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Carbon reduction - action taken

T. Esco | 19.01.2007 15:08

Supermarket chain Tesco pledged last night to revolutionise its business to become "a leader in helping to create a low-carbon economy" with a raft of new measures to help combat climate change.
In the most significant step announced yesterday, the UK's biggest retailer, which produces 2m tonnes of carbon a year in the UK, said it would put new labels on every one of the 70,000 products it sells so that shoppers can compare carbon costs in the same way they can compare salt content and calorie counts.

The company also pledged to cut the emissions produced by its stores and distribution centres by 50% by 2020 and slash by 50% within five years the amount of CO2 used in its distribution network to deliver each case of goods.
Tesco's chief executive, Sir Terry Leahy, promised "a revolution in green consumption" and said he wanted to bring the green movement into the mass market. "I am not a scientist. But I listen when the scientists say that if we fail to mitigate climate change, the environmental, social and economic consequences will be stark and severe," he said.

Peter Madden, chief executive of the green thinktank Forum for the Future, said Tesco's plans should be welcomed: "This is big stuff. When you have a company as powerful as Tesco and a boss as influential as Terry Leahy giving serious attention to climate change, the rest of business has to listen."

Tesco's move is the latest in a series as the big supermarkets battle to prove their green credentials. The trend was kick-started in 2005 by Lee Scott, president of the Wal-Mart discount chain in the US and the parent company of Asda. Mr Scott made a $500m (£255m) commitment to use 100% renewable energy, create zero waste and cut greenhouse emissions by 2009.

Last year Tesco unveiled a 10-point plan designed to make it a "good neighbour" which included promises to install wind turbines and solar panels, source more food locally and encourage healthier eating. It has also started offering loyalty card points to shoppers who do not take carrier bags.

Asda and Sainsbury's have unveiled similar initiatives and this week Marks & Spencer unveiled a £200m environmental plan which included a pledge to become carbon neutral and send no waste to landfill by 2012. M&S boss, Stuart Rose, even pledged to trade in his BMW for a hydrogen-fuelled model.

The government has also waded into the issue. Last year the environment secretary, David Miliband, told the bosses of the big four supermarkets to set and meet targets to cut carbon emissions, to use their buying power to demand greener products and to label electrical goods more clearly so that shoppers could more easily buy the most efficient products.

Tesco's plans unveiled yesterday included plans to offer more efficient electrical products at lower prices and to promote products that use less energy.

Sir Terry said: "Tesco has come to be portrayed as part of the problem. This could not be more wrong. When you want to reach and empower the many, Tesco is a big part of the solution."

The supermarket, he said, was aiming for large-scale change in line with that demanded last year in the report on climate change prepared for the government by Professor Nicholas Stern.

The new carbon labelling programme will not be immediate. Tesco said it would first have to develop a "universally accepted and commonly understood" measuring system.

Mr Madden described the proposed carbon labelling scheme as "groundbreaking". He added: "It shows they are serious about tackling climate change."

Meanwhile all food products airfreighted into the UK will carry an aeroplane symbol. According to the Department for Environment, Food and Rural Affairs food transported by air - mainly fresh fruit and vegetables - accounts for 0.1% of total food miles, but generates 13% of total food transport CO2 emissions.

Sir Terry said he would not halt all air imports, as a ban would hit some of their poorest suppliers. However, the supermarket giant has pledged to fly in less than 1% of its products compared with the current 2%-3%.

He conceded that some might view the new green plan as an attempt to improve Tesco's image and reputation at a time when the UK's supermarkets are being investigated by the Competition Commission. "Some people will say that," he said. "All I ask people to do is to look at the substance of this. It is significant and far-reaching. There are risks in this."

The first findings of the consumer watchdog's eight-month inquiry are due to be published next Tuesday and it is likely to focus particularly on Tesco, which dominates the UK grocery business with 1,900 stores and 31% of the market.

Other changes planned by Tesco include halving the prices of environmentally friendly products such as low-energy light bulbs, converting Tesco's lorries to run on 50% biodiesel mix and providing children with carbon calculators to show how simple changes, such as car-sharing, can cut carbon costs.

Green groups welcomed Sir Terry's call for a consumer revolution. Tony Juniper, head of Friends of the Earth said: "Tesco has made grudging steps in the past and resisted the environmental challenge, so these are welcome steps, and a significant change of emphasis. But it won't transform Tesco into a green grocer overnight."

The director of Greenpeace UK, John Sauven, said: "These measures are a step in the right direction and will boost sales of energy efficient bulbs and appliances. But ultimately retailers will have to take serious measures, such as stopping selling old-style lightbulbs altogether, if we are to tackle the climate crisis."

Green grocers? How supermarkets measure up

Morrisons

Morrisons appears to be unique in not publishing a specific emissions reduction target. Instead, it says "our policy is to reduce carbon dioxide emissions" which is next to meaningless without measurable goals. But it says the "total CO2 equivalent emissions from energy used by the group is 764,221 tonnes". It also says that in 2005/06 it recycled 72% of its 177,972 tonnes of waste. The NCC gave it a bottom-of-the-class E grade, because it did not offer bags for life.

Tesco

Of the 25 "key commitments" announced by Sir Terry Leahy, the most important is the commitment to publish the carbon footprint of each of its products. This makes keeping tabs on your "carbons" as easy as keeping tabs on the calories. But Tesco is starting from behind the pack, according to a report published last September by the National Consumer Council, which assessed the green credentials of the supermarkets. It gave Tesco a "D" on a par with Asda and the Co-op, saying there was "room for improvement".

Asda

Just the fact that it is owned by the US monolith Wal-Mart tends to raise the hackles of environmentalists, but it has set itself bold targets of sending "zero waste to landfill by 2010" and "reducing carbon emissions by 80,000 tonnes by 2007 compared with a 2001 baseline". However, with regards to packaging, the commitments seem a little fuzzier: it says it aims to deliver "absolute reductions in packaging weight by the end of March 2010". Asda's efforts regarding waste reduction were "poor", according to the NCC report.

Sainsbury's

The supermarket scored a comparatively good "C" grade in the NCC report, being described as "top of the big four", but it now seems in danger of slipping behind its competitors given this week's raising of the bar. For example, it has pledged that it will "reduce waste sent to landfill by 5% against the 04/05 baseline by 2010". This seems poor compared to the new zero-waste promises of others. Its emissions reduction commitments have also been roundly trumped.

Waitrose

The John Lewis partnership, which owns Waitrose, already publishes its overall carbon footprint. It has pledged to reduce its CO2 emissions "by 10% by 2010, relative to our trading pattern in the year 2001". It also says it generates more than 50,000 tonnes of waste a year - 40% of which is recycled. The NCC graded it "B", the highest score for a supermarket.

Marks & Spencer

The resurgent retailer was right to feel smug on Monday with the announcement of its £200m "Plan A" eco-promise complete with endorsements from Greenpeace and WWF. The 100-point plan was headlined by its commitments to become carbon neutral and send zero waste to landfill by 2012. It said it would "minimise energy use, maximise the use of renewables and use offsetting as a last resort". It beat Tesco to the draw by announcing first that it would use plane symbols to mark air-freighted foods.
Leo Hickman

T. Esco