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Friday, April 26, 2013

Walmart Sets New Energy Goals, Lacks Water Targets and Comprehensive Electronics Recycling

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Walmart added nearly 100 renewable energy projects in 2012 for a total of more than 280 globally, a company sustainability executive said April 24.

Renewable energy currently provides 21 percent of Walmart's electricity worldwide, according to the company's sustainability report, which it released April 22. As of mid-2012, Walmart had the most installed onsite solar capacity and number of solar projects among U.S. companies, according to the Solar Energy Industries Association.

The company set a goal in 2005 to eventually be 100 percent powered by renewable energy. It made two new commitments April 15 to increase both energy efficiency and its portion of electricity from renewable sources to move it closer to that goal.

Two New Goals.

Of the goals set April 15, the company promised to generate or procure at least 7 billion kilowatt-hours of electricity from renewable sources annually by 2020, compared to 1 billion annually today, said Andrea Thomas, senior vice president for sustainability. Thomas was participating in a Twitter chat April 24 about the company's latest sustainability report.

The company plans to increase its use of renewable energy by installing more wind, solar, and fuel cell projects, Thomas said. It will also procure offsite renewable energy from large-scale wind projects, micro-hydro projects, and geothermal. The increase in renewable energy use is expected to avoid 9 million metric tons of greenhouse gas emissions a year and save Walmart $1 billion in energy costs annually, the company said.

Walmart set a separate goal to reduce building energy intensity, or use per square foot, by 20 percent by 2020, Thomas said. The company plans to meet this goal byincreasing its use of LED lighting in sales floors, parking lots, and elsewhere; installing more efficient HVAC and refrigeration systems; and using smart building control systems.

Thomas said the company is on track to meet its commitment to use only sustainable palm oil in Walmart brands by 2015. Currently, 22 percent of the company's global palm oil comes from sustainable farms. "It's amazing the number of products that have #palmoil in them," Thomas tweeted. Palm oil is a vegetable oil that is used in a variety of products, including margarine, chocolate, soaps, and cosmetics, according to the Roundtable on Sustainable Palm Oil. It is found in about half of packaged foods, the organization says.

Questions on Water Targets.

An individual asked during the Twitter chat why Walmart hasn't set water consumption reduction targets. Thomas said the Walmart sustainability index includes water as an important factor to manage in its supply chain.

Water is listed in the sustainability index for certain product categories, such as adult beverages, but the index is currently used by Walmart buyers to start conversations with suppliers about increasing the sustainability of their processes and products, rather than used to set standards suppliers must comply with to continue to sell to Walmart.

Another participant in the chat asked for concrete examples of Walmart suppliers changing their practices due to the sustainability index. Thomas pointed to a decision made by a Walmart buyer during holiday season 2012 to buy only laptops with a default energy setting that led to energy savings.

Pushed on Electronics Take Back Program.

A number of organizations asked Walmart why it has not started a comprehensive electronics takeback program like Best Buy. Walmart is the second largest electronics retailer in the United States after Best Buy.

Thomas pointed to a portion of the company website that discusses its takeback program, http://t.co/S5osrRQba3, but the site states that Walmart accepts only Samsung electronics and former private Walmart electronics brands. The coalition tweeted, "[T]hat link clearly shows that WM has no takeback program for all the stuff you sell. You need to do your part." The organization later tweeted to an event organizer, "We didn't get a real answer to Q12 on why # walmart won't collect e-waste for # recycling at its stores like BBY."

 

 

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