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Eco-verification
Presentation to National Education &
  Professional Development Forum



                               12 June 2009
Eco-Verification


EcoV Initiative working to help businesses use
environmental performance for their
competitive advantage
Purpose
• Add value to business, by providing quality
  information and tools to:
  – Identify opportunities
  – Reduce costs
  – Manage risk
  – Respond to growing supply chain demands
Eco Verification Principles
• Aligning methodologies & approaches
  across the economy to achieve
  consistency & avoid the cost of duplication
• Create ownership through partnering with
  stakeholders in programme design
• Success is dependent upon identifying
  effective implementation partnerships
• Keep it simple, focussed & effective
Eco-Verification Infrastructure
                      Research/
                     Intelligence
                                                        Enabling

     Standards                         Tools




                       Uptake
                                                        Improving



                     Implement



                      Measure
                      & verify                          Validating



     Certification                   Ecolabel
      (Company)                     (product/service)
Eco-Verification Projects
        EV Network & Steering Group       Research/
                                         Intelligence   Life cycle Inventory Database
         Briefing on VCM:ETS alignment



Eco-standard Stocktake    Standards                        Tools            Business Environmental
                                                                            Assessment Tool




                                                                                                     Life-cycle management
                                           Uptake       Sector partnerships



      Status

    Completed                            Implement      Liaison with service providers

    Underway
    Pending
                                          Measure       Seafood sector GHG tool & methods
                                          & verify      Tourism sector GHG tool, methods & labels



                         Certification                   Ecolabel
                           (Company)                    (product/service)   Ecolabel Directory
Current Projects
• Sector based GHG Estimation and
  Reduction
• Life Cycle Inventory Database
• Life Cycle Management
• Business Environmental Assessment Tool
• Ecolabel Directory
Focus

Demand




          Head of NZ
         Supply Chain


            MLE 1


            SME 1


            SME 2


            SME 3
Environmental Credentials
          Demand




          Supply
Environmental Credentials
          Demand




          Supply
Product Declarations
                  and labelling
Coordination




                                      Capability
               Measurement (LCA)


                    Data (LCI)
Sector-Based GHG Management

Objectives
• Enable NZ businesses to measure, manage and
  demonstrate their environmental credentials
• Cover interests of major export sectors (with MAF)


Components
• Tourism sector partnership
   – Calculator (completed)
• Seafood sector partnership
   – Contract let
Life Cycle Inventory

Objectives
•    Develop a comprehensive resource of robust inventory data to
     enable businesses to assess performance and make defensible
     claims.

Components
1.     standardise the process of collecting LCI data;
2.     develop a central database for storing LCI data (LCI
       database), and
3.     populate the database with LCI data provided by LCI
       practitioners operating in New Zealand.
Status
•      LCI Steering Group established
•      Currently reviewing methodologies for collecting data
Life Cycle Association of NZ

Objectives
•   Provide a means of coordinating activity aimed at driving authentication of
    environmental claims
•   Coordinate
•   Provide forum for sharing knowledge
•   Encourage consistency

Status
•     Application for incorporation submitted
Product Declarations
            and labelling




                                  LCA Professorship
LCANZ



          Sector GHG/Carbon
             Foot printing


        LCI Database Initiative
Life Cycle Management

Objectives
•   Improve national capabilities
•   Identify practical methods & applications
•   Roll-out capabilities to other sectors


Status
•   Companies recruited
•   Training underway
•   Developing research plan
LCM




               Trade
          Opportunities



         Product Declarations
            and labelling




                                  LCA Professorship
LCANZ



          Sector GHG/Carbon
             Foot printing


        LCI Database Initiative
Eco-Label Directory

Objective
Provide information
about eco-labels for
consumers and
businesses

Status
• Launched Aug 2008
• Currently updating
  content and
  enhancing
  functionality
Business Environmental Assessment Tool


   Designed to address 3 issues facing SMEs
     in NZ:
   1. Absence of low-cost, easy-access, credible EM tools
   2. Declining EMS certifications (certifications growing worldwide)
   3. Confusing range of EMS schemes & standards

  These issues undermine SME environmental performance & our exporter’s
  ability to trade on environmental credentials in overseas markets
Issue 1. No First Step

          high




    Cost of                                                                              EHS & TQM models
Implementation




                                                                      International EMS Standard
                                                                      (ISO 14001)


                                                     Proprietary EMS schemes
                                                     (Enviro-Mark, Eco-Warranty, EWoF, sector schemes)

                                         Business Environmental Assessment Tool
           low
                                        Sophistication                                               high


           It is difficult for SMEs to appreciate the value of EMS standards & schemes
           if they know little about their environmental impacts, risks & opportunities
Issue 2. Diverging EMS Uptake


 Worldwide                                                          New Zealand


                                                    250
                                                                                                  194 180
                                                    200                                                     182




                                   Certifications
                                                                                            155
                                                    150                                                           155

                                                    100                                78
                                                                          62 63
                                                                                  52
                                                    50            26 33
                                                          0   3
                                                     0
                                                          1   2   3 4     5 6     7    8 9 10 11 12 13
                                                                                Year

   There is a growing risk that NZ businesses will not be prepared for
   future overseas demand for recognised environmental credentials
Issue 3. Confusing Choice




                                  SME Land                                                  Major Corporates
No EMS   Self-Assessment tools   Memberships   Compliance Schemes Proprietary EMS schemes    ISO14005   ISO 14001   EMAS   EHS   CSR   TQM



No formal                                                                                                            Comprehensive
environmental                                                                                                        environmental
management                                                                                                           management




           There is a need to link existing services & providers, so that businesses can make
           appropriate choices, & demonstrate recognisable environmental credentials
Our Approach
Pragmatic approach:
 •   Basic tool (fills a gap at the low end of the market)
 •   Acknowledge both risks & opportunities
 •   Link to existing tools (assessment, management & claims)
 •   National consistency (tools & service providers)

Lowering barriers:
 • Free access
 • Easy to understand & use (SME speak)
 • Widespread recognition (by SMEs, big business & public sector)

Strengthening drivers:
 •   Endorsement by government & business
 •   Use by business (supply chains, sector groups, corporate structures)
 •   Available to others (EMS scheme owners, consultants etc)
 •   Partnerships for delivery
 •   Potential recognition by procurement & consent authorities
BEAT Modules
                                   Questionnaire
                              Performance:   Management:
                              • Energy       • Preparing
                              • Water        • Planning
                              • Waste        • Doing
                              • Transport    • Checking
                              • Site         • Informing



                                                                                            Validation
Registration                                               Report                           (not currently available)
• Contact details                                                                           • Invite auditor
                                                           •   Score                        • Site visit
• Site details
                                                           •   Profile                      • Certificate issued
• Commitment
                                                           •   Trend
                                                           •   Recommendations
                                                           •   Links




                                                                            Audit &
                                                                            Certification
                             Annual
                             update



      Action Plan
      •   Priorities
      •   Responsibilities
      •   Timeline
      •   Status
      •   Auto-report
Current Status
Software
 • Due to be completed next week (currently adding Action Plan & status reporting)
 • Components: assessment, score, profile, recommendations, links, plan, status report

Availability
 •   Launch on 15th July 2009 (by Minister of Commerce & Business NZ)
 •   Free access & use
 •   Software platform available for other uses
 •   Unrestricted access:
         •   Support users (e.g. guide users through BEAT)
         •   Build services around it (e.g. training, planning, validation, certification)
         •   Link it to proprietary services/tools
         •   Develop sector-specific applications (by adding performance modules)

Recognition of BEAT Score
 • Self-assessment has in-house benefits
 • External recognition is limited (unless certified)
 • Organisations may choose to have their score/profile validated
Future Developments
MED (Eco-Verification Team) Activity
•   Promoting BEAT (to encourage recognition & uptake)
•   Tailoring BEAT to sector group needs
•   Investigating application to corporate supply chains
•   Looking into other applications (e.g. procurement)
•   Negotiating ownership by businesses


Public Sector Procurement
• Add BEAT to the toolkit of resources for suppliers
• No current plans to require suppliers to use BEAT
Thank you

Tim Strange
email: tim.strange@med.govt.nz
tel: 04 474 2619

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The Eco Verification Initiative

  • 1. Eco-verification Presentation to National Education & Professional Development Forum 12 June 2009
  • 2. Eco-Verification EcoV Initiative working to help businesses use environmental performance for their competitive advantage
  • 3. Purpose • Add value to business, by providing quality information and tools to: – Identify opportunities – Reduce costs – Manage risk – Respond to growing supply chain demands
  • 4. Eco Verification Principles • Aligning methodologies & approaches across the economy to achieve consistency & avoid the cost of duplication • Create ownership through partnering with stakeholders in programme design • Success is dependent upon identifying effective implementation partnerships • Keep it simple, focussed & effective
  • 5. Eco-Verification Infrastructure Research/ Intelligence Enabling Standards Tools Uptake Improving Implement Measure & verify Validating Certification Ecolabel (Company) (product/service)
  • 6. Eco-Verification Projects EV Network & Steering Group Research/ Intelligence Life cycle Inventory Database Briefing on VCM:ETS alignment Eco-standard Stocktake Standards Tools Business Environmental Assessment Tool Life-cycle management Uptake Sector partnerships Status Completed Implement Liaison with service providers Underway Pending Measure Seafood sector GHG tool & methods & verify Tourism sector GHG tool, methods & labels Certification Ecolabel (Company) (product/service) Ecolabel Directory
  • 7. Current Projects • Sector based GHG Estimation and Reduction • Life Cycle Inventory Database • Life Cycle Management • Business Environmental Assessment Tool • Ecolabel Directory
  • 8. Focus Demand Head of NZ Supply Chain MLE 1 SME 1 SME 2 SME 3
  • 10. Environmental Credentials Demand Supply
  • 11. Product Declarations and labelling Coordination Capability Measurement (LCA) Data (LCI)
  • 12. Sector-Based GHG Management Objectives • Enable NZ businesses to measure, manage and demonstrate their environmental credentials • Cover interests of major export sectors (with MAF) Components • Tourism sector partnership – Calculator (completed) • Seafood sector partnership – Contract let
  • 13. Life Cycle Inventory Objectives • Develop a comprehensive resource of robust inventory data to enable businesses to assess performance and make defensible claims. Components 1. standardise the process of collecting LCI data; 2. develop a central database for storing LCI data (LCI database), and 3. populate the database with LCI data provided by LCI practitioners operating in New Zealand. Status • LCI Steering Group established • Currently reviewing methodologies for collecting data
  • 14. Life Cycle Association of NZ Objectives • Provide a means of coordinating activity aimed at driving authentication of environmental claims • Coordinate • Provide forum for sharing knowledge • Encourage consistency Status • Application for incorporation submitted
  • 15. Product Declarations and labelling LCA Professorship LCANZ Sector GHG/Carbon Foot printing LCI Database Initiative
  • 16. Life Cycle Management Objectives • Improve national capabilities • Identify practical methods & applications • Roll-out capabilities to other sectors Status • Companies recruited • Training underway • Developing research plan
  • 17. LCM Trade Opportunities Product Declarations and labelling LCA Professorship LCANZ Sector GHG/Carbon Foot printing LCI Database Initiative
  • 18.
  • 19. Eco-Label Directory Objective Provide information about eco-labels for consumers and businesses Status • Launched Aug 2008 • Currently updating content and enhancing functionality
  • 20. Business Environmental Assessment Tool Designed to address 3 issues facing SMEs in NZ: 1. Absence of low-cost, easy-access, credible EM tools 2. Declining EMS certifications (certifications growing worldwide) 3. Confusing range of EMS schemes & standards These issues undermine SME environmental performance & our exporter’s ability to trade on environmental credentials in overseas markets
  • 21. Issue 1. No First Step high Cost of EHS & TQM models Implementation International EMS Standard (ISO 14001) Proprietary EMS schemes (Enviro-Mark, Eco-Warranty, EWoF, sector schemes) Business Environmental Assessment Tool low Sophistication high It is difficult for SMEs to appreciate the value of EMS standards & schemes if they know little about their environmental impacts, risks & opportunities
  • 22. Issue 2. Diverging EMS Uptake Worldwide New Zealand 250 194 180 200 182 Certifications 155 150 155 100 78 62 63 52 50 26 33 0 3 0 1 2 3 4 5 6 7 8 9 10 11 12 13 Year There is a growing risk that NZ businesses will not be prepared for future overseas demand for recognised environmental credentials
  • 23. Issue 3. Confusing Choice SME Land Major Corporates No EMS Self-Assessment tools Memberships Compliance Schemes Proprietary EMS schemes ISO14005 ISO 14001 EMAS EHS CSR TQM No formal Comprehensive environmental environmental management management There is a need to link existing services & providers, so that businesses can make appropriate choices, & demonstrate recognisable environmental credentials
  • 24. Our Approach Pragmatic approach: • Basic tool (fills a gap at the low end of the market) • Acknowledge both risks & opportunities • Link to existing tools (assessment, management & claims) • National consistency (tools & service providers) Lowering barriers: • Free access • Easy to understand & use (SME speak) • Widespread recognition (by SMEs, big business & public sector) Strengthening drivers: • Endorsement by government & business • Use by business (supply chains, sector groups, corporate structures) • Available to others (EMS scheme owners, consultants etc) • Partnerships for delivery • Potential recognition by procurement & consent authorities
  • 25. BEAT Modules Questionnaire Performance: Management: • Energy • Preparing • Water • Planning • Waste • Doing • Transport • Checking • Site • Informing Validation Registration Report (not currently available) • Contact details • Invite auditor • Score • Site visit • Site details • Profile • Certificate issued • Commitment • Trend • Recommendations • Links Audit & Certification Annual update Action Plan • Priorities • Responsibilities • Timeline • Status • Auto-report
  • 26. Current Status Software • Due to be completed next week (currently adding Action Plan & status reporting) • Components: assessment, score, profile, recommendations, links, plan, status report Availability • Launch on 15th July 2009 (by Minister of Commerce & Business NZ) • Free access & use • Software platform available for other uses • Unrestricted access: • Support users (e.g. guide users through BEAT) • Build services around it (e.g. training, planning, validation, certification) • Link it to proprietary services/tools • Develop sector-specific applications (by adding performance modules) Recognition of BEAT Score • Self-assessment has in-house benefits • External recognition is limited (unless certified) • Organisations may choose to have their score/profile validated
  • 27. Future Developments MED (Eco-Verification Team) Activity • Promoting BEAT (to encourage recognition & uptake) • Tailoring BEAT to sector group needs • Investigating application to corporate supply chains • Looking into other applications (e.g. procurement) • Negotiating ownership by businesses Public Sector Procurement • Add BEAT to the toolkit of resources for suppliers • No current plans to require suppliers to use BEAT
  • 28. Thank you Tim Strange email: tim.strange@med.govt.nz tel: 04 474 2619