30

Years

of vertically integrated Controlled Environment Agriculture

5.5

Million Sq. Ft. Facility

Village Farms’ 5.5 million square foot high-tech facilities in Texas grows cannabis and CBD

97%

Less Land

Village Farms’ growing methods use 97% less land and 86% less water than outdoor growing

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The Path to Drawdown: Landfill Gas

Although carbon dioxide is the greenhouse gas that’s often talked about, methane has 34 times the global warming effect of CO2 over the course of a century. And the biggest source of methane are landfills, accounting for 12% of total global methane emissions.

Methane comes from the organic matter in landfills like food scraps, yard waste, junk wood, and waste paper. Their decomposition produces biogas, a roughly equal mix of carbon dioxide, methane, and small amounts of other gases.

As diets change, waste is reduced, and recycling and composting grow, we’re hopeful that landfill waste as a whole will diminish. But for now, as the modern way of life continues and organic matter in landfills continues to decompose, landfills and landfill methane emissions keep growing.

The way to manage this is landfill methane capture. This process involves capturing methane generated from anaerobic digestion of municipal solid waste in landfills and incinerating the captured biogas to generate electricity. This solution has double benefits: it captures methane from landfills that’s far worse for global warming, and it replaces conventional electricity-generating technologies like coal, oil, and natural gas power plants.

Currently, enough methane is captured to generate 33.1 TWh of electricity, or 0.13% of total electricity generated worldwide. In the best-case scenario for 2050, landfills wouldn’t exist, and integration and waste feedstock availability would mean a net greenhouse gas sequestration, rather than emission. In a less ideal scenario, 70% of the world’s landfills will have adopted methane capture, and they help reduce 2.2 gigatons of CO2e between 2020 and 2050

 

What We Want to See Improve

Disclose GHG Emissions

As of now, Village Farms doesn’t make their sustainability information available. As investors become increasingly concerned about the carbon footprint in their portfolio, companies need to prioritize transparency around their environmental and sustainability efforts. We want to see Village Farms publish an annual sustainability report, where their direct and indirect GHG emissions, emissions avoided, and energy consumption and energy sources are clearly listed.

Set Emissions Reduction Targets

Once these metrics are disclosed, Village Farms will be in a position to set targets for reducing their emissions. These targets should be science-based and aligned with the global goal to stay below 1.5°C of global warming by mid-century. They should also be accompanied by clear strategies of how to achieve these reductions.

Shift to Clean Banks

One of Village Farms’ subsidiaries has obtained several loans (p. 48) from the Bank of Montreal since 2019. Bank of Montreal is one of the few Canadian banks that funds fracked oil and gas pipeline companies as well as coal mining companies. We urge Village Farms’ executives to switch to financial institutions that have no ties to fossil fuel sectors.

Related Methane Digester Stocks in the Climate Index

View All Climate Index Stocks →

Allocated Company Description

4.27%

Waste Management, Inc. (WM)

Waste Management collects waste and recyclable materials across North America and converts landfill gas to energy - a solution to methane emissions

2.26%

Waste Connections (WCN)

WCN collects waste and captures methane from a majority of their landfills. It’s a key alternative to methane emissions

0.28%

Casella Waste Systems (CWST)

Casella’s solid waste service converts methane from landfills into energy. It’s a much lower-emission alternative than releasing methane into the air

0.05%

Village Farms International, Inc. (VFF)

VFF captures methane from landfills, converts it into electricity, and sells it to a utility company. Methane capture is a key solution to reduce emissions

0.02%

Renovare Environmental, Inc. (RENO)

Renovare Environmental enables organizations to divert organic waste from landfill and instead turn it into fertilizer and fuel. They help reduce methane emissions

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