Eastland Group

Climate Leaders Coalition

Climate change is one of the greatest threats facing the world today. And it’s one of our greatest responsibilities as an organisation to play our part in reducing greenhouse gas emissions in the communities in which we operate.

Eastland Group is a Gisborne-based infrastructure and logistics company. We run Tairāwhiti’s lines company, port and airport, along with geothermal power plants in the Bay of Plenty and a hydro scheme near Wairoa.

In July 2019, Eastland Group and our sole shareholder, Trust Tairāwhiti, joined the Climate Leaders Coalition.

The CLC includes some of New Zealand’s largest businesses. By signing up, we committed to:

  • 1. Measuring our greenhouse gas emissions.
  • 2. Publicly reporting on these.
  • 3. Setting an emissions reduction target.
  • 4. Working with suppliers to reduce emissions.

Emissions definitions

Scope 1: Direct emissions ie mobile combustion, geothermal.

Scope 2: Indirect emissions but with direct control and responsibility ie. electricity use, transmission and distribution losses.

Scope 3: Emissions that occur upstream and downstream in the value chain ie. waste, business travel, use of sold products.

Inventory is made in accordance with the Greenhouse Gas Protocol 2004 (Corporate and Accounting Standard).

Eastland Group’s climate commitment

Eastland Group and Trust Tairāwhiti commit to:

Reduce absolute Scope 1, 2 and 3 emissions from all businesses (other than Eastland Generation) by 21% by 2025.

Eastland Generation commits to: Carbon neutrality by 2030.

These are science-based reduction targets. The Eastland Group and Trust Tairāwhiti target is set using the Absolute Emissions Contraction methodology. Eastland Generation is split out separately and follows the Sector Decarbonisation Approach, which is the standard used in this sector.

Greenhouse gases inventory FY2021

The Greenhouse Gas (GHG) emissions inventory for FY2021 has been compiled.

When compared to FY2020, total emissions in FY2021 are down 26% for Eastland Generation and up 20% for Trust Tairāwhiti and Eastland Group (excluding Eastland Generation).

Scope 1 and 2 emissions are down 15% and 3% respectively for Trust Tairāwhiti and Eastland Group (excluding Eastland Generation). This reduction is important, as Scope 1 and 2 emissions are more or less directly under the control of Trust Tairāwhiti and Eastland Group whereas Scope 3 are less so because of their indirect nature.

The key drivers for the changes in emission between FY2021 and FY2020 are:

  • The implementation of a more accurate measurement methodology for geothermal power plant emissions, resulting in lower unique emissions factors.
  • Increases in the emissions factor for electricity end use, increased electricity end use and increases in general and bark waste.
  • When the FY2021 emission inventory is compared to the baseline year of FY2019, emissions are trending up and not down, highlighting the emission reduction challenge. For example, the emissions for Trust Tairāwhiti and Eastland Group are up 24% versus a required reduction of 8.4%.

At Eastland Group we’re continuing our work to better understand our emission profile. This is likely to lead to a restatement of our baseline inventory and targets to make them more accurate and relevant. For example, it’s now clear that bark waste that was once believed to go to landfill is actually composted, significantly reducing Scope 3 emissions.

FY2021 GHG inventory

Inventory made in accordance with the Greenhouse Gas Protocol 2004 (Corporate and Accounting standard).

Comparison – FY2020 vs FY2021

Eastland Generation down 26% due to revised unique emissions factors for geothermal power plants. Trust and Group up 20% driven by increases in the emissions factor for electricity end use and the end use of electricity, and increases in general and bark waste.

Comparison – Baseline vs FY2021

Comparison – Baseline vs FY2021

Eastland Generation up 192% due to inclusion of Te Ahi O Maui in FY2020. Emissions for the Trust and Group are up 25%. The emissions from electricity end use, line losses and waste have increased.

Comparison – Targets vs FY2021

Eastland Generation: Zero offsets to date. Trust Tairāwhiti and Eastland Group: Emissions are up 24% versus a required 8.4% reduction to meet the reduction target.

Supporting long-term sustainability

Together with Trust Tairāwhiti, Eastland Group already champions a variety of environmentally-focused projects that support sustainability within the Tairāwhiti region.

As part of the focus on sustainable and renewable energy, nearly all of Eastland Group’s non-commercial vehicle fleet is electric.

We have established a region-wide electric vehicle fast charging network; have introduced New Zealand’s first electric water truck at Eastland Port; and are undertaking long term solar PV trials, covering both domestic and commercial use.

We continue to explore options for local renewable energy generation, including solar PV, wind, and wood waste to energy.

Each sector — Eastland Port, Eastland Network and Eastland Generation — is looking at smart ways to reduce the group’s overall carbon footprint. Gisborne Airport’s new terminal is the most sustainable in New Zealand.

We believe that we can be a leader in steering Tairāwhiti towards zero carbon through renewable energy and facilitating the transition to electric vehicles.

As one of the largest organisations in Tairāwhiti, we hope to use our position within the region, and learnings from the Coalition, to encourage other local businesses to step up and join us in the fight against climate change.

Working with suppliers to reduce their emissions

Human activity is accelerating climate change. Along with focusing on reducing our own emissions, we’ve begun working with our customers, suppliers and regional stakeholders on how they can reduce their emissions.

We’ve also introduced a new Supplier Code of Conduct (download a copy here) that covers our expectations around business ethics; social responsibility; health, safety and wellbeing; and the environment.

New Zealand: carbon free by 2050

In November 2019, the New Zealand Government passed the Climate Change Response (Zero Carbon) Amendment Act. This provides a framework by which New Zealand can develop and implement clear and stable climate change policies that:

  • Contribute to the global effort under the Paris Agreement to limit the global average temperature increase to 1.5° Celsius above pre-industrial levels.
  • Allow New Zealand to prepare for, and adapt to, the effects of climate change.

The headline goal is to reduce New Zealand’s net emissions of all greenhouse gases (except biogenic methane) to zero by 2050.