6-7:30 PM John Odell, Energy Efficiency & Conservation Manager – City of Worcester Break 7:45 – 9 PM Green Service Opportunities – Will O’Brien November 2011 Will O’Brien Definitions Market Trends Green Service Opportunities: Business Certification Carbon Footprint Labeling Carbon Trading Energy Efficiency Franchising Organic Farming Renewable Energy Retail Sustainability Consulting Additional Resources Individuals who conceive new business opportunities and who take on the risks required to convert those ideas into reality. People who are able to identify new commercial ventures (which often involves a willingness to ‘look outside the box’ and examine issues in fundamentally different ways from more conventional approaches). Incubate ideas and champion their adoption, assemble the resources needed to bring the idea to commercial reality (such as money, people and technologies) and, finally, to launch and grow the business venture. Entrepreneurship arises when enterprising individuals identify an unsolved problem, or an unmet need or want, which they then proceed to satisfy. Source: “The Essence of Ecopreneurship” by Michael Schaper, 2002 An Ecological Entrepreneur is someone who is driven not only by the possibility of making a profit, but is also driven by environmental and social concerns. They want to make the world a better place by improving the environment. The field is socially important because ecological entrepreneurs are instrumental in reshaping the way we approach the environment and its relation to business. Source: www.environmentalprograms.net/guidance/eco-entre/ 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. Oil and natural gas will get more expensive. Producing greenhouse gas will get more expensive. Waste less water. Waste less energy. Produce clean renewable energy. Have stronger green certification. Cleaner food and better health The flat world. Raising the green bar…increasing awareness The conserver company. Market Trends Green Services Greater focus on energy costs • • • • Renewable Energy Consulting Energy Management Consulting Buildings: Design, Weatherization Carbon Trading Increased focus on healthier living • Organic Farming • Toxic Detection, Reduction & Removal Growing consumer awareness re: environmental sustainability • • • • • • Risk mitigation for investors re: sustainability • Sustainability Reporting • Sustainability Report Auditing Mounting pressure from governments, competitors and other stakeholders on businesses, colleges & universities • Environmental Law • Environmental Compliance & Planning • Sustainability Consulting Business Certification Educational Programs Marketing Natural Tourism Carbon Footprint Labeling Waste Management Services Institute for Green Business Certification www.gbcertified.com/11-Home.asp Green Business Bureau www.gbb.org/ The Bay Area Green Business Program www.greenbiz.ca.gov Sustainable Business Leader Program (SBLP) www.sustainablebusinessleader.org Forest Steward Council (fscus.org) LEED (usbcg.org) Marine Stewardship Council (msc.org) Green Seal (greenseal.org) Green-e (green-e.org) Energy Star (energystar.gov) Organic (ccof.org) Fair Trade (transfairusa.org) Cradle to Cradle (c2certified.com) SMART Certification www.sustainableproducs.com/mts/smartstandards.html Jan. 23, 2007 Tesco, the largest supermarket chain in Britain, has announced that it will begin labeling all 70,000 products on its shelves with the amount of carbon generated from the production, transport and consumption of those items. Tesco in UK www.tesco.com/greenerliving/greener_tesco/faqs/qa_carbon_fo otprint_and_labelling.page http://www.terrapass.com/blog/posts/british-superma Wal-Mart: Process for Greening Supply Chain http://greenedgellc.com/posts/walmarts-process-for-greeningits-supply-chain Strategic Sustainability Consulting www.sustainabilityconsulting.com/walmart World Energy Solutions, Inc. (NASDAQ: XWES) is an energy management services firm that brings together the passion, processes, and technologies to take the complexity out of energy management and turn it into real bottom-line impact for the businesses, institutions and governments we serve. Also a leader in the global carbon market, the World Energy | Exchange supports the ground-breaking Regional Greenhouse Gas Intitiatives (RGGI) cap-and-trade program for CO2 emissions. World Energy is headquartered in Worcester, Massachusetts, with regional offices around the U.S., including Dublin, Ohio; Houston, Texas; Philadelphia, Pennsylvania; and Washington, D.C. www.worldenergy.com/hello-2/ Per US Green Building Council, buildings contribute: ◦ 40% of greenhouse gases into the atmosphere for heating and cooling ◦ account for 70% of electricity used New Buildings Existing Buildings Green, high-performance buildings deliver measurable and significant environmental and fiscal benefits. When compared to structures built to conventional construction methods, green buildings: consume 26% less energy4 account for 33% fewer greenhouse gas emissions5 require 13% lower maintenance costs6 yield 27% higher occupant satisfaction7 Building green doesn’t have to cost a penny more.8 Investments in green buildings pay dividends and reap rewards, on average resulting in: 6.6% improvement on return on investment9 8–9% reduction in operating costs10 7.5% increase in building value11 3.5% increase in occupancy ratio12 Building green also creates quality jobs. A 2009 USGBC/Booz Allen Hamilton report found that, despite a challenging economic outlook, green building will support nearly 8 million jobs in the U.S. economy and contribute $554 billion to U.S. GDP between 2009 and 2013, many times its contribution to jobs and GDP over the last eight years.13 Making buildings more energy efficient is a massive business opportunity Getting attention from all quarters Older buildings provide even greater opportunities for energy efficiency Homes need to be energy efficient, healthy and comfortable Low barrier to entry @$10K Energy auditing Education and certification (of auditors) Energy Consulting for businesses Increased investments in energy efficiency Energy Efficient Contractors….. Energy Efficiency Contractors: ◦ ◦ ◦ ◦ ◦ ◦ ◦ ◦ ◦ ◦ ◦ Installing insulation Changing lighting Installing lighting controls Changing thermostats Installing whole house fan or attic fan Repairing air ducts Insulating pipes and ducts Weatherstripping Installing daylighting Installing energy efficient appliances Installing energy efficient heating and cooling systems As businesses involved in energy efficiency grow, this will stimulate other related businesses: Phase I: renewable energy and green buildings Phase II: marketing, websites, hiring, accounting; i.e., whatever businesses need to operate Phase III: education at all levels re: energy and sustainability topics A Franchise is a business in which you buy the right to see the products or services of an established business using their marketing, trademarks and techniques. A long-term business relationship in which the purchaser (“franchisee”) is granted the right to operate a business under the trademark of an established business owner (“franchisor”) and use its business techniques. A proven concept The ability to use trademarks associated with the franchise brand Established products and services, saving you the trouble of product development Selling an established brand so you can hit the ground running Ongoing promotional efforts and materials the partner organization may provide Business leads for your area Training and expert help Experience in the business Initial franchise fee and ongoing royalty payments Initial fees range to tens of thousands of $ Royalties = single digit percentage of sales Hard work…. www.dunkinfranchising.com/aboutus/franchise/franchiseprocess.html Provides detailed information re: the franchise. “Green Franchises….Making Green by Going Green” www.franchisematchmaker.com/green-franchise/ www.franchisematchmaker.com/ Green Franchise Directory www.greenfranchisedirectory.com/ Eco-Living Franchise www.youtube.com/watch?v=qpU4JAiWGYQ Envirocare Franchise www.youtube.com/watch?v=_ZS6lE7mhDs ENVIRONMENT Biodiversity Water Climate change Gulf of Mexico hypoxic ‘dead zone’ created by fertilizer runoff 7000 sq mi. 16% US fisheries Source: NASA; USCoC HEALTH “You are what you eat” Vitamins Pesticides Disease? ORGANIC IS… . . “an ecological production management system that promotes and enhances biodiversity, biological cycles and soil biological activity. It is based on minimal use of off-farm inputs and on management practices that restore, maintain and enhance ecological harmony.” Source: OTA WHAT? a system of farming that improves soil fertility without using toxic chemicals like those found in fertilizers and pesticides. a way of growing that considers the soil, the plants, their fruits and those that . . eat them as one interdependent system. HEALTHY SOIL = HEALTHY PLANTS = GOOD FOOD . BY THE NUMBERS US Organic Food Sales in $ Billion 30 25 20 15 10 Organic fruit & veg lead market 2009 vs 2008:11.4 % Market penetration : (% all food sales) 1997: 0.8 % 2005: 2.5 % 2006: 2.8% 5 0 Global organic food sales: 1990 2003 2006 2009 2003: $24.8 billion 20% average annual growth 2008: $50.9 billion Sources: Organic Trade Association, Organic Industry Survey 2010 USDA , Recent Growth Patterns in the US Organics Food Market, Bulletin 777 The World of Organic Agriculture: Statistics & Emerging Trends 2010 FOURWINDS ORGANICS Passion & personal connection Market need Planning Network Persistence Adaptability Finite Amounts of Existing Sources ◦ Oil, Coal, Natural Gas Carbon Dioxide Emissions ◦ Climate Change Economical Considerations ◦ Shift in money flow to local markets Energy Independence It Just Makes Sense Utilizes high altitude wind turbines tethered to the ground Conventional ground-based windmills can only go so high (~300 feet) Magenn Power ◦ http://www.magenn.com/index.php Video 1: http://www.youtube.com/watch?v=m6vgW P5U5Ew&feature=related Video 2: http://www.youtube.com/watch?v=uQbw8og A_2M Algae based biofuels Carbon Neutral Synthetic Genomics ◦ http://www.syntheticgenomics.com/ Sapphire Energy ◦ http://www.sapphireenergy.com/ ◦ http://www.sapphireenergy.com/greencrude/how-does-it-work/ Video: http://www.youtube.com/watch?v=dBLVtAMn5A&feature=related Utilizes wave motion to power hydraulic rams to electric generators ◦ Looks like a giant Sea Snake ◦ Wave Farms - Portugal The energy within a wave is proportional to the square of the wave height. ◦ Therefore a two-meter high wave has four times the power of a one-meter high wave. Pelamis wave Power ◦ http://www.pelamiswave.com/ Video: http://www.youtube.com/watch?v=F0mzrbfzU pM&feature=related Video 2: http://www.youtube.com/watch?v=snxm1EaDf 4g Opposite of nuclear fission National Ignition Facility ◦ The reaction that fuels the sun ◦ http://www.rdmag.com/News/2009/03/Nati onal-Ignition-Facility-ready-to-makefusion-history/ ◦ Goal is to make tiny star for a fraction of a second ◦ Would generate 100 times the amount of energy than it took to produce it Video: http://www.youtube.com/watch?v=04O 8WjtLnxg Utilizes the earth’s natural heat Geodynamics (Australia) ◦ Pump cold water down ◦ Hot water and steam pumped out ◦ Fed into turbine which powers an electric generators ◦ Water is condensed and fed back into the ground ◦ http://www.geodynamics.com.au/IRM/content/h ome.html Video: http://www.youtube.com/watch?v=dXxdOjV26Q&feature=related Utilizes giant solar panels in space ◦ Designed to capture sunlight continuously ◦ Power is then sent to earth using microwaves Solaren ◦ http://www.solaren.com/ Video (start at 1:35): http://www.youtube.com/watch?v=D 56vRfv71OA&feature=related Terrapower ◦ Utilizes nuclear waste ◦ Wave reactor ◦ Reaction lasts for decades Video (start at 8:35 / stop 15:15): http://www.youtube.com/watch?v=JaFfq2Zn7I&feature=related Products and/or services…define your business Target market? How are the products and/or services green? Will it be brick & mortar or e-commerce? Will your operations be green? If yes, your employee policies, your operations and suppliers must be green. Store space, leased or purchased…. $1K to $10K/month Store interior: $10K to $100K upfront Inventory Salaries, payroll taxes plus other employee expenses; a few employees Other operating expenses including insurance, utilities… $1K/month Green building supplies Salvaged and eco-friendly building supplies Eco-friendly pet store Herbal remedy store Second-hand clothing franchise Solar gadget store All bulk food store; i.e., to reduce packaging Organic meat butcher shop Office supplies Energy efficiency device store including energy audits Electric scooter store Provides entrepreneurs the means to get their own Eco-store up and running quickly http://corporate.onlygreen4me.com/ Direct sales company working through EcoConsultants to bring green solutions directly into homes and offices in the U.S. Creating a network of Eco-Consultants who go to people’s homes and suggest a variety of green changes in a 1-2 hour Green Home Makeover. Can add eco-consulting to their complementary green business; e.g., green cleaning, interior design, professional organization, energy auditing, construction. www.greenirene.com/ Energy Conservation Energy Efficient Lighting Water Conservation Water Purity Toxic Free Living Indoor Air Quality Recycling & Waste Reduction Carbon Footprint Reduction Safety www.greenirene.com/aboutus.asp HP: Energy Solution & Sustainability Management http://www8.hp.com/us/en/solutions/solutionsdetail.html?compURI=tcm:245-300963 Sustainability Consulting Services including energy audits, report audits: - Deloitte - Accenture - KPMG - PWC - GreenerU, Inc. Environmental Resources Management (ERM) http://erm.com/ “Starting Green…From Business Plan to Profits” by Glenn Croston, Ph.D. (An Ecopreneur’s Toolkit for Starting a Green Business) “Going Green Profitably” - Wells Fargo Series www.youtube.com/watch?v=gQZcSnsb6rs “Sustainability: Ideas Can Change the World” by Darcy Hitchcock www.youtube.com/watch?v=dA4kp0QOmpE Entrepreneurship that redefines the bottom line Copy of CD for $25: http://ecopreneurist.com/2008/06/25/naturally-successful-inspiring-videos-for-greenhttp://www.arnoldcreekproductions.com/NaturallySuccessful.htm L. Hunter Lovins: author of “Natural Capitalism”, Professor at Presidio Graduate School, co-founder of Rocky Mountain Institute Gil Friend: President and Chief Executive Officer of Natural Logic. A systems ecologist and business strategist Mark Albion: founder of Net Impact, author, Professor of Entrepreneurship at Babson College Van Jones: American environmental advocate, civil rights activist and attorney; author of “The Green Collar Economy” Bob Willard: a leading expert on the business value of corporate sustainability strategies; founder of The Natural Step; author of “The Sustainability Advantage” Stages: #1 #2 #3 #4 Viewing compliance as an opportunity Making value chains sustainable Designing sustainable products and services Creating “next-practice “platforms “ Why Sustainability is Now a Key Driver of Innovation”, Harvard Business Review, 2009 http://hbr.org/2009/09/why-sustainability-is-now-the-key-driver-ofinnovation/ar/1 Note: article is also on www.greenprof.org Eco-entrepreneurship Businesses that are “Green” – Solar, Wind, Hydro, GeoThermal Power – Recycling/Reprocessing – Eco-Friendly Products – Organic Agriculture – “Green” Non-Profits • e.g., Sustainable Methods Institute China www.youtube.com/watch?v=qTLxeUBP9OI Electric Vehicles Wal-mart www.youtube.com/watch?v=eUCznRsf1-Y Ben Lowe www.youtube.com/watch?v=tQQpFPVkwkc Rocky Mountain Institute www.rmi.org/rmi/ www.youtube.com/watch?v=Ja15rw9FKt0