An environmental charity has praised over 50 corporations for taking an “industry-leading” stance on greenhouse gases and carbon emissions in their supply chain.
CDP (formerly known as the Carbon Disclosure Project) is a UK-based charity that supports the disclosure of environmental impact by major corporations. The organisation collected information on behalf of 99 of the biggest purchasing organisations around the world.
The 58 companies commended for taking significant steps to reduce emissions included Nestle, Panasonic and Rolls Royce. The number of organisations taking praiseworthy action was more than double that of previous years.
CDP pointed out that reducing the environmental impact of procurement and day-to-day operations was also an effective way of sourcing savings for any organisation. However, this practice was not always passed all the way down the supply chain.
“A lot of the major corporations have realised those low-hanging fruits of energy efficiencies in their own operations,” said CDP’s Global Director of Corporates and Supply Chain Dexter Galvin, before sounding a note of caution. “There’s a worrying and persistent gap between the performance of major corporates and their supply base,” he added.
A CDP survey found that $14bn of savings were reported as a result of emission reduction by suppliers. Using LED lightbulbs and installing software to more effectively route vehicles were examples given of how organisations could make cost reductions at the same time as cutting emissions.
The World Wide Fund for Nature (WWF) welcomed the findings but said there was still a long way to go.
“If we are to meet the goal of the Paris Agreement and to limit the level of global warming to below 1.5 degrees average global temperature increase, then in addition to avoiding the release of greenhouse gases we’ll also need to find ways of removing some from the atmosphere,” said Executive Director of Advocacy Tony Juniper.