The Australian Government released the Net Zero in Government Operations Strategy (the Strategy) in November 2023, setting out the overall approach and action required by Commonwealth entities to achieve the APS Net Zero 2030 target.

The Strategy describes the approach for implementing the Australian Government’s commitment to achieve net zero government operations by 2030 as included in Australia’s Nationally Determined Contribution Communication 2022 under the Paris Agreement.

The Australian National Audit Office is demonstrating commitment to the achievement of the Government’s APS Net Zero 2030 target through the ANAO Emissions Reduction Plan.

This Emissions Reduction Plan describes the priorities and actions the Australian National Audit Office is taking to reduce our operational emissions and contribute to the APS Net Zero 2030 target.

Ms Rona Mellor PSM
Acting Auditor-General
26 September 2024

Purpose

The Net Zero in Government Operations Strategy (the Strategy) sets out the Australian Government’s approach to achieving net zero greenhouse gas emissions from its operations by 2030 and the approach to public emissions reporting.

The ANAO’s Emissions Reduction Plan sets out the activities that the ANAO will do to contribute to the achievement of the APS Net Zero 2030 target. The plan includes existing and new priorities and actions to continue to reduce emissions that are within the ANAO’s control.

This Emissions Reduction Plan has been prepared in accordance with the Strategy, associated guidance and reporting standards for annual emissions reporting.

Governance and reporting

As required, the ANAO has reported Scope 1, Scope 2 and total emissions in its Annual Report since 2022–23. In future, progress against actions identified within this Emissions Reduction Plan, and any additional measures adopted, will also be reported annually in the ANAO annual report.

The ANAO’s Chief Operating Officer is the Chief Sustainability Officer (CSO). The role of the CSO is to:

• champion within ANAO, the Net Zero in Commonwealth Operations Strategy and related initiatives that support climate action in government operations;
• monitor and report on progress made in delivering this plan; and
• represent the ANAO at the Chief Sustainability Officer network.

Operational context

The ANAO leases office space within a 4-storey commercial office building located in Canberra. The ANAO occupies approximately two and a half floors of the building (a total leased area of 4857.00 square metres), representing more than 50% but less than 100% of the net lettable area of the building. The lease commenced in December 2019 and, at the time the lease was executed, the base building was rated as having a 6-star NABERS Energy rating.

The ANAO employs approximately 450 staff including full-time, part-time and casual staff. All ANAO positions are Canberra based and staff work in the office, on-site at audited entities, or utilise flexible working arrangements to work from other locations such as home. The workplace is an activity-based working environment.

The ANAO does not operate a vehicle fleet.

Baseline emissions

Baseline emissions are a record of greenhouse gases that have been produced in the past and were produced before the introduction of any strategies to reduce emissions. The ANAO’s baseline emissions from financial year 2022–23¹ are the reference point against which the effect of emissions reduction actions set out in this plan will be measured.

The ANAO’s baseline electricity-related emissions, set out in the table below, were calculated using the location-based method. The complete 2022–23 greenhouse gas emissions inventory tables for the ANAO are presented in the ANAO Annual Report 2022–23. A high-level summary of 2022–23 emissions is set out below.

Engagement

In the development of this plan, the ANAO has consulted with or used information provided by:

• the Department of Finance — to ensure that this plan aligns with the Net Zero in Government Operations Strategy and the Commonwealth Climate Disclosure requirements; and
• Evolve FM — the entity responsible for providing facilities management services and emissions data to the ANAO.

Priorities and actions

For the ANAO to contribute to the achievement of the APS Net Zero 2030 target, continued efforts on existing emissions reduction measures, and the introduction of further or new measures, is required. These actions are summarised in the following points, with further detail provided below:

• Working with the building owner to improve building and fit out.
• Procuring renewable electricity.
• Encouraging low emissions sources of travel.
• Procuring sustainable goods and services.
• People, culture and capability initiatives.

Buildings and fit-out

The ANAO has a Green Lease Schedule on its existing tenancy, which includes the obligation to undertake an annual tenancy rating under NABERS. In July 2024, the ANAO’s tenancy was rated against the NABERS indicators and achieved a 6‐star rating, which exceeds current policy requirements for the area leased by the ANAO.

Ongoing emission-reduction and environmental sustainability actions related to the ANAO’s building and fit-out include:

• Use of energy efficient lighting where possible and appropriate.
• Regularly maintaining HVAC systems to ensure efficient operation.
• Enabling power-saving features on office equipment.
• Operating building heating and cooling systems at set times which align to core work hours.
• Operating supplementary heating and cooling systems on a timer to minimise unnecessary use.
• Turning off non-essential equipment when not in use.
• Reusing office equipment and fit-out materials, where possible, for new office fit-out activities.

Some of these actions are taken in collaboration with the building owner. The ANAO will continue to work with its building owner to identify relevant opportunities to reduce the ANAO’s emissions resulting from its operations. This recognises that building and fit out impact electricity consumption and related emissions.

Renewable electricity

Electricity usage contributes to the largest source of emissions for the ANAO’s operations (Scope 2). Incorporating more renewable energy into the ANAO’s energy usage profile will be an important component of reducing emissions under this plan.

To achieve this, the ANAO plans to participate in the whole of Australian Government renewable electricity purchasing arrangement currently being established by the Department of Finance.

Currently, electricity consumption within the office is minimised through the use of energy efficient devices and behaviours including motion-activated lighting to reduce power consumption and window coverings to maximise thermal efficiency.

Travel

Travel accounts for just over a third of the ANAO’s recorded greenhouse gas emissions.² Travel is undertaken by ANAO staff and contractors to support the conduct of audits and to attend audit-related activities such as audit committee meetings.

The ANAO requires staff to comply with existing travel policies that enable and encourage staff to minimise travel. Travel minimisation strategies include the use of virtual meetings, combining meetings and taking direct flights if possible. This approach aligns with whole-of-Australian-Government travel policies which state that travel must only be undertaken where other communication tools such as teleconferencing and videoconferencing are not suitable.

Procurement

The ANAO’s approach to procuring goods and services is consistent with — and reflects the principles of — the Commonwealth Procurement Rules (CPRs). The CPRs were revised in July 2022 to include climate change impacts when considering value for money. The ANAO will continue to take action to ensure that environmental sustainability is a consideration when assessing value for money through procurement.

Emission reduction actions that the ANAO will continue to undertake through procurement include the purchasing of nominated environmentally sustainable stationery products such as paper for printers.

People, culture and capability

The ANAO recognises that people, culture and capability play an important role in the implementation and success of emissions reduction measures. As recommended under the Strategy, a Chief Sustainability Officer has been identified within the ANAO at an appropriate level to be able to champion emissions reduction initiatives. The Department of Finance has indicated that it will establish a chief sustainability officer network and the ANAO intends to participate in this network.

The ANAO continues to take action to reduce its emissions through people, culture and capability related initiatives including:

• Providing recycling bins throughout the office and educating employees on proper recycling practices.
• Encouraging the minimisation of printing and configuring office printers in a way that reduces the use of consumables such as toner.
• Purchasing office supplies in bulk to reduce packaging waste and transport movement.
• Encouraging staff to switch off lights in vacant meeting rooms.
• Working with the building owner on the provision and maintenance of end-of-trip facilities to encourage active travel.