2015 Global Responsibility Report
Be supplied by 100 percent
renewable energy

Energy







Aspiration

Drive the production or procurement of 7 billion kilowatt hours (kWh) of renewable energy globally by Dec. 31, 2020 — an increase of more than 600 percent versus our 2010 baseline.

To achieve this aspiration, we’re committed to expanding the development of on-site and off-site solar, wind, fuel cells and other technologies. In 2014, we procured more than 3,000 gigawatt hours (GWh) of Walmart-driven renewable energy globally, accounting for approximately 43 percent of our 2020 target. That’s more than double our total from three years ago, with Mexico, the U.K. and the U.S. leading the way. Heading into 2015, we had more than 380 renewable energy projects in operation or under development in five countries and 16 U.S. states. Together with renewable electricity from the grid, 26 percent of our electricity needs globally are supplied by renewable sources.

One of SolarCity’s biggest challenges is that customers are still stuck with the stigma that clean energy is expensive. Walmart’s scale, brand and leadership are sending the signal that solar is cost-effective. Lyndon Rive
CEO, SolarCity
Doubling on-site solar

In May 2014, President Barack Obama visited our Mountain View, Calif., store to outline his plan for the U.S. to generate more clean energy. At that time, Walmart was already the No. 1 commercial solar energy user and the largest on-site renewable energy user in the U.S. But we supported the plan by committing to doubling the number of on-site solar energy projects at our U.S. stores, Sam’s Clubs and distribution centers by 2020, compared with our 2013 baseline. That’s more than 480 sites by 2020.

Our Mountain View store serves as one of several examples of that commitment at work. The facility currently generates 14.5 percent of its energy from solar systems built and installed by SolarCity, a local California business and one of our largest solar vendors. SolarCity estimates Walmart’s commitment to solar alone has created 9,000 construction jobs in the U.S. and led to the company’s adding 5,000 permanent American jobs since 2010. The commitment of Walmart and other companies to solar creates more certainty in the marketplace and encourages others to invest, which helps lower the cost for everyone.

Achieving our 2020 energy goals is equivalent to:


100% energy
consumption of Austin, Texas, households for one year
9 million
metric tons GHG emissions
1.5 million
passenger cars off the road

Aspiration

By Dec. 31, 2020, reduce the total kWh-per-square-foot energy intensity required to power our buildings around the world by 20 percent versus our 2010 baseline.

As of the end of 2014, we were well on our way toward this new goal by operating with 9 percent less energy per square foot compared with our 2010 baseline. This represents a 2 percent improvement since the end of 2013.

As we expand our global operations to meet increasing demand for retail services, we work to leverage our global size and scale to invest in and implement technologies that reduce energy consumption and transform the retail industry.

We accelerate our efficiency worldwide by:

  • Scaling technologies: Continuing to scale and deploy market-ready efficiency technologies, leveraging our global demand to provide scale and certainty to our suppliers.
  • Transferring technologies globally: Piloting proven technologies in new geographies, store formats and customer demographics.
  • Accelerating tomorrow’s technologies: Maintaining our focus on testing and experimenting with next-generation technologies to accelerate the future of energy efficiency.

In 2014, we completed and/or commenced implementation of numerous energy-efficiency initiatives around the globe as we continued to reduce the energy intensity (kWh/sq. ft.) of our facilities worldwide.

International highlights from 2014:

  • U.K.: In 2014, we added sales floor LED lighting and Voltage Optimisation, in addition to migrating to a new energy monitoring system that provides daily energy alarms, analytical capabilities and reporting.
  • Japan: By the end of 2014, 99 of our stores were outfitted with ceramic tile flooring designed to reflect light and make our stores brighter by approximately 20 percent.
  • Brazil: In 2014, we retrofitted and replaced refrigeration equipment with doors at 35 stores and installed LED lighting at 15 units. These two projects delivered an 18 percent improvement in energy efficiency.
  • Central America: In 2014, we continued the installation of doors on open refrigerated equipment (except produce) in existing stores, achieving energy savings, quality and food safety for our customers. In addition, all of our new construction supercenters and supermarkets utilize 100 percent LED lighting.
  • Argentina: We recently imported lighting devices that are 38 percent more energy-efficient than the technology available in our market. Prior to 2014, importation restrictions in Argentina made this impossible.
Challenges: Energy

While attempting to scale renewables and accelerate our efficiency globally, several unique challenges prevent some markets from adopting and expanding renewable energy as quickly as others, including:

  • Price: In some markets, the price of renewables, like wind and solar, and off-grid generated energy is more than conventional energy.
  • Availability: The availability of renewable resources and suppliers doing business in various markets.
  • Energy policy: The absence of sound regulations and incentives that create a business environment where projects can be easily permitted, built, contracted for, financed and interconnected to the utility grid or customer facilities.

We will not make enough progress by working alone. Developers, suppliers, governments, utility companies, research agencies and consumers must align to create a market environment that supports adoption. That’s why we actively participate in collaborative efforts to drive progress on these challenges. In 2014, Walmart contributed to the development of the Corporate Renewable Energy Buyers’ Principles. This effort, cofacilitated by World Resources Institute (WRI) and World Wildlife Fund (WWF), helped frame the challenges and common needs faced by large renewable energy buyers to offer a new perspective on the future of U.S. energy and electricity. For more information, please see the Corporate Renewable Energy Buyers’ Principles.


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