Manchester United have become accustomed to topping tables, but not often alongside British American Tobacco.
Yet, last week, they were named as two of the most energy efficient companies in the UK in the Environment Agency’s first Carbon Reduction Commitment Energy Efficiency Scheme Performance League. The table, which ranks more than 2,000 organisations by what they have done to measure their energy use, names and shames a host of companies for their green efforts – or lack thereof.
While BAT and Man Utd scored 100%, big-name grocery companies, including the likes of Northern Foods, P&H and Kraft, were among a whopping 803 companies that scored nothing at all – prompting many to question the credibility of the research.
The table set out to rank organisations such as retailers, restaurants, government departments and hospitals on the steps they have taken to install smart meters and comply with Carbon Trust, or equivalent, accreditation scheme standards of energy management.
Companies with an annual electricity bill of at least £500,000 were asked whether they: disclosed targets and the performance against those targets; employed a specific person to monitor energy use; and actively engaged staff to reduce emissions. They were then ranked according to an ‘early action metric’ taking into account certification on an energy efficiency scheme and the percentage of energy measured by smart meters.
Naturally, companies that scored highly have been quick to welcome the table. They include Booker – the highest-ranked wholesaler at 71. With an early action metric of 91.88%, it says it cut its absolute footprint by 4% despite a period of strong business growth during which sales rose 25%.
However, many of those who scored nothing only did so because they had not filled in the form – not realising that they were “obliged to participate” and that if they didn’t they would automatically come bottom. They say the table is “pointless” and “misleading” because it fails to take into account their green initiatives.
“In the past four to five years, we’ve probably reduced our energy use by about 30%,” says Joe Morris, operations director of TJ Morris, one of the companies to score zero having not filled in the form. “We have no chillers in stores, use energy- efficient lighting and have fitted energy-saving devices that turn off the air conditioning and lighting when a store is closed. They’re almost trying to blackmail people into filling in a form.”
Ranking companies on ‘early action’ is another aspect that is “potentially misleading”, argues Bill Chandler, legal director for law firm Hill Dickinson. “The actual level of emissions – and any reductions in emissions – are not factored in for the first year, so it does not indicate who is actually the greenest, although one would anticipate that organisations who have taken ‘early action’ are perhaps also those most likely to take serious action to improve their environmental performance and reduce emissions,” he says.
The BRC is calling for the table to be scrapped, not least because it introduces more red tape. “Instead of being able to focus on developing environmentally friendly business approaches, retailers are being forced to spend time and resources on extra bureaucracy,” says director of business Tom Ironside.
But the Environment Agency says the data forms a baseline for more meaningful future surveys, which will show overall carbon emissions, annual emission savings and progress on energy efficiency. The prospect of coming bottom will encourage companies to participate, it adds.
Given the furore surrounding this year’s table, perhaps it will.
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