Climate change is one of the most significant and urgent issues facing business and society today. The science is clear, the impacts are serious, and the time to act is now.
At HP, we believe climate action is not just our responsibility—it is vital to the longevity of our business. We are working to ensure our business is resilient by innovating to mitigate the effects of climate change and adapting to an evolving global business and regulatory environment. We recognize that our customers, investors and employees expect us to do our part to address the climate crisis and make our business more sustainable.
The manufacturing, delivery, and use of HP products and solutions requires a substantial amount of natural resources and energy use. We strive to reduce the climate impact of our supply chain, operations, and products and solutions. Our carbon and water footprints cover our entire global value chain, from suppliers1 to our operations and millions of customers worldwide. We have been producing a public sustainability report for 20 years and were the first global IT company to publish a full carbon footprint and one of the first to disclose a complete water footprint. We continue to measure and manage our environmental footprint across the value chain, always pursuing areas for improvement.
Efforts in the supply chain
Our production and nonproduction suppliers are essential partners as we work to drive net zero carbon and improved resource efficiency throughout the value chain.
For more than a decade, we have worked closely with our suppliers to improve their environmental programs and report progress transparently. Our Supplier Responsibility Scorecards are central to our efforts to set expectations, evaluate performance, and drive ongoing improvement.
We request 98% of our production suppliers, by spend, as well as strategic nonproduction suppliers, to disclose key qualitative and quantitative information about environmental management and impacts through HP’s CDP Supply Chain membership. Requested information includes greenhouse gas (GHG) emissions and goals, total and renewable energy use, water withdrawal, climate and water risks, and governance.
We periodically raise our expectations relating to supplier environmental management criteria, such as science-based GHG emissions reduction targets, third-party verification of GHG emissions, publication of a Global Reporting Initiative(GRI)-based sustainability report, and transparent reporting through CDP.
We continue to deepen engagement with suppliers representing GHG emissions “hot spots” in our supply chain—such as LCD panels, printed circuit board assemblies, and memory and storage—identified through life cycle assessments (LCAs) and directly collected data. In 2021, this included procurement-driven workshops with 27 suppliers, representing about 60% of HP’s production spend. Focus areas included setting science-based targets and establishing roadmaps for increasing renewable energy use.
Greenhouse gas emissions
In 2008, HP was the first major IT company to publish aggregated supply chain GHG emissions data. We continue working to drive progress in this area, including through our goals. Our goal to reduce supply chain GHG emissions intensity2 is one of HP’s three value chain goals validated by the Science Based Targets initiative (SBTI). These goals were developed in collaboration with World Wildlife Fund (WWF) experts, demonstrating our rigorous goal-setting process.
In 2021, we continued engaging with suppliers to drive positive change. For example, by providing training outlining our environmental expectations and how those connect with our Supplier Responsibility Scorecards.
We also worked with other organizations to accelerate cross-sector improvements:
- HP collaborated with the We Mean Business Coalition, CDP, and industry peers to promote the uptake of SBTi methodology among IT supply chain companies (both production and nonproduction suppliers) based in the Greater China region
- We joined the 2021 CDP Science-Based Targets Campaign and co-signed a letter to a large number of companies—including many in our supply chain—urging them to set SBTi-validated GHG emissions-reduction goals. By the end of 2021, nine of those suppliers had a new target in place, including four with a net zero commitment
- To support local demand for renewable energy in countries where some of our suppliers are based, we worked with the U.S. Department of State through the Clean Energy Demand Initiative to produce letters of intent with those countries, which were presented at the COP26 conference
- Along with seven of our suppliers, we participated in roundtable discussions hosted by WWF Climate Business Hub, with representatives from the Chinese government and renewable energy developers, to promote policies that will enable greater renewable electricity sourcing in Jiangsu Province
Our Energy Efficiency Program in China and Southeast Asia, implemented in collaboration with NGOs such as BSR, Natural Resources Defense Council (NRDC), the World Resources Institute, and WWF, helps suppliers to build capabilities, identify ways to improve energy efficiency and explore the use of renewable energy.
To improve efficiency, cut costs, and reduce negative environmental impacts, we work to optimize our logistics network by consolidating shipments, identifying new routes, and shipping directly to customers or local distribution centers. To drive progress, in 2021 we held GHG emissions-reduction workshops with about 20 suppliers representing more than 90% of our CO2e emissions in this area. Sustainability topics are also discussed during our quarterly executive-level meetings with these same suppliers, to promote a focus on environmental topics and encourage them to set related performance goals.
HP is participating in several pilot programs to explore opportunities to reduce GHG emissions from logistics, for example, Maersk’s project with industry leaders to scale zero-carbon solutions for ocean transport, such as the use of carbon-neutral e-methanol or sustainable bio-methanol.
We require our product transportation suppliers to use the Global Logistics Emissions Council Framework to provide standardized calculations and data that account for variation in different locations. To drive progress across the industry and beyond, we are working with the Clean Cargo Working Group, the Smart Freight Centre, the International Council on Clean Transportation, and the U.S. Environmental Protection Agency (EPA) SmartWay program.
We continue to use SmartWay partners for 100% of our products shipped by truck in the United States and Canada.3 The program aims to help improve road transportation efficiency and reduce GHG and other emissions.
Efforts in operations
At our 150 sites in 59 countries around the world, we are taking action to reduce our GHG emissions, energy and water withdrawal, and waste generation. While GHG emissions associated with HP’s operations represent just 1% of our overall carbon footprint, it is the area where we have the greatest control and influence, and therefore the greatest ability to make immediate impact. By modeling sustainable operations, we also demonstrate our values in action and highlight industry-leading practices as an example to employees, customers, suppliers, visitors, and others.
Most of our GHG emissions from operations are related to the energy used to power our facilities. To save money, drive progress toward our goals, and reduce our climate impacts, we:
- Aggressively reduce energy consumption through optimization and efficiency projects
- Increase on-site generation of renewable power
- Procure off-site renewable power, including renewable energy credits (RECs), utility supplier green power options, and power purchase agreements (PPAs)
Prior to the partial site re-occupancy, our non-critical buildings were closed due to COVID-19, and access restrictions prevented us from implementing capital-funded energy-conservation projects. During that closure, our facility teams ensured these buildings were set for unoccupancy by maintaining our broadened temperature set points, reducing our lighting schedules, and manually shutting off equipment when not needed.
Later in 2021, we implemented several capital-funded energy-conservation projects, which included chiller plant optimization, LED lighting upgrades, uninterruptible power supply (UPS) upgrades, air conditioning (HVAC) system replacements, site retro-commissioning, and installation of upgraded controllers for a large site compressed air system. We also confirmed that sites were compliant with the HP occupied temperature set points upon reoccupation.
By 2025, we aim to use 100% renewable electricity to power our global operations. Sources of renewable electricity in 2021 included RECs, GOs (guarantees of origin), and I-RECs (international RECs) (87.3%), direct purchases (11.2%), and renewable energy generated on-site and on-site PPAs (1.5%).4 Through these purchases, we once again achieved our objective to use 100% renewable electricity in the United States and helped to advance the global market for renewables.
Building on previous renewable energy initiatives, including our solar-covered roof at our Palo Alto headquarters, in 2021 we signed a large on-site solar PPA for our Barcelona, Spain, facility. This will provide approximately 2,174 MWh per year, equivalent to 12.2% of the site’s annual electricity use. HP also signed an on-site solar PPA during 2021 to provide parking canopies at a site in Singapore.
To decrease emissions associated with business travel, we provide employees low-impact travel choices through collaboration with travel providers, planning tools, and transportation alternatives. In 2021 we joined the Eco-Skies Alliance program to support the use of sustainable aviation fuel.
We have committed to installing EV infrastructure at all feasible sites worldwide by 2030. Wherever feasible, we require new building constructions and leases to include EV infrastructure. In 2021, we offered EV infrastructure at 45% of 86 target sites, including 18 new charging stations installed during the year. We started our first EV fleet pilots in the Netherlands in October 2020 and Belgium in January 2021 and introduced a hybrid as our default fleet vehicle in the United States.
Efforts in products and solutions
Through innovative products and services, we are providing our customers an increasingly circular experience. Our vision is to become a fully circular company powered by service models and circular design in our products, which will affect every part of our business. To minimize environmental impacts, we are working toward product circularity, continued improvements in energy efficiency, using more sustainable materials, and making substantial investments in forests. We extend product life through design, maintenance, upgrades, repair, and innovative service-based business models. At end of service, we strive to reuse or recover all products. Supporting these efforts, we aspire to using 100% renewable energy and producing zero waste to landfill across our manufacturing process.
Supporting HP’s efforts to become a more circular business, we carried out our second performance assessment using the Ellen MacArthur Foundation (EMF) Circulytics tool in early 2022. Developed by the EMF to accelerate the transition to the circular economy, it is a comprehensive circularity measurement system for companies. We also participated in panel discussions in late 2021 and early 2022 to provide feedback on the tool, suggesting refinements to the process and offering guidance and support to other organizations considering adopting Circulytics.
HP uses life cycle assessment (LCA) and product carbon footprinting (PCF)5 to quantify the environmental impacts of our products, analyze possible alternatives, and target product performance improvements that deliver value to our customers and our business. We have conducted LCAs and PCFs of hundreds of products over the last several years, spanning our product portfolio. As we develop and expand our service-based models (which we refer to as circular business solutions), we will continue to study and quantify the potential they have to reduce environmental impacts and drive progress toward a circular and net zero carbon economy. In 2021, we:
- Conducted or updated 15 LCAs of HP desktop, DesignJet, Scanners, and enterprise printers
- Completed 373 PCFs of new business HP desktops, notebooks, tablets, workstations, thin clients, All-in-One computers, and displays
- Began development of a “cradle-to-grave” environmental impact assessment tool for Indigo Flexible packaging customers, to build and compare different scenarios for flexible pouch production using the HP Indigo 25K digital press
- Completed an ISO-compliant, peer-reviewed LCA of the HP Z4 G4 Workstation, which found its most significant environmental impacts occurred during use. The circuit board and storage components were the most significant impact drivers during production, followed by mechanical components and the power supply
- Evaluated the potential to decrease GHG emissions associated with molded fiber packaging tooling, by switching from metal parts produced using milled aluminum to lighter parts produced with HP 3D printing, using castor oil-based PA11. The ISO 14067-compliant assessment demonstrated a possible reduction in carbon footprint of 60–78%
- Completed three ISO-compliant, peer-reviewed LCA studies quantifying the environmental benefits of EvoCycle cartridges—a hybrid of reused, recycled, and original HP parts—compared with alternatives sold in France
- Conducted a carbon footprint and material flow study of HP’s Customer Support organization, establishing net zero carbon and circular economy baselines to identify focus areas and support decision-making and investments
- Completed a cradle-to-grave comparative LCA of flexible packaging production using HP Indigo digital pouch factory and analog technologies. The LCA model was reviewed by a third party and then developed into an online LCA calculation tool for HP Indigo’s 25,000 customers in the flexible packaging market.
We design our products to last, and make them easy to repair, so they can stay in use for as long as possible. Innovative service-based solutions, such as HP Device as a Service and HP Managed Print Services, reduce environmental impacts through extended life, device optimization, and easy take-back. When customers return end-of-service products, our repair, reuse, and recycling services help to incorporate products, components, and materials back into the next generation of circular products.
HP products are often highly rated for durability and repairability. We offer services related to optimization, maintenance, and renewal that extend product life, capture more value from natural resources, and reduce environmental impact.
HP’s service-based solutions are designed to deliver increased value through reduced environmental impact and capital costs. Customers can access the latest technology, while HP manages the fleet, and an ongoing relationship provides valuable insights on end-user behavior and needs. Our service offerings include regular maintenance, which has the potential to keep hardware in use for longer and reduce waste. Decreasing individual product shipments and customer store visits also reduce GHG emissions.
When our products reach the end of their service, our robust repair, reuse, and recycling programs help ensure that products and materials are repurposed, keeping them at their highest value state for as long as possible. These programs reduce waste, can give materials and products renewed life, and support our drive toward a more materials-efficient circular model.
Energy consumed by our products during use is among the largest contributors to our carbon and water footprints.
Since 2019, the energy consumption of our personal systems products has dropped by 18%, on average. This included average estimated reductions in energy consumption of 27% in notebooks, 40% in workstations, and 18% in displays. Ongoing design improvements in 2021, including more efficient CPUs and power supplies, contributed to continued reductions in the typical energy consumption of our notebooks and workstations.
Original HP Toner Cartridges with HP EcoSmart black toner deliver more energy-efficient printing of premium-quality pages.6 When HP EcoSmart black toner became available in 2019, this new toner formulation contributed to customers using an average of 20% less energy when printing compared to predecessor printing systems not using HP EcoSmart black toner. In 2020, HP transitioned additional HP JetIntelligence platforms to the HP EcoSmart black toner formulation, enabling even more customers to experience the improved energy efficiency of this advancement in low-melt toner technology.
The HP Smart Tank 600, 6000, 700, and 7000 printer series have been designed to reduce GHG emissions from the printing experience, with the lowest carbon footprint of any of our home and office printing solutions. They are ENERGY STARÒ qualified and EPEAT® registered, and include around 25% recycled plastic content, including ocean-bound plastics.
To create a circular and net-zero carbon economy, we must gain the most value possible from the materials we use, and reduce our overall demand. We use increasing amounts of recycled content plastics (including ocean-bound plastics), and recycled content metals in our products, and we focus on packaging innovation to eliminate unnecessary packaging materials and plastic. HP brand paper and paper-based packaging use recycled or renewable7 materials, and we are exploring renewable materials use in our hardware products as well.
We are both a supplier and a user of recovered materials, incorporating recycled and recyclable content into new HP products. This helps to accelerate global market development for recovered and recycled materials, to support progress toward a circular economy. 95% of HP PC and home and office print hardware introduced since 2020 contains a minimum of 5 grams of recycled content.8
Our primary focus is on increasing recycled plastic use, due to issues related to plastic waste and pollution. During 2021, we used a total of 32,000 tonnes of postconsumer recycled content plastic in HP products, equivalent to 13% of overall plastic use.
Metals make up a large portion of the materials in personal systems products, so as we try to transition away from plastic, we work with suppliers to source metals with a high proportion of recycled content, including up to 75% recycled content aluminum and up to 90% recycled content magnesium. These metals are more likely to be recyclable through existing infrastructure than materials such as carbon fiber, and still meet the demanding industrial design requirements of our products. This decreases environmental impacts associated with mining and producing virgin materials, including energy use and associated GHG emissions.
HP focuses on sourcing renewable9 materials that are responsibly managed in order to protect ecosystems and resources for future generations. We strive to ensure that our paper and fiber-based packaging are derived from recycled or certified content, and we are working to eliminate the use of single-use plastic packaging by shifting to fiber-based packaging.
We continue to explore the use of other renewable materials. For example, we are evaluating the sustainability attributes of plastics made from biobased feedstocks rather than fossil fuels and have created criteria to guide the product development teams as they choose materials for new products. Every bioplastic feedstock must be individually evaluated using LCAs to fully understand its environmental and social impacts and confirm that it is less impactful than the material it would replace.
In 2021, we used 956,400 tonnes10 of materials in our products and packaging, 2% more than in 2020. This was primarily due to including commercial printers, scanners, ink and toner, and spare parts in the data. Of the materials we used in 2021, 39% were circular by weight (reused, recycled, or renewable).
The HP Sustainable Forests Collaborative, launched in 2019, is driving progress toward our 2030 goal to counteract deforestation for non-HP paper used in our printing products and print services. This commitment builds upon our ambition for HP Consumer Printing worldwide to be forest positive by 2025.11 The Collaborative’s objectives are to:
- Responsibly source HP-branded paper and packaging
- Restore, protect, and responsibly manage forests
- Develop science-based targets for forests
- Create print technologies for efficient paper consumption
- Influence industry partners to inspire forest-positive action
In October 2021, WWF announced its largest U.S. corporate partnership to date, as HP pledged US$80 million to support WWF to help address the potential impacts on forests from paper used in printing with HP printers. Starting in early 2022, the initiative will focus on approximately 950,000 acres (about 380,000 hectares) of forest landscapes, including working with communities, NGOs, and local academics to help protect, restore, and improve forest management. As part of this collaboration, WWF has joined HP’s Sustainable Forests Collaborative in an advisory role.
HP is the founding sponsor of the Forest Stewardship Council (FSC®) One Simple Action digital marketplace, launched in 2021, which helps consumers in North America understand why FSC® matters, and find products to buy if they want to be part of the solution for forests.
Please find HP’s Climate Action Policy Position at https://h20195.www2.hp.com/V2/GetDocument.aspx?docname=c05320887.
For further information on our climate strategy, collaboration efforts and performance, please see the 2021 HP Sustainable Impact Report at: www.hp.com/go/report.
1 Carbon and water footprint data presented in this section related to our production suppliers (except for HP brand paper) is calculated using product life cycle assessment-based estimates for materials extraction through manufacturing and product transportation.
2 Reduce first-tier production supplier and product transportation-related GHG emissions intensity by 10% by 2025, compared to 2015.
3 Due to COVID-19, in limited cases SmartWay partners were not available during 2021.
4 As applicable, HP uses RECs in Canada and the United States, GOs in most European countries, and I-RECs in most Asian countries and other countries not covered by RECs and GOs.
5 We conduct product carbon footprints (PCFs), a subset of life cycle assessment, of business HP desktops, notebooks, tablets, workstations, thin clients, All-in-One computers, and displays to better understand performance of individual products and our overall portfolio. These estimate total GHG emissions associated with a product over its lifetime and include emissions from materials extraction, manufacturing, distribution, use, and end-of-life management. To assess and report our complete personal systems product carbon footprint, we extrapolate these results to cover 99% of overall personal systems product sales (by unit and by revenue) during the reporting year.
6 HP calculations based on ENERGY STARÒ normalized TEC data comparing the HP LaserJet 200–500 series with predecessor printing systems not using HP EcoSmart.
7 As defined in the Global Reporting Initiative Sustainability Reporting Standards, renewable material is “material derived from plentiful resources that are quickly replenished by ecological cycles or agricultural processes, so that the services provided by these and other linked resources are not endangered and remain available for the next generation.” To count as renewable, HP also requires that materials must be sustainably sourced and, where applicable, certified through a credible third-party certification scheme.
8 Individual EPEAT®-registered products contain a minimum of 5 grams of recycled content.
9 See note 7 above.
10 2021 data does not include the following products or packaging for these products: PageWide Industrial and 3D Printing products; or personal systems accessories and print accessories sold separately.
11 HP Forest Positive Framework goes beyond existing HP sustainable fiber sourcing programs. It includes NGO partnerships targeted to conserve forests, improve responsible forest management, and help develop science-based targets for forests. Our vision is that printing with HP will counteract deforestation regardless of what brand of paper customers use. This is applicable to the entire installed base of HP printers.