Brewers Association 2015 Sustainability Benchmarking Report 2015 Sustainability Benchmarking Report ® 1 table of contents Acknowledgements . 3 2.3 Green Power and Renewable Energy ................17 Acknowledgements – cont’d . 4 Section 3: Water and Wastewater . 20 Executive Summary . 5 3.1 Industry Trends ....................................20 Introduction . 6 3.2 Pub Operations vs Brewery. 20 Sustainability Definition ....................................6 3.3 Wastewater .......................................22 Environmental Attributes ...................................7 Section 4: Carbon Dioxide . 24 Economic Attributes ......................................8 4.1 Purchased CO2 ...................................24 Industry Market Segments ..................................8 4.2 Captured and Reused CO2. 25 Geographic Regions ......................................9 Section 5: Solid Waste Generation, Disposal and Recycling . 27 Section 1: Project Description . 10 5.1 Solid Waste Generated .............................27 About the Project ........................................10 5.2 Solid Waste Disposed. 30 What Are the Benefits of Participation? .....................10 5.3 Solid Waste Recycled . .31 Benchmarking Goals and Process ..........................11 5.4 Spent Grain .......................................34 Allowing Fair Comparisons ................................11 Section 6: Greenhouse Gas Emissions . 36 Normalizing to Barrels Packaged or Taxable Beer ............12 Section 7: Comparisons . 37 Creating Utilization Efficiency and Cost Charts. 12 7.1 Global Brewing Comparisons .......................37 Confidentiality ..........................................13 7.2 Craft Brewer Market Segment Comparisons ...........37 Sustainability Benchmarking Tools . 13 7.3 Geographic Comparisons ..........................38 Participant Profile ........................................14 7.4 Energy Usage vs. Total Degree Days. 40 Why Didn’t More Breweries Participate? ....................14 Section 8: Average Costs per Barrel . 42 Section 2: Energy Usage . 15 Section 9: Benchmarking Next Steps . 44 2.1 Industry Trends ....................................15 Section 10: Key Contacts . 45 2.2 Pub Operations vs Brewery. 17 Web Links . 47 Cover photos © Shutterstock, LLC. Interior photos provided by Antea Group unless otherwise noted. 2 BrewersAssociation.org acknowledgements This project would not have been possible without the support of the Brewers Association (BA) Sustainability Subcommittee and the nearly 80 craft breweries that collected and shared their data so that everyone in the sector could improve and continue to grow in a responsible manner. The case studies provided, illustrate the creativity and application of sustainability best practices in the craft brewing sector. Our particular thanks go to the Sustainability Subcommittee members who provided insight and who helped drive participation by the BA membership: BREWERS ASSOCIATION SUSTAINABILITY SUBCOMMITTEE: Cheri Chastain – Sierra Nevada Brewing Co. (co-chair) Katie Wallace – New Belgium Brewing Company (co-chair) Luke Truman – Allagash Brewing Company Casey Chartier – Bear Republic Brewing Co. Walker Modic – Bells Brewery, Inc. Kris Spaulding – Brewery Vivant Ian Hughes – Goose Island Beer Co. Saul Kliorys – Great Lakes Brewing Co. Christian Ettinger – Hopworks Urban Brewery Margaret Bishop – Worth Brewing Company Marcus Powers – Zipline Brewing Co. Chuck Skypeck – Brewers Association John Stier – Antea Group We would also like to thank the sustainability management consulting team from Antea® Group who collected and analyzed the data and developed the benchmarking report. 2015 Sustainability Benchmarking Report 3 acknowledgements Particular thanks also go to the many breweries that took the time to complete the benchmarking data tool in order to provide input for this study. The time spent to provide this data was used to identify trends and insights among the craft brewing segment that many BA members have been seeking for years. Your willingness to participate has resulted in the first ever study of its kind within this sector, and will hopefully inspire others to participate in future benchmarking efforts. We hope you find the information presented in this report of use to help inform business and operational decisions that will help continue to make your brewery more sustainable, and more profitable for years to come. Alaskan Brewing Co. Great Divide Brewing Co. Allagash Brewing Company Great Lakes Brewing Co. August Schell Brewing Company Hopworks Urban Brewery Bear Republic Brewing Co. Iron Horse Brewery Bell's Brewery, Inc. - Comstock Jack Pine Brewery Bell's Brewery, Inc. - Kalamazoo Jackie O's Pub & Brewery - Campbell St Beltway Brewing Company Jackie O's Pub & Brewery - West Union St Bent Brewstillery Karl Strauss Brewing Company Big Wood Brewery Kettlehouse Brewing Co. - Northside Birdsong Brewing Co. Kettlehouse Brewing Co. - Southside Black Warrior Brewing Company Kinetic Brewing Company Brewery Vivant Lazy Magnolia Brewing Company Broken Bow Brewery Maine Beer Company Broken Compass Brewing Company Mankato Brewery Brooklyn Brewery Mike Hess Brewing - North Park Burning Brothers Brewing New Belgium Brewing Company Craft Brew Alliance - Kona Odell Brewing Co. Craft Brew Alliance - Portland Orlando Brewing Craft Brew Alliance - Portsmouth Revolution Brewing Craft Brew Alliance - Woodinville Rising Tide Brewing Company, LLC Cigar City Brewing Sierra Nevada Brewing Co. Creemore Springs Brewery Standing Stone Brewing Company Dangerous Man Brewing Co. Steel Toe Brewing Deschutes Brewery Stillmank Brewing Co. Discretion Brewing Stone Brewing Co. Dry Dock Brewing Co. – North Dock Switchback Brewing Co. Dry Dock Brewing Co. – South Dock The Pike Brewing Company Elliott Bay Brewhouse and Pub - Burien The St. Louis Brewery - Bottleworks Elliott Bay Public House and Brewery - Lake City The St. Louis Brewery - Taproom Elliott Bay Brewery and Pub - West Seattle Three Taverns Craft Brewery Epic Brewing Company Uinta Brewing Co. Ethereal Brewing Upland Brewing Co. Falling Sky Brewing Upper Hand Brewery Figueroa Mountain Brewing Co. Urban Chestnut Brewing Company - Grove FiftyFifty Brewing Co. Urban Chestnut Brewing Company - Midtown Flying Fish Brewing Co. Victory Brewing Company Foundation Brewing Company Worth Brewing Company Fremont Brewing Yards Brewing Company Fulton Beer Zipline Brewing Co. Goose Island Beer Co. 4 BrewersAssociation.org executive summary A definition for “best in class” for craft breweries is an benchmarking more than 1,900 beverage manufacturing evolving target. Growth is ongoing and has not yet seen a locations worldwide. Benchmarks are produced for the leveling off point. Breweries are still opening, expanding and industry as well as subgroups by production type (brewery, learning both as they go (on the job) and by seeking advice distillery, winery, bottling). The annual benchmarking study from each other or other professionals within the industry. We has been a cornerstone of BIER’s environmental stewardship can draw a line today with a backward-looking data set to agenda. Over the years, the study has grown to become define “best in class” but that will change over time as the the most comprehensive quantitative benchmark of water operations mature. and energy use and efficiency in the beverage industry. Participants are able to compare their operations with that Increasingly, environmental stewardship is a priority for beer of their peers in order to understand where opportunities for drinkers, brewers and future generations. Maintaining a improvement may exist, and to prioritize projects or initiatives healthy balance between stewardship, social enrichment, for years to come. Some of the prior trends observed from and economic vitality is important to the future of craft BIER member benchmarking will be referenced when brewing. Brewers Association (BA) members have expressed discussing specific use ratios and trends. a desire to benchmark key performance indicators (KPIs) on a consistent basis in order to set aggressive, but realistic, This report presents a summary of the industry trends and goals and targets. findings from production, cost and utility usage data generously provided by BA member breweries. We hope Craft brewers often seek and evaluate the transfer of that other brewers will participate in the future and use this best practices from large global brewers. Since 2007 the information to improve efficiencies, reduce operational Beverage Industry Environmental Roundtable (BIER) has been costs/risks, and reduce environmental footprints. 2015 Sustainability Benchmarking Report 5 introduction The Brewers Association (BA) conducts and hosts a number of surveys and forums that assist the craft brewing sector in This BA subcommittee is helping to create additional brewing the highest quality beer in a profitable manner. This first business value through: Sustainability Benchmarking Report shares additional insight • Direct funding and research on key performance indicators (KPIs) and best practices of towards sustainability sustainable brewers. It represents the participation of nearly related issues and solutions 80 breweries of all sizes and regions within the U.S. Detailed Economic that drive the greatest monthly economic and environmental data for calendar Sustainability business value for our year 2014 were collected, analyzed and trended. The membership; insights and best practices identified from these data will •