Keynote: LCA as an Enabler of the Green Transition
This blog post is based on the script for a keynote delivered by Poul Lindqvist at the Baltic Sustainability Forum in Riga on November 27th, 2024.
Introduction
The planet is facing unprecedented environmental challenges. According to the Stockholm Resilience Centre, six out of nine planetary boundaries essential for human existence have already been crossed, and we are dangerously close to the seventh. This alarming reality underscores the urgent need for transformative action.
As we have witnessed lately, political efforts alone won’t suffice. It’s time for businesses to take the lead and drive the green transition. Among the many tools available, Environmental Life Cycle Assessment (LCA) stands out as a game-changer. Let’s explore how LCA can empower businesses to drive the Green Transition.
What is LCA?
LCA is more than just a buzzword - it’s a scientific methodology, standardized by the ISO 14044 standard, that assesses multiple environmental impacts of a system across its entire life cycle. Whether applied to products, services, or organizations, LCA offers a holistic view of environmental impact.
Take a smartphone as an example. An LCA examines every stage of its life: Raw material extraction - it is made from metals and minerals mined from the ground, manufacturing, distribution, use - a smartphone runs on electricity and producing it has some environmental impacts, and end-of-life processes like recycling or waste management.
Beyond just measuring carbon emissions, LCA evaluates impacts on biodiversity, ecosystems, water scarcity, natural resources, and even human health. Depending on the chosen method, it can cover 15-20 different environmental impact categories.
The Many Benefits of LCA for the Green Transition
So, how does LCA help businesses lead the green transition? It provides tangible benefits in five key areas: compliance, communication, eco-design, decision-making, and sustainability strategy. Let’s break these down.
Compliance
One thing that many regulations under the EU Green Deal have in common, is that companies must disclose environmental impacts across their value chains. While there’s no explicit mandate to conduct LCAs, it’s clear that the regulator has had LCA in mind and that LCA data is very valuable for meeting these requirements. Also the insights gained during the process of conducting LCA’s will be useful to stay compliant and ahead of the curve.
Communicating Green Claims
Transparency is crucial in today’s marketplace. LCA provides the evidence businesses need to substantiate their environmental claims, helping them strike the right balance between greenwashing and greenhushing. However, to ensure credibility, ISO standards require that LCA results are critically reviewed by a third party before public disclosure.
Eco-Design
Eco-design is where LCA truly shines, offering a blueprint for creating sustainable products and services. Most environmental impacts are locked in during the design phase, making this a critical area for intervention. Key principles, linked to the different Life Cycle Stages include:
Dematerialization (several life cycle stages): Opting for fewer physical products or adopting Product-as-a-Service (PaaS) models.
Smart material choices (raw material extraction satge): Prioritizing recyclable, non-toxic, and environmentally friendly materials.
Efficient manufacturing (manufacturing stage): Reducing emissions and waste during production processes.
Optimized distribution (distribution stage): Designing for size and weight to minimize delivery impacts.
Durability and efficiency (use stage): Ensuring products last longer, use less energy, and are easy to repair.
Recyclable end-of-life (end of life): Making products easy to disassemble and recycle, using as few materials as possible, to avoid landfill or incineration.
Smarter Decision-Making
LCA isn’t just about compliance—it’s a strategic tool for decision-making. Quick, preliminary LCAs (known as screening LCAs) can guide internal decisions, provided they’re conducted by experts. One major advantage is avoiding burden shifting—where reducing impacts in one area unintentionally increases them in another. For example, while electric vehicles (EVs) reduce emissions during use, their manufacturing—particularly battery production—can have severe environmental consequences. LCA identifies such trade-offs, enabling smarter decisions.
A Foundation for Sustainability Strategy
Every successful sustainability strategy starts with a clear understanding of environmental hotspots. LCA provides this foundation, offering actionable insights that guide target-setting and progress tracking. By integrating LCA into their strategies, businesses can balance people, planet, and profit—turning sustainability into a measurable and achievable goal.
Conclusion
LCA is more than a tool—it’s a catalyst for transformation. By leveraging LCA, businesses can make informed, responsible decisions that benefit the planet, demonstrate leadership in sustainability, and communicate their efforts with transparency. Now is the time to embrace LCA and take meaningful steps toward a greener future. Let’s lead the way together.