Corporate ‘sustainability’:
Evaluating and identifying corporate leaders
in ‘sustainability’
Prepared for: Nick Rowley
Document version: FINAL (23.10.2008)
Kinesis Pty Ltd
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Table of Contents
Introduction......................................................................
..............
Rating bodies: Measuring sustainability………………………...............
p. 3
..
p. 6
Section 1: Top 500 ‘sustainable businesses’.....................................
p. 9
Section 2: Business case studies.......................................................
p. 23
Automobiles …………………………………………………………………................
p. 24
Basic resource providers ………………………………………………...............
p. 28
Chemicals ……………………………………………………………………...............
Financial services and banks ………………………………………................
p. 31
.
p. 35
Food and beverage …………………………………………………….................
p. 39
Mining and Construction ……………………………………………...............
p. 43
Retail …………………………………………………………………………................
p. 47
Software ……………………………………………………………………...............
p. 51
Utilities …………………………………………………………………….................
p. 53
2
Introduction
This report contains two areas of study;
1. A list of the top 500 ‘sustainable businesses’
2. A set of business case studies on recognised sector leaders in sustainability
Section 1: The top 500 ‘sustainable businesses’
For the first section of this project, I was required to collate a list of the top 500 ‘sustainable
businesses’, as reported by a range of credited rating bodies.
When gathering information from the various bodies, three factors became problematic in the
research:
I.
II.
III.
Each body assigns different values to the term ‘sustainable’, according to their own
interests and priorities. For example, the Carbon Disclosure Project recognises a
business primarily on the level of disclosure. The Dow Jones Sustainable Index also
rates businesses according to sustainable practices, however businesses are measured
on their ability to manage a full range of social, environmental and economic
challenges.
Particular industries are inherently carbon-intensive, where others are low-carbon.
Only organisations which choose to disclose information to these bodies are evaluated.
These factors make forming a list which accurately reflects a comparative analysis of the ‘top
500 sustainable companies’ difficult.
For this reason, I have created three lists;
A top 500 list (alphabetical), which lists 500 companies who have been recognised for
‘sustainability’ in terms of social, economic and environmental aspects by one or more
of the chosen rating bodies. Rating bodies which were used in collating this list include
the Dow Jones Sustainability Index1, the World Business Council for Sustainable
Development2, the Global Reporting Initiative3 and the Carbon Disclosure Project4.
A second list which shows the companies who have been recognised by three or more
of the rating bodies.
1
SAM Research AG 2008, Sustainability Indexes, Dow Jones Sustainability Index, viewed 04.10.08,
<http://www.sustainability-index.com/>
2
World Business Council for Sustainable Development 2008, About us: Members, World Business Council for
Sustainable Development,<http://www.wbcsd.org/web/about/members.htm>
3
Global Reporting Initiative 2008, 2008 Reports List, Global Reporting Initiative, viewed 04.10.08,
<http://www.globalreporting.org/GRIReports/2008ReportsList/>
4
Carbon Disclosure Project 2008, Carbon Disclosure Leadership Index, Carbon Disclosure Project, viewed
04.10.08, < http://www.cdproject.net/carbon-disclosure-leadership-index.asp>
3
Lastly, a third list which includes the companies who have been particularly
recognised for environmental sustainability by the Carbon Disclosure Program, and
listed in their Climate Leadership Index (CLI). Companies listed in the CLI, not only
have a high quality of carbon disclosure, but also have implemented environmentally
sustainable practices.
The Carbon Disclosure Project acknowledges that the assessment of these companies is based
on a self-reporting questionnaire, and this has implications for the reliability of the
information provided. Additionally, the CDP note that ‘environmental performance’ is a
broad term which may not accurately indicate the ways in which a company has managed
emissions or responded to climate change specifically.
In providing these lists, this project aims to provide a guide for which companies have been
recognised for sustainability, and identify those companies which have been commonly
recognised (i.e by more than three rating bodies) for sustainability. The ‘Top 40’ list aims to
provide an opportunity for comparison and analysis, in regards to the role of environmentally
sustainable practices in the recognition of a company’s sustainability.
Section 2: A business case study: recognised sector leaders in sustainability
The second section of this report is a series of case studies on businesses who have been
recognised as sector leaders in ‘sustainability’- more specifically, environmental
sustainability.
Corporations included in this report have been nominated as sector leaders in sustainability
by either the Carbon Disclosure Project, or the Dow Jones Sustainability Index. These bodies
have been used to identify sector leaders in sustainability due to their criteria, which is
primarily performance based, as opposed to that of the other rating bodies included in the
previous report (WBCSD & GRI).
A more detailed summary of each bodies’ ‘sustainability’ criteria is included in ‘Rating
bodies: Measuring sustainability’, on page 6.
4
Rating bodies: Measuring sustainability
Each rating body included in this project has a different method of evaluating and representing
sustainability.
The Carbon Disclosure Project (CDP)5
Corporations who are recognised for sustainability by the CDP have been judged according to
their response to the self-reporting questionnaire provided by the CDP. The report covers
four areas;
1) Management’s views on the risks and opportunities that climate change presents to the
business;
2) Greenhouse gas emissions accounting;
3) Management’s strategy to reduce emissions / minimise risk and capitalise on opportunity;
and
4) Corporate governance with regard to climate change.
Sustainability is recognised in two ways; the Carbon Disclosure Leadership Index (CDLI),
and the Climate Disclosure Leadership Index (CLI). Companies who are included in the
CDLI are those which have disclosed information according to all the areas set out in the
questionnaire.
The CLI is designed to give an indication of companies whose environmental performance
supports a high quality disclosure practice.
This report has included companies recognised in the Carbon Disclosure Leadership Index of
2008, and the Climate Disclosure Leadership Index of 2007 ( the most recent publication of
the CLI).
The Dow Jones Sustainability Index (DJSI)6
Corporations who are included in the Dow Jones Sustainability Index are being measured in
terms of corporate sustainability. This method of assessment includes factors relating to
social, economic and environmental spheres. Environmental factors contribute to 10% of the
evaluation, Economic factors 17.5%, and Social factors account for 22.5% of the criteria.
Information on these areas is provided by corporations in a self reporting questionnaire.
The Global Reporting Initiative (GRI)7:
The GRI is a ‘sustainability reporting’ body which collects reporting corporations’ data
5
Carbon Disclosure Project 2008, Home, Carbon Disclosure Project, viewed 10.09.08, <
http://www.cdproject.net/>
6
SAM Research AG, Sustainability Indexes, Dow Jones Sustainability Index, viewed 10.09.08,
<http://www.sustainability-indexes.com/07_htmle/assessment/infosources.html>
7
Global Reporting Initiative 2008, Home, Global Reporting Initiative, viewed 08.09.2008,
<http://www.globalreporting.org/Home>
5
provided in self-reported questionnaires. Companies are required to disclose information on
economic, social and environmental performance and policies. The aim of GRI is to identify
and acknowledge those companies with superior disclosure practices, as part of the wider goal
of increasing sustainable practices within the companies.
GRI produce a list each year which shows the extent to which each company has chosen to
disclose this information. Companies receive a rating of A,B or C (A representing full
disclosure, C representing low disclosure practices), and a ‘plus’ sign to show they have had
their practices and resulting questionnaire externally checked. Reporting organizations receive
tools for sustainability management, and GRI propose that reporting companies enjoy market
differentiation due to the recognition of sustainable practices.
The GRI rated companies which received an A+ or a B+ have been included in the top 500
sustainable companies. The rating criteria of GRI does not necessarily reflect superior
sustainable practices, as the rating measures the extent to which a company has disclosed
information, rather than evaluating a companies’ performance on issues of sustainability. The
GRI has, however, been used by reporting companies such as Rio Tinto8 and BHP Billiton9
to indicate their level of commitment to sustainable development. Therefore, it is appropriate
to include these companies in Section 1, which outlines companies who have been recognised
by a credited rating body, in regards to sustainability.
The World Business Council for Sustainable Development (WBCSD):
The Top 500 list also includes companies which are members of the WBCSD.
Membership of the WBCSD is by invitation of the Executive Committee to companies
committed to sustainable development and to promoting the role of Eco-Efficiency,
Innovation and Corporate Social Responsibility (CSR)10. They are asked to publicly report
on their environmental performance and to aspire to widen their reporting to cover all three
pillars of sustainable development – economic, social and environmental. These companies
also qualify as those which have been recognised in terms of sustainability.
8
Rio Tinto 2007, GRI Checklist, Rio Tinto, viewed 10.09.2008,
<http://www.riotinto.com/ourapproach/7139_gri_checklist_2007.asp>
9
BHP Billiton 2008, Our approach to sustainability reporting, BHP Billiton, viewed 10.09.2008,
<http://www.bhpbilliton.com/bb/sustainableDevelopment/ourApproachToSustainabilityReporting/globalReport
ingInitiativeNavigator.jsp>
10
World Business Council for Sustainable Development 2008, Membership, World Business Council for
Sustainable development, viewed 10.09.2008,
<http://www.wbcsd.org/templates/TemplateWBCSD4/layout.asp?type=p&MenuId=MzM5&doOpen=1&Click
Menu=LeftMenu>
6
Section 1.1: The top 500 ‘sustainable
businesses’
7
Section 1: Top 500 ‘sustainable businesses’
1. 3i Group PLC- United Kingdom (DJSI)
2. 3M Co.- United States (DJSI, WBCSD, CDP-CDLI)
3. ABB Ltd.- Switzerland (DJSI, WBCSD)
4. Abbott Laboratories- United States (DJSI)
5. Abdul Latif Jameel Group- Saudi Arabia (WBCSD)
6. Abertis Infraestructuras- S.A. Spain (WBCSD)
7. ABN Amro Holding- United States (CDP-CLI)
8. Accenture- United States (GRI, WBCSD)
9. Acciona-S.A. Spain (DJSI, GRI, WBCSD)
10. Accor- S.A. France (DJSI)
11. Actividades de Construccion y Servicios- S.A. (DJSI)
12. Adidas AG- Germany (DJSI, WBCSD)
13. Advanced Micro Devices Inc.- United States (CDP-CDLI, DJSI)
14. Aegon N.V.- Netherlands (DJSI)
15. Aeon Co. Ltd.- Japan (DJSI)
16. AES Corporation- United States (DJSI, WBCSD)
17. Agilent Technologies Inc.- United States (DJSI)
18. AGL Energy Ltd.- Australia (DJSI)
19. AIG- United States (WBCSD)
20. Air France-KLM- France (DJSI)
21. Air Products and Chemicals, Inc.- United States (WBCSD)
22. Akzo Nobel N.V.- Netherlands (DJSI, WBCSD)
23. Alcatel-Lucent- France (DJSI)
24. Alcan- Canada (CDP-CLI)
25. Allergan Inc- United States (CDP-CDLI)
26. Alcoa Inc.- United States (CDP-CDLI, DJSI, WBCSD)
27. Allianz SE- Germany (CDP-CLI, DJSI, WBCSD)
28. AMEC PLC- United Kingdom (DJSI)
29. Ameren Corp.- United States (CDP-CDLI)
30. American Electric Power – United States (WBCSD)
31. Amgen Inc.- United States (DJSI)
32. AMP Ltd.- Australia (DJSI)
33. Anglo American PLC- United Kingdom (DJSI, GRI, WBCSD)
34. ANZ – Australia (CDP- CLI, DJSI, GRI, WBCSD)
35. Aracruz Celulose S/A Pref B- Brazil (DJSI, WBCSD)
36. ArcelorMittal- Luxembourg (WBCSD)
37. AREVA- France (WBCSD)
38. Asahi Breweries Ltd.- Japan (DJSI)
39. Asahi Glass Co. Ltd.- Japan (DJSI, WBCSD)
40. Asia Pacific Resources International Holdings Ltd – Indonesia (WBCSD)
41. ASML Holding N.V.- Netherlands (DJSI)
42. AstraZeneca PLC- United Kingdom (CDP-CDLI, DJSI)
43. ASX Ltd.- Australia (DJSI)
44. Atlas Copco AB Series A-Sweden (DJSI)
8
45. Aviva PLC- United Kingdom (CDP-CLI, DJSI)
46. AXA- S.A. France (DJSI)
47. BAE Systems PLC- United Kingdom (DJSI)
48. Balfour Beatty PLC- United Kingdom (DJSI)
49. Baloise-Holding AG- Switzerland (DJSI)
50. Banco Bilbao Vizcaya Argentaria S.A.- Spain (DJSI)
51. Banco Bradesco S/A Pref- Brazil (DJSI, GRI)
52. Banco Itau Holding Financeira- S.A. Pref Brazil (DJSI, GRI)
53. Banco Santander S.A.- Spain (DJSI)
54. Bank of Montreal- Canada (CDP-CDLI)
55. Baosteel Group Corporation- China (WBCSD)
56. Barclays PLC- United Kingdom (CDP-CLI, DJSI)
57. BASF S.E.- Germany (DJSI, GRI, WBCSD)
58. Basic Element- Russia (WBCSD)
59. Baxter International Inc.- United States (CDP-CLI, DJSI)
60. Bayer AG- Germany (CDP-CLI, DJSI, GRI, WBCSD)
61. BC Hydro- Canada (WBCSD)
62. BCE- Canada (CDP-CLI)
63. Becton Dickinson & Co.- United States (DJSI)
64. Benesse Corp.- Japan (DJSI)
65. BG Group PLC- United Kingdom (DJSI, WBCSD)
66. BHP Billiton Ltd.- Australia (CDP-CDLI, DJSI, WBCSD)
67. BHP Billiton PLC- United Kingdom (CDP- CDLI, DJSI)
68. Bidvest Group Ltd.- South Africa (DJSI)
69. Bluescope Steel Ltd.- Australia (DJSI)
70. BMW AG- Germany (DJSI)
71. BNP Paribas S.A.- France (DJSI)
72. Boeing- United States (WBCSD)
73. Bombardier Inc. Cl B SV- Canada (DJSI)
74. Borealis- Austria (WBCSD)
75. Boston Consulting Group – United States (WBCSD)
76. BP PLC- United Kingdom (CDP-CLI, DJSI, GRI, WBCSD)
77. Brambles Ltd.- Australia (DJSI)
78. Bridgestone Corporation- Japan (WBCSD)
79. Brisa- Portugal (WBCSD)
80. Bristol Meyers Squibb- United States (CDP-CDLI)
81. British American Tobacco (Malaysia) Bhd- Malaysia (CDP-CLI, DJSI)
82. British American Tobacco PLC- United Kingdom (CDP-CLI, DJSI)
83. British Land Co. PLC- United Kingdom (DJSI)
84. British Sky Broadcasting Group PLC- United Kingdom (DJSI)
85. Brown- Forman Corp.- United States (CDP-CDLI)
86. BT Group PLC- United Kingdom (CDP-CLI & CDLI, DJSI)
87. Cadbury PLC- United Kingdom (CDP-CLI, DJSI)
88. Canadian Imperial Bank of Commerce- Canada (CDP-CLI, DJSI)
89. Canon- Japan (WBCSD)
90. Carnival Corp.- United States (CDP-CDLI)
9
91. Carrefour S.A.- France (DJSI)
92. Castellum AB- Sweden (DJSI)
93. Caterpillar Inc.- United States (DJSI, WBCSD)
94. Cattles PLC- United Kingdom (DJSI)
95. Cementos Portland Valderrivas S.A.- Spain (WBCSD)
96. CEMEX- Chile (WBCSD)
97. Centrica PLC- United Kingdom (CDP-CDLI, DJSI)
98. CFS Retail Property Trust- Australia (DJSI)
99. CH2M HILL- United States (WBCSD)
100. Chevron Corporation- United states (CDP-CDLI, WBCSD)
101. China Ocean Shipping Group Company- China (WBCSD)
102. China Petrochemical Corporation- China (WBCSD)
103. Chinese Petroleum Corporation- China (WBCSD)
104. Chubu Electric Power Co., Inc- Japan (WBCSD)
105. Chunghwa Telecom- China (WBCSD)
106. Cimentos Liz- Brazil (WBCSD)
107. CIMPOR – Portugal (WBCSD)
108. Cisco Systems Inc.- United States (CDP-CDLI, DJSI)
109. Citigroup Inc.- United States (CDP-CDLI & CLI, DJSI)
110. CLP- Hong Kong (WBCSD)
111. Coca-Cola Company – U.S.A (CDP-CDLI)
112. Codelco- Chile (WBCSD)
113. Colgate Palmolive- United States (CDP- CDLI)
114. Coloplast A/S Series B- Denmark (DJSI)
115. Comerica Inc.- United States (CDP-CDLI)
116. Commonwealth Property Office Fund- Australia (DJSI)
117. Compagnie Generale des Etablissements Micheli- France (DJSI)
118. Companhia Energetica de Minas Gerais (CEMIG)- Brazil (DJSI)
119. Companhia Vale do Rio Doce-CVRD (CDP-CDLI)
120. Compass Group PLC- United Kingdom (DJSI)
121. Conoco Phillips – U.S.A (WBCSD)
122. Consolidated Edison- United States (CDP- CDLI)
123. Continental AG- Germany (WBCSD)
124. Cooper Tire & Rubber Company – U.S.A (WBCSD)
125. Credit Suisse Group- Switzerland (CDP-CDLI, DJSI)
126. CRH PLC- Ireland (DJSI, WBCSD)
127. Cummins Inc.- United States (DJSI)
128. Dai Nippon Printing Co. Ltd.- Japan (DJSI)
129. Daikin Industries Ltd.- Japan (DJSI)
130. Daimler AG- Germany (CDP-CLI, DJSI, GRI)
131. Daiwa Securities Group Inc.- Japan (DJSI)
132. Danisco A/S- Denmark (DJSI)
133. Dell Inc. United States Technology (CDP-CDLI & CLI, DJSI)
134. Deloitte Touche Tohmatsu- U.S.A (GRI, WBCSD)
135. Denso Corp.- Japan (DJSI, WBCSD)
136. Det Norske Veritas- Norway (WBCSD)
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Deutsche Bank AG- Germany (DJSI, GRI, WBCSD)
Deutsche Boerse AG- Germany (DJSI)
Deutsche Lufthansa AG- Germany (DJSI)
Deutsche Post AG- Germany (CDP-CDLI)
Deutsche Telekom AG- Germany (CDP-CLI, DJSI)
Dexia S.A.- Belgium (DJSI)
Diageo PLC- United Kingdom (CDP-CDLI, DJSI)
Dow Chemical Co.- United States (CDP-CDLI, , DJSI, WBCSD)
Dr Pepper Snapple Group Inc.- United States (DJSI)
DSG International PLC- United Kingdom (DJSI)
DSM N.V.- The Netherlands (WBCSD)
Duke Energy – U.S.A (WBCSD, CDP-CDLI)
DuPont – U.S.A (CDP, WBCSD)
E.ON AG- Germany (DJSI, GRI, WBCSD)
Eaton Corporation- United States (CDP- CDLI)
Eco Securities- Ireland (WBCSD)
Eczacibasi Holding- Turkey (WBCSD)
Edegel- Brazil (GRI)
EDF Group- France (WBCSD)
EDP - Electricidade de Portugal, S.A.- Portugal (WBCSD)
Elcogas- Spain (GRI)
Electrolux AB Series B- Sweden (DJSI)
Electronic Data Systems Corp.- United States (CDP-CDLI, DJSI)
EMC- United States (CDP-CDLI & CLI, DJSI)
EnCana Corp.- Canada (DJSI)
Endesa S.A.- Spain (DJSI, GRI)
Enel S.p.A.- Italy (DJSI)
Energy Holding- Romania (WBCSD)
ENI S.p.A.- Italy (CDP-CLIDJSI, WBCSD)
Entergy Corp.- United States (CDP-CDLI, DJSI, WBCSD)
Environmental Resources Management Group- United Kingdom (WBCSD)
Ericsson- Sweden (CDP-CLI)
Eskom- South Africa (WBCSD)
Essilor International S.A.- France (DJSI)
Evonik- Germany (WBCSD)
Excel energy- United States (CDP- CDLI)
Exelon – U.S.A (CDP-CDLI, WBCSD)
Experian PLC- United Kingdom (DJSI)
Exxon Mobil- United States (CDP-CLI)
FALCK Group- Italy (WBCSD)
Firmenich- Switzerland (WBCSD)
F. Hoffmann-La Roche- Switzerland (GRI, WBCSD)
Firstgroup PLC- United Kingdom (DJSI)
FMC Technologies Inc.- United States (DJSI)
Ford Motor Company – U.S.A (CDP-CDLI, GRI, WBCSD)
Fortis N.V.- Netherlands (DJSI)
11
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Fortum Oyj- Finland (CDP-CDLI, DJSI)
FPL Group- U.S.A (CDP-CDLI)
Fraport AG- Germany (DJSI)
Friends Provident PLC- United Kingdom (DJSI)
Fuji Electric Holdings Co. Ltd.- Japan (DJSI)
FUJIFILM Holdings Corp.- Japan (DJSI)
Fujitsu Ltd.- Japan (DJSI)
Gamesa Corporacion Tecnologica S.A.- Spain (DJSI, GRI)
Gas Natural SDG S.A.- Spain (DJSI, GRI)
GDF SUEZ- France (CDP-CLI, WBCSD)
General Electric Co.- United States (DJSI, WBCSD)
General Motors – U.S.A (CDP- CDLI, WBCSD,)
Genworth Financial Inc.- United States (CDP-CDLI)
Genzyme Corp.- United States (DJSI)
GHD – Australia (WBCSD)
GlaxoSmithKline PLC- United Kingdom (DJSI)
Goodyear Tire & Rubber Company – United States (WBCSD)
GPT Group- Australia (DJSI)
Greif- U.S.A (WBCSD)
Grieg International- Norway (WBCSD)
Groupe Danone S.A.- France (DJSI)
Grundfos- Denmark (WBCSD)
Grupo Ferrovial S.A.- Spain (DJSI)
GrupoNueva- Chile (WBCSD)
GS Caltex Corporation- South Korea (WBCSD)
H.C Energia- Spain (GRI)
H. J Heinz- United States (CDP- CDLI)
H&R Block Inc.- United States (DJSI)
Hammerson PLC- United Kingdom (DJSI)
Hankook Tire Co., Ltd- Korea (WBCSD)
Hartford Financial Services Group Inc.- United States (CDP-CDLI)
HBOS PLC- United Kingdom (CDP-CDLI)
Health Net Inc.- United States (DJSI)
Heidelberg Cement- Germany (WBCSD)
Heineken N.V.- Netherlands (DJSI)
Henkel AG & Co. KGaA Pfd.- Germany (DJSI, WBCSD)
Herman Miller Inc.- United States (DJSI)
Hewlett-Packard Co.- United States (CDP-CDLI & CLI, DJSI)
Hitachi Chemical- Japan (WBCSD)
Hochtief AG- Germany (DJSI)
Holcim Ltd. Reg- Switzerland (DJSI, GRI, WBCSD)
Home Retail Group PLC- United Kingdom (DJSI)
Honda Motor- Japan (WBCSD)
HSBC Holdings PLC (UK Reg)- United Kingdom (CDP-CLI, DJSI, WBCSD)
Humana Inc.- United States (DJSI)
KUMHO Tire Co., Inc.- South Korea (WBCSD)
12
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Iberdrola S.A.- Spain (CDP-CDLI &CLI, DJSI, WBCSD)
Iberia Lineas Aereas de Espana S.A.- Spain (DJSI)
IBM – U.S.A (CDP-CLI, WBCSD)
Inditex S.A.- Spain (DJSI)
Indra Sistemas S.A.- Spain (DJSI)
Infosys- India (WBCSD)
ING Groep N.V.- Netherlands (CDP-CLI, DJSI)
Insurance Australia Group Ltd.- Australia (DJSI, WBCSD)
Intel Corp.- United States (CDP-CDLI, DJSI)
Interface- U.S.A (WBCSD)
International Business Machines Corp.- United States (CDP-CDLI, DJSI)
International Paper- U.S.A (WBCSD)
International Personal Finance PLC- United Kingdom (DJSI)
Investec Ltd.- South Africa (DJSI)
Investec PLC- United Kingdom (DJSI)
Italcementi S.p.A.- Italy (DJSI, WBCSD)
Itausa-Investimentos Itau S/A Pref- Brazil (DJSI)
Itochu Corp.- Japan (DJSI)
ITT Corp.- United States (DJSI, WBCSD)
ITV PLC- United Kingdom (DJSI)
J Sainsbury PLC- United Kingdom (DJSI)
JCDecaux S.A.- France (DJSI)
Johnson Controls Inc.- United States (CDP-CDLI, DJSI, GRI, WBCSD)
Johnson & Johnson – U.S.A (CDP-CDLI, WBCSD)
Juniper Networks- United States (CDP-CDLI)
JSC Gazprom- Russia (WBCSD)
Kansai Electric- Japan (WBCSD)
Kesko Oyj Series B- Finland (DJSI)
Kikkoman- Japan (WBCSD)
Kimberly-Clark Corp.- United States (CDP-CDLI, DJSI, WBCSD)
Kingfisher PLC- United Kingdom (DJSI)
Klepierre S.A.- France (DJSI)
Komatsu Ltd.- Japan (DJSI)
Koninklijke DSM N.V.- Netherlands (DJSI)
Koninklijke Philips Electronics N.V.- Netherlands (DJSI)
KPMG- The Netherlands (WBCSD)
Kraft Foods Inc. Cl A- United States (DJSI)
Kuwait Petroleum Corporation- Kuwait (WBCSD)
Ladbrokes PLC- United Kingdom (DJSI)
Lafarge- France (CDP-CDLI, WBCSD)
Land Securities Group PLC- United Kingdom (CDP-CLI, DJSI)
Legal & General Group PLC- United Kingdom (CDP-CLI, DJSI)
Legg Mason Inc.- United States (CDP-CDLI)
Leif Höegh- Norway (WBCSD)
Lend Lease Corp. Ltd.- Australia (DJSI, WBCSD)
Lloyds TSB Group PLC- United Kingdom (CDP-CDLI, DJSI)
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Long Chen Paper Company- Taiwan (WBCSD)
Lonmin PLC- United Kingdom (DJSI)
L'Oréal- France (WBCSD)
Man Group PLC- United Kingdom (DJSI)
Marks & Spencer Group PLC- United Kingdom (CDP-CLI, DJSI)
Matsushita Electric Industrial (PANASONIC) Co. Ltd.- Japan (CDP-CDLI, DJSI)
Matsushita Electric Works Ltd.- Japan (DJSI)
McDonald's Corp.- United States (DJSI)
MeadWestvaco Corp.- United States (DJSI, WBCSD)
Merrill Lynch & Co. Inc.- United States (CDP-CDLI, DJSI)
Metro AG- Germany (DJSI)
Michelin- France (WBCSD)
Microsoft- U.S.A (CDP-CLI)
Mitsubishi Corp.- Japan (WBCSD)
Mitsubishi Chemical – Japan (WBCSD)
Mitsubishi Estate Co. Ltd.- Japan (DJSI)
Mitsui O.S.K. Lines Ltd.- Japan (DJSI)
Molson Coors Brewing Company- United States (CDP-CDLI)
Mondi PLC- United Kingdom (DJSI)
Mondi- South Africa (WBCSD)
Motorola Inc.- United States (DJSI)
MTR Corp. Ltd.- Hong Kong (DJSI)
Muenchener Rueckversicherungs-Gesellschaft AG- Germany (DJSI)
Munich Re- Germany (CDP-CDLI)
Murata Manufacturing Co. Ltd.- Japan (DJSI)
National Australia Bank Ltd.- Australia (CDP-CDLI, GRI)
National Express Group PLC- United Kingdom (DJSI)
National Grid PLC- United Kingdom (DJSI)
Natura Cosméticos S.A.- Brazil (WBCSD)
NEC Corp.- Japan (DJSI)
Nedbank Group Ltd.- South Africa (DJSI)
Neste Oil Oyj- Finland (DJSI)
Nestle S.A.- Switzerland (DJSI)
Newmont Mining Corp.- United States (CDP-CDLI, DJSI, GRI, WBCSD)
Newmont Mining Corp. of Canada Ltd.- Canada (DJSI, GRI)
New York Times Co. – United States (WBCSD)
Nexen Inc.- Canada (DJSI)
Nike Inc. Cl B- United States (DJSI)
Nippon Paper Group, Inc.- Japan (WBCSD)
Nippon Telegraph & Telephone Corporation- Japan (WBCSD)
Nippon Yusen K.K.- Japan (DJSI)
NiSource Inc.- United States (CDP-CDLI)
Nissan Motor- Japan (CDP-CDLI, WBCSD)
Noble Corp.- United States (DJSI)
Nokia Corp.- Finland (CDP-CDLI, DJSI)
Nomura Holdings Inc.- Japan (DJSI)
14
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322.
323.
324.
325.
326.
327.
328.
329.
330.
331.
332.
333.
334.
335.
336.
337.
338.
339.
340.
341.
342.
343.
344.
345.
346.
347.
348.
349.
350.
351.
352.
353.
354.
355.
356.
357.
358.
359.
360.
361.
362.
363.
364.
365.
366.
Norsk Hydro ASA- Norway (DJSI, WBCSD)
Novartis AG- Switzerland (CDP-CDLI, DJSI, WBCSD)
Novo Nordisk A/S Series B- Denmark (DJSI, GRI, WBCSD)
Novozymes A/S Series B- Denmark (DJSI)
NSK Ltd.- Japan (DJSI)
Office Depot Inc.- United States (DJSI)
Oji Paper- Japan (WBCSD)
Oracle – U.S.A (WBCSD)
Osaka Gas- Japan (WBCSD)
Outokumpu Oyj- Finland (DJSI)
Pakistan State Oil Company- Pakistan (WBCSD)
Panamá Canal Authority- Panama (WBCSD)
Pearson PLC- United Kingdom (DJSI)
PepsiCo Inc.- United States (CDP-CDLI, DJSI, WBCSD)
Petroleo Brasileiro S/A Pref- Brazil (DJSI)
Petro-Canada- Canada (WBCSD)
Pfizer- United States (CP-CDLI)
Pirelli & C. S.p.A.- Italy (DJSI, WBCSD)
Plum Creek Timber Company Inc.- United States (CDP-CDLI)
Podravka- Croatia (WBCSD)
Portucel Soporcel Group- Portugal (WBCSD)
POSCO- South Korea (DJSI, WBCSD)
Praxair Inc.- United States (DJSI)
PricewaterhouseCoopers- United States (WBCSD)
Procter & Gamble Co.- United States (DJSI, WBCSD)
Progress energy inc.- United States (CDP- CDLI)
ProLogis- United States (CDP-CDLI)
Provident Financial PLC- United Kingdom (DJSI)
PPG Industries- United States (CDP-CDLI)
PTT Public Company Limited- Thailand (WBCSD)
Public Service Enterprise Group Inc.- United States (CDP-CDLI)
Puma AG Rudolf Dassler Sport- Germany (DJSI)
Quest Diagnostics Inc.- United States (DJSI)
Rabobank- The Netherlands (GRI)
Randstad Holding N.V.- Netherlands (DJSI)
Red Electrica Corp. S.A.- Spain (DJSI, GRI)
Reed Elsevier N.V. Cert.- Netherlands (DJSI)
Reed Elsevier PLC- United Kingdom (DJSI
Reliance Industries- India (GRI, WBCSD)
Renault S.A.- France (CDP-CDLI, DJSI)
Rentokil Initial PLC- United Kingdom (DJSI)
Repsol YPF S.A.- Spain (CDP-CDLI, DJSI)
Ricoh Co. Ltd.- Japan (DJSI)
Rio Tinto Ltd.- Australia (CDP-CDLI, DJSI, WBCSD)
Rio Tinto PLC- United Kingdom (CDP-CDLI, DJSI)
Robert Bosch GmbH- Germany (WBCSD)
15
367.
368.
369.
370.
371.
372.
373.
374.
375.
376.
377.
378.
379.
380.
381.
382.
383.
384.
385.
386.
387.
388.
389.
390.
391.
392.
393.
394.
395.
396.
397.
398.
399.
400.
401.
402.
403.
404.
405.
406.
407.
408.
409.
410.
411.
412.
Roche Holding AG Part. Cert.- Switzerland (DJSI)
Rohm and Haas Company- United States (WBCSD)
Rolls-Royce Group PLC- United Kingdom (DJSI)
Royal Bank of Canada- Canada (CDP-CDLI, DJSI)
Royal Bank of Scotland Group PLC- United Kingdom (CDP-CLI, DJSI)
Royal Dutch Shell PLC A- United Kingdom (CDP-CDLI, DJSI)
Royal Dutch Shell plc.- The Netherlands (CDP-CDLI)
Royal Philips Electronics- The Netherlands (WBCSD)
RWE AG- Germany (CDP-CDLI, DJSI)
S.C. Johnson & Son – U.S.A (WBCSD)
SABMiller PLC- United Kingdom (DJSI)
Samsung SDI Co. Ltd- . South Korea (DJSI, WBCSD)
Sanofi-Aventis S.A.- France (DJSI)
Sanyo Electric Co., Ltd- Japan (WBCSD)
SAP AG- Germany (DJSI)
Sappi Ltd- South Africa (WBCSD)
Sara Lee Corporation- United States (CDP- CDLI)
Schering- Plough- United States (CDP- CDLI)
Schlumberger Ltd.- United States (DJSI)
Schneider Electric S.A.- France (DJSI)
Schroders PLC- United Kingdom (DJSI)
Scottish and Southern Energy- United Kingdom (CDP-CDLI)
Seiko Holdings Corporation- Japan (WBCSD)
Segro PLC- United Kingdom (DJSI)
Sekisui Chemical Co. Ltd.- Japan (DJSI)
Severn Trent PLC- United Kingdom (DJSI)
SGS Société Générale de Surveillance Holding- Switzerland (WBCSD)
Shaftesbury PLC- United Kingdom (DJSI)
Siam Cement PCL- Thailand (DJSI, WBCSD)
Siemens AG- Germany (CDP-CDLI, DJSI)
Simon Property Group Inc.- United States (CDP-CDLI)
Skanska- Sweden (WBCSD)
SKF AB Series B- Sweden (DJSI, WBCSD)
Smith & Nephew PLC- United Kingdom (DJSI)
Smith International Inc.- United States (DJSI)
Smurfit-Stone – U.S.A (WBCSD)
Snegiri Development – Russia (WBCSD)
Societe Generale S.A.- France (CDP-CLI, DJSI)
Sodexo S.A.- France (DJSI)
Sompo Japan Insurance Inc.- Japan (DJSI, WBCSD)
Sonae- Portugal (WBCSD)
Sony Corp.- Japan (CDP-CDLI, DJSI)
Spectra Energy- United States (CDP-CDLI)
Standard Chartered Bank- United Kingdom (CDP-CDLI)
Staples Inc.- United States (DJSI)
Starbucks Corp.- United States (DJSI)
16
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416.
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418.
419.
420.
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446.
447.
448.
449.
450.
451.
452.
453.
454.
455.
456.
457.
458.
State Street Corp.- United States(DJSI)
Statkraft AS- Norway (WBCSD)
StatoilHydro ASA -Norway (DJSI, WBCSD)
STMicroelectronics N.V.- Italy (DJSI)
Stockland- Australia (DJSI)
Stora Enso- Finland (WBCSD)
Storebrand ASA- Norway (DJSI)
Suzano Papel e Celulose- Brazil (WBCSD)
Sumitomo Chemicals- Japan (WBCSD)
Sumitomo Corp.- Japan (DJSI)
Sumitomo Electric Industries Ltd.- Japan (DJSI)
Sumitomo Forestry Co. Ltd.- Japan (DJSI)
Sumotomo Metal Industries- Japan (CDP-CLI)
Sumitomo Rubber Industries, Ltd.- Japan (WBCSD)
Suncor Energy Inc.- Canada (CDP-CDLI, DJSI, WBCSD)
SunGard – United States (WBCSD)
Sun Microsystems- United States (CDP-CLI)
Swarovski- Austria (WBCSD)
Swiss Reinsurance Co.- Switzerland (CDP-CLI, DJSI)
Swisscom AG- Switzerland (DJSI)
Syngenta AG- Switzerland (DJSI, WBCSD)
TABCorp Holdings Ltd.- Australia (DJSI)
Taiheiyo Cement- Japan (WBCSD)
Taiwan Semiconductor Manufacturing Co. Ltd.- Taiwan (CDP-CDLI, DJSI)
Target Corp.- United States (DJSI)
Taylor Wimpey PLC- United Kingdom (DJSI)
TDK Corp.- Japan (DJSI)
Technip S.A.- France (DJSI)
Teijin Limited- Japan (WBCSD)
Telecom Italia S.p.A.- Italy (DJSI, WBCSD)
Telefonica S.A.- Spain (DJSI, GRI, WBCSD)
Telenor ASA- Norway (DJSI)
Television Francaise 1 S.A.- France (DJSI)
TeliaSonera AB- Sweden (DJSI)
Telstra- Australia (CDP-CLI)
TELUS Corp.- Canada (DJSI)
Temple-Inland Inc.- United States (DJSI)
Tesco PLC- United Kingdom (CDP-CLI, DJSI)
Time Warner- United States (WBCSD)
Titan Cement- Greece (GRI, WBCSD)
TNT N.V.- Netherlands (DJSI, WBCSD)
Tokyo Electric Power Company- Japan (WBCSD)
Toray Industries Inc.- Japan (DJSI)
Toshiba Corp.- Japan (DJSI)
Total S.A.- France (CDP-CLI, DJSI)
Toyo Tire & Rubber Co., Ltd- Japan (WBCSD)
17
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494.
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499.
500.
Toyota Motor Corp.- Japan (DJSI, WBCSD)
TransCanada Corp.- Canada (DJSI)
Transurban Group- Australia (DJSI)
Travelers Companies Inc.- United States (CDP-CDLI)
Travis Perkins PLC- United Kingdom (DJSI)
Trend Micro Inc.- Japan (DJSI)
TUI AG- Germany (DJSI)
UBS AG- Switzerland (CDP-CLI, DJSI)
Umicore – Austria (WBCSD)
UniCredit S.p.A.- Italy (CDP-CLI, DJSI)
Unilever N.V. CVA- Netherlands (CDP-CLI, DJSI, WBCSD)
Unilever PLC- United Kingdom (CDP-CLI, DJSI, WBCSD)
Union Fenosa S.A.- Spain (DJSI)
United Parcel Services Inc.- United States (CDP-CDLI)
United Technologies Corp.- United States (DJSI, WBCSD)
United Utilities Group PLC- United Kingdom (DJSI)
UnitedHealth Group Inc.- United States (DJSI)
UPM- Finland (WBCSD)
Usinas Siderurgicas de Minas Gerais S/A Pref- Brazil (DJSI)
Vale- Brazil (WBCSD)
Vattenfall AB- Sweden (GRI, WBCSD)
Veolia Environnement S.A.- France (CDP-CLI, DJSI, WBCSD)
Vodafone Group PLC- United Kingdom (DJSI, GRI, WBCSD)
Volkswagen AG- Germany (DJSI, WBCSD)
Volvo AB Series B- Sweden (DJSI)
Votorantim Participações- Brazil (WBCSD)
Wal Mart Stores- U.S.A (CDP-CDLI & CLI)
Walt Disney Co.- United States (DJSI)
Warehouse Group- New Zealand (WBCSD)
Waste Management Inc.- United States (DJSI)
Wells Fargo & Company- United States (CDP-CDLI)
Wereldhave N.V.- Netherlands (DJSI)
Wesfarmers Ltd.- Australia (DJSI)
Westpac Banking Corp.- Australia (CDP-CDLI, DJSI)
Weyerhaeuser- United States (WBCSD)
Wolters Kluwer N.V.- United States (DJSI)
Woodside Petroleum Ltd.- Australia (CDP-CLI, DJSI, WBCSD)
Xcel Energy Inc.- United States (CDP-CDLI)
Xstrata PLC- United Kingdom (CDP-CDLI, DJSI)
Yell Group PLC- United Kingdom (DJSI)
The Yokohama Rubber Company- JAPAN (WBCSD)
Zurich Financial Services AG- Switzerland (DJSI)
18
Most frequently appearing companies:
These companies appeared on three or more rating bodies’ lists:
1. 3M Co.- United States (DJSI, WBCSD, CDP-CDLI)
2. Alcoa Inc.- United States (CDP-CDLI, DJSI, WBCSD)
3. Allianz SE- Germany (CDP-CLI, DJSI, WBCSD)
4. Anglo American PLC- United Kingdom (DJSI, GRI, WBCSD)
5. ANZ – Australia (CDP- CLI, DJSI, GRI, WBCSD)
6. BASF S.E.- Germany (DJSI, GRI, WBCSD)
7. Bayer AG- Germany (CDP-CLI, DJSI, GRI, WBCSD)
8. BHP Billiton Ltd.- Australia (CDP-CDLI, DJSI, WBCSD)
9. BP PLC- United Kingdom (CDP-CLI, DJSI, GRI, WBCSD)
10. Daimler AG- Germany (CDP-CLI, DJSI, GRI)
11. Dell Inc. United States Technology (CDP-CDLI & CLI, DJSI)
12. Deutsche Bank AG- Germany (DJSI, GRI, WBCSD)
13. Dow Chemical Co.- United States (CDP-CDLI, , DJSI, WBCSD)
14. E.ON AG- Germany (DJSI, GRI, WBCSD)
15. Entergy Corp.- United States (CDP-CDLI, DJSI, WBCSD)
16. Ford Motor Company – U.S.A (CDP-CDLI, GRI, WBCSD)
17. Holcim Ltd. Reg- Switzerland (DJSI, GRI, WBCSD)
18. HSBC Holdings PLC (UK Reg)- United Kingdom (CDP-CLI, DJSI, WBCSD)
19. Iberdrola S.A.- Spain (CDP-CDLI &CLI, DJSI, WBCSD)
20. Johnson Controls Inc.- United States (CDP-CDLI, DJSI, GRI, WBCSD)
21. Kimberly-Clark Corp.- United States (CDP-CDLI, DJSI, WBCSD)
22. Newmont Mining Corp.- United States (CDP-CDLI, DJSI, GRI, WBCSD)
23. Novartis AG- Switzerland (CDP-CDLI, DJSI, WBCSD)
24. Novo Nordisk A/S Series B- Denmark (DJSI, GRI, WBCSD)
25. PepsiCo Inc.- United States (CDP-CDLI, DJSI, WBCSD)
26. Rio Tinto Ltd.- Australia (CDP-CDLI, DJSI, WBCSD)
27. Suncor Energy Inc.- Canada (CDP-CDLI, DJSI, WBCSD)
28. Telefonica S.A.- Spain (DJSI, GRI, WBCSD)
29. Unilever N.V. CVA- Netherlands (CDP-CLI, DJSI, WBCSD)
30. Unilever PLC- United Kingdom (CDP-CLI, DJSI, WBCSD)
31. Veolia Environnement S.A.- France (CDP-CLI, DJSI, WBCSD)
32. Vodafone Group PLC- United Kingdom (DJSI, GRI, WBCSD)
33. Woodside Petroleum Ltd.- Australia (CDP-CLI, DJSI, WBCSD)
19
Top 40: ‘Environmental performance’11
Of those listed in the top 500, these companies have been recognised by the Carbon
Disclosure Project as having particularly good environmentally sustainable practices.
1. Hewlett-Packard
2. Iberdrola
3. Rio Tinto
4. Westpac Banking
5. Deutsche Telekom
6. E I du Pont de Nemours (DuPont)
7. Fortum
8. HBOS
9. HSBC
10. Citigroup
11. Coca Cola
12. Exelon
13. Gaz de France
14. Bayer
15. British American Tobacco
16. Royal Bank of Scotland
17. EMC
18. ABN Amro Holding
19. Baxter International
20. BP
21. Dell
22. Ericsson
23. IBM
24. Marks & Spencer
25. Matsushita Electric
26. Royal Bank of Canada
27. Scottish & Southern Energy
28. Tesco
29. Unilever
30. Allianz
11
Carbon Disclosure Project 2008, Climate Disclosure Leaders index, Carbon Disclosure Leadership Index,
viewed 04.10.08, <http://www.cdproject.net/climateleaders2007.asp>
20
31. ANZ Banking
32. BHP Billiton
33. Diageo
34. Standard Chartered
35. Suez
36. Entergy Corp
37. Repsol YPF
38. Daimler Chrysler
39. Legal & General Group
40. Microsoft
21
Section 1.2: A business case study:
Recognised leaders in ‘sustainability’
22
Automobiles
The BMW group: Bayerische Motoren Werke
The company:
The BMW Group is the world’s largest manufacturer of luxury cars, and is parent company
for three brands of vehicles: MINI, Rolls Royce, and BMW. 12
2008 revenue: US$76 billion13
Assets as of 2008: US$130 billion
Recognition of sustainability:
The BMW Group has been voted as a sector leader in sustainability by the Dow Jones
Sustainability Index14.
Sustainability initiatives:
BMW has several initiatives operating around environmental sustainability.
1. The ‘Clean Energy Project’: This project aims to promote an alternative to fossil fuels
as a source of energy for vehicles. The BMW group are in the process of research and
experimentation with hydrogen technology as an alternative source of energy. BMW
is currently in the process of producing first luxury car fleet to be run on hydrogen,
called Hydrogen 7.15
2. Recycling of end-of-life vehicles: The BMW group is using ‘Design for Recycling’ and
Life Cycle Assessment (LCA) tools in order to integrate end-of-life recycling into the
product development process. The Design for Recycling tool outlines guidelines for
ensuring the product is able to be recycled efficiently and simply. The LCA tool
12
Moore, T 2008, BMW boss battles falling dollar, BBC News UK, viewed 07.09.2008,
<http://news.bbc.co.uk/1/hi/business/7305650.stm>
13
Cable News Network- Money 2008, Fortune- Global 500 2008: BMW, Time Warner Company, viewed
07.09.2008, <http://money.cnn.com/magazines/fortune/global500/2008/snapshots/6719.html>
14
Sam Research AG 2008, Super-sector leaders, Dow Jones Sustainability Index, viewed 09.08.2008,
<http://www.sustainability-index.com/07_htmle/indexes/djsiworld_supersectorleaders_07.html>
15
BMW Group 2008, Clean Energy, BMW Group, viewed 06.09.2008,
<http://www.bmw.com/com/en/insights/technology/cleanenergy/phase_2/cleanenergy.html>
23
evaluates the impact of components of a product on the environment throughout the
products entire life.16
3. Enforcing ecological standards on suppliers: Since 2003, the BMW group has
enforced a set of exact guidelines on suppliers who provide materials for BMW’s
operations. The guidelines obligate suppliers to design their products using technology
which reduces emissions during the production, usage and recycling stages. Suppliers
need to either produce a certified environmental management system according to ISO
14001 standards (a set of guidelines established by the International Standardisation
Organisation), or proof of a legitimate independent management system.17
16
BMW Group 2008, Highlights, BMW Group, viewed 20.09.2008,
<http://www.bmwgroup.com/e/nav/index.html?../0_0_www_bmwgroup_com/home/home.html&source=overvi
ew?
17
BMW Group 2008, BMW Group Environmental Protection Guidelines, BMW Group, viewed 07.09.2008,
<http://www.bmwgroup.com/bmwgroup_prod/e/0_0_www_bmwgroup_com/verantwortung/umwelt/_pdf/BMW
Group_Umweltleitlinien.pdf>
24
Toyota
The company:
Toyota is a Japanese multination corporation, and the largest maker of automobiles in the
world18. Toyota is also the fifth largest corportation in the world, in terms of revenue19.
2008 revenue: US$230.2 billion20
Assets as of 2008: US$326 billion
Recognition of sustainability: Toyota is currently recognised in the Dow Jones Sustianability
Index.
Sustainability initiatives21:
1. Toyota’s current approach regarding environmental sustainability is encapsulated by
the Fourth Toyota Environmental Action Plan (2006-2010). By 2010 Toyota aim to
reduce their total worldwide emissions volume by 35% as compared to 1990 levels.
Toyota has already achieved a reduction of 25% in 2007. Toyota are achieving this
through:
• Introducing energy-conserving systems (small boilers, cogeneration systems,
• waste-heat recovery system, etc.),
• switching fuels to processed natural gas,
• and instituting daily improvements to completely eliminate waste
(defect reduction, yield increases, work improvements, reduction in power usage
during non-operational hours, etc.).
2. Promoting fuel efficiency: Toyota are researching the manufacture of cellulosic ethanol
and hydrogen processed biodiesel. Toyota has improved fuel efficiency by 17.4%
from 1997 levels in Japan, Europe and the U.S.
3. Promotion and distribution of clean energy vehicles and products: Toyota have
introduced a fleet of clean energy vehicles- In Japan last year, clean energy cars made
up 5.5% of all sales. Toyota have expanded the use of the Eco Driving Indication into
eight different models of cars. This product lights up when the car is being driven in a
fuel efficient way.
18
The Motor Report Auto News 2008 , Toyota now the worlds largest auto maker, The Motor Reprt Auto
News, viewed 20.09.2008, <http://www.themotorreport.com.au/3543/toyota-now-the-worlds-largest-carmaker/>
19
Cable News Network- Money 2008, Fortune- Global 500 Full List,, Time Warner Company, viewed
20.09.2008, <http://money.cnn.com/magazines/fortune/global500/2008/full_list/>
20
Cable News Network- Money 2008, Fortune- Global 500 2008: Toyota, Time Warner Company, viewed
20.09.2008, <http://money.cnn.com/magazines/fortune/global500/2008/snapshots/6752.html>
21
Toyota 2008, Energy/Global Warming, Toyota, viewed 20.09.2008,
<http://www.toyota.co.jp/en/csr/report/08/download/pdf/sr08_p20_p29.pdf>
25
Basic resource providers
BP (British Petroleum)
The company:
BP is the third largest non-state owned oil company in the world22. BP has two business
segments:
• Exploration and Production- of which BP has an estimated global market share of 3%
• Refining and Marketing- of which BP has an estimated global share of 4%
2008 revenue23: USD$290 billion
Assets as of 2008: USD$236 billion
Recognition of sustainability: BP was judged as a sector leader in sustainability by the Carbon
Disclosure Project (CDP) in 200724.
Sustainability Initiatives:
1. BP Alternative Energy: was established in 2005, by key members of the BP Corporation.
Alternative Energy aims to provide low-carbon energy sources by expanding operations in
solar, wind, hydrogen, and gas-fired power. By 2015, Alternative Energy estimates the
investment in these sources will have reduced greenhouse gas emissions by 24 million
tonnes.25
2. Reduction in flaring and venting: Venting of methane hydrocarbons has 21 times the
contribution to global warming as carbon dioxide. BP has reduced venting by 9% since
2006.
3. Hydrogen Energy: BP have joined with Rio Tinto in developing hydrogen fuelled power
projects, which it is proposed will significantly reduce the carbon emissions in both
companies’ operations.
22
Mining Top News 2007, BP, Rio Tinto venture to develop clean energy, Mining Top News, viewed
14.08.2008, <http://www.miningtopnews.com/bp-rio-tinto-venture-to-develop-clean-coal-energy.html>
23
Cable News Network- Money 2008, Fortune- Global 500 2008: BP, Time Warner Company, viewed
14.08.2008, <http://www.money.cnn.tv/magazines/fortune/global500/2008/snapshots/6327.html>
24
Carbon Disclosure Project 2008, Climate Leaders, Carbon Disclosure Project, viewed 09.08.2008,
<http://www.cdproject.net/climateleaders2007.asp>
25
BP 2008, BP Alternative Energy, BP, viewed 14.08.2008,
<http://www.bp.com/bodycopyarticle.do?categoryId=7040&contentId=7046747>
26
Exelon Corporation
The company:
Exelon is an energy provider which operates the largest nuclear fleet in the United States, and
the third largest commercial nuclear fleet in the world26. As a corporation, it is one of the
largest electrical utilities in the United States.
Exelon Corporation both delivers and generates electricity. ComEd and PECO Energy are the
service provider units of Exelon Energy Delivery, through whom energy is delivered.
Exelon Generation is comprised of three operating groups: Exelon Nuclear, Exelon Power and
Exelon PowerTeam. Exelon Generation use fossil, hydro, nuclear and renewable generation
methods in their operations.
2007 revenue: $18.9 billion
Assets as of 2007: US$ 45.8 billion27
Recognition of sustainability: Exelon was judged as a sector leader in sustainability by the
Carbon Disclosure Project (CDP) in 200728.
Sustainability initiatives:
Exelon’s self proclaimed goal, is to reduce, offset, or displace more than 15 million metric tons
of greenhouse gas emissions per year by 2020.
‘A low carbon roadmap’29, is an Exelon publication which outlines their strategy for achieving
this goal. The options Exelon have identified as viable and effective in promoting and
improving environmental sustainability are:
1. Expanding nuclear energy: Exelon invests USD$700 million annually into expanding
nuclear energy operations. This is expected to reduce carbon emissions by 2 million
metric tons a year.
2. Advocating the more efficient use of commercial and residential energy: Exelon is
investing $250 million in a three year plan which targets residential and commercial
energy saving through more efficient lighting, heating and cooling, and appliance
26
Exelon Corporation 2008, About Exelon, Exelon Corporation, viewed 10.09.2008,
<http://www.exeloncorp.com/aboutus/ >
27
Cable News Network- Money 2008, Fortune- Global 500 2008: Exelon, Time Warner Corporation, viewed
14.09.2008, <http://money.cnn.com/magazines/fortune/fortune500/2008/snapshots/2024.html>
28
Carbon Disclosure Project 2008, Climate Leaders, Carbon Disclosure Project, viewed 09.08.2008,
<http://www.cdproject.net/climateleaders2007.asp>
29
Exelon Corporation 2008, A Low Carbon Roadmap, Exelon Corporation, viewed 14.09.2008,
<http://www.exeloncorp.com/NR/rdonlyres/6BF790FC-6ADB-422D-A7A536F3776748CC/0/080716Exelon2020_A_Low_Carbon_Roadmap.pdf#page=12>
27
recycling. The total carbon dioxide reductions are estimated to be 850, 000 metric tons
per year.
3. Offsetting GHG emissions: Exelon are supporting projects that will reduce and offset
emissions, or sequester carbon dioxide. Exelon aim for these offsets to be ‘real,
quantifiable, verifiable, additional and permanent’. Exelon has donated $1.5 million to
support programs at the Cordillera Azul National Park in Peru, which aim to develop
protocol for avoided deforestation offsets.
28
Chemicals
The Bayer Group
The company:
The Bayer Group is the third largest pharmaceutical company in the world30. Bayer is a
German based global enterprise, who provide products and services in the area of health care
and nutrition, including biomedical materials. Bayer consists of three sub-companies and three
service businesses: Bayer HealthCare, Bayer CropScience, Bayer MaterialScience, Bayer
Business Services, Bayer Technology Services, and Currenta31.
2008 revenue32: USD$45 billion
Assets as of 2008: USD$75 billion
Recognition of sustainability: The Bayer Group was voted as a sector leader in sustainability
by the Carbon Disclosure Project in 200733.
Sustainability initiatives:
The Bayer Groups’ primary initiative in terms of environmental sustainability is their
recently established ‘Bayer Climate Program’34. The Bayer Climate Program proposes
particular action to reduce carbon emissions from their three primary services by 2020; Bayer
HealthCare, Bayer CropScience, and Bayer MaterialScience. The most significant ways in
which Bayer propose to achieve this are:
1. EcoCommercial Building: A Bayer MaterialScience concept of energy efficient office
and industrial buildings which also aim to be low or zero emission. The idea is being
30
Pharmalive 2008, Top 50 pharmaceutical companies: charts and lists, Canon Communications
Pharmaceutical Media Group, viewed 20.08.08,
<http://www.pharmalive.com/magazines/medad/?date=09%2F2007>
31
The Bayer Group 2008, Annual Report 2007, The Bayer Group, viewed 13.08.08,
<http://www.annualreport2007.bayer.com/en/Bayer-Group-Key-Data.aspx>
32
Cable News Network- Money 2008, Fortune- Global 500 2008: Bayer, viewed 13.08.08,
<http://money.cnn.com/magazines/fortune/global500/2008/snapshots/6254.html>
33
Carbon Disclosure Project 2008, Climate Leaders, Carbon Disclosure Project, viewed 09.08.2008,
<http://www.cdproject.net/climateleaders2007.asp>
34
The Bayer Group 2008, Bayer Climate Program, The Bayer Group, viewed 13.08.08,
<http://www.climate.bayer.com/en/homepage.aspx>
29
implemented by Bayer, in the construction of the Bayer MaterialScience Innovation
Center in New Dehli.
2. Participating in carbon trading schemes: Bayer is participating in the Chicago Climate
Exchange- an emissions trading scheme- in the United States in order to reduce the
impact of the company’s carbon emissions. Bayer aims to reduce their direct
emissions by 1% a year35.
3. The Bayer Climate Check: A system developed in 2007 by Bayer Technology
Services, which automatically evaluates proposed projects in terms of their potential
impact on climate change, throughout the complete life of the project. This, it is
proposed, will allow Bayer to identify and limit the emissions resulting from any
planned project.
35
The Bayer Group 2006, Future Oriented Climate Protection, The Bayer Group, viewed 13.08.08,
<shttp://www.nb2005.bayer.de/bf/generator.aspx?url=/en/Climate_protection.aspx&settings=333333FFFFFF00
00CC1110>
30
DuPont
The company:
DuPont is a multinational chemical and health care company, based in the United States.
DuPont is the second largest chemical company in the United States36. DuPont provides
services and products to clients in a range of different fields including agriculture, nutrition,
electronics, communications, construction and apparel. DuPont operates in more than 70
different countries and has over 60 000 employees.
2008 revenue37: USD$30.6 billion
Assets as of 2008: USD$34.1 billion
Recognition of sustainability:
DuPont was voted as a sector leader in sustainability by the Carbon Disclosure Project in
200738.
Sustainability initiatives39:
1. Renewable Energy: In 1991, DuPont announced that they aim to use renewable
sources of energy for 10% of their operations by 2010. In 2005, DuPont was assessed
as using renewable energy sources including hydropower and biogas, for 5.5% of their
operations.
2. Investment in products which reduce Greenhouse Gas Emissions: DuPont aims to
increase annual revenue from products which reduce Greenhouse Gas Emissions by $2
billion. Products DuPont are introducing in this area include polymer materials, which
contribute to making vehicles lighter, and Nomex paper and pressboard which are used
in transformers in wind turbines.
3. Reduction in Greenhouse Gas Emissions: DuPont reduced the amount of nitrous
oxides and fluorochemicals used in their operations and this has lead to an estimated
60% reduction in greenhouse gas emissions from 1991.
36
American.gov 2008, DuPont develops world’s first advanced biofuel, U.S Department of State’s Bureau of
International Information Programs, viewed 20.09.2008, <http://www.america.gov/st/washfileenglish/2007/September/20070919163628ndyblehs0.6094019.html>
37
Cable News Network- Money 2008, Fortune- Global 500 2008: DuPont, Time Warner Company, viewed
21.09.2008, <http://money.cnn.com/magazines/fortune/global500/2008/snapshots/136.html>
38
Carbon Disclosure Project 2008, Climate Leaders, Carbon Disclosure Project, viewed 09.08.2008,
<http://www.cdproject.net/climateleaders2007.asp>
39
DuPont 2008, Sustainability Progress Report 2008, DuPont, viewed20.09.08,
<http://www2.dupont.com/Sustainability/en_US/assets/downloads/DuPont_2008_Sustainability_Progess_Repo
rt.pdf>
31
Financial services and banks
ANZ (Australian and New Zealand) Bank
The company:
The ANZ bank is the third largest bank in Australia and the largest bank in New Zealand, and
has opened branches in 25 other countries throughout the Asia- Pacific. ANZ provides
services including a range of loans, mortgages, savings, and cheque accounts for individuals
and corporations40.
2008 revenue41: USD$24.4 billion
Assets as of 2008: AUD$347 billion
Recognition of sustainability: ANZ Bank was voted the most sustainable bank globally in
200842, by the Dow Jones Sustainability Index.
Sustainability Initiatives:
1. Helping clients reduce their ‘carbon footprint’: Assisting clients to reduce their impact
on the environment through responsible investment choices is the focus of ANZ’s
sustainability initiatives. ANZ have developed a criteria which assists clients in
selecting credible projects which will offset their emissions, and recommend that any
offset needs to be beyond ‘business as usual’ activity to be effective. ANZ also work
with clients through financing measures. For example in 2008, ANZ worked with an
engineering firm to develop an energy-efficiency financing product. The product
provides advice to clients on ways in which to save energy and reduce emissions, and
funding to implement the changes43. Clients are guaranteed a level of energy savings
when investing in the product.
2. ‘Carbon neutral’ by 2009: ANZ aim to be ‘carbon neutral’ by 2009 through the
acquisition of renewable energy sources for their energy use, including wind and hydro
40
Banks.com.au 2008, ANZ Bank history, Banks.com.au, viewed 13.09.08,
<http://www.banks.com.au/directory/anz/>
41
Cable News Network-Money, Fortune- Global 500 2008: ANZ, Time Warner Company, viewed 13.09.08,
<http://money.cnn.com/magazines/fortune/global500/2008/snapshots/7509.html>
42
Investory Daily 2008, ANZ ranked world’s most sustainable bank, InvestorInfo Pty Ltd,
viewed 13.09.08, <http://www.investordaily.com.au/cps/rde/xchg/id/style/4951.htm?rdeCOQ=SID3F579BCE-2F2D4BD3>
43
ANZ Bank 2008, Leadng and responding to climate change challenges and opportunities, ANZ Bank,
viewed 13.09.08, <http://www.anz.com/aus/Corporate-Responsibility-2007/environment-and-supply/climatechanges.asp>
32
power. ANZ also plan to invest in the renewable energy sources that supply their
energy, in order to offset any other emissions. Specific projects have not yet been
named44.
3. Creating and implementing an assessment criteria for suppliers, which requires them
to disclose their social and environmental practices. ANZ have a more detailed criteria
for 30 suppliers who constitute a high proportion of their annual spending, and who
have a potentially high impact upon the environment 45.
44
ANZ Bank 2008, Our Approach, ANZ Bank, viewed 13.09.08, < http://www.anz.com/aus/CorporateResponsibility-2007/environment-and-supply/our-approach.asp>
45
ANZ Bank 2008, Influencing our supply chain, ANZ Bank, viewed 13.09.08,
<http://www.anz.com/aus/Corporate-Responsibility-2007/environment-and-supply/influencing-our-supplychain.asp>
33
The Allianz Group
The Company:
Allianz is a German based multinational financial services provider with over 80 million
customers throughout 70 countries46. Services include insurance, asset management, and
banking. Allianz is the second largest insurance company in the world, and the largest
insurance company in Germany 47.
2008 revenue48: USD$140 billion
Assets as of 2008: USD$1 551 billion
Recognition of sustainability: In 2007, The Allianz group was named a sector leader in
sustainability by the Dow Jones Sustainability Index49.
Sustainability initiatives:
1. Emissions reduction targets: Allianz plan to reduce their emissions in 2012 by 20%,
as compared to 2006 levels by using renewable sources of energy in the operations of
their individual companies50.
2. Allianz Climate Solutions (ACS) is a subsidiary company formed in 2007, who
specialise in climate-change related products and services. In conjunction with the
Allianz Centre of Competence for Climate Change (also formed in 2007), it is the role
of ACS to initiate solutions related to climate change for businesses. Existing examples
of ACS’s work, are the insurance policies provided for Brazilian wind farms51.
3. Development of an Environmental Management System (EMS): This system covers
70% of the Allianz Group’s employees and monitors the environmental impact of
various activities of the organisations, and enables Allianz organisations to be more
46
Allianz Group 2008, Lines of Business, Allianz Group, viewed 14.09.08,
<http://www.allianz.com/en/allianz_group/about_us/lines_of_business/page1.html>
47
California: Department of Insurance 2008, Allianz AG, California: Department of Insurance, viewed 09.09.08,
<http://www.insurance.ca.gov/0100-consumers/0300-public-programs/0100-holocaust-insur/allianz.cfm>
48
Cable News Network- Money 2008, Fortune- Global 500 2008: Allianz, Time Warner
Company, viewed 09.09.08,
<http://money.cnn.com/magazines/fortune/global500/2008/snapshots/7674.html>
49
Sam Research AG 2008, Super-sector leaders, Dow Jones Sustainability Index, viewed 09.08.2008,
<http://www.sustainability-index.com/07_htmle/indexes/djsiworld_supersectorleaders_07.html>
50
Allianz Group 2008, Climate Change, Allianz Group, viewed 09.09.08,
<http://www.allianz.com/en/allianz_group/sustainability/climate_change_and_environment/climate_change/inde
x.html#Reducing%20Our%20Carbon%20Emissions>
51
Allianz Group 2008, Product and Service Development, Allianz Group, viewed 09.09.08,
<http://www.allianz.com/en/allianz_group/sustainability/climate_change_and_environment/climate_change/inde
x.html#Reducing%20Our%20Carbon%20Emissions>
34
efficient in their use of energy. The EMS conforms to the international Environmental
Management Standard ISO 14001 to which Dresdner Bank has been recertified this year.
The EMS measures the extent to which Allianz is meeting environmental impact targets,
including the emissions reduction target listed above 52 .
52
The Allianz Group 2008, Environmental Management, The Allianz Group, viewed 09.09.08,
<http://www.allianz.com/en/allianz_group/sustainability/climate_change_and_environment/environmental_mana
gement/index.html#Environmental%20Management%20System>
35
Food and Beverage
Unilever
The Company:
Unilever is the second largest consumer goods group in the world53, with 400 brands of
products related to home, personal care and food products 54. Unilever is a dual-listed
company consisting of Unilever NV in Rotterdam, Netherlands and Unilever PLC in London.
Some of the better known brands include Lipton, Rexona, Dove and Streets.
2008 Revenue55: USD$55 billion
Assets as of 2008: USD$54 billion
Recognition of sustainability: In 2007, Unilever was voted a sector leader in sustainability in
the Dow Jones Sustainability Index56.
Sustainability initiatives57:
1. In 2007, Unilever Executive approved a new greenhouse gas strategy involving:
a. A 25% reduction in greenhouse gases resulting from manufacturing processes
by 2012, as compared to 2004
b. The development of a ‘greenhouse gas profiling tool’ which assists the
research and development department in assessing whether product
innovations improve a products carbon footprint. The tool looks at a products
impact on the environment from sourcing, to disposal of the product.
c. Working in conjunction with suppliers such as Tesco’s and WalMart, to
improve the supply chain of Unilever.
2. Packaging: in 2007, Unilever formed a Responsible Packaging Steering Team to define
a strategy which would reduce the impact of packaging on the environment. This
strategy includes increasing the amount of recycled materials used, investigating the
53
Business Week 2008, Unilever lathers up, The McGraw Hill Companies, viewed 10.08.2008,
<http://www.businessweek.com/globalbiz/content/feb2008/gb20080215_454648.htm>
54
Unilever 2008, Our Brands, Unilever, viewed 10.08.2008,<http://www.unilever.com/ourbrands/>
55
Cable News Network- Money 2008, Fortune- Global 500 2008: Unilever, Time Warner Company, viewed
10.08.2008, <http://money.cnn.com/magazines/fortune/global500/2008/snapshots/6127.html>
56
Sam Research AG 2008, Super-sector leaders, Dow Jones Sustainability Index, viewed 09.08.2008,
<http://www.sustainability-index.com/07_htmle/indexes/djsiworld_supersectorleaders_07.html>
57
Unilever 2008, Sustainable development report 2007, Unilever, viewed 20.09.08, <
http://www.unilever.com/ourvalues/environment-society/sustainable-development-report/default.asp>
36
feasibility of bio-degradable and compostable materials, and eliminating the use of
PVC.
3. Sustainable agricultural sourcing: Unilever aim to buy all their raw materials from
sustainable sources, and have developed a Sustainable Agriculture Programme, which
is responsible for communicating their Good Agriculture Practice Guidelines to
suppliers. By 2007, 65% of Unilever’s suppliers had completed the self-assessment
report, and been approved by Unilever as sources of sustainable agriculture.
37
Kraft Foods Inc.
The company:
Kraft Foods is the largest branded food and beverage company in the United States, and
the fourth largest world-wide58 . Kraft has sales in more than 150 countries. Some of the
better known brands are Ritz, Toblerone, Oreo, and Jell-O.
2008 Revenue59: US$37.2 billion
Assets as of 2008: US$68 billion
Recognition of sustainability: In 2007, Kraft Foods was recognised for sustainable
practices, and included in the Dow Jones Sustainability Index.
Sustainability initiatives:
1. Sustainable agriculture: Kraft has developed systems which ‘measure and reward
sustainability’, focusing primarily on operations in Africa, Asia and Latin
America, where Kraft grow most of their raw materials. In 2003 Kraft partnered
with Rainforest Alliance in assisting farmers in Latin America to develop
sustainable coffee plantations and practices60.
2. Kraft are working with Environmental Resource Management- a global
environmental management firm, in order to measure and then reduce water
consumption, energy use, co2 emissions and the amount of solid waste generated
in their global manufacturing processes61. Since 2001, Kraft has achieved:
a. A 34% decrease in water consumption
b. A 25% decrease in energy use
c. A 30% decrease in co2 emissions
d. A 16% reduction in the amount of solid waste generated
3. Kraft are working toward reducing the amount of waste involved in packaging
including the manufacturing of packaging, the delivering of packaging and the
58
Kraft Foods Inc. 2008, About us: Sustainability, Kraft Foods Inc., viewed 15.09.08,
<http://www.kraft.com/About/sustainability/measurement.htm>
59
Cable News Network- Money 2008, Fortune- Global 500 2008; Kraft Foods, viewed 14.09.08,
<http://money.cnn.com/magazines/fortune/fortune500/2008/snapshots/293.html>
60
Kraft Foods Inc. 2008, Sustainability: Packaging, Kraft Foods Inc, viewed 15.09.08,
<http://www.kraft.com/about/sustainability/packaging.htm>
61
Kraft Foods Inc. 2008, Sustainability: Measurement, Kraft Foods Inc, viewed 16.09.08,
<http://www.kraft.com/About/sustainability/measurement.htm>
38
disposal of it in landfills. Kraft are beginning to change the packaging of their
products by using less materials, designing lighter packaging and using more
sustainable materials which will have less of an impact on the environment when
disposed of. Kraft have altered the packaging of one of their chocolate bars,
Milka, by using only one layer of packaging, instead of two. Kraft are looking to
expand this technique to other chocolate bars and report that this will result in a
58% reduction in their primary packaging. Kraft have not set any specific goals in
terms of what they want to achieve in regards to packaging reductions62.
62
Kraft Foods Inc. 2008, Sustainability: Packaging, Kraft Foods Inc., viewed 15.09.08,
<http://www.kraft.com/about/sustainability/packaging.htm>
39
Mining and construction
Nippon Steel
The company:
Nippon Steel is a Japanese corporation, primarily specialising in the manufacture and
distribution of steel products used in construction. Nippon Steel also offers chemical
products, and services in engineering, construction, and research63. Nippon Steel is the
world’s second largest producer of steel64.
Revenue 200865: USD$42.2 billion
Assets as of 2008: USD$52.17 billion
Recognition of sustainability:
In 2008, Nippon Steel was included in the Carbon Disclosure Project’s, Carbon Disclosure
Leadership Index66.
Sustainability initiatives: Nippon Steel do not have specific goals in terms of emission
reductions they intend to make, rather state their goals in terms of what they have already
achieved.
1. Recycling67: Nippon Steel have achieved a recycling rate of 98% of byproducts
generated in the manufacturing process. Nippon Steel are also investigating additional
recycling methods including a Rotary Hearth Furnace, in which coal or another
reducing material is treated to recover iron and zinc for recycling. Nippon Steel are
incorporating the recycling of byproducts and waste, such as containers and
packaging, into their steel making processes. In 2006, Nippon Steel established a setup for the processing of 10% of Japans waste tires.
2. Reducing C02 emissions68: The most recent figures available show that in 2006,
Nippon Steel had reduced C02 emissions by 9.8%, as compared to 1990. Nippon
Steel promote forest creation at each mill site as part of their campaign to reduce
emissions. Nippon Steel are also working to produce products which emit less c02.
63
Nippon Steel Corporation 2008, Company Profile, Nippon Steel Corporation, viewed 11.09.08,
<http://www.nsc.co.jp/en/company/profile/index.html>
64
Forbes. Com 2008, Nippon Steel, Forbes.com LLC, viewed 11.09.08,
<http://www.forbes.com/2008/03/06/nippon-steel-profits-markets-equity-cx_vk_0306markets05.html>
65
Cable News Network- Money 2008, Fortune- Global 500 2008: Nippon Steel Corporation, viewed 11.09.08,
< http://money.cnn.com/magazines/fortune/global500/2008/snapshots/6535.html>
66
Carbon Disclosure Project 2008, Carbon Disclosure Leadership Index, Carbon Disclosure Project, viewed
08.08.2008, <http://www.cdproject.net/carbon-disclosure-leadership-index.asp>
67
Nippon Steel Corporation 2008, Recycling, Nippon Steel Corporation, viewed 11.09.08,
<http://www.nsc.co.jp/en/eco/recycle/index.html>
68
Nippon Steel Corporation 2008, Global Warming, Nippon Steel Corporation, viewed 11.09.08,
<http://www.nsc.co.jp/en/eco/warming/index.html>
40
This includes creating lighter weighted steel used in the manufacture of vehicles, in
order to
3. Energy efficiency: Nippon Steel has reduced energy consumption by 9.1% since 1990
by generating power using by-product gas and recovering waste heat. Nippon Steel are
also researching various products which will increase the energy efficiency of their
customers. A product which has recently been developed is a new material to be used
in semi-conductors. The new silicon carbon carbide monocrystal wafers has an
increased resistance to heat and high voltage exposure, which decreases the amount of
energy lost 69.
69
Nippon Steel Corporation 2008, Sustainability Report 2007, Nippon Steel Corporation, viewed 11.09.08
<http://www.nsc.co.jp/en/eco/report/pdf/english_2007.pdf>
41
Rio Tinto PLC
The company:
RioTinto is an international mining group, combining Rio Tinto plc and Rio Tinto Limited.
The Company's principal products are iron ore, energy, industrial minerals, aluminium,
copper, and diamonds70. Rio Tinto has operations in Australia, North America, South
America, South Africa, Asia and Europe. Rio Tinto is the world’s third largest mining
company 71.
2008 revenue72: USD$29.7 billion
Assets as of 2008: USD$100.81 billion
Recognition of sustainability: Rio Tinto was recognised as a sector leader in sustainability by
the Carbon Disclosure Project in 200773.
Sustainability Initiatives:
Rio Tinto have adopted a three year Climate Change Action Plan which started in 2006.
Initiatives which form part of this include:
1. Research projects74: In 2007, Rio Tinto joined with BP to form a subsidiary
company, Hydrogen Energy. Hydrogen Energy will research and develop technologies
around converting fossil fuels to hydrogen gases.
2. Emissions reduction targets75: In 2004, Rio Tinto set a 5 year target of reducing
emissions by 4% per tonne of product by 2008, as compared to 2003 levels. Rio
Tinto also aimed to reduce energy consumption by 5% per tonne of product during
the same period of time. To help Rio Tinto achieve their goals, the company are
looking at alternative means of moving materials, for example conveyor belts instead
of trucks and researching more efficient mining technologies. Rio Tinto have achieved a
0.7% reduction in emissions and energy thus far.
70
Rio Tinto PLC 2008, Our Products, Rio Tinto PLC, viewed 12.09.08,
<http://www.riotinto.com/whatweproduce/218_our_products.asp>
71
Business Day 2008, Rio Tinto PLC News Index, Fairfax Digital, viewed 11.09.08,
<http://news.businessday.com.au/news/company/ZRI>
72
Forbes.com LLC, The Global 2000: Rio Tinto, Forbes.com LLC, viewed 11.09.08,
<http://www.forbes.com/lists/2008/18/biz_2000global08_The-Global-2000_Company_15.html>
73
Carbon Disclosure Project 2008, Climate Leaders, Carbon Disclosure Project, viewed 09.08.2008,
<http://www.cdproject.net/climateleaders2007.asp>
74
Rio Tinto PLC 2008, Our Approach: Climate Change and energy, Rio Tinto PLC, viewed 09.09.08,
<http://www.riotinto.com/ourapproach/7193_climate_change_and_energy.asp>
75
Rio Tinto PLC 2008, Our Approach- Goals and Targeswt 2007, Rio Tinto PLC, viewed 13.09.08,
<http://www.riotinto.com/ourapproach/7139_goals_targets_2007.asp>
42
3. Biodiversity assessment76: Rio Tinto assert a ‘net positive impact’ upon the
environment. This means that the company needs to give evidence of actions which
result in positive effects that outweigh the negative effects their operations have upon
the immediate environment around them. As such, Rio Tinto have initiatives relating
to the environment on site, which aim to mitigate negative effects upon the
environment. At the end of 2007, 93% of Rio Tinto’s operating facilities had
conducted a biodiversity assessment in order to inform
76
Rio Tinto PLC 2008, Our Approach: Biodiversity, Rio Tinto PLC, viewed 12.09.08,
<http://www.riotinto.com/ourapproach/7195_biodiversity.asp>
43
Retail
Marks and Spencer P.L.C
The Company
Marks and Spencer is the largest clothing retailer in the United Kingdom, and has a market
share of 11.1%77. M & S also sells food, home ware, and provides financial services. M & S
operates in 34 countries, though U.K retail constitutes 93% of the groups’ sales78.
2008 Revenue79: US$18.1 billion
Assets as of 2008: US$14.2 billion
Recognition of sustainability: In 2007, Marks and Spencer were recognised as a sector leader
in sustainability in the Dow Jones Sustainability Index80.
Sustainability Initiatives81:
In January 2007, M & S announced their ‘Plan A’ initiative, which is aimed at significantly
improving the company’s sustainability over the next 5 years. It will cost M & S US $400
million over the next 5 years. Plan A details 5 core goals that M & S hope to achieve by 2012:
1.
2.
3.
4.
5.
To become ‘carbon neutral’
To be sending no waste to landfill
To have extended sustainable sourcing
To be helping improve the quality of lives in the supply chain
To be helping customers live healthier lifestyles
77
Dow Jones Sustainability Index 2008, Marks and Spencer, Dow Jones Sustainability Index,
viewed 20.09.08, <http://www.sustainability-indexes.com/djsi_pdf/Bios08/MarksSpencer_08.pdf>
78
Marks and Spencer 2008, Annual Report, Marks and Spencer, viewed 20.09.08,
<http://annualreport.marksandspencer.com/about/kpis.html>
79
Cable News Network- Money 2008, Fortune- Global 500 2008: Marks and Spencer, Time Warner
Company, <http://money.cnn.com/magazines/fortune/global500/2008/snapshots/7907.html>
80
Sam Research AG 2008, Super-sector leaders, Dow Jones Sustainability Index, viewed 09.08.2008,
<http://www.sustainability-index.com/07_htmle/indexes/djsiworld_supersectorleaders_07.html>
81
Marks and Spencer 2008, Environment, Marks and Spencer, viewed 20.09.09,
<http://www.marksandspencer.com/gp/node/n/43476031/026-7966533-1382010>
44
The primary courses of action M & S plan to undertake to achieve their environmentally
focused goals are:
1. Charging 5 pence per plastic bag to encourage the reduction in use of plastic bags. All
money raised by this initiative is donated to Groundwork UK, which is an
environmental regeneration organisation. Since the beginning of the initiative in May
2008, there has been an 80% decrease in the amount of plastic bags used by M & S
customers and a total of 500, 000 pounds donated to Groundwork UK.
2. Reducing emissions: M & S are maximizing their use of renewable energy by currently
operating three wind turbines, and using carbon offsets as a last resort. M & S are also
offering incentives to their individual stores, offering the monetary equivalent of 10%
of any energy savings they make above their set targets.
3. Life-Cycle Assessments: M & S have been developing systems of understanding the
long term impacts of products on the environment, from manufacture to disposal. For
example, M & S conducted research which found that 70% of energy used in the life
of an item of clothing is consumed in the washing of the article, so M & S have been
developing clothing which can be washed at lower temperatures.
45
Nike Inc.
The Company:
Nike is a U.S based manufacturer and distributer of athletic footwear, apparel and equipment.
Nike operates in 160 countries, and is the world’s largest sporting apparel and fitness
equipment company 82. Nike Inc’s brand portfolio includes Cole Haan, Converse Inc, Hurley
International LLC, Nike Golf and Umbrio Ltd.
2008 Revenue83: USD$16.3 Billion
Assets as of 2008: USD$10.7 Billion
Recognition of sustainability: In 2007, Nike was recognised in the Dow Jones Sustainability
Index.
Sustainability initiatives84:
Nike aims to be ‘carbon neutral’ in their facilities and business travel by 2015.
1. Nike Environmental Engineering organization (E2): E2 is made up of Nike staff who
are responsible for analysing current manufacturing methods, and developing new
ways in which to reduce waste. Nike aims to continually reduce waste through their
‘Considered Design’ process, which works on using sustainable materials and limiting
waste. Additionally, Nike has established six waste management centres in Asia who
recycle materials which are unusable in Nike factories, but which can be used for other
products. Nike does not identify what they specifically want to achieve in terms of
waste reduction.
2. The elimination of GHG’s in areas of manufacture: In 2006, Nike eliminated from the
manufacture of Nike brand footwear in 2006. Nike is now using nitrogen instead of
sulphur hexafluoride in their facilities, and this has reduced Nike’s emission of GHG’s
by 80% since 1997.
3. Participation in the World Wildlife Fund’s Climate Savers program from 2001. In
participating in this program, Nike were set C02 emission reduction targets to achieve
by 2005. By 2005 Nike had exceeded their target of 13% emission reduction in Nike
operated facilities and business travel, and achieved an 18% reduction in c02 emissions
as compared to 1998 levels.
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Nike Inc. 2008, Careers, Nike Inc. viewed 20.09.08, <http://www.nikebiz.com/careers/>
Cable News Network- Money 2008, Global 500 2008: Nike, Time Warner Company, viewed 21.09.08
<http://money.cnn.com/magazines/fortune/fortune500/2008/snapshots/2184.html>
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Nike Inc. 2008, Nike Corporate Responsibility Report: Environment, Nike Inc., viewed 21.09.08,
<http://www.nikeresponsibility.com/pdfs/color/4_Nike_CRR_Environment_C.pdf>
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Software
Microsoft
The company:
Microsoft develops, manufactures, licenses and supports a range of software products for
many different types of computing devices85. Microsoft is based in the United States, and has
subsidiary operations in over 100 different countries86. Microsoft is the largest software
company in the world87.
2008 revenue88: USD$51.12 billion
Assets as of 2008: USD$63.1 billion
Recognition of sustainability:
In 2007, Microsoft was named a sector leader in sustainability by the Carbon Disclosure
Project89.
Sustainability initiatives:
1. Eye on Earth project: In 2008, Microsoft joined with the European Environment
Agency to launch a 5 year online environmental observatory project, called Eye on
Earth. The project aims to collect and disseminate European water, soil and ozone
information on a single site, to enable government, policy makers, and individuals to
access the information. It is hoped this project will encourage an increase in knowledge
of local environmental issues90.
85
Forbesc.om LLC 2008, Microsoft at a glance, Forbes.com LLC, viewed 21.09.08,
<http://finapps.forbes.com/finapps/jsp/finance/compinfo/CIAtAGlance.jsp?sedol=2588173>
86
Microsoft Corporation 2008, Microsoft- Fast Facts, Microsoft Corporation, viewed 21.09.08,
<http://download.microsoft.com/download/1/3/0/130dd86a-a196-4700-b577-521c4cf5cec1/fastfacts.doc>
87
Software Top 100 2007, The world’s largest software companies of 2007, Software Top 100, viewed
21.09.08, < http://www.softwaretop100.org/list.php?page=1>
88
Cable News Network- Money 2008, Fortune- Global 500 2008: Microsoft, Time Warner Company, viewed
20.09.09, <http://money.cnn.com/magazines/fortune/fortune500/2008/snapshots/3063.html>
89
Carbon Disclosure Project 2008, Climate Leaders, Carbon Disclosure Project, viewed 09.08.2008,
<http://www.cdproject.net/climateleaders2007.asp>
90
Microsoft Corporation 2008, Press release: Water Watch, Microsoft Corporation, viewed 21.09.08,
<http://www.microsoft.com/emea/presscentre/pressreleases/WaterWatchPR_30072008.mspx>
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2. Windows Vista: Windows Vista is a new software feature which enables alterations to
power management infrastructure, which it is said will result in a significant increase in
energy efficiency for Microsoft users91.
3.
Some of the features included in Windows Vista are:
•
•
•
A default time out that automatically blanks the display
A system idle timer for entering Sleep
Default Off that is actually Sleep (Start menu, sleep power button, button,
and lid switch)
4. Alterations to on-site operations: In August 2008, Microsoft was recognized as the
first US corporation to achieve Ceritified Green Restaurant service by the Green
Restaurant Assosciation92. Microsoft made a range of different alterations to their onsite operations including :
•
•
•
•
Removing all styrofome
Full scale recycling
Adding a composting program
Converting grease and oil to biofuel
91
Microsoft Corporation 2008, Windows Vista: Energy Conservation, Microsoft Corporation, viewed
21.09.08,<http://www.microsoft.com/whdc/system/pnppwr/powermgmt/VistaEnergyConserv.mspx#top>
92
Green Restaurant Association 2008, Microsoft, Green Restaurant Association, viewed 20.09.08,
<http://dinegreen.com/outsidelink.asp?ol=http://publishing.yudu.com/Freedom/Ansmr/GRAMicrosoftPressRel/
resources/index.htm?referrerUrl>
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Utilities
Gaz de France –SUEZ (GDF SUEZ)
The Company
The merger between Gaz de France and SUEZ in July 2008 resulted in the formation of a new
company- GDF SUEZ, the number one buyer and seller of gas in Europe and number one gas
transmission and distribution network in Europe93. GDF SUEZ offers services and products
across the energy value chain in electricity and natural gas including:
•
•
•
Purchase, production and marketing of natural gas and electricity
Transportation, distribution, management and development of infrastructures for
electricity and natural gas
Development and marketing of energy and environmental services
2008 revenue94: USD$101.43
(GDF- USD$36.47 billion, SUEZ- USD$64.96 billion)
Assets as of 2008: USD$171.42
(GDF- USD$56.53 billion, SUEZ- USD$114.89 billion)
Recognition of sustainability:
In 2007 GDF SUEZ was named a sector leader by the Carbon Disclosure Project95.
Sustainability initiatives96:
1. Research and promotion of natural gas vehicles: Since 2006 GDF SUEZ has marketed
a system which allows individuals to install home natural gas refuelling systems for
natural gas vehicles. This research, conducted by Gaz de France, led to the intergration
of this fuel into local public transport, corporate users, and more recently, private
individuals.
2. The first ‘zero CO2 car factory’: In 2007, SUEZ joined with Volvo to build the first zero
CO2 car factory in Belgium. The factory gets its power from wind turbines, a biomass
93
Market Watch 2008, Suez-GDF to tie the knot, The Wall Street Journal Digital Network, viewed 22.09.08,
<http://www.marketwatch.com/news/story/suez-gaz-de-france-tie/story.aspx?guid=%7B34C5B7AB-FF6D-40418DA6-7E6A3E050078%7D>
94
Forbes.com LLC 2008, The Global 2000: GDF/SUEZ, Forbes.com LLC, viewed 22.09.08,
<http://www.forbes.com/lists/2008/18/biz_2000global08_The-Global-2000_Company_17.html>
95
Carbon Disclosure Project 2008, Climate Leaders, Carbon Disclosure Project, viewed 09.08.2008,
<http://www.cdproject.net/climateleaders2007.asp>
96
GDF SUEZ 2008, Sustainable Development, GDF SUEZ, viewed 22.09.08,
<http://www.gdfsuez.com/en/developpement-durable/actions/>
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plant and solar panels. This has resulted in an emission reduction for Volvo, from 14,000
in 2004 to zero at the end of 2007.
3. Co-generation plants: From the end of 2003, Tractebel Energia (a South American
subsidiary of GDF SUEZ) has been using timber waste from local sawmills in Brazil
to produce electricity and steam at the Lages cogeneration plant. The Lages plant has
cut C02 ‘equivalents’ emissions of 220 000 tones per year.
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Iberdrola
The Company
Iberdrola is a Spanish electric utility and is the fourth largest electrical company in the
world97. Iberdrola is the energy sector leader in spain, and has also been recognised as the
world leader in renewable energy, particularly wind power, with their renewable energy
company, Iberdrola Renovables. Iberdola recently acquired two energy companiesScottishPower and Energy East, which was the largest acquisition of an American company
by a Spanish company. Iberdrola operates in more than 40 countries around the world and
has more than 25 million customers98.
Iberdrola uses thermal coal, hydraulics, renewable, combined cycle gas, thermal oil, nuclear
and installed capacity as sources of power.
2008 Revenue99: USD$23.9 billion
Assets as of 2008: USD$99.9 billion
Recognition of sustainability
In 2007, Iberdrola was named a sector leader in sustainability by the Carbon Disclosure
Project100.
Sustainability initiatives101
Iberdrola outlines their environmental sustainability goals in their 2008-2010 Strategic Plan.
Their primary areas of focus are:
1. Expanding their renewable energy market: Iberdrola are investing 8, 600 million euros
into wind power to increase their use from 7,700 MW to 13, 600 MW by 2010.
2. Climate change: In September 2008, Iberdrola joined the United Nations supported
platform, ‘Caring for climate’. Iberdrola aim to increase the production of combined
cycle plants instead of conventional thermal plants in Spain and the United Kingdom
to reduce CO2 emissions.
97
Your Renewable News 2008, Iberdrola approves acquisition of U.S Company Energy East, Your Industry
News, viewed 20.09.08, <http://www.yourrenewablenews.com/news_item.php?newsID=10153>
98
SAM Research AG 2008, Sustainability Leader: Iberdrola, Dow Jones Sustainability Index, viewed
23.09.08, < http://www.sustainability-indexes.com/djsi_pdf/Bios09/Iberdrola_09.pdf>
99
Cable News Network- Money 2008, Fortune Global 500 2008: Iberdrola, Time Warner Company, viewed
15.09.08, <http://money.cnn.com/magazines/fortune/global500/2008/snapshots/8198.html>
100
Carbon Disclosure Project 2008, Climate Leaders, Carbon Disclosure Project, viewed 09.08.2008,
<http://www.cdproject.net/climateleaders2007.asp>
101
Iberdrola 2008, Sustainability Report 2007, Iberdrola, viewed 20.09.08,
<http://www.iberdrola.es/wcorp/gc/en/doc/InformeSostenibilidad2007.pdf>
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3. Iberdrola is researching the collection of and storage of C02. The first project is
located in the United Kingdom with a coal fired power plant, and is to be conducted
in partnership with the Univesity of Endinburgh, Heriot-Watt University and the
British Geological Survey.
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