4a motion adopted
1 ENERGY AND SUSTAINABILITY MOTION 2 OF THE 3 PORT OF SEATTLE COMMISSION 4 5 ADOPTED 6 DECEMBER 19, 2017 7 8 PREAMBLE 9 10 This motion furthers the recommendation of the Port's Energy and Sustainability Committee, 11 unanimously chartered by motion on January 26, 2016. 12 13 First, staff is instructed to develop an evaluation framework, the Sustainability Evaluation 14 Framework, (framework) which will inform Commission decision-making to advance the Port's 15 energy and sustainability initiatives by transparently documenting environmental and societal 16 considerations associated with Commission actions. 17 18 Second, staff will select up to four pilot projects for approval by the Commission, to be used to 19 validate the key environmental and societal components that will constitute the framework. 20 21 Third, staff is instructed to explore a method of valuing and internalizing the external costs of 22 carbon. 23 24 Fourth, Scope 2 carbon reduction goals are added to the Century Agenda, supplementing the 25 previous addition of Scope 1 and Scope 3 goals, passed unanimously on April 11, 2017. 26 27 Fifth, to implement the above-mentioned actions and more broadly advance the Port's energy 28 and sustainability goals, the Interim Executive Director will include adequate resources in the 29 2018 budget to to expand the Maritime program's focus from primarily regulatory compliance 30 to include environmental sustainability and to support Aviation Facilities and Infrastructure to 31 meet the new Century Agenda goals. 32 33 Sixth, Port staff will coordinate with the Northwest Seaport Alliance, as appropriate. 34 35 TEXT OF THE MOTION 36 37 Moved, that the Port of Seattle shall take the following actions: 38 39 1. Develop a Port Sustainability Evaluation Framework to assist the Port in meeting its 40 greenhouse gas reduction and sustainability goals. 41 42 2. Select up to four pilot projects, divided between the airport and maritime, beginning 43 with a solar project on Pier 69, to test and validate the framework and determine how 44 to incorporate the following environmental and societal components into the Energy and Sustainability Motion Adopted December 19, 2017 Page 1 of 5 45 framework to be used to more fully inform the Commission of project proposals 46 including: 47 48 a. Reduce greenhouse gas emissions 49 b. Increase energy resilience 50 c. Protect public health and the environment 51 d. Support local economic development 52 e. Advance racial and social equity 53 f. Leverage partnerships 54 g. Advance innovation 55 56 3. Evaluate and recommend methods for valuing and internalizing the external costs of 57 carbon port-wide. 58 59 4. Adequately resource sustainability efforts to meet the recently amended Century 60 Agenda greenhouse gas emission goals and to implement the Energy and Sustainability 61 Committee recommendations. 62 63 5. Amend the Century Agenda to add Scope 2 goals. With the amendment, the 64 greenhouse gas emission reduction goals will be as follows: 65 66 a. Scope 1 emissions, which are direct greenhouse gas emissions from Port owned 67 or controlled sources, shall be: 68 69 i. 15 percent below 2005 levels by 2020. 1 70 ii. 50 percent below 2005 levels by 2030. 2 71 iii. Carbon Neutral by 2050 OR Carbon Negative by 2050. 3 72 75 76 b. Scope 2 emissions, which are indirect greenhouse gas emissions from 77 consumption of purchased electricity, heat or steam. The new Port-wide goals 78 for Scope 2 shall be: 79 80 i. 15 percent below 2005 levels by 2020. 81 ii. 50 percent below 2005 levels by 2030. 82 iii. Carbon Neutral by 2050 OR Carbon Negative by 2050. 83 84 c. Scope 3 emissions, which are greenhouse gas emissions over which the Port has 85 influence, not direct control. The new Port-wide goals for Scope 3 shall be: 86 87 i. 50 percent below 2007 levels by 2030. 88 ii. 80 percent below 2007 levels by 2050. 1 This advances the initial Century Agenda goal by 17 years. 2 This advances the initial Century Agenda goal by 7 years. 3 This creates a new long-term stretch goal. Energy and Sustainability Motion Adopted December 19, 2017 Page 2 of 5 89 6. Work with the Northwest Seaport Alliance through the Port of Seattle's Environment 90 and Sustainability Center of Expertise (COE) to advance mutually shared goals, 91 whenever practicable. 92 93 7. The COE is directed to present the four proposed pilot projects to the Commission 94 within 90 days of passage of the 2018 budget, to include a proposed timeline for 95 completion of the pilot projects. 96 97 8. The COE will meet with key stakeholders across the Port including the Project 98 Management Group (PMG), Engineering, Facilities and Infrastructure, lease teams and 99 other teams as necessary to implement and review the pilot projects. The pilot project 100 results will be presented to Commission, with a recommended Policy Directive. 101 102 9. The COE will report progress twice yearly on the Century Agenda greenhouse gas 103 emission reduction goals and will maintain a public-facing environmental scorecard 104 reflecting that progress. 105 106 STATEMENT IN SUPPORT OF THE MOTION 107 108 The Port of Seattle Commission unanimously chartered the Energy and Sustainability 109 Committee by motion on January 26, 2016. The charter tasked the committee to develop and 110 propose policy directives to help guide the development of policies to support the Port of 111 Seattle's greenhouse gas emission reduction effort, with a focus on energy efficiency and 112 alternative energy generation. Commissioners Felleman and Gregoire were named as Co-Chairs 113 of the committee. This motion is a culmination of those efforts. 114 115 The committee established four subcommittees comprised of a broad range of stakeholders to 116 assist in developing the recommendations included in this motion, and embedded in the 117 descriptions of the new FTEs in attachment B. The first recommendation of the committee was 118 unanimously passed by the Commission in a motion on April 11, 2017, amending the Century 119 Agenda to reflect the Commission's increased commitment to reducing greenhouse gas 120 emissions. The 2017 budget also created a one-million dollar fund to support the 121 recommendations of the committee, including further greenhouse gas reductions, leveraging 122 matching funds and collaborating with neighboring jurisdictions. 123 124 Sustainability Evaluation Framework 125 126 The committee has reviewed and recommends a pilot program based on Attachment A - the 127 Port Sustainability Evaluation Framework, to assist the Port of Seattle in achieving two primary 128 goals. The goal of the framework is to advance energy and sustainability initiatives that will 129 reduce greenhouse gas emissions and increase the resilience of its energy systems. The 130 framework will include any current evaluation criteria; for example, return on investment or 131 total cost of ownership. 132 Energy and Sustainability Motion Adopted December 19, 2017 Page 3 of 5 133 A clear Sustainability Evaluation Framework will increase transparency of the Commission 134 decision-making process. The committee also recognizes that the Port's existing decision- 135 making processes include consideration of environmental and social criteria, but the framework 136 is intended to increase transparency both within Port decision-making processes and with the 137 community. In the past, the factors considered and the final decision to pursue or reject a 138 potential project may not always be elevated to the Port Commission. With this motion, these 139 factors will be evaluated and presented to Commission. 140 141 Valuing and internalizing the external costs of carbon 142 143 This item instructs staff to explore a method of creating internal financial incentives for carbon 144 reduction, such as determining or calculating an internal cost of carbon, for Port programs and 145 departments. This could be a tool to reduce Port scope 1 and 2 carbon emissions. 146 147 Port-wide Sustainability Effort 148 149 Currently, the Port has a skilled environmental team focused on compliance with some 150 dedicated sustainability expertise at the airport. The Interim Executive Director has included 151 resources in the 2018 budget to support the sustainability activities developed by the 152 committee and staff per the April 11, 2017, "Motion Amending the Port of Seattle Century 153 Agenda Greenhouse Gas Reduction Goals" that was unanimously supported by the 154 Commission. That motion instructed the Environment and Sustainability Center of Expertise 155 (COE) to "prepare an assessment of the actions, resources, and timelines necessary to develop 156 and implement policy directives for review by the Commission, informed by the committee 157 work groups." In response, the COE delivered the "Energy and Sustainability Policy Directive 158 Resource Assessment" to the Commission on July 11, 2017, see Attachment B. 159 160 In coordination with the committee, the Interim Executive Director reviewed the resource 161 assessment and will embed the recommended sustainability activities as described in 162 Attachment C Sustainability Resource Allocation Recommendation. 163 164 Scope 2 Goals 165 166 The addition of Scope 2 emissions was recommended by advisors to the Energy and 167 Sustainability Committee and is a category of emissions that the Port has been working hard to 168 reduce, including through green power purchases from Puget Sound Energy's Green Direct. 169 Consistent with the Scope 1 and 3 goals added on April 11, the Scope 2 goal is defined by the 170 Greenhouse Gas Protocols as developed by the World Resources Institute and the World 171 Business Council on Sustainable Development: 172 173 Scope 1 are also referred to as Direct greenhouse gas emissions, and are defined as 174 'emissions from sources that are owned or controlled by the organization,' 175 Energy and Sustainability Motion Adopted December 19, 2017 Page 4 of 5 176 Scope 2 are also referred to as Energy Indirect greenhouse gas emissions, and are 177 defined as 'emissions from the consumption of purchased electricity, steam, or other 178 sources of energy (e.g., chilled water) generated upstream from the organization.' 179 180 Scope 3 are also referred to as Other Indirect greenhouse gas emissions, and are 181 defined as 'emissions that are a consequence of the operations of an organization, but 182 are not directly owned or controlled by the organization.' Energy and Sustainability Motion Adopted December 19, 2017 Page 5 of 5
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