Business Resource Efficiency Guide Finding Cost Savings: … Finding cost savings guide...

Business Resource Efficiency Guide

Finding Cost Savings:Resource Efficiency for SMEs

1 IntroductionHome

2 Resourceefficiency

3 Environmentallegislation

4 Managementtools

5 Business sectors

6 Furtherinformation

1 IntroductionHome



4 Managementtools

5 Business sectors


WRAP's vision is a world in which resources areused sustainably.Our mission is to accelerate the move to asustainable resource-efficient economy through■ re-inventing how we design, produce and sell

products, ■ re-thinking how we use and consume products,

and ■ re-defining what is possible through re-use

and recycling Find out more from WRAP at www.wrap.org.uk

Contents

1 Introduction 21.1 Why these four topics are important 21.2 How WRAP can help you 31.3 Flow diagram navigation 4

2 Resource efficiency 52.1 Reducing waste 52.2 Water savings 8

3 Environmental legislation 103.1 Ten steps to peace of mind about environmental legislation 113.2 Waste legislation 133.3 Hazardous wastes 153.4 Water legislation 163.5 Health and safety 17

4 Management tools 194.1 Writing an environmental policy 194.2 Action planning 204.3 Sustainable development and environmental management systems 20

5 Business sectors 225.1 Retailers 225.2 Hotels 255.3 Manufacturing and metal engineering 285.4 Offices 305.5 Vehicle repair garages 325.6 Catering and food production 355.7 Printers 37

6 Further information 40

WRAP Finding Cost Savings: Resource Efficiency for SMEs 1

1 IntroductionHome



4 Managementtools

5 Business sectors


Summary

This guide aims to help small to medium-sized enterprises/organisations (SMEs) andthe business support organisations advisingthem to find concise, useful referenceinformation on resource efficiency,environmental legislation and managementtools. It also has an overview of the activitiesthat small businesses may be involved in.

At face value, using your raw materials wiselyjust seems like common sense. It is – butwith support and increased knowledge, youcould adopt an approach to safeguard theseresources that may well save you money andenable you to invest in growing your business.

All organisations should aim to be asresource efficient as possible by preventingwaste from the outset. Organisations acrossthe UK have the potential to save up to£23 billion a year by using resources such aswater, energy and raw materials moreefficiently. In many cases, much of this moneycould be saved quickly and simply.

This guide will help to pinpoint what resourceefficiency is about and the steps you can taketo save money.


1 Introduction

This guide aims to help small to medium-sized enterprises/organisations (SMEs) andthe business support organisations advisingthem. The guide is designed to act as acompass to guide you to concise, usefulreference information on four topics.

� Resource efficiency.� Environmental legislation.� Management tools.� Business sectors.

Use the tabs at the bottom of every page tohelp you find information in each of the fourtopics. The flow diagram in Section 1.3 willhelp you to navigate through the topics in aparticular order of benefit to your organisation.

This is not an exhaustive list of the topics youwill need to cover in managing yourorganisation, but it should help you to getyour bearings on the road to greaterefficiency and profit.

As a person working in a small organisation,you probably find that nearly all of your time isdedicated to core activities and everything elsecan seem like an unnecessary distraction.However, there are aspects that may notappear to be vital to your organisation, but are,nevertheless, key to your success. If they areignored, your whole organisation may be atrisk. The good news is that if you are aware ofthem you can use them to your advantage and,in many instances, make cost savings at thesame time.

1.1 Why these four topics are important1.1.1 Resource efficiencyAt face value, using your raw materials wiselyjust seems like common sense. It is – butwith support and increased knowledge, youcould adopt an approach to safeguard theseresources that may well save you money andenable you to invest in growing your business.The amount of raw material that goes intothe process and is not used in the finalproduct is waste. Waste can be dealt with in a

number of ways, but the most effective is byfollowing the waste hierarchy, which rankswaste management options in terms ofsustainability.

All organisations should aim to be asresource efficient as possible by preventingwaste from the outset. However, if this is notpossible, then consider re-using, recycling orrecovering other value (e.g. energy). Not allwastes can be dealt with in these ways, soyou will need to dispose of them in aresponsible manner. Organisations across theUK have the potential to save up to £23 billionby using resources such as water, energy andraw materials more efficiently1. In manycases, much of this money could be savedquickly and simply.

This guide will help to pinpoint what resourceefficiency is about and the steps to take tosave money. The purpose is to encourage youto consider the contribution that resourceefficiency can make to your organisation’sbottom line. There are a number of goodreasons for getting involved in resourceefficiency.

� Waste and poor resource efficiency costmoney – many organisationsunderestimate how much waste is costing;it could be as high as 4% of turnover.

� The true cost is often hidden – the truecost of waste isn’t limited to the chargesfor disposal. It also includes wasted rawmaterials, energy and labour – which canbe between 5 and 20 times more than thecost of disposal. It could cost more tothrow resource away than to purchase it inthe first place.

� Your reputation – customers, financialinstitutions, employees and suppliers havea growing interest in the environmentalperformance of organisations. The effortsyou make to reduce waste indicate to themhow effectively and efficiently you controlyour operations.

All organisationsshould aim to be asresource efficient aspossible bypreventing wastefrom the outset.

1 IntroductionHome 2 Resource

efficiency3 Environmental

legislation4 Management

tools5 Business

sectors6 Further

information

1 The Further Benefits of Business Resource Efficiency published by Defra, March 2011.

http://randd.defra.gov.uk/Document.aspx?Document=EV0441_10072_FRP.pdf


1.1.2 Environmental legislationThere is a great deal of environmentallegislation. It can be hard to know whichareas apply to your organisation and what isthe best way of ensuring that you comply.Regulations exist to protect the environmentfrom damage that may be caused byorganisations of all sizes. These regulationscover the waste you dispose of, the materialsthat you may pour down the drain, and theemissions, fumes and vapours from yourprocesses.

This section provides signposts to legislationthat may have an impact on yourorganisation’s activities and provides a ten-step approach that will help to ensureyou are complying. It also indicates apragmatic way to get started.

1.1.3 Management toolsNo organisation can afford to lose a goodreputation. By complying with legislation andtaking steps to reduce your organisation'simpact on the environment, you can reassureyour customers, the bank and investors thatyou are carrying out your business in anorganised, efficient, sustainable andresponsible manner.

This section explains the principles ofsustainability and the ways you candemonstrate that your environmentalresponsibilities are being carried outappropriately.

You may believe that your organisation has noenvironmental impacts, but it uses energy insome form, and produces solid and liquidwaste. Keeping your use of energy and thegeneration of waste low is not only good forthe environment, but it can also benefit yourorganisation by creating savings, improvingyour competitive edge, and enhancing yourimage with customers and investors.

To demonstrate their commitment to theenvironment, many organisations publish anenvironmental policy. Included in this sectionis guidance on how you can draft, develop anduse an environmental policy. Even smallorganisations can benefit from this as itprovides a systematic approach to using andmanaging resources. With the increasingimportance of good environmental practice,you will find that your major customers willbegin quizzing you on your environmentalperformance and even awarding contracts tothose organisations that demonstrate arobust environmental policy.

1.1.4 Business sectorsThis section gives an overview of the activitiesthat small businesses may be involved in.Sectors covered include retail, hotels,manufacturing and metal engineering,vehicle repair garages, catering and foodproduction, and printers. Your organisationmay not fall directly under any of theparticular categories outlined. However, donot let this deter you from looking throughthe information as you will find issues thatare still going to be relevant – particularly thesection on offices. You will find information ongood resource management; what wastereduction entails; water use and how to avoidwasting water; the use of packaging, heatingand lighting; solvent recovery; and how todispose of chemical waste.

1.2 How WRAP can help youOnce you have used this guide, you may havegot your bearings, but still need help toimprove your resource efficiency. This iswhere WRAP can help.

WRAP works to help businesses andindividuals reap the benefits of reducingwaste, develop sustainable products and useresources in an efficient way.

Section 6 provides links to useful guides andtools that can help your organisation.




tools5 Business

sectors6 Further

information


1.3 Flow diagram navigationYou may find this flow diagram useful forpinpointing an order in which to look throughthe sections in this guide.




tools5 Business

sectors6 Further

information

Are you concerned about environmental legislation?

Do you also needto consider any of the following?

Do you want to develop an action plan for environmental improvement?

Do you want your customers to know you are interested in sustainable development and managing the environment?

Are you interested in saving money?

Do you want to reduce the amount of waste you produce?

Are you interested in reducing your water usage?

Do you have to deal with special or hazardous waste?

Do you put a substantial amount of water down your drains?

Do you have any health and safety issues?

Do you have a responsibility to dispose of waste?

Yes

Yes

Yes

Yes

Yes

Yes

No

No

No

No

No

No

No

No

No

No

No Yes

Yes

Yes

Yes

Yes

Are you interested inimproving your organisation’s environmental image?

Environmental legislation

Section 3

Waste

Section 3.2

Hazardouswastes

Section 3.3

Waterlegislation

Section 3.4

Health and safety

Section 3.5

Finally, have a look at Section 5 on business sectors to see how many topics are of relevance to your organisation

Environmentalpolicy

Section 4.1

Environmentalaction plans

Section 4.2

Sustainable development and environmental management systems

Section 4.3

Reducing waste

Section 2.1

Water savings

Section 2.2

Your organisationSTART HERE!


2 Resource efficiency

2.1 Reducing waste2.1.1 What is waste?There are literally hundreds of words fordifferent types of waste. Don’t think that yourorganisation doesn’t produce waste simplybecause it uses another name for it. Whateveryou call it, waste is waste. All organisationsproduce waste – even efficient ones.

Waste is not simply material that is excess torequirements – it represents the loss ofvaluable assets.

Organisations often think that their onlywaste is the contents of their bins or skips,but this is far from the case. Waste takesmany forms, including:

� refuse (also known as solid waste, tradewaste, etc);

� waste packaging;� water (e.g. dripping taps and leaks);� effluent;� waste oils, solvents, liquid residues in

drums;� smoke and fumes;� heat/energy losses;

� rejects and rework; and� wasted effort.

Organisations that manage their wasteeffectively and identify practical ways toeliminate the waste they generate tend to bemore efficient and effective.

The waste hierarchy (see Figure 1) identifieswaste management options and ranks themin terms of sustainability. All organisationsshould aim to prevent waste from the outsetwherever possible. However, if this is notpossible, then consider re-using, recycling orrecovering other value (e.g. energy). Not allwastes can be treated in these ways, so youwill need to dispose of them in a responsiblemanner.

Waste disposal has the greatest impact onthe environment and is typically the leastcost-effective waste management solution.Therefore, it is best to aim to ‘move up’ thewaste hierarchy so that you not only savemoney, but also reduce your use of rawmaterials, water and energy – as well asimproving your environmental reputation.

1 IntroductionHome2 Resource

efficiency 3 Environmentallegislation

4 Managementtools

5 Business sectors


If you can’t prevent it, then...

If you can’t prepare for re-use, then...

If you can’t recycle, then...

If you can’t recover value (e.g.energy), then...

Landfill if no alternative available.

Prevention

Prepare for re-use

Recycle

Recover other value

Disposal

Figure 1: The waste hierarchy

Organisations oftenthink that their onlywaste is the contentsof their bins orskips, but this is farfrom the case.


What is the cost of waste to smallorganisations?Many organisations underestimate how muchwaste costs them; it could be as high as 4%of turnover. The true cost of waste isn’tlimited to the charges for disposal. It alsoincludes wasted raw materials, energy andlabour – which can be between 5 and 20times more than the cost of disposal. It couldcost more to throw resource away than topurchase it in the first place.

There are many benefits associated withpreventing waste and improving resourceefficiency – benefits that will appeal to anyorganisation, whatever its size. Theseinclude:

� cost savings from reduced raw materialand waste disposal costs – typically over1% of turnover can be saved;

� improved process performance;� improved environmental performance;� compliance with legislation and reduced

risk of environmental incidents; and� commercial and strategic advantages – it

can make your organisation morecompetitive and improve its standing withcustomers who seek assurance that theirsuppliers are operating on a soundenvironmental basis.

Specific benefits to employees include:

� improved working conditions;� cost savings (typically £1,000 per

employee), releasing money that can bespent on other things such as training,motivation and team working;

� ‘feel-good factor’ in the organisation; and� improved recruitment and retention of staff.

Consider how much product you have to sellor service you have to deliver to make a profitof £1,000 – remember cutting out waste payspure profit.

Bills are a useful source of information. Usethem to:

� check that you are being charged for theright number of waste pick-ups; and

� check that all your rented skips and binsare still on site?

How can I make savings?

Spend a short time carrying out a systematicreview of your organisation’s wasteproduction.

Waste takes precious time and resources togenerate and so the key to cutting wastecosts is to try to prevent it in the first place.

� Imagine that you are seeing youroperations for the first time.

� Challenge the way you do things.� Follow the waste hierarchy. Start with

prevention. If that is not possible, try to re-use the waste. Recycling is the nextbest option. Alternatively, you could look atrecovering other value from the waste (e.g.energy). Disposal should be the last resort.

Secondly, walk around your site looking forwaste and asking the following questions.

Administration

� Can you monitor the paper use and wastefrom printers and photocopiers?

� How can you encourage people to ‘thinkbefore you print’?

� Is the paper waste created because thereare no clear instructions?

� Have employees been properly trained inusing the IT equipment or are they learningas they go?

� Do you log your computer and copierproblems, and look for common causesthat can be addressed?

Stores

� How much damaged stock can you see –what can you do to prevent this in thefuture?

� Do you suffer from never having enoughstorage space? If so – why?

� Have you talked to your supplier about re-usable or returnable packaging?

� How can you prevent stock becoming out ofdate?

� Why is there so much stock?� Is there a ‘first-in, first-out’ system – and is

it working?

There are manybenefits associatedwith preventingwaste and improvingresource efficiency –benefits that willappeal to anyorganisation,whatever its size.



4 Managementtools

5 Business sectors



� Are ‘goods in’, ‘work in progress’ and‘finished material’ all jumbled together?

� How much time is spent looking for stock?

Production

� Is the production area used as a store?� What is on the floor?� Why is material in the waste bin?� Where are the tools and equipment stored?� Why are there off cuts and what happens to

the leftovers?� How much is left in containers, drums and

bags?� Are you and your employees aware of how

much the expensive materials andconsumables cost the organisation?

� How much is cleaning up costing you inwater, detergent and solvents?

� You bought this much and you sold thatmuch – where did the rest go?

� When did you last check your estimatesagainst reality?

Measure and manage: always convert wasteto a 12-month figure; wasting £1 a daydoesn’t seem much – wasting £365 does! Youwill find that as soon as you put a figure onthings, you start asking the right questions tosave money.

Packing and dispatch

� Are you sure your customer requires allthe packaging you are using?

� Are you re-using your suppliers’packaging?

� Could you use shredded confidential wastepapers as packaging?

� How many rolls of packaging tape are inthe area?

� How much do you spend on packaging peryear?

Outside your premises

� What is hiding in the skip or wheelie bin?Why not do a daily check over the next fewdays – you may be unpleasantly surprised?

� Are you paying to empty bins full of air?� Do you really need the extra skips and

bins? Waste creation grows to fill the spaceavailable! Number your wheelie bins andfill them in strict rotation.

� Are the contents of the bin compacted byhand? Flatten boxes, bags and plasticbottles.

� If you can find a licensed waste carrier toremove segregated waste, make sure youkeep the waste clean to maximise its value.

� Your quantities of waste are probably toosmall to interest a recycler and you are notallowed to take trade waste to anamenity/recycling site. Therefore, contactyour local council or green businessorganisation to find out about opportunitiesfor locally based waste exchange.



4 Managementtools

5 Business sectors



2.2 Water savings2.2.1 Water facts� Water has business and environmental

costs.� The water to most commercial/industrial

premises is metered – the more you use,the more you pay.

� Not only do you pay for the water when itcomes in, you also pay the effluent andsewerage charge when you dispose ofwastewater to the drain.

� Climate change – wetter winters when wedon’t need the water, drier summers whenwe do need it are making water abstractiona major environmental concern.

� Water distribution doesn’t happen bygravity – it uses huge amounts of electricalenergy to pump the water from the sourceto the tap.

2.2.2 What can you do?Firstly, look at your water bills – is yoursupply metered?

1. Check the effluent and sewerage chargeFor most organisations, this is based on95% return to sewer. Does all of your watergo down the drain? You may be eligible fora discount if it goes into the product or itevaporates – talk to your water company.

2. Check the ‘standing charge’This is based on the size of your meter andinlet pipe. Has the use of the premiseschanged (e.g. from a bottling plant to adried fruit packer?). If you have anoversized water meter, ask your watercompany to change it to a smaller one.

3. Check the bill for the amount ofwater usedAre there any unexplained differences thatmight give you a clue about possible wasteor leaks? Invisible leaks under the floor orthe yard can cost you thousands of pounds.Remember, any leak occurring after themetering point is charged to you.

4. Read the meter before and after theweekend or holiday shutdownAfter you have read the meter, do you needto ask questions about who or what wasusing water outside of working hours? Forexample, unauthorised use of your outsidetap to wash cars, caravans or boats.

Before you file your bills, it may be useful toinsert a simple chart of water use that youcan update each time you get a bill so thatyou can monitor any changes.

Next, spend some time walking around yoursite looking for where water is being wasted.

1. Check dripping taps and water flowFix dripping taps. A dripping tap will wasteat least 5,500 litres of water per year.Dripping hot water means you are payingto heat the water before you throw it away! Is your water pressure too high? If youhave high water pressure you may need toconsider fitting some form of flowregulation. Tap aerators and flowrestrictors are low-cost solutions and canreduce water use by up to 70%. A flow rateof between 5 and 6 litres/minute is usuallyadequate for hand washing.

2. Check the toiletsTypically, toilet cisterns account for over40% of water consumption in theworkplace. Where suitable, fit older 9-litreWC cisterns with volume adjusters, whichwill reduce the amount of water per flushby up to 2 litres. Also, consider the flushingof urinals. Continual flushing can costhundreds of pounds. Automatic controls,such as passive infrared (PIR) sensors, cansave up to 75% in water use and costs.

3. Check the temperature of your hot waterDoes it need to be as hot as it is?2

Reducing the water temperature, even by1°C, will lower your energy costs. Nexttime you wash your hands think about howmuch hot water you could be wasting.

A dripping tap willwaste at least 5,500litres of water peryear. Dripping hotwater means you arepaying to heat thewater before youthrow it away!



4 Managementtools

5 Business sectors


2 Legionella is generally controlled by storing hot water at temperatures above 60°C and distributing it at 50°C.


If your washroom sinks are located somedistance from the hot water supply,consider installing point-of-use heaters. Itcosts money to fill long runs of pipes withhot water and there is a risk of Legionellabacteria contamination if water between20°C and 45°C becomes stagnant and thesystem is not cleaned.

4. Look at any hoses being usedWhen did you last think about yourwashing operations from the point of viewof ensuring the minimum water use – andwhat wasteful methods are being used?Fitting trigger action spray guns to hosescan make dramatic savings.

5. Check your washing processesThese are notorious for washing moneydown the drain.Try to agree a standard, efficient, washingmethod and then enforce it. Organisationsthat use a lot of water may also considergrey (recycled) water systems or rainwatercollection. Both require some investment,but can save money in the long run.

If your organisation uses dishwashers orclothes washing machines, ensure they areused efficiently. When buying newappliances choose those with the highestenergy and water rating to ensuremaximum efficiency.Are you washing any materials down thedrain? If so, you must have trade effluentconsent from your water company (fouldrain) or an environmental permit from theEnvironment Agency (surface water drain).The ‘dirtier’ the water, the higher the costs– consider dry-clean methods, such asfloor scrapers.

6. Check your visible pipes for leaksNot only can leaks cost money in lostwater, they can also cause damp problems.



4 Managementtools

5 Business sectors



3 Environmental legislation

Legislation facts

� The European Commission producesaround 50 items of new environmentallegislation each year and most of these arethen made into UK legislation.

� UK legislation is produced as Acts (whichusually give the broad principles) andsubsequent Statutory Instruments (whichgive more specific details).

� Devolved government in Northern Ireland,Scotland and Wales then allows forregional variations.

� Each piece of legislation appointsregulators to be responsible forcompliance (e.g. the appropriate localgovernment authorities, the EnvironmentAgency, water companies, police) and theyregulate the application of the law.

� However, the final interpretation of themeaning of the law is often only decidedwhen the regulator takes someone to courtand the decision then sets a benchmarkfor future cases.

Realistically, the only way for smallorganisations to cope with this volume oflegislation is to accept that they cannotpossibly become experts on environmentallegislation, but should be experts on theirown organisation and use that knowledge toidentify potential problems.

You are probably already complying – findout using the ten steps below

For brevity, this section refers to the primarylegislation for England and Wales. Alternativemeasures may apply in Scotland and inNorthern Ireland. If you are in any doubt,contact your local regulator:

� England and Wales: telephone 03708 506 506 or visit www.environment-agency.gov.uk

� Scotland: telephone 03000 99 66 99 or visitwww.sepa.org.uk

� Northern Ireland:telephone 028 9054 0540 or visitwww.doeni.gov.uk

1 IntroductionHome 2 Resourceefficiency

3 Environmentallegislation 4 Management

tools5 Business

sectors6 Further

information




tools5 Business

sectors6 Further

information

Step 1Make a list of allthe hazardousmaterials thatyou purchase,use or sell.

Each hazardous material should be provided with a safety data sheet –make sure you have a safety data sheet for each hazardous material youpurchase, use or sell and file them alphabetically for ease of access.Using these, you can establish possible concerns about use, disposaland spillage. If you have further concerns after reading the safety datasheet, contact your supplier. You should ensure you have thisinformation to help you comply with health and safety requirements.

(Relevant legislation: Control of Substances Hazardous to Health(COSHH) Regulations)

Step 2Check what isentering yourfoul drain.

The foul drain takes dirty water from the toilets and sinks. You mustnot put any other materials down the drain – particularly hazardousor polluting materials that could cause problems at the seweragetreatment works – unless you have a trade effluent licence from yourwater supplier.

Think about the items on your hazardous materials list and thenabout things like oils, cooking fat, cutting fluids, medicines,chemicals, food processing waste, cooked food waste and washwaterfrom cleaning vehicles, floors or machines.

Usually, the effluent from small organisations does not concern watercompanies, but contact them to make sure.

(Relevant legislation: Water Industry Acts 1991 and 1999)

Step 3Do you disposeof anything tothe surfacedrains?

Surface drains are for clean rainwater, and run into streams andrivers. The rule is almost the same as for the foul drain except thatyou must not allow anything else to enter surface drains unless youhave a consent from your local regulator. Again, small organisationsare often exempt – but you need to make sure.

(Relevant legislation: Water Resources Act 1991) andEnvironmental Permitting (England and Wales) Regulations 2010

Step 4What aboutspillages?

If you identified any materials that should not go down the drain, isthere any chance that you could have a spillage of these materials thatmight enter the drains? Consider delivery, storage, use and wastematerial awaiting collection. In particular, think about vandals whocould cause a pollution incident – you may be held responsible for this,have a fine imposed on you and have to pay for the clean-up costs.

Consider ‘bunding’ to contain any possible spillage. This is a driptray/walled area, which will contain any spills. Bunding is compulsorywhere more than 200 litres of oil are stored.

Contact your local regulator for further information on pollution control.

(Relevant legislation: Control of Pollution (Oil Storage) (England)Regulations 2001)

3.1 Ten steps to peace of mind about environmental legislation

http://www.hse.gov.uk/coshh/

http://www.legislation.gov.uk/ukpga/1991/56/contents



http://www.legislation.gov.uk/uksi/2001/2954/contents/made

http://www.opsi.gov.uk/si/si2010/pdf/uksi_20100675_en.pdf




tools5 Business

sectors6 Further

information

Step 5Does yourorganisationgenerate waste?

If it does, then you have a ‘duty of care’ to ensure that you do notallow the waste to escape and that you dispose of your waste legallyusing a responsible waste disposal company that is licensed to carryyour particular waste.

Don’t forget it is your waste and, therefore, your duty of care. If yourwaste disposal company ‘fly tips’ your waste, you can be prosecutedfor not carrying out your duty-of-care responsibilities adequately. Youmust have a record of the waste type and quantity, and to whom youpassed the waste – this is known as a waste transfer note. Your wastedisposal company normally provides these and you must keep themfor at least two years. However, a waste disposal company may decideto reduce the paperwork and issue an annual waste transfer note.

(Relevant legislation: Waste (England and Wales) Regulations 2011)

Step 6Does yourorganisationhave ‘hazardouswaste’?

Refer to your list of hazardous materials – these must be disposed ofas hazardous waste using the correct paperwork, which ensures thatthe Environment Agency is informed of the disposal. Check that yourwaste disposal company is doing this and that it is licensed to carryhazardous waste – don’t forget it is your duty of care! You have tokeep your copy of the paperwork for at least three years.

Hazardous waste is a complicated area – it includes acids, alkalis,solvent-based materials (e.g. paints and adhesives), oils, chemicals,pesticides, asbestos, and other toxic and flammable materials. If youthink you may have a hazardous material, talk to your supplier, yourwaste disposal company or the Environment Agency.

(Relevant legislation: Hazardous Waste Regulations 2005 as amendedby Hazardous Waste (England and Wales) (Amendment) Regulations2009 and Waste (England and Wales) Regulations 2011 and the Waste (Miscellaneous Provisions) (Wales) Regulations 2011)

Step 7Do you handlelarge quantitiesof packaging?

If you handle more than 50 tonnes/year of packaging and you have anannual turnover of more than £2 million, then you have to complywith the Producer Responsibility Obligations (Packaging Waste)Regulations 2007.

These are too complicated to explain briefly here, but if you do meet thecriteria above you can find out more by contacting your local regulator.

(Relevant legislation: Producer Responsibility Obligations (PackagingWaste) Regulations 2007)

Step 8Do any of yourorganisation’sprocessespollute the air?

Operators of gasification, liquefaction and refining activities willnormally require an environmental permit to carry out any activitiesdescribed in Chapter 1.2 of schedule 1 of the EnvironmentalPermitting (England and Wales) Regulations 2010. The permit may beissued from the Environment Agency or a local authority.

(Relevant legislation: Environmental Permitting (England and Wales)Regulations 2010)

http://www.legislation.gov.uk/ukdsi/2011/9780111506462/contents



http://www.legislation.gov.uk/wsi/2011/971/contents/made

www.legislation.gov.uk/uksi/2005/894/contents/made

http://www.legislation.gov.uk/uksi/2009/507/pdfs/uksi_20090507_en.pdf



3.2 Waste legislation3.2.1 How is waste defined?This isn’t as easy to answer as it mightappear and your definition of waste may notbe how it is defined in law. A definition ofwaste is: any substance or object the holderdiscards, intends to discard or is required todiscard.

Is it waste even though I can sell it?Yes, it is waste if it is of no use to you.

Even if it is going to be recycled andreturned to me?Yes, it is waste because it is of no use to youuntil it has been through the recyclingoperation.

Even though it is a by-product of mybusiness, such as scrap-metal off cuts?Yes, it is waste because before it can be putinto the furnace it is sorted, cleaned, cut orotherwise worked on.

What about wood shavings that I bag up andsell as animal bedding?Take care! The Environment Agency has tomake decisions on a case-by-case basis – youwould need to show that it is part of your‘normal commercial cycle’ or that it is a rawmaterial that does not require further workbefore use. If you have a concern, contact theEnvironment Agency.

So, what about my redundant computersthat I am giving to my local school?No, they are not waste because they are stillbeing used for their original purpose.

Why is the definition of waste important?All commercial and industrial waste comesunder the ‘duty of care’ requirements of theEnvironmental Protection Act 1990.

What is ‘duty of care’?Anyone who makes, stores, transports, treats,recycles or disposes of waste has a ‘duty ofcare’ to ‘take all reasonable steps’ to keepand dispose of the waste safely.



tools5 Business

sectors6 Further

information

Step 9Is yourorganisation anuisance?

If your organisation makes excessive noise, smell, dust or smoke,then your neighbours may complain to the local authority, which canput an abatement order on you. The difficulty is that people have adifferent threshold of tolerance (e.g. to one person the barely audiblehumming of a machine and a pleasant smell of fish and chips can bea sleep-shattering rumble and a stink of rotten fish to anotherperson).

Make a list of your noise, smell, dust and smoke, and think how youcan eliminate them before they become a problem.

(Relevant legislation: Environmental Protection Act 1990)

Step 10Are there anymore areas ofconcern?

Other areas of concern are all to do with unusual situations ormaterials such as asbestos, chlorinated solvents or ozone-depletingrefrigerant gases (CFCs).

To find out if you use something unusual, start with the safety datasheet and then talk to your supplier. Your trade association or trademagazine should be able to provide you with the information you needto make a decision.




What do you have to do when generating orstoring waste?Make sure the waste is secure and can’tescape. Consider the potential effects ofwind, rain, floods, vandals, fire, etc. It is yourduty of care to consider the consequencesand take steps to avoid them.

What do I have to do if someone collects mywaste?When you pass waste on to someone else,you must ensure that they are a registeredwaste carrier. A list of registered wastecarriers can be obtained from your localregulator. Licences or exemptions are alsoobtained from your local regulator. Youshould ask to see the disposal company’swaste carrier number and its licenceconditions.

What about the local charity and voluntaryorganisation that collect my fabric off cuts?If they are carrying your waste, they must beable to show you their waste carrier licencefrom the relevant regulator.

What do I have to do if I want to transportmy waste myself?This is no problem if you transport your ownwaste and still carry out your duty of care fordisposal of the waste unless you are definedas being in the building trade.

What is meant by ‘building trade’?This includes anyone who is involved inconstruction, demolition, improvement, repairor alteration to buildings – even work such asplumbing and carpet laying. Theseorganisations must register as a carrier.

What happens if I have to pick up some oldfurniture when I deliver a new settee?Your organisation can remove its own wastefrom the materials you brought on sitewithout a licence. However, if you removewaste that belongs to anyone else then youneed a licence.

What about waste transfer notes?Whenever waste changes hands, both sidesmust have a record of the transfer – thewaste transfer note. The waste transfer notegives a description of the waste, the quantity,who had the waste and who is taking it away.Your waste carrier normally provides transfernotes, but you can print your own. Your wastecarrier may decide to reduce the paperworkand issue an annual waste transfer note. Youmust keep your copy of the transfer note forat least two years.

Does that complete my duty of care?You must take reasonable care to ensure thewaste carrier disposes of your waste at adisposal site that is authorised to take it.Always be suspicious of organisations orindividuals that offer to remove your waste‘on the cheap’. Be extra careful withhazardous materials – disposing of theserequires much more stringent controls.

Are there any exceptions to these duty-of-care requirements?Household waste (i.e. waste that comes fromdomestic premises) is an exception. However,putting commercial or industrial waste inwith the domestic waste is illegal.

Other exceptions are agricultural waste, andsome wastes from mining and quarrying.

What is producer responsibility for waste?Producer responsibility laws requireorganisations to re-use, recycle and recoverother value from waste that comes fromproducts they produce. Under theseregulations, 'producers' are businesses whoimport, make or sell products that end upbecoming waste packaging, waste batteriesor waste electrical and electronic equipmentwhen they are thrown away. If you are aproducer, you will have to register directlywith your local regulator or through acompliance scheme.



tools5 Business

sectors6 Further

information


3.3 Hazardous wastes3.3.1 What are hazardous wastes?These are wastes that are harmful to humanhealth or the environment.

The legal definition of a hazardous waste isextremely complicated (the revised WasteFramework Directive has brought changes tothe Hazardous Waste Regulations).

If you have any concerns, contact your localregulator.

How do I know if I have hazardous waste?

Start with a common-sense definitionWould you be happy for adults, children oranimals to eat, drink or handle the waste thatyour organisation generates? If you are not,then it is probably a hazardous waste.

Now look at your waste more closely� Make a list of the hazardous materials that

your organisation buys, uses or sells. If thematerials have hazard symbols on thelabels (e.g. flammable, corrosive, toxic) orhave safety data sheets, you probably havehazardous waste.Materials considered to be hazardousinclude building wastes containingasbestos, engine oils, lead-acid batteries,acids, fluorescent lamps, materialscontaining volatile solvents (e.g. paints andadhesives), prescription medicines,pesticides, and other toxic and flammablematerials.

� Check the safety data sheet. Unfortunately,the disposal instructions are often toogeneral to be of use – if you have anyconcerns, contact your supplier.

� Talk to the organisation that removes yourwaste and ask for its advice.

� Contact the Environment Agency foradvice.

But isn’t there an official list somewhere?Yes, there is – the European Waste Catalogueand Annex VI of the Classification, Labellingand Packaging Substances Regulation.However, these can be complicated to use.Therefore, it is probably quicker and morehelpful to seek advice as outlined above.Refer to GOV.UK for further guidance onhazardous waste.

How do I dispose of hazardous waste?You must find a reputable waste carrier thatis licensed to carry hazardous waste. Inaddition, insist that you see the company’slicence to carry your type of waste. A list ofhazardous waste carriers is available fromthe Environment Agency.

What paperwork do I need to complete?If you produce or hold hazardous waste at anypremises in England and Wales, you mustregister with your local regulator each year,unless the total quantity is less than 500kgeach year. Premises in Scotland or NorthernIreland are not required to register.

If you move or receive hazardous waste, youneed to record this and maintain a register ofyour records. The Environment Agency needsto know where each type of waste came from,its storage, who transported it and whodisposed of it or recovered it.

When hazardous waste leaves your premises,a consignment note must be completed – areputable waste carrier will make sure youget this right. You must keep your copy of thepaperwork for three years. Guidance onkeeping records can be obtained from theEnvironment Agency.

Are there any other considerations?

� Hazardous waste must not be mixed ordiluted with other waste, non-hazardouswaste or anything else, unless you have anappropriate permit.

� Where possible, you must separatehazardous waste that has been mixed.

� If your waste is to be sent for treatment, itis your responsibility to make sure the siteis permitted to receive it.

� Clinical waste can only be collected by awaste carrier that is registered to carrythis type of waste.

� High-pressure gas canisters are not ahazardous waste unless they contain ahazardous material. However, if theyexplode in your skip, the carrier’s lorry oron the landfill site, you are considered tobe responsible.

� Domestic waste is excluded from thedefinition of hazardous waste, but it isillegal to combine commercial or industrialwaste with domestic waste.



tools5 Business

sectors6 Further

information

https://www.gov.uk/dispose-hazardous-waste


3.4 Water legislationThe use and disposal of water are governedby several different pieces of legislation. Thissection gives an overview of the relevantlegislation and the steps you can take tocomply with it.

3.4.1 Water inFirstly, consider the water that comes intoyour premises.

� Most organisations use mains watersupplied by a water company. If you usewater that is abstracted from a borehole,river, stream or lake then you are likely toneed an abstraction licence from theEnvironment Agency. Refer to GOV.UK formore information on water abstraction.(Relevant legislation: Water Resources Act1991)

� If you are using abstracted water fordrinking, cooking or food production, thenit must meet health and hygiene standards.Contact your local council for advice.(Relevant legislation: Private WaterSupplies Regulations 1991)

� If you are plumbing-in new installations orfittings, then you must use approvedproducts to avoid waste and backflowcontamination of the water supply. Contacta qualified plumber or reputable supplier.(Relevant legislation: Water Supply (WaterFittings) Regulations 1999)

3.4.2 Water outNow consider the water that leaves yourpremises. The key to understanding theissues is to remember that there are twotypes of drain:

� foul water drains that take dirty waterfrom toilets, washbasins, kitchen sinks,showers, etc to the water company’ssewage treatment plant – these are theresponsibility of the water company; and

� surface water drains that are used toremove rainwater from your premises andthen discharge it into local rivers andstreams – these are the responsibility ofthe Environment Agency.

If you dispose of any other liquids to thedrain, then you must have a trade-effluentconsent or enter into a trade-effluentagreement with the appropriate regulator –either the water company or the EnvironmentAgency.

Why is this important?Obtaining a consent is very important toprevent problems occurring at the sewagetreatment works, pollution problems in riversand streams, or contamination of drinkingwater.

It is obvious that some discharges will causeproblems (e.g. paint, solvents, oil, hydraulicfluids, cutting fluids, waste chemicals,insecticides, herbicides).

The oil from one car oil-change cancontaminate 5,000,000 litres of water andcover a 1.6 hectare lake.

With others, it is less obvious (e.g. steamcondensate, compressor blow-down, vehiclewashings, floor-washing waste, kitchen wastefrom maceraters).

Pollution can also be caused by dumpingdirectly into a watercourse.

What do I do if I am concerned abouteffluent that is entering my drains?� Check which drain the effluent is entering.

You may have a drain plan on thearchitect’s drawings of your premises. Inmany cases, doing a rough sketch of thedrains around your site can be very useful– particularly in highlighting potentialpollution areas.

� Check to see whether you already have atrade effluent consent from your watercompany or Environment Agency. If not,take steps to obtain one.– If you intend to discharge to a foul drain,

you must obtain a consent or writtenpermission from your water company.For advice, contact your local watercompany – the telephone number will beon your water bill. (Relevant legislation: Water Industry Act1991)



tools5 Business

sectors6 Further

information


http://www.legislation.gov.uk/uksi/1991/2790/introduction/made



https://www.gov.uk/water-management-abstract-or-impound-water


– If you intend to discharge to the surfacewater drain, you must obtain a consentor written permission from theEnvironment Agency. There is a chargebased on the level of effluentdischarged.(Relevant legislation - Water IndustryAct 1991)

Can I pour it onto the weed patch at the backof the premises?Absolutely not! You are liable to beprosecuted if you dispose of it there oranywhere else without the proper consent.

How else can I dispose of it?Make sure that the material is collected by areputable waste carrier that is licensed toremove that specific material. Avoid wastecompanies that offer to dispose of your wastecheaply as you will be held responsible if they‘fly tip’ it.

What if there is an accidental spillage?Minimise the amount that enters the drainusing sand, earth or a spillage kit. Thencontact either the water company (foul drain)or the Environment Agency (surface waterdrain) immediately.

� Environment Agency Emergency Hotline:0800 80 70 60

What can I do to prevent a spillagehappening?� Think about those materials that might

cause a problem and how spillages mayoccur during delivery, storage, use andcollection.

� Consider whether vandals could cause apollution incident at your premises. Courtsmay find you responsible and you couldend up paying a fine and for the clean-upcosts.

� Consider bunding to contain any possiblespillages. This is a drip tray/walled areathat will contain any spills within it.Bunding is compulsory for premises thatstore more than 200 litres of oil.(Relevant legislation: Control of Pollution(Oil Storage) (England) Regulations 2001)

3.5 Health and safetyHealth and safety regulations apply toeveryone at work - whether in an office,factory or working outdoors.

If you are an employer or are self-employed,then you have a legal duty to ensure, ‘as faras is reasonably practicable, the health,safety and welfare’ of:

� yourself;� anyone who is working for you;� any visitors or contractors working at your

premises; and� anyone passing by or even an intruder.

If you are an employee, then you have thesame duty to your fellow employees.

The key action you can take is to assess therisk, and then take sensible actions based onthat assessment.

Don’t panic! Below is an example of how youperform a risk assessment each time youcross the road.

What could go wrong?– I could be hit by a car.

How likely is it?– It is dark, wet and they are travelling fast –

very likely.

What would the consequences be?– I could get killed.

What preventive action should I take?– Wait or go to a pedestrian crossing.

The only real difference between this exampleand a risk assessment at work is that a workrisk assessment must be written down.

A good starting point might be to create astandard form with the following columnheadings:

� What is the hazard?� What is the likelihood of it happening?� How serious is the potential consequence?� What action is required?

Make assessments under these headings forsubstances, activities, noise and fire.



tools5 Business

sectors6 Further

information




3.5.1 Do you use any substances that arehazardous to health?

You do if you use products or chemicals withhazard symbols on the labels (e.g.flammable, corrosive, toxic) or that havesafety data sheets. The COSHH Regulationsstate that you must carry out a riskassessment for any potentially dangeroussubstances.

The actions you may need to take include:

� replacing hazardous substances with lessharmful substances;

� controlling and reducing employeeexposure to hazardous substances; and

� providing training and protectiveequipment for employees.

3.5.2 Do you carry out activities that could behazardous?

Under the Management of Health and Safetyat Work Regulations 1999, you have a duty tocarry out a risk assessment for every activitythat might result in an injury. Actions you mayneed to take include:

� investigating alternative working methods;� ensuring proper control over operations;� finding ways to reduce any risk to

employees;� ensuring regular maintenance of

equipment and machinery; and� providing training and personal protective

equipment for employees.

Don’t forget to include office activities thatare also subject to health and safetylegislation. For example, working withcomputers (Health and Safety (Display ScreenEquipment) Regulations 1992) and lifting andhandling (Manual Handling OperationsRegulations 1992).

Are your activities making too much noise? Ifyou have to raise your voice to be heard, thenoise levels may be unacceptably high, asidentified in the Control of Noise at WorkRegulations 2005.

It is very important to do a fire-riskassessment. Ask yourself:

� How could it start?� Who would be affected?� How could the risk be reduced?

Then, review your fire precautions, detectionequipment and means of escape.

3.5.3 Do you have compressed air or otherpressurised systems?

If so, there are extensive requirements in thePressure Systems and Transportable GasContainers Regulations 1989 for testing,maintenance and record keeping.

3.5.4 Other legal requirements regardinghealth and safety

� Insurance – employer’s liability insuranceis compulsory so as to compensateemployees (and others) if an accident doesoccur.

� Health and safety poster – the health andsafety law poster must be displayed at alltimes.

� Health and safety policy – all workplacesmust have a written policy setting out howthe organisation intends to organise andplan for safety at work.

� Accidents – all employers are obliged toreport serious accidents at work to theHealth & Safety Executive.

� Electricity – all portable electricalequipment (e.g. computers, kettles,extension leads) must be checked regularlyby a competent person.

� Asbestos – asbestos problems must beidentified and dealt with in the appropriateway.

� Lead – lead solder requires a similarapproach to other substances governed bythe COSHH Regulations.

� First aid – an employer must provideadequate and appropriate first aidequipment and facilities.

� Safety signs – where there are specificrisks to employees, relevant, approvedsafety signs should be displayed.

For further advice on any health and safetymatters, contact your local office of theHealth and Safety Executive or visit itswebsite (www.hse.gov.uk).



tools5 Business

sectors6 Further

information

http://www.hse.gov.uk/coshh/









4 Managementtools 5 Business

sectors6 Further

information

4 Management tools

4.1 Writing an environmental policy An environmental policy is a clear statementof objectives that outlines an organisation’sintention to minimise its impact on theenvironment. It demonstrates commitmentand provides a starting point for action.

4.1.1 Do you need one?The following may ask you for details of yourenvironmental policy:

� local authority/government;� larger organisations;� customers;� banks/insurance companies; and� professional/trade associations.

Having a policy can also be a marketingadvantage and may help you to gain business.

4.1.2 How do you write one?1. Spend about five minutes thinking about

what impact your organisation has on theenvironment.

2. From the list below, tick up to five areasyou can control:■■ compliance with legislation;■■ use of resources;■■ waste;■■ transport;■■ energy use;■■ smell/noise;■■ water;■■ air;■■ staff environmental awareness;■■ building(s) and site management; and■■ buying/procuring policy.

3. Write down a simple statement for each (amaximum of two sentences) saying howyou will manage/improve these areas.

4. Make it realistic and achievable.5. Sign and date it. Then take steps to

implement it – see the rest of this guide forfurther help.

4.1.3 Sample environmental policy

Environmental PolicyStatement

We hereby make the followingcommitment to reduce our effect onthe environment:

In all our activities, we willcontinuously work towards reducingour impacts on the environment.

To work towards this commitment,we will:

� meet all the regulatory and consentrequirements relevant to ourbusiness;

� use raw materials carefully,considering relevant issues such aslocal purchasing;

� reduce our energy consumptionthrough measures such asincreased energy efficiency;

� create less waste by introducingresource efficiency measures; and

� manage our premises in anenvironmentally sensitive manner.

This will be achieved by raisingemployee awareness andincorporating environmental issuesinto the day-to-day running of ourbusiness.

Signed ..................................................

Dated ....................................................

Action Responsible Target date Cost Saving

Fix leaking oil tank John Smith 20 March £100 £1 of oil lost every day2015 = £365/year

Fix dripping tap John Smith 20 March £50 including £400/year2015 labour

Replace expired Paul Davis As bulbs need £1-2 each £3 per year per bulbbulbs with energy changingefficient bulbs

Replace old printer with Janet Jones 1 September £700 Saving of £650/yeardouble-sided printer 2015

Date: 20 March 2015. Next review date: 30 September 2015.

Table 1: A completed table of actions


4.2 Action planning When turning an environmental policy intoaction, it is best to keep things simple.

1. Look at all the key areas identified in yourenvironmental policy.

2. Prioritise them and choose two that youare going to address this year.

3. List a maximum of three actions you willtake to address each issue.

4. Make a table such as the one shown inTable 1. This identifies what the action is,who is going to be responsible for it andwhen they aim to have achieved it. The costand saving columns are optional. Mostenvironmental improvements are at nocost and often produce useful savings. Itcan be encouraging to communicate theactions throughout the organisation andreport on progress regularly to keeppeople motivated.

5. Set dates to review progress and for anannual review of the actions.

4.3 Sustainable development andenvironmental management systems

4.3.1 Sustainable development Sustainable development is development thatdoesn’t damage the environment faster thanit can repair itself. For businesses, thismeans looking at a wider perspective thanjust the economic one. The three focus areasare social, economic and environmental.

What can you do?

Think about where your raw materialscome from.

� Are they local (reduces transport impact)?

� Are they renewable (e.g. wood)?

Do you manage the resources you use?

Look at the waste you create.

� Think about your processes and how youcould do things differently to create lesswaste.

� All organisations should aim to preventwaste from the outset. However, if this is notpossible, then consider re-using, recyclingor recovering other value (e.g. energy).

The later in the process you address theissue of waste, the more it will cost yourorganisation because additional time andmoney will have been spent at each stage.This is why preventing waste in the first placeshould be your highest priority.

Consider how much energy (electricity, gas,diesel, etc) you use.

� Can you do things differently so that youuse less energy?

� Can you use renewable energy instead,either directly by generating your own orindirectly by buying it locally, regionally ornationally?

Think about the water you use.

� Can you do things differently so that youuse less water?

� Check what is disposed of to the foul andsurface drains.

� Can you change the way you do things sothat you don’t end up with effluent todispose of?




sectors6 Further

information

Preventing waste inthe first placeshould be yourhighest priority.





sectors6 Further

information

Do you have any emissions to air?

� Does your organisation use a chimney?� Do you have fume cupboards?� Do you have extractor fans?� Do you use chemicals in any part of your

process?

Does your organisation improve the qualityof life of its stakeholders?

Your stakeholders could include employees,shareholders, customers, sub-contractorsand local residents. Your actions affect all ofthese.

� Think about how you may improve theirquality of life through actions such asbetter training of staff and improving thelocal environment.

� Do you consider the biodiversity of the areaaround your premises? This means thelocal habitats and how you might enhancethem (e.g. building a pond, erecting nestboxes and creating a wildflower meadowon land held by your organisation). Thiscould reduce costs for grass cutting, etc.

If you intend to manage your environmentalimpacts, you may want to set up anenvironmental management system, asdescribed below.

4.3.2 Environmental management systemsIncreasingly, organisations are recognisingthat the environment is a management issueand not just a matter of compliance. Anenvironmental management system (EMS) isa systematic approach to managing yourorganisation’s impacts on the environment.Having and following an EMS is voluntary, butorganisations with an EMS have an explicitcommitment to continual environmentalimprovement.

Setting up an EMS will provide yourorganisation with a framework through whichits environmental performance can becontrolled and improved.

An EMS:� is a mechanism for defining environmental

responsibilities for all staff, helping themto understand the environmental impact oftheir activities and their individual actions;

� ensures that all operations haveprocedures that minimise their impacts;

� records environmental performanceagainst set targets;

� can be audited; and� will help you identify opportunities to

reduce waste and thus reduce youroperating costs.

To implement an effective EMS, you need tohave a good knowledge of your organisation'sprocesses and practices, and understand itsimpacts on the environment. With thisinformation, you will be able to easily identifyhow to improve efficiency, reduce costs andimprove profits.

Although many organisations have alreadymade significant improvements in theirenvironmental performance, an EMS willensure that improvements continue throughongoing development of the system, andusing measuring and monitoring techniquesto track progress. An EMS also ensures thatenvironmental performance and other relatedissues are raised regularly with seniormanagement and that the momentum formaking improvements is maintained.

The following three strategies are available toorganisations wishing to implement an EMS:

� develop their own in-house EMS;� follow the guidelines of the International

Standard ISO 14001, the EC’s Eco-Management and Audit Scheme (EMAS) orthe British Standard BS 8555 (designedspecifically for SMEs), but do not pursueformal certification/verification to thesestandards; and

� pursue formal certification/verification tothese standards.

All three strategies are voluntary, but differ intheir scope and approach. The choicedepends on what is right for yourorganisation.


Reducing waste andmaking the best useof resources notonly benefits theenvironment, it alsodelivers advantagessuch as enhancedbrand value,reduced costs andincreased customerloyalty.



4 Managementtools

5 Business sectors 6 Further

information

5 Business sectors

This section gives an overview of thebusiness activities SMEs may be involved inand the environmental issues that they couldface in their day-to-day activities. Sectorscovered include retail, hotels, manufacturingand metal engineering, offices, vehicle repairgarages, catering and food production, andprinters. Your organisation may not falldirectly under any of the particular categoriesoutlined. However, do not let this deter youfrom having a look through the informationprovided as you will find there are issues thatare still going to be relevant – particularly thesection on offices. You will find information ongood resource management, what wastereduction entails, water use and how to avoidwasting water, optimising the use ofpackaging, how to use heating and lightingmore efficiently, solvent recovery and how todispose of chemical waste.

5.1 RetailersThe retail sector produces a significantamount of waste – this is estimated to beover 9 million tonnes/year3. The disposalcosts alone of this waste are likely to beabout £400 million. When the true cost ofwaste is factored in (e.g. lost time, materials,water, treatment and storage costs), theactual cost is likely to be over £2 billion.

Reducing waste and making the best use ofresources not only benefits the environment,it also delivers advantages such as enhancedbrand value, reduced costs and increasedcustomer loyalty.

3 Commercial and Industrial Waste Survey 2009

http://webarchive.nationalarchives.gov.uk/20130822084033/http://www.defra.gov.uk/statistics/files/ci-project-report.pdf




4 Managementtools


information

5.1.1 Packaging wasteHave you considered reducing costs byauditing your packaging waste?

The best way to reduce packaging waste is totry and prevent it being produced in the firstplace.

� Ask suppliers to use re-usable packagingand deliver your products in re-usablepackaging where possible.

� Avoid contaminating packaging with othermaterials, such as glue, and try to design itso that the components can easily besegregated for re-use or recycling.

� Re-use materials such as bubble wrap,boxes, pallets and crates for regulardeliveries.

If your organisation handles over 50 tonnes ofpackaging annually and has a turnover ofover £2 million/year, then you need tocomply with the Producer ResponsibilityObligations (Packaging Waste) Regulations2007 to recover a minimum percentage of thepackaging you produce.

5.1.2 Transport and distributionWhether you have your own distributionnetwork or rely on a third party:

� ensure that your transport policies arereviewed regularly, that vehicles aremaintained in good order and that driversreceive training in efficient driving (drivingat between 50mph and 55mph instead of70mph will reduce fuel consumption byabout 30%);

� try to source your supplies locally and,when delivering, consider whether acommercial carrier could deliver the goodsmore efficiently and at lower cost; and

� see if you can reduce the number ofjourneys made by maximising loads andeffective route planning (25% of lorries onthe road are empty).

5.1.3 Resource efficiencyHere are some ideas that have alreadyworked for a range of organisations in theretail sector:

� set budgets and benchmarks for keymaterials, utilities and waste managementcosts;

� arrange for returns and unsold products tobe sent back to suppliers;

� follow the principles of the waste hierarchy(i.e. prevent, re-use, recycle or obtain othervalue);

� make sure that heating, boiler, air-conditioning and lighting systems arecorrectly programmed and maintained; and

� fit water saving devices in toilets,washrooms and kitchens/canteens.

5.1.4 Staff motivationThe success of any measures you undertaketo cut costs and reduce your environmentalimpact will depend greatly on thecommitment of those involved. Ways tomotivate staff include:

� develop reward schemes to encourageimproved resource efficiency and wastereduction;

� appoint a resource efficiency champion toco-ordinate your cost-saving efforts;

� train all staff in good practice by includingrelevant issues in induction briefings andcarry out refresher training every year.

The greatest savings can only be achievedwith the full commitment of staff throughoutthe organisation. By ensuring that youremployees are able to participate and feelsome degree of ownership for cost-savinginitiatives, you will maximise theeffectiveness of the programme.

5.1.5 EnergyAre you using lighting efficiently?

Lighting accounts for 20% of all electricalenergy use. The easiest ways of makingsavings in this area are to switch offunnecessary lighting and to encourage a‘switch-off’ culture among employees.

Labelling or colour-coding switches is anexcellent way of promoting this. A simplesystem is:

Red = Don’t turn it off.Orange = Specified personnel can turn it off

when it is not in use.Green = Anyone can turn it off when it is

not in use.

Lighting accounts for20% of all electricalenergy use.



A number of other techniques can be used toensure that the lighting is at its most efficient:

� localised switching allows lighting to becustomised to best suit the time of day orarea;

� time switching saves energy by switchinglights on/off automatically according to thetime of day;

� daylight linking by on/off or dimmingcontrol varies the level of light throughoutthe day in response to the amount ofnatural light available; and

� occupancy controlled switching is suitablefor stockrooms and ancillary areasbecause lights are turned off when theroom is unoccupied.

If you are planning to refurbish or put up newbuildings, consider these factors for maximumefficiency in the new lighting system:

� maximise the availability of natural light;� tailor light levels for different areas such

as aisles and checkouts;� ease of maintenance and monitoring;� user-friendly controls for time-of-day

variations;� adequate electrical connectors for future

flexibility;� incorporating safety and security

requirements; and� the legal obligations of the Building

Regulations 2010.

Are your refrigerators running efficiently?

Refrigeration costs for retailers can besubstantial and, for food retailers,refrigeration is the primary use of energy.

Simple measures can be taken to greatlyincrease efficiency and realistically reduceenergy consumption by between 15% and20%. Consider the following:

� maintain your equipment – clean filtersand grilles regularly and repair damagedinsulation;

� do not overstock as it could block air ducts– train staff in how it should be done;

� on open-type units, use night blinds or PVCstrip curtains;

� do not stock cabinets with produce that isabove the desired display temperature.Cabinets are not designed to cool produce– only maintain its temperature;

� check that the unit is not running at atemperature lower than necessary;

� make sure cabinets are not placed in hotareas with inadequate ventilation; and

� education is important – prepare simpleand clear instruction sheets.



4 Managementtools


information



The success of anyinitiative depends onmanagementcommitment andemployeeinvolvement andtraining.



4 Managementtools


information

5.2 HotelsIs your hotel wasting money and resourcesthrough inefficiency? This section is designedto help hotels cut costs and reduce theirenvironmental impacts.

5.2.1 Guest involvementInform guests of how they can help to saveresources using a guest information pack. Inaddition to information on local facilities andattractions, promote your environmentalinitiatives and encourage guests to:

� only have their towels, linen and bathroomtoiletries changed daily if required. Eitherprovide door handle signs for guests to useif they require something to be replaced orask them to put towels into the bath if theywish them to be changed;

� turn down the heating/cooling systemrather than open a window; and

� switch off lights and other appliances whenthe room is unoccupied.

5.2.2 Staff involvementThe success of any initiative depends onmanagement commitment and employeeinvolvement and training.

� Try to generate a general ‘switch-off’culture in the hotel. From lighting to ovens,make sure they are turned off when not inuse.

� Conduct an ‘energy and waste tour’ of thehotel, inspecting the entire premises andidentifying resource-saving practices orinvestments.

� Once identified, make sure that employeesput these practices into action. Designate amember of staff to be responsible forequipment and good practice checks atvarious times throughout the day.

� Draw up a room assignment plan and try toassign guests to adjoining rooms tocentralise occupancy, thus reducing spaceheating and lighting costs.

� Instruct housekeepers to use natural lightwhere possible when preparing guestrooms.

� Ensure staff close curtains and switch offappliances, such as towel heaters, whenrooms are unoccupied.

� Turn off televisions completely (i.e. not leftin standby mode) when rooms are empty.

5.2.3 Water� Various technologies now exist to save

water in guest rooms and lavatories. Tapaerators and flow restrictors are low-costsolutions and can reduce water use by upto 70%. Where suitable, fit older 9-litre WCcisterns with volume adjusters, which willreduce the amount of water per flush by upto 2 litres.

� Check taps regularly in all bathrooms. Adripping tap will waste at least 5,500 litresof water per year. If hot water taps areleaking, you are paying to heat the water,as well as for the water itself and thedisposal costs.

� Restrict the watering of grounds tomornings and evenings to minimise lossesthrough evaporation.

5.2.4 Laundry� Operate all equipment at full capacity and

use the minimum required temperature.� Dry laundry in a steady stream, as opposed

to a stop-start schedule throughout theday, to make use of residual heat.

� To prevent water pollution, consider usingphosphate-free detergents.

5.2.5 Purchasing� Where possible, source your materials

locally. This will significantly reducetransportation costs and damage to theenvironment.

� Select suppliers that will provide goods inre-usable or returnable packaging.

� Use refillable bath soap, shampoo andhand rinse lotion dispensers for guestrooms to eliminate bar soap and packagingwaste.

5.2.6 Recycling� Segregate your waste and provide areas

where guests can dispose of waste indesignated bins for recycling.

� Speak to your waste removal company tofind out which materials should beseparated and whether it can supplyspecific bins for each.


Heating and coolingwith air-conditioningis very expensiveand simplemeasures can leadto significant costsavings.

5.2.7 LightingAre you making the best use of natural lightin the hotel?

Natural light is free and creates a pleasantenvironment. Encourage the use of naturallight by:

� placing workstations near windows andskylights;

� keeping windows clean and unobstructed;and

� installing blinds so that glare and solarheat gain can be eliminated if necessary.

Are you using artificial lighting efficiently?

Measures that can be taken to improve theefficiency of artificial lighting include:

� replace expired tungsten filament lightbulbs with compact fluorescent lamps(CFLs), which use around 25% of theenergy for the same light output and theylast much longer;

� ensure light fittings are kept clean becausedirty diffusers can reduce light output by50%;

� encourage staff to always turn off lightswhen no longer needed. Colour codingswitches (so that they know which onesthey can safely switch off) can help thisprocess; and

� look at the feasibility of fitting externallighting systems with daylight detectors.

5.2.8 Heating and air-conditioningAre you heating and cooling your hotelefficiently?

Heating and cooling with air-conditioning isvery expensive and simple measures can leadto significant cost savings.

� Close windows and doors when the heatingor air-conditioning is on. Staff should alsoclose curtains or blinds to stop heatescaping in winter and prevent solar heatgain in summer.

� Check your roof spaces for adequateinsulation. About 25% of a building’s heatcan escape through the roof if it is notinsulated. Insulating your roof can reducethis loss by up to 90%.

� Adjustable controls in rooms allow gueststo set heating/cooling as they require it.

� Install double glazing – 50% of heat loss isthrough windows.

� Changing to a condensing boiler canimprove efficiency by up to 20% comparedwith older boilers. The Enhanced CapitalAllowance (ECA) scheme offers tax savingswhen investing in energy efficientequipment. Visit the website(http://etl.decc.gov.uk/) for moreinformation.

� When rooms are seasonally unoccupied,ensure that thermostats are adjusted toprevent damp problems.

� Regularly service air-conditioning andheating units to keep them working safelyand efficiently.

� Turning down the thermostat by just 1°Ccan reduce heating costs by up to 10%.

� Consider other ways of cooling such asceiling fans or improved ventilation.



4 Managementtools


information


5.2.9 KitchensAre your cooking procedures and equipmentworking efficiently?

Hotel kitchens use a substantial amount ofenergy and offer many opportunities toreduce waste.

� Use the correct size of pan for the hob andthe correct size of oven for differentdishes.

� Do not preheat cookers for longer than isnecessary. Some kitchens turn on theovens at the start of every day, regardlessof when they are to be used.

� When purchasing new kitchen equipment,consider induction cooking equipment.Induction hobs cost more to buy, but canbe up to 50% more efficient thanconventional electric hobs.

� Consider heat exchangers to recover lostheat from cooking (and refrigeration)appliances. These can be used, amongother things, to preheat hot water systems.

� Keep kitchen equipment well maintainedand serviced.

5.2.10 Catering waste� Catering waste must not be fed to farm

animals. � Catering waste must be disposed of

correctly through:– licensed landfill sites;– approved composting plants;– approved biogas plants;– incineration plants; and– approved rendering plants.

� Waste cooking oils should be storedproperly so that none is allowed to spilland it should only be collected by anauthorised collector. It should not be:– poured down the drain;– disposed of at a household recycling

centre;– used as an ingredient in animal feed; or– sent to landfill.

� If you have a garden or suitable area,consider composting raw vegetable andfood scraps (e.g. peelings, eggshells andtea bags).



4 Managementtools


information




4 Managementtools


information

5.3 Manufacturing and metal engineering5.3.1 What are your environmental issues?For most small manufacturing companies,there are four key issues.

1. Reducing waste and increasing profit.Waste reduction is not just important forthe environment, but is a major cost-saving area that should be made a priority.

2. Complying with legislation.The vast majority of environmental legalproblems arise from waste disposal andspillages. If you use hazardous chemicalsor processes, this is where you need toconcentrate your efforts.

3. The impact on employees, neighbours,the community and the environment.In many cases, you have a legal obligationas well as a desire to protect others fromlitter, smells, dust and noise produced byyour organisation.

4. Customer concerns.Find out if your customers are concernedabout the environment – are they lookingfor environmentally aware suppliers andresource-saving products?

5.3.2 What can you do to address theseissues?

You should be able to do this in four simplesteps, using just one sheet of paper.

1. Write down, step-by-step, the process flowin your organisation from raw materialdelivery through to packing and dispatch.

At each process step, record the main rawmaterials used, noting large energy orwater consumption and any potentialproblem materials that might behazardous. While you are doing this, it willbecome clear which waste materials arebeing generated – write these down next tothe process step.

You have now carried out a simple wastemapping exercise and can probably alreadysee some waste creation points wheresavings can be made. To find out more aboutwaste mapping, see WRAP’s ‘Waste Mapping:Your Route to More Profit’ available atwww.wrap.org.uk

2. Look at the waste map that you havedrawn and circle the materials and wastesthat are major costs or potentialenvironmental concerns. Bear in mind thefollowing:� hazardous materials and hazardous

waste inevitably carry health, safety andenvironmental risks, and are subject tolegislation;

� waste must always be disposed ofresponsibly and legally;

� organisations need to minimise resourceuse (materials, energy and water), thusbenefiting their bottom line as well asthe environment;

� waste does not add any value to aproduct or service – consider how muchit costs to generate and dispose of it;

www.wrap.org.uk/BRE-guides




4 Managementtools


information

� many organisations have made savingsof up to £1,000 for each employeethrough simple changes and thesesavings go straight to the bottom line;and

� consider whether your materials andwastes could cause problems for youremployees and neighbours in terms oflitter, fumes, health concerns, etc.

3. Put values against the materials andwastes you have circled. What do theycost? How much do they weigh? How manybins or other containers are used? Multiplythe daily, weekly or monthly figure to give ayearly figure. It is likely that some of thefigures may surprise you.Ask yourself questions about yourprocesses. � How much raw material goes into the

product and how much ends up on thefloor or in the skip?

� How much cutting fluid is used? � What is the cost of leaving the lights and

machinery on? � Why are the effluent charges so high? � Why do we spend that much on

packaging tape? � How much is special delivery costing?

4. Now prioritise a few of the majorproblems. You can’t solve all of themstraight away, so choose the ones with thebiggest savings or environmentalimprovement. Set yourself a target date forcompletion.

5.3.3 How can you make sure that youcomply with legislation?

In addition to referring to Section 3 of thisguide, look at your waste map and highlightall the problem materials (e.g. chemicals, oils,cutting fluids, cleaning materials) that you useor have on site. If they are hazardous, thenyou can find a lot of information on safety datasheets that suppliers must provide.

� If you put hazardous materials down thedrain, you must have a licence from yourwater company (or the EnvironmentAgency if it goes to a storm drain orwatercourse).

� When a hazardous material becomes awaste, you will probably need to dispose ofit as a hazardous waste.

� Think hard about the possible accidentswhere the hazardous material could entera drain or contaminate a watercourse (e.g.oil seeping out of swarf in a skip). Decidehow to prevent this happening – rememberthat an oil spill resulting from, forexample, vandals breaking the sight glasson your diesel tank, could lead to you beingprosecuted and having to pay the clean-upcosts.

� Remember that you have a duty of care todispose of waste correctly – use a licensedwaste carrier and make sure you get awaste transfer note from them. Generalwaste should be segregated where there isa recycling opportunity.

5.3.4 What about customer concerns?Customers and consumers are increasinglyconcerned about the environmentalperformance of suppliers. To see it from theirperspective, add to your waste map theadditional steps of transport, customer orconsumer use and final disposal. Add in theraw materials and waste at each step. Nowstand back and look at it from the customeror consumer’s viewpoint. Are they concernedabout the type of raw materials you use (e.g.lead solder)? Do they require the type ofpackaging used? Have you consideredconsumer energy use? Will your producteventually end up in a landfill or can it be re-used or recycled?


Simple measurescan significantlyreduce office wasteand generateworthwhile costsavings.

5.4 OfficesThis section outlines ways in which peopleworking in offices can cut costs and reducetheir impact on the environment throughsimple measures to promote efficient use ofresources.

5.4.1 WasteAre you throwing away items that could bere-used, recycled or used for other value(e.g. energy)?

Simple measures can significantly reduceoffice waste and generate worthwhile costsavings.

� Use both sides of paper to reduce usage byup to 50%. Ensure that all printers are setto double-sided format as default.Question whether you need to print draftcopies at all. If this is unavoidable, printfour pages to an A4 sheet and then recycle.Put reminder posters near printers andphotocopiers.

� Consider introducing specialist softwarethat monitors printer and photocopier use.This software can also be used to allocateallowances to individuals or departments,with the aim of making people think morecarefully about what they need to print.

� Re-use envelopes for internal mail and re-use other packaging material to cut thecost of buying and disposing of these items(e.g. use paper boxes to store documents).

� Post information on a central notice-boardto greatly reduce the need for copying.

� Segregate unavoidable waste (e.g. printercartridges) and recycle it. Some recyclersoffer free collection for used toner cartridges.

Are you paying for excessive water use?

A best-practice office building should beusing no more than 2m3 (2,000 litres) of waterper employee per year (or 7.9 litres peremployee per day)4. Where an office has acanteen where meals are cooked from rawingredients, then the water use associatedwith the preparation, cooking and cleaningwill increase this to around 40 litres per staffmember per day. Water use can be reducedby installing:

� cistern volume adjustors – bags or plasticbottles that reduce toilet flush volume;

� taps with infrared hand sensors or self-closing taps;

� flow restrictors on taps; and� urinal flush controls/waterless urinals.

Are you producing excessive waste in thecanteen?

Look at areas where you may be able toimplement simple measures.

� Provide re-usable cutlery and crockery.� Replace bottled water with water coolers

that are attached to the water supply, thiswill reduce service charges incurred fromthe use of bottles, transportation andpackaging.

� Ensure that vending machines allow theuse of china mugs rather than plasticvending cups.

� Avoid purchasing disposable cateringproducts (e.g. individual milk containers,sugar sachets and paper plates).



4 Managementtools


information

4 CIRIA C657 Water key performance indicators and benchmarks for offices and hotels, London 2006




4 Managementtools


information

5.4.2 EnergyAre you managing your electricity useeffectively?

� Effectively measuring energy use is thefirst step to controlling it and thenreducing it.

� Your electricity provider is obliged to adviseyou of the most favourable tariff for yourpattern of use, so make sure that you’reon it.

� A ‘switch-off’ culture is vital to improveefficiency and can save up to 15%. Ensureemployees know which equipment or lightsthey can turn off by labelling the switches.

Are you paying for extra lighting that is notneeded?

Using natural light rather than artificial lightsaves resources and creates a better workingenvironment. Make maximum use of this freeresource by:

� ensuring that windows are clean and notobscured by office furniture;

� positioning workstations to take bestadvantage of natural light; and

� using window blinds in the summer toprevent excessive solar heat gain andglare.

In addition to using natural light, increase theefficiency of your artificial office lighting by:

� making sure lights are switched off whennot in use;

� using occupancy controlled lights in areassuch as lavatories and store rooms;

� fitting pull switches to enable staff to lightup their area only when they need to; and

� replacing expired tungsten filament lightbulbs with compact fluorescent lamps(CFL), which use around 25% of the energyfor the same light output and last muchlonger.

Are you using your office equipmentefficiently?

� Purchase equipment with the EU ENERGYSTAR® standard or similar.

� Make sure the energy saving features areenabled.

� Ensure that non-essential equipment isswitched off completely at night.

� Ensure appliances, such as refrigerators,are rated as energy efficient.

� Remember that boiling the kettle withtwice the water you need uses twice theenergy.

Do you really need air-conditioning to coolyour office?

Air-conditioning is expensive and manypeople prefer a naturally ventilated office. Youcould perhaps create a better workingenvironment and save money by switching offthe air-conditioning system. Consider thefollowing:

� if refurbishing, think about building coolingsystems that save energy by using thebuilding’s fabric to cool the office;

� if air-conditioning is unavoidable, usevariable speed fans and pumps to saveenergy by increasing control;

� set air-conditioning to come on only whenthe temperature exceeds 24°C; and

� turn off heating and cooling in unoccupiedrooms, making sure they are wellventilated to prevent condensation andmould forming.

Are you wasting money on heating?

� Check boilers and thermostats – a servicedboiler can save up to 10% on heating costs.

� Install instant water heaters wherepossible, otherwise reduce thetemperature of stored hot water (to aminimum of 60°C to avoid Legionellabacteria breeding).

� Use timers and temperature controlsensors to control output.

� Turning down a thermostat by just 1°C canreduce heating costs by up to 10%.

http://www.eu-energystar.org/


5.5 Vehicle repair garages This section summarises the key areas wherevehicle repair garages have an impact on theenvironment. It also contains practical adviceon how to reduce this impact and save money.

5.5.1 Environmental policyThere are increasing demands fromcustomers and legislation that allorganisations reduce their impact on theenvironment. Therefore, your garage iscoming under more environmental scrutinythan ever before. You can respond to this bywriting a customised environmental policy(see Section 4.1). This will clarify the areaswhere you can make the best improvementsand show your customers and workforce thatyou are committed to improving yourenvironmental performance.

5.5.2 Chemicals and wasteAre you allowing chemicals to enter thedrain?

� Install an oil separator to prevent oildischarging into surface water drains.Once installed, separators must beregularly maintained and cleaned to keepthem working effectively. It may be usefulto keep a log of the maintenance schedule.

� Uncontaminated rainwater from the roofshould enter the system downstream ofthe separator into sealed direct drainpoints, rather than open grates. Do notallow waste chemicals to enter stormdrains – these flow directly into rivers andwaterways.

� Make sure that any discharges from partsor vehicle cleaning, compressors and washbasins go straight into the foul sewer (onceyour water company has grantedauthorisation for the quantity andconcentration).

Are you disposing of your waste legally?

All organisations have a duty of care to storeand dispose of wastes in a responsible way.This means ensuring waste does not escapeand that a licensed company removes it andsupplies a waste transfer note (this should bekept on record for at least two years).

� Hazardous wastes produced during vehiclerepair include waste oil, solvents and oilfilters. These must not be discharged intofoul sewers and should be removed by alicensed carrier. The paperwork for specialwastes should be kept on file for at leastthree years.

All organisationshave a duty of careto store and disposeof wastes in aresponsible way.



4 Managementtools


information




4 Managementtools


information

� Oil accounts for a quarter of all pollutionincidents. Waste lubricating oils must becollected, separated and stored in abunded tank (i.e. one with a wall or tray tocollect leakages). They must be disposedof or recycled by a licensed carrier. Formore information on dealing with oil, seethe Environment Agency’s guidance on oil storage.

� The risk of chemical spills and the cost ofdisposal can be reduced by minimisingtheir use. For example, radiator fluidcoolants contain ethylene glycol andcorrosion inhibitors, and must not bedischarged to sewer. When repairing acooling system, uncontaminated coolantcan be collected and used to refill thesystem. This saves the cost of disposal andbuying new coolant. Solvents can be re-used even when dirty (up to 15%suspended solids), so don’t dispose ofthem after the first use. Providing solventspray bottles for operators to use insteadof solvent-soaked rags can also reducelosses through evaporation.

� Batteries that contain acid should bestored in a special battery bin or bundedcompound, ensuring that they are intactand upright. Battery cases can be recycledand sold to authorised dealers.

� Tyres should never be burnt on site –dispose of them through an authorisedincinerator or tyre recycler. Under anEnvironment Agency S2 exemption, nomore than 10 tonnes of tyres can be storedat one time.5

5.5.3 EnergyHave you consulted your electricity providerabout saving money?

� It is worth comparing the tariffs ofelectricity supply companies. Figuressuggest that this can save up to 20%.

� Your current electricity provider is obligedto advise you of the most favourable tarifffor your pattern of use – make sure thatyou’re on it!

� If you are on a maximum demand tariff,improving your power factor can reducethe maximum demand of your installation,which will reduce charges. It will alsoreduce energy consumption by reducingcurrent in cables and equipment.

Are you using efficient lighting?

� Install energy efficient light bulbs andreplace 38mm fluorescent tubes (T12lamps) with the more efficient and longerlasting 26mm (T8 lamps) type. These willsave up to 10% of energy consumption,while giving 10% more light.

� Fit individual workstations with compactfluorescent lamps to improve visibility andallow lighting to be tailored to individualneeds.

� Clean diffusers regularly – dirty diffuserscan reduce light output by 50%.

� Make sure roof lights and windows are notobstructed and are cleaned regularly.

� Ensure lights are switched off when roomsare unoccupied. Consider fitting occupancysensors in areas that do not need to beconstantly lit, such as stores.

� Good housekeeping can easily save you15% of your lighting costs.

Is your heating equipment efficient?

� Make sure your boiler is serviced regularly.� Check your roof spaces for adequate

insulation. About 25% of a building’s heatcan escape through the roof if it is notinsulated. Insulating your roof can reducethis loss by up to 90%.

� Workshop doors are often opened toincrease light levels and improveventilation even when heaters are on.Install a fume extraction system and rooflights or portable compact fluorescentlights instead.

� If your boiler is due to be replaced,consider installing a condensing boiler.These can reduce costs by as much as 20%and emit much less carbon dioxidecompared with lower efficiency boilers.

The Enhanced Capital Allowance schemeoffers tax savings when investing in energyefficient equipment. Visithttp://etl.decc.gov.uk/ for more information.

5 https://www.gov.uk/waste-exemption-s2-storing-waste-in-a-secure-place

https://www.gov.uk/environmental-management/oil-storage

https://www.gov.uk/waste-exemption-s2-storing-waste-in-a-secure-place

http://etl.decc.gov.uk/


Are you checking for compressed air leaks?

In some cases, as little as 8% of the totalenergy supplied to a compressor is convertedinto useful energy that can do work at thepoint of use. So it's very important to makesure that compressed air systems areoperating as efficiently as possible and thatcompressed air is not wasted.

� Check the entire system and repair leaksregularly. This can produce cost savings ofup to 30%. Losses through a 3mmdiameter hole could cost over £1,000/yearin wasted energy. Repairing air leaks alsoallows the compressor to work at a lowerpressure.

� Make sure that your compressor is set tothe right pressure. Regulating the airpressure to match the end-use can makesignificant savings. Compressors shouldnot be set to a higher pressure thanrequired. This will also reduce wear andmaintenance costs.

Are your compressors located correctly?

You can reduce costs by moving your airinlets outside. For every 10°C reduction ininlet temperature, the compressor efficiencycan be improved by 2.5%. Compressing airproduces significant amounts of waste heat.This heat could be used for space heating inthe workshop, further increasing theefficiency of your compressor.

Are you using excessive paint or solvents forvehicle refinishing?

� Plan your painting jobs to make sure thatthose using the same colour runsequentially.

� Plastic sheets often make good maskingmaterial because they are usually cheapand not too bulky to dispose of.

� Consider solvent recovery. This reducespurchasing, storing and disposal costs.Recovered solvent is ideal for washingspray guns.

� Spray-gun choice can affect efficiency.Consider high volume low pressure (HVLP)technology as transfer efficiency is at least35% higher.

� Measure and record your paint and solventuse. This will keep you informed ofexcessive use.



4 Managementtools


information




4 Managementtools


information

5.6 Catering and food production This section outlines the main areas in whichfood producers and caterers impact on theenvironment. It includes practical measuresto minimise this impact and save money.

5.6.1 WasteDue to the nature of the industry, a largeamount of waste is generated during foodproduction. Reducing this waste can lead tohuge savings.

Could you optimise the amount of packagingthat you use?

WRAP estimates that over 2.87 million tonnesof waste (typically food, glass, paper andcard) is produced by UK hospitality and foodservice sector6 each year. The golden rule ofreducing waste (and especially packaging) isto prevent, re-use, recycle and recoverother value (e.g. energy). Recovering othervalue is the least attractive option, but it doesprevent packaging waste from going tolandfill.

Consider some practical ideas to reduceyour waste:

� where possible, ask suppliers to deliveryour products in returnable packaging;

� avoid contaminating packaging with othermaterials like glue and try to design it toensure that components can be easilysegregated for re-use; and

� re-use materials such as bubble wrap,boxes, pallets and crates for regulardeliveries.

Simple redesign of packaging can lead tohuge savings in materials, handling anddisposal costs. It can also help you to complywith the Producer Responsibility Obligations(Packaging Waste) Regulations 2007.

Would you benefit from ‘pigging’?

If you need to flush product out of yourpipework after production runs, you maybenefit significantly from using ‘pigs’. Theseare small rubber plugs that are propelledthrough pipework after production runs torecover product. They have the multipleadvantages of reducing cleaning costs, wastegeneration, water use, maintenance costs,effluent concentration levels and, therefore,discharge disposal costs.

Is your catering waste being disposed ofcorrectly?

� Catering waste must not be fed to farmedanimals.

� Catering waste must be disposed ofcorrectly through:– licensed landfill sites;– approved composting plants;– approved biogas plants;– incineration plants; and– approved rendering plants.

� Waste cooking oils should be storedproperly so that none is allowed to spilland it should only be collected by anauthorised collector. It should not be:– poured down the drain;– disposed of at a household recycling

centre;– used as an ingredient in animal feed; or– sent to landfill.

� If you have a garden or suitable area,consider composting raw vegetable andfood scraps (e.g peelings, eggshells andtea bags).

Due to the nature ofthe industry, a largeamount of waste isgenerated duringfood production.Reducing this wastecan lead to hugesavings.

6 Waste in the Hospitality and Food Service Sector 2013


http://www.wrap.org.uk/content/overview-waste-hospitality-and-food-service-sector


5.6.2 WaterAre you pouring money down the drain?

Many food producers and caterers use vastamounts of water in the product and whilecleaning equipment. Simple and cost-effectivemethods for reducing water use include:

� timely repair of leaks;� good housekeeping, including educating

staff to turn off taps when not in use;� advising your water company if you use

water in your product (supply companiesusually assume 95% of water supplied isdischarged to the foul sewer and chargeyou accordingly);

� fitting meters to measure use and ensureearly detection of leaks;

� control flow rates and consider flowrestrictors;

� using ‘dry cleaning’ methods before usingwater (e.g. scrapers, squeegees andbrushes);

� making sure cleaning cycles are notexcessive (often the case if the same cycleis used for different containers orproducts); and

� improving product scheduling (aim to runsimilar products consecutively to minimisechangeover cleaning).

Other water saving technologies that involvesome investment include:

� steam trapping and condensate recovery;� upgrading ‘flow-through’ systems to

recirculating, re-using and recyclingsystems; and

� greater use of cleaning-in-place (CIP)technology.

5.6.3 EnergyAre you using efficient lighting?

� Install energy efficient light bulbs andreplace 38mm fluorescent tubes (T12lamps) with the more efficient and longerlasting 26mm (T8 lamps) type. These willsave up to 10% of energy consumption,while giving 10% more light.

� Fit individual workstations with compactfluorescent lamps (CFLs) to improvevisibility and allow lighting to be tailored toindividual needs.

� Clean diffusers regularly – dirty diffuserscan reduce light output by 50%.

� Make sure roof lights and windows are notobstructed and are cleaned regularly.

� Ensure lights are switched off when roomsare unoccupied. Consider fitting occupancysensors in areas that do not need to beconstantly lit, such as stores.

� Good housekeeping can easily save you15% of your lighting costs.

The Enhanced Capital Allowance schemeoffers tax savings when investing in energyefficient equipment. Visithttp://etl.decc.gov.uk/ for more information.

Are your cooking procedures and equipmentworking efficiently?

Kitchen equipment uses a substantial amountof energy and in the busyness of preparingfood, it is easy for kitchens to become energyinefficient. This must be addressed andemployees should be trained to consider theirenergy use.

� Try to instil a general switch-off culture inthe kitchen. From lighting to oven use,make sure it is turned off when not in use.

� Use the correct size of pan for the hob andthe correct size of oven for differentdishes.

� Do not preheat cookers for longer than isnecessary. Some kitchens turn on theovens at the start of every day, regardlessof when they are to be used.

� When purchasing new kitchen equipment,consider induction cooking equipment.Induction hobs cost more to buy, but canbe up to 50% more efficient thanconventional electric hobs.

� Consider heat exchangers to recover lostheat from cooking (and refrigeration)appliances. These can be used, amongother things, to preheat hot water systems.

� Keep kitchen equipment well maintainedand serviced.

5.6.4 PurchasingTry to source your materials locally. This willsignificantly reduce transportation costs andthe impact on the environment. Food boughtlocally, from local suppliers, will also help thelocal economy.

In the busyness ofpreparing food, it iseasy for kitchens tobecome energyinefficient.



4 Managementtools


information

http://etl.decc.gov.uk/




4 Managementtools


information

5.7 PrintersThis section summarises the key areas ofenvironmental impact in the printing industry,and includes simple measures to reduce thisimpact and increase profits.

5.7.1 Environmental policyIt is essential in the printing industry to havea well-considered and meaningfulenvironmental policy (see Section 4). Tosucceed in this highly competitive market, itis important to respond to increasingcustomer demands for environmentallyresponsible products. Reducing waste andenergy use is a strategy that will help tosecure business, ensure legal complianceand maximise operating efficiency.

5.7.2 SubstrateAre you managing your substrateeffectively?

It is estimated that the average substratewaste is 17%, within a range of 7% to 33%.

� Check your substrate on arrival and returnit to the supplier if damaged. Substratebecomes more ‘valuable’ after every stagein the printing process.

� Make sure staff prepare the press properlyto avoid wasting large amounts of ink andsubstrate.

� Computer-controlled, ink-fed systemslinked to a scanner can reduce set-uptimes, and ink and paper waste.

� Offer customers the option to use chlorine-free paper. This can provide a finishedproduct of equal quality, but is significantlybetter for the environment.

One large printing company decided toseparate and sort damaged sheets into avariety of sizes. The damaged sheets werethen trimmed and re-used for make-ready,resulting in an estimated annual saving of£50,000.

Do you have an inventory control system?

Proper planning is vital to an efficientorganisation, for example:

� ordering substrate in pre-cut rolls toensure that trim waste is minimised; and

� sorting jobs to run from light to dark ink, toreduce downtime through press cleaning.


5.7.3 SolventsSolvents can be very expensive to buy anddispose of. Don’t sit back and let themdisappear into the air! Solvent loss throughevaporation can be minimised by ensuring that:

� containers are not left uncovered;� containers are of sound construction; and� chemicals are stored away from sources of

heat.

Are you disposing of your solventscorrectly?

� Pure solvents are always considered ahazardous waste and must not be disposedof with normal waste.

� Press washes have been developed thatare water and citrus-based, and canreplace commonly used solvents with lessdamaging chemicals, which results incheaper disposal.

� Reclamation of solvents from the printingprocess is now possible using acondensation plant.

� Controlling the use of these substances isnot just a matter of ensuring compliancewith current regulations, but of keeping astep ahead of increasingly strict futurelegislation.

5.7.4 InksThe overall cost of inks in printed products istypically between 1% and 10% of the finishedproduct cost. However, the trend towardsincreased use of ink per product and thetightening of profit margins in the printingsector suggest that waste reduction in thisarea is important.

Are you managing your ink use effectively?

Make sure your inks are stored in the correctcontainers and areas. Ensuring employeesare well trained in the correct ink procedureswill save time, ink, substrate, and cleaningand disposal costs.

Could you improve on the type of ink you use?

Improved ink technology has led to thedevelopment of inks, such as ultraviolet-cured inks, that have less environmentalimpact.

5.7.5 EnergyAre you checking for compressed air leaks?

In some cases, as little as 8% of the totalenergy supplied to a compressor is convertedinto useful energy that can do work at thepoint of use. So it's very important to makesure that compressed air systems areoperating as efficiently as possible and thatcompressed air is not wasted.

� Check the entire system and repair leaksregularly. This can result in cost savings ofup to 30%. Losses through a 3mm diameterhole could cost over £1,000/year in wastedenergy. Repairing air leaks also allows thecompressor to work at a lower pressure.

� Make sure that your compressor is set tothe right pressure. Regulating the airpressure to match the end-use can makesignificant savings. Compressors shouldnot be set to a higher pressure thanrequired. This will also reduce wear andsave money on maintenance costs

Are your compressors located correctly?

You can reduce costs by moving your airinlets outside. For every 10°C reduction ininlet temperature, compressor efficiency canbe improved by 2.5%. Compressing airproduces significant amounts of waste heat.This could be used for space heating in theworkshop, further increasing the efficiency ofyour compressor.

Are you using up-to-date accelerated dryingequipment?

When drying equipment is due forreplacement, consider newer, cleanertechnologies that significantly reduce runningcosts and improve efficiency:

� infrared (IR) dryers with fast responsetimes; and

� ultraviolet dryers with electrodeless bulbs(higher rate of cure for the same power).



4 Managementtools


information




4 Managementtools


information

Have you consulted your electricity providerabout saving money?

� It is worth comparing the tariffs ofelectricity supply companies. Figuressuggest that this can save up to 20%.

� Your current electricity provider is obligedto advise you of the most favourable tarifffor your pattern of use – make sure thatyou’re on it!

� If you are on a maximum demand tariff,improving your power factor can reducethe maximum demand of your installation,which will reduce charges. It will alsoreduce energy consumption by reducingcurrent in cables and equipment.

Are you managing your electricity useeffectively?

� Promote a ‘switch-off’ culture in yourorganisation (e.g. make sure employeesswitch off lights that are not needed anddon’t leave monitors on unnecessarily).

� Fitting energy efficient bulbs and replacingthe motors in suction and compressionequipment with high efficiency units cangive an energy saving of between 2% and4%.

� Energy monitoring and targeting willidentify specific use and waste.

� Ensure buildings are well insulated.

5.7.6 Environmental legislationLegal compliance

There are many areas in the printing industrywhere legislation applies.

Are you disposing of your waste legally?

� Never dispose of waste developer, fixer orassociated rinse/wash water into drains,sinks, basins, toilets or onto the landunless you have received consent from thewater supply company (foul drains) or yourlocal regulator (surface water drains). Ifyou do have a consent, then the watercompany will probably insist that any waterwill have to pass through a silver recoveryunit prior to discharge.

� When disposing of cleaning materialscontaminated with photochemicals, theresultant waste may be hazardous,depending on the properties of thechemicals used and the level ofcontamination. Further guidance can beobtained from the GOV.UK website.

Are you storing your chemicals properly?

The law states that you must store allflammable liquids, including solvents, in aflammable liquids store to reduce the risk offire. This will also reduce waste throughevaporation.

A substance may be claimed by itsmanufacturer to be harmless, but this doesnot guarantee that it is harmless to theenvironment. If your solvent use is over200 tonnes/year or 150kg/hour, you will beregulated under the EnvironmentalPermitting Regulations Part A(2). If yoursolvent use is below this, you may still requirea Part B permit. Part A(2) and Part B of theEnvironmental Permitting Regulations areregulated by your local authority.Consequently, by reducing solventconsumption to below these threshold values,certain regulatory requirements can beavoided.


https://www.gov.uk/dispose-hazardous-waste/overview




4 Managementtools

5 Business sectors


Useful sources of informationWRAP Resource Efficiency Publications www.wrap.org.uk/bre-guides� Finding Cost Savings: Resource Efficiency for SMEs� Resource Efficiency for Managers� Waste Mapping: Your Route to More Profit� Green Office Guide: A Guide to Running a More Cost-effective and Environmentally

Sustainable Office� Self-assessment Review for Food and Drink Manufacturers� Packaging Optimisation for SMEs � Water Minimisation in the Food and Drink Industry � Saving Money Through Resource Efficiency: Reducing Water Use� Reducing Your Water Consumption� Tracking Water Use to Cut Costs� Workforce Partnerships for Resource Efficiency� Environmental Strategic Review Guide� Your Guide to Environmental Management Systems (EMS)

WRAP Online Resource Efficiency Tools www.wrap.org.uk/bre-tools� Water Decision Tree Tool � The Rippleffect� Water Monitoring Tool� Mogden Formula Tool� Green Town� Waste Hierarchy Tool� Carbon Ready Reckoner Tool � Volume to Weight Calculator � Resource Efficient Innovations Database (REID)� Food Waste Recycling for Your Business � Hospitality and Food Service Info-Finder

Useful links� Water Technology List – http://wtl.defra.gov.uk� Energy Technology List – https://etl.decc.gov.uk

For guidance on environmental topics go to:� England – GOV.UK: Waste and environmental impact� Northern Ireland – NIBusinessInfo: Environment and efficiency� Scotland – Business Gateway: Environment policy and procedures� Wales – Business Wales: Environment - efficiency, waste & pollution prevention

6 Further information

https://www.gov.uk/browse/business/waste-environment

https://www.nibusinessinfo.co.uk/content/environment-and-efficiency

http://www.bgateway.com/business-guides/manage-your-business/environment-policy-and-procedures/

http://business.wales.gov.uk/running-business/environment-efficiency-waste-pollution-prevention

http://www.wrap.org.uk/content/online-resource-efficiency-tools

http://www.wrap.org.uk/content/resource-efficiency-publications

https://www.gov.uk/capital-allowances/overview

www.wrap.org.uk/bre-guides

www.wrap.org.uk/bre-tools




4 Managementtools

5 Business sectors


WRAPWRAP works, uniquely and by design, in the space between Governments, businesses,communities, innovative thinkers and individuals – forging partnerships and developingground-breaking initiatives to help the UK use resources more sustainably. We have strongrelationships with Government decision makers; with business leaders with the ability toinfluence powerful supply chains and with individuals through our highly respectedconsumer campaigns.

WRAP works in a distinctive way – developing evidence where there is a knowledge gap,bringing together the right people to work on specific issues, to develop solutions andthen, finding ways to implement them.

We focus on the most resource intensive sectors where we have deep expertise and atrack record of strong delivery.

We work at all points around the resource ‘loop’ – preventing and minimising waste, re-using, and recycling. We are able to bring together groups of people who might notnaturally work together. This means we can mobilise action to address market failureswhere there is a disconnect between who needs to take action and who benefits.

WRAP works with UK Governments, the EU and other funders to help deliver their policieson waste prevention and resource efficiency. We take action in those areas where we canhave the greatest impact on reducing waste, protecting our natural resources andproviding economic and environmental benefits.

WRAP is a registered charity (no. 1159512) and a company limited by guarantee.

Visit www.wrap.org.uk to find out more.

We hope that you have found this guide helpful on your route to greater resource efficiency. Don’t forget that WRAPis here to help you to improve resource efficiency. Visit the website at www.wrap.org.uk.

While we have tried to make sure this guide is accurate, we cannot accept responsibility or be held legally responsible for any loss or damage arisingout of or in connection with this information being inaccurate, incomplete or misleading. This material is copyrighted. You can copy it free of charge as long as the material is accurate and not used in a misleading context. You must identify the source of the material and acknowledge our copyright.You must not use material to endorse or suggest we have endorsed a commercial product or service. For more details please see our terms andconditions on our website at www.wrap.org.uk

Waste & ResourcesAction Programme

www.wrap.org.uk/brehub

The Old Academy21 Horse FairBanbury, OxonOX16 0AH

March 2015

Tel: 01295 819 900Fax: 01295 819 911Email: [email protected]



4 ManagementTools

5 Business sectors


Business Resource Efficiency Guide Finding Cost Savings: … Finding cost savings guide...

Documents

Transcript of Business Resource Efficiency Guide Finding Cost Savings: … Finding cost savings guide...