Kroger’s New Move to Climate-Friendly Refrigeration is an Important First Step for the Supermarket Sector and the Brand

Originally published in Cincinnati Enquirer on July 31, 2024

You won't notice it the next time you go grocery shopping, but changes are happening in refrigerated aisles nationwide. Several major American supermarket chains are starting to do away with old, inefficient refrigeration systems and modernizing their stores to take advantage of cost-cutting new technologies, which also reduce emissions that contribute to climate change.

A handful of Kroger's over 2700 stores are using natural refrigerants that are much less harmful to the environment. As the largest supermarket operator in the country, a move to natural refrigerants would represent an important shift for the industry and evidence that company leadership has been listening to consumer demand for the phase-out of older hydrofluorocarbon (HFC) refrigeration. HFCs are a "super pollutant" and potent greenhouse gas used in older systems, with up to 4000 times more global warming impact than carbon emissions when they leak. On average, leak rates in the sector are about 25%. Given the forthcoming implementation of the EPA's Technology Transitions Program, consumer sentiment and the increasing cost of HFCs, the move will benefit the environment, Kroger's brand and the company's bottom line. Starting next year, the Technology Transition rule under the AIM Act will go into effect, setting limits on the use of HFC refrigerants by sector, including equipment used in Kroger stores. To seize greater emissions reductions for the climate and to avoid higher refrigerant costs for systems at a time of decreasing HFC supply, it's a wise business decision for Kroger to start its transition. Now Kroger should continue the transition by rolling it out to its over 2700 existing stores nationwide. Kroger can follow the lead of competitors, including Aldi, Whole Foods, and Target, that are leading the industry on upgrading to natural refrigerants like ammonia, propane and CO2, which have zero or near-zero climate impact.

As the nation's leading green economy organization, Green America has urged Kroger to publicly commit to adopting natural refrigerants in all new and existing stores and to develop a plan to phase out use of HFCs by 2035, with an interim target to heavily reduce HFC emissions by 2030. Changing a few stores to natural refrigerants is good but Kroger must go much further. We urge the company to make to eliminate HFCs from all new and existing stores on an accelerated timeline.

With the possible pending Albertson's merger, Kroger could find itself with an even larger HFC burden to reduce due to regulatory and economic forces. Albertson's is the second-largest U.S. supermarket chain after Kroger, using ultra-low GWP refrigerants in fewer than 1% of its stores and 50% of distribution centers. Although early-adopter companies are leading the way, most major supermarket chains are failing to act. Because of poor technology adoption, refrigerant management, policies and commitments, companies like Walmart, Costco, Publix, Giant Eagle, H-E-B, Wegmans, Wakefern, SEG and Trader Joe's each performed poorly on the Environmental Investigation Agency's 2024 edition of the Climate-Friendly Supermarkets Scorecard.

There's an old saying that goes: the best time to plant a tree was 30 years ago, and the second-best time to plant a tree is now. The same is true for supermarket companies considering whether to invest in more efficient refrigeration technology. There is no time to waste. Protecting the communities the company serves can't wait. And while Kroger has taken some initial steps on refrigerants, the company has much more work to do. The best time to eliminate HFCs might have been years ago, but the second-best time is now.