Clean world

Energy

Energy

Energy efficiency has been key to our overall climate strategy, helping to reduce our operational energy costs. By continuing to invest in measures to reduce our own global manufacturing and workplace climate footprint, we’re accelerating our commitment to clean, renewable energy for our operations as part of our IGNITE environmental, social and governance goals focused on climate stewardship.

Our goals

Our goals

  • Achieve 100% renewable electricity in our U.S./Canada operations in 2021.
  • Drive continued energy efficiency improvements that achieve or exceed our target of 1.44 megawatt hours of energy per thousand cases sold, compared to our 2018 baseline levels.

Energy conservation

For over a decade, we’ve set goals to conserve energy and reduce emissions. Since 2008, we’ve invested in energy-efficient equipment and employed more eco-efficient manufacturing practices. That’s allowed us to reduce our energy consumption 27% on an intensity basis (per case of product sold) and 9% on an absolute basis between 2007 and 2018, representing a reduction of 72,000 megawatt-hours, over our last two goal periods (2007–2011 and 2012–2018).

Since 2018, we’ve continued to report annual energy use and obtain third-party assurance on priority energy metrics, as disclosed on our ESG Data Hub. We’ve also continued to pursue energy efficiency opportunities with the goal of achieving or exceeding our 2018 baseline levels. Between 2018 and 2023, our energy consumption decreased almost 9% and our plants were able to drive efficiencies and reduce energy consumption 5% per case of product sold.

North America renewable energy

Clorox’s U.S. and Canada electricity consumption represented 84% of our global electricity consumption and 50% of global energy consumption — including electricity and fuels — in calendar year 2023. 

Through our two virtual power purchase agreements, or VPPAs, we delivered on our goal for 100% renewable electricity for U.S. and Canadian operations in 2023:

  • 2021: A 12-year, 70megawatt VPPA with Enel Green Power North America began producing electricity for Clorox and represented about half of our 100% renewable electricity goal. This VPPA along with renewable energy credits, or RECs, purchased from the open market helped us achieve that goal by 2021, four years earlier than our original plan. 
  • 2023: A 12-year, 47-megawatt VPPA for a new wind farm in Oklahoma with Enel North America’s renewable energy business line, Enel Green Power, began producing renewable energy for Clorox. It is  to eliminate the need to purchase RECs from the open market.

Our VPPAs also allow us to support the expansion of renewable energy infrastructure in the U.S. Longer term, we are committed to maintaining our renewable energy goal through VPPAs and other market purchases of RECs, as necessary.

In addition to the VPPAS, we worked with third parties to install solar panels at three of our facilities: our Fairfield, California plant and regional distribution center in Aberdeen, Maryland in fiscal year 2017; and our Caguas Puerto Rico facility in 2023. The solar panels were built as power purchase agreements, or PPAs, meaning Clorox didn’t invest capital to build the projects. Through the PPAs, the facilities can buy the power produced from the third parties at a lower rate than that of local utility companies. While the solar panels generate renewable energy, we do not claim the use of renewable energy or include the clean energy attributes of the Aberdeen or Caguas facilities in the calculation of our GHG emissions because the third party retains the REC rights in those PPAs. However, we do account for the RECs from our Fairfield facility due to the way the PPA is contractually structured.

International renewable energy

We also achieved a full year of renewable electricity at our Colombia plant. We sourced the renewable electricity from international RECs (I-RECs) through energy service providers in Colombia. Our Chile plant contracted I-RECs from its energy service provider; however, we were not able to include the I-RECs in our emissions accounting in 2023, as the production year of the I-RECs fell outside of Green-E’s required time range, based on when Clorox consumed the energy. The renewable energy sourcing efforts in our Colombia operation represented 3% of our electricity consumption outside of the U.S. and Canada in 2023.

Oakland Headquarters LEED Certification

In 2010, our corporate headquarters in Oakland, California, became one of only 38 buildings in the U.S. at that time to have achieved platinum-level Leadership in Energy and Environmental Design – Existing Building certification (LEED-EB) the highest environmental recognition an existing building can achieve. Built in 1976, this 24-floor building was one of the oldest buildings to achieve this environmental certification level. LEED-EB certification, administered by the U.S. Green Business Council, focuses on lowering the environmental footprint of an existing building’s operations and maintenance. Platinum certification is the highest of four certification levels offered by the LEED program.

To earn this certification, Clorox made dozens of building improvements, including:

  • Replaced every plumbing fixture, toilet and urinal to reduce water consumption by over 40% (approximately 1.5 million gallons annually).
  • Replaced more than 1,700 fixtures with more eco-efficient lighting.
  • Made numerous efficiency improvements to the building’s heating, cooling and ventilation system — such as high-efficiency boilers and water heaters.
  • Moved to nonpotable water for all irrigation.
  • Implemented solid waste recycling and composting programs.

While we sold the Oakland building in 2013, we continued to lease office space there. Our 2010 LEED achievement distinguished Clorox as an environmental leader with a strong commitment to environmental stewardship.

 

Lighting Retrofits

In the early 2010s, we began to equip our manufacturing and distribution facilities with energy-efficient T5/T8 fluorescent lighting. In 2014, our engineering standards changed to specify LED lighting, which is more energy-efficient than fluorescent lighting, for all interior and exterior new construction and retrofits, and we consequently converted many of the initial T5/T8 upgrades to LED. Since then, Clorox sites globally have been systematically retrofitting their lighting to more energy efficient technologies.

Our facilities also completed energy assessments to further identify and reduce energy usage from their operating equipment and heating, ventilation, and air conditioning systems, and implemented improved operating procedures.

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