Big Green Monster
January 3, 2007
It’s no secret that Wal-Mart is not my favorite company; but there are a few things that have happened over the past week that is starting to change some of my opinions. Last Tuesday, Joel Makower, a green business expert, blogged about Wal-Mart’s proposal to install solar energy systems on its stores in five states. And today, the New York Times ran a story on the front page of its business section about Wal-Mart’s campaign to push compact fluorescent light bulbs into at least 100 million homes in 2007. When Wal-Mart first announced its plans to go green, many, including myself, believed it was campaign to help a company with huge public relations problems. Now it looks like Wal-Mart is in a position to have a major environmental impact at a time when we need it the most.
The truth is, compact fluorescent light bulbs (CFLs) are to energy issues what vegetables are to obesity: a perfect answer that doesn’t solve because Americans refuse to consume either vegetables or CFLs. This is where being the nation’s biggest retailer puts you in a position to make a difference. By focusing on selling these light bulbs, Wal-Mart can single handedly change the consumption patterns for this product. Of course it doesn’t come without problems. First, Wal-Mart’s business model means that they will force light bulb manufacturers like GE and Phillips to produce at the lowest possible cost - most likely forcing these companies to light bulb production to China and other Asian countries. Second, CFLs contain Mercury in the bulb, which could create a new environmental problem when consumers throw them away. Americans are notorious for not recycling if it isn’t convenient, which means a concerted effort would have to be made to create a recycling program for CFLs.
Another truth is, there are a lot of Wal-Marts in this country, and a lot of prime real-estate on top of those buildings. If the plan goes through, Wal-Mart will begin installing solar panels on top of stores in California, Colorado, Connecticut, Hawaii and New Jersey. As mentioned before, none of this is official, but Joel Makower believes that Wal-Mart could install solar panels on as many as 340 stores over the next five years. If this actually happens, the solar project will 60 times as big as the one currently being undertaken by Google in California. This isn’t a done deal; far from it. But if Wal-Mart is serious about their commitment to reducing their greenhouse emissions by 30% over the next three years, the solar project will be key.
This might seem like a dream come true for environmentalists; unfortunately, since most of these environmentalists are also liberals concerned with issues like workers’ rights, health care and trade, the situation gets messy. When I saw a presentation by Joel Makower in October, he said something that is painfully obvious yet so hard to swallow. A lot of companies have good intentions when it comes to the environment, but corporate critics never give them credit for it. What incentive does Nike, Starbucks, GE, etc. have to go green when critics are just going to blast the companies for not going far enough, or not solving any of their other problems? Wal-Mart is a big green monster. There are still plenty things wrong with Wal-Mart; but the truth is, critics haven’t killed the monster yet. A company this big engaging in a project like this isn’t just significant, it’s historic. Wal-Mart may still be a monster, but for their energy initiatives... I applaud the great beast.
The truth is, compact fluorescent light bulbs (CFLs) are to energy issues what vegetables are to obesity: a perfect answer that doesn’t solve because Americans refuse to consume either vegetables or CFLs. This is where being the nation’s biggest retailer puts you in a position to make a difference. By focusing on selling these light bulbs, Wal-Mart can single handedly change the consumption patterns for this product. Of course it doesn’t come without problems. First, Wal-Mart’s business model means that they will force light bulb manufacturers like GE and Phillips to produce at the lowest possible cost - most likely forcing these companies to light bulb production to China and other Asian countries. Second, CFLs contain Mercury in the bulb, which could create a new environmental problem when consumers throw them away. Americans are notorious for not recycling if it isn’t convenient, which means a concerted effort would have to be made to create a recycling program for CFLs.
Another truth is, there are a lot of Wal-Marts in this country, and a lot of prime real-estate on top of those buildings. If the plan goes through, Wal-Mart will begin installing solar panels on top of stores in California, Colorado, Connecticut, Hawaii and New Jersey. As mentioned before, none of this is official, but Joel Makower believes that Wal-Mart could install solar panels on as many as 340 stores over the next five years. If this actually happens, the solar project will 60 times as big as the one currently being undertaken by Google in California. This isn’t a done deal; far from it. But if Wal-Mart is serious about their commitment to reducing their greenhouse emissions by 30% over the next three years, the solar project will be key.
This might seem like a dream come true for environmentalists; unfortunately, since most of these environmentalists are also liberals concerned with issues like workers’ rights, health care and trade, the situation gets messy. When I saw a presentation by Joel Makower in October, he said something that is painfully obvious yet so hard to swallow. A lot of companies have good intentions when it comes to the environment, but corporate critics never give them credit for it. What incentive does Nike, Starbucks, GE, etc. have to go green when critics are just going to blast the companies for not going far enough, or not solving any of their other problems? Wal-Mart is a big green monster. There are still plenty things wrong with Wal-Mart; but the truth is, critics haven’t killed the monster yet. A company this big engaging in a project like this isn’t just significant, it’s historic. Wal-Mart may still be a monster, but for their energy initiatives... I applaud the great beast.
