California AB 1305 Voluntary carbon market disclosures business regulation act (VCMDA)
The following information is provided by Klean Kanteen, Inc. (“Klean Kanteen”) in accordance with California Assembly Bill 1305, the Voluntary Carbon Market Disclosures Business Regulation Act (VCMDA), and its goal to promote transparency and integrity of climate-related claims and participation in voluntary carbon markets (VCMs).
As a certified Climate Neutral company, in addition to drawing down our greenhouse gas emissions (“emissions”) in accordance with science-aligned reduction targets for Scopes 1, 2 and 3, Klean Kanteen participates in the voluntary carbon market (VCM) to avoid or remove additional emissions. The information below is current, accurate, and to the best of our knowledge, clarifies any and all claims made by Klean Kanteen regarding our use of the term “Climate Neutral” and our participation in the VCM.
Emissions-Related Claims, including use of the term, “Climate Neutral”
Klean's strategy on climate action follows a hierarchy of decarbonization measures:
- Science-aligned target and plan to reduce Scope 1 and 2 emissions (e.g., reducing energy demand, implementing energy efficiency measures or investments, onsite renewable energy, and procuring additional renewable energy as needed)
- Science-aligned target and plan to reduce Scope 3 emissions (e.g., engaging supply chain partners to increase energy efficiency and use renewable energy, adopting lower carbon product materials, preferring lower emission transportation modes, and exploring circular business models)
- Contribution to programs/projects that avoid or remove greenhouse gases beyond our own operations and value chain to support global emissions drawdown
In support of this strategy, Klean has certified according to the Climate Neutral standard since 2020. This third-party certification creates an external accountability mechanism to help ensure climate action (as described above) remains at the top of Klean’s priorities. The Climate Neutral Certified label is a globally recognized standard for carbon accountability. https://www.climateneutral.org/brand/klean-kanteen
Achievement of Climate Neutral certification indicates that our company measures and reports annual greenhouse gas (GHG) emissions for all activities from cradle to customer per relevant GHG Protocol methodology, sets science-aligned emissions reduction targets, shows a reduction plan and progress on reduction targets, and contributes to global GHG drawdown through contribution to projects beyond our operations and value chain that avoid or reduce emissions equal to 100% of annual emissions from cradle to customer.
The Climate Neutral certification standard is maintained by an independent, nonprofit organization called The Change Climate Project (TCCP). Requirements of the Climate Neutral standard are designed to ensure, among other things, the integrity of greenhouse gas emissions measurements in order for companies to earn the certification.
Klean has set near-term GHG emissions reduction targets that align with science and follow standards set by the Science-Based Targets initiative (SBTi), a globally recognized partnership between CDP, the United Nations Global Compact, World Resources Institute (WRI) and the World Wide Fund for Nature (WWF) that defines and promotes best practice in emissions reductions and net-zero targets in line with climate science. Using the SBTi target-setting tool, Klean has set the following absolute reduction targets:
- Reduce scopes 1 and 2 emissions 58.8% from a 2016 baseline by 2030
- Reduce scope 3 emissions 30% from a 2019 baseline by 2030
Klean approaches the Climate Neutral standard’s obligation to contribute to projects beyond our own operations and value chain in accordance with best practices outlined in “WWF position and guidance on voluntary purchases of carbon credits”. The World Wide Fund for Nature (WWF) states that the purchase of high-quality carbon credits can be an effective way for businesses to contribute to their climate goals when those purchases are part of a broader strategy to reduce emissions.
Purchase of carbon credits, or offsets
Klean’s participation in beyond value chain mitigation (BVCM) through purchase of carbon credits has supported activities to avoid or remove GHG emissions through renewable energy, forest restoration, forest conservation, landfill gas capture and sequestration, commercial-scale composting, and improved shipping technology. Emissions avoided or removed through the purchase of carbon credits are not subtracted from Klean’s annual GHG inventory, ie, they are not a form of reduction. These BVCM contributions help finance climate action in support of the global transition to a zero-carbon future and represent a self-imposed tax until we can drawdown our emissions entirely or nearly so.
Details about projects we’ve supported in fulfillment of Climate Neutral certification requirements are provided below.
- Gansu Wind Farm Project, Verified Carbon Standard Project 728 (2022) – This renewable electricity Project is located in Yumen Town, Yumen City, Gansu Province, the People’s Republic of China. The Project purpose is to generate renewable electricity from wind and supply to the Northwest China Power Grid (NWPG). The NWPG currently uses conventional fossil fuel based thermal power plants to meet the majority of regional electricity demand, resulting in high levels of carbon dioxide emissions. The electricity generated by the project will be delivered to NWPG to avoid emissions from an equivalent amount of electricity otherwise generated by fossil fuel.
- Shandan Dongle Beitan 50MW Solar Project, Verified Carbon Standard Project 1362 (2022) – This renewable electricity project is a newly built grid-connected photovoltaic power plant with installed capacity of 50MW located in Dongle Beitan, Shandan County, Zhangye City, Gansu Province of China. The purpose of the project is to generate electricity by using renewable solar energy, and the electricity generated by the project will be delivered to NWPG to avoid emissions from an equivalent amount of electricity otherwise generated by fossil fuel.
- Green Trees Reforestation Project, American Carbon Registry Project 114 (2020) – The purpose of this project is to restore degraded agricultural lands back to their original and highly beneficial forest ecosystem in the lower Mississippi River Valley-Arkansas, Mississippi, Louisiana, Kentucky, Illinois, Missouri, and Tennessee. Trees are planted on private land throughout the critical watershed, protected with conservation easements, and third-party verified to scientifically measure the carbon removed.
- Cordillera Azul National Park (Peru), Verified Carbon Standard Project 985 (2020, 2021) – The Cordillera Azul National Park project is in Peru's high forest between the Andes and the Amazon Basin. This project is working in a landscape of 3.7 million hectares (nearly the size of the Netherlands) to protect 1.6 million hectares of threatened forest and its capacity to remove carbon dioxide from the atmosphere.
- Clinton Landfill #2 Gas Collection and Combustion Project, Verified Carbon Standard Project 318 (2019) - The Clinton Landfill Gas Collection and Combustion Project consists of the collection and destruction of LFG from Clinton Landfill #2 in Clinton, Illinois. The Project includes a landfill gas collection system which conveys LFG to two power generation engines or an open candlestick flare. Emission reductions are achieved by the Project through the collection and combustion of methane in the flares and engines. Methane has more than 80 times the climate warming impacts over carbon dioxide. The Project avoids GHG emissions by reducing the quantity of methane released to the atmosphere from the decomposition of waste in the closed landfill. In the absence of the Project, the majority of methane collected would have been vented to the atmosphere.
- AkzoNobel Marine Coatings Efficiency, Gold Standard Project 2767 (2019) - AkzoNobel’s Marine Coatings business has worked with The Gold Standard Foundation to create the first approved carbon credit methodology in the marine industry. The methodology is unique in that it is the only approved carbon credit generating methodology for moving articles (i.e. ships) which are not geographically bound (all other projects have strict territorial boundaries). Use of AkzoNobel’s Marine Coatings increases operational efficiencies by up to 10% on average, resulting in avoided GHG emissions during shipping operations.
- Cedar Grove Composting Maple Valley, Climate Action Reserve Project 866 (2019) - Located in Everett, WA, this project avoids GHG emissions through diversion of one or more eligible organic residuals, including residential and commercial food waste, to an aerobic composting facility. Operated by Cedar Grove Composting, this facility complies with Best Management Practices that ensure the composting process is operated under optimal conditions. Using GORE Cover System and ASP Negative Aeration technology, this project encompasses organic residual handling, pre-processing and aerobic composting.