Resources · Annual Report
Sustainability
Report
Transparency is a core value at Pallet Colorado. This report details our environmental impact, progress toward zero-waste operations, and the commitments we're making to build a more sustainable future for the pallet industry in Colorado and beyond.
Key Environmental Metrics
1.2M
Annual Volume
Pallets recycled, repaired, and redistributed through our Denver facility each year
95.4%
Diversion Rate
Material diverted from landfill through reuse, repair, mulching, and biomass recovery
8,400
Trees Preserved
Estimated trees saved annually by recycling pallets instead of manufacturing from new lumber
340
Tons CO2 Avoided
Estimated carbon emissions prevented through recycling vs. new production annually
Environmental Impact Breakdown
Every pallet that enters our facility follows one of several paths, and we track each one meticulously. Understanding where materials go — and keeping them out of the waste stream — is fundamental to our operations.
Of the 1.2 million pallets we process annually, approximately 68% are repaired and returned directly to the supply chain as recycled inventory. These are the pallets our customers buy in Grades A, B, and C. Another 18% yield salvageable lumber that we use for repair stock — the boards and stringers that keep other pallets in service longer.
The remaining 14% of incoming material is wood that has reached end-of-life for pallet use. Rather than sending it to landfill, we grind it into mulch, animal bedding, and biomass fuel. Metal fasteners are separated and sent to local metal recyclers. Our current landfill diversion rate of 95.4% means that less than 5% of material that enters our yard ends up in a landfill — and we're working to close that gap entirely.
Total Recovery Rate
98.2%
Including metal recovery, our total material recovery rate exceeds 98%.
Goals & Progress
We've set ambitious targets for the coming years. Here's where we stand on each initiative.
Zero Waste to Landfill
92%Our goal is to achieve zero landfill waste by 2028. We're currently at 95.4% diversion, up from 89% in 2020. The remaining 4.6% is primarily contaminated wood that cannot be safely processed. We're partnering with waste-to-energy facilities to close the gap.
Carbon Neutral Operations
65%We've reduced our operational carbon footprint by 65% since 2018 through equipment upgrades, route optimization, and solar panels on our facility roof. Our heat treatment kiln now runs on a mix of natural gas and biomass fuel generated from our own grinding operations.
Electric Delivery Fleet
25%Transitioning our delivery fleet to electric vehicles is our most ambitious goal. We've converted 25% of our local delivery vehicles to electric, with EV charging infrastructure installed at our yard. Heavy-duty electric flatbeds for full-truckload delivery are expected to become viable by 2028.
Year-over-Year Progress
| Metric | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|
| Pallets Processed | 920K | 1.05M | 1.12M | 1.2M |
| Landfill Diversion | 91.2% | 93.1% | 94.7% | 95.4% |
| Trees Preserved | 6,440 | 7,350 | 7,840 | 8,400 |
| CO2 Avoided (tons) | 256 | 292 | 318 | 340 |
| Customers Served | 380 | 420 | 470 | 500+ |
Community Involvement
Sustainability at Pallet Colorado extends beyond our facility walls. We believe that a healthy business should contribute to a healthy community, and we put that belief into action through several ongoing initiatives.
Our mulch donation program provides free ground wood mulch to Denver-area community gardens, urban farms, and public parks. In 2025, we donated over 200 cubic yards of mulch to 15 community organizations, helping them reduce water usage and improve soil health. It's a direct way that our recycling operations benefit the neighborhoods around us.
We also partner with local workforce development programs, providing job training and employment opportunities for individuals re-entering the workforce. Our operations team includes several graduates of these programs, and their contributions have been invaluable to our growth. Learn more about our team and values on our company story page.
Mulch Donations
200+ cubic yards to 15 organizations
Workforce Development
12 program graduates hired since 2021
School Education Program
8 Denver schools visited for eco-education
Future Commitments
Water Recycling System
Installing a closed-loop water recycling system for our facility wash operations. This will reduce fresh water consumption by an estimated 80% and eliminate discharge to the municipal storm drain system.
Zero Landfill Waste
Achieving zero waste to landfill through expanded partnerships with waste-to-energy facilities and improved sorting technology. The remaining 1.8% of non-recoverable material will be redirected to approved thermal conversion programs.
Carbon Neutral Certification
Achieving third-party verified carbon neutral status for all facility operations. This includes transitioning our heat treatment kiln to 100% biomass fuel, expanding rooftop solar, and purchasing verified carbon offsets for any remaining emissions.
Full Electric Fleet
Completing the transition of our entire delivery fleet to electric vehicles. As heavy-duty EV options become commercially available and charging infrastructure expands along Colorado's corridors, we'll replace our remaining diesel flatbeds with zero-emission alternatives.
What Your Partnership Means
Every pallet you buy from or sell to Pallet Colorado contributes to these outcomes. Here's the environmental impact of a typical customer relationship. Use our sustainability calculator to estimate your specific impact.
Per 100 Recycled Pallets
7
Trees Preserved
Equivalent to approximately 1,200 board feet of lumber that stays in the forest.
Per 100 Recycled Pallets
2.8
Tons CO2 Saved
Equivalent to taking a car off the road for over two months.
Per 100 Recycled Pallets
1.4
Tons Diverted from Landfill
Wood, nails, and packaging materials kept in productive use.
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