Top Waste Management Stocks To Add to Your Watchlist – October 28th – MarketBeat

Analysis of Waste Management Sector Companies and Their Contribution to Sustainable Development Goals

Introduction: The Role of Waste Management in Achieving the SDGs

The waste management sector is integral to the advancement of several United Nations Sustainable Development Goals (SDGs). Companies operating in this industry contribute directly to environmental sustainability, public health, and the development of circular economies. Their operations align with key targets under goals for sustainable cities, responsible consumption, clean energy, and climate action. This report analyzes seven companies within the waste management and related environmental services sectors, highlighting their contributions to specific SDGs.

1. Waste Management, Inc. (WM)

   As a comprehensive provider of environmental solutions, Waste Management, Inc. plays a critical role in municipal and industrial waste handling. Its activities directly support the following SDGs:

   • SDG 11 (Sustainable Cities and Communities): By offering collection, transport, and disposal services, WM contributes to Target 11.6, which aims to reduce the adverse environmental impact of cities through improved waste management.
   • SDG 12 (Responsible Consumption and Production): The operation of material recovery facilities (MRFs) promotes recycling and reuse, aligning with Target 12.5 to substantially reduce waste generation.
   • SDG 7 (Affordable and Clean Energy): WM’s development and operation of landfill gas-to-energy facilities, which produce renewable natural gas, directly supports Target 7.2 to increase the share of renewable energy.
   • SDG 13 (Climate Action): Capturing landfill gas, a potent greenhouse gas, for energy production is a significant climate mitigation strategy.

2. GFL Environmental Inc. (GFL)

   GFL Environmental provides a broad range of services, including solid waste management, liquid waste management, and soil remediation, which are crucial for environmental protection and sustainability.

   • SDG 12 (Responsible Consumption and Production): GFL’s comprehensive waste management services, from collection to recycling and disposal, are fundamental to achieving sustainable production patterns and reducing waste.
   • SDG 6 (Clean Water and Sanitation): Through its liquid waste management and soil remediation services, GFL helps prevent contamination of water bodies and restores polluted land, contributing to the protection of water-related ecosystems.
   • SDG 15 (Life on Land): Soil remediation services directly support the goal of protecting and restoring terrestrial ecosystems.

3. Custom Truck One Source, Inc. (CTOS)

   While not a direct waste handler, Custom Truck One Source provides essential equipment to the waste management industry, thereby enabling the infrastructure required for sustainable practices.

   • SDG 9 (Industry, Innovation and Infrastructure): By supplying specialty equipment, CTOS supports the development of resilient and sustainable infrastructure necessary for effective waste collection and management, a key component of modern sanitation systems.
   • SDG 11 (Sustainable Cities and Communities): The company’s role as an equipment provider is foundational to the operational capacity of waste management services that keep cities clean and healthy.

4. Concrete Pumping Holdings, Inc. (BBCP)

   Concrete Pumping Holdings contributes to sustainable practices primarily through its Eco-Pan brand, which focuses on industrial cleanup and containment within the construction sector.

   • SDG 12 (Responsible Consumption and Production): The Eco-Pan service provides for the environmentally sound management of waste at construction sites, aligning with Target 12.4 concerning the management of chemicals and wastes throughout their life cycle.
   • SDG 11 (Sustainable Cities and Communities): By promoting better waste containment in construction, the company helps reduce urban pollution and supports the development of sustainable infrastructure.

5. Avalon Holdings Corporation (AWX)

   Avalon Holdings specializes in managing both hazardous and nonhazardous waste, a critical service for protecting human health and the environment.

   • SDG 12 (Responsible Consumption and Production): The company’s focus on hazardous waste disposal and management services is essential for achieving Target 12.4, which calls for the environmentally sound management of all wastes to minimize their adverse impacts.
   • SDG 3 (Good Health and Well-being): Proper management of hazardous waste prevents environmental contamination and human exposure to harmful substances, thereby protecting community health.

6. LanzaTech Global (LNZAW)

   LanzaTech Global is a technology-focused company that transforms industrial waste and pollution into valuable circular products, directly addressing climate and sustainability challenges.

   • SDG 13 (Climate Action): By capturing and recycling carbon from industrial emissions, LanzaTech’s technology actively contributes to reducing greenhouse gases in the atmosphere.
   • SDG 7 (Affordable and Clean Energy): The company produces sustainable fuels from waste carbon, contributing to the diversification of the energy mix with cleaner alternatives.
   • SDG 12 (Responsible Consumption and Production): LanzaTech’s entire business model is built on the principles of a circular economy, turning waste streams into new products and advancing sustainable production patterns.

7. ESGL Holdings Limited (ESGLW)

   ESGL Holdings is dedicated to creating a circular economy by regenerating industrial waste into new products using innovative technologies and renewable energy.

   • SDG 12 (Responsible Consumption and Production): The company’s core mission to create “circular products” from industrial waste is a direct implementation of the principles of SDG 12, aiming to reduce waste and promote sustainable resource use.
   • SDG 9 (Industry, Innovation and Infrastructure): ESGL utilizes advanced technologies to achieve its circular economy goals, promoting sustainable industrialization and fostering innovation.
   • SDG 7 (Affordable and Clean Energy): The use of renewable energy in its regeneration processes demonstrates a commitment to reducing the carbon footprint of its industrial activities.

Analysis of Sustainable Development Goals in the Article

1. Which SDGs are addressed or connected to the issues highlighted in the article?

1. SDG 7: Affordable and Clean Energy
   • The article connects to this goal through the activities of Waste Management, Inc. It states that the company “owns, develops, and operates landfill facilities that produce landfill gas used as renewable natural gas for generating electricity.” This practice directly contributes to the production of clean and renewable energy from waste.
2. SDG 11: Sustainable Cities and Communities
   • This goal is central to the article, as the companies discussed provide essential services for urban and residential areas. The text describes companies that “collect, transport, treat, recycle, and dispose of municipal, industrial, and hazardous waste” for “residential, commercial, industrial, and municipal customers.” Effective waste management is a critical component of creating sustainable and healthy cities.
3. SDG 12: Responsible Consumption and Production
   • The article highlights several companies whose business models align with promoting sustainable production patterns. The mention of “recycling firms,” “material recovery facility (MRF),” and ESGL Holdings Limited, which “regenerates industrial waste into circular products,” directly relates to reducing waste and promoting a circular economy. These activities are fundamental to achieving responsible consumption and production.
4. SDG 13: Climate Action
   • The process of capturing landfill gas, which is primarily methane, and using it to generate energy is a significant climate change mitigation strategy. Methane is a potent greenhouse gas, and preventing its release into the atmosphere while simultaneously creating renewable energy, as mentioned in the description of Waste Management, Inc., directly supports climate action.

2. What specific targets under those SDGs can be identified based on the article’s content?

1. Target 7.2: By 2030, increase substantially the share of renewable energy in the global energy mix.
   • The article’s description of Waste Management, Inc. generating “renewable natural gas for generating electricity” from landfill gas is a direct example of an activity that contributes to this target by increasing the proportion of energy derived from renewable sources.
2. Target 11.6: By 2030, reduce the adverse per capita environmental impact of cities, including by paying special attention to air quality and municipal and other waste management.
   • The core business of almost all companies mentioned, such as Waste Management, GFL Environmental, and Avalon Holdings, is providing “non-hazardous solid waste management,” “hazardous and nonhazardous waste disposal,” and services to “collect, transport, treat, recycle, and dispose of municipal, industrial, and hazardous waste.” These services are essential for managing the environmental impact of cities as specified in this target.
3. Target 12.5: By 2030, substantially reduce waste generation through prevention, reduction, recycling and reuse.
   • This target is addressed by the mention of “recycling firms” and “material recovery facility (MRF),” which are key infrastructures for recycling. Furthermore, ESGL Holdings Limited’s mission to “regenerate industrial waste into circular products” is a clear example of working towards reducing waste generation by promoting reuse and circularity.

3. Are there any indicators mentioned or implied in the article that can be used to measure progress towards the identified targets?

1. Indicator for Target 7.2 (Renewable energy share):
   • While the article does not provide specific data, it implies the existence of an indicator: the amount of electricity generated from landfill gas. The statement that Waste Management, Inc. uses landfill gas “for generating electricity” suggests that the output of this generation is a measurable quantity that reflects progress.
2. Indicator for Target 11.6 (Waste management):
   • The article implies Indicator 11.6.1: Proportion of municipal solid waste collected and managed in controlled facilities out of total municipal solid waste generated, by cities. The comprehensive services described—”collection, transportation, transfer, recycling, and disposal services for municipal, residential, and commercial, and industrial customers”—are the very activities measured by this indicator. The existence of these companies and their services points to the collection and management of waste in controlled facilities like landfills and MRFs.
3. Indicator for Target 12.5 (Waste reduction):
   • The article implies Indicator 12.5.1: National recycling rate, tons of material recycled. The mention of “recycling firms,” “material recovery facility (MRF),” and the regeneration of industrial waste into “circular products” all point to the activity of recycling. The volume of materials processed by these facilities would be a direct measure of the national recycling rate.

4. Table of SDGs, Targets, and Indicators

Source: marketbeat.com