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Retailer Update Sainsbury’s

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Presentation on theme: "Retailer Update Sainsbury’s"— Presentation transcript:

1 Retailer Update Sainsbury’s
Mark Hawker Head of Engineering, Property Division November – Final Copy

2 Recap – Lux Conference March
Sainsbury’s operates c.600 supermarkets and c.600 convenience store Serves about 23m customers every week Under the vision of being “the most trusted retailer where people love to shop and work” we have a value “respect for the environment” The value is being deployed through a plan called 20x20 with 5 key elements We will put all waste to positive use. We will make sure all our brand packaging has been reduced by half compared to 2005 We will have reduced our operational emissions by 30% absolute and 65%relative compared with 2005 Through robust water stewardship we will ensure that our supply chain approach is sustainable in areas of water vulnerability We will have worked with our own brand suppliers to reduce carbon emissions across all of our own brand products by 50% relative.

3 Energy use in a supermarket
What’s the Imperative for Sainsbury’s? Electricity, Gas, Water and Refuse (waste) over half of a store’s cost. Increasing cost of energy rising fossil fuel prices Instability Cost of Carbon Recession expect reduced demand so easing pressure on fuel costs not so – rising affluence of BRIC countries. Electricity demand equivalents supermarket = 1000 homes, convenience store = 100 homes Energy use in a supermarket Power - Electricity to run equipment and lighting Thermal - Gas for space heating and hot water

4 What Have We Achieved? Progress against CR Target
Absolute energy reductions kwhrs 2012/13 usage was 11.1% below that of 2007/08 against a 31% increase in sales floor area What Have We Achieved?

5 Retail Lighting Design - Ambient
The Kreuthof Curve was shown at the last conference and showed where retailers set there ambient lux levels and lamp temperature. We are in line with most other retailers and we target 4000k and a horizontal average illuminance (Eav) of 650 lux in daylit stores and 800 lux in stores with no natural light. The use of daylight controls allows Illuminance levels to be lowered to pre-set thresholds when the required illuminance levels are satisfied by natural means. After all, the most energy efficient light source is one that is not switched on or is operating at full output when it is not required for it’s intended purpose!

6 Retail Lighting Design – Natural Daylight
Sainsbury’s install natural daylight systems on new stores using polycarbonate daylighting panels. The key deciding factors for us are they occupy the smallest footprint of available options whilst delivering good light uniformity. The U value is important but needs to be done for the whole roof as different systems can occupy widely different areas (3:1). This is important to us as we have a lot of PV arrays. Consideration also needs to be given to the robustness of the system and whether it has an integral mansafe or needs an independent system. We are achieving a 4 year payback.

7 LED Lighting LED’s in Freezers 2005
Efficiency didn’t drop off like fluorescents with low temperature Could be used with PIR’s Expensive and poor colour rendition. LED’s in Fridges 2010 Colour Rendition improvements Cheaper & proven longer life Start to use in fridges, counters, feature lighting and car park lighting Leaving Ambient lighting

8 LED Lighting We are seeing various ambient fixtures coming onto the market with projected life cycle of > 65,000hrs with high colour rendition and good energy efficiency. We are using ceiling mounted 600 x 600 LED’s as standard in our convenience stores and LED feature lighting and achieving a 2 year payback. We are using LED high bays in our supermarkets (first stores - Leicester North and Weymouth) giving a 2 year payback.

9 New Store - Leek – 100% LED store using Blade System
Sainsbury’s and GE collaborated in the development of GE’s Linear Lighting modules (“Blade”) to provide ambient lighting. In conjunction with linear feature lighting, 600x600 LED panels in offices, LED car park lighting and LED lighting in all refrigeration this delivered a 62% saving on electrical energy for lighting – operating the store at 16.9 w/sqm.

10 Retrofit – Hempstead Valley, Gillingham
Due to its inefficient nature and poor state of repair, the existing lighting installation was replaced with new LED lighting as part of the energy efficiency programme. It included continuous linear LED for ambient lighting and LED spot lights for accent lighting. Energy analysis to date has identified that the LED installation will save 880,000kWhs of electricity per year. which equates to 60% of the lighting load and 17% of the store total.

11 Validate the Supply Chain & Quality
Caution – Take Time to Understand What You Are Buying! Sainsbury's have been contacted by 35 new suppliers since March. We interview technically new suppliers and check their business cases and we use our own models to be sure we compare “apples with apples”. Warranties – read the small print - with a >65,000 hour warranty we have seen various “small print” requiring certification which is difficult to comply with or limitations on usage or failures. We now have our own warranty as a starting point. We check the supply chain for where the equipment is coming from, the quality control behind it and understand who commercially we are dealing with. If the equipment stacks up technically, commercially with good quality control and logistics – then do a trial in a non trading environment. Assess Technically & Commercially Validate the Supply Chain & Quality Trial & Prove It Roll out at Scale

12 Conclusion It’s an exciting field to be in at this time – the advancing pace of technology brings back to mind the times of windows vs. mac and windows / windows 95 / XP journey. Its important to make sure that you are backing the right horse . We also need to make sure that the equipment is upgradeable and recyclable. Sainsbury’s are seeing the benefits in this technology in being part of the journey to meeting its sustainability programme both in new developments and for rolling back into the existing estate. Leek and Hempstead Valley have shown us what is possible. We are now on the journey to make this “business as usual” for us. However this a massive growth area for the industry and its important to be able to distinguish which products meet your exact need. THANK YOU…..

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