Winter 2006 

Edition

In this Issue: 

Cover Page 

Managing Your Carbon Risk: 

Components of an Effective 

GHG Management Strategy 

Page 5

Publicly Reporting Your 

Climate Change Strategy 

Page 8

Climate Leaders Media Kit 

Released 

Page 8 

EPA Congratulates First 

Partners to Meet Goals 

Page 9 

Climate Leaders Partners 

Announce GHG Reduction 

Goals 

Page 10 

Welcome New Climate 

Leaders Partners: 

Agilent Technologies 

American Water 

Boise Cascade 

California Portland Cement Co. 

Citigroup Inc. 

Ecolab Inc. 

Fairchild Semiconductor 

General Electric Company 

Haworth, Inc. 

HSBC North America 

Kimberly-Clark Corporation 

Lucent Technologies Inc. 

Steelcase Inc. 

Strategy for Success: 

Corporate Best Practices in Greenhouse 

Gas Management 

This edition of Carbon Copy features best practices in greenhouse gas (GHG) 

management and highlights the benefits that leading companies are receiving. 

Partners use corporate GHG best practices to help answer some of these key 

questions: 

• What is the process for addressing my company’s climate risk, and what are 

the benefits to my company? 

• What are the components of a good GHG management system? 

• Once I have a process in place, should I report it publicly and if so, how? 

• What are other Climate Leaders Partners doing to manage their GHGs? 

• What other resources and programs are available for my company as we 

continue to develop and refine our climate strategy? 

Climate Leaders has found that this information will be useful to companies at all 

stages of their GHG management process. 

Managing Your Carbon Risk: Components 

of an Effective GHG Management Strategy 

Vincent Camobreco, U.S. EPA 

Cynthia Cummis, U.S. EPA 

Bella Tonkonogy, U.S. EPA 

Leading U.S. companies are increasingly recognizing that climate change is an 

important strategic issue. Many leading firms now believe that the opportunities 

and risks posed by climate change—including GHG mandates at the state and 

international level, shareholder resolutions, litigation against emitters, rising 

energy costs, and increased public awareness about climate change—warrant a 

strategic response. 

Companies that are beginning to explore possible responses to climate change 

can benefit from several years of EPA experience on this issue. Through 

Partnership in EPA’s Climate Leaders program, dozens of companies have 

developed effective GHG management strategies that include three critical 

- continued on next page -

Carbon Copy 1 
components for addressing climate risk. The first 

component is to assess the risks associated with a 

company’s operations through a corporate-wide GHG 

inventory. While creating this inventory, the company 

should also work to document the process through the 

development of a high-quality inventory management 

plan (IMP), which will ensure that an accurate and 

transparent base-year inventory is created and then 

consistently updated and maintained over time. Once a 

high-quality base-year inventory is completed, 

companies can begin to address their risks by setting a 

GHG reduction goal and formulating a reduction 

strategy. The implementation of each of these three 

steps is critical to those companies that strive to be 

leaders on the issue of climate change. 

Components of an Effective GHG 

Management Strategy 

1. Complete a Corporate-Wide GHG Inventory. 

The first step of an effective strategy is to assess the 

risks associated with company operations by creating a 

high-quality, corporate-wide GHG inventory, which 

defines the quantity of GHGs emitted annually. A GHG 

inventory helps companies evaluate the risks of future 

carbon liabilities and can also be useful in responding to 

requests to disclose risk from shareholders, 

environmental groups, and the financial and insurance 

communities. 

“One of the biggest values from joining 

Climate Leaders was to help us put 

together an inventory that is robust 

enough to stand up to scrutiny.” 

—Al Forte, Assistant Director, Energy 

Pfizer Inc. 

In contrast with focusing narrowly on individual facilities 

or single processes, a corporate-wide GHG inventory is 

critical. A corporate-wide inventory helps companies 

determine their entire carbon footprint and to then 

identify and target those facilities and emission sources 

that are the largest contributors to corporate emissions. 

A comprehensive GHG inventory might also challenge 

companies’ preconceptions regarding their major 

emissions sources. For example, some Climate Leaders 

Partners were surprised to find that corporate jets and 

other business travel were a sizable percentage of their 

overall GHG footprint. Furthermore, companies are 

discovering that inventory data has additional value 

beyond GHG management, as they may encounter 

facilities that pay higher-than-expected energy costs or 

find new consolidation or energy efficiency opportunities. 

Once a company has a comprehensive picture of its 

climate impact, it is in a better position to address 

strategically and cost-effectively its risk, helping to focus 

reduction efforts where the greatest results can be 

achieved. As the inventory is updated annually, it then 

serves as the metric for tracking the success of GHG 

reduction efforts. 

2. Develop an Inventory Management Plan (IMP). 

While creating their GHG inventory, Climate Leaders 

companies work in parallel to institutionalize the process 

through the development of an IMP. The IMP ensures 

that an accurate and transparent base-year inventory is 

created and then consistently updated and maintained 

over time. 

The IMP is uniquely designed by each company and 

defines the organizational and operational boundaries 

(company assets, facilities, and direct and indirect 

emissions sources for each GHG) to be included in the 

GHG inventory. The IMP also documents: the chosen 

methodologies used to quantify emissions; data sources 

and collection processes; the approach used to adjust 

the inventory over time; internal audit processes; and 

roles and responsibilities of individuals in the inventory 

development process. Such a rigorous management 

plan maximizes the accuracy, consistency, and 

transparency of the inventory, and is a critical step 

towards credible inventory tracking over time. 

Development of an IMP can also serve as an effective 

preparatory tool for an independent third-party 

verification. In addition, the process of documenting how 

the inventory is developed affords the opportunity to 

discover areas for improvement in the system and to 

create a clear paper trail. 

While developing a corporate GHG inventory and IMP 

for the first time can be a time- and cost-intensive 

process, the resources involved in creating an inventory 

depend largely on what data collection processes are 

already in place. Many companies find that they are 

already collecting most of the necessary information, 

such as utility bills, transport data, and emissions 

factors, but data collection systems might need to be 

Carbon Copy 2 
integrated. Completing a GHG inventory also might 

require additional coordination of numerous people at 

the facility and corporate level. Some sources of data 

might need to be tracked for the first time, necessitating 

the creation of a process to collect the additional data 

efficiently and to calculate emissions. 

However, the up-front investment that companies make 

to produce a detailed IMP can help reduce the long-term 

costs associated with GHG management. IMPs have 

been shown to improve the efficiency of inventory 

development and adjustments. Current data collection 

systems such as an energy management system are 

employed in completing a GHG inventory; a renewed 

focus on the details of these data collection and 

management systems through the IMP can lead to the 

identification of areas for improvement and opportunities 

for efficiency gains, often leading to cost savings. In 

addition, a documented, institutionalized process 

minimizes disruptions from employee turnover and 

facilitates necessary modifications to the inventory that 

stem from changes in the company profile, availability of 

new or improved data, or acquisitions and divestitures. 

A thorough IMP thus ensures consistency among 

different facilities, provides for accurate tracking over 

time, improves reliability of emissions and reductions 

estimates, and helps to ensure the credibility of data 

when disclosed to interested stakeholders. 

“In 2004, we took the work we 

had been doing for the past five 

years relating to corporate 

emissions reporting and brought it up to the next level. 

This year we developed, as part of our commitment to 

the EPA Climate Leaders program, an Inventory 

Management Plan (IMP) that brings greater 

transparency and standardization to our corporate 

emissions calculations...Perhaps the most rewarding 

effect of this process was the development of new 

procedural improvements that enable us to collect data 

more accurately and regularly for the future.” 

—Green Mountain Energy Company 

2004 Environmental Report 

3. Set a Corporate-Wide GHG Reduction Goal. 

The cornerstone of an effective corporate GHG 

management strategy is an aggressive GHG reduction 

goal. Once a high-quality, base-year inventory and IMP 

are completed, companies can begin to address their 

Noble: “A GHG Inventory Drives Energy 

Efficiency” 

Noble Corporation, founded in 1921, is a leading 

provider of diversified services for the oil and gas 

industry worldwide. Noble performs contract-drilling 

services with a growing fleet of premium assets 

including semi-submersibles, drillships, jackups and 

submersible rigs. Noble joined Climate Leaders in 

2004 and is currently working on setting a corporatewide GHG reduction goal. 

Noble first performed a pilot GHG inventory in 2002, 

employing a consulting company to quantify the 

annual GHG emissions aboard one of Noble’s drilling 

rigs. These results showed that diesel-driven 

electrical generators and equipment were 

responsible for the majority of that rig’s emissions 

and prompted Noble to complete a baseline inventory 

of all the rigs in its fleet. The baseline inventory 

confirmed the pilot inventory’s findings and focused 

Noble’s attention on reducing emissions from diesel 

engines. Consequently, Noble began employing new 

diesel injection technology that combines the use of 

commercially available low-sac injectors with engine 

injector timing retardation, reducing energy 

consumption without sacrificing engine response or 

power output. As a result of this new rig efficiency 

program, fuel consumption has decreased 2 percent, 

translating into dollar savings of $5,000 a year per 

engine, or about $270,000 total per year. 

Performing an inventory thus proved invaluable in 

helping Noble identify where it could best focus its 

GHG reduction efforts. Noble continues to focus on 

identifying new technologies and methods for 

improving diesel engine efficiency, as one part of its 

overall corporate effort to reduce GHG emissions. 

risks by setting such a GHG reduction goal and 

formulating a reduction strategy. 

“Our company’s involvement in the 

Climate Leaders program cajoled us to 

really stretch our goal.” 

—Doug Barndt, Principal Environmental 

Engineer, Ball Corporation 

Goal setting is often what drives actions to reduce 

emissions, helping to ensure the overall success of a 

company’s GHG management strategy. Climate Leaders 

Partners have seen the critical importance of setting a 

goal in engaging management and stakeholders and in 

selling the overall GHG management strategy. Many 

companies have been working on energy efficiency and 

other emissions reduction projects for several years. 

Carbon Copy 3 
Rolling these efforts into an overall GHG reduction 

strategy with an aggressive goal as the centerpiece 

helps identify additional cost-effective opportunities for 

reductions, gain executive-level management attention, 

secure funding for these types of reduction projects, and 

galvanize stakeholder support for these efforts. 

Roche Nutley implemented a hybrid vehicle pilot 

program for a number of marketing employees as part of 

its GHG reduction efforts and saw such a positive 

response among its staff and stakeholders that the 

company plans to equip an entire sales team with hybrid 

vehicles: 

“The hybrid pilot program caught the 

attention of salespeople, customers, 

the media and regulatory authorities 

alike. It was featured in many 

articles. U.S. Senator Dianne Feinstein wrote to Roche 

Nutley praising the company on the initiative and its aims 

as an excellent example to be followed by other 

companies.” 

—Roche 2004 Sustainability Report 

Aggressive corporate GHG reduction goals also serve to 

rally staff around a common goal and encourage 

innovation. Climate Leaders companies are seeing that 

goals and implementation of reduction strategies result 

in positive employee morale and may help in employee 

recruiting and retention. 

“[Our CEO] has been the driving force 

behind these [GHG] goals, and his feeling 

is that if the vision and targets are clear, he 

is always amazed at the ingenuity of Kodak 

people.” 

—Scott Summers, HSE Director 

Kodak Manufacturing 

as quoted on <www.theclimategroup.org> 

Finally, and most importantly to the bottom line, 

implementation of GHG goals frequently leads to cost 

savings. For example, Climate Leader IBM 

Corporation, which avoided GHG emissions of 1.28 

million tons from 1998 to 2005, saved $115 million in 

reduced energy costs in the process. SC Johnson also 

estimates it has saved $2.6 million a year, a projected 

overall return on its investment of 20 percent, by 

installing a turbine system to produce heat and power 

from landfill gas at one of its facilities. The project proved 

Ball: “Benefits of A Bottom-Up Approach 

to Setting A Goal” 

Ball Corporation is one of the world’s largest 

suppliers of metal and plastic packaging to the 

beverage and food industries. Ball joined Climate 

Leaders in 2002 and has pledged to reduce U.S. 

GHG emissions by 16 percent per production index 

from 2002 to 2012. 

After completing a baseline inventory and developing 

an IMP, Ball embarked on the task of setting a 

corporate-wide GHG reduction goal for its U.S. 

facilities. Desiring its goal to be achievable while still 

credible, Ball developed a goal-setting strategy that 

considered several factors: 

• Cost to implement; 

• Collateral benefits to the company, environment, 

and the community; 

• Time to implement; 

• Return on investment; 

• Contribution to core business; 

• Contribution to brand image; and 

• Obstacles to implementation. 

The company realized that much of the ideas and 

knowledge that were needed to explore reduction 

opportunities and set a goal could be found at the 

level of individual business units, motivating Ball to 

develop a “bottom-up” approach to setting its goal. 

The company surveyed facilities for potential opportunities, met with its engineering group regarding new 

technologies, and held discussions with business 

leaders internally to understand the direction of the 

business. The goal task force summarized GHG 

reduction opportunities by facility and then by 

operational group, including an uncertainty analysis. 

This bottom-up approach resulted in a number of 

benefits for Ball above and beyond setting a GHG 

reduction goal: the approach served to promote 

program awareness and buy-in as well as management accountability for the success of the program. 

The goal-setting process elevated Ball’s GHG 

reduction efforts to a top priority and garnered 

support along the way among employees across the 

company. Ball’s approach has greatly increased the 

company’s chances for success in its reduction 

efforts. 

so successful financially and environmentally that the 

company began operation of a second turbine that will 

run on natural gas and landfill gas at the same facility 

this fall. 

The adoption of high-quality GHG management 

practices is the prerequisite for corporate leadership on 

Carbon Copy 4 
the climate change issue. Companies that complete an 

inventory and an IMP are well positioned to accurately 

assess and report their climate risk. Setting an 

aggressive goal to reduce emissions will greatly increase 

the chances for success in addressing and minimizing 

the identified risk. Companies that are still contemplating 

the benefits of these actions should consider the growing 

evidence that businesses with proactive environmental 

and energy management policies generally outperform 

the market,1

 receive positive media attention for their 

efforts, and are identified as corporate leaders. 

For more information about EPA’s Climate Leaders 

program, including lists of Partner companies, program 

requirements, and other case studies, please visit 

<www.epa.gov/climateleaders>. 

Publicly Reporting Your 

Climate Change Strategy 

If your company has a comprehensive climate change 

strategy, you should get credit for it by communicating 

your leadership and results to the public. The most 

common way of doing this today is through a 

Sustainability Report, which is a useful tool for disclosing 

information and progress on a company’s combined 

economic, environmental, and social performance. For 

this issue of Carbon Copy, Climate Leaders pulled 

together information on the benefits of reporting, tips for 

reporting, and reporting activities and trends among its 

Partners.2 

Current Reporting Activities Among 

Climate Leaders Partners 

A variety of stakeholders—from institutional investors 

and pension funds to SRI investors and the public—are 

increasingly requesting disclosure of GHG emissions 

and climate risk from corporations. Climate Leaders 

collected public data on its Partner companies to 

1

 See, e.g. Energy Management & Investor Returns: The Retail 

Merchandising Sector, Innovest (February , 2003); Energy 

Management & Investor Returns: The Real Estate Sector, Innovest 

(October, 2002); Energy Management & Investor Returns: The Retail 

Food Sector, Innovest (October, 2002). 2

 For additional information on sustainability reporting, visit the Global 

Reporting Initiative (GRI) Web site at <www.globalreporting.org>. GRI 

is an independent institution whose mission is to develop and 

disseminate globally applicable sustainability reporting guidelines. 

determine what information and through which media 

they were disclosing, and identified some trends in the 

process. The accompanying table summarizes these 

results. 

Reporting Activity 

Number of 

Partner 

Companies 

Published 2004/2005 Sustainability 

Report3 

42 

Published 2004/2005 Environmental 

Report4 

12 

Referenced GRI Guidelines 26 

Reported “in accordance” with GRI 

guidelines 

8 

Disclosed GHG emissions on company 

Web site (including in Sustainability 

Report) 

41 

Disclosed GHG targets on company Web 

site (including in Sustainability Report) 

33 

Sustainability/Environment Section in 

2004 Annual Report 

32 

Climate change activities described in 

2004 Annual Report 

22 

Climate change mentioned as risk or 

opportunity in 10-K filed with SEC Spring 

2005 

14 

Provided Carbon Disclosure Project a 

(CDP3) report in 20055 

38 

Disclosed GHG emissions in CDP3 

Report 

27 

The Benefits of Reporting 

Companies that choose to report on sustainability do so 

for a variety of reasons. Sustainability reporting can hold 

value as a vehicle for engaging stakeholders, reflect the 

long-term value of the company to its shareholders and 

attract “patient” shareholders, improve internal 

management systems, aid in managing risk over time, 

encourage improvement and learning internally, and 

demonstrate a company’s transparency.6 

3

 Includes reports with varying names (i.e., “Corporate Responsibility”), 

as long as they contain information on social, environmental, and 

economic issues. All use 2003 or 2004 data. 4

 All but four of these reports used 2003/2004 data; the four exceptions 

were published with 2001 or 2002 data. 5

 The CDP is an annual request by institutional investors to the 

Financial Times (FT) 500 companies for information on climate 

change. In 2005, the 155 signatories to the request represented $21 

trillion in assets. 6

 World Business Council for Sustainable Development (2003). Striking 

the Balance, available at <www.wbcsd.org>. 

Carbon Copy 5 
“Indeed, many companies report that cross-functional 

collaboration and learning is one of the single greatest 

rewards of non-financial reporting. In its best form, it 

triggers conversations that otherwise would not occur, 

insights that would not otherwise surface, and 

innovations that would not otherwise materialize.” 

—Allen White, Vice President and Senior Fellow 

Tellus Institute, from <www.bsr.org> 

Tips for Publicly Reporting Your GHG 

Strategy 

Climate Leaders has put together some tips to consider 

when publicly reporting your climate activities. 

General Reporting Tips 

1. Publish your climate change strategy as part of a 

comprehensive sustainability report. 

• Reach more people. Environmental reports do 

not have the breadth of a sustainability report. 

• Know your audience. 

— Understand who’s reading and why: 

employees, the general public, Corporate 

Social Responsibility professionals, other 

stakeholders. 

— Strike a balance between hard-copy and 

Internet-based reporting to meet your 

audience’s needs. 

• Keep up with the latest trends. Integration of 

sustainability information into financial reports is 

gaining support. 

“The platinum standard of reporting is for integration of 

financial and sustainability information. This also means 

integration of responsibilities between Investor Relations 

and EHS managers.”

 —Lily Donge, Social Research Analyst 

Calvert Asset Management Co. 

2. Use the Global Reporting Initiative (GRI) 

Guidelines when designing and producing your 

sustainability report. 

• GRI guidelines cover 80 percent of what most 

other surveys request. Use the guidelines to 

“avoid survey fatigue.”7 

7

 “Avoiding Survey Fatigue,” < www.greenbiz.com/enewsletter>, 

October 10, 2005. 

• It is okay to include ideas outside of the 

guidelines if a new way of communicating some 

successes and challenges is more effective. 

• Use the GRI sector supplement that applies to 

your business. 

• GRI’s “in accordance” reporting is a fuller, more 

stringent adoption of GRI guidelines. This is the 

next level of reporting and might be considered 

by companies with sufficient resources and 

experience in sustainability reporting. 

• Watch for the updated set of GRI Guidelines 

(“G3”) in 2006. 

“The decision to report in accordance with the 

Guidelines is an option, not a requirement. It is designed 

for reporters that are ready for a high level of reporting 

and who seek to distinguish themselves as leaders in 

the field.”

 —Global Reporting Initiative 

<www.globalreporting.org> 

3. Be transparent and report information proactively. 

• Don’t wait for shareholder and stakeholder 

requests for reports or detailed information 

about your climate strategy. Build credibility by 

being an early mover in your industry. 

• Be frank about your company’s challenges. 

Focus on difficult issues and how you’re going to 

tackle them. 

“[Baxter] feels an obligation to 

our stakeholders and socially 

responsible investors to be truthful and transparent. 

They expect that from us.” 

—Ron Meissen, Senior Director 

Engineering/Worldwide EHS Resources 

Baxter Healthcare Corporation 

as quoted on <www.climatebiz.com> 

4. Favor quality over quantity. Keep reports short 

and language concise and clear. 

• Maintain accessibility to a broad audience. 

• Focus on the most important aspects of your 

business. 

• Supplement a briefer hard-copy report with more 

complete information on the company Web site. 

Carbon Copy 6 
“[Carpet-bombers’] report in great detail on a multitude of 

performance aspects without giving the reader the tools 

to evaluate them or to evaluate how relevant they are.”

 —in Standard & Poor’s, SustainAbility, and UNEP 

(2004). Risk and Opportunity: Best Practice in NonFinancial Reporting 

Climate Change Reporting Tips 

1. Provide the whole picture to your readers. This 

includes: 

• Company position on climate change. 

• Relevance to the business. 

• Management systems in place. 

• Performance. 

— Metrics matter: GHG emissions (multiple 

years), description of efforts to reduce, and 

reduction performance. 

— Put performance in context. Compare it to: 

company’s goals, industry and/or leaders 

average, and governmental or sciencebased goals. 

• Future targets and plans. Future actions are 

just as important as past performance. As in 

financial reports, report on your future 

sustainability plans and climate strategy to give 

an idea of the direction in which your company is 

heading. 

“A company’s value on the stock markets is not only 

determined by its current profits but by expectations 

about its future earning ability. In practical terms, 

companies should report on their future sustainability 

plans in addition to providing historical data on past 

activities.” 

—in World Business Council for Sustainable 

Development (2003), Striking the Balance 

2. Include discussion of related company activity 

such as involvement in: 

• Public policy: Is your company sharing its 

experiences and accomplishments with 

policymakers? 

• Industry initiatives: Is your company working 

with sector-specific initiatives or trade or 

manufacturing associations? 

• Customer awareness/influence: What are you 

doing to get the word out to your customers? 

3. Understand the accuracy and precision of the 

data, and focus on those things that matter most. 

• Identify uncertainties, estimates, and changes in 

methodology. 

• Don’t focus on perfect data—it consumes 

unnecessary resources and doesn’t capture the 

overall reporting purpose. Do the best you can 

with data currently available and work to 

improve data over time. 

4. Use a standardized GHG inventory protocol. 

The World Resources Institute/World Business Council 

on Sustainable Development (WRI/WBCSD) GHG 

Protocol is the corporate inventory standard used by 

Climate Leaders and GRI. 

“Realizing that these GHG reductions 

represented a corporate asset that the 

company wanted to protect, Frito-Lay 

chose the highly transparent, rigorous, and credible 

reporting process offered by Climate Leaders.”

 —Larry E. Perry, P.E. 

Frito-Lay North America 

5. Seek and publish an external perspective on the 

quality of your commitment, programs, results 

and/or data. 

• External assurance of transparency and rigor 

adds credibility to your data and report. 

• In addition to EPA’s Climate Leaders, consider 

partnering with an environmental 

nongovernmental organization (NGO) or 

investor representative on your reporting 

activities. 

• Also consider additional independent third-party 

verification of data quality. 

6. Engage the investment community by using 

language it understands. 

• Make a case for business value. For example, 

describe how managing your climate risk has led 

to competitive advantage, or how GHG 

reductions have translated to operating gains. If 

you’ve opened or shown leadership in a market, 

report it. 

Carbon Copy 7 
• Many reports have a section devoted to the 

socially responsible investment (SRI) 

community. Consider this option. 

• Discuss the issue in terms of relevance to the 

core business and business risks and 

opportunities of your company. 

“For investors, information is the currency of the market, 

and it is increasingly clear that environmental and social 

performance can have deep financial consequences, 

especially for investors who are concerned about 

companies' ability to create value over the long term.” 

—Lily Donge, Social Research Analyst 

Calvert Asset Management Co. 

Jeff Erikson of SustainAbility provided advice for this 

article. SustainAbility is a think tank and consultancy that 

advises businesses on corporate responsibility. 

Information on its biannual benchmarking of 

sustainability reports and “Engaging Stakeholders” 

program can be found at <www.sustainability.com>. 

Climate Leaders Media Kit 

Released 

Climate Leaders has just released a Media Kit to help 

Partners get the word out about their participation in the 

program. Climate Leaders Partners can use the Climate 

Leaders Media Kit to effectively communicate their goals 

and achievements to the media and other target 

audiences. 

The media kit includes: 

• Partnership Fact Sheet for your public relations 

department. 

• Whether you have just joined or reached your 

goal, Press Release Templates can help you 

communicate your progress and achievements. 

• Press Release Building Blocks that include 

sample leads, quotes from EPA officials, and 

text for your press releases. 

• Sample Partner Press Releases. 

• Public Service Announcement. 

• Climate Leaders Logo. 

• Current Partner List. 

To obtain a Climate Leaders Media Kit, please visit our 

Web site at <www.epa.gov/climateleaders> or contact 

Jim Sullivan at <sullivan.jamest@epa.gov> or 202 343­

9241 for a hard copy. 

EPA Congratulates First Partners to Meet Goals 

The following Climate Leaders became the first Partners 

to meet their greenhouse gas (GHG) reduction goals: 

Baxter International Inc. 

reduced U.S. GHG emissions 

by 16 percent per unit of 

production value from 2000 to 2005.

8 

Energy conservation and management has been at the 

forefront of Baxter’s GHG reduction efforts, along with 

facilities consolidations. For example, the company is 

moving away from more energy intensive sterilization 

methods that use ethylene oxide sterilization to methods 

that use e-beam sterilization. The company has also 

built energy efficient new plasma collection centers. In 

addition, Baxter has focused on reducing the space 

required for its clean rooms, in turn decreasing the 

requirements for heating, ventilation, and air conditioning 

(HVAC) systems, which can represent 60 to 70 percent 

of a manufacturing facility’s energy use. 

General Motors Corporation (GM) 

reduced total GHG emissions by 10 percent 

for all North American facilities from 2000 to 

2005. 

GM met its goal mainly through increasing energy 

efficiency; for example, paint shop operations—the 

company’s most energy intensive operations—are shut 

down on weekends and holidays. A utility bill tracking 

system was set up, which has resulted in cost savings 

and made energy management easier. In addition, GM 

has been a strong proponent of converting landfill gas to 

energy—in 2003, the company was the largest U.S. 

corporate user of landfill gas for thermal energy; by 

2004, the company had five projects totaling 2,010 billion 

BTU per year. 

8 Baxter’s production value equates to cost of goods sold, adjusted for 

changes in inventory, business acquisitions, divestitures, and inflation. 

Carbon Copy 8 
IBM Corporation achieved 1) 

average annual CO2 emissions 

reductions equivalent to 4 percent of 

the emissions associated with the company’s worldwide 

energy use and 2) an absolute 10 percent reduction in 

perfluorocompound (PFC) emissions from IBM’s semiconductor manufacturing processes from 2000 to 2005. 

IBM has focused its reduction efforts on energyefficiency, renewable energy procurement, and the 

redesign of PFC-using processes. Energy efficiency 

projects range from simple activities such as the 

installation of motion detectors for lighting control to 

complex controls projects, which monitor and adjust the 

building environment to minimize energy usage. IBM has 

increased its commitment to renewable energy sources, 

utilizing wind, solar and biomass energy suppliers, 

supplying 4 percent of IBM electricity use globally in 

2004. IBM engineers took a leadership role in 

redesigning PFC-using processes to either replace 

PFCs with nitrogen trifluoride (NF3), which has a low 

GHG potential and is 90 to 95 percent utilized in the 

process or to convert processes to a low-flow PFC 

process, reducing emissions by 40 to 50 percent. 

National Renewable Energy 

Laboratory (NREL) reduced 

U.S. GHG emissions by 10 percent 

per square foot from 2000 to 2005. 

The laboratory has met its goal primarily through the use 

of multiple onsite renewable energy projects, including 

several photovoltaics installations, as well as the use of 

wind power to offset electric load at its National Wind 

Technology Center. In fiscal year 2005, NREL 

purchased renewable energy certificates (RECs) that 

offset 100 percent of its annual electric use in 

Department of Energy-owned buildings. Several solar 

thermal projects include solar hot water systems, trombe 

walls, and ventilation air preheat systems. The 

laboratory’s belief in making a positive local impact on 

the environment led NREL to make Colorado-based 

green power purchases. 

SC Johnson 

reduced U.S. 

GHG emissions 

by 23 percent per pound of product from 2000 to 2005. 

At its Waxdale facility, SC Johnson chose to install a 

landfill gas combustion turbine system, which was 

calculated to reduce GHG emissions by 32,000 tons a 

year—50 percent of the facility’s emissions—and thus 

deliver virtually all of the company’s Climate Leaders 

commitment. The $5 million, 3.2-megawatt system cut 

electricity roughly in half and natural gas consumption by 

approximately 25 percent, and is estimated to save more 

than $2.6 million dollars a year in energy costs. SC 

Johnson projects that the overall return on investment 

from the system will be nearly 20 percent. The success 

of this project has prompted SC Johnson to install a 

second turbine, fueled by natural gas and waste 

methane, at the same facility—together, the two-turbine 

system will reduce the facility’s GHG emissions by 

52,000 tons per year. 

Climate Leaders Partners 

Announce GHG Reduction 

Goals 

The following Climate Leaders Partners have recently 

announced GHG reduction goals: 

Baltimore Aircoil Company pledges to reduce 

U.S. GHG emissions by 15 percent per ton of steel 

processed from 2004 to 2009. 

EMC Corp. pledges to reduce U.S. GHG emissions 

by 8 percent per square foot from 2005 to 2012. 

General Electric Company pledges to reduce 

total global GHG emissions by 1 percent from 2004 to 

2012. 

Haworth, Inc. pledges to reduce U.S. GHG 

emissions by 20 percent per dollar sales from 2004 to 

2009. 

Lockheed Martin Corporation pledges to reduce 

U.S. GHG emissions by 30 percent per dollar revenue 

from 2001 to 2010. 

Mack Trucks, Inc. pledges to reduce U.S. GHG 

emissions by 20 percent per unit produced from 2003 to 

2010. 

Marriott International pledges to reduce U.S. GHG 

emissions by 6 percent per available room from 2004 to 

2010. 

Oracle pledges to reduce U.S. GHG emissions by 6 

percent per square foot from 2003 to 2010 for all nondata center space and to purchase 5 percent green 

power for data centers. 

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STMicroelectronics pledges to reduce U.S. GHG 

emissions by 50 percent per manufacturing unit from 

2000 to 2010. 

Sun Microsystems pledges to reduce total U.S. 

GHG emissions by 20 percent from 2002 to 2012. 

Volvo Trucks North America, Inc. pledges to 

reduce U.S. GHG emissions by 20 percent per truck 

produced from 2003 to 2010. 

Welcome New Climate 

Leaders Partners! 

Agilent Technologies 

Palo Alto, California 

Agilent provides core analytical and electrical 

measurement tools to advance the electronics, 

semiconductor, pharmaceutical, environmental, and 

petrochemical industries. Agilent develops innovative 

technology that enables its customers to drive 

productivity and improve the way people live and work. 

As a global manufacturing and research and 

development company, Agilent has customers in more 

than 110 countries. 

American Water 

Voorhees, New Jersey 

American Water provides high quality water, wastewater, 

and other related services to over 18 million people in 29 

states and 3 Canadian provinces. Based in Voorhees, 

New Jersey, the company has revenues of over $2 

billion, and is one of the largest water resources 

companies in North America. 

distributes a broad line of building materials, including 

wood products manufactured by the company. Boise 

also manufactures a wide range of specialty and 

premium paper products, including imaging papers for 

the office and home and papers for pressure-sensitive 

applications, as well as printing and converting papers, 

containerboard and corrugated boxes, newsprint, and 

market pulp. 

California Portland Cement Co. 

Glendora, California 

California Portland Cement is the oldest continually 

producing portland cement company west of the Rocky 

Mountains, producing not only cement and concrete, but 

also Precast Manholes, Redi-Rock, Truss Pipe, 

Corregated Pipe & Fittings, Catch Basins, Aggregates, 

Building Materials, Sand, Gravel, Rock, Everdure Caltite, 

and Arxx - Insulated Concrete Forms. California Portland 

Cement has become a leader in its industry through the 

company's commitment to quality and customer service. 

For more than 50 years, California Portland Cement has 

been a major supplier of cement and concrete for the 

construction industry throughout the Southwestern 

United States. 

Citigroup Inc. 

New York, New York 

Citigroup, a leading global financial services company, 

has some 200 million customer accounts and does 

business in more than 100 countries, providing 

consumers, corporations, governments and institutions 

with a broad range of financial products and services, 

including consumer banking and credit, corporate and 

investment banking, insurance, securities brokerage, 

and asset management. Major brand names under 

Citigroup's trademark red umbrella include Citibank, 

CitiFinancial, Primerica, Smith Barney and Banamex. 

Boise Cascade Ecolab Inc. 

Boise, Idaho Saint Paul, Minnesota 

Boise Cascade (Boise) manufactures engineered wood With 2004 sales of $4.2 billion, Ecolab Inc. is a leading 

products, plywood, lumber, and particleboard and global developer and marketer of premium cleaning, 

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sanitizing, pest elimination, and maintenance and repair 

products and services for the hospitality, foodservice, 

institutional, and industrial markets. Ecolab shares are 

traded on the New York Stock Exchange under the 

symbol ECL. 

Fairchild Semiconductor 

South Portland, Maine 

Fairchild Semiconductor is a global supplier of highperformance power products critical to today's leading 

electronic applications in the computing, 

communications, consumer, industrial, and automotive 

segments. As The Power Franchise®, Fairchild offers 

the industry's broadest portfolio of components that 

optimize system power through minimization, 

conversion, management, and distribution functions. 

Fairchild's 9,000 employees design, manufacture, and 

market power, analog and mixed signal, interface, logic, 

and optoelectronics products from headquarters and 

numerous locations around the world. 

General Electric Company 

Fairfield, Connecticut 

General Electric is a diversified technology, media, and 

financial services company focused on solving some of 

the world's toughest problems. With products and 

services ranging from aircraft engines, power 

generation, water processing and security technology to 

medical imaging, business and consumer financing, 

media content, and advanced materials, GE serves 

customers in more than 100 countries and employs 

more than 300,000 people worldwide. 

Haworth, Inc. 

Holland, Michigan 

Haworth, Inc. is a global manufacturer of adaptable 

workspaces and interior architectural systems, including 

raised access flooring, movable walls, modular voice 

and data cabling systems, systems furniture, wood and 

metal case goods, files, and seating products. Haworth 

owns and operates nine manufacturing facilities in 

Michigan. Other North American manufacturing locations 

include North Carolina, Mississippi, Ontario, Quebec, 

and Alberta. Haworth also operates manufacturing 

facilities in multiple locations in Europe and Asia. 

Haworth, Inc. has a long-standing commitment to 

environmental excellence. 

HSBC North America 

Prospect Heights, Illinois 

HSBC North America comprises all of HSBC’s U.S. and 

Canadian businesses, including the former Household 

International businesses. The company’s businesses 

serve nearly 60 million customers in five key areas: 

personal financial services, consumer finance, 

commercial banking, private banking, and corporate 

investment banking and markets. Financial products and 

services are offered under the HSBC, HFC and 

Beneficial brands. 

Kimberly-Clark Corporation 

Neenah, Wisconsin 

Kimberly-Clark (K-C) and its well-known global brands 

are an indispensable part of life for people in more than 

150 countries. Every day, 1.3 billion people—nearly a 

quarter of the world's population—trust K-C brands and 

the solutions they provide to enhance their health, 

hygiene, and well-being. Kimberly-Clark's brands, 

including Kleenex, Scott, Huggies, Pull-Ups, Kotex and 

Depend, hold leading market share positions in more 

than 80 countries. 

Lucent Technologies Inc. 

Murray Hill, New Jersey 

Lucent Technologies designs and delivers the systems, 

services, and software that drive next-generation 

communications networks. Backed by Bell Labs 

research and development, Lucent uses its strengths in 

mobility, optical, software, data and voice networking 

technologies, as well as services, to create new 

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revenue-generating opportunities for its customers, while 

enabling them to quickly deploy and better manage their 

networks. Lucent's customer base includes 

communications service providers, governments, and 

enterprises worldwide. 

Steelcase Inc. 

Grand Rapids, Michigan 

Steelcase, a global leader in the office furniture industry, 

helps people have a better work experience by providing 

products, services and insights into the ways people 

work. The company designs and manufactures 

architecture, furniture and technology products. Founded 

in 1912 and headquartered in Grand Rapids, Michigan, 

Steelcase serves customers through a network of more 

than 800 independent dealers and approximately 14,000 

employees worldwide. 

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