Why Does “Green Chemistry” Matter in Business?

Green Chemistry: What’s That?

“Green Chemistry” is the utilization of a set of principles that reduces or eliminates the use or generation of hazardous substances in design, manufacture, and application of chemical products. Coined at the United States Environmental Protection Agency (“UAEPA”), Green Chemistry is achieved by creating alternatives for potentially hazardous substances and redesigning chemical processes to reduce waste and improve resource efficiency.

How is Green Chemistry Different from Traditional Chemistry?

 The traditional chemical industry lacked a comprehensive approach to prevent or mitigate the detrimental effects of the products and their manufacturing processes on human health and environment. As a consequence, our bodies are being contaminated by various synthetic industrial chemicals, many of which are known to be toxic and carcinogenic while others still remain untested for their adverse health effects. Even the workers employed at chemical manufacturing units consistently face occupational health hazards owing to the nature of the use of traditional chemistry.

Green chemistry aims to eliminate hazards right at the design stage. The practice of eliminating hazards from the beginning of the chemical design process has benefits for our health and the environment, throughout the design, production, use/reuse, and disposal processes. Today’s chemical industry relies entirely on non-renewable petroleum as the primary building block to create chemicals. This type of chemical production typically is very energy intensive, inefficient, and toxic resulting in significant energy use, and generation of hazardous waste. One of the principles of green chemistry is to prioritize the use of alternative and renewable materials including the use of agricultural waste or biomass and non-food[1]related bioproducts. In general, chemical reactions with these materials are significantly less hazardous than when conducted with petroleum products.

Why Does Green Chemistry Matter in Business?

Adopting Green Chemistry has its own business advantages. As per UAEPA, use of Green Chemistry leads to cleaner air, water, consumer products, lowers the damaging impact of global warming, and the use of hazardous waste landfills.

By following the principles of Green Chemistry, even revenues have increased for many organizations including Avalon, Dell, H&M Herman Miller, Ikea, Interface, Kaiser Permanente, Rohm and Haas Company, and Seventh Generation.

Many consumers are already familiar with Green Chemistry in the form of bio-based personal care and household products. Consumer awareness in that area can transfer to other sectors, helping to create a broader demand for products based on Green Chemistry. As consumers are increasingly demanding fresh produce, “Green Chemistry” plays a major role in 21st century agriculture that aims to eliminate or minimize the use of toxic pesticides and fertilizers.

Green supply chain is integrating ecofriendly concepts into the supply chain management to increase environmental sustainability – with different green practices including, green purchasing, green distribution and warehousing, green transportation with usage of biofuels, green manufacturing processes and the products’ end-of-life management.

• Green Purchasing: Due to the successful adoption of green purchasing strategy, products’ cost has reduced, and environmental performance and financial performance of firms have increased with positive reputation in the industr
• Green Distribution & Warehousing: Green distribution and warehousing reduces waste and plays a pivotal role in energy reduction. Value addition of green products in warehousing significantly improve overall performance of organization with better corporate image as well.
• Green manufacturing: Green manufacturing practices spearhead sustainable environmental practices to alleviate harmful effects of manufacturing and increased profitability of firms. This practice improves operational, environmental and financial performance of firms.

Procter & Gamble replaced most of the PVC-based materials with greener alternatives. In association with other companies, P&G has taken the initiative to develop new solvents to replace volatile organic carbons in glossy paints.

Sectors that have seen the most progress include apparel, personal care and cleaning products, toys, electronics, and construction (paints & coatings). Personal care products are among the many consumer goods that are moving toward safer, more sustainable ingredients.

Following are few initiatives by major organizations to promote Green Chemistry:

In 2020, Pittsburgh Plate Glass (PPG) launched its “compact paints system” that removes the need for a primer layer, thus reducing the number of steps required to paint a vehicle. This has generated savings in capital and operational costs for the automotive painting segment, leading to a smaller paint shop footprint and reduced material and energy consumption, thereby increasing the overall efficiency of the coating process.

At L’Oréal, several indicators of sustainable processes have been introduced in the work of laboratories at the beginning of the design stage. Significant efforts have also been made to up-cycle plant biomass and identify, in close collaboration with suppliers of raw materials, all environmentally friendly processes. In 2019, L’Oréal’s portfolio included 28% of raw materials faithful to the principles of Green Chemistry and continues to expand year-on-year.

Why Does Green Chemistry Matter in Business?

 The switch to Green Chemistry is fraught with several challenges related to achieving better functionality, regulatory compliance, and low costs, thus hindering progress towards commercial adoption. Going forward, increasing public awareness and stricter implementation of regulations is likely to augur well for wider adoption of Green Chemistry in paints and coatings.

Some consumers may be reluctant to try less toxic products, such as personal care and household cleansers, due to the perception that they are not as effective as the conventional products they are meant to replace. Others who use greener products exhibit something he called the “Green Deficit,” in which they overuse the product to make sure it performs effectively.