Developing HKIA as a…

Airport Authority Hong Kong Gold Award Public Organisations and Utilities Sector

Martin Putnam – Environmental Manager Hong Kong International Airport (HKIA) The Airport Authority is a statutory body wholly owned by the Government of the Hong Kong SAR

AAHK seeks to: - maintain a leadership position in airport management and aviation- related businesses - strengthen Hong Kong as a centre of international and regional aviation 2 HKIA’s Economic Contribution

• Facilitates HK’s status as Asia’s World City • HK is the leading location for regional headquarters • Air cargo accounts for over 1/3 of trade value • Support ~450,000 jobs (12.6% of HK jobs) HKIA ~ 65,000 jobs Tourism ~ 176,000 jobs Logistics ~ 210,000 jobs

3 Robust Air Traffic Growth

Passenger: Cargo: Aircraft Movements: Up ~ 80% Up >1.5 times Up ~ 90%

 in millions  in million tonnes  in thousands 60 6 350 306 50.9 300 50 5 4.1 250 40 4

200 30 3 150 28.6 163 20 2 100 1.6 10 1 50

0 0 0 1998 2000 2002 2004 2006 2008 2010 1998 2000 2002 2004 2006 2008 2010 1998 2000 2002 2004 2006 2008 2010 Surpassed MemphisNew Records International in 2010: Airport in 2010; Over 50M Passengers and 4M Tonnes of Cargo become the world’s busiest airport by cargo traffic 4 Named the World’s Best Airport >35 times

“Air Cargo Excellence” by Air Cargo World 2007-2010

“World’s Best Airport” by Skytrax 2001-2005, 2007-2008 “Best Airport” by TTG Publishing 2002, 2004-2010

“World's Best Airport” (airports with 40M annual pax) by Airports Council International 2007-2010 5 Environmental Leadership

Ambition to be: • The Best and Greenest Airport in the World • A “Top 3” Environmental Performer in HK

HK Awards for Environmental Excellence • Long-time commitment to WasteWi$e & IAQwi$e labeling schemes

• Sectoral Awards a natural progression Green Awards and Recognition - 2010 HK Awards for Environmental Excellence (Public Organisations and Utilities Sector)

HKAEE Energywi$e Label 2008 – Merit Class of Excellence 2009 – Bronze Award HKAEE IAQwi$e Label Class of Good 2010 - Gold Award HKAEE Carbon “Less” Label

HKAEE Wastewi$e Label Class of Excellence HK Green Awards by Green Council Green Purchaswi$e Award – Silver Power Smart Contest 2010 by FOE Biggest Unit Saver (Company) 1st Runner-up

HK General Chamber of Commerce “Clean rd Air Charter” – 3 Party Certification 7 Environmental Management Leadership - Building on strong environmental credentials - Towards“Best Practice” - Emphasis on Partnership with HKIA community

Overview -HKIAHKIA carbon Carbon reduction Reduction - Air emissions reduction - Waste reduction - Green design

8 “…committed to a pathway to AAHK Commitment carbon neutral growth and a carbon free future.”

- Aviation Industry Commitment to ‘Action on Climate Change’ - HK Carbon Reduction Charter in 2008 - Carbon Audit - Green Partner

Aviation Industry ACTION? Aviation Industry Targets - Annual fuel efficiency increase of 1.5% annually to 2020 - Stabilising emissions from 2020 with carbon-neutral growth - 50% net reduction in carbon emissions by 2050 compared to 2005 Carbon Audit Approach

• 2008 - Government Carbon Audit Guideline Established

• 2008 – AA conducted 1st carbon audit for 2007 data  AA buildings and facilities

• 2009 – AA and HKIA business partner carbon audits for 2008 data  Coverage – all significant buildings and facilities at HKIA  AAHK + Business Partners  Develop HKIA carbon footprint 2008 AAHK areas of control and influence

1. AAHK operations and activities (<1,100 staff) 2. HKIA Business Community (>60,000 staff) Simple ‘EMS’ Approach  AAHK buildings and facilities  Ripple out to buildings and facilities of Business Partners  AAHK leadership

Plan - AA - HKIA businesses Act Do - Review progress - Initiatives / Targets - Improvements? - AA - HKIA businesses Check - AA - HKIA businesses AAHK Top Management Support

“HKIA is committed to the long- term sustainable growth of HKIA and the sustainable development of Hong Kong”

“… adopt and encourage practices that prevent or minimise pollution and maximise energy and natural resource use efficiencies”

13 AAHK Top Management Support

• CEO / Senior Management letters (70+) – Appointment of carbon management representative of each company – Invitation to participate in Airport-Wide Carbon Audit – Ask the carbon audit status of each company and; – Ask if business partners need assistance on carbon audit Business Partner Response

• 56 responses to CEO letter – 4 companies had completed carbon audits – All others required AA’s assistance – We followed up with individual phone calls • Focused on large buildings / facilities at HKIA • Built on positive response, worked with and provided tools and advice to participants • Did not take no for an answer… HKIA Carbon Measurement EMSD / EPD guidelines appropriate for HKIA

- Good starting point for measuring different ‘scopes’ of emissions Scope 1 - emissions from sources that are owned or controlled Scope 2 - emissions from off-site generation of electricity purchased. Scope 3 - emissions from airport-related activities from sources not owned or controlled.

Table Emission Type Data Source Scope 1 Fixed Source -Fuel invoice - Generator etc. -Filling record Mobile Source -Fuel invoice -Vehicle -Filling record Emissions from refrigerants leakage - Refilling record Emissions Removal from Newly planted - Property management / landscape contractor trees Scope 2 Electricity Consumption - Electricity bills Towngas - Towngas bills Scope 3 Waste paper disposed to landfill -purchasing record, recycling record -Purchasing Dept, Admin office, waste collector Fresh water consumption - Water bills Sewage disposal - Water bills Established “Carbon Calculator”

- AAHK developed user-friendly carbon calculation tool - To facilitate the data collection and accounting process - Carbon calculation tool distributed to Business Partners at no charge along with training Environmental Forums

• Communication on Airport-Wide Carbon Plans / steps • Explain tools and process – e.g. carbon calculator • Comments / feedback / support • AA approach to assist at every step Carbon Audit Workshops

• 11 Carbon Audit Workshops held • ~70 participants representing 35 companies • Workshop outline – Introduction on government carbon audit guideline – Provide definitions of key words e.g. Scope of emissions and Removals, Emissions Factors, Global Warming Potential – HKIA carbon audit approach – Use of Carbon Calculation Spreadsheet with sample exercise – Data collection method and reporting Sharing Sessions

• Sharing sessions on best practice on carbon audit, energy efficiency and waste reduction • EPD (Dr. Sherman Fong), independent carbon consultant (HKPC), airport business partners and AAHK shared experience/ best practice

EPD (Dr. Sherman Fong) Carbon Audit Reports

• 37 companies submitted carbon audit reports covering all HKIA buildings • Process speeded up by individual follow up by AAHK senior management • Companies include business partners and government departments

1. Freight Forwarding Centre Co. Ltd. 18. Gate Gourmet Hong Kong Limited 2. Asia Airfreight Terminal Co. Ltd. 19. Government Flying Service 3. AsiaWorld-Expo Management Limited 20. Ground Support Engineering Limited 4. AFSC Operations /Refuelling Limited 21. Hong Kong Air Cargo Terminals Limited Hong 5. Aviation Security Company Ltd 22. Kong Aircraft Engineering Co Ltd (HAECO) 6. Cathay Pacific Airways Limited 23. Hong Kong Airport Services Ltd (HAS) 7. Cathay Pacific Catering Services (HK) Ltd. 24. Hong Kong Business Aviation Centre Limited 8. China Aircraft Services Limited 25. Hong Kong Dragon Airlines Ltd 26. Hong Kong Police Force 9. China National Aviation Corporation 27. Hong Kong SkyCity Marriott Hote 10. Chu Kong Air Sea Union 28. Hong Kong Post 11. Civil Aviation Department (covering HKO) 29. Immigration Department 12. Electrical & Mechanical Services Department 30. Jardine Aviation Group 13. Transportation Company Limited 31.LSG Lufthansa Service Hong Kong Ltd. 32. Pan Asia Pacific Aviation Services Limited (PAPAS) 14. Customs and Excise Department 33.Regal Airport Hotel 15. Dah Chong Hong - Dragonair Airport GSE 34.SATS HK Ltd Service Limited DHL Aviation (Hong Kong) 35.Select Service Partner (SSP) Limited 36.Tradeport Hong Kong Limited 16. Electrical & Mechanical Services Department 37.Wilson Facility Management 17. Airport Fire Contingent Services HKIA Carbon Audit 2008 Coverage PH1 AWEM AVSECO AFC IAC EMSD AA Facilities Regal SkyCity Car park 4 Marriott HKIAT Nine Eagles Business Partners Facilities T2 .Wilson Gp Marine T1 .SSP Cargo .PAPAS AWTC Terminal AFC .ImmD .JAS •CKSA .WFM .JAS .SSP HAS CAD HKO

ARE Store AGMB WFS AFSC AFC CASL DAS Dragonair House Gate Gourmet WWTP HAECO •HAS CPCS CNAC HKPO Police •JAS House LSG Sky •CASL GSEL Chefs

Hactl AFC CX HKBAC DHL AAT GFS Tradeport PH5 AFFC AFSC KLW AWEM Goods Verification Staging Area - AA Audit verified by EPD approved verifier - Business partner audits checked by ‘certified carbon auditors’ Carbon Data Collection and Analysis

Data consolidated and used for different aspects analysis: -Fuel consumption -Use of fuels -Use of refrigerants etc. HKIA’s Sources of Greenhouse Gas Emissions (2008) HKIA’s Greenhouse Gas Emissions by function (2008)

Government Food and Beverage 2.6% Freight Forwarding 0.9% 3.2% Ramp Handling Aviation Fuel Facility 3.3% 0.9% Ground Support Airline Headquaters Equipment 6.10% Maintenance 0.5% Aircraft Maintenance Airport Service Authority 6.7% Facilities Airport Authority Others Hong Kong 6.9% 37.9%

Catering 14.6% Air Cargo 16.4% HKIA’s Greenhouse Gas Emissions by Company Carbon Reduction Action Plans After 2008 footprint done, tailor-made trainings set up to drive plan development process: Carbon Management Training - External Consultant undertook intensive training - 70 participants representing 30 HKIA companies - Questionnaire was issued before the training to understand each company’s policy and direction on carbon management - Results shared in the training to motivate discussion Carbon Reduction Action Plans

- “Report Cards” showing individuals’ footprint “rankings” were distributed - Sharing of action plan samples - Business partners asked to share potential reduction measures and views on target setting Carbon Reduction Targets / Initiatives

. To date >300 carbon reduction initiatives have been identified for AA and 37 business partners . Individual plans received from business partners Carbon Reduction Target Setting?

. Deliberated with business partners on appropriate HKIA target . China target & proposed HK targets – intensity . Didn’t want to scare participants off with unreasonable target . Wanted a manageable timeframe for achieving targets - 2015

Business Partner “buy in” on HKIA target? . Target for whole airport community . Each company supports overall HKIA target . Several sessions with BPs to gain acceptance . Agreement to make initiatives public 17 December 2010

“The Airport community pledges to reduce airport- wide carbon emissions by 25% per workload unit* by 2015 from 2008 levels”

* One workload unit equals to one passenger or 100 kg cargo handled Carbon Reduction Programmes

Long-term effort - Moving beyond ‘influencing’ our business partners - Partnering - educating / sharing / encouraging - Airport business commitment to carbon reduction - Disclosure / tracking

Ongoing Management Process Plan - AA . Check and update on all - HKIA initiatives businesses Act Do . Ensure sufficient progress - Initiatives / Targets - Review progress . Identify new initiatives - How to improve? - AA - HKIA businesses (ongoing) Check Improvement? . Plan to report on AA & HKIA - AA community progress - HKIA businesses

HKIA taking leadership position in Hong Kong’s transition to a Low Carbon Economy Hong Kong International Airport (HKIA) Towards leadership in other areas of airport environmental management

- HKIA carbon reduction - Air emissions reduction - Waste reduction - Green design Air Emissions Reduction Achievement - AAHK certification under HKGC Clean Air Charter Measuring and Interpreting Local Air Quality - Real-time monitoring at 3 Stations; Ongoing HKUST interpretation Working to Reduce Air Emissions - AA partnering business community  Idle engine shut-down mandated 2008  Commenced Fixed Ground Power and Pre-Conditioned Air upgrade at aircraft gates  Low emissions vehicle licensing  Provision of LPG fueling point  Airside Community “Green Airport” Committee  AA old vehicle replacement with Low Emissions vehicles (e.g. 2 – 10 Evs per year) Midfield Development Phase 1 – Green Design Commitment to Leadership • All future AAHK development to have best available “Green DNA” • E.g. Midfield Concourse * Assess and adopt environmental efficiencies at all stages (life-cycle) * Incorporate efficient green elements

39 . New midfield concourse with 20 parking stands Midfield Development Phase 1 – Green Design

• 37 initiatives to be taken forward in new concourse, e.g. natural lighting, high performance glazing, water cooling, rainwater collection for chillers, etc.

Predicted energy reductions

340

320 9% 2 300 / yr m

280 11% 0.5% 260

Cooling load (kWhr/yr) Minimum

Energy intensity kWhr 240 20% 220 reduction

200 Baseline T1 Passive Active Renewables Measured Modeled Current design data data estimations Recycling Scheme for A/C Cooling Water Make up

A/C First Condensate Priority Water 130 m3/ day

Second Rain Water Filtering Priority from MFC 429 m3/ day System Roof

Remark: Rainwater is not a stable source Excessive rainwater to be discharged to storm (Rainfall mainly in May-August) water system via overflow pipe A/C Cooling Water Tank Grey Water Third Grey Water (2 hours from MFC Priority 520m3/day Treatment System retention)

Excessive grey water to be discharged to foul water system via overflow pipe Requested Average Back Up Cold Water A/C Cooling Water Back-up Volume = 400 m3/ day AAHK Encourages you to take part in the Hong Kong Awards for Environmental Excellence

42 Thank You