Operations

Operations

Reducing the environmental impact of our operations means engaging our entire organization in making changes big and small throughout our manufacturing, distribution, and office facilities.

And to provide the focus and motivation to do so, we have set new footprint reduction goals. For each case of product sold, we will reduce GHG emissions, energy use, and water use by 10 percent, and solid waste by 20 percent, all by 2013.

GHG

Goal

Clorox made a public pledge to reduce our Greenhouse Gas (GHG) emissions by 10 percent per case of product sold from 2007 to 2013. We also provide our GHG information to the Carbon Disclosure Project (CDP) with our full submission data available below.

As of 2010, we’re halfway through our goal period and we’ve already reduced our total GHG emissions (Scope 1 + Scope 2 + Scope 3) by over 13% on a per sales basis (as compared to our original goal of a 10% reduction). We aim to continue the good work that has already been done and further reduce our global GHG emissions.

Progress to date

From 2005–2010, Clorox has reduced its GHG emission on a per case basis sold

GHG Emission Reductions

Our 2005 through 2010 GHG emissions data were collected by an independent third party environmental services firm with detailed knowledge of the operations and air emissions characteristics of the major Clorox manufacturing facilities. This firm utilized source data (electricity, natural gas, fuels and chemicals) to calculate associated emissions, and followed the World Resources Institute (WRI) and the World Business Council for Sustainable Development (WBCSD) standard protocols in their calculation of Clorox’s GHG emissions.

We have also conducted an initial external third-party partial verification of our GHG emissions that includes the impact of our electricity and natural gas consumption in all US facilities. This verification encompasses approximately 60% of our total global Scope 1 and Scope 2 GHG emissions, and was carried out by an independent third party GHG verifier.

Scope 1, 2 & 3 GHG Emission Trends

GHG Emission Trends Reportable Emissions

Scope 1, 2 and 3 emissions are defined as follows:

  • Scope 1 emissions are defined as GHG emissions as a direct result of Clorox operations and equal approximately 12 percent of Clorox’s total manufacturing and distribution GHG impact. We estimate that 53 percent of Scope 1 emissions are from carbon dioxide (CO2) and the remainder is from methane (CH4), nitrous oxide (N2O), and hydrofluorocarbons (HFCs). The primary source of CH4 and N2O is wood pyrolysis at charcoal plants in the United States. HFC emissions have averaged 155 Metric Tons Carbon Equivalent (MTCE) per year for the period 2005–2007, based on a release of 0.119 tonnes of refrigerant. The primary species of HFC released is R-134a.
  • Scope 2 emissions are defined as Clorox’s indirect emissions from purchased electricity, heat and steam. A little over 50 percent of our combined manufacturing and distribution GHG footprint is from our indirect electricity use at our manufacturing plants, distribution centers and corporate office buildings. Our GHG calculations include both the amount of electricity drawn as well as the source of that electricity (e.g., coal vs. gas vs. other types of power plant fuels). Regional electric power emission factors (eGRID data) were used to compute indirect emissions. This is in conformance with the U.S. EPA Protocol.
  • Scope 3 emissions: We currently compute and include Scope 3 emissions from two sources:
    • Emissions associated with the distribution of our finished products by non-affiliated carriers to regional distribution centers and to retailers, account for about a third of Clorox’s combined manufacturing and distribution GHG impact. These estimates include all modes of transport (air, water, truck and rail). When truck carrier specific fuel efficiency data was not available, we used an efficiency of 5.5 miles/gallon of diesel fuel as a default value for long haul trucking. Scope 3 distribution emissions were estimated by using both truck miles traveled and actual fuel used: 1) between our production facilities; 2) from production facilities to our distribution centers; 3) from production facilities to customer distribution centers and 4) from our distribution centers to customer distribution centers.
    • We also include our Scope 3 emissions from business travel by our employees. This includes all air travel (domestic within the United States as well as International travel) and emissions associated with our use of rental cars.

Reportable GHG emissions by gas (2010 data)

Reportable GHG Emissions by gas

All six recognized GHGs have been inventoried. There has been no reported use of sulfur hexafluoride and perfluorocarbons. The global warming potentials from the Intergovernmental Panel on Climate Change (IPCC) 1996 Second Assessment Report were used for conformance with the U.S. EPA Climate Leaders Protocol.

GHG Emissions by Geography

GHG Emissions by Geography

Total GHG Emissions (reportable vs. biogenic)

Total GHG Emissions (reportable vs. biogenic)

More than 60 percent of our greenhouse gas emissions are actually from biogenic sources associated with the use of wood scrap as an energy source in our Kingsford® charcoal manufacturing operations. (CO2 produced in our Kingsford operations via wood pyrolysis and off-gas combustion is considered biogenic, while the CH4 and N2O emissions produced via pyrolysis and off-gas combustion are considered anthropogenic and are therefore included in Clorox’s Scope 1 reportable emissions.)

We chose to show this data even though biogenic greenhouse gas emissions (that is, from wood and other biofuels) are considered part of the natural carbon cycle, and are therefore excluded from reportable carbon-footprint calculations.

GHG Emissions by Business Unit

GHG Emissions by Business Unit

List of major accomplishments

  • Energy reduction: We have retrofitted all of our North American manufacturing and distribution facilities with energy efficient T5/T8 lighting, and with motion sensors where appropriate. We have also conducted extensive energy audits at our manufacturing plants in order to identify other operating equipment and HVAC systems efficiencies that can further reduce our electricity use.
  • Distribution efficiency: We have recently increased the eco-efficiency of our finished product distribution markedly by moving from truck to more efficient rail. Today, 30% of Clorox finished goods distribution miles are by rail.

    We’re proud to report we’re also a member of the EPA’s Smart Way program as a Transport Partner. Clorox qualified to be a Smart Way Transport Partner by the use of qualified Smart Way carriers for over 95% of our truck freight miles. This is a prestigious designation for us, along the same lines as our Energy Star qualification for many of our facilities. This designation also expands our environmental partnership with the US EPA, which also includes our membership in their Waste Wise and Design for the Environment programs.

    In recent years, we have also conducted extensive network reconfiguration and optimization of shipments occurring between our plants, co-packers, DC’s and customers. This has helped to minimize the number of traffic lanes used and maximize the quantity of goods carried on existing lanes.

  • Material efficiency: At Clorox, we’re committed to redesigning our products and packaging in order to improve their environmental footprint by either reducing or improving the materials used. Since 2005, we’ve made sustainability improvements* to nearly 50% of our product portfolio (volume sold basis). We’re proud to say that 90% of our product cartons use 100% recycled material, and more than 85% of the packages that house our products are recyclable.
    (* Per internal Clorox sustainability improvement measurement system)
  • Workplace Initiatives: We are also committed to doing all that we can to reduce our workplace energy use and commensurate GHG emissions. Recently, Clorox has reduced its paper use by 30% across all of our North American facilities, with all remaining paper converted to 100% recycled content. We’ve also recently reduced business travel by 20%, and we’ve converted company cars to Toyota Prius hybrids, which reduced fuel use by almost half and reduced annual GHG emissions by about 700 metric tons.

    Clorox’s general office in Oakland, California is now one of only 38 buildings in the United States to achieve the LEED–EB (Leadership in Energy and Environmental Design–Existing Building) Platinum certification–the highest sustainability recognition an existing building can achieve. This 34-year-old building houses almost 1,200 employees and contractors, and is one of the oldest buildings to achieve Platinum certification.

    The LEED program, administered by the U.S. Green Business Council, is the preeminent green building certification program in the U.S. and the nationally accepted benchmark for the design, construction and operation of high-performance green buildings. LEED-EB certification focuses on lowering the environmental footprint of an existing building’s operations and maintenance. Platinum certification is the highest of four certification levels the LEED program offers. In order to earn this certification, Clorox had to make dozens of building improvements, including:

    • Replacement of every plumbing fixture, toilet and urinal in the building in order to reduce our water consumption by over 40% (approximately 1.5 million gallons annually).
    • Replacement of over 1,700 lamps to more eco-efficient lighting
    • Installation of a new white reflective roof (cleaned regularly with Green Works!)
    • Numerous efficiency improvements to the building’s heating, cooling and ventilation system—like high efficiency boilers and water heaters
    • Moving to non-potable water for all irrigation
    • Implementation of solid waste recycling and composting programs
    The LEED–EB Platinum certification distinguishes Clorox as an Eco leader with a very strong commitment to environmental stewardship.

Renewable sources

Kingsford operations

Kingsford® retort furnaces convert renewable wood scrap to make char. Much of the heat generated from this process is, in turn, used to dry waste wood raw material as well as finished charcoal briquets, and to power steam boilers that are used for other Kingsford manufacturing operations, thereby reducing use of fossil-fueled electricity these plants need to pull from the grid.

Renewable Energy Credits and Carbon Offsets

Burt’s Bees® Natural Personal Care Products, a Clorox division, essentially offsets their Scope 1 and Scope 2 GHG emissions by the purchase of Carbon Offsets. GHG emissions from Burt’s Bees operations are approximately 0.5% of Clorox’s total annual GHG emissions. This is part of their ongoing effort to become a carbon neutral operation.

As part of Clorox’s Leadership in Energy & Environmental Design (LEED) certification for our corporate offices in Oakland, California, we’ve purchased renewable energy certificates (RECs) to offset all electricity and natural gas usage within the building. These RECs have been purchased through "Renewable Choice Energy" (http://www.renewablechoice.com). The electricity offsets purchased for our Oakland corporate offices are approximately 1.4% of our total annual electricity consumption.