L'Oréal Accelerates its Sustainability Transformation in 2017

Sustainable development

L’Oréal USA Exceeds CO2 Emission Targets and Increases Efforts Toward Carbon Neutrality

 

Biolage Raw

New York, April 19, 2018 – A few days ahead of Earth Day on April 22, L’Oréal publishes the 2017 Progress Report on its global sustainability program, Sharing Beauty With All. The report shows significant progress, as much on sustainable innovation as on the company’s commitment to fighting climate change. 

“In 2017, we have once again shown that economic success and environmental performance go hand in hand,” says Alexandra Palt, L’Oréal’s Chief Corporate Responsibility Officer. “We want to show that responsible growth is not just possible but necessary, and that sustainability shapes a desirable future for everyone.” 

The SPOT evaluation tool: a first of its kind in the beauty industry

In 2017, L’Oréal implemented its Sustainable Product Optimization Tool (SPOT), the first of its kind in the beauty industry, across its entire brand portfolio. Since 2014, L’Oréal’s teams, with the support of international experts, have worked to develop a methodology of this tool to measure all the environmental as well as social impacts of a cosmetic product and to identify avenues for improvement. SPOT is also instrumental in achieving L’Oréal’s goal of improving the social or environmental profile of 100 percent of new products by 2020. The tool was used to evaluate all new or renovated products in 2017, and 76 percent of the products launched in 2017 have been improved.

A recognized low carbon performance

In 2017, L’Oréal reduced the carbon emissions of its plants and distribution centers by 73 percent in absolute terms, compared to 2005, while increasing its production volume by 33 percent in the same period. In addition, by year end, 24 of the Group’s industrial sites achieved carbon neutrality.

This exceptional result was recognized by CDP (formerly known as the Carbon Disclosure Project). In 2017, for the second year running, L’Oréal was one of two companies worldwide – and the only French business – among more than 3,000 companies evaluated, to receive three ‘As’, the best possible score, in CDP’s ratings on three major issues: fighting climate change, managing water scarcity and reducing deforestation.

Carbon reduction in the U.S.

As part of its surpassing of carbon reduction goals, L’Oreal USA announced plans to achieve carbon neutrality in 2019 for all 21 of its U.S. manufacturing and distribution facilities with a financially sustainable approach that could potentially serve as a model to support new renewable natural gas (RNG) projects in the future. In order to reach this milestone, L'Oréal USA is adding to its diversified energy portfolio with renewable natural gas purchased from a new landfill gas processing facility near its largest U.S. plant in Kentucky.

The U.S. subsidiary also furthered its commitment to renewable energy by completing two large-scale commercial solar arrays at its Florence, Kentucky (1.4 MW) and North Little Rock, Arkansas (1.2 MW) manufacturing facilities in 2017, adding to the existing 15 solar and wind installations across the U.S. The more than 86 million kWh usage is equivalent to the annual electricity use of more than 8,000 average American homes.

“At L’Oréal, we are committed to advancing sustainable business, and our teams have made incredible strides in the last year, particularly in the U.S.,” said Danielle Azoulay, Head of CSR & Sustainability for L’Oréal USA. “We manufacture more than one billion units of product in the U.S. With that scale comes influence and opportunity to address environmental challenges.”

L’Oréal renews its climate ambition in line with the Science Based Targets initiative

Within the framework of the Science Based Targets initiative, L’Oréal has undertaken new commitments towards 2030 to fight climate change and reduce its carbon footprint. L’Oréal’s goal is to reduce by 25 percent in absolute terms, compared to 2016, all its greenhouse gas emissions, i.e. those emitted directly by L’Oréal as well as those generated indirectly, for example, those emitted via its suppliers’ activities or through the use of its products by consumers. 

Last year, Newsweek recognized L’Oréal’s performance with a Green Ranking score of 89.9 percent, the best score among 500 global companies. L’Oréal USA earned the distinction of 2017 Green Power Partner of the Year from the U.S. Environmental Protection Agency (EPA).

For more information on L’Oréal USA’s sustainability programs, commitments and achievements, visit https://sharingbeautywithall.loreal.com/.