Cutting carbon emissions and becoming more energy efficient is of vital importance to McGhee’s, says the company's Commercial Finance Controller Aisling McGhee

The Herald:

THE bakery industry in Scotland continues to operate in a rapidly changing landscape, with the environment, sustainability and health and wellbeing all important considerations in consumers’ purchasing behaviour. 

We can add to this mix the ongoing challenge of managing energy, ingredients and manufacturing costs as well as changes in food labelling and product reformulation.

Of all the factors increasing these levels of complexity within our retail framework, however, one offers an existential threat equalled by no other: the global climate emergency.

With the risk to our planet often foremost in customers’ thoughts, it’s little surprise they have increasingly higher expectations around the sustainability not only of bakers’ products but also our entire supply chain.

This is why our focus needs to be not only on manufacturing processes but also what ingredients we are sourcing, where they are coming from, how they are getting here and the overall CO2 footprint of the finished product. 

All of these concerns are no longer topics for aspirational thinking: they are essential elements in strategies for survival and growth – right here and right now.

There’s no shying away from the fact baking involves energy-intensive production; after all, we’re using ovens 24/7 all year round. 

One of the primary missions for bakery businesses, therefore, is to look closely at energy usage and seek ever greater efficiencies wherever possible.

In terms of harnessing renewable energy, at McGhee’s we could consider many potential solutions, including solar panels, heat reclamation and wood pellet-burning ovens. 

However, one question remains: are such systems fit for purpose? There is also uncertainty about how to maintain such mechanisms at peak performance for the long term.

In order to lessen our own reliance on the grid, we have invested in a lean burning gas generator. 

This means we’re less reliant on mains power, as we can generate our own electricity. At the same time, this is not the ultimate solution, which is why we are continually looking at new technology and innovations.

Our hope is, as we move forward and ever tougher choices have to be made in terms of renewable energy at a national level and across many different sectors, the options available to bakers will become more viable.

Right now, with the investment we are putting into our own energy provision and plant and machinery, we believe we are being as efficient as we possibly can. 

Over the coming year we are looking to make a further substantial extension to our main bakery in Glasgow.  

This is being undertaken to build further resilience and capacity into our operations, and also safeguard jobs, as we operate in a highly competitive sector.

At the same time such decisions are being made with a real awareness of green issues around such expansion, with new capex being as energy efficient as it can possibly be.

There are, of course, many other areas where improvements are challenging. This includes lessening the environmental impact of delivery vehicles. 

Transitioning vans to all-electric fleets would be a massive cost undertaking, while the models on the market right now are not practical for a bakery business such as ours.

They’re simply too small to carry the capacity and weight of all the goods that need to be moved.

We believe it is also paramount we first see significant investment put into electric charging points and the overall infrastructure of net zero logistics. 

The hard facts are that, while we all want to move forward to Net Zero as quickly as possible, when faced with making decisions on investments related to environmental impact, we have to be mindful the cost doesn’t outweigh the benefit. 

It’s too easy to indulge in greenwashing at the moment, simply to be seen to be acting. 

It’s imperative to do as much as possible while carefully examining the actual benefits for the planet and, of course, being mindful how our actions impact the price of products for the customer.

As an industry, we have to take our customers with us on every step of the journey. They have to be assured we are at all times doing the right thing. 

This includes choosing suppliers who share our ecological goals; now more than ever, it’s important to be selective in working with those who have the requisite sustainability credentials.

Another area in which we strive to have a positive impact is reducing our food waste. We launched a product range called “Bits and Pieces” made entirely from the off-cuts of our traybakes which would have previously gone to waste.

The Herald: In an attempt to reduce food waste, new McGhee’s product range “Bits and Pieces” is made entirely from the off-cuts of our traybakes which would have previously gone to waste

 

Sold exclusively at One-O-One convenience stores in Glasgow, 50p from every pack sold goes straight to Clyde 1 Cash For Kids Charity. 

This collaboration means that customers are not only helping reduce food waste but at the same time supporting the local community. 

Since it’s launch we have sold 11,000 packets of “Bits and  Pieces” saving three tonnes of food waste annually.

Monitoring results is, of course, fundamental to success in all of our eco endeavours. All companies meeting ESOS (Energy Savings Opportunity Scheme) compliance criteria must audit areas of significant energy consumption. 

Because of the size of our business, McGhee’s fall into this requirement and so every three years we will undertake an energy efficiency audit.

Part of this process will be gaining advice on where we can be even more energy efficient in our manufacturing sites. 

That is a step forward and, when rolled out to other businesses, it will help us progress as an industry.

There are many initiatives to try to help companies get to Net Zero but without being able to measure carbon footprints we don’t have an accurate benchmark to be able to make pledges and meet targets. 

A further complication here is so many organisations have different ways of measuring their impact. 

While at McGhee’s we have signed up to a portal to calculate our carbon footprint, another company might be using a different website or portal with different criteria.

It’s important, therefore, we see a standardising of reporting tools and methodologies across the sector.

Knowledge sharing is equally important – it’s by each of us sharing our experiences and expertise and acting collectively that we will truly progress as an industry.

www.mcgheesbakery.co.uk