Selling Your Green

Jean Waters

UNO – CBA – NBDC

Program Services Manager

Chemical Engineer

6708 Pine St. MH200K

Omaha, NE 68182

402.554.6259

jwaters@unomaha.edu

http://nbdc.unomaha.edu/sustainability/

Outline

Sustainability Framework

Sustainability and supply chain (why it’s

important)

Federal government sustainable procurement

Certifications and metrics

Sustainability Definition

Sustainable

development is

development that

meets the needs of

the present without

compromising the

ability of future

generations to meet

their own needs.

Don’t eat the seed corn

The Sustainability Challenge

To maintain and improve the quality of life for the nation within a healthy Earth system.

Social

Environment Economic SUSTAINABLE

BEARABLE

VIABLE

EQUITABLE

The Triple Bottom Line

The “Sweet Spot”

Where the pursuit of

profits seamlessly blends

with the pursuit of the

common good.

SUSTAINABLE

Social

Environment Economic

SUSTAINABLE

BEARABLE

VIABLE

EQUITABLE

How an organization impacts

employees, suppliers and the

community at large

Aspects to consider:

► Community involvement

► Occupant well-being

► Quality of life

► Safer environment

Social Measures

Social

Environment Economic

SUSTAINABLE

BEARABLE

VIABLE

EQUITABLE

An organization’s ability to avoid

harming the environment and

preserve scarce resources for

future generations

Reduce the organization’s environmental footprint:

► Managing the consumption of energy and resources;

rates of use equivalent to recharge

► Reducing or eliminating waste – precycling and reusing

► Decreasing the organization’s carbon footprint

► Using non-toxic material products & processes

Environmental Measures

Social

Environment Economic

SUSTAINABLE

BEARABLE

VIABLE

EQUITABLE

The value created by the

organization after deducting the

cost of all inputs

Aspects to consider:

► Lower operating cost

► Increased asset value

► Higher ROI (return on investment)

► Higher efficiency

► Long-term savings

Economic Measures

Social

Environment Economic

SUSTAINABLE

BEARABLE

VIABLE

EQUITABLE

Do the social benefits

outweigh the cost of

the initiative?

Is the initiative

that’s

producing a

positive effect

from the

environmental

standpoint

having a

negative

impact on

occupant

productivity ?

Can the solution be

implemented? Will the

expected benefits

outweigh the costs to

implement?

Making Choices

Corporate Social Responsibility (CSR)

“Corporate Social Responsibility is the continuing commitment

by business to behave ethically and contribute to economic

development while improving the quality of life of the

workforce and their families as well as of the local community

and society at large” – World Business Council for Sustainable

Development

Sustainability and the Supply Chain

Life cycle analysis

Offsite emissions

Cost savings

Traceability

Reduction in toxics

Supply chain life cycle

Sources of GHG emissions

Who is buying green? Major Federal Procurement Agencies

US General Services Administration (GSA)

Department of Defense Green Procurement Program

Department of Interior

Department of Transportation

Department of Veteran Affairs

NASA

State and local government Minnesota Materials Management Division

Washington – King County Environmental Responsible Purchasing

Kansas City Regional Purchasing Cooperative – city governments in KC area

South Dakota Sustainable Procurement

School districts or Universities K-12 schools – especially interested in green cleaners for better indoor air quality

and energy efficiency –Missouri

Iowa Public Schools – Green Clean

Iowa State University Green Purchasing

University of Iowa Green Purchasing

University of Nebraska, Omaha – Green Purchasing

Creighton University

Federal Government is buying

Executive orders

Specific products/initiatives

Guidelines

Executive Order 13514

Federal Leadership in Environmental, Energy, and Economic Performance

Reduce and manage GHGs, Conserve water, Reduce waste

Implement high performance sustainable building design,

construction, operation and management, maintenance,

and deconstruction

Advance regional and local integrated performance

planning

Purchase bio-based content, recycled content

Purchase Energy Star, FEMP-designated, and EPEAT

registered electronics

Executive Order 13423

Strengthening Federal Environmental, Energy,

and Transportation Management Reduce GHG by 30% by 2015

Reduce water consumption intensity by 16% by 2015

Purchase paper with 30% PCW

Maintain waste-prevention and recycling programs

Meet high performance standards for all new buildings and 15% of

existing buildings

Make 95% of electronics purchases from EPEAT

Reduce fleet total petroleum consumption 2% annually through 2015,

increase non-petroleum fuel use 10% annually, use PIH when cost-

comparable over life-cycle

Other requirements

Section 6002: Resource Conservation and Recovery

Act (RCRA)

Requirement to purchase items that have the highest

percentage of recovered material practicable (post

consumer content for papers).

• Section 9002 of Farm Security and Rural Investment Act

Established a procurement program for Federal agencies

for biobased items.

The biobased items are designated by the United States

Department of Agriculture(USDA).

Guidance for Procurement Decisions

EPA’s Environmentally Preferable Purchasing (EPP)

EPA’s Comprehensive Procurement Guidance (CPG)

FEMP

ENERGYSTAR

EPEAT

USDA BioPreferred

EPA WaterSense

EPA SNAP

Federal government buys green

“Environmental Aisle” in GSA Advantage

electronic purchasing website

Products are designated by Green Leaf

Selected for bioPreferred; Energy Star; CPG;

EPEAT; FEMP; NESHAP compliant; Prime; SNAP

approved; EPA primary metals-free; Low VOC;

Water Sense

Who’s buying Green in Missouri?

Kansas City Regional Purchasing Cooperative – city

governments in KC area

City of Columbia has Office of Sustainability

Missouri Botanical Garden

K-12 schools – especially interested in green cleaners for

better indoor air quality and energy efficiency

Missouri State Purchasing Program – preferential purchasing

for recycled products

Consumer Market Demand

70% of U.S. consumers are searching for green

products (Roth 2011)

To save money: energy efficient appliances and green

home improvement categories

To limit exposure to toxins and chemicals: all-natural

personal care products

Preserving natural resources for future generations: home

cleaning products, laundry and dishwashing detergents,

paper products

Better health: healthy or organic food purchases

Supply Chain Market Demand

Sustainability focus initially leads to cost savings and

efficiencies throughout the supply chain

Collaboration to achieve sustainability in supply

chain leads to innovation

Wal-Mart collaboration with Proctor & Gamble Efficient

Consumer Response (ECR)

Toyota Production System – reduce bureaucracies, speed

processes, eliminate waste

What is “Green” - FTC Green Guides

New FTC Green Guidelines

Provides guidance to prevent deceptive

environmental marketing claims under Section 5

of the FTC Act.

Use “clear and prominent” qualifying language

Do not make broad unqualified claim

“environmentally friendly” or “eco-friendly”

FTC Green Guidelines

General Principles – Applies to all environmental claims

Avoid making general environmental benefit claims

Difficult to substantiate them

“eco-friendly”

Carbon Offsets

Quantify using scientific and accounting methods

Certifications and Seals of Approval

May be taken as an endorsement and therefore must meet FTC Endorsement Guides

Be clear and specific

How do you know

what to buy?

Common eco-labels

Major Certifications – Green Seal

Develops sustainability standards and offers third party

certification for various product categories

Products/Services covered:

Household products

Construction materials

Paints/coatings

Printing/paper

Paper towels/tissues

Food packaging

Cleaning products

Soaps and cleaners

Cleaning services

Hotels and lodgings

Major Certifications - EcoLogo

Third party certification of environmentally preferable

products

Product categories covered:

Automotive related products and services

Building and construction

Cleaning and janitorial

Consumer products

Containers, packaging

Electric products

Fuel, lubricants, etc.

Office equipment, furniture, business products

Paper and pulp

Printing products and services

Most Identifiable eco-labels in USA

93

93

75

44

35

24

24

19

18

16

0 20 40 60 80 100

Recycled logo

Energy Star

USDA Certified Organic

Fair Trade Certified

Rainforest Alliance Certified

Carbon Trust

LEED Certified

Green-e

Marine Stewardship Council

Sustainable Forestry Initiative

percent recognized

Summary –What is Green?

It is important to understand what authoritative bodies regard

as “green”

Look at FTC Guides to understand how green claims need to be made.

Look at authority (EOs, RCRA, FSRIA, FAR) to understand what

attributes the feds are looking for in a green product/service.

Look at the various guidelines (EPP, CPG, FEMP,

ENERGYSTAR, EPEAT, BioPreferred, WaterSense, SNAP) to

figure out what are the specific requirements for various

environmental attributes.

Requirements of some major certification providers may meet

federal requirements or even exceed them.

Marketing your green

Have scientifically based improved, greener

product (there’s no such thing as a green

product)

Have an effective communication method

Consider cause marketing

Prevent greenwashing

Building Construction – Selling Your Green

Your products are recyclable and made with

recycled content – You help meet EPA’s CPG

levels

Your operations practice energy, water

efficiency and reduced wastage – you help

meet federal mandates as outlined by EO

13514, 13423

Electronics – Selling Your Green

Your products are EPEAT registered

You offer recycling or take back option

Your operations practice energy efficiency,

water efficiency and reduced wastage

Your products are durable

Your packaging is sustainable

Biofuels – tax credits in Missouri

Alternative fuel vehicle (17¢ state tax relief)

Biodiesel fuel use (75% MoDOT use B20)

State fleet biodiesel fuel use (B20)

Ethanol production incentive

Carpets – Selling Your Green

Contains no or low toxic dyes

Made from recycled materials

Your manufacturing process used reduced

energy

Are durable

You help meet the Federal purchasing

requirement of EO 13514, 13423

Cleaning- Selling Your Green

You are listed as bio-based product in the

USDA list

Meets the minimum required bio-based

content

You can help meet the Farm Security and

Rural Investment Act of 2002.

You can help meet EO 13514 which mandates

purchasing of bio-based products.

Landscaping - Selling Your Green

You can help your customer meet EO 13423,

13514

Use products that meet USDA Biopreferred content

levels.

Use zero chemicals for fertilizers and pesticides or

don’t use these four chemicals.

Use tools, composts, fertilizers that are made from

recyclable materials or recovered content.

Summary – Green Attributes

The EPA provides desired environmentally friendly

attributes for different product categories.

Study them to analyze your own products

See what you already have and what you can provide

Market your products by indicating the attributes

you provide and how you can help buyers meet

legal requirements or their

sustainability/environmental goals.

Calculator Description Website Link

Pollution Prevention

Cost Calculator

Helps calculate dollar savings from

implementing pollution prevention

activities.

http://www.epa.gov/p2/pubs/resour

ces/P2CostCalculator.xls

EIOLCA Economic

Input-Output Life

Cycle Assessment

Estimates materials and energy

resources required for, and

environmental emissions resulting

from activities in the economy

http://www.eiolca.net/

EPA’s GHG

calculator

Helps quantify GHG emission

reduction from pollution prevention

activities.

http://www.epa.gov/p2/pubs/resour

ces/GHGConversion.xls

Savings Calculator

for ENERGY STAR

Office Equipment

Estimates energy consumption,

operating costs and savings.

www.energystar.gov/ia/business/bulk

_purchasing/bpsavings_calc/Calc_off

ice_eq.xls

Energy and Cost

Savings for energy-

efficient products

Calculators from FEMP for Fed

agencies to estimate energy and cost

savings for various products

http://www1.eere.energy.gov/femp/t

echnologies/eep_eccalculators.html

RPN Green Cleaning

Calculator

Estimates benefits from implementing

green cleaning practices.

http://www.responsiblepurchasing.or

g/janitor/buildinginfo.asp

Waste Reduction

Model (WARM)

Calculates GHG emissions of baseline

and alternative waste management

practices

http://epa.gov/epawaste/conserve/t

ools/warm/index.html

Questions for you

Name three aspects of your product or supply

chain that contribute to sustainability.

Name three aspects that are “low hanging

fruit” which you could work to change.

What advantage would being “green” provide?

What barriers would need to be overcome?

Examples and comparisons (if there’s time)

Light-weighting and redesigning packaging

shapes

Using a life-cycle approach to evaluate

packaging

Providing traceability of a product

Reducing toxics and improving a process

Packaging Improvements provide savings

Change from round to

square - increase

shipping efficiency

Reducing weight of

packaging - Peter Pan

peanut butter

Use monolayer plastic -

Increase recyclability

Oregon DEQ packaging study for shipping soft goods

Traceability

Toxics reductions – example: lead-free solder

Driver:

RoHS regulation

Lead exposure throughout the product’s manufacture

and use (children are more vulnerable to lead exposure)

Collaboration: industry, government, and

university worked together

Outcome:

Achieved equal or fewer defects

Developed process using lead-free materials

Certification/Rating Products Covered Cost Evaluation

ECOLOGO Automotive related

products, building,

cleaning, consumer,

electric, fuel, lubricants,

office equipment,

furniture, paper, printing

Initial verification cost

($1,500-$5,000), travel

cost of auditor, subsequent

verification cost ($250-

$2,100), annual licensing

fees (minimum $2,100,

0.5% of sales)

Required criteria varies on

the type of product.

Products are reviews and

audited by third party

auditors. On site audit also

conducted.

GREEN SEAL International standard for

Household, construction,

paints, printing/paper,

food packaging, cleaning,

hotel and lodgings

Varies for different types of

products. Link:

http://www.greenseal.org/

GreenBusiness/Certificatio

n/Getcertified/Certificatio

nFees.aspx

Required criteria varies for

different products.

Products are reviewed by

third party auditors. On site

audit included.

EPA Design for the

Environment (DfE)

Cleaners, degreasers,

soap, detergent, other

bio-based products

Fee required only for third

party profilers.

Screening of product

ingredients for health and

environmental effects by

DfE scientific review team.

Reviewed by third party

profilers.

Green Label Carpet cleaning, deep

cleaning systems, deep

cleaning extraction

equipment and vacuum

cleaners.

Schedule of fees provided

after filling online form on

their website.

Products reviewed by

independent board of

scientists.

Certification/Rating Products Covered Cost Evaluation

Energy Star Building products,

appliances, computers,

electronics,

heating/cooling, lighting,

plumbing, food service

equipment.

No cost for partnering and

using ENERGY STAR

materials.

There are different

specifications for different

products. Third party

certification is required by

the EPA for ENERGY STAR

products.

EPEAT

Desktops

Displays

Notebooks/Laptops

Workstations

Thin clients

A sliding scale based on

company revenue and

geography covered.

Products measured against

required and optional

criteria; rated as gold, silver

or bronze.

Manufacturers required to

sign contract -declare

criteria is met’ provide

evidence upon request

e-Stewards

Electronics recycling,

refurbishment, and

processing

Requires ISO 14001

certification, annual

marketing and licensing fee

(sliding scale), audit and

certification fee

Rigorous third-party

certification, designed to

comply with international

laws, prohibits prison labor,

assures worker protection

and proper disposal of

wastes

Certification/Rating Products Covered Cost Evaluation

USDA Certified Organic Fresh and processed foods Fees paid to qualified

certifying agent, 3-year prior

and 5-year post production

records must be kept.

Reimbursement costs up to

$750/yr are available

Qualified inspectors

conduct annual on-site

inspections

Marine Fisheries, restaurants,

supply chain

Pre-assessment, full

assessment, and annual

audit Fees are paid to

accredited certifier, typically

$15,000 to $120,000

Annual third party

certification, chain of

custody for traceability;

maintenance of fish stock,

ecosystem, and

management

Food Alliance

Sustainable practices in

ag products, food

processing, and

distribution; includes

humane livestock care, no

GMO, supply chain

traceability

Inspection fee every three

years, license fee on sliding

scale, max is $5,000/yr

Voluntary third-party

certification

Fair Trade

Apparel, linens, beans,

grains, body care, cocoa,

coffee, packaged foods,

flowers, plants, fruits,

vegetables, wine, tea,

more

Licensing agreement,

importer fee of $500, pay

Fair Trade minimum price

and premium to the

cooperative, submit

quarterly reports

Separate company (FLO-

Cert) provides group audits

for producer organizations

and random checks of

individual farmers