Sustainable Energy 4 All Taskforce 3: Mobilizing Business Action

Coordinated by the UN Global Compact with Support from Accenture

Composition of Task Force #3

Existing GC LEAD group

2

Those here today?

Discussion Questions

How do we mobilize global business to take action in support of Sustainable Energy for

All?

1. What are the most important types of actions businesses can take?

2. How can SE4All inspire, enable and incentivize the private sector to take action?

3. What should be the specific deliverables from this task force and by when?

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Agenda

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Agenda

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The Framework for Business Action

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Partnerships and Collective Actions

• Targets• Engagement

Modalities• Partnerships &

Collective Actions

Main Features

Framework for Business Action in the Chemicals Industry

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Access to Energy

Energy Efficiency

Renewable Energy

CORE BUSINESS: PRODUCTS &

SERVICES

CORE BUSINESS: OPERATIONS

SOCIAL INVESTMENT & PHILANTHROPY

ADVOCACY & PUBLIC POLICY ENGAGEMENT

Example Recommendations for the Chemicals Industry

1. Beneficially reuse waste streams to provide access to energy

2. Improve the energy efficiency of your products and services

3. Develop products and services that drive customer / consumer energy efficiency or enable increased renewable energy uptake

4. Develop more renewable feedstocks and biobased building blocks for commodity and intermediary chemicals

5. Use more energy efficient techniques to generate electricity and steam and run operational processes

6. Use more renewable energy sources to satisfy operational energy needs and prioritize investments in this area

7. Establish an integrated, enterprise energy management function within your organization

8. Support legislation and regulation related to the establishment of a price signal for carbon and renewable fuel standards

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Recommendation Detail

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Improve the energy efficiency of your products and services Using concepts such as life-cycle analysis and cradle-to-cradle evaluation, chemical companies should evaluate the energy consumption profile of their product portfolio. Companies should identify the products with the highest energy consumption and initiate design and process changes to improve the overall energy efficiency of their product portfolio.

SE4All Target: Energy Efficiency

Engagement Modality: Core Business, Products & Services

Description: Understanding the energy consumption of a product or product manufacturing process is the first step in reducing energy use and improving energy efficiency. Energy accounts for as much as 25% of the total production cost for chemicals, making it a critical component of overall cost and profitability. Once the energy impact is known, alternatives can be evaluated, assessed, and developed. Increasing the energy efficiency of product production can lead to significant cost reduction benefits and can drive the return needed to implement tangible activities. Chemical companies should take a measured and systematic approach to evaluating product and process portfolios. Of the thousands of products produced by the chemical company every year, only a certain portion drive high energy use and it is important to focus attention in the right areas.

Related Industries: Professional Services, Fuels, Renewables, Consumer Packaged Goods, Information and Communications Technology

Technology / Innovation Opportunities: The innovation aspect of this recommendation lies within the methodology used to assess the energy use of products and processes. Additionally, it is in developing ways to make the process cheaper and more standardized so that it can be scaled across a portfolio without sacrificing quality. Finally, there are innovative ways to apply the results, such as comparing alternatives and using the information to lower the overall impact of a product portfolio.

Partnership Opportunities: One of the most significant partnership opportunities in this realm is between supplier and customer, regardless of where a company sits in the value chain. Feedstock materials often require a significant amount of energy to process and from the production point to the customer there are opportunities to save energy. These opportunities often start with the design, but can also include things like product packaging and transport. By partnering up and down the value chain, chemical companies can seek innovative ways to lower the energy intensity of their product portfolio.

Example Case Study (s): Left out for presentation purposes

Improve the energy efficiency of your products and services Using concepts such as life-cycle analysis and cradle-to-cradle evaluation, chemical companies should evaluate the energy consumption profile of their product portfolio. Companies should identify the products with the highest energy consumption and initiate design and process changes to improve the overall energy efficiency of their product portfolio.

SE4All Target: Energy Efficiency

Engagement Modality: Core Business, Products & Services

Description: Understanding the energy consumption of a product or product manufacturing process is the first step in reducing energy use and improving energy efficiency. Energy accounts for as much as 25% of the total production cost for chemicals, making it a critical component of overall cost and profitability. Once the energy impact is known, alternatives can be evaluated, assessed, and developed. Increasing the energy efficiency of product production can lead to significant cost reduction benefits and can drive the return needed to implement tangible activities. Chemical companies should take a measured and systematic approach to evaluating product and process portfolios. Of the thousands of products produced by the chemical company every year, only a certain portion drive high energy use and it is important to focus attention in the right areas.

Related Industries: Professional Services, Fuels, Renewables, Consumer Packaged Goods, Information and Communications Technology

Technology / Innovation Opportunities: The innovation aspect of this recommendation lies within the methodology used to assess the energy use of products and processes. Additionally, it is in developing ways to make the process cheaper and more standardized so that it can be scaled across a portfolio without sacrificing quality. Finally, there are innovative ways to apply the results, such as comparing alternatives and using the information to lower the overall impact of a product portfolio.

Partnership Opportunities: One of the most significant partnership opportunities in this realm is between supplier and customer, regardless of where a company sits in the value chain. Feedstock materials often require a significant amount of energy to process and from the production point to the customer there are opportunities to save energy. These opportunities often start with the design, but can also include things like product packaging and transport. By partnering up and down the value chain, chemical companies can seek innovative ways to lower the energy intensity of their product portfolio.

Example Case Study (s): Left out for presentation purposes

The Framework for Business Action

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Partnerships and Collective Actions

Agenda

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What could be the roles of SE4A in mobilizing business action?

• Provide inspiration

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• Share knowledge and best practices

• Facilitate partnership development

• Create incentives for action and engagement

• Develop guidance and recommendations

Solution needs

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Required Characteristics

1) Must be Living!

Solution needs the capability to change as SE4All issues and

stakeholder needs change over time

2) Must be Inclusive!

Solution needs to accommodate multiple audiences, different

stakeholders, and diverse access points

4) Must drive Value!

Solution needs to be attractive to stakeholders to drive adoption,

support, and opportunities

3) Must stay Relevant!

Solution needs to be sustainable and durable to last for the life of the 18

yr SE4All initiative

Action Accelerator

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Structure & Content

Based on our interviews and research, we identified 5 key components necessary to drive value with the Action Accelerator

1.Recommendations or Best Practices2.Case Studies3.Innovation & Technology Opportunities4.Partnership Opportunities5.Commitments for Action

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Development of the SE4All Framework for Business Action: Structure & Content

• Recommendations or Best Practices• Tailored by industry grouping• Standardized across the Framework

• Includes:• Industry• Recommendation Number• Recommendation Title• SE4All Target• SE4All Engagement Modality• Recommendation Description• Associated Industries• Technology / Innovation Opportunities• Case Studies

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Development of the SE4All Framework for Business Action: Structure & Content

• Partnership Opportunities• Aligned to specific recommendations / best practices• Tailored by industry groupings

• Includes:• Examples and promotion of existing innovative partnerships• Opportunities to establish new partnerships “match-maker

concept” or join existing ones• Identification of effective types of partnerships to meet specific

recommendations or best practices• Within Industries• Across Industries• Private / Public• Businesses & NGOs

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Development of the SE4All Framework for Business Action: Structure & Content

Sector Specific Recommendations, Best Practices,

and Cases

Commitment Criteria

Commitment

Selection Screen

Recognition and Visibility

Accountability Mechanisms

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Action Accelerator

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Agenda

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Important Milestones and Next Steps

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June 2012

World Future Energy

Summit,Abu Dhabi

15-16 Jan 2012

taskforcewebinarDec 13

SE4All Action Agenda Input

Gather Commitments (w/ Accountability Measures)

18-20 Nov 2011

Gather Case Studies & Input for Accelerator

taskforcewebinar

Jan 5

Support Development of SE4All Accelerator

WEF Annual Meeting,

Davos

25-29 Jan 2012

SE4All Outreach

Develop Sectoral Recommendations & Case Studies

taskforcewebinar

taskforcewebinar

Facilitate New Partnerships / Collective Action

Sherpa Meeting,

Vienna