CARBON

EMISSIONS IN
THE FOOD
AND BEVERAGE
SECTOR
A CLIMATE SMART TM INDUSTRY BRIEF

SPONSORS

SECTOR SPONSORS ADDITIONAL SUPPORT

 ABOUT CLIMATE SMART

Empowering businesses to reduce

carbon emissions and cut costs

Climate Smar t Businesses Inc. is a social enterprise that provides a training

and cer tification program for businesses to measure their carbon emissions,
identify oppor tunities for cost, energy, and carbon savings, and communicate
their effor ts internally and externally.
We work not as consultants, but as teachers, using a capacity-building
curriculum, top-rated software tool, and one-on-one client suppor t.
Businesses and organizations renew their Climate Smar t cer tification by
measuring their carbon emissions annually to track progress toward reducing
emissions and add to their reduction plans. Individuals coming through our
training learn to measure, analyze and reduce their companys impact: key
skills in the emerging green economy.
Climate Smar t also works with local governments, utilities, industr y
associations and other corporate par tners to engage their business
communities. We catalyze innovation, which strengthens businesses in the face
of risks from volatile energy and fuel prices, the rising cost of waste disposal,
and an increase in climate change impacts. Climate Smart business training session (photo credit: Climate Smart)

Climate Smar t businesses cut unnecessar y consumption of energy, fuel,

and materials, as well as waste generation, tying climate action to smar t
business practice. Since 2008, we have helped more than 770 businesses and
organizations of all sizes and sectors prepare for the future.
Using our growing set of data, Climate Smar t develops repor ts, case Learn more about how Climate Smar t can help your organizations move to a
studies and analysis for community emission modeling, utilized by both local new, prosperous normal.
governments and businesses to benchmark their progress against emission
Go to www.climatesmartbusiness.com or call 1-888-688-6283.
and cost-saving goals and amongst their peers.
CONTENTS 1 Introduction
4 Food Processing and Distribution
15 Case Study: Left Coast Naturals
17 Case Study: Van Houtte Coffee Services
19 Food Retail
27 Food Services
34 Case Study: Recycling Alternative and Tacofino
36 Invitation to Businesses
37 Sponsors
INTRODUCTION
Welcome to Climate Smarts third Industry
Brief in a series showcasing data and trends in
climate change action among small and medium-
sized enterprises (SMEs). These organizations
are making smart decisions to reduce their
greenhouse gas emissions, while improving their
top and bottom lines at the same time.
The series came about as a way of responding to
our clients curiosity about their performance
compared to their peers and competitors. In each
Brief we address sectors with similar operation
types, highlighting what we have learned about
the sectors emission sources and opportunities
for reductions. Its also a forum to share the
wealth we have gathered: ideas generated and
tested by Climate Smart businesses aiming to
improve the way business is done.
VISUALIZING A TONNE OF CARBON
In carbon accounting the unit of measure is tonnes of
carbon dioxide equivalent (CO 2e). This represents the
amount of seven different greenhouse gases (GHGs)
released into the atmosphere. Each of these gases
has a different global warming potential (capacity
This Brief focuses on the food and beverage
to heat the atmosphere), so they are conver ted
sector, comprising food and beverage processors
into equivalent tonnes of CO 2: the most impor tant
and distributors, retail stores, and food service
greenhouse gas and the one that represents the vast
businesses. The business data provided in this
majority of the worlds GHG emissions.
Brief comes from the Climate Smart data pool
of greenhouse gas emission inventories and
reduction strategies for 770+ businesses, many 1 tonne of CO2e
at ground-level
of which have measured their emissions with pressure and temperature
CO2
would fill a sphere
Climate Smart for a number of years. 77 food
10.9 m in diameter
sector businesses have completed their Climate
Smart certification to date, forming the basis for
this study.
Learn more about how There are 2,989 billion tonnes
Climate Smart can help your of CO2e in Earths atmosphere.
organization transition to the 689 billion tonnes, or 22% of
new low-carbon economy. this amount, has been added by
www.climatesmartbusiness.com human activity.
1-888-688-6283
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR 1
THE FOOD AND BEVERAGE SECTOR

BCs food sector includes producers, processors, and Export

distributors of food as well as food ser vices and food
retail sectors. There are over 30,000 food sector Direct Supply
businesses in BC employing just over 300,000 people and
contributing over 10.1 billion dollars to the provinces
Farming Food Food Customers
GDP*. As our food travels down the supply chain from
and Processing Retail
growers to processors to grocer y stores and restaurants Fishing and
and, ultimately, to our plates, energy, fuel, and other Distribution
resources are used at ever y step along the way to grow, Food Services
transpor t, prepare, package, cook, and ser ve the food we
eat. This energy and fuel use produces carbon emissions Traditional Supply Chain
and contributes to climate change, the environmental
challenge United Nations Secretar y General Ban Ki-moon
Direct Supply
calls the defining issue of our time.
In this brief, we focus on the three sub-sectors of food Import
processing and distribution, food retail, and food ser vices
and profile forward-thinking and innovative businesses that
are taking action to reduce their carbon footprint while
strengthening their business and protecting themselves
from rising fuel and energy costs. These businesses are Farming and Food Food Retailers Food Services
using GHG emissions as a lens to look at their business Fishing Processing and
and identify and improve upon the areas of inefficiency, Distribution
while strengthening their top and bottom lines at the
same time. From small coffee shops to food distributors Employment 29,800 49,325 75,081 153,073
employing hundreds of people, from corner stores to (total employees)
supermarket chains, these businesses are taking the Establishments 9,887 3,443 4,441 12,562
lead in improving the way food business is done. We (number of businesses)
hope that their journeys and achievements will inspire
more businesses to star t measuring and managing their GDP Contribution 1,314 3,843 2,988 3,334
emissions. We encourage industr y associations to use (million $):
this repor t to help focus their effor ts to suppor t emission Projected Emissions -- 320,000 180,000 450,000
reduction initiatives within their sectors. (tonnes CO 2e)

* Source: Fast Stats 2012: Agriculture, Seafood and Agrifood, September 2013, BC
Ministr y of Agriculture, and Statistics Canada Cansim Table 379-0030

CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR 2

KEY FINDINGS AND COST SAVINGS
There is much to be learned from the greenhouse
gas management journeys of food-related
businesses and organizations. Some of the points
Climate Smar t discovered are:
Refrigerant emissions var y greatly and can
account for up to 90% of emissions for
some businesses. This is often an area where
businesses can make a real difference and
reap some substantial power bill savings by
retrofitting their aging refrigeration equipment.
Waste is a large emission source for food
businesses. Often the majority of the waste
is organic, and businesses achieve significant
reductions by simply diver ting their organics
from the landfill through composting.
Electricity, while being a relatively small
emission source for these businesses due to the
low emission intensity of BCs power grid, often
corresponds to one of the highest operating
costs, and offers low-hanging fruit oppor tunities
for cost savings.
Did you know?
BCs Greenhouse Gas Reduction Targets Act sets aggressive legislated
targets for reducing the provinces greenhouse gas emissions. BCs
emissions are to be reduced by at least 33% below 2007 levels by
2020. A further emission reduction target of 80% below 2007 levels is
required by 2050.
To date, Climate Smar t cer tified businesses in the
food and beverage sector have reduced 1,366
tonnes CO 2e and achieved annual cost savings
of $430,000 from transpor t, electricity, waste
disposal, and heating. This represents a 7% annual
reduction higher than the average 5% achieved
to date by Climate Smar t businesses.
Emissions from food distribution, processing,
retail, and food ser vices sectors combined are
projected at nearly a million tonnes of CO 2e.
This includes just four key sources: electricity,
natural gas, waste, and fleets. If these businesses
reduced their emissions from these four sources
by just 5% (an average reduction achieved by
Climate Smar t cer tified companies), it would
translate into a reduction of nearly 50,000 tonnes
of carbon and $20M saved in operating costs. By
2020, this annual 5% reduction would add up to
over 250,000 tonnes reduced and $100M saved in
operating costs a significant step towards helping
BC meet its greenhouse gas reduction targets.
Smar t businesses choose to measure at least a por tion
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
AN INTERNATIONAL STANDARD FOR
CARBON EMISSIONS MEASUREMENT
GHG inventories compiled through the Climate Smar t
program follow the GHG Protocol, an internationally
recognized standard developed by the World
Resources Institute and the World Business Council
for Sustainable Development. According to this
protocol, an organizations emissions are divided into
three categories, or scopes:
Scope 1 comprises all direct sources of emissions
(i.e., sources owned or controlled by the repor ting
business): fuel combustion from heating, fleet vehicles,
and equipment owned or leased by the repor ting
company, as well as refrigerant leakage from company-
owned machiner y. Repor ting of Scope 1 emissions is
mandator y under the protocol.
Scope 2 includes purchased electricity, heat, and steam.
Repor ting of Scope 2 emissions is mandator y under
the protocol.
Scope 3 comprises all other indirect emissions:
materials use, waste disposal to landfill, transpor t
of people and goods with vehicles not owned or
controlled by the repor ting company (business travel,
third-par ty shipping), paper use, staff commuting, and
others. Repor ting of Scope 3 emissions is currently
optional under the protocol; however, 96% of Climate
of their Scope 3 emissions.
3
FOOD
PROCESSING AND
DISTRIBUTION

CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR 4

BY THE NUMBERS
Food processing and distribution in BC
encompasses over 3,400 organizations and
employs nearly 50,000 people, contributing 3.8
billion dollars to the provinces GDP. The projected
emissions for this sector are 320,000 tonnes of
CO 2e this includes emissions associated with
electricity and natural gas use, as well as fuel used
by vehicle fleets and emissions from waste sent
to landfill. If these businesses collectively reduced
their emissions from just these four sources by
5% (the average annual reduction recorded by
Climate Smar t cer tified businesses), it would
result in a reduction of 16,000 tonnes of CO 2e,
and approximately $7M saved in operating costs.
Over six years, by 2020, this would amount to a
reduction of 26%, or over 85,000 tonnes of CO 2e,
and $36M in operating costs for these businesses
a significant step towards helping BC meet
provincial GHG reduction targets*.
* Emissions are estimated using emission intensities derived from the Climate Smart data set. Cost savings are calculated assuming a 5% reduction across all emission sources and
current energy and fuel prices.
In this section, we look at what motivates
businesses in food processing and distribution
to manage their carbon emissions, the sectors
key emission sources, and reduction strategies
that Climate Smar t businesses in this sector
implement to cut their emissions and operating
costs. The data for this section is derived from
the Climate Smar t data set that includes over
40 food processing and distribution businesses
that have become Climate Smar t cer tified since
2008. We hope that showcasing the leadership of
these forward-thinking businesses will help create
momentum and inspire other companies to take
action on climate change while strengthening their
business and preparing for the clean economy of
the future at the same time.
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR
MET Fine Printers craves to ser ve BCs Incredible
Foodie Community with the finest Innovative
Communication Experiences. We literally love to
play with food in METs 12 year strong Canstruction
Vancouver event that has raised over 1.3 million
Cans of food for the GVFB. This event is one facet
of our Triple Bottom Line business model. Creating
an environment of innovation, community and ser vice
that makes it tough to resist par tnering with us.
MET is one of Nor th Americas sought-after custom
printers and recognized not only for innovative
craftsmanship and environmental leadership, but also
for its commitment to doing the right thing within
the community. The finest print quality resides in the
same space as the finest environmental and social
attributes: right here at MET.
MET provides incredible power to the food and
beverage community with our MET Resource Web
to Print por tals, putting all of the power METs print
communication tools at your finger tips.
Find out how MET can power your Marketing.
Visit www.METprinters.com or call 1-866-254-4201
for more of our stor y.
METs First Press Organic Olive Oil Bespoke Packaging
SPONSOR
5
MOTIVATIONS FOR MANAGING CARBON

Climate Smar t sur veys businesses upon registering

for our training and cer tification program to Education 58%
understand the motivations driving action on Marketing / reputation / brand image 52%
carbon emissions management. The sur vey results
for food processors and distributors are shown in Building on existing green initiatives 50%
the char t. Cost-cutting / efficiency 44%
Education is the most oft-cited driver for Industry / community engagement 29%
businesses (nearly 60% of par ticipants mention it).
The practice of carbon management is still new to CSR mandate 24%
many businesses and educating themselves on this Networking / B2B opportunities 15%
new business practive is an impor tant driver.
Anticipating future requirements 14%
Marketing and brand image make up another
strong factor as businesses obser ve the market Supply chain / other requirements 10%
demand shift towards more environmentally Customer / investor / partner demand 9%
responsible products and ser vices. Many
companies seeking to become Climate Smar t Employee retention 8%
cer tified already have a number of sustainability
initiatives in place and are looking to solidify their
commitment and quantify the benefit of their Why are you choosing to manage carbon?
effor ts as well as prioritize next actions. Survey of food processing and distribution businesses on entering Climate Smart program

top three cited reasons for carbon management

personal interest marketing and building on green
and education brand lift practices

CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR 6


Finding cost saving oppor tunities is cited as a
driver by over 40% of the businesses as they
see energy, waste and fuel prices rise and want
to protect their business from the impact of
increasing production costs.
Industr y and community engagement is a factor
cited by nearly a third of businesses: companies
look to network and learn best practices from
their peers as well as take a leadership role within
their sector.
A corporate social responsibility mandate, and
supply chain/customer/par tner requirements are
also star ting to appear as drivers for businesses in
this sector to star t managing carbon.
Climate Smar ts enthusiasm for teaching made it
really enjoyable to learn how to calculate greenhouse
gas emissions, which was a process that had always
seemed intimidating and cumbersome. Since we
star ted working with the organization in 2011, we have
published information about our footprint in our annual
sustainability repor t and gotten great feedback from our
customers, consumers and others in the coffee industr y.
I cant recommend Climate Smar t highly enough!
Kim Elena Ionescu
Coffee Buyer and Sustainability Manager,
Counter Culture Coffee, Durham, NC, USA
Salt Spring Coffee has been an environmental leader
since our inception in 1996. We reduce our GHG
emissions by optimizing green bean shipping, using fuel-
efficient vehicles, and working towards zero waste. We
continue to forge our own path by initiating climate
projects that impact our communities. In coffee regions
we are developing projects to create clean energy, and
in Vancouver we are suppor ting food ser vice companies
to reduce their waste as leading sponsor for LOCO
BCs Zero Hero program.
Mickey McLeod
Co-founder, President and CEO
Salt Spring Coffee, BC
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR 7
CARBON EMISSIONS IN FOOD PROCESSING
AND DISTRIBUTION
One of the first steps businesses take in Climate
Smar ts training and cer tification program is
to map their emission sources and determine
which to include when quantifying their carbon
footprints. In accordance with the Greenhouse Gas
(GHG) Protocol (the internationally recognized
standard used by Climate Smar t), all businesses
measure direct emissions such as natural
gas used for heating and processing, fuel used
in vehicle fleets, and refrigerant leakage, and
indirect emissions associated with consumed
electricity. The vast majority of Climate Smar t
businesses include other indirect emission
sources, such as landfilled waste, business travel,
staff commuting, and third par ty shipping. While
inclusion of these indirect emissions is not
mandator y under the GHG Protocol, these
activities often offer many oppor tunities for
improved efficiency, emission reductions, and
cost savings. Once a business has gathered the
necessar y data and entered it into Climate Smar ts
online GHG management tool, it is reviewed by
Climate Smar ts team of advisors for any errors
and for compliance with the GHG Protocol.
Below are two representative emission profiles
of businesses that have measured their emissions
with Climate Smar t, and the stories of what they
learned from the process.
In this section, we present profiles of a food Did you know?
processing company and a food distribution
company in BC . The profiles are meant to illustrate
the process of quantifying emissions and to show A release of just one kg of
what a company may discover about its emissions. R-22 a commonly used
Along with the emissions profile, we present the refrigerant in the food sector
cost corresponding to each measured activity. This
highlights not only carbon reduction, but also cost
is equivalent to a release of
savings oppor tunities that lie in optimizing these 1,770 kg of carbon dioxide.
aspects of the companys operations. This is equivalent to the
emissions generated from
burning four barrels of oil.
In addition to its high global
warming potential, R-22 is an
ozone-depleting refrigerant,
and, as such, it is scheduled to
be phased out of production
by 2020 according to the
Montreal Protocol an
international environmental
agreement signed in 1987.
If you have a system that uses
R-22, talk to your refrigeration
contractor about replacement
options.
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR 8
FOOD MANUFACTURER
24 16 <1
18% 12% <1%
Carbon Emissions This food processor measured its natural gas and electricity usage as well as
133 tonnes CO2e 6 1 43 42 refrigerant leaks as their Scope 1 and 2 emission sources. They also chose to
5% 1% 32% 32% include their waste, third par ty shipping, air travel, and paper consumption
in the measurement under Scope 3. The char ts show their emissions profile
-
0%
$4,000
7%
$200
<1%
as well as the corresponding costs profile. Refrigerants and landfilled waste
Costs stand out in the emissions profile as the largest emissions sources, accounting
$57,800 $28,600 $6,800 $7,200 $11,000
together for over 80 tonnes of CO 2e emissions. Emissions from natural gas
50% 12% 12% 19% were also significant: 24 tonnes of CO 2e. Paper use and third par ty shipping
were small and together added up to under 1% of emissions. This was
because the majority of the companys products were getting picked up by a
Electricity Natural Gas Third-Party Air Travel Landfilled Paper Use Refrigerants distributor located only 15 km away, and paper use was minimal. Electricity
Shipping Waste
emissions represented just 5% of the total emissions measured due to the
Note: refrigerants include total maintenance costs low emission intensity of the BCs electric grid but presented, by far, the
highest cost over $28K a year.
High refrigerant emissions immediately attracted the companys attention to
25
full-time equivalent
employees (FTEs) the aging refrigeration system. Leaks in the system were not only emitting
over 40 tonnes of CO 2e (equivalent to consuming 100 barrels of oil), and
annual revenue
$3M costing the company $11,000 per year in maintenance but also reducing the
refrigeration systems efficiency, in turn increasing energy use and cost.
key emission
sources refrigerants, waste As par t of its Climate Smar t cer tification, Climate Smar t advisors worked
with the company to develop a reduction plan that included a business
top reduction
strategies energy audit, energy audit, examining the refrigeration system, composting their organic
waste, and switching to a more energy-efficient forklift. The company also

refrigeration system worked on a number of smaller initiatives including minimizing packaging for
their products, designing boxes so that more cases would fit on the pallet to

audit, composting reduce the number of shipments required, and printing product information
directly on boxes rather than having printed paper labels.

CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR 9

FOOD AND BEVERAGE DISTRIBUTOR
25 1,328 80 711
1% 56% 3% 30%
Carbon Emissions This food distribution company came to Climate Smar t with the intention of
2,386 tonnes CO2e 38 188 17 developing a strong sustainability commitment within the organization. The
1% 8% 1% companys Scope 1 and 2 emission sources included natural gas, electricity,
fleet fuel, and refrigerants. In addition to these key sources, the company
$7,000 $231,000
1% 30% measured emissions from their sales representatives travel, waste, and
Costs paper consumption. Not surprisingly, fuel used by the companys fleet was
$771,000 $95,000 $410,000 $9,000 $9,000 $10,000 its largest emission source. Another large por tion of the emissions profile
13% 53% 1% 1%; 1% was refrigerants refrigerants leaking from the cooling systems released
greenhouse gases equivalent to 711 tonnes of carbon, or 80,000 gallons of
gasoline consumed. Emissions from sales representatives reimbursed business
Electricity Natural Gas Fleet Business Landfilled Paper Use Refrigerants travel in personal vehicles won bronze at 188 tonnes.
Travel (Road) Waste
Quantifying greenhouse gas emissions helped the company prioritize
Note: refrigerant costs represents the amount spent on topped-up refrigerant
actions in their sustainability plan. In their first year with Climate Smar t,
they developed a company timeline filled with specific action steps aimed at
reducing their footprint. Shor t-term strategies included Smar t Routing a
80
full-time equivalent
employees (FTEs) fleet initiative aimed at smar ter planning of distribution routes to minimize
the amount of driving. Company drivers were trained in better driving habits
annual revenue not available and a company-wide non-idling policy was established. Company trucks were
set to stop the engine after two minutes of idling. They are now investigating
key emission
sources fleet, refrigerants options for retrofitting their refrigeration equipment to avoid leaks; using
their waste cooking oil to produce biodiesel for the fleet; and purchasing
hybrid or electric deliver y trucks. Installing a GPS tracking system on all
top reduction
strategies green routing, deliver y vehicles is also a par t of their long-term carbon reduction strategy.
In future, they plan to address sales team travel, which is costing the company
refrigeration system over $200K ever y year in reimbursements by investigating options for
rewarding sales representatives for purchasing fuel efficient vehicles, reviewing
retrofit, driver training sales territories to minimize driving, and researching the feasibility of having
drivers act as sales representatives for remote areas.

CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR 10

WHAT DOES YOUR BUSINESS EMISSION
PROFILE LOOK LIKE?
Emission profiles of food processors and
distributors var y widely from business to business.
The five char ts below show emissions profiles
for five Climate Smar t businesses: a brewer y,
three food manufacturers, and a food distributor.
The profiles highlight five key emission sources
for these businesses: electricity, natural gas, fleet,
landfilled waste, and refrigerants. Businesses that
use natural gas for process heat (breweries, coffee
roasters, meat products manufacturers, etc.) often
Brewery Meat Products
Manufacturer
Electricity Natural Gas Fleet Landfilled
Waste
find that natural gas is the largest contributor
to their emissions profile. The landfilled waste
por tion of emissions varies considerably among
these businesses, with some producing little waste
(brewer y and the ethnic foods manufacturer
examples below), and others, such as the sauce
and meat products manufacturers, discovering
that waste is their second largest emission source.
Refrigeration emissions can be ver y high for food
distributors operating large refrigerated storage
Ethnic Foods Sauce
Manufacturer Manufacturer
Carbon emissions profiles: food processing and distribution
Refrigerants
spaces and refrigeration units on their vehicle
fleet, as well as manufacturers with large cold
storage spaces. Fleet emissions are significant
for distributors and processors delivering their
own product. If you are a food manufacturer or
distributor, we invite you to consider which profile
best corresponds to your business and where your
oppor tunities for emission reductions and savings
might be found.
?
Food Your Company
Distributor
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR 11
HOW FOOD PROCESSORS AND DISTRIBUTORS
CUT CARBON
As par t of obtaining Climate Smar t cer tification, businesses, with the help of Behaviour Change 45%
Climate Smar t client advisors, develop a reduction plan a set of strategies Simple Equipment 45%
that they are currently implementing or planning to implement in the near Capital Equipment 19% Electricity
future. The char t summarizes the areas businesses are tackling in their plans.
Behaviour Change 17%
Strategies aimed at reducing emissions from landfilled waste are the most
popular nearly 70% of businesses take action to improve their waste Simple Equipment 33%

diversion. This includes composting, expanding recycling programs to add Capital Equipment 26% Heat
materials like soft plastics and Styrofoam, as well as more creative strategies
Reduce Paper Use 43%
like introducing reusable totes for product deliveries. Companies not only
tackle waste coming from their operations, but also product waste one in Diverting Waste 69%

five companies implemented initiatives to reduce their product packaging Packaging 21% Waste
and/or make it easily recyclable.
Driver Behaviour Change 43%
Reducing paper use is another common strategy. Over 40% of businesses Capital Replacement 21%
include actions to reduce paper use in their Climate Smar t reduction plans.
Vehicle Fuel Switching 10%
While paper is a relatively small emission source for the food processing and
distribution sector, it is often an area of low hanging fruit. For example, a Reducing Business Travel 19%
food manufacturer star ted printing labels directly on shipping boxes instead Alternative Staff Commuting 31%
of printing a paper label for each box, and another company switched to
Targeting Third-Party Shipping 26% Transport and equipment
paperless invoicing.
Over 40% of businesses are implementing fleet behaviour change strategies Chosen reduction strategies: food processing and distribution
like driver training, anti-idling policies, advanced route planning, and GPS fleet
tracking for improved routing efficiency and to monitor drivers behaviour.
These are often no- or low-cost measures that can significantly reduce fuel
expenses and emissions.
Electricity simple equipment and behaviour change strategies are
implemented by nearly half of the businesses. This includes initiatives such
as: a complete plant shut down policy at the end of the day, installing
motion sensors in areas with intermittent occupancy, or improving cold
room insulation low- or no-cost strategies that bring easy wins and power
bill savings. Additionally, one in five companies opted for larger capital
investments to reduce emissions from electricity or natural gas.

CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR 12


In 2013 we contracted Climate Smar t
to do an in depth analysis measuring
the GHG emissions associated with the
production, distribution and destruction
of traditional 750mL glass wine bottles
versus the equivalent useful lifecycle
of our re-usable stainless steel 19.5L
wine keg. Climate Smar t considered the
GHG emissions that take place from raw
material extraction all the way through
recycling the waste materials at the end.
This analysis found the freshTAP wine
packaging and distribution ser vice emits
35,486 fewer kgs of CO 2e over the useful
life of the wine kegs versus the equivalent
volume (60,000 L) of wine in light-weight
glass wine bottles, or 68% fewer GHG
emissions.
Mike Macquisten
CEO
FreshTAP & Vancouver Urban Winery, BC
Albion Fisheries Ltd. is Western Canadas
largest wholesale seafood distributor and
is ver y conscious of our impact on the
environment. Since we began measuring
our carbon emissions in 2011, we have
been working to reduce them by taking
steps like: switching to cold water to wash
equipment, aligning deliver y orders to
reduce their frequency, routing trucks for
optimum fuel efficiency, reducing internal
paper use, and working with suppliers to
minimize incoming packaging at all of our
locations.
In our Haida Gwaii location, Albion
began offering off cuts from our seafood
production to local crab boats as bait and
to local farmers as fer tilizer. This project
has diverted approximately 3,000kg
of waste from the landfill and reduced
emissions by more than four tonnes of
CO 2e.
More recently, we relocated to a new,
energy efficient facility in Richmond that
was built with innovative technology
focused on reducing our energy use.
Guy Dean
Vice President - Import/Export
Albion Fisheries, Richmond, BC
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR 13

We are committed to running a
sustainable business in all ways. Since
we star ted working with Climate Smar t
to measure and reduce our emissions
in 2010, we implemented a number
of initiatives to reduce our carbon
footprint. This includes par ticipating in
the renewable natural gas program with
For tisBC, purchasing renewable energy
cer tificates to offset our electricity
use, and recently replacing our roaster
with the Loring Smar t Roaster model.
This upgrade is expected to reduce our
natural gas emissions, which is our biggest
emission source, by up to 80%.
Paul Stratford
Chief Financial Officer
Ethical Bean, Vancouver, BC
Tantalus is BCs first LEED cer tified winer y
and through Climate Smar t we are working to
fur ther reduce our emissions through a Just Do
It campaign, which includes maintaining a no
idling policy throughout winer y operations and
public areas, reducing paper consumption and
encouraging sustainable commuting practices.
Jane Hatch
General Manager
Tantalus Vineyards, Kelowna, BC
Following our first greenhouse gas
inventor y measured with Climate
Smar t, we developed a reduction plan
that included implementing a Green
Routing initiative for our goods
deliver y, promoting behaviour changes
amongst our staff around energy use and
commuting to work, diver ting waste
par ticularly meat contaminated plastics
and Styrofoamaway from the landfill,
and reducing paper consumption. In
2014 we measured our second GHG
emissions inventor y. This measurement
provided us with the oppor tunity to see
how our emissions reduction strategies
had impacted our carbon footprint. We
discovered that our effor ts had in fact
been successful, generating a 12% overall
reduction!
Victoria Petrenko
Special Projects Assistant
Trimpac Meat Distributors, Vancouver,BC
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR 14

Sustainability as par t
of our DNA impacts
ever ything we do. It
can make for some
difficult decisions, but
we believe were only
successful if were
being good to people
and the planet, which
is why we hold one
another accountable
to higher, and what
we see as necessar y
standards.
Ian Walker
President

LEFT COAST NATURALS

CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR 15
 package sizes to minimize materials used; and a provides an incentive of $40 $120 per month for
shift from trucking to bringing in supplies by less carpooling, taking public transit, and biking/walking,
carbon-intensive marine and rail shipping where respectively. 55% of employees now get to work
possible. by alternative modes of transpor tation.
Specific to carbon emissions within their own Climate Smar t cer tification has helped Left Coast
operations, the Left Coast team has been Naturals demonstrate their leadership within
working with Climate Smar t since 2012 to more the food industr y and across sectors. Climate
Left Coast Naturals has been committed to
systematically track, and improve upon, the impact Smar t enabled Left Coast to understand their
sustainability since day one, striving to benefit all
of their ongoing effor ts to reduce emissions. carbon intensity and communicate the impact
of the 3Ps: people, the planet, and the companys
Over two years, while growing by more than of their reduction initiatives. This contributed to
financial prosperity. Since they got their star t
28% (number of employees), the company has the companys selection in April 2014 for the
star t in 1996, the award winning processors
implemented several ideas gathered from Climate Canadian Health Food Associations inaugural
and distributors of organic and natural foods
Smar t staff and fellow Climate Smar t cer tified Sustainability Award. Being climate smar t has also
have made sustainability the core factor in all
businesses to lower the carbon intensity of their helped improve Left Coast Naturals score as a
decisions.
operations. For example: cer tified Benefit Corporation, or B Corp, against
Today, Left Coast Naturals distributes 27 brands rigorous standards of social and environmental
By installing plastic cur tains to reduce heat
and processes three of their own: Hippie Foods, performance, accountability, and transparency.
loss when loading bay doors are open, natural
Left Coast Bulk Foods, and Skeet & Ikes. They have
gas consumption decreased 15% per full-time For a video with additional detail on the stor y of Left Coast
a fleet of trucks, a 32,000-square-foot warehouse,
equivalent employee (FTE). Naturals full environmental footprint, visit:
a 10,000-square-foot production facility, and ship www.leftcoastnaturals.com
foods from all over the world into their Burnaby Occupancy sensors in areas of intermittent
facilities and back out in the products they sell. use, exterior dawn-to-dusk controls, and a
continued conversion to high efficiency options
Results achieved:
When Left Coast conducted a careful examination
have helped to dramatically reduce energy
of the companys overall environmental footprint,
they learned that 80% of their impact occurs
consumed by lighting. 15% fewer emissions from
outside of their facilities, in the production and
transpor tation of the food they sell.
Emissions from vehicles dropped 24% per FTE
through initiatives such as reduced idling time
natural gas, per FTE
This realization led to a number of initiatives
along the companys supply chain, including:
and improved route planning.
Reviewing how waste was handled in the
24% fewer emissions from
the development of a scorecard to evaluate corporate offices led to the consolidation of vehicle fuel, per FTE
suppliers practices; suppor t for smaller growers waste removal with one provider, which allowed
that practice sustainable farming; a commitment to
become entirely GMO-free (genetically modified
for the addition of a formal organic composting
ser vice while also reducing the cost of waste
~12% costs saved on waste
organisms) by the end of 2015; a reduction in management by approximately 12%. removal
Left Coast also provides employee benefits
that suppor t social, environmental, and financial Supplier scorecard to
CASE STUDY
sustainability. For example, to encourage less
carbon-intensive commuting choices, the company evaluate supplier practices

CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR 16


It was ver y impor tant
for us to work
with Climate Smar t
to measure our
emissions and create
a benchmark so that
we can measure
whether we have
truly improved. After
three years of tracking
emissions, we have
reduced our emissions
by 18% and realized a
savings of more than
$100,000 annually.
Morten Schroder
VP Operations BC

VAN HOUTTE COFFEE SERVICES

CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR 17
Van Houtte Coffee Ser vices British Columbia
operations directly ser vices 10,000 customers,
including offices, enter tainment centres, and
convenience store locations. Van Houttes vice
president of operations first spearheaded the
measurement of the companys carbon emissions
for locations in Coquitlam, Kamloops, Cranbrook,
Prince George, Vancouver Island, and Kelowna for
the 2009 calendar year.
Since then, Van Houtte has realized a reduction
of 256 tonnes CO 2e more than 18% of their
2009 baseline annual emissionsand more than
$100,000 in cost savings annually. Some of the
emissions reductions initiatives under taken to date
include: implementing a no-idling policy; optimizing
truck fleet routes by conducting eco-driver training
and installing GPS units on all trucks; establishing
a robust recycling program; upgrading its lighting
systems; reducing paper use and purchasing paper
with 100% post-consumer recycled content.
CASE STUDY
One of Van Houttes most compelling emissions
reduction projects has been the retrofit of 28
conventional gasoline cube-vans to a hybrid
gasoline-propane fuel system. Propane costs less
than gasoline, and produces considerably less
GHG emissions per distance travelled (~35% less
expensive, and ~25% less GHG emissions). With
fuel-conscious driving habits, Van Houtte has found
that the vehicles are capable of operating using
propane 95% of the time, and gasoline for only 5%
of their driving time. With an approximate cost of
$5,000 to retrofit each vehicle, the investment was
paid for in one year.
As a company continually striving to find fur ther
areas of efficiency, Van Houtte has made a
conscious effor t to reinvest their savings in
additional projects, such as purchasing hybrid
and electric cars for sales staff, improving end-
of-life recycling for its coffee machines and water
coolers, performing lighting retrofits at locations
outside the Lower Mainland; and continuing to
educate and engage employees to build a culture
of conser vation.
2009
2010
2011
2012 -18%
Carbon Emissions:
Van Houtte Coffee Services, BC
Van Houtte Coffee Ser vices also demonstrates
their leadership in business-to-business
engagement and sharing of knowledge. The
company has reduced paper use simply by
sur veying clients and switching many accounts
over to paperless e-statements. In speaking with
another Climate Smar t business, Van Houttes
vice president learned about using cardboard
baling machines. Installing one in the warehouse,
Van Houtte has now cut down significantly on
the frequency of cardboard pick-ups. As well, Van
Houtte now gets paid per tonne for their baled
cardboard, helping to offset the cost of recycling
and processing waste. Van Houttes experience
and willingness to share lessons learned with
others has inspired many Climate Smar t businesses
to look into driver training, vehicle fleet fuel
conversion, and other strategies to reduce
emissions and improve their operations.
Results achieved:
256 tonnes CO2e (>18%)
fewer emissions, annually
$100,000+ cost savings,
annually
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR 18
FOOD RETAIL

CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR 19

BY THE NUMBERS
Food retail in BC includes over 4,400 businesses
and employs over 75,000 people, contributing 2.9
billion dollars to the provinces GDP. This sectors
emissions from electricity, natural gas use, fleets,
and waste amount to over 180,000 tonnes of
CO 2e equivalent to all the cars in Vancouver
idling for five days. If businesses in this sector
collectively reduced their emissions from just these
four activities by 5% (the average annual reduction
achieved by Climate Smar t businesses), it would
translate into a reduction of nearly 9,000 tonnes
of CO 2e, and $6.5M saved in operating costs.
By 2020, this reduction would add up to a 26%
reduction: 48,000 tonnes of CO 2e reduced and
$35M saved in operating costs*.
* Emissions are estimated using emission intensities derived from the Climate Smart data set. Cost savings are calculated assuming a 5% reduction across all emission sources and
current energy and fuel prices.
In this section, we showcase data from innovative
BC businesses that have become Climate Smar t
cer tified since 2008. We present the carbon
management drivers cited by these businesses,
look at the key emission sources for the sector,
and highlight the reduction initiatives implemented
by these businesses. By sharing the wealth we
have gathered: ideas generated and tested by
Climate Smar t businesses working to improve the
way they do business, we hope to inspire more
organizations to take action and star t managing
and reducing their carbon emissions.
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR 20
MOTIVATIONS FOR MANAGING CARBON

Among food retailers, one out of ever y two

businesses entering the Climate Smar t program Education 48%
cites education as a driver. With the practice of Cost-cutting / efficiency 48%
carbon management still relatively new and the
subject of climate change appearing on the news Industry / community engagement 35%
more and more often, companies and individuals Marketing / reputation / brand image 30%
are looking to, first of all, educate themselves on
this new business practice. Building on existing green initiatives 30%

Cutting costs is also a leading driver with nearly CSR mandate 17%
50% of the businesses choosing it as a factor in Networking / B2B opportunities 17%
their decision to star t managing carbon emissions.
In the highly competitive food retail industr y, Anticipating future requirements 9%
constantly looking for ways to keep the operating Customer / investor / partner demand 4%
costs down is a crucial practice.
Employee retention 4%
Supply chain / other requirements 0%

Why are you choosing to manage carbon?

Survey of food retail businesses on entering Climate Smart program

top three cited reasons for carbon management

personal interest cost savings community and
and education sector leadership

CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR 21


Community and sector leadership as well as
marketing are cited as drivers by one out of three
businesses, with supermarkets and grocer y stores
looking to improve their brand image and to be
seen as a leader in their industr y when it comes to
environmental stewardship.
Building on existing green practice was cited
by over 30% of businesses as many companies
entering the Climate Smar t program already had a
number of environmental initiatives underway and
wanted to quantify their progress.
Wed been working to improve our performance for
a long time, but measuring was critical to letting us
see the oppor tunities in front of us. It was a real eye-
opener.
Herman Poon
Administration Manager
T&T Supermarket Inc., Richmond, BC
We have been a leader in the Climate Smar t program,
continually measuring year-over-year since 2009 and
implementing numerous reduction strategies, including
the sourcing of 100% recycled packaging materials, using
carbon neutral, hybrid and trike couriers, and investing
in lighting upgrades.
Saul Brown
President
Saul Good Gift Co., Vancouver, BC
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR 22
CARBON EMISSIONS IN FOOD RETAIL
GROCERY STORE AND CAFE
19 96 5
11% 54% 3%
Carbon Emissions What are the carbon emissions of a grocer y store? This depends on many
177 tonnes CO2e 24 29 5 factors such as, of course, the size of the store, cooling equipment used,
13% 16% 3%
the stores recycling program, etc. The profile shown here is an illustration
of what a grocer y store can expect to discover from its GHG emissions
$9,000 $24,000 $200
7% 19% <1% inventor y. Costs are presented along with emissions for various activities like
Costs natural gas use, fleet fuel consumption and others, highlighting how carbon
$124,000 $78,000 $11,000 $2,000 reductions are, more often than not, tied to substantial cost savings to the
63% 9% 2% business.
This grocer y stores direct emission sources included natural gas, refrigerant
Electricity Natural Gas Fleet Landfilled Paper Use Refrigerants leaks, and fuel for its vehicle fleet. In addition, the company measured
Waste emissions from electricity use, landfilled waste, and office paper consumption.
The largest emissions source for the business was landfilled waste the store
Note: refrigerant costs represents the amount spent on topped-up refrigerant
was sending over 65 tonnes of waste to the landfill each year, resulting in
96 tonnes of carbon emissions produced an equivalent of one and a half
Science World Domes, or 20 hot air balloons, filled with carbon dioxide.
full-time equivalent
employees (FTEs) 75 Tackling landfilled waste became a priority in the stores reduction plan that
they developed with their Climate Smar t advisor. The company prioritized
annual revenue
$20M expanding their organic recycling program to diver t more waste from the
landfill. The store also placed reusable produce bags beside the plastic
key emission
sources waste, fleet, electricity produce bags. While the plastic produce bags were not included in their GHG
inventor y, the store saw it as a way to engage customers and demonstrate
top reduction
strategies lighting retrofit, their environmental commitment.
The company also targeted their fleet emissions by performing a review of
fleet routing review, fleet routing to maximize efficiency.

expanded recycling Electricity took third place as the highest emission source. In addition,
electricity corresponded to the highest cost of all activities measured the

program companys power bill was at over $75K a year. This led the business to replace
the stores lights with LEDs, taking advantage of BC Hydro Power Smar t
incentives, and install timer-controlled thermostats on the air conditioning
units in the store. This technology turned the units off when the store was
closed, resulting in considerable savings on their electricity bill.

CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR 23

WHAT DOES YOUR BUSINESS EMISSION
PROFILE LOOK LIKE?

These pie char ts show emission profiles of five
Climate Smar t food retail businesses, from single
grocer y stores to grocer y chains, highlighting the
key emission sources: electricity, natural gas, fleet,
refrigerants, and landfilled waste.
These char ts show that typically, landfilled waste
and natural gas are the highest emission sources
for a grocer y store. Refrigerant emissions var y
greatly between these stores, and can comprise
up to 80% of the emissions profile as we can see
in middle top char t. Electricity usually accounts
for a relatively small por tion of a stores footprint,
because of the low emission intensity of BCs
electricity grid. However, electricity usually
represents the highest cost, and electric upgrades
often offer a shor t payback and can significantly
reduce operating costs.

?
Grocer A Grocer B Grocer C Grocer D Grocer E Your Company

Carbon emissions profiles: food retail

Electricity Natural Gas Fleet Landfilled Refrigerants
Waste

CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR 24

HOW FOOD RETAILERS CUT CARBON
Food retailers have ample oppor tunity to reduce emissions from their Behaviour Change 50%
operations. From low-hanging fruit such as turning off lights at night, Simple Equipment 67%
to more capital intensive upgrades such as waste heat recapture from Capital Equipment 25% Electricity
refrigeration systems, these businesses are making a difference while reducing
their operating costs at the same time. Behaviour Change 25%

The char t shows the summar y of emission reduction strategies implemented Simple Equipment 25%

by Climate Smar t businesses following their first year of measurement. Waste Capital Equipment 17% Heat
diversion and low-cost electricity upgrades as well as behaviour change
Reduce Paper Use 33%
related to electricity stand out as the most widely adopted initiatives. These
strategies include installing night covers for open refrigerated display cases, Diverting Waste 58%

turning lights off at night, installing motion sensors in seldom-used areas such Packaging 8% Waste
as bathrooms, and reminding staff to keep cooler doors closed.
Driver Behaviour Change 17%
Paper use, staff commuting, and heat reduction initiatives, as well as capital Capital Replacement 17%
electric upgrades are also topping the list. Stores encourage their employees
Vehicle Fuel Switching 0%
to par ticipate in Bike to Work Week, and even offer financial incentives. One
store encouraged their employees to use their health bonus to suppor t Reducing Business Travel 0%
cycling: One employee who was previously a non-cyclist put her health Alternative Staff Commuting 33%
bonus toward a new cruiser bike, and is now commuting by bike 75-100% of
Targeting Third-Party Shipping 8% Transport and equipment
the time!
Nearly a third of the businesses are tackling their natural gas use through Chosen reduction strategies: food retail
both simple initiatives, such as separating night and day time temperatures,
and capital upgrades.

Did you know?

Carbon dioxide, despite being a greenhouse gas, can be put to good use: it is becoming a new refrigerant of choice
in North America. With its global warming potential thousands of times less that of commonly used refrigerants, it
has potential to significantly reduce emissions in retail.

Today, while ozone-depleting HCFC refrigerants like R-22 are being phased out, the replacement HFC gases still
have very high global warming potentials: thousands of times that of carbon dioxide. Carbon dioxide refrigeration
systems, in addition to their environmental benefits, offer significant energy and cost savings. Canadas second
largest grocery chain, Sobeys, is committed to transitioning all their stores to carbon dioxide refrigeration systems.
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR 25

T&T Supermarkets have long been
improving efficiency in their operations.
Though early along in the process of
carbon measurement, they see the value
in quantifying their achievements through
calculating their footprint and using
it to prioritize projects. They are now
investigating the feasibility of switching
to alternate fuel systems in their deliver y
fleet vehicles. As a major food retailer,
T&T are also tackling their organic waste
head-on, by testing different on-site waste
digester solutions to potentially eliminate
the need for waste disposal from their
stores.
Herman Poon
Administration Manager
T&T Supermarket Inc., Richmond, BC
49th Parallel Grocer y Stores is a family
owned and operated business with four
convenient-sized full ser vice grocer y
stores in beautiful central Vancouver
Island. We have been managing our
emissions with Climate Smar t since
2010, and have identified strategies to
reduce our emissions in both the shor t
and long term. We are performing a
corporate fleet review, replacing vehicles
with more efficient alternatives where
possible, developing more efficient
routing, installing recycle bins in all back
rooms, initiating double-sided printing
options and setting a policy to purchase
paper with a minimum 30% recycled
content. We completed a lighting
retrofit and installed night cur tains on
all open refrigeration units. We also plan
on educating staff on energy efficient
behaviour, investigating alternative
refrigerants, performing a waste audit
with a goal of reducing waste by 10%, and
preparing a supplier preference system for
sourcing products locally.
Peter Richmond
President & CFO
49th Parallel Grocery Stores, Ladysmith, BC
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR 26
FOOD SERVICES

CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR 27

BY THE NUMBERS

Food ser vices include restaurants, bars, cafes, food In this section, we share the carbon management
trucks, coffee shops, catering companies and other drivers, typical emission profiles, and reduction
establishments ser ving food and beverages. This strategies implemented by Climate Smar t
sector is composed of over 12,500 businesses and businesses in the food ser vices sector. We hope
employs 153,000 people in BC . Emissions from that sharing the experience of these innovative
electricity, natural gas, fleet, and waste for this businesses will inspire more companies to take
sector are projected at over 450,000 tonnes of action on climate change, make their operations
CO 2e. If businesses in this sector reduced their more efficient, and improve the way food is ser ved
emissions from these four key activities by just 5% in BC for years to come.
(the average annual emission reduction achieved
by Climate Smar t cer tified businesses), it would
lead to a reduction of over 22,000 tonnes of CO 2e
and savings in operating costs of nearly $6M. In
six years, by 2020, these reductions would amount
to over 118,000 tonnes of CO 2e and $30M in
operating cost savings*.

* Emissions are estimated using emission intensities derived from the Climate Smart data set. Cost savings are calculated assuming a 5% reduction across all emission sources and
current energy and fuel prices.

CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR 28

MOTIVATIONS FOR MANAGING CARBON

Food ser vice businesses are choosing to cer tify as

Climate Smar t as a way to improve their brand, Education 68%
cut operating costs, engage with like-minded Building on existing green initiatives 54%
businesses, and take their sustainability initiatives
to the next level. Marketing / reputation / brand image 50%

As public-facing businesses, food ser vice Cost-cutting / efficiency 46%

companies look to meet their corporate social Industry / community engagement 39%
responsibility mandates. Attracting and retaining
employees is appearing as a factor as well, Networking / B2B opportunities 36%
likely since this is a sector with a normally high CSR mandate 21%
employee turnover. Some businesses, especially
catering companies, choose to become Climate Employee retention 21%
Smar t cer tified to improve their competitiveness Anticipating future requirements 18%
when bidding for contracts and responding to
requests for proposals. These companies are Supply chain / other requirements 14%
facing more and more questions from prospective Customer / investor / partner demand 11%
clients about their sustainability commitment in
general and, specifically, their carbon management
initiatives.
Why are you choosing to manage carbon?
Survey of food service businesses on entering Climate Smart program

top three cited reasons for carbon management

personal interest building on green marketing and
and education practices brand lift

CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR 29

CARBON EMISSIONS IN FOOD SERVICES
PUB AND LIQUOR STORE
129 43
65% 22%
Carbon Emissions This pub and liquor store came to Climate Smar t looking to measure our
199 tonnes CO2e 9 4 13 footprint and cut our energy costs. In mapping out their operations, the
5% 2% 6%
company has identified electriciy, natural gas, and vehicle fleet as their Scope
1 and 2 emission sources. They also chose to measure emissions from their
$27,000 $6,000
33% 7% waste and staff commuting. When all the data was gathered and entered into
Costs the Climate Smar t GHG Management Tool, it became obvious that natural
$81,000 $45,000 $3,000 $0 gas use along with their waste are the largest emission sources, accounting
56% 4% 0% together for over 85% of their footprint. While electricity accounted for just
5% of emissions, it was costing the company $45,000 annually, creating a good
business case for reduction initiatives.
Electricity Natural Gas Fleet Landfilled Staff
Waste Commuting Using suggestions from their Climate Smar t client advisor, the company
decided to install motion sensors in the liquor store cooler and pub
Note: refrigerant costs represents the amount spent on topped-up refrigerant
washrooms areas where lights were left on constantly while occupancy
was intermittent. To reduce natural gas use, they upgraded their boiler and
implemented a turn it off policy for unused burners in the kitchen. To reduce
full-time equivalent
employees (FTEs) 30 the company car use, they star ted encouraging management to have phone
meetings whenever possible, and star ted a campaign to recognize staff that
annual revenue
$6M cycled or took transit to work. To cut down on their power bill, the company
trained employees to keep the cooler door closed as much as possible. The
key emission
sources natural gas, waste company is currently looking at replacing their liquor store fridges with an
energy-efficient model.
top reduction
strategies boiler upgrade, turn-
it-off policy for gas
appliances

CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR 30

WHAT DOES YOUR BUSINESS EMISSION
PROFILE LOOK LIKE?
These char ts show emission profiles of five
Climate Smar t businesses in the food ser vices
sector. A, B, and C are restaurants, D is a caf,
and E is a coffee house. The char ts profile six
key emission sources for food ser vice businesses:
electricity and natural gas, landfilled waste, fleet,
refrigerants, and staff commuting. Natural gas
stands out as the highest emission source for all
Restaurant A Restaurant B
Electricity Natural Gas Fleet Landfilled
Waste
but one company in this group. It is especially high
for restaurants, accounting for over 60% of the
emissions in all the restaurant profiles presented
here. This includes natural gas used for space and
water heating as well as food preparation. The
next highest emission source for restaurants is
waste. Staff commuting is usually relatively low,
with restaurant staff often living in close proximity
Restaurant C Cafe
Refrigerants Staff
Commuting
to their workplace or commuting by transit or
bicycle. Electricity emissions are relatively low as
well, primarily due to the low emission intensity
of BCs power grid. Refrigerant emissions var y
greatly between restaurants, with some restaurants
recording no leaks and some, like Company C,
measuring significant emissions from refrigeration.
?
Coffee Shop Your Company
Carbon emissions profiles: food services
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR 31
HOW FOOD SERVICE BUSINESSES CUT CARBON

As par t of their Climate Smar t cer tification, businesses are asked to submit Behaviour Change 69%
a reduction plan a list of initiatives they will implement to reduce their Simple Equipment 50%
carbon footprint. The char t here summarizes the actions taken by the group Capital Equipment 6% Electricity
of food ser vices businesses that have become Climate Smar t cer tified to
date. Behaviour Change 50%

Electricity is the most popular area tackled by businesses in this group. Most Simple Equipment 25%

food ser vice businesses identify low capital, easy to implement strategies that Capital Equipment 13% Heat
provide an immediate reduction of their power bill. This includes behavioural
Reduce Paper Use 31%
changes such as creating a schedule for operating ovens to maximize
efficiency, creating an end of day restaurant shut down policy, training Diverting Waste 63%

employees to turn off unused lights and equipment, etc. Installing simple Packaging 6% Waste
equipment to reduce power use is another common strategy for this sector :
such as replacing bathroom light switches with motion sensors and installing Driver Behaviour Change 25%

timers on patio heaters. Capital Replacement 6%

Vehicle Fuel Switching 0%
One in two businesses in this group tackled natural gas use through low-cost
initiatives like installing low flow nozzles in the dishwasher area and turning Reducing Business Travel 13%
off stove burners when not in use. Alternative Staff Commuting 19%
Landfilled waste is an area tackled by over 60% of businesses: expanding their Targeting Third-Party Shipping 13% Transport and equipment
recycling program, introducing composting, and organizing staff training on
waste separation are some of the initiatives under taken. Chosen reduction strategies: food services
All catering companies in the group set out to reduce their fleet emissions
through driver training, anti-idling policies, fleet upgrades, and other initiatives.

Did you know?

Shipping a full container of kiwi fruit from New Zealand to Vancouver by boat emits 4.2 tonnes of CO2e.
Shipping this container to a grocery store in Kelowna by truck emits 2.1 tonnes of CO2e. If consumers drive
to the store (2.5 km each way) to pick up five kiwis each, these trips will emit 49.3 tonnes of CO2e over
seven times the emissions from shipping the product from New Zealand to a Kelowna grocery store.

CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR 32


At the Listel Hotel we first tackled our
greenhouse gas emissions in 2008 by
installing solar hot water panels and a
heat exchange system to dramatically
reduce the amount of natural gas
needed to heat domestic water. With
that successful carbon- and cost-cutting
initiative under our belts, weve continued
to find ways to reduce our environmental
impact. Most recently, we renovated our
hotel restaurant to become a model
for energy efficiency and achieving zero
waste to landfill. Forage opened its doors
in November 2012 and has been widely
recognized for its leadership in sustainable
dining.
Jim Mockford
General Manager
The Listel Hotel, Vancouver, BC
Bubbys Kitchen opened its doors in
2011 and first measured our carbon
emissions for 2012, with almost two years
of operations under our belts. We are
working to reduce our emissions through
initiatives such as: installing low-flow
water faucets in our dishwashing area and
pre-rinsing our dishes with cold, rather
than hot water ; composting our solid
organic waste with Refuse; having our
kitchen grease recycled into biodiesel with
GreaseCycle; and looking into installing a
culinar y garden that will grow herbs and
vegetables for the restaurant. Recently,
the restaurant under took the task of
changing over our lighting to LED in order
to save energy as well as signing up for a
new MealShare program, which donates
meals to those in need. Our philosophy of
sustainability and reducing carbon extends
to our menu which procures vegetables
and meat locally whenever possible, and
includes all hormone-free and naturally
raised meats along with free run eggs
which is now adver tised along with our
other actions on the back of our menu.
Like the restaurant itself, reducing our
emissions is a work in progress, and one
we will continue to take action on, one
item at a time.
Jesse Margolus
Restaurant Supervisor
Bubbys Kitchen, Victoria, BC
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR 33

When youre in the
context of your own
local economy []
its strategically ver y
impor tant to make
strong and promising
par tnerships with
the other groups
working in your local
economy.
Louise Schwarz
Co-Founder and Co-Owner
Recycling Alternative

RECYCLING ALTERNATIVE AND TACOFINO

CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR 34
Organizations large and small are increasingly
taking a close look at where they source their
materials and with whom they purchase their
ser vices (their supply chain) in order to reduce
emissions and minimize the overall environmental
impact of their products and ser vices. This is the
stor y of a unique collaboration between Climate
Smar t businesses Recycling Alternative and
Tacofino to do just that.
Vancouver recycling exper ts Recycling Alternative
are helping the Tacofino family of food trucks and
commissar y restaurant address the companys
carbon emissions from waste and truck fuel, two
of their most significant sources, at the same time.
Tacofino launched the first of its Vancouver food
car ts in 2011 and has been collaborating with
Recycling Alternative since 2013. The par tnership
began with Recycling Alternatives core business
ser vice - managing Tacofinos waste stream and
looking to recover the highest-value raw materials
from this waste stream. This encompasses
returnables, such as aluminum cans and glass
bottles, as well as paper, cardboard and key for a
restaurant organic waste.
CASE STUDY
In addition to its recycling ser vices, Recycling
Alternative is a co-founder of the Vancouver
Biodiesel Co-op and has managed the operations
and administration associated with running the
pump and fuel supply since its debut. The carbon
emissions associated with the recycled biodiesel
are 90% less than those associated with ordinar y
diesel. Co-op members pay a small premium over
regular diesel presently about 13% - but this still
pales in comparison to the cost of conventional
gasoline.
For a company like Tacofino which runs diesel-
fuelled food trucks, and produces a fair volume
of waste vegetable oil (WVO) both at their
commissar y restaurant and their food trucks
Recycling Alternative and the Biodiesel Co-op
represent a unique oppor tunity.
Recycling Alternative picks up Tacofinos WVO
along with the rest of their recycling, and this
WVO is then conver ted into credits that Tacofino
can recycle into discounted biodiesel to fuel their
Vancouver truck, White Lightning. Its the business
sustainability version of what goes around comes
around.
Tacofinos and Recycling Alternatives local green
supply chain arrangement extends far beyond
the par tnership with each other. Both work with
other Climate Smar t food businesses such as
meat distributors Trimpac and urban grower Sole
Food Farms, as well as with local green economy
catalyst, Vancity Credit Union.
Tacofino works hand-in-hand with Foodee, a
corporate meal concierge, to deliver meals
on wheels from a wide variety of Vancouver
restaurants to businesses throughout the region.
The meals are delivered in compostable containers
and the wheels come via the most sustainable
method that is logistically feasible, often the
Climate Smar t business Shift Deliver y Co-op:
Vancouvers groundbreaking cargo-tricycle deliver y
ser vice.
Its building these types of par tnerships that
resonates with Recycling Alternative co-founder
Louise Schwarz as the most sustainable overall
business plan. When youre in the context of
your own local economy [] its strategically
ver y impor tant to make strong and promising
par tnerships with the other groups working in
your local economy.
CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR 35
INVITATION TO
BUSINESSES
At Climate Smar t, we are continually inspired Start measuring and reducing your footprint
by our entrepreneurs and businesses. They are
Today more than ever, we need action from businesses to help reduce greenhouse gas emissions.
essential par tners in any plan to overcome the
challenges we face today, and help create resilient, Get in touch with us today and we will guide you through measuring your footprint, and help
regenerative communities that we can proudly call your organization develop strategies that will prepare your business for success in the new clean
home. If you are a business, we need your help to economy.
change the way business is done.
Call 1-888-688-6283 or email info@climatesmartbusiness.com today.

A special thank-you
to our food and beverage industr y clients, for working with us to collectively
develop and share the business practices of tomorrow.

FOOD PROCESSORS WINERIES, BREWERIES, Level Ground Trading Co. Foodbank Society Daily Roast Fine Coffee A thank-you to Conscious
Freybe Gourmet Foods DISTILLERIES Nossa Familia Coffee Lonsdale Quay Market Company Inc. Brands for helping to
Ltd. Bounty Cellars Winer y Salt Spring Coffee Natures Fare Markets Great Bear Pub (JAK promote low-carbon ways
Genuine Health CedarCreek Estate Winer y Van Houtte Coffee Otter Farm and Home Co- Group) of doing business in the
Hilar ys Cheese Company Ltd. FreshTAP Services - BC operative Listel Hotel food and beverage sector
Left Coast Naturals Maple Leaf Spirits Inc. River Market Peaceful Restaurant and sharing the stories of
Misty Mountain Ind. Ltd. Nelson Brewing Company DISTRIBUTORS Saul Good Gift Co. Inc. Rocky Mountain Flatbread Climate Smar t businesses.
MOTEAS Pacific Western Brewing Albion Fisheries Ltd. Share Organics Spinnakers Brewpub
Natures Path/Que Pasa Company Ltd Canadian Fishing Company SPUD Stomping Grounds Coffee A thank-you to the Listel
New World Natural Foods/ Phillips Brewing Co. Discovery Organics T&T Supermarket Inc. House Hotel for hosting a
Everland Russell Brewing Co. Ear ths Own Food Company The Organic Box Tacofino Climate Smar t member
Okanagan Grocer y Summerhill Pyramid Inc. The Whistler Grocer y Store Thai Away Enterprises Inc. event to launch this
Olivieri Foods Ltd. Winery Oppenheimer Group Trilogy Fish Co. Ltd. The Wilder Snail brief. The Listel is home
Purdys Chocolatier Tantalus Vineyards PSC Natural Foods Whole Foods Market Vijs to Forage, a pioneer
Rogers Chocolates Tinhorn Creek Vineyards Sysco Kelowna Ltd. 49th Parallel Grocery White Spot Limited restaurant for responsible
Sunrise Soya Foods Tree Brewing Co. Trimpac Meat Distributors management through zero
Superior Tofu Ltd. Victoria Spirits RESTAURANTS AND CAFES CATERING waste effor ts, reduction
True Grain Bread RETAIL AJs Organic Cafe Christine Catering of energy consumption
Uprising Breads Baker y COFFEE ROASTERS AND Canadian Springs Black Stilt Coffee House Pacific Coast Catering and suppor t of our local
DISTRIBUTORS (AquaTerra) Bubbys Kitchen Group communities, from farmers
Coffee Bean International Choices Markets Cactus Restaurants Ltd. Savour y City Catering to fishers, and ever ything
Counter Culture Coffee Codfathers Seafood Market Chambar Restaurant The Truffles Group Inc. in between.
Ethical Bean Coffee Country Grocer Corporation
Hardy Sales Greater Vancouver Common Loaf Bake Shop

Bolded businesses have recertified with Climate Smart and made an ongoing commitment to sustainability. CARBON EMISSIONS IN THE FOOD AND BEVERAGE SECTOR 36
SPONSORS

Leading the fight against climate change

The B.C . government is recognized internationally as a climate action leader,

with a revenue-neutral carbon tax, carbon-neutral provincial government
operations and cross-government climate change adaptation strategy.
B.C . has been carbon neutral since 2010, an unprecedented achievement
for provincial or state government in Nor th America. Carbon Neutral
Government is fundamentally about leadership. We are working to put
our governments carbon emissions house in order as we ask businesses,
communities and individuals to do the same. Through Carbon Neutral
Government, we are demonstrating viable energy efficiency and conser vation
technologies, engaging British Columbians with a sustainability message, while
working hard to reduce our own carbon footprint. The Province is proud of
our achievements to date and wants to recognize the effor ts of all public-
sector organizations across B.C .
The Ministr y of Agriculture plays a role in helping the Province achieve
its goals of job creation, sustainable communities and green economic
development in the context of a changing climate. Our par tnership with the
federal government resulted in the five-year Growing Forward 2 agreement
that will continue to provide B.C . farmers with risk management suppor t,
and includes a $110 million investment in programs that promote innovation,
adaptability and sustainable agriculture. Together, we will continue our effor ts
to ensure the next generation of British Columbians enjoy a clean and
healthy environment, and high-quality, local foods.
 SPONSORS

Efficiency in the kitchen with natural gas

With appliances like fr yers, griddles and ovens operating all day, its no
surprise that commercial kitchens use more natural gas per square foot than
any other kind of business.* For tisBC, realizing the potential to help this
customer segment save energy and money on their operating costs, launched
the first ever natural gas Foodser vice Incentive Program in Canada in 2012.
Its called Efficiency la Car te.
The program offers rebates for natural gas cooking equipment, from $200 for
an efficient steam cooker, to as much as $3,500 for a rack oven. The rebates
are available for when customers are upgrading existing equipment or for
new construction projects.
One of Canadas largest franchises, Pizza Hut, took notice of the rebates
when they were building a new store. For controller Steven Cheng, the
program made good business sense. We received a $5,000 rebate from
For tisBC for installing high-efficiency conveyor ovens at our new Cloverdale
location, reducing our payback period and the stores monthly utility bills,
says Cheng.
The rebate offsets a por tion of the cost difference between a standard and
high-efficiency appliance. As well, par ticipants in the program experience
ongoing energy savings over the life of the appliance. Based on this, the Steven Cheng, Controller, Pizza Hut (photo credit: FortisBC)
payback on investment could be less than one-and-a-half years.
Since 2012, dozens of par ticipants have received rebates through Efficiency
la Car te, reducing their environmental footprint and their energy bills.
Learn more about Efficiency la Carte. Or for some low-cost ways to
save energy in your commercial kitchen, tr y FortisBCs commercial kitchen
energy-saving tips.

* Commercial and Institutional Energy Building Use Summar y Report, Natural Resources Canada, Chart 15: Energy Intensity by Type of Activity
SPONSORS

Vancity partners with Climate Smart

to build a green economy

At Vancity, we measure and manage our carbon footprint, and weve

suppor ted more than 160 business members to par ticipate in Climate Smar t
training.
Were proud that Rocky Mountain Flatbread Company is both a Vancity
business member and a Climate Smar t-cer tified business committed to
reducing their greenhouse gas footprint in their restaurants and in their
wholesale pizza production. This year were assisting Rocky Mountain
Flatbread with the installation of an innovative new system that will help
them reduce food waste and expand their commitment to local food
production.
Dedicated to helping strengthen a sustainable local food system, Rocky
Mountain Flatbread Company sources local and organic ingredients to make
their award-winning pizzas. They also take great pride in managing their
environmental impact by reducing greenhouse gas emissions through waste
reduction, sourcing practices and other strategies. All this and they make
great pizzas too!
Thanks to Rocky Mountain Flatbread for 10 years of local leadership in
sustainability and GhG reduction.
Rocky Mountain Flatbread Company (photo credit: Vancity)
If youre a Vancity business member and you want to get climate smar t, ask us
about our scholarships for Climate Smar t training. Go to www.vancity.com/
climatesmart or contact greenbusiness@vancity.com.
 SPONSORS

Aiming to make Vancouver the

greenest city in the world by 2020

Vancouvers Greenest City 2020 Action Plan aims to double the size of the
Green Economy and make Vancouver the Greenest City in the World by
2020.
The local food sector is a key par t of this vision of a sustainable future. The
huge success of farmers markets helps illustrate the dramatic increase in
demand for local food from consumers. Farmers markets increased from
three in 2004 to seven summer and one winter in 2013. Vendor sales grew 13
percent from $6.3 million to $7.1 million between 2012 and 2013.
Vancouvers street food vending scene has experienced a similar renaissance,
and the city boasted 120 car ts and 42 mobile trucks in 2013. Vancouvers 19
small craft breweries were par t of a sector that saw an increase in sales of
40 percent in 2013. Vancouver facilitates access to local food to meet this
growing demand through a positive policy environment as well as through
suppor t for businesses and entrepreneurs entering this sector.
Increasing Vancouvers competitiveness and innovation through business
sustainability is also key to creating a Green Economy. There are numerous
economic advantages to greener business practices, and it all begins with
an understanding of how environmental performance relates to your
business operations and bottom line. Data from Climate Smar t can help Kitsilano Farmers Market (photo credit: City of Vancouver)
you understand how your business compares with others in your sector.
It also highlights the approaches that other leading businesses are using
to successfully reduce their costs. These businesses are becoming greener The Vancouver Economic Commission (VEC) is an agency of the City of Vancouver working to
strengthen the citys economic future by supporting existing businesses expansion, attracting foreign
businesses and benefiting from brand lift, employee retention and new clients. investment and promoting international trade. The VEC works closely with local stakeholders and
relevant departments of all levels of government to achieve common goals with the support of peer
For more information on programs to help you green your business, visit organizations, industr y associations and education facilities. In short, the VEC connects local and
http://vancouvereconomic.com/page/green-business. international businesses to the right people.
 ADDITIONAL SUPPORT
Sustainability and climate action have long been a par t of the
City of Nor th Vancouvers core values, policies and programs. To build a
community resilient to future challenges, we must not only lead by example,
but provide oppor tunities for residents and businesses to play a role.
Thats why were launching a new initiative called Living City. Its an
oppor tunity to share what were doing, connect with others, discuss ideas
and help people par ticipate in our climate action effor ts. Living City includes
a number of programs and initiatives in five areas: Sustainable Energy, Zero
Waste, Transpor tation, Urban Agriculture, and Natural Capital.
Its about each of us doing our par t and respecting our environment as
we coexist to create a Living City. Go to www.cnv.org/livingcity for more
information.
The Capital Regional District (CRD) is a community of communities
committed to working together to create a vibrant, livable and sustainable
region for years to come. In practice, this means that our ser vices aim to
suppor t a good quality of life as well as a strong, resilient regional economy. It
also means that we have a commitment to climate action.
The CRD Climate Action Program philosophy is based on three pillars:
engage, reduce and prepare. The program works to suppor t the necessar y
shifts in policy, infrastructure, behaviour and planning that are required to
create a vibrant, healthy and low-carbon capital region.
For more information, go to www.crd.bc.ca/climatechange.
CARBON EMISSIONS IN THE FOOD AND
BEVERAGE SECTOR
TM

A CLIMATE SMART INDUSTRY BRIEF

Elizabeth Sheehan Executive Editor

Anastasia Lukyanova Analysis, Author
Michelle Bonner Author, Editor
Jens Ourom Author
Photo Credits
all Creative Commons Attribution 2.0 Generic unless stated otherwise
Front cover : http://www.flickr.com/photos/nseika/7273645896
Contents: https://www.flickr.com/photos/roland/214300593
Page 1: https://www.flickr.com/photos/wonderlane/6551615031
Page 4: https://www.flickr.com/photos/walmar tcorporate/5392935227
Page 15: (c) Left Coast Natural, used with permission
Page 17: (c) Van Houtte Coffee Ser vices, used with permission
Page 19: https://www.flickr.com/photos/lyza/49545547
Page 27: https://www.flickr.com/photos/kk/4503352387
Page 34: (c) Climate Smar t, used with permission
Back cover : https://www.flickr.com/photos/roland/6113612650

Design by Lloyd Lee

electronic version

Copyright 2014 Climate Smar t Businesses Inc. All rights reser ved.

This publication is protected by copyright and written permission is required

to reproduce, store in a retrieval system or transmit in any form or by any
means (electronic, mechanical, photocopying, recording, or otherwise).

For more information on Climate Smar t training, cer tification, and data
ser vices, contact info@climatesmartbusiness.com. go to
www.climatesmartbusiness.com, or call 1-888-688-6283.