‘policy maker meets the engineer’ workshop · un economic commission for europe ‘policy maker...
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UN Economic Commission for Europe
‘Policy Maker Meets the Engineer’ Workshop
Geneva, 18 January 2017
Energy Efficiency at Nestlé
Peter Jaggy, Head of Corporate Engineering
2
Nestlé in Numbers
Peter Jaggy, Nestlé
Environmental impact:
• Energy consumption: 94 PJ
• Water consumption: 140 million m3/year
• CO2 emissions: 7 million tons/year
• Waste water discharge: 82 million m3/year
Nestlé Group 2015:
• Group sales: CHF 88.8 billion
• Trading operating profit: CHF 13.4 billion
• 436 factories in 85 countries
• 335’000 employees
• Capital Investment approx. CHF 4 billion / year
1.8
1.9
2.6
2.7
2.9
3.0
3.9
4.8
7.0
25.3
Canada
Italy
Philippines
Mexico
Germany
United Kingdom
Brazil
France
Greater China Region
United States
Our Top 10 markets (sales in CHF billion)
3
Environmental and Societal Sustainability are Business-critical for Nestlé
Agricultural Raw
Materials
BiofuelDeforestation
Global Warming
Salt
Processed Food Renewable Energy
Ob
esit
y
Water ScarcityDesert
ific
ati
on
Food
Waste
Ca
rbo
n t
rad
ing
Creating Shared Value
“For a company to be successful over the long term and create value
for shareholders, it must create value for society.”
Peter Jaggy, Nestlé
4
Environmental IndicatorsIn
de
x Energy
Waterwithdrawal
GHGemissions
Water fordisposal
Productionvolume
20
40
60
80
100
120
140
160
2005 2007 2009 2011 2013 2015
+42%
+7%
-14%
-12%
-62%
Peter Jaggy, Nestlé
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Environmental Indicators
Energyconsumption/t
Waterwithdrawal/t
GHGemissions/t
Water fordisposal/t
Ind
ex
20
40
60
80
100
2005 2007 2009 2011 2013 2015
-29%
-43%
-41%
-75%
Peter Jaggy, Nestlé
Peter Jaggy, Nestlé
Nestlé’s Energy Consumption Mix
Biomass & Solar8%
Grid electricity from renewable
5%
Green Power3%
Grid electricity from non renewable
22%
Purchased Steam & Hot Water3%
Natural Gas43%
Petroleum12%
Coal4%
Thermal Energy70%
(8% Renewable)
Electrical Energy30%
(8% Renewable)
RenewableEnergy (15.5%)
6
Setting Priorities the Nestlé Approach: Going after Largest Users first
Peter Jaggy, Nestlé
Cumulative Energy Consumption 2014 Cumulative Water Consumption 2014
7
Energy Target Setting (ETS) Methodology
Two week energy & water site assessment with a team of experts to issue an action plan with
energy & water savings projects to be implemented
A clear methodology: Specific Milestones during the two weeks:
Peter Jaggy, Nestlé8
Peter Jaggy, Nestlé
ETS team work with our Knowledge partners who participate in the site assesments
ETS Methodology
9
Peter Jaggy, Nestlé
Renewable Energy - Strategy and Drivers
LESSUsage
MORERenewable
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Renewable Thermal Energy
What we do:
• Grounds burned in 23 Nescafé factories
• 15 factories burn biomass (Wood, saw dust,
coconut shells), ensuring sustainability
meaning:
o Not competing with Food chain
o Not contributing to deforestation
o Limited transport distances (CO2 impact)
Peter Jaggy, Nestlé
Biomass Biofuel
11
Benchmarking Factories, Unit Operations and Equipment?
Perfect design based on the Best Available Technology working without losses. (*)
Less efficient current technology used in Nestlé including all operational losses. (*)
The nexus D-E represents the mid point between Min-Max. (*)
Peter Jaggy, Nestlé12
Benchmarking Factories - Soluble Coffee Business
Peter Jaggy, Nestlé
Energy Dashboard CO2 Dashboard Water Dashboard
13
Benchmarking Factories - Soluble Coffee Business- Roadmap
Peter Jaggy, Nestlé
Reference 2010
Energy Reduction
Opportunities Ambition 2020 2014
from 39 GJ/T in 2010 to 7 GJ/T in 2020
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Benchmarking Unit Operations - Spray Drying- Energy Dashboard
Energy Rating• Energy GJ/t final product
• Includes:• Air heater primary fuel
• Primary fuel for steam
• Electricity consumption of directly related equipment
• Electricity for any cooling uses
Peter Jaggy, Nestlé15
The Role of the Regulator
Peter Jaggy, Nestlé
• Create an ‘even’ playing field:
-No subsidies for ‘non-renewable’ power or thermal energy
• Create the future infrastructure:
-Enabling micro grids
-Competitive landscape
• Focus on CO2:
-Penalize / discourage greenhouse gas emissions
-My waste may be your treasure
• Subsidize R&D in ‘efficiency’
• Remove hurdles and administrative barriers
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