Atmospheric emissions from our activities occur from 3 main sources, namely;

We are committed to reducing our emissions in all three areas.

Our on-site activities by can generate dust, which often causes a nuisance to local communities and in severe cases can cause pollution.

Our on-site control mechanisms and our toolbox talks have enabled us to more effectively control our generation of dust. This is demonstrated by the fact that we were not prosecuted in relation to environmental issues in 2002 and our complaints relating to dust and mud generation reduced from 59 in 2001 to only 14 in 2002.

Our use of energy in offices stems primarily from the energy supplied by fossil fuels for heating, cooling, ventilation and the operation of equipment, such as computers and printers.

The burning of fossil fuels leads to the production of greenhouse gases, such as carbon dioxide (CO₂), that in turn contributes to global warming. We are therefore committed to reducing our emissions of CO₂, in order to minimise our impact on the environment.

We can achieve this from;

We have undertaken a comparison of our consumption levels with published guidance for acceptable levels of office consumption. Our Head Office buildings are classified as between Type 2 and 3 offices and on this basis the performance of our offices could be regarded as above ‘Typical’.

Carillion Head Office Energy Consumption (2001 - 2002)

* Energy Efficiency Best Practice Programme (2000) ‘Energy Consumption Guide 19 – Energy Use in Offices’ (Crown)

** Based on a Treated Floor Area (TFA) for Head Office buildings of 13,003m² (Birch Street, Peal House and Derwent House)

During 2002 our overall objective has been to ‘reduce energy consumption across Carillion’. To achieve this we set a 2002 Sustainability Target of reducing energy consumption in our Head Office buildings by 5% during 2002 compared to the previous year.

The table above demonstrates that we successfully achieved this target for our head office facilities.

While there was a marginal increase in our electricity consumption, the significant reductions in gas and more prominently, oil consumption, more than compensated.

Measuring Carbon Dioxide Emissions

We have analysed the emissions of CO₂ from our Head Office building operations and the results are presented in the table below. This indicates that there has been a substantial decrease in the emissions of carbon dioxide from our Head Office operations.

The decrease stems from our continued policy of sourcing electricity for our Head Office buildings from renewable hydroelectric power, effectively nullifying our CO₂ emissions from this source saving 1,335,959 kg of CO₂, combined with a decrease in the consumption of gas and oil. Overall this has resulted in a decline in CO₂ emissions of approximately 15%.

Carillion Head Office Carbon Dioxide Emissions (2001 – 2002)

² Conversion factor (0.25): Department of the Environment, Transport and the Regions (2001) 'Environmental Reporting - Guidelines for Company Reporting on Greenhouse Gas Emissions', HMSO, Annex 1.

³ Electricity sourced from hydroelectric power.

The sourcing of electricity from hydroelectric sources is not however exempt from the Climate Change Levy (CCL). Over 2002 we paid £19,956 to the CCL.

Project Energy

Through our facilities management operations we have a significant opportunity to influence energy consumption and as such CO₂ emissions from managed buildings. By taking a proactive approach to managing energy consumption we can not only benefit the environment, but also pass on the financial benefits to our clients.

An example of this is the work we are undertaking for Darent Valley Hospital. During 2002 our Estate Department gave a presentation to the Trust Board on ‘Energy Management and Awareness’. We have a number of energy efficiency initiatives that we will be seeking to implement over coming years and have been collecting detailed baseline energy figures to track the success or otherwise of these measures. We have agreed with the Trust that any savings made from reductions will be split 50:50 with us and the Trust.

We continue to struggle to effectively benchmark our construction energy activities and will continue to work with the industry to determine measurable and meaningful KPIs.

Transport Emissions

During 2002 our fleet size fell from approximately 2,300 in 2001 to 2,256. Due to the implementation of our Green Transport Plan we were able to reduce the CO₂ generated from our fleet from 11,000 tonnes in 2001 to 8,726 tonnes on 2002.

Our target to reduce average business miles per car by 20% was not fully achieved. However, we were able to reduce our business miles by 12% overall and when December 2001 figures are compared to December 2002 a saving of 27% was achieved.

We consider that we have reduced our business miles sufficiently and that the business miles we now drive are essential to the operation of our business. Therefore, during 2003 we shall focus on reducing the CO₂ generated when we drive these essential business miles. To achieve this we have investigated cleaner fleet vehicles which are less damaging to the environment. Our chosen vehicles are now available within our company car list and we have provided staff with details of environmental performance to enable them to make informed decisions.