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Our planet’s climate is changing, and scientific consensus is that greenhouse gas (GHG)1 emissions are the main culprit. The effects are forecasted to be far-reaching and substantial. The IPCC Fourth Assessment Report, published in 2007, warned that unmitigated climate change would likely trigger a range of environmental problems threatening agriculture, natural habitats and communities in low-lying coastal areas.
The economic toll will be high as well. The cost of responding and adapting to unmitigated climate change could reach between 5 and 20 percent of annual global gross domestic product (GDP), according to the Stern Review on the Economics of Climate Change. Released in 2006, the report also estimates that mitigating climate change instead would cost approximately one percent of global GDP each year. To stave off these potential issues, negotiations under the United Nations Framework Convention on Climate Change are aiming for an agreement in 2009 to reduce global emissions by at least 50 percent (compared with 1990 levels) by 2050.2
Climate change presents significant environmental, economic and social risks—and opportunities—for HP, our customers and society. The IT industry is responsible for about 2 percent of global GHG emissions3, and we are working within our own business and with others to reduce energy use and GHGs. But we believe tackling climate change also presents significant opportunities for HP because our products and services offer great potential to help reduce energy use throughout the global economy. Using IT to reduce GHG emissions in other sectors can avoid billions of tonnes of CO2e each year.
We believe effectively responding to climate change requires a broad coalition spanning governments, industries, nongovernmental organizations (NGOs) and individuals worldwide. To that end, HP is collaborating with governments, NGOs and other technology companies to promote strong climate change policies, advance industry standards for energy efficiency and reduce GHG emissions throughout the economy. For example, in 2008, we strengthened our partnership with the conservation organization WWF to improve our performance in environmental stewardship, sustainability and energy efficiency while enabling WWF to achieve broader, bolder and more measurable conservation impacts.
HP also joined more than 140 leading global companies in signing a communiqué from the Corporate Leaders Group on Climate Change at the Poznan negotiations in December 2008. The communiqué called for a treaty to be agreed in Copenhagen in December 2009 to be based on targets for emission reductions by 2050. (See our global issue brief about climate change and energy efficiency.)
Strategy
Our climate strategy involves the following four elements, each of which increases in scope and complexity, while also in impact:
- Cutting GHG emissions from our internal operations
- Reducing GHG emissions in our supply chain
- Reducing our customers’ energy and paper consumption when using our products and services
- Using IT to enable a low-carbon economy
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HP operations |
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Cutting GHG emissions from our internal operations:
- Decrease GHG emissions from HP facilities
- Reduce GHG emissions from employee business travel
- Address other employee-related GHG emissions (such as commuting)
Reducing GHG emissions in our supply chain:
- Work with suppliers to reduce GHG emissions from product manufacturing
- Encourage suppliers to reduce energy and GHG emissions in their supply chains
- Reduce the GHG emissions from transporting our products.
Reduce the impact of our products and the equipment used to provide services on the climate:
- Decrease the energy consumption of our products
- Educate customers on product carbon footprint
- Improve energy efficiency in our customer data centers and reduce the impact of our outsourcing services.
Develop products and services for the low-carbon economy:
- Apply IT to reducing the energy intensity and carbon footprint of activities
- Substitute low-carbon alternatives for carbon-intensive processes
- Use IT to monitor and manage energy use and GHG emissions
- Offer products and services to reduce customers’ GHG emissions from travel, manufacturing, supply chain and publishing.
[Mouse over each section to learn more]
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| Low carbon economy |
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Supply chain |
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Customer use |
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Highlights in 2008
HP operations4
In 2008, we reduced our GHG emissions by 4 percent compared with 2007, in absolute terms, and 13 percent normalized to revenue. We achieved this mainly by continuing to reduce office space even though our business grew, because employees increasingly work from home or in flexible workspaces.
Our San Diego facility began to generate solar energy, using more than 6,200 solar panels that will produce over 10 percent of the facility’s energy needs and save more than 550 tonnes of CO2e emissions a year.
Supply chain
In 2008, we began working with suppliers to gather data on energy use and GHG emissions. We were the first electronic company to announce the emissions of our key suppliers.
We are reducing product transport emissions by optimizing distribution networks and converting shipments where appropriate from air to ocean and from road to rail. We included environmental performance as one of the seven core elements in a new logistics strategy and worked with our top global logistics providers to calculate the estimated emissions for the freight they are moving on our behalf.
Customer use
HP introduced many products and services in 2008 to help customers save energy in their use of IT, from PCs and printers to data centers. They include the following:
- The HP Compaq dc7800 Ultra Slim Desktop—one of the industry’s smallest enterprise-ready desktops, received the most stringent Gold rating of the Electronic Products Environmental Assessment Tool (EPEAT®). (See case study.)
- The HP Deskjet D2545, which uses 40 percent less energy than its predecessor, is made from 83 percent recycled plastic material and uses HP 60 ink cartridges, made from 50-75 percent recycled plastic including resins from returned HP cartridges. (See case study.)
- The redesigned HP ProLiant BL460c G5 server reduces energy use by up to 25 percent over HP’s previous model and is already compliant with upcoming ENERGY STAR® server guidelines (See case study.)
Low-carbon economy
Our greatest potential contribution to reducing GHG emissions is applying our technology to improve the energy efficiency of activities beyond the IT sector. In 2008, we published a white paper identifying these three potential areas of innovation:
- Reducing energy intensity and the carbon footprint of existing products and services
- Substituting low-carbon alternatives for carbon-intensive activities
- Enabling management of energy use and GHG emissions
HP also contributed to Smart 2020, a report by The Climate Group on behalf of the Global e-Sustainability Initiative (GeSI), which concluded that transformation in the way people and businesses use technology could reduce annual man-made global emissions by 15 percent by 2020, saving more than $800 billion in energy costs.
Greenhouse gas emissions related to HP’s business, 2008
Category
(click on item for more detail) |
2008 emissions [tonnes CO2e] |
Level of influence5 |
Our influence |
| HP operations |
1,442,000 |
High |
We manage our facilities and data centers to reduce energy consumption. |
| HP employee business travel |
425,000 |
High |
Our travel policies and telepresence solutions reduce business travel. |
| Product manufacturing |
3,500,0006 |
Medium |
We work with our first-tier suppliers to report and reduce their energy use, but we do not have direct control. |
| Product transport |
1,800,000 |
Medium |
We optimize distribution networks and convert to lower-energy transport modes where appropriate, but we do not control shipping operations. |
| Product use |
Roughly an order of magnitude more than HP operations |
Medium |
We design products and offer services to use less energy, but customers determine the use of our products. |
| Product recycling (CO2e avoided)7 |
300,000 |
Medium |
We offer reuse and recycling services, but customers determine the treatment of their products at end of life. |
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