If new lighting technologies were adopted around the world, the annual savings would include 555 million tons of CO2 emissions or 1.5 million barrels of oil and more than $ 150 billion in energy costs.
A recent CO2 abatement study by McKinsey identified energy efficient lighting as one of the most effective solutions for greenhouse gas reduction. Switching currently installed older lighting to the latest technology would save more energy costs.
With Royal Philips Electronics' Green products it's possible to make 'a simple switch' today. And the future promises more exciting developments as we drive for Green Innovations.
The need for Green Innovations is clear and Royal Philips Electronics is working to ensure that they get the maximum results from their efforts to stimulate innovation
In line with this target to increase Royal Philips Electronics' operational energy efficiency, they are striving for an absolute reduction of their operational carbon footprint of 25% by 2012. To achieve this target, Royal Philips Electronics have several initiatives in place in the areas they can directly influence, for which they have set reduction targets. Their operational carbon footprint includes indirect emissions from purchased electricity, direct emissions from manufacturing and non-manufacturing processes and other indirect emissions that they can influence directly.
Based upon available data, Royal Philips Electronics calculated their total operational footprint to be approximately 2.35 million tons CO2 equivalents. For each area Royal Philips Electronics have action programs in placed to drive energy efficiency and associated CO2 reductions.
In manufacturing Royal Philips Electronics have targets to improve energy efficiency as part of their EcoVision III program. Reducing energy consumption has been part of all of their environmental action programs since their inception in 1984. Currently they are expanding this to specific targets for each sector through 2012.
In 2007, 11 of their industrial sites purchased green electricity, generated from renewable energy sources. As a result, CO2 emissions from industrial sites were 3% lower than they would otherwise have been, reducing their operational carbon footprint by 1%. Royal Philips Electronics is looking to extend this program.
For all their facilities, both manufacturing and non-industrial Royal Philips Electronics is focusing on upgrading their lighting systems.
2. Green IT
A special 'Green IT' program has started on purchasing laptops, desktops and monitors with low energy consumption, and patches are being installed for automatic energy saving conditions as well as simple instructions to employees. Royal Philips Electronics are also reviewing their server 'farms' (the facilities that house their servers) on their energy efficiency and programs are being put in place to enhance their energy efficiency.
3. Renewable energy
Royal Philips Electronics are actively searching for alternative energy sources to reduce their greenhouse gas emissions. One of their efforts is directed at using direct or indirect (through their energy supplier) renewable energy sources like geothermal energy, wind and solar systems to produce green electricity that run their sites. Approximately 10% of Philips purchased electricity in 2007 was generated by renewable energy sources. Thus, they have set their targets to increase the amount of sites which run on green electricity to 25% by the end of 2009. By 2012, the number of sites which use green electricity should be raised to the level needed to achieve Philips 25% carbon footprint reduction target for 2012.
4. Business travel
Royal Philips Electronics added a new functionality when booking travel. A pop-up window suggests video-conferencing as an alternative, to raise awareness and encourage people to consider this option. Royal Philips Electronics' car rental policy already stipulated the use of small vehicles, and working with their rental car provider, Philips added the option of renting a hybrid in 2007.
5. Leased cars
They have sharpened their existing green lease car policy to further decrease emissions. In addition to the standards that were already in place on emissions, engines and carbon filters, Philips include the cost of fuel into the lease price. This will raise user's awareness and provide incentive to lease smaller vehicles.
Logistics comprises of 0,36 Mton for air transport 0,29 Mton for Road transport and 0,17 Mton for Sea transport, in total 0,82 Mtons CO2 equivalents. An estimated 80% of this amount is from the inbound logistics from Philips suppliers of components and products. Philips is putting programs in place to use the type of transportation that has the lowest CO2 impact per kilometer, balancing business needs and environmental impact. This clearly requires mature demand planning. Philips are also running a program on freight consolidation/deconsolidation to eliminate 'empty' kilometers by ensuring maximum loads per kilogram on both outbound and return trips. Phillips are promoting e-billing and are working with freight companies that use clean engines.
7. Supply chain carbon footprint
Philips is undertaking a large scale project to map CO2 emissions throughout their supply chain. For six pilot products Philips make a breakdown into components and assess the CO2 emissions of each of them in all relevant tiers of the supply chain, including their own production. The goal of the project is to identify big sources of CO2 emissions and find abatement measures.
In Philips supplier approach they will increase their cooperation with suppliers by investigating and implementing these abatement measures, thereby reducing CO2 emissions in their supply chain. In the future, the findings of the pilot products can be rolled out across the entire product portfolio.
The asimpleswitch.com website is part of Philips campaign to encourage people to take simple steps to fight climate change, such as changing a light bulb. Visitors can make their personal 'simple switch' pledge and calculate the resulting energy and cost savings.
The campaign communicates to the public at large that solutions in energy management can be simple and easy to implement. Visitors to the website have pledged to switch over 3.3 million incandescent light bulbs to energy saving alternatives since the campaign started in early July 2007.
9. Energy saving in schools
In keeping with Philips targeted approach to social investment activities that reflect their business, they are directing their efforts toward projects to upgrade lighting, particularly in schools.
One initiative is the Global School Program on Energy Efficient Lighting that raised awareness among students in five schools around the world in 2007. Each school was given a grant to upgrade its lighting and the students became lighting designers.
This benefited in saving energy for these schools, leaving more money available for investing in educational elements. Upgrading their lighting system to better quality also helped in providing the students with an effective learning environment.
MEASURES OF SUCCESS
Measuring the investment made on green products and the number of products developed by 2012. 2012 target is to double the investment to .5 billion compared to the target set at 2006
Level of reduction in energy consumption in Philips organization, number of compliant units and number of new energy efficient process. 2012 target is to reduce the total operational footprint by 25% compared to what was measured in 2006, which was approximately 2.35 million tons of CO2 equivalents
The number of Green Products sold. 2012 target is 30% of total revenues versus 2006 target of 15%
OFFERING: implementing partners, best practice information, media/marketing opportunities
Philips is open to working with interested stakeholders in their sustainability programs and initiatives that are aligned with the business areas we operate: Healthcare, Lighting, and Lifestyle.