Waste Management Stocks To Follow Today – October 25th – MarketBeat

Analysis of Waste Management Sector’s Contribution to Sustainable Development Goals

Industry Overview and SDG Alignment

The waste management sector, comprising companies involved in the collection, transport, processing, recycling, and disposal of waste, plays a critical role in advancing global sustainability. The operations of these entities are intrinsically linked to several United Nations Sustainable Development Goals (SDGs), driven by increasing urbanization, regulatory frameworks, and a growing emphasis on circular economies.

• SDG 11 (Sustainable Cities and Communities): By managing municipal and industrial waste, the sector directly contributes to reducing the adverse per capita environmental impact of cities (Target 11.6).
• SDG 12 (Responsible Consumption and Production): Core activities such as recycling and resource recovery are fundamental to substantially reducing waste generation and promoting sustainable consumption patterns (Target 12.5).
• SDG 7 (Affordable and Clean Energy): Innovative practices, including the conversion of landfill gas to energy, support the goal of increasing the share of renewable energy in the global mix (Target 7.2).
• SDG 13 (Climate Action): Proper waste management mitigates the emission of potent greenhouse gases like methane from landfills, contributing to climate change mitigation efforts.

Company Profiles and SDG Contributions

Waste Management, Inc. (WM)

Waste Management, Inc. provides comprehensive environmental solutions across the United States and Canada. Its operations demonstrate a strong alignment with key sustainability objectives.

1. Waste Collection and Landfill Operation: The company’s primary services support SDG 11.6 by ensuring cities and communities have reliable systems for waste disposal.
2. Material Recovery and Recycling: Through its network of Material Recovery Facilities (MRFs), WM actively promotes a circular economy, directly advancing SDG 12.5 by diverting significant volumes of recyclable materials from landfills.
3. Renewable Energy Production: WM contributes to SDG 7.2 and SDG 13 by capturing landfill gas—a byproduct of decomposition—and converting it into a renewable energy source for electricity generation.

GFL Environmental Inc. (GFL)

GFL Environmental Inc. delivers a range of services including non-hazardous solid waste management, liquid waste management, and soil remediation in Canada and the United States.

1. Integrated Waste Services: GFL’s solid and liquid waste management services are crucial for maintaining public health and environmental quality in urban and industrial areas, aligning with SDG 11.6 and SDG 6 (Clean Water and Sanitation).
2. Promotion of Recycling: The company’s collection, transfer, and recycling services for municipal, residential, and commercial clients support the objectives of SDG 12.5 by reducing final waste volumes.
3. Environmental Remediation: Soil remediation services address land contamination, contributing to the restoration of ecosystems and supporting SDG 15 (Life on Land).

Custom Truck One Source, Inc. (CTOS)

Custom Truck One Source, Inc. provides specialized equipment to various infrastructure-related industries, including waste management, thereby acting as a key enabler for sustainable operations.

1. Infrastructure Support for Sustainability: By supplying essential equipment to the waste management sector, CTOS indirectly supports the achievement of SDG 11.6 and SDG 12 by ensuring that waste collection and processing can be carried out efficiently.
2. Enabling Resilient Infrastructure: The company’s services to the electric utility, telecommunications, and rail industries contribute to building and maintaining resilient infrastructure, a core target of SDG 9 (Industry, Innovation, and Infrastructure).

Analysis of Sustainable Development Goals in the Article

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

The article discusses companies involved in waste management, recycling, and environmental services. These activities are directly connected to several Sustainable Development Goals (SDGs) focused on environmental sustainability, clean energy, and sustainable urban living. The following SDGs are addressed:

• SDG 7: Affordable and Clean Energy – This is relevant because the article mentions that Waste Management, Inc. operates facilities that convert landfill gas into renewable energy.
• SDG 9: Industry, Innovation and Infrastructure – The companies described provide essential infrastructure and services for waste management, which is a critical component of sustainable industrial and urban infrastructure.
• SDG 11: Sustainable Cities and Communities – The core business of the companies, which is collecting, processing, and disposing of municipal and industrial waste, directly contributes to making cities and human settlements more sustainable.
• SDG 12: Responsible Consumption and Production – This goal is central to the article’s theme, as waste management and recycling are key to achieving sustainable consumption and production patterns by reducing waste generation.

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

Based on the services and operations described in the article, several specific SDG targets can be identified:

1. Target 7.2: By 2030, increase substantially the share of renewable energy in the global energy mix.
   • Explanation: The article states that Waste Management, Inc. “owns, develops, and operates landfill facilities that produce landfill gas used as renewable natural gas for generating electricity.” This activity directly contributes to increasing the share of renewable energy.
2. Target 9.4: By 2030, upgrade infrastructure and retrofit industries to make them sustainable, with increased resource-use efficiency and greater adoption of clean and environmentally sound technologies and industrial processes.
   • Explanation: The companies mentioned provide “environmental solutions” and technologies for waste processing and recycling, such as “material recovery facility (MRF).” These represent the adoption of environmentally sound technologies within the waste management industry.
3. 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.
   • Explanation: The article highlights that companies like Waste Management and GFL Environmental offer “collection services, including picking up and transporting waste and recyclable materials” for “residential, commercial, industrial, and municipal customers.” This is the primary function of municipal waste management addressed in this target.
4. Target 12.5: By 2030, substantially reduce waste generation through prevention, reduction, recycling and reuse.
   • Explanation: The article describes the companies’ role in the waste management hierarchy, specifically their services to “collect, transport, process, recycle, and dispose of solid and hazardous waste.” The mention of recycling and material recovery facilities directly aligns with the goal of reducing the final volume of waste through recycling.

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

The article is financial in nature and does not provide specific quantitative data for sustainability metrics. However, it implies the types of activities that would be measured by official SDG indicators. The following indicators are implied:

• For Target 7.2: The article implies the measurement of renewable energy generation.
  • Implied Indicator: The amount of renewable energy produced from landfill gas. While no figures are given, the statement that the company produces “renewable natural gas for generating electricity” points to this as a key performance indicator. This aligns with Indicator 7.2.1 (Renewable energy share in the total final energy consumption).
• For Target 11.6: The article’s focus on waste collection and disposal implies indicators related to the efficiency of waste management systems.
  • Implied Indicator: The proportion of waste that is collected and managed in controlled facilities. The description of services like picking up waste and transporting it to a “transfer station, material recovery facility (MRF), or disposal site” suggests that the volume of waste managed through these controlled processes is a key metric. This relates to Indicator 11.6.1 (Proportion of municipal solid waste collected and managed in controlled facilities out of total municipal solid waste generated, by cities).
• For Target 12.5: The mention of recycling points directly to indicators that measure recycling rates.
  • Implied Indicator: The tonnage or percentage of waste that is recycled. The reference to “recyclable materials” and “material recovery facility (MRF)” implies that a key measure of the companies’ environmental performance would be the amount of material they successfully divert from landfills for recycling. This aligns with Indicator 12.5.1 (National recycling rate, tons of material recycled).

4. Summary Table of SDGs, Targets, and Indicators

Source: marketbeat.com