Strategic Solutions for Resource Efficiency Dr Gavin Bunting

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Strategic Solutions for Resource Efficiency Dr
Gavin Bunting

• Swansea University / Technium
• GIN Conference, Cardiff
• 2 July 2006

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Presentation Summary

• Resource Efficiency
• Expert Panel on Resources Management (EPRM)
• Terms of Reference
• Work Structure
• Biggest Impact Areas
• Strategic Solutions
• Smarter Support

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Resource Efficiency

• In 2002, organisations within Wales accounted
  for 53 of Wales energy consumption and 60-80
  of waste.
• Energy efficiency is cost effective rates of
  return around 15
• Potential to reduce non-domestic emissions by
  around 20
• UK businesses lose up to 4.5 of annual turnover
  every year through avoidable waste

the efficient use of materials or energy
throughout the product or process lifecycle.
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Expert Panel on Resources Management
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Terms of Reference

• Providing well-informed policy and independent
  evaluation of business and environment support in
  Wales
• The Expert Panel is tasked with
• Advising the Welsh Assembly Government on
  resource management current and likely future
  business best practice.
• Comment on progress of the implementation of
  BEAP.
• Advise the Welsh Assembly Government on the
  formal evaluation of BEAP.
• Advise the Welsh Assembly Government on the
  development of further phases of BEAP.

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Work Structure

• Identified Materials Energy as key themes
• Communications critical in delivery

Sustainability
Environment / Economy / Society
Materials
Resources management
Delivery
Communications
Energy
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Biggest Impact Areas

• ENERGY
• Energy Efficiency
• Microgeneration
• Construction
• Transport

• MATERIALS
• Eco-design
• Reducing and re-using
• Recycling
• Construction

The strategic solutions can significantly
influence all of the above areas
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Strategic Solutions
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Strategic Solutions
These solutions apply to
ORGANISATIONS Building People Transport Products/s
ervices Finance
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Strategic Solutions
HARD AND SOFT INFRASTRUCTURE
To provide the necessary resources that will
allow organisations to become more resource
efficient. These need to be easily accessible and
provided in an integrated, co-ordinated,
non-exclusive manner.

• For resource efficiency to be adopted a suitable
  infrastructure needs to be in place
• Recycling networks
• Business support and public sector policy or
  finance

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Strategic Solutions
PUBLIC SECTOR LEAD

• The public sector in Wales has a procurement
  budget of 4bn which accounts for 11 of Waless
  GDP
• This spending power has the ability to shape
  markets
• The public sector can demonstrate best practice
• Public sector services to be better value for
  money
• Long term targets by the public sector will lead
  to long term demand

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Strategic Solutions
SMARTER SUPPORT

• The support and measures provided to encourage
  better resource efficiency within organisations
  in Wales, must be easily accessible, relevant,
  sector specific and good value for money. In
  order to achieve this, an integrated, coherent
  approach is needed.
• A support system that helps organisations in
  Wales become increasingly resource efficient.
• Regulation and financial incentives that
  encourage resource efficiency
• The engagement of the private sector
• Effective, innovative and good value support
  programmes

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Strategic Solutions
KEY PERFORMANCE INDICATOR (KPI)
A KPI is required to measure the progress of the
organisation and the success of the
organisational support providers (OSPs), in
implementing better resource efficiency.

• Make measurement of resource use easy and
  common-place
• Report against climate change targets
• Raise awareness of each organisations
  resource-burden and
• Highlight areas for greater efficiency

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Strategic Solutions
GRANT ELIGIBILITY
Drivers are needed to persuade organisations to
consider their resource efficiency and adopt a
policy of continual improvement. The public
sector can maximise implementation of resource
efficiency measures in the terms and conditions
of their grants.

• To use grant-funding as an incentive for
  organisations in Wales to measure and
  continuously improve their resource efficiency.

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Strategic Solutions
TRAINING AND EDUCATION

• Give Welsh organisations a positive global
  reputation in the provision and use of resource
  efficiency measures.
• Increase the skills base
• Provide the knowledge required for innovation
• Raise the awareness of the national population
  of the positive financial quality of life
  implications of resource efficiency.
• Drive improvements in resource efficiency through
  consumer pressure.
• Raise the awareness of the positive economic
  impacts of resource efficiency and promote
  voluntary adoption of the measures to achieve
  this.

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Strategic Solutions
COMMERCIAL OPPORTUNITIES
Organisations need to be made aware of the
commercial opportunities available in enabling
organisations to become more resource efficient,
and the benefits of locating / starting-up their
organisation within Wales.

• Make businesses aware and able to take advantage
  of the positive opportunities that providing
  resource efficiency products or services can
  bring.
• Make Wales the foremost provider of products or
  services that enhance resource efficiency.
• Provide businesses with resource efficient
  products or services sourced from within Wales

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Strategic Solutions
RESEARCH AND DEVELOPMENT
RD is needed to identify more efficient
technologies, methods or practices, as well as
maximising the commercial viability of current
technologies in the field of resources
management.

• Promote innovation and a vibrant economy around
  the technologies and processes that relate to
  resource efficiency
• Foster the next generation of technologies or
  processes that will help organisations in Wales,
  and globally, be more resource efficient.
• Provide the knowledge required for innovation in
  the field of resource efficiency

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Smarter Support
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Barriers to Smarter Support

• Current business support infrastructure is
  complex
• Confusion within the private sector of who to
  seek advice from.
• 48 of businesses want more help to deal with
  environmental issues
• Businesses are most likely to contact their
  local authority for guidance on environmental
  issues.
• The UK Government Sustainable Consumption
  Production review recommended
• that options be explored to provide programme
  networking, to share information and promote
  closer working between the various support
  programmes..

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Barriers to Smarter Support
Federation of Small Businesses Membership Survey
2006
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Smarter Support
the support and measures provided to encourage
better resource efficiency within organisations
in Wales, must be easily accessible, relevant,
sector specific and good value for money. In
order to achieve this, an integrated, coherent
approach is needed
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Smarter Support
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Smarter Support
FUNDING

• Grants dictate targets and areas of focus
• Coordination between funders needed to achieve
  coordination eliminate duplication.
• Identifying projects where OSPs can collaborate
  to access funds
• Funding bodies would need consistent, reliable
  data on
• the priorities of other funding bodies,
• the OSPs already being funded and their targets,
  
• the expertise of the OSPs and
• the needs of the client organisations

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Smarter Support
STRATEGY

• Responsibility for organisational support is
  split between WAG depts.
• A single cross-departmental strategy could help
  lead to
• Consistent provision of organisational support
  across depts
• Focus for expenditure as mentioned above.

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Smarter Support
DATABASE

• Information for funders / administrators and
  auditors
• Targeting funding and strategy
• Provide a good baseline for monitoring success
• b) Information for organisations / OSPs
• Tool for organisations looking for advice
• Aid signposting of organisations
• Support the successful operation of client
  management systems by the OSPs.

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Smarter Support
DATABASE

• c) Resource efficiency information for
  organisations
• The cost of technologies / measures to increase
  resource efficiency is a perceived barrier often
  cited by organisations
• Consistent evidence based data including
• Pros and cons, including payback periods, for
  resource efficiency technologies
• The economic impact of resource efficiency
• Best practice guides
• Legislation / Strategy

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Smarter Support
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Communication and Engagement
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Smarter Support
Sector specific advice
Organisations want to know what is relevant to
them with regards to resource efficiency
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Smarter Support
Positive economic benefits

• How does resource efficiency affect the bottom
  line?
• This is the basis of BEAP
• What commercial opportunities are available?
• Environmental Goods and Services sector was
  predicted to increase from 550bn a year in 2002
  to 688bn in 2010.
• First mover advantage in this sector is
  considerable
• These MORI survey, which showed that businesses
  have manpower and skills at the top of their
  agenda, followed by competitiveness.

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Smarter Support
Regulation / incentives

• Incentives
• Useful short-term measure to support young
  markets where economies of scale have not been
  reached.
• Regulation
• Correct market failures, promoting fairness and
  increasing competition
• Create a level playing field and ultimately
  behavioural change
• Key to building EGS market Carbon Trading

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Summary
These solutions apply to
ORGANISATIONS Building People Transport Products/s
ervices Finance
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Summary
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Effective Communication is Vital
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Thank you for your time