RockyRocky MountainMountain Institute/volumeInstitute/volume xviixvii #3/Fall#3/Fall 20012001

Brit tle Ti m es, R M I’s Resp onse B y A mory B. Lovins and L. Hunter Lovins wreaked havoc. A week later, revenge. Amidst talk of technology and ret- their violence was threatening ribution, we need understanding and trans- to hijack much of U.S. policy. formation. Their attack so outrages • America’s distinctive strengths flow from common decency as to tempt her diversity, freedom, and tolerance—pre- reactions that Americans cisely the qualities that are most under would abhor in normal attack, most precious, and most vital not to times—bombing civilians impair. Terrorists succeed if they drive us to ruled by despots considered deny our values and diminish our free- complicit, eroding civil liber- doms. ties, blaming anyone who • The attackers hope to provoke a looks or thinks differently, jihad/crusade confrontation between rushing to military and energy America and Islam, and more broadly to choices that would be inflame tensions between the powerful and repented at leisure. But if the dispossessed. We defeat this goal if we policy simply reacts to the ter- continued on next page rorists, they win. America and the world need rather to address root causes: to reas- sume global leadership in helping all people to fulfill CONTENTS their legitimate aspirations for OTHER VOICES: ERIC RASMUSSEN ..p a ge 4 a safe and decent life. BATTLING WASTE INTHE MILITARY . p a ge 6 The terrorist attack elicited T h e eve n ts o f 11 S e p t e m b er m ig h t h ave p er- m a n e n tly a lt ere d o u r u n d erst a n din g o f wh at is wide agreement on some FUEL CELLS ...... p a ge 10 re q uire d t o m a in t a in a f re e a n d o p e n socie ty. obvious but sometimes over- PERSPECTIVES ...... p a ge 11 looked points: rom its inception, Rocky Mountain • Murdering innocent people is a supreme INSURMOUNTABLE OPPORTUNITIES . p a ge 12 Institute has worked to promote a evil in the eyes of every religion, emphati- secure, prosperous, and life-sus- “AN APPLE A DAY” ...... p a ge 14 F cally including Islam. This applies to ter- taining world. On 11 September, those rorism—and to America’s response to it. DEAR ROCKY ...... p a ge 16 goals came under attack—magnifying their importance and urgency. We can best • The perpetrators must be brought to jus- LIFE AT RMI ...... p a ge 17 tice under the rule of law, and with great honor the thousands of victims, citizens of WHAT ARE YOU DOING? ...... p a ge 18 over 80 nations throughout the world, by care not to harm the innocent. recommitting to create such a future. Indiscriminately violent retaliation would MIKE CURZAN ...... p a ge 25 undermine all we’re fighting for. A world of A handful of people with plastic knives and DONOR SPOTLIGHT ...... p a ge 28 justice and compassion is morally, as well box-cutters seized four airplanes and as practically, better than a world of ALEXIS KAROLIDES ...... p a ge 33 burst—upwind of many American cities. For example, The Nation (16 September) and U.S. News and World Report (17 September) report that over half of U.S. nuclear plants routinely fail basic site-secu- rity tests even when given advance notice. (They just went on maximum alert, but that doesn’t mean they could repel a com- petent attack.) It doesn’t take a crashing widebody jet to unleash their lethal inven- tories (though that would); a few people could do it on the ground, in some cases without entering the plant’s site. Despite this threat and nuclear power’s disastrous economics (see “Gone Fission,” p. 11), its proponents nonetheless want, and have so N ew Yor k as we a ll re m e m b er it. T h e 11 S e p t e m b er at t a c ks will h ave i m pli- c atio ns for us a ll. far gotten, even bigger subsidies to support expansion, and seem about to win instead build a new solidarity between to the Lord of the Universe who has cre- renewal of their liability exemption. In those working to achieve a just and sus- ated us and made us into tribes and contrast, as David Lochbaum of the Union tainable society and those for whom it is a nations / That we may know each other, of Concerned Scientists noted, nobody is distant abstraction. Terrorists are bred not that we may despise each other … asking about terrorist threats to wind- amid social and economic conditions that And the servants of God, most gracious are mills—which also produce power sooner create despair and fury. To the extent that those who walk on the Earth in humility, and cheaper. enhancing sustainability can relieve those and when we address them, we say Our 1982 Pentagon study Brittle Power: conditions, we both do right and increase ‘Peace.’” Energy Strategy for National Security, still everyone’s security. • The United States is extremely vulner- the definitive unclassified work, showed • Many people in the world are pro- able, not just because it’s a free and open how accepting market verdicts could grad- foundly angry at America, and it would be society, but also because of the fragile ually, steadily, turn vulnerability into wise to understand why. Wall Street architecture of its complex, centralized, resilience. The foundation of a secure Journal correspondent Jonathan Kwitney, interdependent technical systems— energy system is to need less energy in the in his disquieting book Endless Enemies: gigantic pipelines, powerlines, dams, first place, then to get it from sources that The Making of an Unfriendly World, refineries, chemical and nuclear com- are inherently invulnerable because chronicles scores of countries where venal, plexes. This vulnerable design makes they’re diverse, dispersed, renewable, and stupid, or insensitive U.S. behavior, over future attacks both more probable and mainly local. They’re secure not because decades, turned potential friends into foes. potentially far worse. We’ve long been sur- they’re American but because of their If we want other countries to think well of prised these weaknesses weren’t exploited design. Any highly centralized energy us, he concludes, we should be the kind of sooner and more fully. A great deal more system—pipelines, nuclear plants, people one would like to do business with, work is needed to identify these vulnera- refineries—invites devastating attack. But and should ensure that whoever comes to bilities and design them out. invulnerable alternatives don’t, and can’t power in other countries has never been Consider, for example, the opportunisti- fail on a large scale. Ignored in the current shot at by an American gun. That seems cally renewed push for uneconomic and debate but available in the marketplace, simple and effective, pragmatic and princi- extraordinarily vulnerable energy technolo- they’re also cheaper and more reliable. In pled. As we seek to understand other cul- gies, such as expanded dependence on the time, they can make major energy inter- tures, honor their differences, and respect Trans-Alaska Pipeline (RMI Solutions, Vol. ruptions impossible. Thus real energy secu- social goals that may diverge widely from 17, No. 1, spring '01) and on nuclear rity comes from choosing the best buys our own, we need to hear the reasons for power, which holds billions of curies of first; not bailing out market failures; the anger of those who do not feel heard. releasable radioactivity—rivaling the building a balanced portfolio of competi- As a Muslim prayer reminds us, “Praise be fallout from a megaton-range ground- tive demand- and supply-side investments;

p a ge 2 and preferring energy options invulnerable national governments; and without their own. Anger grows as they watch to cutoff by accident or malice. Happily, all needing to use or threaten violence. It their loved ones die of diseases that disap- these virtues coincide in the same tech- comes from making others more secure, peared years ago in developed nations. nologies—the ones current policy disfa- not less, whether on the scale of the vil- Leaders who foster hatred of the devel- vors. Why should some of the gravest lage or the globe. It is rooted in conflict oped nations suddenly sound reasonable. threats to national energy security come avoidance or prevention; bolstered by con- “Those who have wealth grow increas- from the energy policy of our own govern- flict resolution; and backstopped by non- ingly fearful of the masses of poor people. ment? provocative defense, which can reliably They become resentful that their wealth To some extent, RMI can offer these defeat aggression without threatening does not give them the freedom and safety answers. In other realms, we have only others. This new security triad from they once assumed it would create. just begun to pose the questions. For Security Without War—a prescient 1993 Leaders who tell them that the poor are a example, the work that Hunter Lovins and RMI book by Hal Harvey and Mike threat to their well-being suddenly sound Walter Link of the Global Academy have Shuman—suggests that though there is a reasonable. vital role for the military professionals with been doing on globalization raises some “It is a recipe for madness. A blueprint for whom RMI has long worked (see “Battling intriguing issues. As their recent paper for mutual self-destruction. Where does it Fuel Waste in the Military,” p. 6), that role the United Nations pointed out, the world end? The world’s major religions all agree is poised for profound change in an is profoundly different from the mental that it is the responsibility of those who increasingly dangerous, multi-polar, and model most of us carry of an effective com- have to help those who do not ... What polarized world. munity of national governments. In fact, we do or don’t do with our money is an power now resides in three sectors: gov- The foundation of real security is global issue of profound spiritual significance. ernments, corporations and civil society. good-citizenship, fully engaged within an The strong are supposed to help the weak. As newspapers blare that we are at war, it interdependent world of mutual interests. “And isn’t the well-being of others an is worth asking, “With whom?” Is this the World War II arose from a resentful important aspect of good economic policy first major conflict between a globalized Germany punished for World War I. as well? Impoverished people don’t buy network and a national government? In George Marshall didn’t repeat that error; products. Uneducated people don’t consti- the new tri-polar world, where power he strengthened and rebuilt Germany as a tute a good workforce. Strong economies resides in governments, corporations, and bulwark of democracy. We have vast produce jobs that can enable the poor to civil society, this network of self-organized rebuilding to do to reverse the poverty, build a better future ... Long-term eco- individuals empowered by satellite phones, inequity, and injustice that make people nomic self-interest requires attention to the email, and FedEx to pursue their agenda feel angry, powerless, and resentful. As Jeff needs of others. aren’t playing by governments’ rules, but Raskin remarks, “Putting the billions they’re highly effective. Similarly, solutions recently allocated [for military strikes] into “If both economists and the world’s reli- to the many global challenges will only feeding the hungry, teaching the undered- gions agree that self-interest and the arise if collaboration between the three ucated, and healing the sick around the interest of all are inseparably intertwined, sectors creates new networks dedicated to world would go further toward minimizing what is the problem? The problem is fear, finding and implementing solutions. terrorism than anything else we could do fear that morphs into hostility ... The question that has guided RMI’s work with the money.” “The opposite of fear is faith. Our daily from its inception is how can Americans, John Wimberly, of Western Presbyterian lives are built on hundreds of large and and all people, be safe and feel safe in Church in Washington, D.C., writes of the small acts of faith. We have faith that ways that work better and cost less than spiritual dimensions of this challenge: when we get on a plane, it will take us to the scheduled destination; that when we present arrangements? Recent events have “Regardless of where one stands in the sit in an office, we are safe; that the sun been called the first war of the 21st debate about the causes of wealth and will set tonight and rise tomorrow. Century. Unfortunately, that “honor” goes poverty, Tuesday’s terrorism leaves us no to the many conflicts that continue to take choice but to admit that fear, hatred, and “What is at stake today is whether we will lives around the world. Security—freedom violence increasingly define the relations live lives of fear or lives of faith. We live in from fear of attack or privation—is best between the rich and poor. a national and personal moment of truth.” achieved from the bottom up, not from the “Those who don’t have wealth fear that We all have much work to do. top down; by means that are the province their children’s lives will be worse than of every citizen, not the monopoly of

p a ge 3

F a l l 2 0 0 1 O T H ER VOIC ES Sh a pin g O ur Resp onse Re f u gee C a m ps as a M o d el for Sust ain a ble Se t tle m e n t by Eric Rasmussen, MD, FAC P n February 1994, Robert Kaplan wrote was arrested through unusual attention to glance, Haiti resembles Afghanistan. We an article for the Atlantic Monthly husbanding local resources, restoring local once supported both the people of Ientitled “The Coming Anarchy.” That hydrology, and educating the local commu- Afghanistan and those from elsewhere who essay presented a clear and telling depiction nity on the strengths and possibilities of rose in support of the Afghan opposition to of how scarcity, crime, overpopulation, trib- their environment. The consequent trans- the Soviets. We armed and trained those alism, and disease were affecting the formation was remarkable and is serving as we thought might serve as a bulwark for us world’s social fabric. The article impressed a model for restoration throughout in Central Asia, then we left them behind President Clinton, and the general acclaim southern India. once our own ends had been met. We’re helped propel Kaplan into a book-length There are many places in the world where now facing opponents in Afghanistan who expansion entitled The Ends of the Earth: such a transformation would be welcome. once worked for us in that war, and the A Journey to the Frontiers of My wife and I lived in training we gave them created a formidable Anarchy (Atlantic Press, Haiti in 1985–1986, while foe. 1996). I was on loan from Los Afghanistan echoes that spiral of poverty That book remains very Alamos National and decline I found in Haiti, but with the useful reading. It is a bleak Laboratory. In Haiti I was added burdens of both war and civil strife. story, in the main, but it con- struck by the poverty— Understandably, many within Afghanistan tains knowledge we need to although poverty is not are now worried about our response to the acquire if we’re to under- unique anywhere—and by U.S. attacks. Tonight they are moving as stand the world formed since the ignorance, and still quickly as possible out of our way, crossing the loss of the other super- more by the bleak future of borders in every direction. The UN High power. Fortunately, as a fleck an agrarian society where Commissioner for Refugees estimates up to of copper within the gray there is no soil. I also a million will flee into Pakistan, 400,000 Eric R as m usse n sand of the tale, there is a became interested in the into Iran, and thousands more across the story late in the book that helps relieve the unintentional effects the United States can northern borders into Uzbekistan and despair. It tells of the Rishi Valley, near have on countries only briefly useful to us. Tajikistan, all arriving before Thanksgiving. Bangalore in India. The valley’s common During those months in a remote corner of The needs of that mass of humanity pose a cycle of poverty, degradation, and decline Haiti, I learned a little about the environ- genuine threat to the security and stability of the surrounding nations, each of which Dr. Eric Rasmussen is a Navy physician, an mental damage wrought by the United was only marginally able to manage the instructor in humanitarian medicine for the States in pursuit of natural rubber near the basics for it’s own citizens before this United Nations, a medical evaluator for tor- outset of WWII. Then, as now, we were onslaught. Wouldn’t it be useful to find ture victims, and a Principal Investigator for securing the materials required to sustain ourselves able to ease that refugee burden both DARPA (Defense Advanced Research our national economy. But the native trees and perhaps establish a foothold for a more Projects Agency) and the National Science we cleared for the cultivation of new sustainable society in those new camps? Foundation. He has served in nuclear sub- rubber plantations were not replaced when marines, on aircraft carriers, on the ground the rubber trees we planted failed to grow. However, before we make any decisions on in Bosnia and Africa, and as the Fleet The subsequent decades of tropical rainfall that sustainable society we need to know Surgeon for the U.S. Navy's Third Fleet. His onto dead stalks and rootless dirt took the more about the young and the poor in the current focus is medical support to humani- topsoil with the runoff. Haiti was then, and wastelands of that region. We need this tarian operations. The opinions expressed remains, an environmental and social dis- knowledge because violent young men in this article are the author’s own and do aster; a country mired in misery and have come from there to us and expressed not necessarily reflect those of the unlikely to improve within our lifetimes. their views about our society. They have Department of the Navy or the Department With the history of U.S. intervention, and done it with calculated and deliberate of Defense. then our departure with nary a backward malice against the innocent and unsus-

p a ge 4 pecting. Almost 6000 died in a few hours, extremist Islamic doctrine called altered significantly, and the Grand roughly equaling our Vietnam dead in all of Wahhabism. In the newly-established Coalition developing will probably force 1966. Nothing even remotely like this has Islamic schools they teach the Wahhabi ver- our cooperation globally in ways not envis- ever happened in the West. sion of their faith, facets of which include aged on Inauguration Day 2001. It now seems likely that Afghanistan is the the demonizing of us and of Israel, and the That change may be an opportunity. If geographical source of the violence visited advocating of a self-sacrificing violence. we’re now intending to cooperate with upon us, although Al Qaeda cells in many Their doctrine and their opinions, in no international partners toward common countries may share in the guilt. sense excused, are shaped by the atrocities goals, a few rational humanitarians Afghanistan is a very unfortunate, though exchanged during the Soviet invasion of working in sustainable development could hardly surprising, location. Should the Afghanistan, by the brutality of the subse- help that new cooperation move forward United States choose to take an equally vio- quent civil war, by the deaths of more effectively. And we would start with lent retribution there, it will be visited Palestinians in Israel, and by their daily life refugee camps. Thoughtful people with upon a nation and a people already on the of violence, illiteracy, isolation, deprivation, some experience in sustainable develop- edge of the abyss. and insecurity bred by poverty. They have ment can now describe better ways to continued to struggle in the face of environ- Few of us know much about Afghanistan. develop a society, its communities, and its mental devastation and ever-dwindling Brief perspectives from the news fail to rec- tools than we could ten years ago. resources having little but their faith to hold ognize the depth, complexity, intensity, and For transforming established communities on to, and their belief system is deeper and sophistication of a culture so completely we can learn from the successes in more pervasive than almost anything we outside our ken. We may feel anger at the Curitiba, Brazil, detailed in Natural can understand. events of 11 September, but for many of us Capitalism. For the development of a com- it is tinged with a dispassionate respect for To get a glimpse of the unfamiliar intensity munity within challenging regions we have an enemy who can live unnoticed within a and single-mindedness of fundamentalist the examples of Gaviotas and the Rishi despised society for years while preparing Islam, remember the perhaps apocryphal Valley. In describing ZERI (Zero Emissions for a complex suicide. These men attacked story concerning the burning of the Library Research and Initiatives) we can demon- the most powerful nation in the world at Alexandria in Egypt. Alexandria was then strate a superior method for efficient, sus- using blades designed to open cardboard (around 640 AD) the largest repository of tainable, and profitable business practices boxes, succeeded in their attack to a degree papyrus books and Classical learning the in a dozen places around the world. almost beyond imagining, shook social and world had ever known. Reportedly, the Within the projects coordinated through economic foundations globally, and may besieging Caliph Umar said, “If the books Rocky Mountain Institute we can show well have tipped the United States into a agree with the Koran they are superfluous. thirty successes that optimized each loca- financial recession. Current figures show If they disagree, they are blasphemy. Burn tion for the people it contained. Michael that in the week after the attack, more it.” And 550,000 irreplaceable manuscripts Hawley at MIT established schools in than $1.4 trillion was lost from the world’s went up in smoke. Cambodia that have stimulated even the financial markets. This from a combination More than 1300 years later the Taliban youngest pupils to learn. John Todd’s of cardboard box-cutters and an unshakable decided that the very presence of ancient Living Machines produce fresh water from will. Buddhist sculpture within their sight was sewage. And, to help us understand what That “will” is a critical component in their an insult to Islam. The sculptures were it takes to succeed in a harsh and unfor- success, and much of it is developed within destroyed. giving environment, we have Janine a very limited educational system in the Such anecdotes may enlarge the separation Benyus, unfolding the elegant and appro- worst of circumstances. We in the West are we draw between “us” and “them,” but priate engineering used by nature in only vaguely aware of Islamic schools. For that is not my intent. We in the United Biomimicry (William Morrow & many men in Afghanistan (women are States recently appeared to be embarked on Co, 1997). excluded) those schools are now the only a somewhat isolationist voyage ourselves, There are other valuable people, many of source of learning and advancement. taking our own measure of global agree- them friends and colleagues, all willing and Although the Taliban are not Afghan (and ments that we thought might not be in the able to create something helpful out of are viewed by many Afghans as unwel- best interests of the United States, and utter waste. We should recognize, though, come outsiders), they have forced on the accepting participation with the world only native Afghans conformation to an if we thought it to our purpose. That is now continued on page 24

p a ge 5 F a l l 2 0 0 1 SE C URITY

B at tlin g Fu el Wast e in t h e M ilit a ry

B y A mory Lovins

ost Americans are only too work in the 1980s on nuclear nonprolifera- A eri a l re f u elin g o f a B - 5 2 b o m b er by a K C -10 A. aware that their tax dollars sup- tion, domestic energy vulnerability, and P h o t o: U.S. Air Forc e M port a massive military machine. “least-cost security,” attracted much atten- The Department of Defense’s annual budget tion in military circles. is over $291 billion and rising. DOD has In recent years, RMI’s involvement with the tary moved beyond buildings when I was three million people, 36 million acres, over military has expanded. In 1995, my brief to invited to serve on an unclassified Defense 250 major installations, 40,000 additional Naval leadership launched a series of collab- Science Board Task Force. It sought to properties, 550 public utility systems, over orations, which between 1995 and 1998 ascertain why the Defense Department is 150,000 land vehicles, 22,000 aircraft, and saw RMI’s Green Development Services the nation’s largest energy user (using one over 300 ocean-going vessels. helping the Naval Facilities Engineering percent of all energy in the United States) But most of us don’t realize that despite a Command (NAVFAC) overhaul how the and probably the world’s largest oil buyer. 36 percent drop in total DOD energy use Navy designs buildings. Nowadays, all bid- Clearly, the Task Force would like to change during 1990–99, chiefly due to force reduc- ders for NAVFAC contracts must be good at that ranking. tion, around $5+ billion of the military integrative design. RMI has also supported Most of the things we looked at were not, budget buys energy. Most of DOD’s five bil- similar efforts for the Army in Texas and as the saying goes, rocket science. It wasn’t lion gallons of annual petroleum use fuels Illinois, the Marine Corps in North hard to decide that 0.56-mpg tanks and 17- weapons platforms—land, sea, and air— Carolina, and the Air Force in Colorado. feet-per-gallon aircraft carriers are just as that are manifestly inefficient. To add a little All of the Armed Services are variously unnecessarily wasteful as civilian gas-guz- irony, much of the fuel used by the military adopting green design—not just to save zlers. Through a hundred-odd briefings in a is exhausted moving fuel around. Of the money, but also to improve the quality of year and a half, the Task Force found more gross tonnage moved when the Army service life, which is critical to recruitment, than a hundred effective fuel-saving tech- deploys, 70 percent is fuel. retention, and operational effectiveness. nologies. None would impair and most Since it was founded, RMI has welcomed And efficient buildings slow the conversion would improve what the Defense opportunities to work with and learn from of tax dollars into climate change—perhaps Department is there for—warfighting capa- military professionals who pursue security the gravest threat to global security. bility. Much, perhaps most, of DOD’s fuel could be cost-effectively saved. That tech- goals by different means. RMI’s pioneering In 1999, our technical work with the mili-

p a ge 6 nology assessment was the easy part. The However, the cost of delivering that fuel to because their fuel was assumed to cost harder question was why a capable meritoc- the platform is assumed to be zero. about a buck a gallon. But to keep up with a racy with more wants than funds hadn’t Logistics—moving stuff around—takes rapidly advancing armored unit on the bat- achieved all the savings already. roughly a third of DOD’s budget and half its tlefield, cargo helicopters may have to The institutional reasons that trapped good personnel. But when designing and buying leapfrog big bladders of fuel hundreds of people inside a dysfunctional system were platforms, logistics is considered free to the kilometers into theater, using much of the complex, but they were rooted in false price platform that consumes the fuel. This prac- fuel to do so. The delivery cost can then rise signals due to a lack of activity-based costing. tice understates delivered fuel cost by a to $400–600 a gallon—yet it was assumed When weapons platforms are designed and factor that I estimate to average at least to be zero. If the designers had known the bought, their fuel is assumed to cost what three for DOD as a whole, and tens or hun- real delivery cost, they’d have designed the the DOD-wide supplier, the Defense Energy dreds in some particular cases. tanks very differently. Supply Center, charges as its average whole- The venerable B-52 bombers now being Fuel-wasting design doesn’t just cost money; sale price, fluctuating around a dollar per flown by the children of their original pilots it inhibits warfighting. Each tank is trailed gallon (currently $1.34). have inefficient, low-bypass engines from by lumbering fuel tankers. An armored divi- the 1960s. Those could be refitted to sion may use as much as 20, perhaps even Further Reading: modern ones using a third less fuel to 40, times as many daily tons of fuel as it achieve up to half again as much range. But does of munitions—around 600,000 gallons • Lovins, Amory B. and L. Hunter. they haven’t been, because the fuel is a day. Of the unit’s top ten battlefield fuel Brittle Power: Energy Strategy for thought to be cheap. And so it is, when guzzlers, only Abrams tanks (#5) and National Security. Includes a foreword delivered in peacetime to a U.S. airbase, Apache helicopters (#10) are combat vehi- by President Reagan’s Chairman of the where delivery to the plane adds only about cles. Several of the rest carry fuel. This takes Joint Chiefs of Staff and President 20 cents a gallon. But when the plane is on a lot of equipment and people. The Army the long-distance mission for which it was directly uses about $0.2 billion dollars’ Carter’s Undersecretary of the Navy. built, it typically needs midair refueling. worth of fuel a year, but pays about 16 Andover, Mass.: Brick House, 1982. That adds $17.50 a gallon, not counting the times as much, $3.2 billion a year, just to Out of print; to be reposted at $9-billion cost of at least 55 tankers the Air maintain 20,000 active and 40,000 reserve www.rmi.org. Summarized in “The Force would need to replace. Thus the Air personnel to move that fuel. And unar- Fragility of Domestic Energy,” Atlantic, Force in FY1999 paid $1.8 billion for two mored fuel carriers are vulnerable. Attacks November 1983. billion gallons of fuel, but delivering that on rear logistics assets can make a fuel- fuel into the aircraft added another $2.6 bil- hungry combat system grind to a halt. Yet • “Nuclear Power and Nuclear Bombs,” lion, so the actual delivered fuel bill was the warfighting benefits of fuel economy— Foreign Affairs, 58:1136 (summer $4.4 billion: the Air Force spent 84 percent in deployability, agility, range, speed, relia- 1980), 59:172 (Fall 1980). of its fuel-delivery cost on the 6 percent of bility, and maneuverability—are as invisible • Shuman, Mike, and Hal Harvey. its gallons that were delivered in midair. If as the fuel delivery cost. you count that delivery cost, re-engining the Security Without War. Boulder, Colo.: Today’s armored forces were designed to B-52s has a quick payback—all the more so Westview, 1993. A book credited with face Russian T-72s across the North German because it typically makes midair refueling plain. Nowadays, however, their missions contributing to Gorbachev’s revolution unnecessary! demand mobility. Only one 68-ton tank fits in Soviet policy. The Army’s formidable half-mile-a-gallon into the heaviest U.S. lift aircraft, so deploy- • The Defense Science Board’s report M1A2 tanks are powered by inefficient ment is painfully slow, and when the tank More Capable Warfighting Through 1960s-design gas turbines that yield 1500 arrives in, say, the Balkans, it breaks bridges Reduced Fuel Burden was released in horsepower to make 68 tons dash around a and gets stuck in the mud. Army Research battlefield at 30 mph (42 on the road). They has a better idea—an innovative 7–10-ton May 2001 by the Office of the do that pretty well. But 60- to 80-odd per- version that uses about 87 percent less fuel, Undersecretary of Defense for cent of the time, that huge turbine is idling yet is said to be as lethal as current models Acquisition and Technology, at one percent efficiency to run a 5-kilowatt and no more vulnerable. (The Army figures Washington, D.C. 20301-3140. It was “hotel load,” mostly air conditioning and such redesign could save about 20,000 per- summarized in Business Week, 3 electronics. Most civilian vehicles would use sonnel—plus their equipment and their own a small auxiliary power unit to serve such September 2001. continued on next page tiny, steady loads efficiently. Tanks don’t,

p a ge 7

F a l l 2 0 0 1 logistical pyramid—needed to deliver fuel in All E n erg y Ex p erts on D ec k! thMeatIeLr IaTndA nReYarbEy, NplEusR mGoYre ▼to get it there: by Amory B. Lovins From Previous Page in sum, billions of dollars a year.) andering A little-known 1982 Army experiment sug- around gests the potential value of even more radical some W lightweighting, possibly to a 0.7-ton version. Navy ships, I noticed When 30 tanks were set against 30 Baja that many design dunebuggies armed with precision-guided details were as ineffi- munitions, the prompt result was 27 dead cient as those in tanks (21 completely immobilized) and three civilian buildings and dead dunebuggies. That exercise was done equipment. Inefficient in desert, not forest or city, and not under pumps fought against chemical warfare conditions, but it’s still throttling valves; over- enlightening. With different tactics, light and sized motors and even ultralight forces may be more militarily chillers ran subopti- effective than familiar heavy ones. mally; operators lacked Recent tactical experience, from Iraq to USS P rin c e t o n proper readouts and controls. How much Somalia, suggests that the Joint Chiefs’ new energy, I wondered, is doctrine emphasizing light, mobile, agile, thereby wasted? Might the Navy unknowingly have energy-saving opportunities at least flexible, and easily-sustained forces is vital to as big in its ships as RMI was finding in Navy buildings? modern warfighting. Yet it’s very far from Calculations in the Defense Science Board Task Force confirmed that nearly a third of most of the forces now fielded. Heavy-metal the Navy’s nonaviation fuel goes to “hotel loads”—not to propulsion, radars, weapons tradition dies hard, and porkbarrel politics systems, or aircraft-launching catapults, but to mundane pumps, fans, chillers, and impedes fundamental military reform. lights. And based on some casual observations, much, perhaps most, of their energy Other policies inhibit capability as well. seemed to be wasted. When I visited the Navy’s newest nuclear To be sure, the Navy has different design imperatives than civilian architects: ships must aircraft carrier, I was startled to find that its go far and fast through all the world’s climates, project power, protect crews, and fight design had been frozen 23 years earlier due through gales and missile strikes. Being shot at demands serious redundancy and special to the cumbersome procurement process. operational methods. Cramped space often makes pipes and ducts small and twisting, That’s a disadvantage of over 40,000-fold especially when whichever get installed second must snake around whichever got against electronic equipment that’s subject to installed first. Nonetheless, there seemed much room for improvement, even though the Moore’s Law and bought at Radio Shack. Navy had already led all the Services in energy savings—partly by letting skippers keep Wargames suggest that an adversary with a for their own ships’ needs half the fuel dollars they saved. few billion dollars’ worth of up-to-date over- the-counter hardware could even beat the I discussed this hypothesis with Vice Admiral Denny McGinn, the dynamic Commander United States, which has excellent warriors of Third Fleet (now Deputy Chief of Naval Operations) whom I had met a decade earlier while lecturing at the Naval War College. We liked the idea of an experiment: let’s just but often outmoded equipment. go measure how a ship works and see how much energy we can save. The Admiral A sweeping revolution in military affairs is nominated as a testbed his own command ship, USS Coronado, but that converted underway. The Defense Department is trying amphibious support vessel was too atypical. A typical surface combatant was soon to jettison or bypass its antiquated procure- chosen instead—USS Princeton, a 9,600-ton, 567-foot, billion-dollar Aegis cruiser home- ment methods and buy commercial off-the- ported in San Diego. With support from Navy Secretary Richard Danzig, the Office of shelf equipment wherever possible—it’s Naval Research gave RMI a $50,000 grant to go see what energy-saving potential we usually far more modern and capable, but could find. The Naval Sea Systems Command’s able engineers had estimated that 19 much cheaper and often durable enough. percent could be saved on ships of this class, of which Princeton was in the top one Similarly, DOD is asking why it takes six fourth for efficiency. months to plan a divisional deployment

continued on next page continued on page 28

p a ge 8 All E n erg y Ex p erts on D ec k!

from previous page

RMI’s Chris Lotspeich and three of RMI’s consulting engi- neers—Ron Perkins and Ned Orrett (both ex-Navy men) and Jim Rogers—did two “floats” aboard Princeton to observe, study, measure, and learn about hotel loads from the officers and crew. Our preliminary survey found gratifyingly large potential savings: perhaps, if found feasible, as much as several times NAVSEA’s expectations. Princeton uses nearly $6 million worth of diesel-like turbine fuel each year. Her gas turbines, akin to those on an older pas- senger jet aircraft, use about $2–3 million worth of oil to make up to 2.5 megawatts of electricity, the rest for 80,000 horse- power of propulsion. The RMI team found that retrofitting motors, pumps, fans, chillers, lights, and potable water systems could save an estimated 20–50 percent of the ship’s electricity. That could cut total fuel use by an estimated 10–25 percent— perhaps even 50–75 percent if combined with other potential improvements we sketched for propulsion and electric genera- tion. (However, if the electricity-generating gas turbines weren’t run differently, even heroic electricity savings would save little fuel, because they’d be offset by even less efficient operation of the underloaded turbines.) Just as in civilian facilities ashore, the RMI team started by cal- culating what it’s worth to save a kilowatt-hour. Since the elec- tricity is being made inefficiently from fuel that’s mainly delivered by “oiler” ships, the answer is an eye-popping 27 cents, six times a typical industrial tariff ashore. This high cost makes “negawatts” really juicy. For example, each percentage A b ove: T h e view f ro m USS P rin c e t o n as sh e p ulls over a f u el lin e t o t a ke o n h u n d re ds o f t h o usa n ds o f d oll a rs’ point of improved efficiency in a single 100-horsepower wor t h o f f u el f ro m a n oiler. O n t h e f a r sid e o f t h e oiler, always-on motor is worth $1,000 a year. Each chiller could be a n o t h er cr uiser is f u ele d si m ult a n e o usly. P h o t o: C h ris Lo tsp eich. improved to save its own capital cost’s worth of electricity (about $120,000) every eight months. About $400,000 a year could be saved if—under noncritical, low-threat conditions—certain backup systems were set to come on automatically when needed rather than running all the time. Half that saving could come just from two 125-horsepower firepumps that currently pump seawater continuously aboard, around the ship, and back overboard. In a critical civilian facility like a refinery, where one wanted to be equally certain the firefighting water was always ready, one would instead pressurize the pipes (usually with freshwater) with a 2-hp pump, and rig the main pumps to spring into action the instant the pressure dropped. Princeton’s total electricity-saving potential could probably cut her energy costs by nearly $1 million a year, or about $10 million in present value, while improving her warfighting capability. (A ship that burns less fuel can go farther and faster between refuelings, and emits less conspicuous signatures to announce her presence.) The Navy has 27 ships of this class, 317 in total (surface and submarines, fossil- and nuclear-fueled), most with analogous designs and operations. RMI has invited the Navy to tear our conclusions apart, and, if they find them useful, consider implementing them just as aggressively as, in the second half of the ’90s, they adopted RMI’s recommen- dations for green building design. Maybe those who seek offshore oil resources beneath fragile seabeds are drilling in the wrong place—under the ocean rather than atop it. Aboard the U.S. Navy’s ships, it seems, are rich reserves of “negabarrels.” Exploiting them will save hard-earned tax dollars, reduce pollution, and improve our nation’s security and prosperity. You might call this approach applied patriotism.

p a ge 9

F a l l 2 0 0 1 DISTRIB UTE D GE N ERATIO N Cle a n er E n erg y, Gree n er Pro fi ts Fu el C ells as C ost-E f fective Distrib u t e d E n erg y Resources B y Joel Swisher nomics of power delivery suggests he recent electricity crisis in that cost-effective California has focused attention applications on the option of generating elec- T already exist. tricity from small, decentralized sources, col- These early mar- lectively known as distributed generation kets can lead to (DG). The changing structure of the electric commercializa- industry and the continuing development of tion paths that new technology have also made DG options will bring fuel more attractive. One promising DG option is cells into main- the fuel cell, which converts fuel to elec- stream use in tricity at high efficiency without combustion buildings and and with negligible emissions. Several dif- vehicles. ferent fuel cell technologies are under devel- The main benefits opment and commercialization for various of such DG tech- stationary and vehicular applications. Id at e ch e m ploye es disc uss d esig n o f a m e t h a n ol f u el nologies as fuel Market conditions in the electricity industry p roc essor d evelo p e d for a resid e n ti a l-siz e d f u el c ell cells can be syst e m. T h e fi n a l p ro d u c t, a w ashin g - m a chin e -siz e d u nit, are changing in favor of DG technologies divided into five will p ro d u c e t h re e t o fo u r kilow at ts o f cle a n e n er g y. P h o t o: such as fuel cells. Strict environmental con- co u r t esy o f Id a Te ch categories. straints on power production are inevitable, First, small scale as electric generation produces a large share and modularity of local and global pollution. The restruc- provide added value by offering the ability value in such sensitive industries as data turing of the industry is causing power mar- to put in place as little or as much gener- storage, semiconductor manufacturing, and kets to diverge into two groups of ating capacity as needed, but no more. The many conventional industries as well. customers, those who demand a low-cost value derived from this increased flexibility, (Although the digital economy is driving commodity and those who demand electric called option value, is based on shorter lead demand for increased power reliability, this service with a high level of reliability. The time and decreased risk of overbuilding, growth does not translate into increases in emergence of the digital economy is driving which reduce financial cost and risk. the amount of electricity needed, as a coal- the demand for premium-reliability power, industry disinformation campaign had led and many customers are willing to pay for Second, DG sources can provide substantial many to believe.) it. But they can’t get premium power from a cost savings if they are sited where (and central power plant because the grid in when) they can prevent or defer pending Finally, fuel cells are among the cleanest DG between is too unreliable. investments in utility distribution capacity. technologies, and their environmental bene- fits allow them to be sited very flexibly. This New DG technology is making it more fea- The third, and related, benefit is engineering siting flexibility makes it more feasible to sible and less expensive to produce power cost savings from reduced losses, improved capture other DG benefits, such as premium near the customer. Also, new technologies voltage stability and power factors, and reliability and distribution cost savings, for controlling, switching, and storing longer equipment life. which depend on the proper siting of DG energy are enabling the transition to DG by Fourth, by providing an independent power sources in relation to customer demand. improving efficiency and reliability. Falling source near the customer, DG can improve Thus, promising near-term applications are costs of fuel cells will make them increas- the reliability of electric service to customers in emission-limited areas where there are ingly competitive with conventional power where the reliability of power is critical. sources. In fact, careful study of the eco- Premium reliability can have a very high continued on page 22

p a ge 10 uoyed by a supportive White else? The exemption P ERS P E C TIVES House, growing climate concerns, law’s expiration in B temporarily high gas prices, and 2002 presents an California’s electricity mess, the nuclear awkward dilemma for industry is running an all-out public relations advocates of both campaign to resuscitate its product. It ignores nuclear power and one crucial fact: nuclear power already died free markets. of an incurable attack of market forces. As Citizen opponents are The Economist recently concluded, once also correct that scien- touted as “too cheap to meter,” nuclear now tists still haven’t looks “too costly to matter.” developed reliable Overwhelmed by huge construction and ways to isolate repair costs around the world, nuclear plants nuclear wastes and ended up achieving less than 10 percent of decommission plants, the capacity and one percent of the new which remain danger- orders (all from countries with centrally ously radioactive for planned energy systems) officially forecast a far longer than soci- quarter-century ago. The industry has suf- eties last or geological B y L. Hunter Lovins and A mory B. Lovins fered the greatest collapse of any enterprise foresight extends. in industrial history. And as we wrote in the summer 1980 energy than renewable sources. The market prefers other options. In the 1990s, global RMI’s primary objection to nuclear is its Foreign Affairs (“Nuclear Power and Nuclear nuclear capacity rose by one percent a year, failure to pass the market test. But it is trou- Bombs”), nuclear power’s gravest risk is that versus 17 percent for solar cells (24 percent bling that the power plants provide ingredients and inno- last year) and 24 percent for windpower. nuclear industry is Indeed, worldwide, windpower has lately still dismissing added about 5,000 megawatts a year, as legitimate public compared with the 3,100 new concerns about the GO N E FISSIO N ? megawatts nuclear power averaged annu- risks of a tech- ally in the 1990s. The decentralized gen- nology so unfor- erators California added in the 1990s giving that, as have more capacity than its two giant nuclear Nobel physicist Hannes Alfvén wrote, “No cent-seeming civilian cover for the develop- plants—whose debts triggered the restruc- acts of God can be permitted.” Each nuclear ment of nuclear bombs, as was the case in turing that created that state’s current utility plant, through accident or malice, could India and elsewhere. However, after decades’ mess. release enough radioactivity to threaten a proof that reprocessing nuclear fuel — which continent. The industry correctly claims that separates out vast amounts of pure bomb Enthusiasts claim new-style reactors might this is extremely unlikely, while many citi- materials — is also unprofitable, unnecessary, deliver a kilowatt-hour to your meter for five zens equally correctly point out that it has and a complication to nuclear waste manage- cents, vs. 10–15 cents for post-1980 nuclear happened, and that it can happen again. But ment, the White House has recently pro- plants worldwide. (Of that 10–15 cents, let’s take the industry at its word. If nuclear posed to revive it. nearly three cents pays for delivery, about power plants are so safe, then why would the But RMI’s approach has always been that if two cents for running the plant, and the rest industry build and run them only if the fed- nuclear power is uneconomic, we need not for its construction and for occasional major eral government passed a law (the Price- argue about whether it is safe. “If a thing is repairs.) But on the same accounting basis, Anderson Act) limiting liability in major not worth doing,” said economist John superefficient gas plants or windfarms cost accidents? Why should the nuclear industry Maynard Keynes, “it is not worth doing only 5–6 cents per kilowatt-hour, cogenera- enjoy a liability cap that reduces its incentive well.” Leaving aside bomb-spreading, wastes, tion of heat and power often 1–5 cents, and for safety, distorts choices with a vast subsidy, sabotage, and uninsurable accidents, nuclear efficient lights, motors, and other electricity- and is unavailable to any other industry? power is simply uncompetitive and unneces- saving devices under two cents, often under Shouldn’t nuclear operators self-insure and sary. After a trillion-dollar taxpayer invest- a penny. Cogeneration and efficiency are put their money where their mouths are, or ment, it delivers little more U.S. energy than continued on page 22 buy insurance at market prices like everyone wood. Globally, it produces severalfold less

p a ge 11 F a l l 2 0 0 1 STRATEGIC IN FLUE N C E Insur m ou n t a ble O p p ort u nities? B y L. Hunter Lovins and Walter Link he world has experienced signifi- economy. But their value is nowhere people. Today more people are chasing cant developments since its reflected on anyone’s balance sheets. Their after fewer jobs and natural resources. The T leaders last gathered for an Earth loss is dooming many species, but is limits to economic growth are coming to be Summit in Rio. There has been progress ignored in reports from Wall Street. set by scarcities of natural capital, not by towards the goals, and yet in many ways The cost of destroying ecosystem services the scarcity of human labor that character- the situation has become worse rather can be staggering. In China’s Yangtze basin ized the first industrial revolution. than better. More than ever, an urgent in 1998, for example, upstream deforesta- Business is the cause of most environ- need remains for both comprehen- mental challenges, but it is also the sion and action. STE P S A N D B ARRIERS T O only institution left on the planet large enough, well managed T H E BIGGEST I M PLE M E N TIN G enough, and resourceful enough to C H ALLE N GE: L O SS O F SUSTAIN A BLE D EVEL O P M E N T solve the problems facing us. E C O SYSTE M S ERVIC ES Increasing resource productivity, at Perhaps foremost, there is no longer tion triggered flooding that killed 3,700 the same time, has the potential to solve any serious scientific disagreement that people, dislocated 223 million, and inun- most of the environmental challenges that every known ecosystem on the planet is in dated 60 million acres of cropland. That the world’s nations must address. trouble. “There are considerable signs that $30 billion disaster forced a logging mora- Companies like Interface—which has made the capacity of ecosystems, the biological torium and a $12 billion crash program of a fundamental commitment to sustain- engines of the planet, to produce many of reforestation. ability and now makes 27 percent of its the goods and services we depend on is operating profits from eliminating waste— rapidly declining,” states a report prepared T H E N E X T IN D USTRIAL have demonstrated the success of these by the UN, the World Bank, and the World REVOLUTIO N concepts. There are other corporate Resources Institute. According to the At the same time, we stand on the leaders, too, and their exemplary roles are report, half the world’s wetlands have threshold of changes almost unimaginable encouraging. been lost in the past century, half of the to us, a historic shift between all that has FIVE AC HIEVE M E N TS world’s forests have been cut down, 70 happened since the first industrial revolu- SIN C E RIO percent of the world’s major marine fish- tion and the next industrial revolution. eries have been depleted, and all of the Why now? Perhaps because of the gravity 1. The Rise of Corporate Social world’s coral reefs are at risk. of the situation. Abba Eban once said, Responsibility There is a growing realization that the “People and nations behave wisely—once Increasingly, major corporations are real- environmental problem is not so much a they have exhausted all other alterna- izing that to retain credibility they must polluted river here or a release of a partic- tives.” But fundamental economic shifts make clear to their customers that they ular toxin there, but the worldwide loss of are also underway. The first industrial revo- have made a commitment to environ- ecosystem services, the natural capital that lution grew out of conditions in which the mental responsibility and that they intend enables the planet to sustain life. The scarcity of skilled labor was limiting mate- to live by this commitment. This is a signifi- processes that cycle nutrients and water, rial progress. All of our institutions today, cant enough trend that the Dow Jones regulate the atmosphere and climate, pro- from tax codes to mental models, derive Sustainability Group Index now tracks the vide pollination and biodiversity, rebuild from an attempt to penalize the use of performance of the top 10 percent of the topsoil and biological productivity, control people and encourage and even subsidize leading sustainability-driven companies in pests and diseases, and assimilate and the use of natural resources to increase the 2,000-company Global Index. detoxify society’s wastes are supplied by labor productivity. Businesspeople 2. The Rise of Civil Society such ecosystems as estuaries, coral reefs, responded to the incentives in front of forests, grasslands, oceans, etc. The free them and helped to create the present eco- At the same time that corporate efforts to and automatic services from these ecosys- nomic and environmental conditions. promote sustainability are increasing, civil society is gaining in strength and capability. tems provide tens of trillions of dollars of Now, when 10,000 more people arrive on North America and Europe have long had a worth each year—more than the global earth every hour, what is scarce is not p a ge 12 vibrant civil society, but the past decade The complex nature of the issues of sus- them from adopting meaningful solutions. has seen a dramatic increase around the tainability means that no one set of experts Climate will become less stable for at least world in the number of groups addressing has a monopoly on solutions, or the ability the next few decades, probably at an the challenges of sustainability. Also, con- to impose them. Coalitions of government, increasing rate. This will mean unprece- sumers are increasingly voting with their businesses and non-governmental organiza- dented floods, droughts, more frequent and dollars, favoring companies that they per- tions (NGOs) are arising to work together severe storms, major insurance losses, local ceive are socially and environmentally to design and implement solutions that are and regional famines, the spread of serious responsible. more sustainable and more appropriate to diseases to new areas, and more political 3. The Advent of Socially Responsible their circumstances. instability and refugees. Investing Climate change has resulted largely from FIVE C H ALLE N GES A N D using energy in ways that are economically Socially Responsible Investing (SRI) pre- S OLUTIO N S dates Rio, but since Rio, the SRI movement inefficient. It is a problem that we needn’t 1. Restructure the World’s Economies has matured to the extent that a 1999 have and that it’s cheaper not to have, from Devastating to Sustainable study by the Social Investment Forum esti- because saving fuel costs less than buying mated that well over two trillion dollars is The accomplishments listed above are it. As a result, the private sector is con- invested in the United States alone using sources of hope, but are only tentative tributing the most to reversing the some social criteria. A 1999 report on steps towards creating a sustainable world. problem. Private-sector leadership is driven responsible investing in the United States The hard truth is that even companies most as much by direct profitability as by climate reported that one out of every eight dollars dedicated to the ideals of sustainability are concerns. By 2010, the world’s sixth- under professional management was part of still polluting, and struggle to make a profit biggest chipmaker (STMicroelectronics) in an economic system that is predicated a socially responsible portfolio. aims to emit zero net carbon dioxide and on logic that makes the present system 4. The Creation of Standards and New equivalent gases, while DuPont intends to unsustainable. Forms of Measurement emit 65 percent less than it did in 1990— At the most fundamental level, the whole The gross domestic product, or GDP, the all in the name of increasing shareholder system within which decisions are made traditional measure of financial activity, is value. needs to be restructured so that the widely acknowledged to be useless for 3. Environmentally Caused Spread of inevitable logic of the system leads to sus- measuring whether society is better off. Disease, Human and Animal tainability, not away from it. The GDP operates like a business income Epidemics, and Other Health problems Overcoming these formidable challenges statement that adds expenses to income A combination of factors—from climate will require the following actions: instead of subtracting them. change and increased globalization to Several new indices are now used to a. Clear statements by world leaders recog- modern agricultural and industrial prac- measure the quantity of products and serv- nizing we are in a crisis; tices—has made it essentially inevitable ices consumed and assess progress toward b. A restructuring of regulations at all levels that there will be a continuing series of epi- sustainability. of government to help reorient the natural demics and affronts to health. For example, 5. NGO, Business, and Government flow of economies in such a way that sus- climate change is allowing diseases and par- Coalitions tainability becomes the outcome inherent asites long thought confined to the South, to the new system; such as the West Nile Virus, to migrate Editor's note: This article is a condensed c. A new approach to problems and solu- north. excerpt from Hunter Lovins's and Walter tions from a whole systems perspective; Synthetic substances and diseases that Link's recent paper “Insurmountable and degrade the fertility and immune compe- Opportunities.” The paper was written at the d. A serious commitment by governments tence of the population are of special con- invitation of the United Nations in prepara- to identify and overcome barriers and cern, as pathogens, co-evolving under the tion for 2002’s Rio+10 Global Summit on resistance to change. selective pressure of ubiquitous antibiotics, sustainable development in Johannesburg, increase their predation on dense human 2. Near Certainty of Climate Problems South Africa. Lovins and Link were part of a monocultures. 25-person expert group to contribute to the and Water Shortages Chemists and designers have plenty of agenda-building process. The full text is avail- There is now indisputable evidence of talent to invent these improvements if able at www.rmi.org/sitepages/pid178.php. global warming, but there seems to be a paralysis among some nations preventing continued on page 23

p a ge 13 F a l l 2 0 0 1 R M I C O N SULTIN G by Cameron M. Burns C h a n gin g t h e World—a n A p ple a D ay E n glish Cid er m a ker Ai ms for Lo f ty Id e al

other crops. Bulmers pro- appointment of a Marketing Manager for duces some 10,000 tonnes non-apple products. of apple tree prunings each The concept of converting apple tree clip- year, which are currently pings from a costly waste—collected, burned as waste. Gunter burned, and sent into the atmosphere as a Pauli, a Belgian entrepre- pollutant—into a revenue generator (other neur, Director of ZERI (Zero foodstuffs) that would likely outpace the Emissions Research and original product was just one of many real- Initiatives) and RMI network izations that Bulmers employees and man- member, explained to agers had during a four-day sustainability Duncan and his colleagues charrette convened by RMI. that these prunings can be RMI leads several major charrettes annu- used as an agricultural sub- ally, but the Bulmers charrette (titled strate, and could, depending “Building a Sustainable Herefordshire”) was on the crop, yield (out came one of the Institute’s most important jobs to the calculator and pencil— date. Most companies that host charrettes click-click, scratch-scratch) target specific aspects of the company: indi- … £10 to £20 million vidual buildings or products or equipment (wholesale) worth of other or process areas. For Bulmers, RMI was agricultural products. Le f t t o rig h t: R M I’s A m ory Lovins wit h looking at sustainability throughout the Pe t er S avid ge, D ire c t or o f H ol m e L a cy “That wholesale value is entire firm. It was a top-down rethinking of C olle ge; I a n Kir k h o p e, B ul m ers’s Gro u p actually larger than the value O p eratio ns D ire c t or; Es m o n d B ul m er, a the entire corporate culture—a watershed Fo u n d er a n d Tr ust e e o f t h e B ul m er of the apples we grew on the moment for Bulmers and for the commu- Fo u n d atio n a n d for m er C h a ir m a n o f trees in the first place,” nity of Hereford, England. This charrette B ul m ers. T h e River Wye, o n e o f B ul m ers’ Duncan said during the char- m a ny co m m u nity co n c er ns, is b e hin d. was also something of a watershed event P h o t o: C a m ero n M . B u r ns rette, which was held in a for RMI, as it was our first whole-systems- Hereford restaurant/confer- oriented charrette. uncan Green doesn’t have ence center on the banks of the River Wye. RMI’s role with Bulmers was one of sup- epiphanies every day. In his posi- Duncan liked these numbers. Everyone porting and steering an obviously deep- D tion overseeing much of the pro- liked these numbers. And nearly everyone seated company desire to become cessing operations for HP Bulmer Ltd. (aka at the event sank into deep thought about “sustainable.” Bulmers’ Charlie Bower, Bulmers), the top English hard cidermaker, agricultural products that didn’t look any- whom RMI’s Amory Lovins calls “the most he sees a lot of things that he might do dif- thing like your typical apple. In their effective corporate change agent I know ferently. But during a late-May sustain- visions fruits, vegetables, nuts and grains anywhere” had somehow gotten it into his ability charrette (an intense design and began growing under apple trees along head that Bulmers should become a corpo- strategic planning workshop) in which the Herefordshire’s backroads; tubers, legumes, rate name indelibly linked to the goals and entire firm re-examined its operations, he fibers and fungi were being sold in the qualities of sustainable business. had a major revelation. town market through a Hereford Farmers’ Duncan’s epiphany came after he learned Cooperative; and “Hereford’s Best” became More specifically, Charlie’s goal is to make about agricultural symbiosis. More specifi- a world-recognized agricultural brand. By Bulmers the leading sustainable producer of cally, Duncan, an apple man, learned that the end of the charrette, Bulmers’ beverage raw materials in Europe, and the certain crops grow well on the waste from Marketing Department even planned the catalyzing agent in Herefordshire’s emer-

p a ge 14 gence as a model sustainable, rural-based of which would become “the foundation year, millions of animals slaughtered to community. of the firm’s ultimate supremacy,” as L.P. stop Foot-and-Mouth disease. All these goals had been previewed at the Wilkinson wrote in Bulmers of Hereford. Charlie Bower isn’t the only one aware company’s last annual general meeting. As They were also socially conscious men, that the great heyday of Percy and Fred is the now-famous story goes, Bulmers’ CEO with a keen awareness of the community gone. Esmond Bulmer, Percy’s grandson, was waxing poetic how the firm aimed to and their place in it. Fred was instru- and Hugo Bulmer, Percy’s great-grandson, keep on earning big returns for share- mental in the creation of the National agree. They know Bulmers can and prob- holders, but surely there was more to it Association of ably should try to regain that high commu- than that. Why, he asked, are we in busi- English nity mantel on which their ancestors sat. ness? Whereupon a cheeky entertainer got Cidermakers They also know that such community nur- up and amplified the message: “Saying the and was heavily turing is just one facet of a responsible purpose of a business is to earn returns for involved in edu- 21st century corporation, and have been shareholders is like saying the purpose of cation, health- exploring ideas and strategies with Forum life is breathing.” He then breathed at the care, women’s for the Future (a U.K.-based nonprofit con- audience for a minute or two—and added, rights issues, sultancy similar to RMI), Breakthrough “A bit boring, isn’t it?” Whereupon the housing, and Technologies, and the Bulmer Foundation. CEO announced that as Bulmers strove to C h a rlie B ower law and order. Bulmers’ sustainability charrette, facilitated become a leader in sustainable business for He helped start by Rocky Mountain Institute, was fun and profit, everyone would be offered programs for affordable worker housing; designed to draw out ideas for sustain- expanding opportunities to make their he helped found several schools; he fought ability activities in eight areas of the com- lives, their communities, and the world to raise the minimum wage; he was even pany’s operations and to assess which better. The response at all levels has been known to visit sick employees while measures offered the most significant enthusiastic. strolling around town. advantages in social, environmental, and The company has established objectives of Innovative, daring, willing to experiment economic terms. a 75 percent reduction in the environ- and fail, willing to apply new techniques, mental impact of transport by 2002; zero and ultimately willing to offer help to RIDIN G T H E P LU M BIN G RA N GE waste emissions from Bulmers, Hereford those around them, from other cider man- In one of his previous incarnations, RMI’s by 2003; and a 75 percent reduction in ufacturers to employees and neighbors— Amory Lovins was probably a plumber, a energy consumption by 2005. In late May the company was different because Percy cowboy of pipes, pumps and valves. 2001, Bulmers, RMI and our project part- and Fred were different. Cidermaking Although today he might be an interna- ners rolled up our collective sleeves and might’ve have been their business, but tionally recognized energy expert and got down to work. that was just the economic engine that leader of an efficiency revolution, he’s still powered a raft of other activities. a plumber at heart. And when he rides S TARTIN G O UT RIG H T More than a century later, the world is a into town, poorly-designed and badly-sited HP Bulmer & Co. was founded in 1889 by very different place. Certainly the social ills pipes, pumps, valves and processing brothers Percy and Fred Bulmer, who were that were Fred’s great concerns still exist, machinery of all shapes and sizes had geniuses in their respective areas: Percy in but they are just one of many problems better look out. perry (from pears) and cider production humans on an overused planet are facing. Amory was at his plunger-slinging best at and factory organization, and Fred Worldwide, natural capital is now in Bulmers’ processing plant, during a tour (whether he liked it or not) in selling. decline and international solutions are crit- the day before the charrette. In its most Percy and Fred weren’t just good at ical. In rural Hereford, they include the basic essence, cidermaking really is about making cider and perry. They were experi- loss of agricultural land for family farming, the ebb and flow of liquids and semi-solids. menters. They tried various machines in increased presence of pesticides in natural After apples are grown, they are milled their plants. They examined every known ecosystems, a community that is increas- and pressed for juice. This used to be done and imaginable method for producing ingly moving away from family farming with flat, round millstones, but today is drinks. Percy sailed to the Continent regu- (largely because the rising generation has performed by large metal machines that larly to examine things as diverse as cham- little interest in agriculture), increasingly look remarkably like oversized washing pagne manufacturing techniques, bottling congested highways, a declining river techniques, and sugar beet processing—all ecosystem, and to add insult to injury this continued on page 26

p a ge 15 F a l l 2 0 0 1 AS K R O C K Y

by O F C HIC K E N S A N D KIN GS erate). Clearly, there is a difference Rick Heede Dear (All) Rockies, between changing weather and changing climate, but at some point there is a con- Natural capitalism and the “Soft Path” vergence. Mistrust of experts is often justi- approach to energy provide a realistic way fied, and you may trust whom you please. I of combining our natural desire to enjoy choose to trust the experts I have read, investments: lower SO2, less crop and fish- life with maintaining the resources on our spoken to, and worked with for years, all of eries damage, reduced mortality from par- habitat. This approach was sternly whom can tell me volumes about how the ticulates, greater economic efficiency, more endorsed in your article on Kyoto in the climate has changed and who are con- money kept in your own community, lower summer newsletter. vinced that great changes are afoot, even if interest rates, a cleaner city (Christchurch But there was a strong hint, also, that we start to reduce emissions immediately. could use cleaner air), corporate profits, Chicken Licken is alive and well when it The 2,000 or so scientists of the lower bills, a better chance to distribute the comes to the sky falling over climate International Panel of Climate Change and benefits of clean technology to the three change and greenhouse gases. Is the cli- the U.S. National Academy of Sciences also billion of us without access to power and mate changing? Is CO damaging? I doubt 2 agree (see reference to the recent NAS potable water, reduced need for nuclear both. I suspect that when Chicken Licken report below). There are so many con- power (as if there’s a need for it anyway), gets to the king, she will find he has no vincing metrics: increased frequency and etc. clothes! severity of storms (even if you ignore their The radiative changes we have added and Global warming hasn’t settled in Down rising economic damages), the global tem- will continue to add to the atmosphere Under yet. We are suffering a near record perature record, the ice-shelf response, the appear indisputable to me. I would be very cold winter—made worse by the effects of arctic polynyas and ice sheet thickness, the surprised indeed if stirring such a complex some lunatic changes on power genera- earlier springs, migrating cloud forests and pot would not yield, as Paul Hawken puts tion and sale as in California. Not so the disease vectors, the ecosystem and biolog- it, “global weirding.” A record cold winter New York summer—no doubt it is reminis- ical responses (migrations, feeding, and in New Zealand seems perfectly in line cent of the “good old days.” mating behaviors), the decreased transport with expecting change to be all over the Greetings from the land of the kiwi. of warm waters in the Gulf Stream, the map. It is, after all, the surprising surprises warming of the world’s oceans from the Ken Nichol for which we cannot prepare that will be surface to 3,000 meters, and so on. None the most interesting, not to say damaging. Christchurch, New Zealand of these changes, in isolation, prove that Thanks again, Ken. climate change is occurring. Yet in aggre- Cheers, Rick Dear Ken: gate, these and hundreds of other changes come increasingly close to proof. Not P.S. Let me know if you spot any nude Thanks for your response to our article and absolute proof, whatever that is, but proof kings. your support of our work. beyond a reasonable doubt. P.P.S. You can download NAS/NRC’s I cannot say with certainty, even to myself, But let’s assume that our concern is mis- “Climate Change Science: An Analysis of that the climate is changing. All I can rely placed: the climate is not changing. RMI Some Key Questions” (the report requested on is (a) anecdotal information about therefore focuses on the profitable, “no- by the White House in May 2001) at weather (most folks I ask believe the regrets” measures and hews close to the http://www.nap.edu/catalog/10139.html. weather is changing, based on where they Precautionary Principal. We can accomplish have lived for decades), (b) personal obser- much as citizens, communities, and compa- vation over 40+ years (I concur), and (c) nies that benefit the public weal and pri- the assessments of a bunch of smart folks vate interests whilst reducing greenhouse (the vast majority of whom have scientifi- gas emissions, regardless of whether cli- cally concluded that the climate is already mate change is real or chimeric. Multiple changing and this change is likely to accel- benefits can be reaped from the same p a ge 16 LIFE AT R M I Visitors Extra ordin aire B y Marty Pickett, Executive Director

ong before I became executive director, I often heard or President Clinton scheduled read of important visitors to RMI or world leaders who time at RMI when he L were interested in RMI’s work—legendary scholars, inno- recently visited Aspen, and vative scientists, famous writers and thinkers, and a cross section spent well over an hour of politicians the likes of whom the U.S. Capitol seldom sees. chatting with several Now, I know firsthand how fascinating RMI’s work is to many RMItes, learning more people, as demonstrated by the number and caliber of visitors to about our work. As a great our offices in Old Snowmass. supporter of the book First, it’s not just a coincidence that many important people are Natural Capitalism while in able to stop by RMI while visiting the Roaring Fork Valley. Amory office, he asked his staff to and Hunter intentionally set up shop in Old Snowmass almost 20 read the first galley proofs, years ago partly because it’s near Aspen. With the Aspen Institute, and continues to recom- the Aspen Center for Physics, the Given Institute, and dozens of mend it in his speeches. high-quality seminars, meetings and conferences each year, many Although these great meet- of the world’s great minds congregate there. ings of minds (and meetings Many come out to RMI, too, or learn more about us because of of great minds) are day-in, day-out activities for RMI, I’m not our presence in the Valley. Over a cup of coffee or during a tour of listing them here to impress you. Rather, I hope you’re encour- our energy-efficient facility, a casual conversation about a global aged by some of the “behind the scenes” discussions that RMI is issue might lead to a cutting-edge paper, lecture, book, or demon- regularly involved in about various global concerns. Unfortunately, stration project on a specific topic. While you might hear more the planet’s problems are so big and growing so quickly, that if and more about RMI’s research and consulting work, in this leaders—at all levels—don’t address these issues now, we face a newsletter and, various media including journals and corporate lit- bleak future. If RMI’s work and thinking helps motivate or facili- erature, our strategic influence is as great as ever. That’s because tate these discussions, we’re a step closer to satisfying our mis- we agree with the late Dana Meadows who said the most effective sion. I hope we can use our influence, at all levels, to help find intervention in a complex system is to change the mindset of the the absolute best solutions to some of earth’s great challenges. people who make the rules! Who might a typical RMI visitor be, you ask? I’ll try and describe a P.S. As RMI faces its greatest strategic influence challenge ever, few, since they are anything but typical. During a roughly two- after the events of 11 September, our management, staff, and week period in late July and early August, we hosted Peter Senge, Board of Directors are examining ways in which RMI can be author of The Fifth Discipline and a founder of the Society for involved in demonstration projects that can directly benefit those Organizational Learning, as well as Gunter Pauli, a Belgian entre- areas affected—from working to make refugee settlements more preneur, author, and founder of Zero Emissions Research and sustainable to being part of a team to design efficient, secure, and Initiatives. A group of editors from Fortune magazine hosted an sustainable structures to replace the devastation in lower event in Aspen with the “100 Smartest People We Know,” Manhattan. Meanwhile, we all suffer as you do from our desire to including our own Amory Lovins. Then Amory hosted a half- “do more.” Albert Schweitzer said it best: “Just as the wave dozen of those smart folks at RMI. Sir Mark Moody-Stuart, just- cannot exist for itself, but must always participate in the swell of retired Chairman of the Committee of Managing Directors of the the ocean, so we can never experience life by ourselves, but must Royal Dutch/Shell Group, came to talk to Amory and Hunter. always share the experience of life that takes place all around us.” Amory and Hunter also spent time with their friend Bill Joy, chief scientist at Sun Microsystems. Dan Durett, Director of Minority Programs for the National Council for Science and the Environment, came by to talk about how we can collaborate to get RMI’s messages into programs at minority colleges and univer- sities.

p a ge 17 F a l l 2 0 0 1 W H AT ARE YO U D OIN G? step, though, is to greatly increase the campus’s energy efficiency and replace carbon-intensive energy sources like coal with more climate-friendly sources. Editor’s note: Our first installment of “What creating a “checklist” that an RMI auditor can Are You Doing?” features our summer 2001 use during a facility walkthrough to ask tar- Peter Light geted questions and suggest cost-saving and interns, some of whom filled internship posi- (John and Mary Frantz tions made possible by contributions from environmentally superior solutions. This tool Internship) generous donors. If you are interested in can be continuously refined and tailored to So you’re planning to supporting one of these funds, or creating a different types of facilities—everything from get one of the first new one, please contact Development machinery manufacturers to breweries. Hypercars to hit the Director Dale Levy at 970-927-3851 or Eliza Eubank and showroom floor, or [email protected] Sarah Stokes maybe you’re just interested in the Jennifer Atlee (David Tice Memorial progress of fuel-cell- (Phillip Austin Semmer Internship) powered vehicles. Memorial Internship) Current agri- But how will you cultural Pe t er Lig h t Is your community drive more than 300 practices are wary of investing in miles from the dealership—how will you often in con- innovative projects refuel your Hypercar with hydrogen gas? flict with without proof of suc- That’s the question I’m currently researching maintaining cess? Several of us at at RMI. The halftime report: scores of ideas a healthy RMI are currently from many different industrial and academic ecosystem. working on a arenas have sprung up to meet this challenge, “Community Our main Eliz a E u b a n k & and will elegantly cross-pollinate with the goal as Opportunity Finder,” S a ra h S t o kes concurrent developments of stationary fuel Je n nif er A tle e interns with RMI this summer is to create a which will provide cells and distributed generation technologies. model where the two work together. We have communities with evidence that sustainable These are exciting times! development projects will work for them. developed an intensive grazing program with This new web tool is designed to mimic an a herd of 35 cows on the 957-acre Windstar Lauren Yarmuth expert consultant's preliminary analysis, Land Conservancy. Each paddock is grazed (Eric Konheim Memorial without the consultant's expense. Kate Parrot heavily for a short period (usually 2–3 days) Internship) and I are developing the prototype module then allowed a 45-day rest period. This As this year’s about energy, which will provide the user method of management mirrors the natural Konheim Fellow, I with hard numbers for the jobs created, and “herd effect” of elk, bison, deer, and antelope, have been involved the dollars and pollution saved, by imple- and provides the cattle with high-quality in compiling and menting the recommended programs. grazing while preserving and improving the editing case studies pastureland. Ryan Bennett for the upcoming Peter Gage GDS Second Edition (Neal McBurnett and Holly CD-ROM. The suc- Lewis Internship) I’ve been working on cess of the 1997 an inventory and L a u re n Ya r m u t h My work at RMI GDS publication analysis of Oberlin focuses on inte- Green Development: Integrating Ecology and College’s greenhouse grating natural capi- Real Estate, and accompanying “Green gas emissions. The talism into business. Developments” CD-ROM—as well as long-term goal is for More specifically, I’m increased interest and demand in the field of Oberlin to become working on a project green development—have warranted an up- climate neutral by that focuses natural to-date version. The new edition will feature Pe t er G a ge 2020. In other words, capitalism principles about 200 case studies, including updates this means that all the Rya n B e n n e t t on Chicago-area busi- from the first CD and many important new school’s emissions of any greenhouse gas will nesses. Chicago is developments. ideal because of a plethora of manufacturing be accounted for and offset by various and industrial facilities. My work includes methods of carbon sequestration. The first p a ge 18 R M I N E W S C h a r m in g B usin ess wit h t h e Prince biggest companies are network members. Every year, Co-op America presents the This fall, the Program will expand to the award to the person or group that the organization believes has done outstanding In August, Hunter Lovins, RMI co- United States. Executives interested in par- work in one of the “issue areas” covered in CEO (Strategy), met with a group of world ticipating can get more information at Co-op America Quarterly during the pre- business leaders at the annual reunion of www.cpi.cam.ac.uk/bep/. vious year. (Year 2000 issue areas included HRH Prince Charles’s “Business Leaders on Lovins was asked to join the discussion “The Good Life: Redefining Success in the Environment Program” at the Prince’s because she is both a leading world expert 21st Century,” “Changing the Climate,” estate, Highgrove, England. on sustainable business practices and whole and “Wood Wise.”) The award is given “to Along with such business leaders as just- systems thinking, and because she is recognize and congratulate people or retired Royal Dutch/Shell Chairman Mark American and was thus able to offer valu- organizations that are on the forefront of Moody-Stuart, Lovins spoke on “Climate able insight into the American approach to creating positive change toward a sustain- Futures and Business Opportunities.” sustainability. able future,” according to Nate Albee of The Business Leaders on Environment “It was great honor for RMI to be invited Co-op America. Program was created by Prince Charles to to share ideas with the Prince, Sir Mark “We are especially impressed by Rocky enable business leaders and “opinion-for- and the business leaders.” Lovins said. Mountain Institute’s work in defining the mers” to debate “the business case for sus- “These people are serious about finding problems related to climate change and pre- tainable development, in consultation with solutions and it is exciting to be able to senting viable solutions to those problems,” leading international figures in their fields.” contribute to such discussions.” Albee wrote in a letter to RMI. “The only The Program offers a weeklong seminar at hesitation occurred when someone sug- Cambridge University where business pro- R M I Wins 3rd gested that RMI receives so many awards fessionals are immersed in sustainability Awa rd (o f 2001) that this one might get lost in a heap with issues as they relate to business. Those who all the others! While we hope this is not attend then become part of an ongoing net- Recently, RMI picked up its third the case, we would like to take the oppor- work from which new recruits can draw prestigious award of 2001, the Building tunity to congratulate you officially. Keep inspiration, expertise and advice. Some 350 Economic Alternatives Award presented by up the great work!” representatives from 300 of the world’s Co-op America.

P resid e n t Clin t o n visit e d R M I in l at e A u g ust a n d sp e n t ti m e wit h m a ny st a f f m e m b ers. T h ey in clu d e d ( f ro m le f t t o rig h t): D a le Levy, M a rily n Wie n, S t eve S w a nso n, M a r ty Pic ke t t, To m Feiler, N a n cy Jo h nst o n, Bill Clin t o n, C h a r m a in e B o u d re a u x, A m ory Lovins, M issy M or g a n. P h o t o: N or m Cl ase n.

ppaaggee 1199 FF a a l l l l 2 2 0 0 0 0 1 1 R M I N E W S

N ew G D S C D - development (cost per square foot, pricing treatment plants), of building materials, HVAC systems, etc.) lower-cost local R O M O u t in so developers, contractors, and home- reuse, distributed E a rly 2002 owners can understand the financial impli- groundwater cations of green building. recharge, reduced RMI’s Green Development The project has been funded with the help pressure for growth Services’ new CD-ROM Green of the Department of Energy and the when sewers are Developments 2.0 is slated to be released Kettering Foundation. extended, and a in early 2002. The new CD, a follow-up to Rich a r d Pin k h a m host of other 1997’s highly successful book and com- advantages. The panion CD-ROM Green Developments, R M I C h a rts technologies are many and generally will include updates of some of the original t h e C ourse o f simple, though innovations are constantly case studies, plus over 120 new ones. Wast ewat er occurring and unit costs are likely to “It describes the principles of building Tre at m e n t decrease as volumes go up. (Sound green, but also gives a detailed look at the familiar? Think photovoltaics. Think fuel technologies used and how they apply to Braving airport closures and icy cells.) each other within a system,” said Ben roads from a spring blizzard, eight top And small-scale wastewater systems aren't Shepherd, a GDS research consultant, who experts in on-site and small-scale waste- just for rural areas anymore. RMI antici- is worked on the project. “We are also water systems gathered with RMI staff in pates that as the benefits become known including over 20 European case studies. Snowmass 2–3 May to outline the future and efficient management institutions con- Europeans are well known for their innova- of wastewater management. Led by tinue to develop, advanced small-scale tive uses of natural ventilation and day- Adjunct Research Scholar Richard Pinkham wastewater technologies will increasingly lighting, so it’s great to have some good and funded by the U.S. Environmental be integrated into urban and suburban examples included.” Protection Agency, RMI is documenting wastewater systems. Modeled on RMI’s The CD boasts thousands of high-quality the economic benefits of decentralized forthcoming book, Small Is Profitable: The images (interior, exterior, location, site, wastewater technologies. These include Hidden Economic Benefits of Making architectural context, etc.). reduced financial risk through incremental Electrical Resources the Right Size, the Importantly, the disk will include financial implementation (versus large, lumpy wastewater study will be available in mid- information about green building and green investments in centralized sewers and 2002.

R M I Se nior [ St a f f ] M o m e n t

It was 1984 or ’85, no one can remember exactly. RMI’s Amory and Hunter Lovins and Michael Kinsley were attending a meeting in the cramped offices of the Colorado Public Utilities Commission. A pile of documents was handed out to attendees. As Hunter recalls it, Michael looked up from a document he was reading and said to the host that one document appeared to include a typo: it was supposed to say “megawatts,” but in fact read “negawatts.” In any event, from then on Amory spread “negawatt” all over the industry and it soon became standard parlance for “saved watt.” Trying to nail down a specific date, Amory recently noticed that he used the term in the title of a November 1985 speech to the National Association of Regulatory Utility Commissioners, which was reprinted in Public Power in March 1986. Thus, he specu- lates, “negawatts” came into being during or before 1985. “Where I saw an amusing typo,” Kinsley recalled, “Amory saw an entirely new term. And now it’s a common term in energy cir- cles the world over.”

p a ge 20 R M I N E W S R M I’s M ain

B uildin g C ool Biomimicry, seeking sustainable solutions tion and education projects that support by mimicking nature’s designs and sustainable use of cultural and biological In mid-July, RMI got a strange phone processes, is the second principle of natural resources. call from our local electric coop, Holy capitalism. Cross. It seems utility officials wanted to Rosborough’s current board memberships make sure things were okay at RMI’s effi- Other books by Benyus include Beastly include EarthCare Company, Inc. and cient headquarters. That’s because, as of Behaviors, a guide to animal behavior, and Uniform Digital Mapping and the boards of Monday, 16 July 2001, there had been a three field guides to wildlife habitats. trustees of Mount Holyoke College and zero net use of electricity in the building “Janine knows RMI’s work really well,” Princeton University. for the first two months of summer. RMI said RMI Executive Director Marty Pickett. “Brian also brings substantive knowledge of co-founders Amory and Hunter Lovins “One of RMI’s intentions was to place RMI’s work,” Pickett said. “With his long were, of course, delighted. “Our solar someone with expertise in biology on the career as founder and president of capacity normally meets about half the board, and Janine fills that spot.” Earthwatch, he brings a lot of experience in annual needs of my household and a 12- David Orr, of Oberlin, Ohio, is Professor of nonprofit governance.” person office,” said Amory, “but as the Environmental Studies and Politics at office equipment becomes more efficient, Oberlin College and Chairman of Oberlin’s M ovin g O n we can reach 100 percent solar in sunny Environmental Studies Program. Orr holds Longtime RMItes Jennifer Cairns, summer months. That’s less coal burned— a PhD in International Relations from the Mark Scott, and Jo A nn Glassier and more money to do RMI’s work.” University of Pennsylvania. have decided to move on. Mark is headed He is currently a trustee of the Educational to China, where he will be teaching R M I B o a rd Ge ts Foundation of America, the Compton Elizabethan prose and Modern American N ew M e m b ers Foundation and the JED Fund, and is a past Poetry at Shanghai University. JoAnn is trustee of other such organizations. He is a going into a semi-retirement so she can RMI welcomes three new mem- member of the Editorial Advisory Board of spend more time with her grandchildren. bers to our board of directors. All three the Orion Nature Quarterly and the Likewise, longtime RMIte Jennifer Cairns candidates recommended by the nomi- Bulletin of Science, Technology, and recently moved on to retirement in nating committee this year were elected Society. Hotchkiss. Good luck all! unanimously by the board. Brian Books Orr has written include Earth in Rosborough joined the board in March and Mind: Essays on Environment, Education Janine Benyus and David Orr in September. and the Human Prospect (1994) and D e a r R M I Re a d ers a n d RMI’s bylaws allow for a board of up to 17 Su p p ort ers, Ecological Literacy and the Transition to a members, and these new additions bring As you’ve probably read, we are now asking Postmodern World (1992). He has pub- the current number to 14. for a $20 donation in return for an annual lished dozens of papers and been invited to subscription to our newsletter (three Janine Benyus, of Stevensville, Mont., is present guest lectures at scores of colleges, issues). You can read the newsletter online author of six books on life sciences sub- universities, and other institutions in North anytime at www.rmi.org without a subscrip- jects. America and Europe. tion. However, if you enjoy it, we hope A graduate of Rutgers University, Benyus “David Orr is one of the leading environ- you’ll contribute anyway. holds degrees in forestry and writing. In mental educators in the country,” Pickett Also, we apologize if you received your addition to her writing, she teaches inter- said. “He brings extensive nonprofit experi- copy of RMI Solutions at the wrong address, pretive writing, lectures at the University of ence to the board, too.” or if you requested an email notification and Montana, and works towards restoring and Brian Rosborough is founder, current instead received a hard copy in the mail. protecting wildlands. Please, if you would like changes made in chairman and past president of Earthwatch your mailing address or in how you receive Her 1997 book, Biomimicry: Innovation Institute. He established two international RMI information, contact Jessica Hood at Inspired by Nature, influenced the creation nonprofits, Earthwatch Institute and the 970-927-3851, or email her at of natural capitalism by Hunter Lovins, Earthwatch Institute Center for Field [email protected]. Amory Lovins and Paul Hawken. Research, to underwrite science, conserva-

p a ge 21 F a l l 2 0 0 1 G O N E FIS SIO N ▼ F U EL C ELLS ▼

continued from page 11 continued from page 10 especially cheap because they occur at the California justify more nuclear plants any- premium reliability needs, costly distribu- site where the energy is consumed and thus where. California did not have soaring elec- tion constraints, or both. require no delivery. tricity demand during the 1990s, did not Fuel cells can be cost-effective in these All these non-nuclear options continue to get stop building power plants, and is probably applications even at their present costs, if cheaper, as do fuel cells and solar cells— not even short of generating capacity. The the DG benefits can be captured. Thus, where a pound of silicon can produce more system that had rolling blackouts at a 29- the near-term commercialization path for electricity than a pound of nuclear fuel. gigawatt load last winter is the same one fuel cells appears to be grid-connected Already, Sacramento’s municipal utility, that comfortably delivered 53 gigawatts two fuel cell systems in commercial buildings, which has successfully replaced power from summers ago. Half its power plants didn’t communication providers’ hubs, and its ailing nuclear plant (shut down by voters) suddenly evaporate. Rather, there was ade- other facilities that need high reliability with a portfolio emphasizing efficiency and quate generating capacity—if power plants renewables, has brought the heretofore ran as reliably as they did before utilities sold and low emissions (especially if they can costliest option, solar cells, down to costs them. But since utility maintenance con- use the fuel cell’s waste heat). The most competitive with a new nuclear plant. tracts expired last fall, many of the sold cost-effective applications will be in loca- plants have been calling in sick—often, tions with distribution constraints. The PR spinners trumpet that nuclear power some evidence suggests, because their new costs less than power from gas plants. A longer-term commercialization path for owners earned far more profit by selling less Perhaps, if you look only at the running cost fuel cell technology will integrate these electricity at a higher price rather than more of an average nuclear plant that is already stationary applications with the generating at a lower price. built, compared with the running cost of an potential for fuel cells in cars, trucks, and old, inefficient gas-fired plant. But this does If California did have a serious supply- buses. Vehicles parked at these facilities not include delivery of nuclear electricity to demand imbalance, it should be resolved in during the day could be plugged into the customers, nor the prohibitive construction the cheapest, fastest, surest, and safest ways. building, generating large amounts of costs of a new nuclear plant. Notice, too, the Buying more nuclear plants violates all these electricity during peak demand hours. ads don’t compare new nuclear plants with criteria. It would buy less solution per dollar, This would take fuller advantage of the the new, doubled-efficiency gas plants that making the problem worse. That’s also true vehicles’ fuel cells, which would other- are now beating the pants off nuclear and of nuclear solutions to climate change. wise stand idle in the parking lot. coal worldwide. Under realistic cost compar- Anyone who doubts the effectiveness of Ultimately, such plug-in-power-plants-on- isons, nuclear power plummets to its actual demand-side solutions need only look to wheels could have 5–10 times as much status as the worst buy available. California, where in the first half of this year, generating capacity as all the power com- with limited formal programs, Californians Lost in the debate over what kind of new panies now own. plant to build is the best option of all: more have decreased their peak demand for elec- efficient use of the electricity we already tricity by more than 12 percent, reversing have. The U.S. has been reducing electric the past 5–10 years’ demand growth. Editor’s note: Dr. Joel Swisher, PE, an use per dollar of gross domestic product by After a half-century of nuclear power, the internationally-recognized energy expert, 1.6 percent a year. In California between verdict of the marketplace is in. Nuclear recently joined RMI’s Research and 1997 and 2000, it fell by 4.4 percent a year. power has flunked the market test. Nuclear Consulting team. His recent work on fuel California has held its per-capita electricity salesmen scour the world for a single order, cells was supported by the W. Alton use essentially flat since the mid-1970s. Far while makers of alternatives enjoy brisk busi- Jones Foundation. This report will soon greater savings remain untapped—enough ness. Let’s profit from their experience. be available on our website, nationally to save four times nuclear power’s Taking markets seriously, not propping up www.rmi.org. output, at 1/6th its operating cost. An esti- failed technologies at public expense, offers a mated three-fourths of U.S. electricity could stable climate, a prosperous economy, and a now be saved through efficiency techniques cleaner and more peaceful world. that cost less than generating that power (For more information, please visit even in existing plants. www.nci.org/conf/lovins/001.gif) Nor, finally, do shortages of electricity in

p a ge 22 I N S UR M O U N TA B L E O P P O R T U N ITIE S ▼

continued from page 13 asked to do so; they simply haven’t been ital per capita”—natural capital must 4. Change Education and asked because, in violation of the increase with population. At present, this is Communication. Precautionary Principle,* new synthetic not happening. Education must address all aspects of being chemicals have generally been assumed It is important, however, to remember that human rather than only providing job safe until proven dangerous rather than population is only one term in the generally training. Such education would enable potentially dangerous until proven safe. ignored Holdren and Ehrlich formula. That people to learn how to value and respect Wise governments will therefore err visibly dictum tells us that the impact of a growing each other and the environment that sus- on the side of caution, and encourage inno- population can be offset by a reduction in tains them and life, now and in the future. vation in developing and deploying non- the amount of resources that this popula- It would allow children to grow into prac- toxic substitutes. tion demands, and by better technology tical stewards of creation rather than The industrialization of agriculture will that allows more people to enjoy a higher exploiters who try to fill their empty hearts yield ever worse problems of pathogens, standard of living using fewer resources. with more and more consumption. Dana contamination, pests, ecosystem break- Meadows called this “Seeking to meet non- down, and declining fertility. Ultimately, material needs with material acquisitions,” the habits and institutions that encourage FIVE S TE P S T O and points out that it is at the heart of the and condone such outcomes will be SUSTAIN A BILITY consumption-driven lifestyles that now pre- rejected. Europe’s rapid market swing 1. Implement Natural Capitalism. dominate in much of the world. towards organic agriculture reflects a The concepts of natural capitalism should 5. Adopt the Precautionary Principle.* growing suspicion that industrially pro- be integrated throughout the UN system, This is simply sane policy for any species duced food may be unsafe in ways that are the various multilateral organizations, and desiring a lengthy tenure on the planet. not officially acknowledged and may not the world’s governments, as stewards for Already embodied in the Montréal yet be known to science. all life on earth. Failing that, these institu- Protocol, it should be national policy 4. Genetic Technology tions will lose first their credibility and then around the world, and the basis of all sus- As we noted in the previous issue of RMI their legitimacy. tainability statements. Solutions (Vol. XVII, #1), humankind’s 2. Reinvent Governance. newfound ability to map and manipulate C O N CLUSIO N Develop a system of governance that the genome has brought us a new era of Implementing the measures that have been acknowledges and builds on what is great promise and challenge. Like nuclear outlined above would herald in a huge working now: coalitions of non-govern- technology, the manipulation of the new industrial revolution. It would revolu- mental organizations (NGOs), companies, genome has the potential to alter life as we tionize our systems and our thinking. It and governments. Strengthen the role of know it, and is shifting the pace of evolu- would also provide a boost to industries the many NGOs now active on the world tion. and societies around the world, offering an stage. 5. Population enormous opportunity to deliver the prod- 3. Support Micro-lending. ucts and services needed to achieve sus- Ever-increasing population means that to Far too little of the world’s enormous flow tainability. Providing these would not only achieve sustainability—roughly defined of capital reaches those who most need it. solve the sustainability crisis, but would from a human perspective as “natural cap- The various systems of charity and develop- also solve the unemployment plaguing *The Precautionary Principle as defined in ment aid, while noble, have not addressed most countries. It would demonstrate once the 1998 Wingspread Statement on the the structure of poverty, and in many cases again that the supposed dichotomy Precautionary Principle, has the following worsen it, creating a culture of depend- between environmental protection and components: 1) action to prevent harm ence. Banks and financial organizations employment resides in an unsustainable when science is uncertain; 2) shifting the that have created micro-credit programs system, and can be resolved by turning towards sustainability. burden of proof toward proponents; 3) have demonstrated how the innovative force of entrepreneurship can be used to assessing alternatives; 4) transparency and create genuine economic development at a democratic participation in decision- fraction of the cost. making.

p a ge 23 F a l l 2 0 0 1 O T H E R VOIC E S: ▼

continued from page 5 that while elegant solutions are often enced people working to intelligently assist had spent many days flying low over the simple, they cannot be piecemeal. They three groups: city, soldiers sitting in the open doors of the should instead be complex, resilient, and 1. Agencies involved in both sustainable helo, with feet hanging out. There was no integrated. The key, as described by Amory development and emergency response, par- intent to offend—we just didn’t know. Lovins and Gunter Pauli, is a “whole-sys- ticularly within global disaster relief; Global relief organizations have now tems” approach to development, including 2. The National Science Foundation, with acquired enough experience with refugee something as austere and forbidding as a special attention to their submission for the camps to discuss problems like cultural refugee settlement. ZERI’s concept of “con- UN Earth Summit 2002 in Johannesburg intelligence in detail. Those of us not centric rings of utility,” each using the next September, and directly involved in relief work, yet with a waste products of a previous industry until set of tools that might be useful to those 3. Contributors to a subsequent seminar to there is no final waste at all, may be exactly agencies, need to learn how to integrate be held in February 2002 on the specific the solution required when resources are our assistance to them effectively. We can subject of sustainable settlement for dis- scarce, the population is fragile, and the ini- see, for example, methods by which ZERI placed populations. tial environment is unforgiving. and natural capitalism might form educa- Now, more acutely than we had wanted, We set as ground truth a few items about tional crucibles, introducing knowledge we find an opportunity to look carefully which we were fairly confident. Based on about sustainable self-sufficiency to those and well at the plight of a newly-displaced both ZERI’s analysis and our own experi- who need to start over. As the crisis eases population. The Afghan refugee camps now ences, dislocated populations in both nat- and repatriation becomes possible, we needed on the Pakistani, Iranian, Tajik, and ural and man-made disasters first need would be able to help them return to their Turkmen borders are an ideal opportunity water, food, security, shelter, and health- original homeland smarter than they left. care. If we are successful in providing those to establish sustainable settlements, pro- Should we succeed in developing such an bare essentials, we will be able to progress viding tools and techniques that encourage international model, host nations may be to the provisioning of energy, education, the willing return of a refugee population. less reluctant to offer refuge, and the pain jobs, and access to capital. This sequence is In addition, if we can design a sustainable suffered by all participants could be neither inviolate nor independent. and reproducible way to meet the human reduced. It would also ease the ongoing Everything required depends a little on needs of both the new arrivals and the burden and expense on those countries and everything else. prior occupants in the austere conditions of agencies taking responsibility for the dis- an ad-hoc refugee camp, the way that’s Once that perspective was clear, the partici- placed. done should also help billions of other pants agreed on a second issue: before we As the participants in the August seminar people trying to create sustainable settle- can supply provisions effectively, some cul- broke from the plenary session into the ments where they already live. The discus- tural groundwork needs to be laid. One working groups, I was asked what perspec- sion of how that might occur is already term we used was “cultural intelligence,” tive I wanted them to take during their dis- underway. and we used an example. cussions. I quoted from Amulya KN Reddy, In late August RMI hosted a very timely In October 1993, ninety-nine soldiers of a colleague from the Indian Institute of seminar. The topic was the use of informa- Task Force Ranger were pinned down in a Science in Bangalore. When approaching tion technology for sustainable develop- firefight in Mogadishu, Somalia. Eighteen community problems he said, “Take care of ment. We wanted to look at how Americans eventually died. In the later the poorest. The rest will then take care of information collection and flow might lead interviews it was found that among the itself.” That advice was not intended as to a greater understanding of the dynamics innumerable reasons that the crowds in saintly sentiment. It was, rather, my recog- of dislocation and resettlement, and how Mogadishu responded with glee to the nition that optimal efficiencies can be best that might give opportunities for shaping a sight of Americans in trouble was report- found among those who have the least, and proactive response as any crisis unfolds. We edly that we had been insulting them daily. so we should consider whole-system solu- wanted to see if it was possible to thrive in In Somali culture it is apparently consid- tions from the bottom up. dislocation. ered very offensive to show the soles of That view was apparently successful, The participants were bright and experi- your feet to anyone. We, the U.S. military,

p a ge 24 O T H E R VOIC E S: ▼

because the ideas that streamed back from explicitly designed to address problems the environment that surrounds them, the working groups were intelligent, cre- inherent in the very type of crisis decreasing their helplessness, frustration, ative, compassionate, and achievable. unfolding now. The resources that will be and rage. As was pointed out to me by a Although the topic was supposed to be expended by relief agencies to establish senior Navy officer recently, “It doesn’t “informational technology in sustainable the new camps will vanish, with more loss matter whether you’ve killed the mosqui- settlement,” a very broad topic, the groups to follow, if there is no effort to design a toes if you haven’t drained the swamp,” chose to focus on displaced populations “whole-system” community within the and this does appear to be an opportunity and on using information to achieve sus- morass. Stopgap measures don’t incorpo- to shift the world perspective held by tainable, ZERI-based transitional camps rate a future, though they may save those those refugees recently under the influ- along natural capitalism principles. closest to the brink. Knowing what is at ence of a violent and cruel pseudo-theoc- So we will have a report on “information stake, we should be working closely with racy. technology in sustainable settlement” from current experts in disaster relief to incor- Current events have been disheartening. this symposium. We will distribute it porate sustainable design concepts from But we can harness that sorrow and frus- appropriately and someone may notice and the very beginning. tration to stimulate a diverse assortment of choose to implement something we’ve We should act now—within weeks. The intellects. Pushed by the images of bru- mentioned. If we have been careful, the sooner we can intelligently contribute to tality, waste and loss, we can turn our implementation will be useful and we may an integrated relief response, the better we energy toward the development of a more establish a groundswell of sustainable will lay foundations for success. From just and equitable and sustainable society development that will echo the early there, as Janine Benyus describes, the suc- in a corner of the world that badly needs achievements of the Rishi Valley and cessive stages of rebirth can begin. that opportunity. Martin Luther King said, Gaviotas, spanning boundaries that may To my knowledge, no attempt has been “If you want peace, work for justice,” and then begin to diminish resource-based con- made to implement this degree of sustain- there are few more stark examples of flict. able development within refugee camps unjust inequality than the need for a But once the report is released, it is out of forming in a crisis setting. refugee camp. Let us use our intelligence, our energy, our sense of fairness, and our our hands. Surely there is a more effective The relief agencies have done extremely newly-forming coalition to achieve a more response to the twin tragedies of violent well in relieving urgent needs in the face worthy goal than simply using our military deaths in the United States and slower of dwindling donor support, but their time capability for retribution. I think a refugee deaths in Afghanistan than the release of and resources are limited. We can, I think, camp designed and built as a sustainable another report and the hope that someone bring to those agencies and the donor gov- system from the ground up might be a listens and acts? ernments some hope for a system that will decent start, and the ripples would be ben- Let me suggest that we listen ourselves to become self-sustaining, providing the tools eficial across a large pool of the dispos- the ideas we shared, synthesize them, for creative growth needed by any commu- sessed throughout the world. If we are then carry that intelligent, thoughtful, pro- nity. We can help them with water provi- smart, and just a little compassionate, we ductive, and energetic insight into the next sioning and purification, novel and will take this rare opportunity to quietly seminar, the next “charrette,” earlier than nutritious food crops, power production, start another Renaissance. we had planned. We had intended to hold cooking fuel, disease surveillance and a charrette on the topic of Sustainable response, effective sanitation from biolog- Settlement in February 2002. I think that ical systems, educational models that work is too distant, and that the ideas and in remote environments, employment implementation paths are needed now, within the camps, food production, the even as the bitter Central Asian winter development of non-violent communica- begins to descend on the airstrips and tion skills, and longer-term job opportuni- roads available for the relief effort. ties. And much of the effort can be The sustainable settlement meeting was designed using the people in the camp and

p a ge 25 F a l l 2 0 0 1 A N A P P L E A D AY ▼ continued from page 15 functions, separate them into groups, and machines. Then there’s fermentation, matu- have group members talk about sustain- ration, filtration, blending, pasteurization, ability activities, you might think you’d end and carbonation. Finally, the drink is pack- up with eight completely different conver- aged and shipped. More than anything else, sations—not so at Bulmers. Even Bulmers Bulmers’ processing plant exists to push charrette groups as divergent as fluids around through pipes. Transportation and Packaging and In FY2000, Bulmers spent an estimated Marketing came up with remarkably sim- £1.6 million on energy—a seemingly large ilar ideas and parameters for immersing number, yet no surprise considering motors Bulmers in sustainability. This synergy use three-fifths of the world’s electricity, between the groups is precisely the type of and that most motors are used for whole-system or integrated thinking that pumping. A large motor (tens of kilowatts) RMI fosters. uses its capital cost in energy every few Ideas included the creation of a model sus- weeks. Replacing old pumps and pipes with B ul m ers’ D u n c a n Gre e n sh ows tainable Herefordshire farm, creative part- more efficient models produces savings that Jo h n To d d a n d R M I’s A m ory nerships with competitors, encouraging go directly to a company’s bottom line, are Lovins a ro u n d t h e p roc essin g entrepreneurship within the community, immediate, and have triple-bottom-line ben- pl a n t. P h o t o: C a m ero n M . B u r ns. sustainable packaging (yes, biodegradable efits. Surrounded by hundreds of pipes con- are of far greater value than the energy sav- drink containers), preserving agricultural nected with thousands of 90-degree ings, yet are rarely calculated. (“I’m begin- Herefordshire through a yet-to-be-devel- elbows, Amory could see potential savings ning to learn it’s really all about plumbing,” oped “community investment instrument,” in every direction. One pipe in the fermen- noted Duncan, as he led Amory and Eng top-down sustainability training led by tation plant really caught Amory’s eye. It Lock around the factory.) managers, and a totally new product—a snaked across a large section of the factory naturally fermenting cider packaged in nat- with 16 right-angle elbows that were vis- D O W N T O B USIN ESS ural, sustainable packaging. The ideas came ible—and even a few more Amory couldn’t Amory and Eng Lock brought their keen fast and furious, and ranged from economic see. “That pipe had 11 elbows that could observations—as did another roughly 100 “plumbing” (stopping leaks and retaining be eliminated just by rotating the tank charrette participants—to the table when value) to entirely new business concepts. about 60 degrees around its vertical axis everyone sat down to talk about how to before hooking it up,” Amory noted. Most The most noticeable thing about the char- make Bulmers more competitive while of the time, pipefitters are told to dress rette was that sustainability became an becoming a sustainability leader. While pipes in neat right angles and get paid more over-arching theme for the entire corpora- manufacturing processes would seem the for installing more elbows—not exactly the tion. Company officials announced a man- obvious target for the bulk of the discus- best way to design for efficiency. agement policy that would incorporate sions, Charlie Bower’s vision for Bulmers sustainability. But going deeper, Bulmers’ Amory’s friend Eng Lock Lee, on of RMI’s goes far beyond pipes and pumps—and the management is set on finding the time and favorite efficiency engineers, came over organization of the charrette reflected this. financial resources to allow sustainability from Singapore to ride shotgun. He pointed Eight working groups brainstorming inno- activities to happen. out that when manufacturing processes are vation in the areas of sustainable agricul- “This was a truly remarkable event,” noted optimized, generally many other things are ture, community, management strategy, Huston Eubank, RMI’s project manager for optimized as well. For example, using marketing, packaging and transportation, the Bulmers charrette. “It was what I imag- large, straight pipes, optimally laid out to stakeholders, and manufacturing processes ined it might be like to have been in Ray C. connect equipment, leads to smaller (and came up with dozens of ideas and specific Anderson’s office at Interface when he cheaper) pumps and motors. But it also actions. Pipes and pumps were but two began implementing his “midcourse correc- uses less overall space, saves noise, yields small actors in a cast of thousands. greater productivity, and requires less main- tion” (see his book Mid-Course Correction If you were to divide a company into eight tenance. Often these non-energy benefits by Ray C. Anderson, p a ge 26 B OAR D S P O TLIG H T A N A P P L E A D AY ▼ M ike C urz a n www.chelseagreen.com/Midcourse/index. RMI Board Member html). Often the most difficult thing is to ith a distinguished career in design something simple. Bulmers is well finance and affordable real on its way with the ideas developed and W estate development, Myron shared at this charrette.” (Mike) P. Curzan, Esq. fits comfortably into M E A N W HILE, B AC K AT T H E the RMI Board of Directors, where he FAR M chairs the Finance Committee. The beauty of unlocking creativity in an “I joined the RMI board because I wanted event such as the Bulmers charrette shows to be connected with a cutting-edge organ- that innovation doesn’t stop once you learn ization,” Curzan said. “I’ve been pro- about growing other products on supposed moting use of the green development wastes. Impressed with the potential of concepts pioneered by Amory and RMI to symbiosis, Bulmers’ folks are no longer sure my real estate clients.” whether Bulmers of the 21st Century will Most of Curzan’s career has focused on be a cidermaker, a vegetable grower, a com- developing affordable housing for universi- munity vehicle for a local agricultural- ties, governmental organizations, and non- growers’ cooperative—or all of the above profit corporations. plus several others. He was a senior partner specializing in real As far as current RMI-related projects go, Pushing their creativity a step further— estate in the 1970s and ’80s for the Curzan said he finds the HypercarSM which is probably what all Bulmers Washington law firm of Arnold & Porter. In vehicle research the most exciting, as well employees will be doing in the future— 1990, Curzan took a two-year leave to as systems for distributed generation. does Bulmers begin offering an agricultural become Vice Chairman of the Board of waste-removal service, and go around col- Connecticut Mutual Life Insurance “Efficient fuel cells have the potential not lecting and disposing of farmers’ wastes? A Company for investments. In 1996, he just for powering vehicles, but for heating small fee for removing wastes might offset formed his own real estate development and air-conditioning buildings as well,” he the cost of starting the new business ven- company UniDev, LLC, which specializes said. “There are tremendous spin-off possi- ture. And finally, maybe Bulmers won’t in university housing. bilities.” grow symbiotic products at all, but instead The latest UniDev project involves creating As a member of the RMI investment com- provide support for local farmers to aug- mittee, Curzan said he would like to maxi- ment their current operations and incomes 900 units of faculty housing at the mize the Institute’s endowment. “Amory by starting their own symbiotic products- California State University campus in and Hunter [Lovins] never have a shortage growing operations. Ventura County. The residences are designed to be affordable to faculty and of interesting projects to pursue. I’d like to Duncan Green isn’t quite certain, but one staff making as little as $30,000 a year. see more funds for those activities.” thing he now clearly understands is that —Bernie Grauer creativity, discussion, and motivation can “We’re using an RMI-recommended ‘green open up ways of seeing that most people consultant’ for the development,” Curzan would not, could not ever understand—not said. only for a company, but for the company’s friends, neighbors, employees and business partners ... and even the competition.

p a ge 27 F a l l 2 0 0 1 D O N O R S P O TLIG H T M ILITA RY E N E RGY ▼

continued from page 8

‘C oo kies & Cre a m ’ when global companies can deliver a To help an organization like RMI do its visit RMI and Windstar in October for the spare part pretty much anywhere on groundbreaking work worldwide takes all first time. earth in 24 hours. The result: a com- types of people, of all sizes and shapes, Jerry Greenfield is the Jerry in “Ben & mendable effort to redesign a creaky old beliefs, and levels of public prominence. Jerry’s” ice cream, which he co-founded in logistics system from scratch. One thing they all share, however, is devo- 1978 with childhood friend Ben Cohen. These innovations will all save prodi- tion to the Institute. Jerry has been giving to RMI since 1994, gious amounts of energy, pollution, and Grace (“Gracie”) either through the Ben & Jerry Foundation money. From data in the DSB report, I Bailey and Jerry or personally. He got started in his support estimate that comprehensive military Greenfield are two of the institute after running into RMI co- fuel efficiency could probably save such donors. founder Amory Lovins at a Social Venture upwards of ten billion dollars a year, because the few billion dollars of direct Gracie lives in conference in Gold Lake, Colorado. “I annual fuel savings can trigger far larger Franklin, Ohio, heard him talk avoided fuel delivery costs. Fuel effi- with husband about energy and efficiency and com- ciency could displace—or redeploy from Gra cie B a iley Bryan and sons pact fluorescent tail to tooth—at least a division’s worth Zachary and Aaron. of fuel-delivery personnel and their lightbulbs and he Gracie became aware of the Windstar equipment and support pyramids. Foundation in the mid-1990s after reading was going around As for whether such innovations also John Denver’s autobiography Take Me giving these back make the world more secure, that Home. Gracie joined the Windstar massages,” Jerry depends on how well citizens exercise Foundation, and eventually ended up Jerry Gre e n fi eld recently recalled. their responsibility to use military power going to Africa to work on a village water “He gave me a back massage that was incredible. It was wisely—and to create the sort of world system with a Windstar group. in which its use or threatened use just unbelievable.” (Amory calls it “alterna- Gracie began donating to the Windstar becomes less necessary. tive energy.”) Foundation, and later began giving to the If we get that right, we can all be safe Jerry believes the practical aspects of Windstar Land Conservancy—$10 every and feel safe in ways that work better energy and resource efficiency are so com- pay period (twice a month). All of Gracie’s and cost less than present arrange- pelling that every business should be exam- gifts are given in memory of John Denver, ments, and fewer of the men and ining ways to become more efficient. which is how she found out about RMI. women in the Armed Forces need go in In October 1998, Gracie sent RMI a cross- Although Jerry knows that the company he harm’s way. stitched poem “Do not stand at my co-founded is in step with most of the prin- grave...” and she’s been donating, and ciples RMI preaches, he became a sup- sending letters telling us about Franklin porter regardless, and has been donating and the folks at her post office ever since. ever since. With Jerry’s latest contribution, She also sends a batch of delicious cookies he included a handful of coupons for Ben & once a month. Jerry’s ice cream (which should go nicely with Gracie’s cookies.) “I have a list of people and groups I believe in,” she says. “Baking them some cookies (Somehow, neither Gracie’s cookies nor is the least I can do. I don’t want to just Jerry’s coupons seem to make it over to send a check—it’s so impersonal.” RMI’s Southeast Annex building, where most RMItes work; however, Development Gracie recently lost her sister-in-law to Director Dale Levy promises changes are in cancer, and adopted one of RMI’s goats in the works.) her memory. Gracie and her family will

p a ge 28 IN STITUTE SUP P O RTERS RMISolutions RMI Solutions is published three times a year Our sincere apprecia- and distributed to more than 5,000 readers tion is offered to these George Allen Cook Pam & Thomas Parsons (by mail and online) in the United States and friends who contributed to Mr. & Mrs. Roberta & Thomas R. Corbett Christine Perala Gardiner & John RMI between 1 May and 31 Robert Cramer & Bridgett Murray Gardiner, in memory of Donella throughout the world. Meadows August 2001. Numbers in Robert M. Culbert © 2001 Rocky Mountain Institute. All rights parentheses indicate mul- Irma Prodinger Lois-Ellin Datta (4) reserved. tiple donations by our fre- Barbara B. Quirk, in honor of Howard E. Electra de Peyster & Palmer E. De quent givers. Please let us Quirk Peyster Letters to the Editor know if your name has been Joseph K. L. & Xiaomei Li Reckford Fund Alan & Mary T. Douglass We want to hear your comments. Please omitted or misspelled so it of the Triangle Community Foundation Hans Dumoulin address all correspondence to: can be corrected in the next Joanna Reese issue. Katie & Brad Dunn Cameron M. Burns, Editor Susan Sanzone Fauver & Scribner Farmers Irrigation District Rocky Mountain Institute Fauver, in honor and, in memory of BENEFACTORS $10,000+ Barbara & Peter B. Fleming (5), in Dana Meadows 1739 Snowmass Creek Road The Energy Foundation memory of John Denver Linda & John Sawyer Snowmass, CO 81654-9199 The Roy A. Hunt Foundation W. Kent Ford III Dagmar Scharn & Paul Langsfeld (970) 927-3851 The Kettering Family Foundation Mary & Tim Furst Marilyn & Michael G. Schooling fax: (970) 927-3420 Steve & Michele Kirsch Foubnation Jack W.L. Goering Daniel V. Schroeder [email protected] Nancy Kitzmiller Taylor Sadja Greenwood, in honor of Amory Ilsa Setziol www.rmi.org Lovins Sandler Family Supporting Foundation Hal Shepherd in honor of Ben Shepard Sally Haines & Tom Levy Newsletter design by Dan Sadowsky. Sun Hill Foundation Barbara & Marc Slovak Mimi & W. Scott Harlan Printed on New Leaf EcoOffset (100% post- Robert P. Smet Shawn & William Harris consumer waste, processed chlorine-free.) PATRONS $1000–$9,999 The Rudolph Steiner Foundation Gary & Rae Ann Hassell Contact New Leaf Paper for more information Sheila & Francois G. Brutsch James Stevens Hope Hughes Pressman 1-888-989-5323. No new trees were used in Mary & Myron Curzan Brian T. Sullivan Russell M. Jaffe & Rebecca Sylvan the production of this newsletter and we offer The Justin Brooks Fisher Foundation Textron Charitable Trust James Jarvis paperless electronic delivery via our website. John B. Gilpin Hallie & Joel Tilmant William Joseph Mr. & Mrs. Henry P. McIntosh IV The Norman & Carol Traeger Foundation, About the Institute William A. Kint, in memory of Philip A. Gary Mullard Inc. Kint Rocky Mountain Institute is an entrepreneur- Abby & George D. O’Neill Luis Ugalde Linda & Robion C. Kirby ial nonprofit organization that fosters the effi- Prof. & Mrs. Richard L. Ottinger Heather & Gary L.Vaughn Bernice & Charles C. Klosterman cient and restorative use of resources to create Nancy & George J. Records Sacha & Craig Wade Suzanne M. Lamb a secure, prosperous, and life-sustaining Deborah Reich and the Pumpkin Trust Susan & Seward Weber Carol Langner & Fritz Fritschel world. Robert J. Schloss & Emily Sack Hal Weckler, in memory of Ellen Weckler Brian Larson & Renae Kofford Our staff shows corporations, communities, Susan & W. Ford Schumann Betty J.Weiss Anna L. Lawson individuals, and governments how to create The Wendy & Richard Yanowitch Fund for Margaret & William E.Westerbeck William B. Lazar more wealth and employment, protect and the Humanities Margot & Scott D.Wilcox Shanda K. LeVan enhance natural and human capital, increase The Williams Companies, Inc. Meg Macleod profit and competitive advantage, and enjoy SPONSORS $100–$999 Roy W.Wood Ruth & Don Marsh many other benefits—largely by doing what Daniel Alpert Elizabeth & John G.Yingling Michael A. Mayhew they do more efficiently. Lorraine P.Anderson McKinstry Company Charitable Stuart H.Anderson ASSOCIATES $1–$99 Our work is independent, nonadversarial, and Foundation Anonymous (6) Scott Abercrombie transideological, with a strong emphasis on Brenda & Gregory McMillan, in honor of Christine A.Asher Deanne L.Adams market-based solutions. Tim Martin Joan & William C. Ball (2) Craig A. Melby (6) Mary Ahearn Founded in 1982, Rocky Mountain Institute Teresa & Don K. Barth Maeona Mendelson Melody & John B.Allison is a §501(c)(3)/509(a)(1) public charity. It has Susan & William A. Bartovics Elenora & David A. Miller Dr. & Mrs. John R.Anderson a staff of approximately 50. The Institute Mary & Keith Blackmore Louise M. Moody Anita & Keith A.Anderson focuses its work in several main areas—busi- Ann & David C. Boyer Mary Sue & William F. Morrill Margaret Ann & Donald W.Anderson ness practices, climate, community economic Maryrose Carroll Joyce & F. Joseph Murphy David Andri development, energy, real-estate development, Betsy & James J. Chaffin Jr. Helle O. Nielsen Anonymous (31) security, transportation, and water—and car- Cisco Foundation Patricia & Calvin C. Nolen Liam Antrim & Pamela A. Maurides ries on international outreach and technical- Bill C. Coleman Ed Nystrom, in honor of Sandra Nystrom Jonathan R.Archer exchange programs. Winifred & Jack M. Colwill Patricia O’Brien E. Coury Armstrong

p a ge 29 F a l l 2 0 0 1 Elaine Armstrong Gregorio M. Camacho II Perry H. Eubank Dennis Heritage Jim Arnold Jr. Cambridge Energy Research Assoc Kim and Marshall Evans (2) Securing the Genie & Keith B. Hibbard, in memory of Mrs. Peter Asmus Catherine Carter Future Campaign Georgia Bengtson Atis Zviedris Sustainable Energy Duke Castle John Ewer Craig Hibberd Jonathan Augello Donald Cefaloni Robert Fairchild James J. Higgins Aurora Energy Steve & Rosalind Chapman David Fallow Richard C. Hill John C.Austin Carmen & Jefferson Whitfield Chase Kristin & John R. Fasana Marc & Colleen P. Himebaugh William A.Ayres Harvey Chess Fieldbrook C.S.D. Alice Hine Grace & Bryan T. Bailey (8), in memory of Lynn R. Chong Rosann Fillmore Richard Hitchingham John Denver Clanton & Associates, Inc. Shawn Fitzgibbons Nicolette Hodgson Joan Baird John Clark, in honor of John Andrew Clark Rebecca L. Flora Judy & Michael A. Hohmann Mary-Lane Baker Linda M. Clark Tammie & Arthur Y. Fong Carolyn Holland & Michael S. Carbary Kurt Ballash Joan & Ken K. Clayborn Charles E. Ford & Elaine Katz Patricia & Jerald J. Holland Bank of America Foundation Dr. & Mrs. John C. Cobb Tad S. Foster Mr. & Mrs.William E. Holman Paula Barclay & Collyer Kelling Russell A. Cohen Bob Fox Bonny & Dwight Holmes, in honor of Douglas Holmes Joyce & Gerald C. Barker Robert Cohen Lester N. Freed Stuart B. Holoman Zenobia Barlow Wendy Lu & William D. Coiner Robert Fried David Holubetz Larry B. Barrett Clark Cole Mark Friedman (2) Linda L. Holup & David Revell Della Jo & Anthony Barrett David Collins Noreen E Furness-Moore Justin Hospital Bill Barringer Neil B. Conklin Marjorie & Brian Gaffikin (2) Sam Howell & M. Clare Paris Joanne & Richard H. Barsanti Consolidated Manufacturing, inc. Amanda C. Galtman Kaki Hunter Paul Bartch Alan J Cook Jr. Mark Gardiner William Hurrle Richard E. Baruch Hugh & Judith Corrigan Rich Garigen David W. Inouye Stacy Basham-Wagner & Robert O.Wagner Larry Crenshaw Louis Gelwicks Curt Jacquot Janice B. Baty Kip & Hilary L. Crosby Carol N. Gerlitz & William A. Braddock John G. Jennings III Kurt G. Benedict E. J. Crowe Phillip Gibson Mason Jensen Robert J. Berman Richard L. Cunningham Elena & Dan W. Gibson Jimmy Johnson Robert Black Carlos da Costa R. Paul Gillespie Judith N. Jones George Blakey Richard Darling David & Mary Gillespie Kitty & Dick Jordan Jaime J Blanco Tane Datta Ann & Harold Gilliam Dana Judy & Susan A.Weisner John Bliese Mary Catherine & Ruben M. Davalos Suzanne Golembieski, in memory of Chris Smith David G. Karpinski Oliver R. Bock & Deirdre A. Stegman Bruce Davies Robert G. Good & Susan M. Schickler David Kastor Mary & Thomas G. Boman James R. Dean Lilly F. Goodman David Kaufman Ursula & Theodore T. Boutmy Lee DeBaillie Robert E Graetz Eric Kay Jean & Ernest E. Boyce Keith Den Besten Graham Greene Tara Keairnes BP Amoco Foundation, Inc. Andrea M. Dermody Julie & Roger Grette John W. Kehoe Margaret & Thomas Bradylong Marilyn & Robert A. Derrickson Jr Julie Grimme Kathleen & R. Reed Kelley Paul E. Braese Alison C. & A. Gardner Dee DeWitt III Rod Groomes Raymond Kennedy Barbara Brahm (3) David & Donna Dobkin Josef Gruber Anne & Erik M. Kindblom Muriel Brainard Elizabeth & David S. Dodson Gray, in memory Margaret & Ronald Brand of Dana Meadows Joyce & Paul D. Gudat Fred Kirschenmann Louise Brodman Mark F. Dreessen Benita Hack Philip W. Klein Robert A. Brown Rob Dryden Eldon Haines & Linda Rose Nelly & Craig S. Klein, in honor of John Denver Jane & Donald McCarty Brown Jr. Sharon P. Eakes Cralle & David R. Hall Jeffrey P. Knight Maggie & Bill Brunner Pam & Kirk Ebertz Elaine Halsey Greg Knittl Pat Bryant Rebecca S. Echols John Handley Deron L. Kosoff Alana C. Buckley & Alan T. Buckley Elizabeth A. Eckes Ladislav Hanka Werner Krag Steven A. Budas & Gail L. Irish Ecobank Mali Kelly L. Harris Judy & Ken E. Kraus Pierre Bull, in honor of American Land Munemi & Kevin J. Eigel Nancy & John Haslip Jill Krebs Stewards Diane & Allan Eisenman Neva Hassanein Sue & George A. Kresovich Elaine & Bruce W. Burley Polly & John M. Ely Jr. Chris Hayes Natasha Kuperman, in honor of Alexandra Diane & Frank J. Busateri Jr (3) Emanon, Inc. Thomas Heinemann Kuperman Judith A. Byrns & Joe L. Bergquist Energy Conservation Associates Louis R. Hellwig Jaan Laaspere & Amy Stringer Garret Bywaters Energy Center of Wisconsin Phil Henke Dorothy & Richard D. Lamm Ruth & Ralph N. Calkins Elizabeth & Eric K. Ericson, in memory of Wava & Reese H. Henry Joseph K. Landsman, in memory of Sonia and John Ericson Harry Landsman

p a ge 30 George Sandy Lawrence & Barbara Jean David Mueller David Rindlaub Jeff Snyder Schickler Philipp Muessig Barbara Rishel Keith Snyder Denia & Paul R. Layton, in memory of Holly Paul Murray Robin & David S. Rittenhouse Tony Solgard Sowerwine Nelson Breech Nave Jody & John N. Roberts Gail & Gregory C. Speer Laytonville Co Water District Joanna L. Nelson Sandra Roberts & David Rhoads Elizabeth B. Spettigue Jonnie & William S. Lazarus Virginia Newman William T. Roberts Brion Sprinsock & Kristine A.Albrecht Cathryn & Eric T. Lee Emily & John W. Newton G. Greig Robertson Mark S. Squillace Dick Lee Cindy & Steve Nicholson Ted Robinowitsh St. Louis County Property Mngmnt Leger Wanaselja Architecture Diane Nilsson, in memory of John Denver Jill Robinson Dan & Theresa Stack Kathy Lener Karen G. Noble Paula & James Rogers Edward J. Stapper (2) Mimi & Dan Leslie Jack M. Nottingham Zella & Judith A. Rohrbaugh James H. Starr Jo Lewis Elizabeth Nystedt Fletcher & Richard A. Anna & Jonathan M. Rosen, in memory of Henry & Helen Stephenson Michael Lind Fletcher Shirley T. Rosen Deborah & David P. Stephenson Deborah K. Lindell & Donald Lee Butler Robert R. O’Brien Stan & Lorraine Rosenberg Judith H. Sterling, in memory of Mac Sterling Roger Lippman Marcia & Mike O'Connor Mark Rousseau Richard D. Stern Carole Lomond Ruthanne & William E. O’Neill Henry A. Roy Mildred E. Stevens & Jean Barrieu Stevens Randi Lowenthal Barbara & Kevin O’Reilly Dana Roze (2) Jean MacGregor Robert Odland Joanna E. Rueter, in memory of Sarah H. Edna J. Stokes (2) Randy Mack Kimberly L. Orr Nomer Penny & Ron G. Stover Janet & William G. Madill Douglas Porter Owen Rural Ministry Office William C. Stuef William & Mary Makofske Bill Palmisano Lillian & Robert J. Russo Donald D. Sutton Patricia & Donald R. Malberg Robert H. Palrud Ladd D. Rutherford Ann & Roger H. Sweet George Malburg Paragon Homes Limited Ann & Loren L. Saari, in memory of Harley Ruth & Lyle A.Taylor Gibson Russell Malley & Tynka L. Dees Charles D. Parent Susan & Eric F.Thacher Catherine I. Sandell Mark Marcoplos Wylie B. Pearce Center for Theology & Land Lisa & Stephen D. Sarfaty Jan & Art Martin Clayton Pederson Stephen Thomas John A. Satterwhite Marcia & Stephen P. Martinson Nicola Peill Ph.D. (2) Brittony Thomas Marshall Saufley Holly & Stephen A. Massey Larry D. Pelter Evelyn Thompson, in memory of Georgia Giorgio Scaglia James I. Masters John Pennington Bengtson Mark Schaefer Thomas Maufer Edwin M. Perkins Mary & Harold W.Thompson Judith Schector Henry & Willa Mauro John Peschon Erin M.Thornley & Joseph T. Parisi Lynn C. Scheffey Dorothy & Mike McCarter Donald H. Peterson David H.Tier Joyce & David L. Schmoeger John McClaughry Thomas L. Pettit Eric Tingstad Paul J. Schneller Rick McConn Joe Pignotti Suzanne & Robert K.Toji James & Ann T. Schulz Andrew S. McDonald Elaine & Steve Pike Lynn & John A.Townsend, in memory of Mrs. Jon R. Schutz Georgia Bengtson Edward McGarrity Richard F. Plage James A. Schwarber Terry & Gary Trauner James McGreen John Platt & Lisa Heilbron (2) Betty Schwimmer & John Rubel, in memory of Scott M.Tundermann Joshua McIntyre David & Judy A. Pluta Dr. David Schwimmer David Tupper Dale A. McMillen Susan E. Pokorny Dave Sebek United Way of King County/Microsoft (2) Allison & Michael Thomas McPherson Gary Don Popken Linda & David D. Selbert (2) Van Der Ryn Architects James E. Mennick John Pound Andrew M. Shapiro David & Doris V.Van Saun Keith R. Merkel Donna Power Charles A. Shapiro Ann & John B.Vautour Nation Meyer Richard H. Pree Philip T. Shepard Nancy & Tom Vineski Bonnie & Peter A. Meyer Michael Prichard Bill Shirley Dianne Vivian Elizabeth & James Mijanovich Roger Pritchard Jerry Shue & Barbara A.Webb Patti M.Vogelaar Flynn & Jerome D. Flynn Charles & Kathleen Milikin Ross Pumfrey Anthony Simmonds Robert & Sonia Vogl Peter M. Miller & Anne M. Schonfield Shanna Ratner Louise & John W. Singleton William Von Lackum II Jodie Mitchell Jennifer Reid Smith James Skinner Jacobus Vrolijk Max Mitchell & Kim Fine Mary S. Reilly & Greg C. Putalik Ron Smaron Ruth Shanti Wagner John Moody Kahoun Philip B. Reinhart Leslie Ann Smith & Alexander McGregor, in Moorhead Public Service Mary M.Walker Douglas & Jean M. Rhinehart memory of Dorcas H. McDonald Peg Moran Janelle & Gary J.Walter, in memory of Paul Kerry Richardson Eric Parkman Smith Harold B. Mosher Walter Al Richardson Eileen Roberta Smith Tatyana & Milton Moss Richard C.Walters Leonard Rifas & Mizue Fujinuma Shannon & Gary E. Mueller, in honor of Frank Marsh Smith & Linda Paige Burns Dick Wanderscheid F. Don Riggs Christopher J. Mueller Louise & Florian R. Smoczynski David A.Warner

p a ge 31 F a l l 2 0 0 1 Dolores K.Watson Paul O. Koether Nancy & Michael F. Grein, in memory of Alexandra & C.Thomas Fuller Richard A.Weaver Barbara Kolb & Seymour August Eleanor Velie Edwin C. Glickman, in memory of John Denver Richard A.Weigel Colleen & Bud Konheim (2) Margaret B. Hughes, in memory of Eleanor Ted L. Goudvis Velie James S.Weinberg & Mary Beth Cysewski Dalia & Laurence C. Leeds Jane Ellen Hamilton Miriam J. Kelen, in memory of Eleanor velie Carroll A.Weinberg Richard H. Leeds Sandy & Charles Israel Bonnie J. Lord & Donald B. Jenkins, in memory Azar & Christopher J.Weixelman Robert L. Lenzner Mr. & Mrs. Jeffrey D.J. Kallenberg of Eleanor Velie Rick Weyerhaeuser Lisa & Jonathan A. Lucas Sara & Robert J. Keckeisen, in honor of the Richard B. Maland, in memory of Eleanor life & message of John Denver James & Eileen M.Whipple Allen J. Noveck Velie and, in honor of Phillip A. Semmer Lori Ohlson Osgood & Barbara Whittemore Dorothy R. Pace Beatrice E. Maland & Nancy J. Green, in Roy O Williams Powers Global Strategies LLC memory of Eleanor Velie LaVerne A.Williams Nan W. Puryear Lavone Maland, in memory of Eleanor Velie ASSOCIATES $1–$99 Terry Wilson Jean & Dan I. Rather Meridian Manor, in memory of Eleanor Velie Grace & Bryan T. Bailey (8), in memory of John Denver Herbert R.Wiser Estelle & Steven J. Rose Jean & James P. Mulvahill, in memory of Meta P. Barton Matt Worswick Philip S. Schlein Eleanor Velie Rex L. Bavousett & Jan A. Moore Peggy M.Wrenn Michael Shina Alison & Richard R. Roach, in memory of Eleanor Velie Barbara Dodge Bennett, in memory of Leslie Kathleen M.Young Philip Silber Anne Scheitlin Johnson, in memory of Eleanor Francis Gabriel Zimmerman Stef & KC, Inc. Velie Annalisa M. Berns, in memory of John Denver Seyburn Zorthian Carola Stoner Mach Jane & Gary J. Schroeher, in memory of Rebecca A. Biscaro, in memory of John Shuyee & Roger L. Zuehlke, in memory of UNITE! Eleanor Velie Denver John Denver Mariana Verkerk Joan & Phillip G. Semmer, in memory of Sheilah Bryan Mary & Kenneth H.Walker Eleanor Velie Shelley Burke We also want to Elizabeth J. Semmer, in memory of Eleanor thank those indi- Diane & Frank J. Busateri Jr (3) Velie viduals who have DONORS TO THE PHILLIP Cathryn and Thomas F. Crum contributed to AUSTIN SEMMER MEMORIAL Paul G. Semmer, in memory of Eleanor Velie RMI through Robert Dorsey Nancy & Richard B. Solum, in memory of Earth Share, the INTERNSHIP FUND* Diane C. Eskew, in memory of John Denver combined Colleen K.Abernethy, in memory of Eleanor Eleanor Velie Federal Campaign, and other Edith B. Fehr Velie Martha W.Velie, in memory of Ellie Velie and, workplace charitable programs. If Verena Frei Bishop, in memory of John Denver you would like to have RMI as a Donna Rae & John K.Akers, in memory of in honor of Joan and Phil Semmer charitable option in your work- Eleanor Velie Smoky & Jim Wetherbe, in memory of Phillip Alexandria Z. Gelencser, in memory of John place campaign, please contact Denver Christy K.Anderson & James M. Funk, in Austin Semmer our Development Department, Cathryn M. Harrison, in memory of John (970/927-3851). memory of Eleanor Velie Wendy & Gary K.Wold, in memory of Eleanor Denver Patricia & Kamel Aossey, in memory of Phillip Velie Austin Semmer Nancy & Randall L. Kreager, in memory of DONORS TO THE ERIC KON- John Denver HE IM FELLOWSHIP FUND, IN Virginia Baggenstoss, in memory of Eleanor *Many recent gifts to the Semmer Memorial Internship Fund were given in memory of Geoffrey H. Lester MEMORY OF ERIC KONHE IM Velie Phillip’s grandmother, Eleanor Velie, who Denison Levy Clinton Bailey Virginia Baggenstoss, in memory of Phillip Austin Semmer passed away in May. RMItes join in Anne M. Mickle, in memory of John Denver Carter & Suzanne F. Bales expressing our sympathy to the extended Kerry & Ricki R. Newman to continue the Connie & Stan Bicek, in memory of Eleanor Semmer family. Stephen W. Biegel Velie dreams of John Denver Rita & Frank Castagna Kathleen & Burton D. Olshan Carole & William Birch, in memory of Eleanor W IN D STAR LA N D Lina & Aron Castro Velie C O N SERVA N CY Patricia & Ronni R. Ridenour, in memory of David N. Deutsch & Co. LLC Betty & Robert F. Campion, in memory of John Denver D O N O RS Mary K. Dougherty & Erik Neumann Eleanor Velie Margaret & James M. Robb, in honor of Jaren & Bruce Ducker Susan & Robert E. Casey, in memory of Miriam H. Sinclair PATRONS $1000–$9999 Lynn Eaton Jackson & Kirkman Jackson Eleanor Velie Judith J. Schramm John T. Getz, in memory of John Denver Fensterstock & Partners LLP Barbara & Stephen J. Crandall, in memory of Joyce & Chuck Shenk Eleanor Velie Fisher Development, Inc. Ruth Ann & James L. Sherman Virginia L. Cunningham, in memory of Eleanor SPONSORS $100–$999 Honey S. Fishman Fatha & Charles W. Swope, in memory of Velie Aish Hatorah their nephew John Denver Robert & Joyce Menschel Family Foundation Mary & Richard D. Eide, in memory of Eleanor Sarah Jane Amoroso, in memory of John Edith & George Wombwell, in memory of John Ronald A. Galotti Velie Denver Denver Jennifer & P.M. Gibbons Genevieve & Hubert G. Ferguson, in memory Ellen Bigelow, in loving memory of John Shuyee & Roger L. Zuehlke, in memory of Gloria Gilbert Stoga & Alan J. Stoga of Eleanor Velie Denver John Denver Mr. & Mrs. Roger A. Goldman Ron Fosburgh, in memory of Eleanor Velie Paulette & Mel Blumenthal Richard C. Griggs General Mills Foundation, in memory of Susan Coit Phillip Austin Semmer Rosetta W. Harris Charitable Lead Trust A Gail Cottingham Koch Stanley Gilbertson, in memory of Eleanor Caroline P. Hirsch Foundation Barbara & Peter B. Fleming, in memory of Velie Jane & Joseph Kasov John Denver

p a ge 32 everal days ago I shared an idea with H e a rty T h a n ks To All S my colleagues at D ale Levy, D evelo p m e n t Director RMI about sending holiday what color blouse or towels your In other news, to encourage visits to our cards (including a reply enve- sister likes. website, we’re offering prizes to a few lope) in early December to We think we have an answer that lucky clickers. Recently, we began printing RMI donors and friends. Such could help you, your friends, numbers on the upper right hand corner of mailings had been successful your relatives, and our earth. the mailing label on this newsletter. Find in raising funds for other organi- Consider giving gifts to Rocky Mountain the number, then go to our website at zations where I had worked. Institute. Your gifts to RMI would honor www.rmi.org and click under the Most looked at me as if I’d lost my marbles. your friends and relatives by providing con- announcement for the fall newsletter Or at least thought I was very crass. tinuing financial assistance for research, (you’ll see it). Look at the list of numbers As we talked, however, the idea of encour- strategic influence, and outreach and edu- there. If your number matches any of those aging alternative holiday gift giving became cation about sustainable solutions to listed on the website, you are a winner! attractive. We all know how tough it is to energy, water, transportation, climate, secu- To claim your prize (which could be RMI come up with gift ideas for our friends and rity, and green building development. merchandise or publications), please call relatives. We’ll send you a packet in early December Charmaine Boudreaux at 970-927-3851, Like us, you have probably found yourself that will include everything for easy gift email her at [email protected], or write trying to remember whether you gave your giving to RMI. We’ll also send a card to the her at 1739 Snowmass Creek Road, father a shirt or a tie last Christmas. Or person(s) in whose name you are donating. Snowmass, CO 81654. st a f f sp otlig h t: Alexis K a rolid es

lexis Karolides, a senior consultant for RMI’s Green “I thought I’d be able to affect the Development Services, is getting her chance to walk world in a more visible, immediate A the walk and talk the talk. Alexis and her husband, way,” she says. artist and builder Douglas Hill, are setting out to build their own Alexis and Doug quickly discovered home. Alexis, an architect, is designing the house partly around that building a house near Aspen has a materials they have salvaged from demolished buildings. unique aspect. Because large luxury houses are being torn down Alexis can trace both her inclination to be an architect and her to make room for even larger luxury houses, a huge amount of affinity for conservation to her background. She grew up in River demolition debris ends up at the Pitkin County Landfill. A good Falls, Wisconsin, on the Minnesota border. Her mother was an share of it is reusable. To someone with Alexis’s sensibilities, these artist; her father, an English professor at the University of materials are begging to be reincarnated. Wisconsin’s River Falls campus. Both were born into immigrant “When I see Douglas fir beams being ground up for compost and families around the time of the Great Depression; they knew the marble slabs going into the landfill, it violates my sense of ethics,” value of saving resources. They also passed on a penchant for cre- she says. Doug has salvaged 180 such beams that would other- ativity that showed up later in life. wise have gone to the landfill, as well as solid wood cabinets and Though Alexis grew up with a wide spectrum of interests, she doors, wood and tile flooring, and countless other items. loved physics, and that became her major. Her undergraduate Alexis and Doug’s house will feature straw-bale walls, solar-heated thesis was on solar and alternative energy, where she ran across radiant floors, and some of those Douglas fir beams overhead. the writings of one Amory Lovins, about something called the Alexis drafted the first plan for the house some time ago, but the “Soft Path.” design keeps evolving. Physics satisfied her analytical side, but she wanted to go beyond “They say the hardest thing for an architect to do is to design her the theoretical world of the physics lab. Exploring further, she own house,” she says. “And it’s true. Just when you think you decided to study architecture, because it would allow her to con- have it designed, you find some more materials.” tinue to be analytical while also drawing on her creativity. —Jeremy Heiman

p a ge 33 F a l l 2 0 0 1 B USIN ESS

efenders of polluting industries continue to score politically by D portraying environmental protec- tion as harmful to economic growth and jobs. Environmental stewardship and a robust economy go together more often than not, and are in fact, virtually symbi- otic. In recent years, however, advocates of environmental protection have begun to realize they have a golden opportunity to turn the tables on their opponents by allying themselves with the principal source

profiting and growing through dramatic Te n S m all gains in resource productivity achieved B usin ess Keys to by innovative technologies—both their own inventions and the rapid deploy- N at ural ment of green technologies developed B y B yron Kennard C a pit alism by others. Because they are small and frequently GreenDisk is a small business in Redmond, of economic growth and jobs in the United new, these entrepreneurs are not captives Washington, founded by Center for Small States: small businesses. of the old industrial order; they are its Business and the Environment (CSBE) “marketplace critics.” Like environmental The nation’s booming small business sector member David Beschen. David saw that advocates, they object to public policies now generates half of the private gross the top-quality diskettes in boxes of unsold, and regulations that unfairly favor (and sub- domestic product, half of all U.S. sales unused software could be salvaged and sidize) older, bigger and dirtier businesses activity, and half of all private sector reused. GreenDisk now offers renewed and and that consequently act as barriers to output. In 1999, Americans started reused disks through major office supply innovation. Herein lies the basis of collabo- 900,000 new small businesses. Today, catalogs. ration. amazingly, one in twelve Americans is The nation’s first (and still only) environ- trying to start a new business. Environmental advocates, with their formi- mental management system integrated dable political skills, can help small busi- Just as RMI Solutions regularly tells the sto- with sustainability concepts was developed nesses overcome these barriers. For their ries of those really big firms shifting the by Rejuvenation, Inc. (www.rejuvenation.- part, small businesses can help environ- business paradigm, there are dozens of com), a lamp and fixture company based in mental advocates win the “economics examples of small businesses working for a Portland, Ore. now employing over 200 in versus the environment” debate. Working better economy while changing industry. manufacturing and retail operations. RMI’s in alliance, they will be able to: T/J Technologies of Ann Arbor, Michigan, Christopher Juniper was the project’s lead for example, is a small research company consultant, supported by funding from the Reframe the question. The debate that’s that develops environment-friendly mate- Oregon Department of Environmental needed is about the best interests of busi- rials for electrochemical storage devices Quality—a good model for public/private ness. Is it defending old inefficient indus- such as ultracapacitors, lithium-ion bat- collaboration that breaks new ground for all tries that are in decline? Or is it teries, and fuel cells. The firm’s devices businesses, large and small. championing new efficient industries that deliver more energy with less weight in are rising? Small businesses provide about 75 percent smaller packages. In each of the past four of the net new jobs and more than half of Change the cast of characters. This new years, the company’s revenues have dou- all private-sector jobs in America. Many of debate is not between businesspeople and bled. the nation’s leading small businesses are environmentalists. It’s between two com- p a ge 34 peting groups of business advocates, one small businesses to survive on the agenda includes: representing the past and one repre- “bleeding” edge. • Small Businesses in California. To senting the future. Fuse two great sources of political help small businesses in California sur- Control the rhetoric. The “spotted activism. Like environmentalists, small mount the state’s energy crisis, this owls versus jobs” formulation puts envi- businesspeople constitute a large, active summer we established a CSBE ronmentalists at a disadvantage. The and influential voting bloc. Nearly a third California Energy Project, based in Los “efficiency versus inefficiency” formula- of all small business owners and Angeles. The project strives to add a tion turns the tables, putting polluters at employees who voted in 1998 reported strong small business component to the a rhetorical disadvantage. they volunteered on behalf of a political wide variety of remedial efforts now Maximize credibility. It’s tough to suc- candidate, and 36 percent said they con- underway or proposed. ceed in small business and tougher still to tributed financially to a candidate. • U.S. National Energy Plan (NEP). launch an innovation, but these small Combine two powerful mystiques. The administration’s proposed NEP advo- businesspeople are profiting and growing Americans revere small business because cates strengthening the EPA’s Energy Star while doing the right thing environmen- it embodies such admired values as hard program overall, but does not highlight tally. They speak with a credibility few work, thrift, pluck, and ingenuity. the needs of small business. We recom- can match. Americans venerate the natural environ- mend that the NEP include an assess- Introduce “real world” proof. ment. Combine the mystique of small ment of commercial products/equipment Evidence brought to the table by small business with that of the environment targeted to small business needs and not business is neither theoretical nor aca- and the result is a 21st Century alchemy: yet labeled by Energy Star. demic nor futuristic. These firms are countless new green companies with • In addition, a one-time-only federal tax making and selling real products and, in technologies that create jobs, build a sus- credit for small business purchases of the process, creating real jobs and tainable prosperity, and protect the energy efficient equipment is needed. greener products. planet. Such a tax credit could be based upon Politicize the message from the Both small businesses and the environ- purchases of Energy Star-labeled prod- bottom up. While there’s not a power ment would benefit tremendously if gov- ucts. (Energy Star identifies hundreds of plant or oil refinery in every nook and ernment and society recognized and energy efficient office and consumer cranny of America, there are small busi- appreciated the symbiosis between the products.) nesses. When they speak out, their voices two. Small business operators just want • We also recommend that SBA loan pro- are heard in city councils, county com- to make a living, and onerous govern- grams be modified to provide both new missions, and state legislatures—and in ment regulations can be an impediment loans and refinancing options for small Congress. to this goal. Time spent monitoring and businesses that purchase or lease Energy record-keeping, obtaining permits and Broaden and strengthen the move- Star related products, as well as requiring completing reports, etc., is time taken ment. As clean new industries grow, it new construction and remodeling away from the business. Often, regula- will be in their self-interest to support financed by SBA to specify or require tions are difficult to find, understand, and organizations working for similar objec- Energy Star’s new construction standards. stay on top of, which exacerbates the tives. Environmental groups should wel- problem. Incentives and education are a come them to become members, better policy choice; many local Byron Kennard is the Executive Director sponsors and donors, and to look for how economies have, like Pittsburgh PA, of The Center for Small Business and the they can help businesses with ideas and implemented programs to link small busi- Environment (CSBE). CSBE helps small political support. nesses with advanced technologies. businesses be more environmentally Ride the wave of new technology. responsible (see www. aboutcsbe.org). CSBE is working to induce political col- Since the pace of technological innova- Also see “In Business—Creating laboration between the small business tion continues to quicken, there’s pres- Sustainable Enterprises and community and environmentalists in sup- sure (and opportunity) to become greener Communities” (www.inbusiness.org). port of public policy goals that profit and greener (i.e. more and more prof- small businesses and help protect the itable). The public sector should be har- environment. The Center’s present nessed to provide all the help possible for

p a ge 35 F a l l 2 0 0 1 Rocky Mountain Institute/volume xvii #3/Fall 2001 RMISolutions newsletter IN SID E: • R M I’s T hou g h ts on 11 Se p t. • E n erg y: R M I’s N aval A dve n t ures • O t h er Voices: Eric R asm usse n on 11 Se p t. • Persp ectives: ‘Gon e Fission’ • B ul m ers: A n A p ple A D ay • Byron Ke n n a rd on S m all B usin esses • Ask Roc ky: A Let t er Fro m D ow n Un d er • R M I’s Unit e d N ations Re p ort • W h at Are You D oin g?

Printed on New Leaf 60# EcoOffset White. 100% post-consumer waste. Processed chlorine-free.

Rocky Mountain Institute 1739 Snowmass Creek Road Snowmass, CO 81654-9199 change service requested NON-PROFIT ORG U.S. POSTAGE PAID PERMIT #43 GWS, CO