Products and services: EN26 - EN27


  • EN26 Initiatives to mitigate environmental impacts of products and services, and extent of impact mitigation.

    Integrated Report:
    Business model Chairman's letter - Doing things differently in a different world Q and A with the chief executive Group executive: Human resources, strategy and sustainability report - Sustainability Sustainable development - Responsible value chain Sustainable development - Products and services Sustainable development - Barloworld 2015 CDP Climate Change disclosure response Sustainable development - Water consumption Sustainable development - Waste management Sustainable development - Joburg Gone Green initiative Innovative customer solutions - Logistics - Future-focused smart solutions

    Apart from its logistics operations, Barloworld represents global original equipment manufacturers (OEMs). The group’s direct environmental impacts are therefore quite limited since it does not manufacture any of these products.

    As a result, limiting the environmental impacts of its products and services is achieved primarily through technological and behavioural interventions designed to limit the use of natural resources by the company. In terms of the former, the group strives to provide customer solutions that incorporate the latest technological advances to use fuel optimally and emit fewer pollutants.

    Its customers are advised of these advances, and encouraged to use equipment in a way that further reduces their impact. The group maintains regular contact with its OEMs so that it is appraised of the technological advances available and can pass this information on to customers.

    The Automotive division’s most significant products that are reclaimed are oil and lubricants. Generally, the ferrous material in motor vehicles can be recycled. However, this is not part of the vehicle leasing, motor retail or car rental operations business model. Tyres may also be recycled or used as fuel. Glass from broken or old windscreens can be recycled.

    The only substantial product that is recycled is oil which, given its value, is not a material percentage of products sold (by value).

    Specific initiatives include:

    Barloworld uses technological advances in the products and services it provides to limit environmental impacts, particularly energy consumption and emissions. Many of the OEMs we represent are grappling with the issue and innovating continually.

    Equipment

    Caterpillar has a significant R&D program whereby they continually strive to improve energy efficiency in their products and continue to reduce emissions from their clean diesel engines while maintaining fuel efficiency. Caterpillar are also building on their experience with bio-diesel and the next generation of bio-fuels to reduce GHG emissions and fossil-fuel consumption.

    Caterpillar recognises that energy is fundamental to higher living standards and economic growth. They support traditional fossil fuels and technology that will make these fuels burn more efficiently. They are also pursuing innovations that utilize alternate and renewable sources. At the same time, on every new model that is released onto the market, Caterpillar realises the need for more efficient machines and better performance to meet customers' demands for reduced operating costs – (adapted from Caterpillar Sustainability Report 2014)

    Caterpillar is also leading in cogeneration, examples include greenhouse applications where the exhaust gases (CO2), heat and power from an engine are utilised. The power generates electricity and the heat and CO2 enhance the crop growing process.

    Because energy is a key requirement for development, we focus our efforts on improving efficiency and reducing emissions while increasing energy access. Caterpillar leverages technology to create more efficient power-generation solutions. With distributed generation solutions utilizing diesel and natural gas engines, as well as alternative fuels, Caterpillar is well-positioned to get power where it needs to be.

    Caterpillar has implemented hundreds of distributed power generation systems all over the world, which contribute to improving energy access in the developing world while emitting fewer greenhouse gas (GHG) emissions compared with traditional power grid systems. We provide combined heat and power systems, and combined-cycle power systems that can double the efficiency of power generation when compared with the efficiency of conventional power grids. Additionally, our power systems utilize fuels from diverse sources such as gas from landfills, livestock operations, wastewater treatment operations, mine methane, flare gas, syngas and biofuels. These systems provide energy diversity from plentiful (and in many cases, renewable) energy sources.

    Caterpillar encourages sustainable business practices through their remanufacturing and rebuild businesses. This starts with durable products, many designed to be rebuilt multiple times. Through their remanufacture and rebuild programs, components and machines are overhauled, rather than completely replaced. Reuse of parts reduces waste and minimizes the need for the raw materials necessary to produce new parts. This system is where Caterpillar is making some of its greatest contributions to sustainable development – keeping non-renewable resources in circulation for multiple life cycles.

    Rebuild programs increase the lifespan of equipment by providing customers Cat® Certified Rebuilds, component overhauls at Cat® dealers, Solar Turbines rebuilds and Progress Rail Services rebuilds.

    Over the last ten years, our U.S. and overseas remanufacturing facilities have returned more than 500,000 tons of materials -- materials that might have otherwise been scrapped or gone to a landfill. How much is 500,000 tons? Our largest bulldozer, the D-11, weighs 151 tons -- so it’s equivalent to about 3,300 D-11s. Or think about the Empire State building -- it weighs 365,000 tons. We’ve returned that amount, plus another 135,000, and we’ve kept over 1,000,000 tons of greenhouse gas out of the atmosphere through remanufacturing alone. (Source: Caterpillar’s website - Doug Oberhelman's remarks from the 2014 annual shareholders meeting)

    Below are examples of innovative efficient products included to demonstrate our principal's commitment to sustainability and efficiency. These may not necessarily be available in the Barloworld Equipment territories:

    • NOx Upgrade Kit
      • The G3616 Low Emissions Upgrade (LE Upgrade) kit allows operators to economically retrofit existing engines that enable up to a 75 percent reduction in NOx EMISSIONS. The power rating for the engine remains the same, and upgrade conversions can be done in the field, eliminating the time and cost of transporting the engine to a dealer rebuild facility.
    • MWM Brand - decentralized natural gas energy supplies
      • MWM has more than 140 years of experience in the development and optimization of products, services and technologies for decentralized energy supply. The portfolio covers gas engines, which run on a wide range of gaseous fuels, both natural and non-natural gas (such as biogas / landfill and sewage gas), and have power outputs between 400 and 4,300 KW. The combination of design, engineering and supply of power plant accessory equipment, which is used in combination with engine generator sets to construct a cogeneration power plant (CHP), as well as worldwide customer services for the installation, servicing and maintenance of systems, makes MWM a dependable partner for customized solutions to meet individual requirements.
    • Renewable Power
      • In 2015, Caterpillar and First Solar, Inc. announced a strategic alliance to develop an integrated photovoltaic (PV) solar solution for microgrid applications. Under the agreement, First Solar will design and manufacture a pre-engineered turnkey package for use in remote microgrid applications, such as small communities and mine sites. The package will feature Cat-branded solar panels manufactured by First Solar and will include a balance of system components. Caterpillar will exclusively sell and support the integrated solution featuring Cat-branded solar panels through its worldwide Cat dealer network, along with its current offerings of generator sets and energy storage. Cat dealers, including Barloworld will be uniquely positioned to provide customers with this fully integrated and supported single solution in the large and rapidly growing microgrid market.

    Handling and Agriculture

    Hyster lift trucks generally offer the best energy efficiency (energy use per load moved) of any manufacturer and emissions are among the lowest in the industry. The OEM supports green technologies through engineering collaboration and extensive internal field and validation testing. Diesel lift trucks are evolving to meet latest US and European emission standards. Electric trucks incorporate systems that recapture energy when braking and lowering loads. Improved product design results in less weight and improved efficiency.

    Hyster is one of the largest volume producers of zero emission electric lift trucks in the North American market, The company is among the earliest adopters of energy-efficient AC motor and control technology in their range of counterbalance lift trucks.

    Hyster engineer Environmental Friendly Internal Combustion Engines (ICE) products for extended service intervals in order to reduce engine oil, transmission and hydraulic oil and engine coolant change requirements for our customers. All of their ICE equipped models shipped in the US and Canada meet or exceed California Air Resources Board (CAB) requirements, According to testing by the Environmental Protection Agency (EPA) and the CARB, the emissions generated by Hyster lift trucks are among the lowest in the industry.

    Over the years, Hyster have consistently engineered their lift trucks to be compatible with the latest in alternative power technologies including electric batteries, LP, CNG and clean diesels. This tradition is being upheld most recently with fuel cells, as they were among the first to use working fuel cells in actual applications. Hyster has deployed more than 300 trucks powered by hydrogen fuel cells.

    Recyclability is also a prime consideration in Hyster’s lift truck design—starting with the design stage, Hyster actively select materials used in our lift trucks with recyclability in mind.

    All Hyster trucks are manufactured in plants meeting ISO 14000 environmental management standards which exist to help organisations minimise how their operations negatively affect the environment.

    Automotive

    • Leading principals in our motor retail operations continue to develop and introduce energy-efficient, low-emission vehicles.
    • Car rental fleets generally include vehicles less than 12 months old fitted with the latest technology, resulting in overall energy and emissions efficiency.
    • Car rental provides eco-driving tips on hangers in every vehicle. Carbon emissions from rentals are recorded on every invoice. Monthly carbon emission reports are sent to corporate customers, making them aware of emissions resulting from their corporate rentals.
    • Clean vehicles are a core component of the customer offering but more efficient use of water has significant economic and environmental benefits while maintaining customer service levels.

    Logistics

    A number of initiatives have been implemented within our Logistics operations to drive fuel efficiency:

    • 39 Smart trucks have been deployed across three provinces that are capable of transporting sugar, timber and platinum. These vehicles have transported the same payload while doing some 2 822 less trips within the period. This saving equates to an estimated reduction of 858 385 kms and a saving of 513 282 litres of diesel and 1 370 tons of emissions.
    • Since 2009, five Green Trailers which are superlink tautliner trailer combinations that significantly reduces the amount of fuel it uses through aerodynamic innovation have been included in the fleet. A research exercise conducted on the N3 between Johannesburg and Durban showed that when the Green Trailer travelled at a constant speed of between 70 and 80 km/h almost 11% of fuel was saved. This translates into a reduction of 66,8 tCO2e over a ten-month period (extrapolated annualised savings estimated at 80.1 tCO2e
    • Efficient planning and routing – an efficient transport management service can cut transportation costs by 10% to 20% by transforming and optimising the entire distribution network. In line with this and central to our operations is our enterprise software platform MAX, a real-time internet-based operating platform that fuels the management of information in our business and provides transparent information flow which is fully integrated with vehicle tracking and ERP for real time order placement, delivery requirement analysis, optimal fleet allocation and vehicle routing.

    General

    Barloworld understands the lifecycle implications of its products and solutions. We focus on ensuring maximum and efficient use of the products we sell, rent and lease, including extending their operating lifetime. A relatively high percentage of Caterpillar components are rebuilt, prolonging their life and reducing waste. In 2015, some 81% of total component sales in Equipment southern Africa related to remanufactured and rebuilt components, with 54% relating to Barloworld Equipment remanufactured parts and 27% related to Caterpillar remanufactured parts.

    Barloworld's Automotive, Equipment and Handling divisions have business models that enable vehicles, plant and equipment solutions to be provided as new or used and through long- or short-term rental applications. In the Equipment division, this is augmented by a significant component rebuild programme. This business model ensures efficiencies and synergies throughout the lifecycle of vehicles, plant and equipment, and extended useful lives for these products.


  • EN27 Percentage of products sold and their packaging materials that are reclaimed by category.

    Integrated Report:
    2015 progress review - Sustainable development Sustainable development - Products and services Sustainable development - Waste management

    Barloworld is mindful of the lifecycle implications of its products and solutions and appreciates the responsibility it has in this regard. It focuses on ensuring maximum and efficient use of the products it sells and leases, including extending their operating lifetime. In this regard, a relatively high percentage of Caterpillar components are rebuilt, prolonging their life and thereby reducing waste and conserving materials and energy.

    Within the reporting period, Barloworld Equipment’s Component Rebuild Centre (CRC) in Isando and the Barloworld Reman Centre (BRC) in Boksburg, some 81% of total component sales related to remanufactured and rebuilt components, with 54% relating to Barloworld Equipment remanufactured parts and 27% related to Caterpillar remanufactured parts.

    Ultimately, many components of vehicles, plant and equipment are reclaimed such as glass, tyres and metal.