Walmart Expects Its Suppliers to Reduce Greenhouse Gas Emissions
Posted by Kelly Smith on Sun, Mar 21, 2010
Walmart recently announced its intentions to reduce its carbon footprint over the next five years by tightening standards for its suppliers.
The largest retailer in the United States said that by 2015, it plans to reduce 20 million tons of greenhouse gas emissions produced during the life cycle of the products they sell around the globe.
"Essentially, suppliers are being asked to examine the carbon lifecycle of their products, from the raw materials used in manufacturing all the way through to the recycling phase," reported the New York Times.
When Walmart suppliers find areas where they can improve energy efficiency, such as in production or packaging, they are the ones responsible for implementing the changes. Critics say that businesses already hit hard by the recession may struggle to pay costs incurred by Walmart’s requirements, while the corporation will reap the benefits without making sacrifices of its own.
The Walmart Sustainability Index, announced last July, aims to chart and reduce the environmental impact of products from their creation to disposal, and to inform customers of how green their products are.Because Walmart is a corporate behemoth, with 1.4 million employees worldwide and over $408 billion in FY2010 sales, it wields a powerful influence over its suppliers. It sells products from cosmetics to home furnishings.
Over the past few years, Walmart has made efforts to improve its green business practices, including the following:
- measuring the green attitudes and practices of its customers
- using more renewable energy sources
- offering local food and sustainable seafood
- experimenting with eliminating plastic bags and installing solar panels
- making a commitment to sustainable sourcing of wood and paper
Some say that the mega-retailer's green initiatives may be more motivated by profit and image management than by altruism. While that may be true, others agree with the sustainability site Treehugger's assessment that "it's getting harder and harder to hate Walmart."