Some businesses express reluctance when it comes to embracing the path to a cleaner energy future. They see nothing but dollar signs. However, a recent case study by the Environmental Defense Fund (EDF) Climate Corps demonstrates that it is possible to get into a “virtuous cycle” of energy efficiency that pays dividends for both the company’s bottom line and the environment.
EDF Climate Corps is a great program that matches either specially-trained MBA (Masters in Business Administration) or MPA (Masters in Public Administration) students as summer fellows with companies, cities and universities interested in achieving energy efficiency to cut costs and greenhouse gas emissions. Since 2008, the program’s fellows have built business cases for smart energy investments. The end results are lighting, computer equipment and heating and cooling system efficiencies that can cut 1.6 billion kilowatt hours of electricity use and 27 million therms of natural gas annually, equivalent to the annual energy use of 100,000 homes; avoid over 1 million metric tons of CO2 emissions annually, equivalent to the annual emissions of 200,000 passenger vehicles; and save $1 billion in net operational costs over the project lifetimes.
The Virtuous Cycle of Organizational Energy Efficiency has five components: executive engagement; resource investment; people and tools; identification, implementation and measurement; and results and stories. According to EDF, the virtuous cycle is a model of change for energy efficiency across even extremely different organizations.
The business profiled in the case study is Diversey, which is a subsidy of Sealed Air. Diversey entered the virtuous cycle of energy efficiency by establishing a public commitment to reduce its greenhouse gas emissions from operations to eight percent below 2003 levels by 2013. This was also the initial component of the virtuous cycle, executive engagement.
Once Diversey’s leaders committed, policies from the top down required that energy efficiency projects produce a positive return on investment in a payback period of three years or less. This criterion allowed Diversey to invest $19 million, and yield $32 million in cash savings over the life of the program in order to reach their emissions reduction goals.
Because the goals and criteria were clearly articulated, Diversey’s ability to measure success was also positively impacted. In fact, Diversey’s environmental health and safety department received a 40 percent year-on-year budget increase, which is significant because all other divisions of the company at the time were undergoing a 50 percent budget cut. This was due to the capacity to produce data that demonstrated energy project performance. According to the report, plant managers were also engaged and incentivized to implement efficiency measures due to centralized capital budgeting.
This is all to say that there are easy and affordable ways for businesses to invest in a commitment to combat climate change that is both good for the company and the environment. Saving money is always in style; simply combine that goal with one of reducing greenhouse gas emissions and you’ll be maximizing the good you can do.
Carbonfund.org Foundation Welcomes Macmillan Publishing to the Large Business Partnership Program.
Macmillan is a group of publishing companies in the United States held by Verlagsgruppe Georg von Holtzbrinck, which is based in Stuttgart, Germany. American publishers include Farrar, Straus and Giroux, Henry Holt & Company, W.H. Freeman and Worth Publishers, Palgrave Macmillan, Bedford/St. Martin’s, Picador, Roaring Brook Press, St. Martin’s Press, Tor Books, and Macmillan Higher Education.
As a key component of its sustainability initiative, Macmillan has set a goal to reduce the CO2 emissions generated by its annual business activities by 65% (over a 2009 baseline) by the year 2020. This includes the carbon emissions mitigation through Carbonfund.org including supporting renewable energy, forestry and biodiversity preservation.
Macmillan is well on track toward realizing this ambitious goal through the programs and actions undertaken to date. Some examples are:
- Rationalizing sourcing of paper based on the CO2 profile of the various mills that manufacturer the specific grades that Macmillan uses in printing its books.
- By mid-2013, completing the 3-year transition of their car fleet to 90%+ hybrid vehicles which will result in a reduction of over 800 metric tons of CO2 emissions per year from associated fuel savings.
- Significant investment in lighting retrofits at distribution/returns facilities that are 45-50% more energy efficient than the replaced configurations.
“Sustainability is part of the very mission of our company. Not just as a press release, not just around the edges, but in the very fabric of the place. It is as important as growth, as important as profitability. It may even be more important."
“While we’ve made great headway in reducing emissions in those areas under our immediate control, we know it will take a longer horizon to gain the required savings in areas where we wield influence, but cannot drive change just by force of will. That’s why we have pursued a partnership with Carbonfund.org to mitigate our total annual emissions by offsetting approximately 25% of that total through our sponsorship and support of several of the creative, verified, and geographically diverse programs that they administer,” says John Sargent, CEO of Macmillan.
Macmillan sets an important example for the publishing industry in both internal and external carbon reduction initiatives.
About Macmillan (http://us.macmillan.com)
The proliferation of killer whales bred in captivity, on display in aquariums and public performances, and in Hollywood movies over the past thirty years has spurred the interest in killer whale watching in the wild. Yet the worldwide population of Orcas has been difficult for researchers to assess, and the species is threatened by depletion of the global fish population, oceanic pollution, large-scale oil spills, and habitat disturbance caused by noise and conflicts with boats, including whale watching tour operators.
Organizations such as the Pacific Whale Watch Association has helped by establishing strong memberships and specific guidelines for whale watching tours that help to protect both the whales and the tour groups seeking the memorable experience of watching Orcas in the wild.
In a stronger step towards developing environmentally-responsible tour operations, Carbonfund.org is pleased to announce a new partnership that brings carbon neutral whale watching to the Vancouver Island area. Carbonfund.org has recently partnered with Eagle Wing Tours, a locally owned and family operated marine adventure eco-tourism company based on Vancouver Island, to create Canada’s first carbon neutral whale watching experience. Eagle Wing Tours assessed the full estimated annual carbon emissions from its whale watching tour operations and established a carbon mitigation program through Carbonfund.org by supporting our carbon reduction and clean energy technology projects. This carbon neutral program is the final step in Eagle Wing Tours’ Go Green Whale Watching Program.
“We are trying to redefine what a wildlife tour company is. Spotting that whale is the cherry on top of an all ready very comprehensive marine experience,” explains Brett Soberg, Co-Owner and Captain at Eagle Wing Tours. “What we can do to protect these species by supporting education, conservation and responsible business is where we really count. We selected to support Carbonfund.org due their non-profit designation which supports our 1% For the Planet membership.”
Carbonfund.org encourages eco-tourism companies to carefully monitor their environmental impact and to mitigate harmful emissions by investing in energy efficiency and renewable energy innovation, and supporting forestry and habitat preservation. We are pleased to welcome Eagle Wing Tours to join our eco-tourism partners in these efforts.
Producing environmentally-conscious clothing is a complicated and often vexing challenge for “green” clothing manufacturers. Certainly, conventionally-grown cotton has been clearly identified as one of the world’s “dirtiest” crops, consuming 10% of the world’s pesticides and 25% of the world’s insecticides, according to the Pesticide Action Network North America. Synthetic fabrics are, well, just that – synthetics, made from petro-chemicals, releasing large quantities of nitrous oxide and carbon dioxide, and producing toxic waste water, in their manufacturing processes, and are not biodegradable.
Despite “cleaner” fabric choices, clothing manufacturers face additional unavoidable carbon emissions in the growing, harvesting and refining of raw materials, the clothing manufacturing process, and the ultimate shipping and delivery of their products. Carbonfund.org’s emission neutralization strategies help environmentally-responsible producers to mitigate these operational emissions by supporting renewable energy development and carbon reduction projects around the world.
One of Carbonfund.org’s long-time CarbonFree® Business Partners, ONNO Textiles, produces its socially-responsible t-shirts using sustainable fibers from bamboo, hemp and organic cotton. Their website provides great information about the fabrics used to make their more sustainably produced shirts.
But ONNO Textiles recognized the harmful environmental impact of their overall production and delivery processes. They manufacture their apparel overseas, and move raw materials and finished product all over the globe. To balance the resulting environmental harm, ONNO Textiles has partnered with Carbonfund.org for the past five years to neutralize their operational emissions by supporting our renewable energy technology and carbon reduction initiatives around the world. This long-term commitment to carbon emissions mitigation through investment in clean air projects makes the CarbonFree® partnership between ONNO Textiles and Carbonfund.org a great example of true operational sustainability.
Five years ago the CEO of News Corporation, Rupert Murdoch, claimed that news coverage of climate change in his media outlets would improve gradually. However, a recent study indicates that not only has that not happened, but that the preponderance of climate change information on Fox News primetime and in the Wall Street Journal’s opinion page is overwhelmingly misleading.
The Union of Concerned Scientists (UCS), a science-policy nonprofit, analyzed six months of global warming discussions on Fox News primetime programs (February 2012 to July 2012) and one year of Wall Street Journal op-eds (August 2011 to July 2012). UCS found that climate science was inaccurately covered in 93 percent of Fox News primetime programs and 81 percent of Wall Street Journal editorials.
The analysis found denial that climate change is caused by humans, dismissals of climate science as a legitimate science, and derogatory comments about select scientists. The worst part is that this misleading coverage encourages scientific distrust and portrays climate change as a left-wing idea, rather than based on scientific facts.
How many people are misled about climate science by these media outlets? Well the number is in the multi-millions. In 2011, Fox News Channel (FNC) was the United States’ most popular cable news channel. During prime time, FNC reaches a median of 1.9 million people plus. The Wall Street Journal has over 2 million daily readers and the largest circulation among American newspapers.
There is nothing wrong with fully examining and debating the merits of policies aimed at addressing climate change. However, it is ludicrous and irresponsible to deny the overwhelming body of scientific evidence that climate change is man-made and happening right now.
The analysis shows that sadly these media groups continue to waste time and effort that could be put to better use in combating climate change. Readers of this blog already know that global warming is man-made and many are putting their energies toward what they can do about it by supporting organizations such as Carbonfund.org. These climate change leaders seek out quick and affordable ways for individuals and businesses to calculate and offset the carbon emissions they generate.
The science is clear. Invest in renewable energy sources and support reforestation projects because the time is now to build a clean energy future.
Part of an effectively designed corporate social responsibility program is to address the interests and concerns of the clients, customers and employees of the company. The fitness industry has recognized that its customers and employees seek out businesses that share their commitment to social responsibility and environmental sustainability, but not all have addressed these concerns.
Carbonfund.org partner HealthCare International (HCI), a leading supplier and distributor of innovative products for health, wellness, fitness and active aging, took action by implementing a program to assess and neutralize the environmental impact of its annual operations. Since 2008, HCI has measured and offset all carbon emissions associated with the energy used in its manufacturing, packaging, transportation and operational aspects of their business through their CarbonFree® Partnership program. This commitment places HCI as an environmental leader in the fitness industry and demonstrates proactive steps in the fight against global climate change.
In order to neutralize its annual operational emissions, HCI has made itself carbon neutral by supporting Carbonfund.org’s carbon reduction projects which are helping to build renewable energy sources, develop reforestation projects and invest in energy efficiency technology worldwide. Considering the implications of climate change, maintaining a carbon emissions mitigation program through Carbonfund.org is a natural extension of the work HCI does in improving the health and wellness of its customers and employees.
Glenn Safadago president of HealthCare International comments, “Collectively, the fitness industry has not made an effort to reduce its impact on the environment. Our goal is to be the first company in the fitness industry to be considered a “green” manufacturer.” We commend HCI for their leadership position in fitness industry sustainability and are proud to partner with them in these ongoing efforts.
According to data recently uncovered from the Energy Information Agency, electricity coming from non-hydroelectric renewable sources (solar, wind, geothermal, and biomass) has doubled in the U.S. to almost 6 percent in a scant four years’ time.
It’s a bit surprising that this significant fact hasn’t been splashed all over the news. Businesses are portrayed as not believing clean energy is worth the investment, but that is simply not true for all. Some companies see the wisdom and fiscal prudence in planning for climate change. The press appears to focus more on manufacturing problems in the sector.
While it is true that the green manufacturing industry is experiencing some growing pains, take solar panel makers for example, it’s worth noting that the green industry is growing overall, and quickly too. China made enormous investments in solar, and they are the face of rising competition. They’ve brought down the price of panels by 65 percent in a mere 18 months. So this leads to fewer and bigger solar manufacturers, which is what happens in all mature industries. However, the explosion of growth in the solar industry comes from the businesses that sell, install, and maintain solar.
Perhaps renewable energy seems like small potatoes since it’s only a fraction of total electricity generation. But the magic is in the industry’s potential for exponential growth. If non-hydro renewables were to double three more times, they would provide nearly half of US electricity needs. That’s more than we get from coal or natural gas right now.
The renewable energy industry’s growth is not just limited to the U.S. either. Countries such as Portugal and Germany have transformed their power grids to generate 25 – 45 percent of their electricity needs from renewable sources.
The big question is if non-hydroelectric renewables can continue to double every four years? Well let’s start by taking a look at what kind of growth would be required to do so. Non-hydro renewables need 19 percent annual growth in order to double every four years. Some sectors grow that much or more. According to the Solar Energy Industries Association, the solar sector is growing 30 percent annually.
The bottom line is that the payback time for investing in renewable energy is getting faster every day. Wise homeowners, businesses, and governments are ahead of the curve because they see that the future is in renewable sources.
Global warming currently cuts into the planet’s Gross Domestic Product (GDP) by 1.6 percent annually. This translates into $1.2 trillion, and the number is expected to double to 3.2 percent by the year 2030 if carbon dioxide emissions aren’t curbed.
According to the “Climate Vulnerability Monitor: A Guide to the Cold Calculus of a Hot Planet” report, the costs of inaction far outweigh the costs of taking on climate change. The report estimates reducing emissions at a cost of 0.5 percent GDP over the next 10 years.
And if money isn’t motivation enough, take a look at the almost 5 million deaths annually due to climate change. The report estimates it causes an average of 400,000 deaths each year, mainly from hunger and contagious diseases, plus an additional 4.5 million deaths annually from related global warming causes such as air pollution, dangerous occupations in the fossil fuel industry, and cancer.
The average of 3.2 percent losses to global GDP disguises the plight of poorer, developing nations who are disproportionately affected. The estimate for these countries, such as Bangladesh, for example, is an average of 11 percent of GDP by 2030. This is not to say that major economies avoid the effects either. China alone is estimated to lose more than $1.2 trillion in less than 20 years. By 2030, the total economic losses for the United States, India, and China will reach $2.5 trillion. According to the report, these three nations also will suffer over 3 million deaths annually, or half of all deaths.
A report released in July by the European Commission Joint Research Centre and PBL, the Netherlands’ environmental assessment agency calculated that last year global carbon dioxide emissions reached their highest point ever at 34 billion metric tons.
It’s time to tackle climate change now to reverse this scary trend and save lives. The price tag for doing nothing is too high.