Partner Profile

Johnson & Johnson
Location	New Brunswick, NJ
Goal	Johnson & Johnson pledges to reduce total U.S. GHG emissions by 14 percent from 2001 to 2010.
Environmental Web Site
Company Description Johnson & Johnson is the world's most comprehensive and broadly based manufacturer of health care products, as well as a provider of related services, for the consumer, pharmaceutical, and medical devices and diagnostics markets. Johnson & Johnson has more than 200 operating companies in 57 countries around the world, employing 109,200 employees and selling products in more than 175 countries. The company believes that it is responsible to the communities in which its employees live and work and to the world community as well. As a large, multinational organization, Johnson & Johnson's environmental footprint is complex and far-reaching. The company strives to take action in all its facilities to minimize this footprint. "Johnson & Johnson has long been committed to energy conservation and improving the health of the planet," says Dennis Canavan, Executive Director, Worldwide Energy Management. "We are focused on reducing our CO2 emissions in absolute terms as our business grows. Climate Leaders is one of our key partners in achieving this goal."
Reasons for Joining Climate Leaders The Johnson & Johnson businesses worldwide have adopted a climate-friendly energy policy to reduce their operating costs, meet their emerging legal and societal obligations, and improve the environment for future generations. Johnson & Johnson strives to be a corporate environmental leader in the efforts to prevent climate change and partners with organizations working to improve GHG management. joining EPA's Climate Leaders program has also provided Johnson & Johnson with useful guidance in developing a comprehensive system to measure and track its GHG emissions. Johnson & Johnson's corporate strategy for reducing GHG emissions includes five tiers of best practices: - Energy efficiency improvements in all operations; - Cogeneration — on-site generation of electricity and recovery of the waste heat for overall efficiencies of 80 percent or more; - On-site renewable energy that produces no CO2 emissions; - Renewable electricity purchases; and - Carbon trading and sequestration. Johnson & Johnson is not only looking to reach its GHG reduction goals but also to encourage other companies to set similar goals and implement similar improvements in an effort to address global climate change.
GHG Reductions Before Joining Climate Leaders Since 1990, various company projects have focused on energy efficiency improvements for lighting, facility building envelopes, HVAC, compressed air, office equipment, fuel sources, and heat recovery. From 1990 to 2000, $12.5M have been saved through these projects and 107,000 metric tons of CO2 have been prevented. Johnson & Johnson's GHG reduction efforts began with an internal goal adopted in 2000. Each operating company is responsible for meeting GHG reduction goals of 4 percent by 2005 and 7 percent by 2010. Many reductions were identified through Johnson & Johnson's Enhanced Best Practices (EBP), which include 245 energy-saving opportunities for affiliates to consider. Johnson & Johnson also partners with organizations aiming to set the standard for GHG management such as EPA's ENERGY STAR®, Green Power Partnership, and Performance Track; World Resources Institute (WRI); World Wildlife Fund; and the Carbon Disclosure Project. The company has received numerous energy and environmental awards including EPA's Green Power Partner of the Year, The California Governor's Award for Sustainable Practices, New Jersey Clean Energy Business Leader of the Year, and The Climate Group Low Carbon Leader.
Approach to GHG Management Johnson & Johnson announced its Climate Leaders GHG reduction goal in 2003. One of the challenges in setting the reduction goal was estimating and accounting for growth including growth through acquisitions as well as through increased production and sales at existing facilities. Taking into account its growth during the 1990s, as well as Johnson & Johnson's overall goal of reducing total emissions by 7 percent by 2012, Johnson & Johnson set a goal of reducing total U.S. GHG emissions by 14 percent from 2001 to 2010. Johnson & Johnson has learned a great deal through its partnership with EPA. While compiling its base-year inventory, the company discovered that corporate travel is a large contributor to direct emissions sources. Johnson & Johnson's Inventory Management Plan (IMP) has been integrated into its internal GHG Protocol. Using the IMP has given the company's internal protocol much more structure and clarity, making it easier to explain to those employees new to GHG management. Johnson & Johnson has various processes in place to track the progress of its goal. The company's Energy Tracking System (ETS) is solely dedicated to tracking energy and emissions goals. Through this system, affiliates report energy usage, cost, and projects with any applicable savings. The ETS utilizes the latest emissions factors from WRI and EPA, and the system adjusts when new factors are published.
Progress Towards Goal Completion Johnson & Johnson has achieved a 10 percent reduction in total GHG emissions from 2001 to 2004. The largest single component responsible for the emissions reduction is the purchase of renewable energy certificates (RECs) for wind power. The emission reductions due to the RECs purchases in 2004 accounted for 170,000 metric tons of CO2 equivalent, offsetting 29 percent of the company's emissions from electricity use and 19 percent of the total corporate emissions in that year. The continued implementation of Johnson & Johnson's energy efficiency best practices and new facility design criteria have also been important contributing factors to its emission reductions. From 2001 to 2004, Johnson & Johnson's total sales increased by 43 percent, but its total energy use only increased by 14.7 percent.

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