Walking the Walk: Companies Lead the Call for New Clean Truck Standards

A number of America’s most iconic brands helped pave the way for the new Clean Truck standards announced August 16th by the U.S. EPA and DOT. Nearly 400 companies, large and small, publicly urged strong, final fuel efficiency and greenhouse gas standards for heavy trucks.

Through their action, these companies have reaffirmed a basic truth of business today: to be a “leader”, companies must align their sustainability goals and strategies with their external engagement on policy.

Tom Murray, VP, Corporate Partnerships Program

Tom Murray, VP, Corporate Partnerships Program

While there are many differences as to how these 400 companies intersect with heavy trucks—manufacturers make the trucks, fleet owners drive the trucks, brands hire the trucks to move their goods to market—they are all unified by one resounding theme: cleaner trucks are better for their business, better for our health and better for the planet.

Indeed, common-sense efforts to cut climate pollution have gone mainstream in business. Earlier this year Microsoft, Google, Amazon, Apple and others raised the bar on corporate climate leadership by standing up for the clean power plan. Colgate-Palmolive, Hewlett Packard Enterprise, Nike, Starbucks and over 100 other companies built on this trend by urging “the swift implementation of the Clean Power Plan and other related low-carbon policies so that we may meet or exceed our promised national commitment and increase our future ambition.”

But this corporate support of the clean truck standards goes even further: it’s another step in the evolution of corporate climate leadership. This is beyond simply supporting good policy; a number of these companies are actively shaping it to deliver significant sustainability benefits. Among the companies that distinguished themselves in this effort are:

  • PepsiCo: the largest private fleet in the U.S. led the way in demonstrating the alignment between its sustainability objectives and its policy advocacy through an op-ed, and expert testimony.
  • Walmart, the 3rd largest private fleet in the U.S., was highly proactive and constructive in its engagement on the clean truck phase two program, supporting it with public statements, and expert commentary.
  • Cummins, FedEx, Eaton, Wabash National, Conway, and Waste Management joined PepsiCo in the Heavy Duty Leadership group that urged the EPA and DOT to: “Achieve Significant Environmental, Economic and Energy Security Benefits.”
  • Honeywell, Achates Power and a number of other innovators made clear that they were ready to meet the challenge of building more fuel efficient trucks.

There were hundreds more examples like these—each one of them a proactive leadership action that demonstrates the new frontier for corporate leadership.

Securing these protections was a real team effort.  The Pew Charitable Trusts organized a letter of support for strong standards signed by IKEA, Campbell’s Soup, and many others. Ceres brought forward a strong statement from General Mills, Patagonia and more. The Union of Concerned Scientists articulated how strong rules would benefit leading fleets, including UPS, Coca-Cola and Walmart. Together, these efforts marshalled an unprecedented level of corporate support for a critical piece of climate policy.

So, if your company is among the now hundreds of companies actively advocating for strong climate protection measures, thank you. We look forward to your continued leadership and engagement on other critical advances, including implementation of the Clean Power Plan and moving forward with reductions in methane emissions. We want to work with you to shape protective policies that also make business sense.

If, however, your company is still stuck at talking the talk, it’s time to start walking the walk when it comes to supporting common sense measures like the Clean Trucks program.

You’re falling behind the leadership pack in the one of the world’s most important races.

New Clean Trucks program: Business, Consumers and the Planet all Win

Across America, companies have reason today to celebrate an important step to drive cost and emissions out of their supply chain. The U.S. EPA and U.S. Department of Transportation unveiled new fuel efficiency and greenhouse gas standards for heavy trucks. Once fully implemented, the new standards will cut over a billion tons of climate pollution and save hundreds of millions of dollars by 2035.

Jason Mathers, Senior Manager, Supply Chain Logistics

Jason Mathers, Director, Supply Chain

Every business in America stands to benefit.

Why? Because every business in America relies, in some form, on trucking services. Product manufacturers need trucks to get goods to market. Service and knowledge companies depend on trucks to deliver equipment and supplies. Retailers utilize trucks in distribution.

Retailers and consumer brands are among the top winners of strong fuel efficiency standards, as these companies account for a lot of freight movement. Companies that have undertaken detailed carbon footprint analysis often find, as Ben & Jerry’s did, that freight transportation can account for upwards of 17% of their total impact.

The new fuel standard means continued progress in tackling this significant source of emissions. This progress will reveal itself in lower carbon footprints for every product brought to market. It will be apparent through lower freight and fuel surcharge fees – saving large consumer brands millions annually. Read more

Is Walmart a Leader on Safer Chemicals?

Consumers want to know that the products they buy contain ingredients that are safe for them and their loved ones. EDF has identified five pillars of leadership to help companies meet that demand and in doing so build consumer trust in the products they make and sell. One company that has recently taken major steps to drive safer chemicals and products into the market is Walmart.

In 2013, Walmart published its Sustainable Chemistry Policy, which focuses on ingredient transparency and advancing safer product formulations in household and personal care products. EDF worked with Walmart as it developed its policy and has advised the company during implementation and data analysis. This past April, Walmart announced that the company achieved a 95% reduction in the use of high priority chemicals of concern. Now, Walmart has shared considerable additional information detailing the progress made, including the identities of the high priority chemicals.

In our previous blog, we broke down the wealth of information that Walmart has shared. However, to fully evaluate the significance of the numbers, we now look at how well Walmart has done against EDF’s five pillars: institutional commitment, supply chain transparency, informed consumers, product design, and public commitment.

Read more

Product Ingredients at Walmart Changed for the Better. Really.

It’s whack-a-mole time.

In April, Walmart released their 2016 Global Responsibility Report. In it, they noted a 95% reduction by weight in the approximately ten high priority chemicals in home and personal care products covered by their 2013 Sustainable Chemistry policy. Ninety-five percent is a big number, but the substance – the chemical names, the volumes – was missing.

No longer.

Today, Walmart released the names of those high priority chemicals, with details as to how the reductions were achieved. The chemicals – butylparaben, propylparaben, dibutyl phthalate, diethyl phthalate, formaldehyde, nonylphenol ethoxylates, triclosan, and toluene – will not come as a surprise to most who work on these issues; these chemicals have been called out for action by many for quite some time.

Scale_Blog-Graphic

If this announcement is met like most environmental stories told by corporations, the mole-whacking will commence shortly. WHACK! Why these chemicals and not those? WHACK! What took so long? WHACK! What about everything else? While companies that do nothing will stay in the shadows, those like Walmart trying to drive needed change usually get whacked for what they haven’t done already.

And of course a lot still remains to be done.

But this story is a good one, and Walmart deserves credit for what they have accomplished. Walmart is the one company in the world that could drive drive over 11,500 tons – 23 million pounds – of chemicals out of so much product in less than 24 months.

Read more

Major Strides: Walmart Details Progress on Chemicals

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In 2013, Walmart published its Sustainable Chemistry Policy, which focuses on ingredient transparency and advancing safer product formulations in household and personal care products. EDF worked with Walmart as it developed its policy and has advised the company during implementation and data analysis.

This past April, Walmart announced that the company achieved a 95% reduction by weight in the use of high priority chemicals of concern. Today, Walmart shared considerable additional information detailing the progress made, including the identities of the initial high priority chemicals. Let’s unpack this.

Revisiting Walmart’s Sustainable Chemistry Policy

Broadly speaking, Walmart made three commitments in its 2013 policy:

  1. to increase transparency of product ingredients,
  2. to advance safer formulations of products, and
  3. to attain U.S. EPA’s Safer Choice certification [formerly Design for the Environment] of Walmart private brand products

The policy, which went into effect in January 2014, focuses on formulated household cleaning, personal care, and beauty products, sold at Walmart U.S. and Sam’s Club U.S. stores. A few months after releasing the policy, Walmart published a policy implementation guide that gave suppliers greater specificity as to Walmart’s expectations and, importantly, outlined the quantitative metrics Walmart would use to track and report progress.

How Walmart has fared so far

  1. “Transparency”:

Walmart’s policy requires its suppliers to be more transparent about the ingredients in their products in two ways. First, Walmart requires suppliers to submit “full product formulations” – the names and concentrations of all ingredients in a product – to WERCSmart, a 3rd party- managed product ingredient database. WERCSmart provides the retailer with aggregate information about the types and quantities of chemicals in the products on its shelves without divulging specific product formulation data.

Second, the policy requires suppliers to increase ingredient transparency to consumers by calling for disclosure of product ingredients online starting in 2015. Further, any Priority Chemical found in a product must be disclosed on the product’s packaging starting in 2018. Priority Chemicals (PCs) are Walmart’s designated chemicals of concern, drawn from 16 reputable regulatory and authoritative lists.

To track the first requirement, Walmart determined the number of products whose ingredients are fully accounted for in the WERCSmart database. According to the data, 94% of the product formulations are full formulations. This suggests that the other results Walmart presents today are based on real data.

To track ingredient transparency to consumers, Walmart polled suppliers about their online disclosure practices using the Walmart Sustainability Index, its annual environmental issues survey sent to suppliers. In 2015, 78% of respondents reported they disclose ingredients online for all their products. Walmart also breaks down the responses  in more detailed ways, such as by department.

  1. “Advancing safer formulations of products”:

The bulk of Walmart’s policy focuses on providing safer products to customers by calling for the “reduction, restriction, and elimination” of Priority Chemicals (PCs), and for product reformulations to be undertaken using “informed substitution principles.” Because the list of PCs includes hundreds (if not thousands) of chemicals — as evidenced by Walmart’s reference list of regulatory and authoritative lists used to define its PCs — Walmart focused its suppliers’ attention on a shorter list of High Priority Chemicals (HPCs).

Today, Walmart identified the HPCs as propylparaben, butylparaben, nonylphenol ethoxylates (NPEs), formaldehyde, dibutyl phthalate, diethyl phthalate, triclosan, and toluene. These eight chemicals and chemical classes appear on a number of authoritative lists (e.g. EU REACH Substances of Very High Concern) for their hazardous properties and are worthy of action by Walmart. The revelation of the identities of the chemicals was long-awaited and provides context to the rest of the information Walmart shared today.

To assess the portion of its chemical footprint[1] related to product sales covered by the policy, Walmart has measured progress in two ways: (i) the total weight of HPCs contained in products sold, i.e. pounds of HPCs going out the door, and (ii) frequency of use, i.e. the number of products on store shelves that contain HPCs and the number of suppliers using HPCs in their products. Walmart relied on RetailLink, its internal product inventory database, and WERCSmart, mentioned earlier, to make these calculations. Walmart has also computed and published this data for all Walmart PCs in the covered product categories.

Walmart reports a dramatic reduction in the total weight of PCs and HPCs going out the door. The total weight of HPCs dropped by 95% and PCS by 45%.  The more than doubling of reduction of HPCs suggests that focusing attention on a subset of chemicals accelerated action.

Walmart attributes part of the success to its ability to determine which select set of suppliers used the majority (in pounds) of HPCs. This illustrates the utility of a product ingredient database that can provide aggregate information by supplier while not disclosing proprietary information.

As it relates to progress made in reducing the frequency of use of HPCs, the results were far more modest.  Unfortunately, it appears that suppliers who use HPCs are largely still using them, though the aggregate mass has dropped. Overall, the percent of products containing HPCs dropped by only 3 percentage points (to 16%), while the percent of suppliers using HPCs increased slightly (to 39%). Meanwhile, the percent of products containing any Priority Chemical actually went up one percentage point (to 80%).

So while the weight amount of HPCs, and PCs more broadly, has dropped significantly, there is clearly much more work to be done to achieve complete elimination of these chemicals.

  1. “Safer Choice [formerly Design for the Environment] in private brands”:

Lastly, Walmart committed to increase the number of private brand product offerings bearing Safer Choice certification. As discussed in our recent blog, the Safer Choice Program is a voluntary program implemented by the U.S. EPA that seeks to recognize and bring consumer awareness to products that are leading the way when it comes to safer ingredients. This is the only commitment for which Walmart has not released quantitative data. The company reports that it has hit snags in making progress against this target but is still committed to the program.

Conclusion

Overall, Walmart has made major strides regarding the commitments set forth in its policy. Equally notable, it has set in place effective systems to measure and track progress over time – an ability that can’t be underestimated.

In our next post, we’ll assess where Walmart’s progress rates against EDF’s five pillars of leadership for safer chemicals in the marketplace.


[1] As defined by the Chemical Footprint Project, a chemical footprint is “the total mass of chemicals of high concern in products sold by a company, used in its manufacturing operations and by its suppliers, and contained in packaging.”

Further Reading:

Clean Trucks: Much Needed and Ready to Deliver

There was some good news from the U.S. Energy Information Agency recently. It found that the Clean Trucks program, which is expected to be jointly finalized this summer by the Environmental Protection Agency (EPA) and the Department of Transportation (DOT), will deliver huge carbon emission reductions.

"Kenworth truck" by Lisa M. Macias, U.S. Air Force via Wikipedia

The Clean Trucks program is designed to improve fuel efficiency and reduce greenhouse gas pollution from the freight trucks that transport the products we buy every day, as well as buses, heavy-duty pickup trucks and vans, and garbage trucks. The program’s first performance standards went into effect in 2014. The EPA and DOT are currently developing a second phase of performance standards. Strong standards can help keep Americans safe from climate change and from unhealthy air pollution, reduce our country’s reliance on imported oil, and save money for both truckers and consumers. Read more

With Chemical Safety Reform Passed, What’s Next for Companies?

michelle_harveyHistory was made this week. Major environmental legislation was signed into law for the first time in nearly 25 years, updating the Toxic Substances Control Act (TSCA), the primary U.S. chemical safety law, and putting in place a new foundation of federal oversight for chemicals being used in the marketplace. It took the right conditions and a lot of hard work – including bold action from the retail and manufacturing sectors to answer consumers’ call for safer products – to get here.

Now, as this new law gets implemented, industry is headed for a new status quo on how chemicals are evaluated and approved for use. What does that mean for those companies already on the safer chemicals journey?

Safer Chemicals in Supply Chains

Fertile Ground for Safer Products

This new piece of legislation –The Frank R. Lautenberg Chemical Safety for the 21st Century Act – amends for the first time the core provisions of TSCA, originally passed in 1976.  It requires new chemicals to clear a safety bar before entering the market, and mandates safety reviews of all existing chemicals by the U.S. Environmental Protection Agency (EPA).

Many consumers assume this has been occurring all along. If a product has reached a retailer’s shelves, someone must have reviewed its chemical ingredients for safety, right? But this hasn’t been the case. When TSCA was signed into law, it grandfathered in the 64,000 chemicals then in use as “safe.”  The law didn’t mandate review of new chemicals entering the market, either. And it put the entire burden on EPA to find evidence of harm in order to restrict market entry. The updated law will for the first time give EPA the authority and resources to review both new and existing chemicals and make affirmative decisions about their safety, along with new authority to more easily obtain information necessary for conducting these reviews.

Under the Lautenberg Act, EPA will first focus on “high priority” chemicals, such as those classified as known human carcinogens, highly toxic, persistent in the environment or bioaccumlative (able to build up in the bodies of animals). In assessing the safety of chemicals, EPA must consider risks to vulnerable populations such as children and pregnant women. EPA can only consider the health and environmental impacts of the chemical—leaving consideration of costs or availability of alternatives to the next step when EPA is determining how to manage a chemical’s risks. The law also puts strong new limits on what information can qualify as ‘confidential business information,’ striking a balance between the public’s right to know about chemicals to which they may be exposed, and proprietary interests in chemical information important, for example, to innovation. Read more

Making Strides on Companies’ Chemical Footprints

Behind the Label_FAs we’ve written here before, public commitment is one of the essential pillars of leadership on safer chemicals. When a company leads on public commitment, that means communicating not just its initial goal-setting, but its full safer chemicals journey, publicly and honestly.

That’s no small task. The rise of shareholder resolutions across a wide range of sectors shows that investors and purchaser communities are becoming increasingly interested in how companies manage chemicals and mitigate risk. With the release of its inaugural report, one organization is throwing a spotlight on companies that are not just making, but following through on, those commitments.

Ingredients for measuring your (chemical) footprint

Chemical Footprint Project logoThe Chemical Footprint Project (CFP) recognizes companies that have effectively demonstrated public commitment to improved chemicals management. A joint effort launched in June 2015 by Clean Production Action, Pure Strategies and the Lowell Center for Sustainable Production at the University of Massachusetts-Lowell, the CFP was created as a simple way for investors and purchasers to assess these critical aspects of corporate value.

The CFP’s evaluation system was designed to be flexible and can be used for any business sector, from personal care products to toys. Using a twenty question survey, the CFP assesses companies’ performance in four areas:

  1. Chemicals management strategy (i.e. corporate chemicals policies),
  2. Chemical inventory (i.e. knowing the chemicals used in products, manufacturing processes and supply chains),
  3. Chemical footprint measurement (i.e. knowing the mass of chemicals of high concern in a company’s products and packaging, processes, and supply chain and tracking progress toward safer alternatives), and
  4. Public disclosure and verification.

A company’s performance is scored on a 100-point scale, with a bonus for verification – respondents receive up to 4 points for independent validation of reported data.

Breaking down CFP’s findings

Last week, the CFP released its inaugural report, with 24 companies from seven sectors participating. Though individual company scores are presented without identification, CFP’s initial report reveals many interesting themes: Read more

Offering a Safer Choice is a Good Choice for Business

Sarah-Vogel-Safer-Choice

EDF Vice President, Health Sarah Vogel accepts EDF's Safer Choice Partner of the Year award

With so many vague claims and misleading labels on products in the marketplace, it’s no surprise that consumers are increasingly calling for safer products and greater transparency with regard to product ingredients. That’s why we at EDF were proud to share the stage at the EPA’s 2016 Safer Choice Partner of the Year awards ceremony yesterday with companies, trade groups, and other NGOs working to do just that.

EDF was recognized alongside other Safer Choice Partner of the Year awardees for “demonstrated leadership in furthering safer chemistry and products.” Among the 17 corporate winners were chemical makers, product manufacturers and retailers like BISSELL Homecare, The Clorox Company, Seventh Generation, BASF Corporation, Ecolab and Wegmans Food Markets, all of whom have submitted products or chemicals for certification under the Safer Choice label.

Safer Choice 2016 award winnersConsumer health is one of the most pressing – and frequently, less recognized – areas of corporate sustainability, and one where driving adoption of safer practices takes both ambition and leadership. We are gratified to see such a diverse range of corporations take significant steps to introduce safer chemicals into the marketplace and for organizations like Safer Chemicals, Healthy Families and the Healthy Schools Campaign to lend their support and encouragement.

Every product labeled under the Safer Choice certification program makes the marketplace a little safer and our jobs as advocates for consumer safety a little easier. Read more

3 Ways NGOs Can Help Sustainable Supply Chains Grow

Maggie headshotEarlier this week, a former sustainability executive with McDonald’s delivered a wake-up call for environmental groups, listing “5 ways that NGOs stunt sustainability.” In this article, Bob Langert explains the ways that nonprofits are failing to help companies turn sustainability commitments into on-the-ground results. In the context of sustainable palm oil, he notes:

“You can’t just go after big brands and expect them to manage a supply chain that has them seven stages removed, starting with the smallholders, to mills, then plantations, to storage facilities, refineries, ingredient manufacturers and then product manufacturers, then into a final product a retailer sells, such as ice cream, a granola bar or shampoo — with palm as a minute ingredient.”

He’s right – sustainability in supply chains, especially in agriculture, is incredibly complex.

So how can environmental groups effectively champion sustainability progress throughout global supply chains, from the C-suite to crop fields?  Here are three ideas EDF has learned from deep, on-the-ground partnerships with leading brands. Read more