Seattle based tech and retail giant, Amazon, is to invest $10 million in Closed Loop Fund to support recycling infrastructure in the United States.
Closed Loop Fund is a social impact investment fund that provides cities and recycling companies access to the capital required to build comprehensive recycling programs. It aims to invest $100 million by 2020
Amazon said that its investment will increase the availability of kerbside recycling for 3 million homes in communities across the country, making it easier for customers to recycle and further develop end markets for recycled commodities.
The investment is expected to divert 1 million tonnes of recyclable material from landfill into the recycling stream and eliminate the equivalent of 2 million metric tonnes of CO2 by 2028 - equivalent to shutting down a coal-fired power plant for six months.
The company noted that currently roughly half of Americans today lack access to convenient, sufficient kerbside recycling at their homes. Closed Loop Fund finances the building of advanced recycling infrastructure and services, bringing this invaluable service to the community while saving taxpayers and municipalities money.
“This investment will help build the local capabilities needed to make it easier for our customers and their communities to recycle and to increase the amount of material recycled across the country,” said Dave Clark, Amazon’s Senior Vice President of Worldwide Operations.
“We are investing in Closed Loop Fund’s work because we think everyone should have access to easy, convenient kerbside recycling,” he continued. “The more we are all able to recycle, the more we can reduce our collective energy, carbon, and water footprint.”
The fund also invests in sustainable consumer goods, advanced recycling technologies, and the development of the circular economy.
It aims over the next 10 years to eliminate more than 16 million tonnes of greenhouse gas, divert more than 8 million cumulative tonnes of waste from landfills, improve recycling for more than 18 million households, and save nearly $60 million for American cities.
CEO of Closed Loop Fund Ron Gonen commented, “Amazon's investment in Closed Loop Fund is another example of how recycling is good business in America.
“Companies are seeing that they can meet consumer demand and reduce costs while supporting a more sustainable future and growing good jobs across the country."
Amazon also noted that solving customers’ needs for recycling can create economic benefits in the cities and towns where they live. Increasing the amount of recycled materials available can also lead to a lower cost of goods sold, and lessen the impacts of transportation, as there is no need to ship waste to landfills.
The retailer’s investment in Closed Loop Fund furthers its commitment to reducing packaging waste through its Frustration-Free Packaging programs, which are designed to produce less waste than traditional packaging.
Through this scheme Amazon said that it works directly with thousands of manufacturers to help them redesign their packaging, eliminate waste throughout the supply chain, and ensure products arrive undamaged on customers’ doorsteps.
Amazon introduced Frustration-Free Packaging 10 years ago, and said that it has eliminated more than 244,000 tonnes of packaging materials to date, avoiding 500 million shipping boxes.
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