The precious resources of our planet are at risk. That means businesses, including Coty, need to urgently take steps to conserve natural resources. This is a vital part of our responsibility to the world we live in and the generations to come.
Climate change is affecting many parts of the world already. In order to protect our planet, we will play our role in reducing carbon emissions by creating efficiencies across our value chain, as well as finding opportunities to reduce and re-use waste, and minimise our water use where possible.
- Reduce our absolute CO2e emissions across the entire value chain* by 30%
- Continue energy reduction* by 25% and switch to 100% renewable energy
In recognition of urgent action required, we will reduce absolute GHG emissions of our value chain by 30% between 2017-2030. This target includes emissions from our own operations, as well as upstream sourcing of raw materials, and downstream activities, such as business travel. Innovations with sustainability in mind will play an important role in reducing our carbon emissions.
In FY19, our combined scope 1 and 2 emissions were 122,700 tonnes of CO2e across our own operations. Emissions from energy consumption at our sites have reduced by 158,980 tonnes of CO2e compared to our 2017 baseline. To date, we have reduced our scope 1 and 2 emissions by 21% across our offices, factories and distribution centres. This is partly due to the rationalisation of our estate portfolio, as well as a targeted approach to energy reduction at our sites.
To reduce our energy consumption and related CO2 emissions, we are optimising energy usage across our operations where possible, and switching to 100% renewable electricity in our factories and distribution centres. Across our supply chain, we have completed 70% of low energy lighting replacements and installed motion sensors where safe to do so. Similar actions are taken at our offices when possible. We have also installed energy generating solutions to use solar energy and biomass in some of our sites. Within our manufacturing operations, we have a dedicated team who are responsible for identifying opportunities to update equipment with newer, more energy efficient solutions.
Another area of focus is the impact of transport, both before and after the production phase. In FY19 we engaged with suppliers to increase our understanding of this area and get more and better data. We set up a cross-functional project team to create a standardized approach for measuring transport emissions. One example of this approach is our value optimisation team who reviewed the transport associated with the raw materials of secondary packaging. By creating a new end-to-end process, the team will reduce approximately 2,000 tonnes CO2e each year going forward.
- Further reduce, re-use or recycle
- Send zero waste to landfill
- Recycle 80% of all waste generated?
Operational waste from our factories is generated during the manufacturing process of our products. We work with waste management partners to help us assess, plan and innovate to reduce the amount of waste we generate and how it is disposed of. With the appointment of dedicated waste managers, and installation of new equipment, we also achieved an overall 15% reduction in waste volume. We achieved a recycling rate of 64% across all our sites, which is consistent with previous years. Our target is to send zero waste from our factories and distribution centres to landfill – and although only 1.6% of all waste was sent to landfill in FY19, we will continue to eradicate this in its entirety.
We are continuing with water reduction efforts across our sites and achieved a 3% reduction in FY19 compared to FY18. At our largest manufacturing site, we piloted a water reduction study that identified efficiencies and water management techniques that we plan to implement across other sites. We also joined The Water Council, a cross-industry effort, to share best practice in water management.
? Limited assurance provided by KPMG