Case Studies

Nando’s

The Objectives

Nando’s is a worldwide chicken restaurant group. The first Nando’s restaurant was opened in 1987 in Johannesburg, South Africa and today there are Nando’s restaurants on five continents around the globe. In order to understand the energy consumption of its business, improve operating efficiency, cut costs and reduce its environmental impact, Nando’s commissioned GCX to conduct  an energy audit of its operations. The key objectives were to identify areas of energy and resource wastage as well as conservation potential.



"The journey towards energy efficiency and a minimized carbon footprint is a long and arduous one which cannot be traveled alone. To Nando’s it was imperative not only that  we partner this journey with someone who knows the road, but also who understands  our business and our values, and who  shares our passion. Several green initiatives and consultancies were considered before deciding to partner with Global Carbon Exchange (GCX). Our relationship with GCX is dynamic and inspiring, and we believe that with their global expertise and our opportunities, it is a match made in  (a greener) heaven! Rochelle Schaetzl, Research and Development" -  Director for Nando’s Corporate Services.

The Process

This was a pilot project using two representative Nando’s sites in Johannesburg; Site X, a mall-based site, and Site Y, a free-standing restaurant. The audit was conducted according to international best practice methodologies. The assessments were carried out using on-site investigation, spot measurements, interviews and billing history. In addition, data loggers and a power analyser were used to establish the electricity consumption profile at both the main incomer and some selected
downstream circuits. In this way an understanding of the production process flow, electricity and gas reticulation systems as well as strategic issues concerning energy management were established. The energy consumption at the sites was analysed to determine how much energy is used, where it is being used, and how much it
costs. Further calculations showed the cost savings that could be achieved by improving energy efficiency for each of the main areas of energy expenditure.

The Results

A summary of overall energy performance and transport costs and implications for both sites is shown below.

Energy intensity comparison



The above analyses show the following:

  • Both restaurants use almost the same amount of electricity. Site X uses slightly more electricity per customer but makes more turnover per unit of electricity used than Site Y.
  • Site Y’s gas consumption is higher and less efficient than Site X.
  • Whilst Site X generates less carbon emissions overall than Site Y, per customer it produces 22% more CO2e indicating some inefficiency in operating procedures.

Detailed analysis of the electricity usage profile showed that both sites have:

  • A peaky profile during the day indicating that with effective load management less power could possibly achieve the same output;
  • A base load and energy consumption at night (due to chillers, refrigerators and geysers) which could potentially be reduced;
  • Inefficient and possibly dated electrical cooking equipment.
With the use of advanced modelling tools and assuming the introduction of simple energy efficiency measures, the following electricity cost savings were estimated:

 

Finally, the energy audit highlighted that for both Nando’s sites:

  • No energy management system with objectives and targets is in place;
  • Electricity and gas readings are not recorded and monitored.

A basic environmental impact assessment was also conducted to identify resource demand and wastage in other areas of the business - in particular, water, waste and fuel-related emissions from transport.

A carbon footprint analysis was undertaken to show the carbon impact of the various appliances used at the restaurants. Both sites have a similar footprint, the main difference being the addition of transport-related emissions at Site Y for deliveries and staff transportation. The recommendations suggest targeting specific high-impact items so that bigger carbon, energy and financial savings can be achieved.
 

The Recommendations

The findings suggest that considerable savings could be achieved at both mall-based and freestanding Nando’s sites. On a large scale these savings could prove to be significant for the Nando’s group. It is thus recommended that an energy audit be carried out for the whole Nando’s group.

Some of the other specific recommendations proposed were as follows:

  • Introduce a formal Environmental Management System (EMS) for recording and monitoring electricity and gas usage as well as other resources like water, waste and transport/fuel usage;
  • Establish a prioritised list of energy management measures for implementation;
  • Invest in technological installations at operational level which target specific highimpact items to maximize resource, carbon and financial savings. For example: - Install electricity load management devices; - Install thermostat timers on chip fryers to cut idle time;
    -  Install geyser timers so geysers only operate during working hours;
    -  Replace energy-inefficient appliances (particularly electrical cooking equipment and chip fryers) with energy-star rated ones, and ensure that all new appliance purchases are energy-star rated.
  • Implementation of a company-wide campaign to educate staff about energy efficiency in the workplace. For example: quantifying the savings to be achieved by turning electrical cooking equipment down or off during slow periods, keeping electrical cooking equipment and refrigerator doors closed, switching off lights, air-con etc when not required. GCX to supply visual signage to be strategically positioned in the workplace as a reminder to staff as they use these appliances. This campaign can also be extended to include broader environmental areas such as water conservation and recycling.

The Future

The assessments evaluated performance, identified the costs associated with current resource demand and also highlighted areas of resource wastage and conservation potential. To maximize savings, the recommendations given can be rolled out to the entire Nando’s group in an overarching Environmental Management System. Not only will this lead to significant and ongoing cost savings, but GCX believes that this and any further assessments will provide a sound basis for reducing Nando’s environmental impact globally.