McDonalds Working With 10 “Green” Restaurant Models

Two article's posted at Environmental Leader and Daily Finance McDonalds discusses their efforts to become more “green.” For many of us the definition of “green” means many different things, but we should give McDonalds props for taking this effort on. They indicate many great initiatives such as composting and reducing waste. We do have one small issue though. In the article McDonalds indicated that biodegradable packaging applications proved fruitless. True bioplastic does not have applications that could suit the volume of food that comes out of a McDonalds on any given day, but why not look at other applications for this wonderful product (O.K. we are a little bias towards bioplastic).

But why slam a product like bioplastic without speaking to other non-packaging applications? How many plastic forks, knifes or spoons do you think they utilize? We don’t know either, and cannot begin to imagine, but it would be cool to know what the opportunity is.

Georgia Pacific recently indicated they will start utilizing Cereplast’s bio-wax on its Dixie-cup® brands.

McDonalds could be the driver for greater use of a bio-wax for the millions of soda and cold drinks they sell in paper cups? Or how about the straws we put in there? Then add little nuggets of information on the straw regarding the economic and environmental benefits of utilizing a sustainable feedstock produced in the United States.

It would be pretty cool if the kids eating their happy meals had the opportunity to use a bioplastic straw, or drink their milk out of a bioplastic container then could separate that trash so McD’s can compost the waste.

Look we are not trying to make life difficult for McDonalds, but we are trying to say that they can be a driver like Wal-Mart for greater innovation utilizing a feedstock that supports the full supply chain in the United States.

Cereplast has biodegradable foam

Yes, Cereplast, the one who will be going to contract manufacturing is rolling out a new bio-foam application. Pretty cool as it will compete against Sytrofoam. We wonder what the heat deflection temp is? Can coffee be poured into these new bio-foam cups? We doubt it, but applications will be tremendous.

In the article posted at Cleantech.com, Cereplast CEO Frederic Scheer said that the cost for the product is 20-25% more expensive than traditional polystyrene. Furthermore the starch bases biofoam is produced at tempuratures of 185 degrees Fahrenheit vs. 400-500 degrees for polystyrene.

Other advantages noted in the article; less dense than other biofoams, reduced energy costs, and is only half a pound heavier per cubic foot vs. polystyrene.

THE GREAT DEBATE FOR DEGRADABLE PLASTICS

And so it begins. Environmental Leader reports today that greenwashing lawsuits are up, and so is climate change deception by companies to position themselves in front of policy decision makers. Then there is news from The National Association for PET Container Resources (NAPCOR) calling for restraint in the use of degradable additives in PET products.

Specifically, NAPCOR states in their press release from May 28^th that no data has been made publicly available to substantiate or document: 1) the claims of degradability of PET resin products containing degradable additives; 2) the effect of degradable additives on the quality of the PET recycling stream; 3) the impacts of degradable additives on the products made from recycled PET; and 4) the true impact on the service life of these products.

Points 1 & 4 are the major concerns when looking at the market as a whole. With the increase in “green” product claims, and an increase in deception by companies marketing “green,” it serves the plastic PET industry right by getting out in front to ensure customers and brand owners are getting/providing what is being marketed.

Degradable plastic and Bio-degradable plastic are two different products, and the inputs are different at their core. Degradable = Petrochemical. Biodegradable =Agri-chemical. Both are organic, but one is renewable feedstock. I’m not saying one is better than the other. We’re saying we need truth in labeling when consumers are making a purchasing choice. A very wise and respected plastics professional/professor summed it up, “You don’t know what the impact is if there happens to be a lead colorant in the product. Where does that lead end up?”

Point being, we just don’t know what are in these products when marketed as degradable or biodegradable. Yes there are standards both here in the U.S. and the European market, but how do I really know that a credit card marketed as biodegradable is truly degradable? Especially when they have not gone after USDA or BPI certified?

Cap & Trade, Chemcials, Green Amendment

Usually Friday is a slow news day, but for those interested in Cap & Trade, chemicals, and green products you may want to read the full articles over at Washington Post.com and the Wall Street Journal.

Washington Post, High Stakes Quest for Permission to Pollute, by Steven Mufson

Green Amendment drafted into Waxman Markey Bill and introduced by Rep. Gene Green (how awesome is it to have a Rep. named Green in Congress. All “green” legislation should go through his office. Or, would that be more green-washing?) The amendment inserted “emission points” and deleted “sources” and is directed at the petroleum refining industry.

As explained in Mufson’s article, the green amendment has the potential to allow oil refineries the ability to cut carbon emissions at one processing unit rather than the entire facility. Refiners would have to cut Co2 emissions at the single unit by 50%. Of course the bill is still working its way through Congress, many changes will be made, but it is better to have it in now than having to try an insert later.

Here is why I think this is important

Wall Street Journal, Chemical Makers Poised to Gain in Cap-and-Trade System, by Ana Campoy

Over at the Wall Street Journal, Ana Compoy, has an excellent article on how chemical companies stand to gain from the Cap & Trade legislation. She references Dupont Co. expectations that 50% of sales by 2015 will come from renewable materials.

When producing renewable materials, ie green chemicals, large chemical companies will be emitting less Co2 right of the bat. I’m guessing here, but my presumption is that there will be very little re-tooling when taking that “one single unit” and converting it to a green chemical production unit. It is a wide assumption, but I’m betting chemical companies and refiners see this as really good legislation. Especially when they are getting allowances, or otherwise known as free, carbon credits.

I am sure that I’m completely off my rocker, but this is my initial read on what this provision does for the oil refining and chemical industry. Just a few weeks ago there were stories about large refiners and chemical companies being very interested in ethanol and other renewable fuels. See where I’m going with this?

Ms. Compoy leaves us with an excellent quote from Dow Chemical’s Rich Wells, VP of Energy, “Whether your inspiration is cap-and-trade or the prospect of $140-a-barrel oil, you need to be strategically involved in this space.”

Food Packaging & Bioplastic

Food Productiondaily.com has a short article regarding bioplastic food packaging applications. Essentially the article states that:

• Bioplastic applications are increasing through improved processing, faster market entry, and reliability
• Primarily used in food applications
• Drink Groups are increasingly looking at applications (see Coca-Cola water bottle business Disani)
• Downturn in global economic conditions may help drive the bioplastic industry as companies look for alternatives for marketing applications

Headlines & Future of bioplastic, assumptions

The market is moving fast, bioplastic news is picking up headlines all over the place. There used to be headlines that were cut and pasted.  No originality. Seriously.  Wondered about plagiarism.  Those days are long gone, and that was just six months ago.  Today’s headlines are fresh with new applications everyday.

So today, caught this headline "Bioplastics to be Produced World Wide."  Wow.  Produced World Wide.  Well, are they not already produced world wide today?  I'm quite certain they are, but I’m happy to see this headline.  Sure it is for contract production, but I’ve been thinking about contract production for a long time.

Back to world wide, maybe not Russia.  We include Russia on an island by itself.  Probably need to include North Korea.  OK, getting political.    

Back to the headline.  I loved it "Produced World Wide."  Last week we saw news from Cereplast that it will be going to contract manufacturing, selling the Seymour mini-plant (used to work for a mini-mill, Oregon Steal mini-mill, and yes they are/were mini when compared to others).  Cereplast will also be closing a plant (not certain how many pounds they produced) in California as well.  So Cereplast is going to contract manufacturing.  

Wisconsin Chemical Companies?  Are you listening?  Contract work.  This is like the beer industry here in the state.  Wisconsin has a thriving beer industry, and not just because we drink a lot of it. Well we do, but besides that, we had all these breweries closing.  People were being laid off in mass.  It was dire.  Just google largest six pack in the United States.  G. Heileman. Guess where it is?  Wisconsin.  Specifically, La Crosse (which happens to be the birth place of NatureWorks today's co-parent Cargill, and where we will hold the 2009 Bioplastic supply chain conference with a boat ride!), but today it is City Brewing, LLC.  

See city took this model, produce a name brand, use slack to produce for others, take on new lines, exciting stuff, and some controversial that are not on the market today. Now I've got your interest?  I don't think bioplastic can get to controversial unless you talk about food versus plastic, but we will not go there today.

 Back to my point.  Small chemical companies will be able to take proven bioplastic ingredients, licensee. (We are not engineers and do not pretend to be), Make quality bioplastic that competes on the market, and have customers who are being lined up by the licenser.  

Supply chain.  Bioplastic inputs, chemical companies, interested plastic community, major brand owners. 

Of course Metabolix and ADM have Mirel in Clinton, Iowa (which we cannot wait to open) that will be a local supply for our top ten plastic industry here Wiscosnin.  The excitement for increased production in the Midwest is growing. Folks these are products produced here in the United States.  Let me drop this stat on you.  For every dollar spent on ethanol, 75 cents stay in the local economy. Look, we for free trade, but we have to look here first. 

This is the open market at play. Competition for market share over the long term will increase.  Wisconsin is positioned well to take advantage of the niche market.  Of course, the true market is still niche, and still very small.  But we need to think big for this industry to really move forward at a faster rate.

Comments?    

Cereplast Announces New Game Plan, Production to halt?

News coming from Earthtimes is that Cereplast has a new strategic plan in place to go after the bioplastic market. They look to working with NatureWorks™ to develop greater market applications. Cereplast has been all over the news recently. Doral's, Safety 1st® (for those who have kids) will start marketing hybrid bioplastic items for babies and children. Georgia Pacific recently announced they will be partnering with Cereplast and NatureWorks to put PLA into Dixie® Cups.

What does this all mean?

Working in the supply chain with bioplastic producers for greater market application, and those manufacturers who are supplying the products for the brand-owners?

Cereplast is shutting down the yet to be built/finished facility in Seymour, Indiana. It also looks as though the California plant will be shutting down by Cereplast CEO Frederic Scheerer statement... "“This is the painful part of growth,” said Scheer. “Unfortunately, we will not be able to include many of our manufacturing employees as we move forward. However, we plan to focus on our strengths and anticipate hiring additional product development and marketing personnel in the future.”