LONDON — In an effort to show that “green” can also mean business, German industrial giant Siemens staked out a goal to generate €25 billion in revenue by 2011 by selling products and services from what CEO Peter Loscher called its “environmental portfolio.”
He warned, however, against the effect that the slowing economy will have on Siemens’ business in general in the near term.
Speaking to a gathering of international journalists at the Siemens Media Summit here, Loscher said that Siemens last year generated about €17 billion, or roughly a quarter of its revenue, from selling environmentally conscious products. He’s targeting 10% annual growth for that metric. “We’re significantly outpacing our competitors in this area,” Loscher claimed. “In 2011, we intend to generate some €25 billion with eco-friendly products and solutions.”
The company’s environmental portfolio crosses Siemens’ industry, energy, and healthcare sectors and includes any product that reduces greenhouse gas emissions or helps combat water and air pollution. Those products will cut CO2 emissions by about 275 million tons by 2011, equal to the current CO2 emissions of six major cities, including London, New York, and Tokyo, Siemens claimed in a projection audited by PricewaterhouseCoopers and based on criteria developed by the Greenhouse Gas Protocol Initiative of the World Business Council for Sustainable Development and World Resource Institutes.