Carbon reduction: it’s a life cycle thing

James Newton
16 April 2014

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Think whole life when working out the best way to cut carbon says Mott MacDonald’s James Newton.

The government’s Infrastructure Carbon Review (ICR) successfully argued that cutting carbon is as much about running a successful business as about environmental responsibility. 

Carbon is a proxy for energy and resource use, and therefore for cost. Published in November 2013, the ICR made this fundamental connection between carbon emissions and commercial efficiency, and highlighted ways in which leading infrastructure owners and operators have strengthened their performance by reducing carbon associated with building and running their assets (capital and operational carbon – CapCarb and OpCarb).

Infrastructure is responsible for 53% of UK carbon emissions. Owners have direct control over a third of that through CapCarb and OpCarb. That equates to 157Mt of infrastructure’s annual 515Mt carbon footprint. The other two thirds of emissions relate to the use of infrastructure services – principally power but including, water, transport, communications and waste management – by the public, commerce and industry.

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CapCarb and OpCarb - the opportunities

CapCarb reduction is linked mainly to resource efficiency: Extraction, processing and transport of resources and their subsequent use in construction consumes significant energy, which is currently closely linked to carbon. Cutting the volume of materials consumed and using resources more efficiently therefore offers potentially major cost as well as carbon savings. Asset intensive sectors have the opportunity to rigorously challenge the need for proposed new infrastructure to avoid construction.

"Adoption of current low carbon best practices comprehensively across the infrastructure sector, combined with savings delivered through the progressive decarbonisation of power generation over the next 35 years, offers the potential to cut UK infrastructure CapCarb by 3.5Mt and OpCarb by 20Mt/annum, worth over £1.5bn/annum."

 A decreasing order of carbon and commercial savings can be achieved by maximising the capacity and extending the life of existing assets, by using low carbon materials and lean processes to ‘build clever’, and by driving efficiency. To achieve the greatest benefits, carbon needs to be a focal issue not just from the earliest stages of design, but in business and strategic planning as well.

OpCarb is directly linked to energy use. Designers and suppliers have significant influence over this up-front, through the development and design of schemes. Operation and maintenance also play vital ongoing roles in energy, carbon and cost savings. In the water sector, for example, infrastructure owners and operators can often realise relatively easy carbon and cost savings by matching treatment energy to load, replacing worn parts or cleaning screens and filters.

For example, a recent review of wastewater treatment processes carried out by Mott MacDonald revealed scope for 15% OpCarb/opex savings through simple quick win measures. Owners are also able to exercise direct control over the source of their electricity, and potentially choose to generate renewable energy themselves, justifying capex and attendant CapCarb emissions through significantly greater opex and OpCarb savings.

The ICR pointed to Cap and OpCarb savings at both project and programme levels: The Highways Agency has achieved CapCarb savings of 40%; reductions of up to 26% were achieved on infrastructure for the London Olympics. At a programme level, Anglian Water has reduced CapCarb by 39% and operational carbon by 34% against its 2009 baseline.

Adoption of current low carbon best practices comprehensively across the infrastructure sector, combined with savings delivered through the progressive decarbonisation of power generation over the next 35 years, offers the potential to cut UK infrastructure CapCarb by 3.5Mt and OpCarb by 20Mt/annum, worth over £1.5bn/annum.

Key actions

The ICR highlighted three key actions to incentivise and release the value offered by carbon reduction – strong leadership to drive cultural engagement with the low carbon agenda; innovation to identify and implement new thinking; and procurement that incentivises the whole value  chain to collaborate and outperform client targets.

The 31 March Intergovernmental Panel on Climate Change report hammered home again the importance of curbing carbon emissions in order to slow the rate of climate change and avert catastrophe. The UK remains legally committed to achieving an 80% carbon emissions reduction by 2050 against the 1990 baseline. Meanwhile, the cost of energy is rising, creating an ever stronger financial incentive to improve efficiency. In short, there are strong moral, environmental, regulatory and now commercial reasons to get on with cutting carbon.

·      Mott MacDonald researched and authored the Infrastructure Carbon Review which was published on 25 November by HM Treasury and the Department for Business, Innovation & Skills with the Green Construction Board. Mott MacDonald was commissioned by the GCB’s Infrastructure Working Group to research and author the review and its supporting technical report. Find the ICR here

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Green Construction Board Infrastructure Carbon Review conference - 16 June - POSTPONED UNTIL NOVEMBER

The government-backed Green Construction Board will be hosting a morning conference in November (date to be confirmed) designed specifically to explain to business and commercial benefits of embracing the Infrastructure Carbon Review across the industry.

Infrastructure minister Lord Deighton and Chief Construction Advisor Peter Hansford will set the scene and lead the discussion at the BIS conference centre on Victoria Street in London. Other speakers will include Skanska chief executive Mike Putnam, Anglian Water, director Chris Newsome and Highways Agency director Ginnie Clarke.

For details and to register you interest in attending this free event email antonyoliver@acenet.co.uk