Commercial, GHG Emissions - February 15, 2019
Walgreens Boots boosts energy efficiency in 2500 stores
Walgreens Boots Alliance (WBBA) invested more than $115 million in energy efficiency programs, including projects in approximately 2,500 stores during fiscal 2018. These upgrades included replacing HVAC units and converting to LED exterior and interior lighting. Each business within Walgreens Boots Alliance sets energy use reduction goals and maintains a record of performance against its targets.
These results were part of the company's 2018 Corporate Social Responsibility Report, which stated, "Due to energy consumption and waste generation by our stores, distribution centers, employees and fleets, Walgreens Boots Alliance has a significant impact on the environment. However, our size also provides us with the ability to drive large-scale initiatives to reduce that impact. We are committed to ensuring that due consideration is given to the impact our operations across the Company have on the environment."
The company’s emissions reduction strategy includes the implementation of large-scale initiatives, such as a global process to measure and monitor Scope 1, Scope 2 and some Scope 3 emissions. The strategy involves investment in energy and fuel efficiency programs in office buildings, distribution centers, stores, and transportation fleets.
According to the CSR Report, WBA reduced its carbon footprint in fiscal 2018 compared with the previous year by 9.6%, noting the decline was “primarily due to a change in U.S. Environmental Protection Agency (EPA) published conversion factors and to lower electricity consumption at Walgreens related to energy efficiency initiatives.” The reduction since their baseline year of 2016 is 15.3%.
Emissions from product delivery decreased by 13.1 percent in fiscal 2018 compared with fiscal 2016. The report noted the company’s carbon emissions by source in 2018 as 84% energy, 13% product delivery and 3% business travel. WBA posted a decline in emissions from product delivery of 3.9% in fiscal 2018 compared with the previous year due to improved fleet fuel efficiency in the Retail Pharmacy USA Division, while route changes and efficiencies drove emissions down in the Retail Pharmacy International Division.
Walgreens Boots Alliance, headquartered in Deerfield, Ill., is the largest retail pharmacy, health and daily living destination across the U.S. and Europe. The company’s portfolio of retail and business brands includes Walgreens, Duane Reade, Boots and Alliance Healthcare, as well as increasingly global health and beauty product brands.