Quick viewing(Text Mode)

Wipro Business Travel Study

Wipro Business Travel Study

Wipro: Business Travel Carbon Footprint Study Air Travel, FY 14-15 and FY 15-16 Project Methodology

1. Business Goal 2. Organizational 3. Operational 4. Data Collection Definition* Boundary Setting* Boundary Setting*

7. GHG 6. Emission Factor 8. Interpretation Inventorying Selection/ 5. Data Analysis (Baseline) Development

11. GHG 9. Mitigation 10. Estimating Mitigation Scenario GHG Mitigation 12. Reporting Recommendation Modelling Potential s

* defined by ‘The Greenhouse Gas Protocol’: Corporate Accounting and Reporting Standard, World Resources Institute (WRI) World Business Council for Sustainable Development (WBCSD) 1. Business Goal Definition

Estimate GHG emissions from ’s Air Travel activities and evaluate mitigation alternatives as decision support for development of its Corporate GHG Mitigation Roadmap 2. Organizational Boundary Definition

Wipro Wipro Business Wipro Eco Wipro Infotech Technologies Process Services Energy Services (outside Wipro Ltd. (within (outside (outside boundary) boundary) boundary) boundary)

* based on 2006 IPCC Guidelines for National Greenhouse Gas Inventories, Vol. 2 - Energy, Chapter 3: Mobile Combustion 3. Operational Boundary Definition

Corporate Scope 1 Scope 2 Scope 3 Business Air Emissions Emissions Emissions Travel Emissions

• Owned Vehicle • Electricity •Electricity AT&C Emissions •Aircraft Fuel Combustion Emissions Generation Emissions (Office Electricity) •Capital Goods Emissions Manufacturing Emissions •Fuel Production (Supply- Chain) Emissions

* based on 2006 IPCC Guidelines for National Greenhouse Gas Inventories, Vol. 2 - Energy, Chapter 3: Mobile Combustion 4. Data Collection & 5. Data Analysis

Flight Distance Flight Distance Calculation (~ Categorization: Short-Long Activity Data Questionnaire Activity Data Quality 11,000 pairs, ~ 4,000 newly Haul for Domestic, Short- Design and Collection Assessment and Verification researched) Medium-Long for International

Passenger-km totalization by Passenger-km totalization by Flight Distance Category Passenger-km totalization by Sectors (International, within Sectors (International Determining list of Airlines Airline Domestic-, Domestic- – Short, Medium, Long, USA, Others) Domestic - Short, Long) 6. Emission Factor Development

Convert to best-case per-passenger emission factors for finite distances for Repeat for additional finite distances per LTO and Cruise Mode Emissions (Total) every aircraft model model, and replicate for each aircraft for all aircraft models (using max PAX Capacity and Load- model Factor of 1)

Calculate per-passenger emissions for finite distance for each airline as sum of weighted LTO & Cruise-mode emissions Calculate weighting factor based on % of Repeat for adiditonal finited distances aircraft model count vs. total fleet count for each domestic airline (account for weighted-avg. airline passenger capacity, airline-wide of airline passenger load factor, and PAX to Freight Ratio)

* based on 2006 IPCC Guidelines for National Greenhouse Gas Inventories, Vol. 2 - Energy, Chapter 3: Mobile Combustion Assumptions

• One passenger per booking entry • Same airline for all legs of multi-stop flights • GHG mitigation through substitution of Multi-Leg Roundtrip-Flights with Non-Stop Roundtrip-Flights was simple for a roundtrip flight with even-number of legs (eg. 4-leg flight: Mumbai-Dubal-London- Dubai-London) wherein the ‘destination’ was the middle city (i.e. London). The process of determining the ‘destination’ for a roundtrip-flight with odd-number of legs (eg. 3-leg flight: Mumbai-Dubai- Geneva-Mumbai) was: identify the city following the ‘mid-point’ in the even-number sequence (eg. mid-point of 4 city trip would be 2nd-city, the subsequent city would be the 3rd-city in the sequence – i.e. Geneva. • 100% seats • Employee Count: 1,20,000 • Additional Employee Time per Flight Leg (Pre-Departure, Transit, Post-Arrival Time) : 3 hours/flight • For Airlines wherein fleet composition and operation data were not available, the corresponding ‘average’ emission factor for the Sector was applied (eg. use of Avg. International Short Haul Emission Factor (kg CO2e/pass-km) for Ravn Alaska Airline’s International Short Haul Flights) Materiality and Exclusions

• Scope 1 Emissions from Owned Vehicle use to support Air Travel activities not considered material to footprint and hence excluded • Scope 2 Emissions attributable to Office Electricity Use (for Air Travel Management Operations) not considered material to footprint and hence excluded • Scope 3 Emissions attributable to AT&C Losses resulting from Office Electricity Use (for Air Travel Management Operations) not considered material to footprint and hence excluded • Scope 3 Emissions from Train Travel in the USA excluded • Flights shorter than 100 kms excluded (considered to be data error) • Flights costing less than INR 200 excluded (considered to be data error) Definitions

Flight Distance Category Distance Range (km) International – Short Haul < 2,000 International – Medium Haul > 2,000 to < 5,000 International – Long Haul > 5,000 Domestic – Short Haul < 500 Domestic – Long Haul > 500 Data Analysis: Know your Air Travel Metrics Distance Metrics (Million Passenger-kms) FY 14-15 FY 15-16 1,269.8 Total Distance 1,134.4

932.9 International 809.9

336.9 Domestic 324.4

161.4 Domestic - India 174.3

160.3 Domestic - USA 136.4

15.2 Domestic - Others 13.7 Flight Metrics (Nos. of Flights) FY 14-15 FY 15-16 4,98,32 Total Flights 4,68,67 7 5 2,02,122 International 1,79,201

2,96,205 Domestic 2,89,474

1,59,166 Domestic - India 1,73,147

1,13,763 Domestic - USA 96,636

23,276 Domestic - Others 19,691 5 Longest 5 Shortest International Flights International Flights

km km

Auckland, New Heathrow, Tallinn, USSR Zealand 18,364.2 United Kingdom 101.4 Helsinki, Finland

Auckland, New London, United Geneva, 18,336.8 106.6 Lyon, France Zealand Kingdom Switzerland

Bonaire, Singapore, Netherlands Cotonou, Benin Lagos, Nigeria 18,287.5 Singapore 107.2 Antilles

Lisbon, Portugal 18177.93 Sydney, Australia Porto, Portugal 109.9 Vego, Spain

Guangzhou, Perth, Australia Hongkong 18138.05 Toronto, Canada China 128.5 5 Longest Domestic- 5 Shortest Domestic- India Flights India Flights

km km

Delhi, India Port Blair, India Baroda, India 102.3 Ahmedabad, 2,483.5 India

Bangalore, Dibrugarh, Bombay, India India 2,418.7 India 124.1 Pune, India

Amritsar, India Kochi, India Calicut, India Coimbatore, 2,408.6 131.7 India

Guwahati, Kochi, India , India 142.6 Srinagar, India 2,385.4 India

Dibrugarh, Dehradun, Chandigarh, 2,368.7 Pune, India India Uttarakhand 143.2 India FY 14-15 FY 15-16

~4 Flights Flights Per Employee ~4 Flights

10.6 9.45 Thousand Pax - km Distance Per Employee Thousand Pax - km

1.51 1.35 Million Hours Time Spent in Air Million Hours

3.01 Total Travel Time* 2.76 Million Hours Million Hours

12.6 Air time Per Employee 11.3 Hours Hours

Total Travel Time Per 25.1 23.0 Hours Employee Hours

*including pre-flight, post-flight, and transit time Most Favoured International Airlines (flight count-based)

Most Favoured International Airlines Most Favoured International Airlines FY 2014-2015 FY 2015-2016

Emirates Emirates

British Airways 14% Etihad Airways 19% 26% Lufthansa 24% Lufthansa

11% Singapore Airlines British Airways

Etihad Airways 2% 11% Singapore Airlines 3% 3% 3% 10% 3% 5% 5% 9% Qatar Airways 6% 8% 7% Jet Airways 6% 8% 9% 8% Air India

United Airlines United Airlines

Cathay Pacific Airways KLM Royal Dutch Airlines

Others Others Most Favoured Domestic Airlines (flight count-based)

Most Favoured Domestic Airlines Most Favoured Domestic Airlines FY 2014-2015 FY 2015-2016

Jet Airways Indigo Airlines

Indigo Airlines Jet Airways

14% 18% United Airlines 11% United Airlines 2%2% 25% 2% 3% 4% Air India 3% American Airlines 5% 7% 18% Delta Airlines Delta Airlines 5% American Airlines 8% Air India 6% 22% 8% 9% 10% Spice Jet Southwest Airlines 9% 9% US Airways Spice Jet

Southwest Airlines US Airways

Go Air Go Air

Others Others Data Analysis: Know your Baseline GHG Emissions Corporate Business Travel (Air Travel) Emissions (‘000 Tonnes CO2e)

FY 14-15

Scope 3 – Aircraft Scope 3 – Fuel Scope 3 – Aircraft Category Total Fuel Combustion Supply Chain Manufacturing International Air 100.7 15.0 7.38 123.2 Travel

Domestic Air Travel 38.9 5.95 2.12 46.9

Total 139.6 21.0 9.51 170.1 Corporate Business Travel (Air Travel) Emissions (‘000 Tonnes CO2e)

FY 15-16

Scope 3 – Aircraft Scope 3 – Fuel Scope 3 – Aircraft Category Total Fuel Combustion Supply Chain Manufacturing International Air 88.6 13.1 6.4 108.2 Travel

Domestic Air Travel 37.0 5.7 2.0 44.7

Total 125.6 18.8 8.4 152.9 Air Travel Emission Trend – FY 14-15 vs. FY 15-16

Air Travel GHG Emissions: FY 14-15 and FY 15-16

180,000 160,000 140,000 Air Travel Emission Trend 120,000 GHG Emissions FY 2014 - 2015 - 100,000 170.1 Thousand tonne CO2e 80,000 60,000 GHG Emissions FY 2015-2016 - 152.9 Thousand tonne CO2e 40,000 20,000 0 FY 2014-2015 FY 2015-2016 Activity-Wise Air Travel Emission Distribution

100% 5.6% 5.5%

90% 12.3% 12.3% 80%

70%

60%

50%

40% 82.1% 82.1%

30%

20%

10%

0% 14-15 15-16 Scope 3 – Aircraft Fuel Combustion Scope 3 – Fuel Supply Chain Scope 3 – Aircraft Manufacturing International vs. Domestic Air Travel Emission Distribution

FY 2014-2015 FY 2015-2016

Domestic Domestic 29% 28% GHG Emission Distribution GHG Emission Distribution

Total GHG Emissions- Total GHG Emissions- 170.1 ‘000 Tonnes CO2e 152.9 ‘000 Tonnes CO2e

International - International 123.2 ‘000 Tonnes CO2 108.2 ‘000 Tonnes CO2e

Domestic - International Domestic 71% 46.9 ‘000 Tonnes CO2e 44.7 ‘000 Tonnes CO2e International 72% Domestic Air Travel Emission Distribution

FY 2014-2015 FY 2015-2016

Domestic - Other Domestic - Other 5% 5% Domestic GHG Emission Distribution Domestic GHG Emission Distribution Total Domestic GHG Emissions 46.9 ‘000 Tonnes CO2e Total Domestic GHG Emissions 44.7 ‘000 Tonnes CO2e Domestic - India 21.7 ‘000 Tonnes CO2e Domestic - India 23.1 ‘000 Tonnes CO2e Domestic - USA 23.0 ‘000 Tonnes CO2e Domestic - USA Domestic - USA 19.5 ‘000 Tonnes CO2e Domestic - Other 43% 2.38 ‘000 Tonnes CO2e Domestic - Other Domestic - India 2.21 ‘000 Tonnes CO2e 46%

Domestic - USA 49% Domestic - India 52% FY 14-15 FY 15-16 GHG Emission Benchmarks

1.42 Tonnes Emission Per Employee 1.28 Tonnes CO2e CO2e

341.6 Emission Per Flight 326.5 kg CO2e kg CO2e

21.3 g CO2e Emission Per Rupee 20.4 g CO2e

53.8 Litres of fuel burnt 48.4 Million Litres Million Litres TCS GHG Emission Benchmarks - Peers

76,557 Tonnes Total Air Travel Emissions 110,809 CO2e Tonnes CO2e

0.39 Tonnes Emission Per Employee 0.36 Tonnes CO2e CO2e

? Emission Per Flight 326.5 kg CO2e Airline Emission Factor Benchmarks – International Airlines (kg CO2e/pass-km)

Benchmark International – Short Haul International – Medium Haul International – Long Haul

Lowest EF - 1 Ryanair 0.0748 Ryanair 0.0681 Rwand Air 0.0608

Norwegian Air Lowest EF - 2 0.0830 Rwand Air 0.0685 Ryanair 0.0657 Shuttle

Lowest EF - 3 Spirit Airlines 0.0895 Alaska Airlines 0.0755 Alaska Airlines 0.0691

Regional Regional Highest EF - 1 Hanh Airlines 0.4413 0.2707 0.2684 Express Express Regional New England New England Highest EF - 2 0.2799 0.2811 0.2801 Express Airlines Airlines Airlines

Highest EF - 3 Porter Airlines 0.2797 Hahn Airlines 0.3828 Hahn Airlines 0.3636

Average EF 0.1292 0.1116 0.1058 Airline Emission Factor Benchmarks – Popular International Airlines (kg CO2e/pass-km)

Benchmark International – Medium Haul

EF Rank - 1 United Airlines 0.0779

EF Rank - 2 Jet Airways 0.0960

EF Rank - 3 Lufthansa 0.0977

EF Rank - 4 KLM 0.1048

EF Rank - 5 Qatar Airways 0.1116

EF Rank - 6 Singapore Airlines 0.1133

EF Rank - 7 British Airways 0.1144

EF Rank - 8 Air India 0.1159

EF Rank - 9 Emirates 0.1240

EF Rank - 10 Etihad 0.1253 Airline Emission Factor Benchmarks – Domestic (India) Airlines (kg CO2e/pass-km)

Benchmark Domestic – India Short Haul Domestic India – Long Haul

Lowest EF - 1 Indigo Airlines 0.1289 Spice Jet 0.0861

Lowest EF - 2 GO Air 0.1304 Indigo Airlines 0.0867

Lowest EF - 3 Air Asia India 0.1378 GO Air 0.0877

Highest EF - 1 Air India 0.1996 Air India 0.1329

Highest EF - 2 Jet Airways 0.1806 Jet Airways 0.1198

Highest EF - 3 Spice Jet 0.1670 0.1105

Average EF 0.1582 0.1031 Airline Emission Factor Benchmarks – Domestic (USA) Airlines (kg CO2e/pass-km)

Benchmark Domestic – USA Short Haul Domestic USA – Long Haul

Lowest EF - 1 Spirit Airlines 0.1299 Spirit Airlines 0.0860

Lowest EF - 2 West Jet 0.1462 West Jet 0.0931

Lowest EF - 3 Jet 0.1512 Alaska Airlines 0.0955

Highest EF - 1 Porter Airlines 0.4370 Porter Airlines 0.2695

Highest EF - 2 Air Tran Airways 0.2649 Air Tran Airways 0.1779

Highest EF - 3 American Airlines 0.2100 Airways 0.1619

Average EF 0.1832 0.1226 Scenario Modelling: Know your Mitigation Options Scenario Flowchart

Scenario Models

Domestic International

Domestic Domestic Best-In-Class Non-Stop India USA Airline Switch Switch

Best-In-Class Railway Best-In-Class Non-Stop Airline Switch Airline Switch Switch Switch Scenario Flowchart

FY 14- 15 Best In Class Switch Best In Class Switch 140.0 International 119.0 120.0 Baseline - 119.0 Thousand tonne CO2e

CO2e Recommendation - 70.4 Thousand tonne CO2e 100.0 Savings - 48.5 Thousand tonne CO2e

Tonnes Saving % -41% 80.0 70.4

‘000 ‘000 Domestic India 60.0 Baseline - 19.6 Thousand tonne CO2e 48.5 Recommendation - 15.7 Thousand tonne 40.0 CO2e Savings - 3.9 Thousand tonne CO2e 19.6 20.2 20.0 15.7 12.7 Saving % -37%

GHG Emissions GHG 3.9 7.5 Domestic USA 0.0 Baseline - 20.2Thousand tonne CO2e International Domestic India Domestic USA Recommendation - 12.7 Thousand tonne Air Travel Category CO2e Baseline Recommendation Savings Savings - 7.5 Thousand tonne CO2e Saving % - 20% Scenario Flowchart FY 15- 16 Best In Class Switch Best In Class Switch International Baseline - 103.8 Thousand tonne CO2e Recommendation - 73.8 Thousand tonne CO2e 120.0 Savings - 30.0 Thousand tonne CO2e 103.9 Saving % - 29% 100.0 Domestic India 80.0 73.8 Baseline - 21.6 Thousand tonne CO2e ‘000 Tonnes CO2e ‘000 Tonnes Recommendation - 18.0 Thousand tonne CO2e 60.0 Savings - 3.6 Thousand tonne CO2e Saving % - 17% 40.0 30.1 21.6 18.0 16.7 13.4 Domestic USA 20.0 Baseline - 16.7Thousand tonne CO2e 3.6 3.3 Recommendation - 13.4 Thousand tonne CO2e

GHG Emissions GHG 0.0 Savings - 3.3 Thousand tonne CO2e International Domestic India Domestic USA Saving % - 20% Airtravel Categories

Baseline Recommendation Savings Scenario Flowchart

FY 14-15 vs FY 15-16 47.23 50.00 Best In Class Switch for Top GHG Emission contributing sectors 45.00 40.00 FY 14 -15 32.17 35.20 Baseline – 32.17 Thousand tonne CO2e 35.00 Recommendation – 24.62 Thousand tonne CO2e 30.00 Savings – 7.54 Thousand tonne CO2e 24.62 25.00 Savings % - 23% 20.00 15.00 FY 15-16 Baseline – 47.23 Thousand tonne CO2e 10.00 GHG Emissions ‘000 tonne CO2e tonne ‘000 Emissions GHG Recommendation – 35.20 Thousand tonne CO2e 5.00 Savings – 12.04 Thousand tonne CO2e Savings % - 25% 0.00 FY 14-15 FY 15-16 Baseline Recommendation Scenario Flowchart FY 14-15 Non Stop Switch 70.0 63.4 Non Stop Switch 60.0 International Baseline - 63.4 Thousand tonne 50.0 47.5 CO2e Recommendation - 47.4 Thousand

tonne CO2e ‘000 Tonnes CO2e ‘000 Tonnes 40.0 Savings - 15.9 Thousand tonne CO2e Saving % -25% 30.0 Domestic USA 20.0 Baseline - 7.0 Thousand tonne CO2e 15.9 Recommendation - 3.6 Thousand GHGEmissions tonne CO2e 10.0 7.1 Savings - 3.50 Thousand tonne 3.6 CO2e 3.5 Saving % -25% 0.0 International Domestic USA Air Travel Category Baseline Recommendation Savings Scenario Flowchart

Non Stop Switch FY 15-16 70.0 Non Stop Switch 65.2 International 60.0 55.9 Baseline - 65.2 Thousand tonne CO2e CO2e Recommendation - 55.9 Thousand tonne 50.0 CO2e

Tonnes Savings - 9.3 Thousand tonne CO2e Saving % - 14%

’000 ’000 40.0 Domestic USA 30.0 Baseline - 6.7 Thousand tonne CO2e Recommendation - 4.3 Thousand tonne CO2e Savings - 2.4 Thousand tonne CO2e

20.0 Saving % - 35% GHG EmissionsGHG

10.0 9.3 6.7 4.3 2.4 0.0 International Domestic USA Air Travel Category Baseline Recommended Savings Scenario Flowchart

18.00 16.57 Non Stop Switch for Top GHG Emission contributing sectors 16.00 FY 14-15 13.96 14.00 Baseline – 13.96 Thousand tonne CO2e 12.48 Recommendation – 10.61 Thousand tonne CO2e 12.00 10.61 Savings – 3.34 Thousand tonne CO2e Savings % - 24% 10.00

8.00 FY 15-16 6.00 Baseline – 16.57 Thousand tonne CO2e Recommendation – 12.48 Thousand tonne CO2e 4.00

GHG Emission ‘000 tonne CO2e tonne ‘000 Emission GHG Savings – 4.09 Thousand tonne CO2e 2.00 Savings % - 25%

0.00 FY 14-15 FY 15-16

Baseline Recommendation Key Recommendations

• Give priority to Best-In-Class Airlines: ➢ For International Travel: United Airlines, Jet Airways, Lufthansa ➢ For Domestic Travel in India: Indigo, Go Air, Spicejet

• Switch journeys of < 200 km to shared vehicular transport such as express busses, express trains and car-pooled intercity-cabs

• Switch to Rajdhani, Duronto, Shatabdi , Amtrak Train Travel for Routes between key-city pairs served by these high-speed trains ➢ For India-Travel: Mumbai-Ahmedabad, Mumbai-Baroda, Kolkata-Ranchi, Kolkata-Puri, Jaipur-, -, -Chennai, Chennai-Coimbatore, Pune-, -Chandigarh, New Delhi-Amritsar ➢ For US-Travel: New York City-Boston, New York City-Philadelphia, Houston-Dallas, New York City-Washington DC

• Consider time savings from avoided air travel (with tele-video conferencing as a substitute) to be eligible for partial consideration as vacation-time for employees.