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Reduce your carbon footprint

Many businesses contribute to climate change by emiting greenhouse gases as a result of their operations. The amount of greenhouse gases your business emits is known as your ‘carbon footprint'.

Customers, communities and governments around the world are increasingly concerned about climate change.

Energy use in New Zealand produces 44% of the country's greenhouse gas emissions,1 so good energy management is an easy way to reduce your business's ‘carbon footprint'.

Why reduce the carbon footprint of your business?

Businesses affected by the Emission Trading Scheme (ETS)

How to reduce your business carbon footprint

Reducing carbon footprints - businesses in action

Why reduce the carbon footprint of your business?

The Government introduced the Emissions Trading Scheme (ETS) in 2008 to help New Zealand reduce its greenhouse gas emissions.

From 1 July 2010 the energy sector entered the ETS, and prices rises for electricity and transport fuel will increase slightly as a result.

Estimated price increases are about 3 cents per litre for fuel, and 1 cent per kilowatt hour (kWh) for electricity.

Businesses can not only offset rising energy and fuel costs, but significantly reduce their energy and fuel bills through good energy management.

Find out more about climate change and the New Zealand Emissions Trading Scheme.

Attract consumers who purchase sustainably

Consumers in New Zealand and other countries are increasingly concerned about environmental issues such as climate change. Research² shows more than a quarter of New Zealanders make purchase decisions based on a company's environmental and social profile.

Reducing your carbon footprint can strengthen your brand, better positioning your business's offer to this international market of conscientious consumers.

Businesses affected by the ETS

Some New Zealand business sectors are required to participate directly in the ETS - specifically the forestry, transport fuels, electricity production, industrial processes, synthetic gas, agriculture and waste sectors. These sectors are required to monitor and report on their emissions.

Participating businesses will either pay the government for any emission units (NZUs) they require (due to the emissions they create), earn NZUs from the Government (i.e. owners of forests that absorb greenhouse gases) or are given NZUs by the Government (i.e. because they face significant increases in energy costs). These businesses can then trade NZUs with each other.

Guidance for these sectors on how to participate in the ETS is found on the Ministry for the Environment's website.

Other businesses are indirectly affected by the ETS due to price rises, such as small to medium enterprises (SMEs). These businesses can offset price rises by finding ways to use energy more efficiently, and switching to renewable energy where possible.

How to reduce your business carbon footprint

Most businesses can reduce their carbon footprint and save at least 20% of their energy costs - 10% through simple low and no-cost actions (with a payback of 12 months or less) and a further 10% with some investment (payback of 1 - 5 years).

Services and resources to help reduce your business carbon footprint

Energy Leader

Use Energy Leader - our online tool to find out what your business can do to reduce its energy bill. You'll get a tailored action plan that will help focus your efforts, measure progress and motivate others to get on board.

Other services and resources

EECA offers a range of services and resources to help you manage your business's energy use as efficiently as possible.

Funding available to help reduce your carbon footprint

EECA offers funding options to some businesses to assist you to manage your energy as efficiently as possible.

What other businesses have done

Find out more about how businesses have reduced their carbon footprints:

  • Auckland Meat Processors introduced automated controls into their business and in the process reduced their CO2 emissions by 3,140 tonnes per year. Read the Auckland Meat Processors case study
  • Clive Scouring reduced their company's annual CO2 emissions by 516 tonnes through installing a heat recovery system into its operations. At the same time they reduced their energy costs by $100,000 per year. Read the Clive Scouring case study
  • Craggy Range reduced their carbon footprint by 127 tonnes per year by installing a heat recovery system - and they are paying for the unit with the savings it generates. Read the Craggy Range case study.

Notes:
[1] Ministry for the Environment www.climatechange.govt.nz/emissions-trading-scheme

[2] Market research by Moxie Design www.moxie.co.nz