GE talks up Ecomagination success

General Electric's (GE's) goal of reinventing itself as one of the world's greenest companies received a major boost yesterday with the news it has surpassed its first emission-reduction target, and is on track to exceed other key commitments included in its high-profile Ecomagination strategy.

According to its annual sustainability report, the company reduced its greenhouse gas intensity – a measure of emissions against company revenue – by 41 per cent against its 2005 base line, a significant improvement on its 30 per cent target.

Total greenhouse gas emissions were also down 13 per cent on 2005, putting the company well ahead of its target to cut overall emissions one per cent by 2012. Meanwhile, energy intensity was reduced by 37 per cent on 2004 levels, again exceeding the target to improve energy efficiency 30 per cent by the end of 2012.

The extent to which the targets have been exceeded must have been aided by lower revenue growth than had been anticipated back in 2005, but the performance still heralds significant changes in the company's operations, according to Steve Fludder, head of GE's Ecomagination initiative.

He said the emissions cuts had been achieved by integrating emissions targets into metrics used to manage the company's facilities and rolling out several energy-efficient and renewable energy technologies, including products such as solar panels and advanced lighting systems that are manufactured by GE itself.

"If we are proposing that customers around the world use GE solutions to reduce their emissions, then we should do the same," he said.

The report also confirms that the engineering conglomerate is on track to meet its commitment to double annual investment in clean tech R&D to $1.5bn (£942m) by 2010 and increase revenue from green products to $25bn in 2010, having seen sales from its Ecomagination product lines increase 21 per cent in 2008 to $17bn.

In addition, the company said that water use had remained flat in 2008, despite revenue increasing about six per cent, and that it had now put in place a company-wide strategy to meet its goal of cutting water use by 20 per cent on 2008 levels by 2012.

In related news, GE's energy division announced today that it is to step up lobbying efforts in Europe designed to promote the rollout of smart grid technologies.

Keith Redfearn, general manager of GE Energy's Transmission and Distribution business in Europe, who will be delivering a series of presentations to European policymakers over the coming months, said regulatory changes would be required to accelerate the installation of smart grids.

"Smarter regulation and legislation can make the smart grid happen in Europe, " Redfearn said. "Its energy efficiency, consumer savings and environmental benefits are ready to go today. We simply need to work with utilities, regulators and government to begin building a smarter grid across the continent. "