Foreword

Business performance

Corporate governance & compliance

Improving customer experience

Providing customers with a responsible solution

Engaging employees

Influencing sustainability outcomes

Minimising our environmental impact

Appendices

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Carbon management

Carbon strategy

The climate change imperative demands that organisations assess their carbon footprint, establish targets for reduction, implement robust carbon management programs and disclose emissions. Although our footprint does not fall within the threshold of the National Greenhouse and Energy Reporting System (NGERS), we are committed to reduce our carbon emissions.

Fuji Xerox Company Ltd reports the carbon emissions from every operating company, (including emissions from regional manufacturing and distribution) in their sustainability reports. Fuji Xerox Australia carbon strategy is focused on reducing carbon intensity of our business operations and working with suppliers and customers to do the same. We implement this strategy through:

  • a Carbon Reduction Fund for energy efficiency projects
  • a cross-divisional taskforce to implement projects
  • a 'low-carbon' customer solution (see section 5).

The establishment of our Carbon Reduction Fund for significant energy efficiency projects was a significant development in 09/10. Potential projects have been identified through a series of audits at our most energy intense sites. In 10/11 we will shortlist the projects for implementation that will help us achieve our carbon reduction target.

Carbon measurement

The introduction of a new environmental intelligence system led us to improve our approach to carbon accounting. We have aligned our carbon reporting framework with NGERS guidelines, separating what is scope 1, 2 and 3 and presenting the emissions abatement from GreenPower procurement separately to actual carbon emissions reductions.

In addition to our previously reported scope 3 emissions, we now include emissions from HVAC refrigerants,[1] from waste to landfill as well as scope 3 emissions resulting from our electricity consumption. The most significant addition to our scope 3 emissions is the carbon associated with the import of our equipment by air and by sea. While these emissions are not directly within our control, we can have a significant influence on the mode of transport used to bring our equipment into the country. This has greatly changed the profile of our scope 3 emissions, highlighting that our most significant challenges and opportunities are in logistics. We have also increased the accuracy of our diesel and petrol fuel reporting. These improvements led us to restate our carbon emissions for 08/09, 07/08 and 06/07.

Managing emissions from business operations

In 09/10 our overall electricity demand grew by 73 MWh. Trend analysis indicates:

  • there was increasing use at our data centres due to growing data storage requirements and the introduction of a large print centre to accommodate growth in business process outsourcing
  • increased training of service technicians on production devices, increased customer demonstrations and warehouse throughput has also led to a larger electricity demand
  • many office sites decreased electricity consumption through efficient behaviour with regard to lighting and office equipment, indicating employee education has been effective.

[1] Calculated using government averages; 09/10 data was used where previous year's data was not available.




Managing emissions from logistics suppliers

In the year under review, we have had high levels of commitment to cost and carbon reduction in Supply Chain Operations. However, emissions from equipment distribution increased by 20 percent on 08/09 levels. This can be attributed to increases in import volumes by air, due to a large non-forecast customer requirement and the need to make replacement equipment available to customers who had been delivered rusted devices. We have taken the following steps to reduce the carbon intensity of equipment delivered in 09/10:

  • a transport management system was rolled out to all non-equipment warehouses improving supplier invoicing, lowering costs and carbon by optimising routing for supplies to non-metro customers
  • we have reduced paper and supplies deliveries from twice to once daily in NSW
  • a trial of the weekly delivery system to service centres on clients' sites has been a success and is now being rolled out nationwide and we expect this to result in savings of $138,000 and 7.2 tonnes of carbon per annum.
  • in line with a commitment to improve the quality of carbon data associated with domestic freight, we have developed a methodology for estimating carbon emissions from domestic logistics suppliers and built a database to record product weights, distances travelled and fuel type
  • we have reduced daily replenishments to regional distribution centres to two or three times weekly
  • the excess packaging review has been delayed due to staff transition. Our parent company continues to review and redesign component packaging into more appropriate cartons in order to maximise the available space in containers. This in turn reduces requirements for packaging manufacture and disposal, and eliminates excess carbon and costs by optimising the number of air and sea freight containers required to move our products around the world.

Our 10/11 projects will include:

  • continued work on identifying a solution to enable equipment delivery routing efficiencies
  • continued improvement of routing efficiency for equipment deliveries
  • completing the implementation of the environmental intelligence system and establishing regular reporting and review of scope 3 carbon emissions
  • we will reduce paper and supplies deliveries from twice to once daily in Victoria
  • sales forecasting and ordering improvements are planned to reduce additional unforeseen costs and carbon.
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