ENVIRONMENTAL SUSTAINABILITY AT MEIJER - ERIK PETROVSKIS, PHD, PE OCTOBER 4, 2019 - PURE OAKLAND WATER
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Environmental Sustainability at Meijer Erik Petrovskis, PhD, PE October 4, 2019 © Copyright 1996 -2019 Meijer, Inc. Confidential and proprietary
Agenda 1. Our Team 2. Meijer Environmental Commitment 1. Environmental Compliance 2. Local and Sustainable Products 3. Carbon Footprint Reduction 4. Waste Reduction 5. Responsible Growth 3. Materiality Assessment 4. Q&A 1
Purpose To grow as a “best-in-class” retail environmental management team to fulfill Meijer’s Environmental Commitment. • Align with Meijer purpose and values • Deliver high quality work products • Meet our customers’ schedules • Build stakeholder relationships 2
Meijer Heritage and Environmental Commitment Environmental compliance Local & sustainable products Carbon footprint reduction "I want to leave the world in a little better shape than when I Waste reduction entered it.“ Fred Meijer Responsible growth 5 5
Sustainability Council Sustainability Plan Meijer Sustainability Communication Council Environmental Footprint 6
Sustainability Plan 2021 Sustainability Council Merchandising Retail Operations Aligned with Meijer Meijer 2021 Meijer 2021 Sustainability Supply Chain & Sustainability Business Areas Manufacturing Objectives Plan Properties & Real Estate Communications 7
Compliance Programs 10
Better Products
Local and Organic 1,000s of Local Products 12
Meijer Packaging Goals 1. Meijer Own Brand packaging will 100% be recyclable, 2025 reusable, or compostable by 2. How2Recyle labeling on True Goodness products by 2022 3. Meijer Own Brand packaging to be composed 20%of recycled material by 2025 13
Energy Efficiency
FY2018 Carbon Footprint CO2e by Activity Type CARBON INTENSITY (MT 2 E/1000 CO FT 2) Electricity 12% 23 11% Transportatio 22.0 n 22 4% 21.0 Natural Gas 21 73% Refrigerants 20 19.0 19 18.6 18.1 18 17 16 2014 2015 2016 2017 2018 15
Air Emissions and Energy Fleet • Meijer fleet 20% more efficient than national average Refrigeration • Industry average leak rate: 25% • GreenChill partner leak rate: 12.9% • Meijer leak rate: 8.6% 16
Store Electricity Use Improvements 29% reduction since 2005 Retail Electric Use Per Square Foot 33 31 kWh/SQFT 29 27 25 23 05 06 07 08 09 10 11 12 13 14 15 16 17 18 Year 17
Energy Efficiency Projects • Upgrade refrigeration, HVAC and coolers • Optimized refrigeration and HVAC performance • Improved lighting efficiency • 2018 new stores and beyond have all-LED lighting • Full all-LED retrofit by 2021 18
Renewable Energy Renewable Energy Strategy Onsite solar Power Purchase Renewable Energy projects Agreements Credits 19
Waste Reduction
FY2018 Waste Footprint Divert 70% of waste by 2025 Total Company: 323,075 tons 2% % of Company Total 4% 6% Recycling Distribution 11% Landfill Retail 47% Organics Recycling 90% Manufacturing 40% Food donation 21
Waste Reduction 2018 Meijer Waste Diversion 60% + Retail Food Waste Recycling 70% + Optimization of Plastic Film and Cardboard 72%+ Recycling 22
Food Donations In 2018, Meijer stores donated the following to local food banks (in lbs) 2,305,800 4,383,200 2,515,700 453,400 1,010,400 dry and frozen bakery meat deli and dairy produce 10.7 million in 8.5 million goods total meals 23
Retail – Compost and Animal Feed 24
Manufacturing Food Waste – Current Practice Middlebury Central Kitchen Holland and Tipp City Dairies Lansing Fresh Assembly 97% landfill -free 25
Green Buildings
Design and Construction LEED and Brownfields • 14 USGBC certifications to date • Allen Park was first LEED certified store in 2007 (silver) • Norton Shores was first major supercenter remodel LEED certified. 95% of construction waste was recycled • Detroit was our first supercenter in the City (silver) • Wauwatosa was our first LEED certified store in Wisconsin 27
Stormwater Green Infrastructure – 279 Manistee • First test site for porous pavement • Additional LID/GI practices • Cost competitive • Comparable maintenance 28
Stormwater Green Infrastructure – Site Suitability 29
Stormwater Green Infrastructure – Site Suitability 30
Stormwater Green Infrastructure – 306 Warren 31
Stormwater GI Parking Lot Retrofit – 212 ReynoldsburgOH 32
Materiality Assessment
Materiality Assessment Process Meijerengagedwith: 3,000+Customers VALIDATE 14 External Stakeholder IDENTIFY PRIORITIZE AND APPLY Groups OUTCOMES 25+ Meijer Team Members (including 18 interviews) 34
Customer Survey … How many customers areat least moderately familiar with 80% environmental issues? think that environmental issues at least are moderately important ? 84% will pay a premium for sustainable products at least sometimes? 90% 35
Results Safety & Most important transparency of Fuel efficiency of Food waste products Increase fleet recycling and reuse Product Customer recycling and traceability Reducing GHG MATERIALITY reuse opportunities emissions Inbound logistics efficiency Local sourcing (fuel, packaging) Water use Renewable energy reduction Supplier environmental risk management Most important BUSINESS VALUE 36
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Plastics waste reduction Plastic packaging Plastic bags Beach cleanup 38
Facilitating Sustainability – Take Aways http://meijercommunity.com/sustainability • Lead with purpose • Leverage existing business strategies • Engage employees with interest in sustainability • Utilize a cross-functional team • Dispel myths with metrics • Set achievable goals and stretch targets 39
Academic Collaborations 40
Questions? erik.petrovskis@meijer.com 616-735-7101
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