Outsmart the carbon taxman

While it may only be the top 500 Australian businesses directly impacted by carbon pricing, energy generators are in that group. These costs will be passed on. This means there is just under a year to prepare a continuous improvement program to mitigate the potential impact of the tax.

We estimate the carbon tax may result in a 12-15% cost increase for printing businesses. Based on an industry average consumption of 751,380 kWh per annum (per site), printers could face a $15,553.56 rise in the first year. A 12-15% cost increase means a printer with a yearly energy bill of $140,000 could pay an extra $16,000-$21,000.  

There are ways to mitigate the impact. The first is to understand your exposure. Energy Action’s Carbon Adjustment Calculator is a free online tool developed to help businesses, large and small, easily estimate their likely carbon expense.    

The impact will be consumption based, so the simplest way to lessen the impact is to find ways of lowering energy usage and securing the most competitive contract. A well-known Sydney-based printer saved costs by using the Austra-lian Energy Exchange, the reverse auction service operated by Energy Action, to procure three separate electricity supply deals, saving a total of over $100,000, around 20% of its total energy spend over the term of the agreements.   

There are a number of practical, low-cost solutions printers can implement to cut energy consumption by operating more intelligently and employ-ing good housekeeping measures. It just requires a plan. It is important to know your priorities and measure the impact of each initiative so you can justify investments, such as substituting natural gas for drying and space heating purposes, installing capacitors to correct power factor, fitting lower-voltage and energy-efficient lights (which can save up to 80% of lighting costs), installing variable speed drives and cut-off switches in the bindery to prevent machines idling when not in use, fitting timers to small plant appliances and buying energy-efficient kit.  

Printers should also switch off computers and IT equipment where possible as they add to the air conditioning load if left on, and heated plants should make sure all shutter doors are closed to prevent heat escaping and cold air being drawn in.  

 Edward Hanna is head of energy 
efficiency and sustainability at Energy Action. More information, including the free online calculator, is available at www.energyaction.com.au 

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