1. This project has been assisted by the New South Wales Government through its Energy Efficiency Training Program Prepared by Energy Efficiency through Product & Process Design Prepared by Plastics Industry Manufacturers of Australia (PIMA) in partnership with Australian Management Academy (AMA); executed in collaboration with EcoProducts

2. Copyright and disclaimer The Office of Environment and Heritage and the State of NSW are pleased to allow this material to be used, reproduced and adapted, provided the meaning is unchanged and its source, publisher and authorship are acknowledged. The Office of Environment and Heritage has made all reasonable effort to ensure that the contents of this document are factual and free of error. However, the State of NSW and the Office of Environment and Heritage shall not be liable for any damage which may occur in relation to any person taking action or not on the basis of this document. Office of Environment and Heritage, Department of Premier and Cabinet Phone: (02) 9995 5000 (switchboard) Email: info@environment.nsw.gov.au Website: www.environment.nsw.gov.au 2

3. Energy Efficiency through Product & Process Design Module 4 – Life Cycle Thinking © Australian Management Academy & Eco Products Agency 3

4. Key Points 1.Products have a life cycle from production through to disposal (cradle-to-grave) 2.Environmental impacts occur throughout the life cycle 3.Thinking through the life cycle is useful for reducing environmental impacts 4.There are potential benefits beyond energy cost reductions in manufacturing 4 © Australian Management Academy & Eco Products Agency

5. Product Life Cycle 5 Polymer Manufacturing Polymer Manufacturing Primary Processing Primary Processing Secondary Processing Secondary Processing DIstribution Use Disposal Feedstocks Recycling Landfill Production PhaseUse PhaseEnd-of- Life © Australian Management Academy & Eco Products Agency

6. Life Cycle Thinking "Consumers are increasingly interested in the world behind the product they buy. Life Cycle Thinking implies that everyone in the whole chain of a product's life cycle, from cradle to grave, has a responsibility and a role to play, taking into account all the relevant external effects. The impacts of all life cycle stages need to be considered comprehensively when taking informed decisions on production and consumption patterns, policies and management strategies.” - Klaus Toepfer, Executive Director, UNEP 6 © Australian Management Academy & Eco Products Agency

7. Life Cycle Thinking Looks at the whole product life cycle Seeks to understand a product’s life cycle in relation to environmental impacts to: –Understand sources of environmental impacts –Compare alternative products and processes –Identify key opportunities for improvements in environmental performance –Avoid ‘burden shifting’ 7 © Australian Management Academy & Eco Products Agency

8. Why Does LCT Matter? 1. Marketing –Customers are increasingly concerned about environmental impacts –Positive message around environmental performance –'Green' procurement policies –Selling energy savings or lower carbon footprint down the supply chain –Eco-labels 8 © Australian Management Academy & Eco Products Agency

9. Why Does LCT Matter? 2. Environmental Obligations –Energy Efficiency Obligations Act for large companies –Australian Packaging Covenant Sustainable Packaging Guidelines promote a life cycle approach 9 © Australian Management Academy & Eco Products Agency

10. Why Does LCT Matter? 3. Corporate Responsibility –Assists in identifying the most important areas for improvement –Allows measurement of improvement –Avoids ‘burden shifting’ 10 © Australian Management Academy & Eco Products Agency

11. Tools for Assessing Environmental Impact There are several methods to assess the environmental impact of a product: –Life Cycle Assessment (LCA) –Streamlined LCA –Carbon Footprint –Embodied Energy Applied over all or part of the life cycle 11 © Australian Management Academy & Eco Products Agency

12. Life Cycle Assessment (LCA) A method for “environmental accounting” –Create inventory of inputs and outputs –Calculate indicators of environmental impact Multiple-criteria assessment ISO 14040 - 14044 standards Time and information intensive Still requires interpretation and value-based judgments 12 © Australian Management Academy & Eco Products Agency

13. Streamlined LCA Due to complexity of full LCA, some assessments use only particular environmental indicators –Embodied water –Embodied energy –Carbon footprint (Greenhouse gas emissions) May only measure part of the life cycle e.g. “Cradle-to-gate” 13 © Australian Management Academy & Eco Products Agency

14. Carbon Footprint ‘Carbon Footprint’ is the cumulative greenhouse gas (GHG) emissions caused by the processes used to extract resources, manufacture, and deliver a product or service to the user Single criteria – related to climate change PAS 2050, Carbon Trust 14 © Australian Management Academy & Eco Products Agency

15. Embodied Energy ‘Embodied energy’ is the cumulative energy used to extract resources, manufacture and deliver a material or product to the user Often used as a quick comparison of the relative environmental impact, as many impacts are related to energy use Embodied energy of plastics is relatively high 15 © Australian Management Academy & Eco Products Agency

16. Embodied Energy of Mass 16 © Australian Management Academy & Eco Products Agency

17. Embodied Energy by Volume 17 © Australian Management Academy & Eco Products Agency

18. Embodied Energy by Product The embodied energy of the materials is not the whole story. Also need to consider: Amount of material used per product Energy for additional processing Distribution End-of-life treatment 18 © Australian Management Academy & Eco Products Agency

19. Life Cycle Energy Use Energy efficiency reduces environmental impact Energy efficient manufacturing reduces the embodied energy (and carbon footprint) of products Further consideration of life cycle can enable reduction in total life cycle energy use 19 © Australian Management Academy & Eco Products Agency

20. Production Phase Polymer Manufacturing Polymer Manufacturing Primary Processing Primary Processing Secondary Processing Secondary Processing Distribution Use Disposal Feedstocks Recycling Landfill Production PhaseUse Phase 20 End-of- Life © Australian Management Academy & Eco Products Agency

21. Polymer Manufacturing PolymerTypical energy used (MJ/kg) 1 PET43 2 HDPE22 3 PVC30 4 LDPE26 5 PP21 6 PS40 Engineering> 50 21 © Australian Management Academy & Eco Products Agency

22. Primary Processing Processing step Typical energy used (MJ/kg) Compounding4 - 8 Drying1 - 4 Injection molding7 - 20 Blow molding5 - 15 Blown film extrusion5 - 10 Extrusion (profile, sheet, pipe)3 - 7 Thermoforming from sheet2 - 7 22 © Australian Management Academy & Eco Products Agency

23. Use Phase Polymer Manufacturing Polymer Manufacturing Primary Processing Primary Processing Secondary Processing Secondary Processing Distribution Use Disposal Feedstocks Recycling Landfill Production PhaseUse Phase 23 End-of- Life © Australian Management Academy & Eco Products Agency

24. Distribution Mode of transport Energy use (MJ/tonne.k m) Typical distance (km) Typical energy use (MJ/kg) Railway freight0.251,000 km0.25 Truck freight1.0 – 2.4500 km1 Container shipping 0.4 – 0.55,000 km2.5 Air freight6.9 – 9.9 5,000 km40 24 © Australian Management Academy & Eco Products Agency

25. Use Phase ProductEnergy saving Light weight vehicle components Reduced vehicle weight and improve fuel efficiency Plastic wine bottlesIncreased aircraft payload Light weight crates increased truck fuel efficiency during distribution Collapsible crates Higher stacking density, fewer truck movements Thermal insulationReducing heat loss 25 © Australian Management Academy & Eco Products Agency

26. End-of-Life Use Plastic Manufacturing Plastic Manufacturing Primary Processing Primary Processing Secondary Processing Secondary Processing DIstribution Use Disposal Feedstocks Recycling Landfill Production PhaseUse Phase 26 End-of- Life © Australian Management Academy & Eco Products Agency

27. End-of-Life End-of-life actionEffect on Life Cycle Energy RecyclingRecycling takes less energy than production of virgin plastic. Also reduces demand for virgin plastic. Energy recoveryEnergy recovery from calorific value of plastics can reduce demand for other fuel sources LandfillDepends on weight & logistics network, but usually negligible use of energy compared to other life cycle phases 27 © Australian Management Academy & Eco Products Agency

28. Life Cycle Thinking Life cycle thinking during product & process design can improve environmental performance 28 © Australian Management Academy & Eco Products Agency

29. Summary 1.Products have a lifecycle that can be understood by Life Cycle Thinking (LCT) 2.Energy is used throughout the life cycle. 3.Energy efficient processes reduce energy use 4.Products can also be designed to save energy throughout the life cycle 29 © Australian Management Academy & Eco Products Agency