The private equity industry invests in thousands of companies, employs millions of people and represents about 8% of U.S. GDP.
Working with Kohlberg Kravis Roberts (KKR), The Carlyle Group (Carlyle) and other leading private equity firms provides EDF with a powerful lever to impact business and environmental performance at a wide range of companies across the economy.
Our Approach: Green Returns
Our Green Returns initiative is an ambitious effort to make environmental management and innovation a standard best practice across the private equity sector.
That’s why EDF teams up with leading private equity firms to develop and implement flexible tools and resources for improving business and environmental performance across the private equity value chain.
Our work with KKR
In 2008, we teamed up with Kohlberg Kravis Roberts to develop the firm’s industry-leading Green Portfolio Program. Focusing on the operations of existing portfolio companies, we developed a set of analytic tools and metrics to improve business and environmental performance in five key environmental performance areas.
Three of KKR’s portfolio companies piloted the program in 2008 with impressive results. In 2009, five additional companies joined the program to identify opportunities to improve performance. From 2008-2014, 27 KKR portfolio companies participated and 25 companies reported results. As of its last results announcement in 2014, the program avoided approximately 2.3 million metric tons of GHG emissions, 6.3 million tons of waste, and 27 million cubic meters of water use, while delivering an estimated nearly $1.2 billion in financial impact for participating companies.
In 2015, KKR decided to relaunch the Green Portfolio Program as the Green Solutions Platform, a global program building on the centered around three focus areas: eco-efficiency, eco-innovation, and eco-solutions.
Learn more about KKR’s Green Solutions Platform at green.kkr.com.
Our work with Carlyle
We work with The Carlyle Group to focus on the front end of the investment process. Together, we developed a pioneering environmental due diligence tool, EcoValuScreen, to improve operations and create value through environmental innovation prior to investment. This early-stage approach sets a new standard for the industry and expands the environmental mindset from “risks” to “opportunities.”