable materials.

McDermott points out that simply reducing the weight and amount of packaging has short-term benefits.

“It takes an enormous amount of work with suppliers to ensure less packaging is used and ensuring that recyclable materials are used where possible. Once it doesn’t affect food safety in any way, where you can reduce the weight of plastic and the overall weight of packaging, there’s always a benefit.”

Empowering customers choice of purchase One of the key criticisms of supermarkets’ use of plastic packaging is the sale of multipacks, often used to package multiple items of fruit or vegetables.

In days gone by, these would have been loose, whereas, now, we’ve become accustomed to buying apples or bananas in plastic bags. Customers may end up buying more than they need for the week ahead, something Tracey was more than aware of.

“Our stores offer both packaged and unpackaged products, giving customers choice over how much they buy. Potato and onion supplier, Country Crest, has worked to replace composite packaging with paper bags with paper handles, for example, ensuring that the end

TRACEY MCDERMOTT Head of Trading Law and Technical, Tesco Ireland

product can be fully recycled in household recycling bins.”

Industry support in tackling the problem There is support for businesses out there in the shape of government agencies and Repak, a not for profit, which uses its membership fees to subsidise the collection of waste packaging at household level.

Educating consumers and empowering them to ensure they recycle as much of the plastic they use as possible is something supermarkets should aim to commit to.

There’s clearly nothing easy about reducing the weight of packaging or ensuring it is easier for customers to recycle, but big businesses committed to tackling excess plastic will help.

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Our plastic targets: 1. Our packaging will be fully recyclable by 2025 2. End the use of hard to recycle materials from own label packaging by the end of 2019 3. All paper and board used will be 100% sustainable by 2025 4. Halve the amount of packaging weight in business by 2025 Tesco is a member of Repak, which has led the way in improving recycling levels in Ireland. Tesco Ireland is also a signatory of Repak’s Packging Pledge, which aims to help Ireland achieve its targets ñþô ýñûõ ñ Ăõñü ôù҆õĂõþóõ in achieving the vision as set for a plastics economy for Ireland and Europe.

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We’ve had the wakeup call. Now it’s time to act.

STEPHEN NOLAN Director, Sustainable Nation Ireland

The latest report from the Intergovernmental Panel on Climate Change (IPCC), last October, underlined the need to take urgent and drastic action to combat climate change. These actions need to span the entire breadth of the national, European and global economy, and finance has a key role to play. From an Irish perspective, there are lucrative opportunities to be seized.

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he G20 estimates that the world will need to invest around $90 trillion in sustainable infrastructure assets by 2030 to implement the Paris Agreement on climate change and the UN Sustainable Development Goals. At home, those plans are already underpinned by the announcement in the National Development Plan of €22 billion to fund measures that will turn Ireland into a low carbon economy by 2050. Last year also saw the NTMA’s (National Treasury Management Agency) roll-out Ireland’s first-ever Green Bond, valued at €3 billion.

2019 is the year of sustainable finance 2019 will see many more positive developments. This year is the inaugural official Year of Sustainable Finance, supported and executed by Sustainable Nation Ireland with a €500,000 programme of over 30 events – including our second annual Climate Week. This year’s programme would not be possible without the support of Department of Finance Financial Services Minister, Michael D’Arcy.

On an international level, the Dublin-based secretariat of the Financial Centres for Sustainability (FC4S) Europe network will drive efforts to mobilise global financial centres in support of the European sustainability agenda.

Later this month, the European Commission will provide a one year update on its strategic Action Plan for Financing Sustainable Growth. The objective is to build a prosperous, modern, competitive and climate neutral pan-European economy by 2050.

Ireland’s financial response to climate change In Ireland, we were tasked with delivering a number of important actions under Government’s International Financial Services (IFS) 2020 Strategy Action Plan 2019. Ireland has a globally-recognised cluster of talent in renewable energy finance and world-leading professional services firms with experience in supporting green asset management.

One of the most compelling opportunities can be found in the role financial centres must play in unlocking the potential of sustainable finance. A key task of Sustainable Nation Ireland under Government Strategy IFS 2020 is the development of a National Roadmap on Sustainable Finance. A core output of this roadmap will be enhancing Ireland’s world leading green finance credentials and to promote Ireland as a leading global centre for sustainable finance.

The launch of IFS2020 The government recently launched its IFS2020 Action Plan for 2019 at the European Financial Forum, an event which placed a special focus on sustainable finance.

As part of the plan, we will take responsibility for 11 actions and outputs including: the development of a national roadmap to support the continued growth of Irish sustainable finance activities; leading Ireland's Year of Sustainable Finance 2019; advancing responsible investment best practices across all Irish located asset classes; launching the second annual Sustainable Investment Forum (SIF) Ireland State of Play report; co-host the European Climate Finance Innovation Summit in Dublin in May and organising Ireland’s second climate week in November.

The successful implementation of IFS2020, a five-year, wholeof-government strategy to drive the growth and development of the IFS sector in Ireland, will dramatically advance the green and sustainable finance agenda.

Read more at businessnews.ie

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Origin Green: Driving sustainable food production MARTIN HOFLER Sustainability Development Manager, Bord Bia

Origin Green is Ireland’s food and drink sustainability programme.

Led by Bord Bia, The Irish Food Board, the programme helps food and drink producers implement sustainability measures.

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he motivation behind this national programme is to assist the Irish food industry in producing food in the most sustainable way possible.

The ambition? For Ireland to stand as a global example of how to improve the sustainability performance of an entire food industry.

Working across all levels of the supply chain, the programme enables Ireland’s farmers, manufacturers, retail and food service operators to set and achieve measurable sustainability targets that protect the environment and serve local communities more effectively. Crucially, Origin Green is about measuring and improving how we do this on an ongoing basis.

Multi-annual sustainability plans At a manufacturing level, the focus of the programme is the development of a sustainability plan. The plan is measured with clear, measurable and time-bound targets designed to reduce environmental impact and achieve efficiencies in the daily running of businesses.

As part of this process, each participating company commits to developing a multi-annual sustainability plan for its business, which must be at least three years in duration. Companies are required to set seven targets in three key areas: raw material sourcing, manufacturing processes, and social sustainability.

Third-party verified sustainability reports A company is designated as a verified member of Origin Green when a sustainability plan has been verified by independent auditors, Mabbett. Ongoing membership of the programme is subject to the submission of annual progress reports that are also independently verified.

At present, 319 member companies have been independently verified and have annually-monitored

At present, 319 member companies have been independently verified and have annuallymonitored sustainability plans. A further 282 companies are developing sustainability plans.”

online training, feedback reports, one-to-one mentoring, knowledge sharing and communications tools. Furthermore, the ongoing assistance and involvement of a range of external organisations with specialised sustainability knowledge ensures the successful implementation and development of the programme.

Making a difference Since its launch in 2012, this national food sustainability programme has enabled the Irish food industry to establish 2,440 sustainability targets, resulting in the following: • 17% water reduction per unit of output 2012-2017 • 11% energy reduction per unit of output 2012-2017 • 4,717 tonnes of surplus food donated to FoodCloud • Over €8m donated to charities and community organisations • Over 9,000 trees planted on manufacturing sites

sustainability plans. A further 282 companies are developing sustainability plans.

Tools and resources for Irish food and drink manufacturers A fundamental element of Origin Green involves supporting Irish food and drink manufacturers as they work to set and achieve ambitious sustainability targets.

Bord Bia provide a variety of services and resources to companies as they initially work to achieve full verification, look to retain their verified member status and leverage their membership for business growth.

Resources include: workshops,

Over 80% of members say that the programme has helped increase their understanding of sustainability in business, improve their sustainability practices, embed the culture of sustainability in their organisation and build their company’s reputation.

Furthermore, more than half of members say it has helped them grow sales and build better relationships with their customers, according to a survey by RED C on behalf of Bord Bia in January 2019.

Despite Origin Green’s achievements to date, many opportunities for new sustainability measures remain. Therefore, it must continue to improve performance through collaboration with key stakeholders.

Read more at origingreen.ie MEDIAPLANET

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Protecting the planet while feeding the world The agricultural industry has great potential to be more climate friendly, from the manufacture and transport of farming products, down to sustainability on the farm.

MARK TUCKER Head of Agronomy, Yara UK and Ireland

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t's obvious that agriculture is a vital industry and that the world’s population simply couldn’t survive without it. But did you know that the industry has quite a high energy intensity and a large carbon footprint?

Take mineral fertiliser production, for instance. Around 1.5% of global energy is used in the manufacture of mineral fertiliser — a product that enriches the soil with nutrients and therefore effectively helps deliver about half of the world’s food. In this view, 1.5% seems like a relatively small amount for such a big return. So, what’s the problem?

When it comes to mineral fertiliser, we are working hard to solve the emissions challenge, says Mark Tucker, Head of Agronomy at Yara UK and Ireland, a company that specialises in agricultural products and solutions. View it another way, and it’s worrying to think that approximately 1.5% of global energy is spent manufacturing just one (admittedly critical) product.

Unfortunately, the production of mineral fertiliser is complex;

it requires the burning of fossil fuels — but that must change, says Mark. “Mineral fertiliser manufacture has to be made more sustainable,” he insists. “Yara is investing in a green research programme to test renewable energy sources, like solar, for the same process.”

Catalyst technology reducing greenhouse gases by 90% Then there’s the issue of nitrous oxide (N2O), a potent greenhouse gas that is emitted into the atmosphere during mineral fertiliser production. Yara has developd a catalyst technology which has been embedded in all of the company’s European nitric acid plants, reducing N2O emission by 90%.

“Our ambition is to increase that figure to 98%,” says Mark, who also reveals that 95% of mineral fertilisers going to Ireland come from the firm’s European plants.

“That’s an important figure, because they might otherwise be coming from across the world from coal-fired manufacturing plants, with a larger carbon footprint.”

PHILIP COSGRAVE Grassland Agronomist, Yara UK and Ireland

Greener transportation When the mineral fertiliser is made, shipping and trucking logistics are necessary to transport it from the factory to the field, increasing carbon emissions en route. Going forward, supply chains for agricultural products have to be made greener, argues Mark. “In Norway, Yara is now building “Yara Birkeland”, the world’s first zeroemission, autonomous container vessel to transport mineral fertiliser from the the factory to the market. This is only one ship, but our ambition is to one day deliver mineral fertiliser with zero emissions to farmers”, he says.

Maximising farming efficiency for sustainable results Philip Cosgrave, Grassland Agronomist for Yara UK and Ireland, points out that farmers are constantly faced with a range of sustainability challenges.

Improving water systems for the wider ecosystem and human health, cleansing the air, and reducing ammonia, carbon and nitrogen oxide (NOx) emissions are the primary concerns. Using

mineral fertilisers on farms results in the release of N2O emissions.

Cosgrave believes they should employ ultra-efficient farming practices to get the most from their soil with the least harm to the environment. “The first thing that farmers should do is understand their soil’s nutrient supply,” says Cosgrave. “They need to make a nutrient plan to determine which mineral fertiliser their crop needs in order to maximise both the yield and the quality of the produce while preventing losses. They should then apply the mineral fertiliser as accurately as possible with the correct timing to optimise nutrient use efficiency.”

How mobile apps and satellites minimise environmental damage The latest tech innovations can help in this regard. For example, Yara is offering smartphone apps that aid nutrient planning, or infield tools and equipment that can analyse a crop’s nutrient status. Use of satellite imagery, meanwhile, allows farmers to monitor their crops to assess how well they are growing. They can then target

them more precisely with mineral fertilisers and plant protection products, so minimising the impact on the environment.

Mark is optimistic that, with breakthroughs such as these, it will be possible to responsibly feed the world and protect the planet. “By working closely with the farmer, using digital farm management tools and offering mineral fertiliser products that come from greener production methods, we are definitely moving in the right direction,” he says.

Byline: Tony Greenway

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AN INDEPENDENT SUPPLEMENT BY MEDIAPLANET 3LFWXUHG DUH .HQ 6FXOO\ &RXQWU\ 0DQDJHU DW 0 6 ,UHODQG DQG 6LQHDG 3DWWRQ &KLHI )LQDQFH &RPPHUFLDO 2I¿FHU DW 9HROLD who co-chaired the working group. Also, Daragh O’Loughlin, Sales Advisor at M&S, and Isabelle Popovici, Bank Executive at the Central Bank of Ireland, who have both participated in programmes run by Business in the Community Ireland, which leverage the support of business to help people access employment.

.RrfvqNR RWÂ’NZRdN~ Zr df| cZrrZfd NqZuZNEb Wfq qZrY MvrZdRrrRr JAMES HOGAN Programme Manager, Clean Technology Centre, Cork Institute of Technology

The green agenda is one of the most important issues for businesses worldwide. The sustainability of businesses is threatened by the limited resources of the planet and its rapidly changing climatic conditions – both of which bring economic uncertainty.

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rogressive businesses have realised that, in order to remain viable, they need to source sustainable raw materials and improve resource efficiency in the production of their goods and services. Only then can they continue to meet the demand of future markets that will demand such actions.

In Ireland, services have been put in place to ensure such actions. The National Waste Prevention Programme, established in 2004, has provided business with many supporters including the Green Business Programme (2008-2018).

The programme (managed by The Clean Technology Centre, CIT) provided resource efficiency assessments to over 400 SMEs. They identiďŹ ed circa â‚Ź14 million in cost savings through improved energy efficiency, reduced water consumption and waste prevention. That was an average saving of â‚Ź35,000 per annum for each business visited.

Developing businesses to sustain the environment Companies involved in the Green Business Programme not only reduced their costs, but also reduced their environmental footprint and improved the sustainability of the business. John Durkan, Sustainability Manager of a leading food organisation, says: “We believe it is our duty to do everything we can to ensure that our growth is not at the expense of our natural environment. After all, it is our natural environment that sustains our business, so we are developing our business to sustain our environment.�

Irish government calls for businesses to help tackle climate change The Irish government has also realised the value of building resource efficiency into everyday operations. This year, the Minister for Communications, Climate Action and Environment requested that all government departments adopt a Resource Efficiency Action Plan. The plans will include activities to tackle climate change, reduce emissions, cut down single-use plastics and buy from green suppliers.

The purchasing power of Ireland’s government sector (12% of GDP) has enormous potential to reduce emissions and protect our environment while saving money over the full lifecycle of goods and services.

All Irish enterprises, both private and public sectors, must pull together to ensure we improve our resource efficiency and sustainability. We all need to do To get a report for your business on how to improve more with less. We have proven it Ä‚ĂľÄƒĂżÄ…Ä‚ĂłĂľ þҊóÚþÞóĉ ùÞô ÄƒĂąÄ†Ăľ can be done, if the will is there to costs, free of charge, log onto do it. greenbusiness.ie

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8Y~ rfNZEb ZdNbvrZfd Zr E MvrZdRrr ZcnRqEuZ{R MOIRA HORGAN Head of Marketing, Business in the Community Ireland

How Irish businesses are working together to take steps towards social sustainability through creating an inclusive workforce.

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ccording to the 2019 Edelman Trust Barometer, 70% of Irish respondents agreed with the statement: “A company can take speciďŹ c actions that both increase proďŹ ts and improve the economic and social conditions in the communities where it operatesâ€?.

Employment offers the single biggest opportunity for vulnerable individuals to move out of a cycle of poverty and become active participants in society.�

Cross sector representation This is a rallying cry from the Irish public on their expectations of how business can impact society.

Indeed, that is why Business in the Community Ireland founded The Leaders’ Group on Sustainability back in 2016. It is a coalition of Ireland’s leading organisations that are striving to improve the sustainability of the Irish business sector through sharing best practice and creating new ways of doing business.

The group is represented by CEOs of Ireland’s top companies from sectors including energy, telecoms, technology, ďŹ nance, transport, professional services, pharma, retail and food.

One of the ďŹ rst outputs from the group was a Low Carbon Pledge and the second output is The Inclusive Employer, a groundbreaking guide on how to create inclusive workplaces and reduce social inequality in Ireland.

individuals to move out of a cycle of poverty and become active participants in society. In a report published by the The Economic and Social Research Institute (ESRI) in 2018,, ďŹ ve groups were identiďŹ ed as facing the greatest barriers to employment and as most vulnerable to social exclusion. These groups include: jobless households, lone parents, homeless or affected by housing exclusion, those with disabilities and ethnic minorities.

The barriers to employment Employment offers the single biggest opportunity for vulnerable

Some top tips from the blueprint include: • Set hiring targets for those vulnerable to social exclusion and be ambitious • Rewrite job descriptions to be more inclusive

Practical next steps for employers The Inclusive Employer blueprint spells out what practical steps employers can take to reach into these families and communities and help transform their lives. This is a clarion call for some employers who, up to now, have not fully realised the beneďŹ ts of inclusive recruitment. It also provides step by step guides to business and industry who understand the long-term value of being inclusive employers but who have never had the tools to implement real change.

• Train all staff on unconscious bias • Ask your supply chain about their diversity and inclusion and reward suppliers who demonstrate a commitment to D&I • Engage with outreach programmes targeted at education and employment The need for leadership at the top In a time of full employment, hiring and retaining talent from as many diverse areas as possible is now a key business opportunity as well as, quite simply, being the right thing to do.

The Inclusive Employer blueprint is available to download free from bitc.ie

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