AB Electrolux (publ)
Climate Impact & Sustainability Data (2021)
Reporting Period: 2021
Environmental Metrics
Total Carbon Emissions:103,000 tCO2e (Scope 1 & 2)
Scope 1 Emissions:83,000 tCO2e
Scope 2 Emissions:20,000 tCO2e
Renewable Energy Share:56%
Total Energy Consumption:1,047,399 MWh
Water Consumption:3,703 million liters
Waste Generated:166.3 tons
ESG Focus Areas
- Climate change
- Diversity & Inclusion
- Human rights
- Supply chain sustainability
- Circular economy
- Resource efficiency
- Chemical management
- Healthy and sustainable eating
- Sustainable garment care
- Healthier homes
Environmental Achievements
- 78% reduction in Scope 1 and 2 greenhouse gas emissions compared to 2015.
- ~20% reduction in Scope 3 emissions compared to 2015.
- 8% reduction in total CO2 emissions in operations compared to 2020 despite increased production volumes.
- 8% improvement in water efficiency in water risk areas compared to 2020.
- 11 Electrolux plants certified to Zero Waste to Landfill program by the end of 2021.
- 97.3% of total waste produced at manufacturing sites reused or recovered.
- Increased use of recycled plastic by more than 25%, from 6,800 metric tons in 2020 to 8,600 metric tons in 2021.
- 56% of total energy purchased from renewable sources.
Social Achievements
- Achieved an injury rate (TCIR) of 0.43.
- 18,000 people participated in Electrolux Food Foundation activities.
- 8,000 colleagues (43% of eligible workforce) completed diversity and inclusion e-learning.
- Launched new D&I objectives with three pillars: Diversity, Inclusive culture, Respect & equal treatment.
- 531 people graduated from “Like a Chef” culinary training program.
- Approximately 750,000 meals donated.
Governance Achievements
- Updated Ethics Helpline website to improve functionality.
- Strengthened Workplace Policy approach with annual audits of all factories starting in 2022.
- Updated Workplace Policy and Directive to raise requirements for operations and suppliers.
- Launched global e-learning on diversity and inclusion.
Climate Goals & Targets
Long-term Goals:
- Climate neutral value chain by 2050
Medium-term Goals:
- Achieve climate neutral operations by 2030
- 50% recycled plastic use by 2030
- Gender balance of 40-60% among people leaders by 2030
- Educate and train 12,000 people on sustainable cooking by 2030
- Support 3 million people through meals and donations by 2030
- Engage and inspire 300,000 people on healthy and sustainable food habits by 2030
- Reach a viewership of 300 million by 2030
Short-term Goals:
- Reduce CO2 footprint by 85% by 2025 (2015 baseline)
- Improve energy efficiency by an additional 12.5% by 2025 (2020 baseline)
- Improve water efficiency by 25% by 2025 (2020 baseline)
- Increase renewable energy to 65% by 2025
- Certify all plants to Zero Waste to Landfill by 2025
- Halve transport emissions by 2025
Environmental Challenges
- Increasingly challenging to realize continuous improvements in energy and water efficiency with acceptable payback periods.
- Coronavirus pandemic continued to be a challenge for operations.
- Phasing out fossil fuels is a challenge in high-temperature processes.
- Ensuring high sustainability performance throughout the value chain beyond direct suppliers.
- Adopting a collaborative approach with industry peers to bring about greater positive change among shared suppliers.
- Monitoring and auditing 1,700+ direct suppliers.
- Suppliers lacking access to renewable energy and more sustainable modes of transport.
- Local politics and differences in work culture can be obstacles to working with sustainability topics.
- Changing well-established cooking and eating habits of consumers.
- Lack of reach in some geographies to help those in need.
- Reaching consumers with new information and changing long-standing outdated consumer laundry habits.
- Increasing the uptake of new innovations in solutions that provide opportunities for consumers to practice more sustainable laundry care.
- Securing consistent, traceable, safe and high-quality recycled raw materials in sufficient volumes.
- Ensuring recycled materials are incorporated into new product platforms.
- Optimizing product lifespan in a way that benefits the consumer, Electrolux and the environment.
- Finding more sustainable packaging solutions that protect products.
- Driving the phase-out of chemicals where it is not supported by regulation.
- Completing the substitution of HFCs in air conditioners where there are no common industry solutions available.
- Connecting with end consumers may require a technological and even legal evolution in some markets.
- Increasing the adoption of new innovations in more sustainable heating and cooling technology solutions in markets with limited ambitions.
Mitigation Strategies
- Implementing SEK 8bn re-engineering program to modernize and optimize operations.
- Rolling out Zero Waste to Landfill program.
- Switching to renewable energy and electrifying high-energy processes.
- Developing a responsible sourcing scoring model for purchasing decisions.
- Promoting collaboration between Electrolux Purchasing, Sourcing and Licensing teams.
- Conducting on-site and remote supplier assessments and rolling out more e-learnings.
- Developing a global roadmap based on fossil-free equipment and processes.
- Implementing the roadmap based on the WWF water risk assessment for manufacturing footprint.
- Continuing to source electricity from certified renewable sources.
- Piloting biofuels and the electrification of processes.
- Continuing the certification process for Zero Waste to Landfill.
- Developing enhanced food preservation solutions.
- Providing consumers with functionalities for efficient use of food resources during cooking.
- Launching solutions to enhance the experience of eating sustainably.
- Partnering with food experts on food and food waste.
- Continuing to deliver products, solutions and campaigns that help consumers take better care of their clothes.
- Continuing to deliver products, solutions and campaigns that help consumers reduce the environmental impact of their laundry behavior.
- Developing the tool to cope with new Swedish chemical tax legislation.
- Focusing on North America and Latin America for global implementation of chemical management tool.
- Continuing to phase-out high-impact greenhouse gases in air conditioning, food preservation and fabric care globally.
- Developing solutions that enable and inspire consumers to more sustainable home care habits.
- Continuing to raise awareness of air and water hygiene issues.
- Continuing to innovate to enable consumers to reduce their environmental impact.
- Strengthening partnerships with suppliers to ensure a common drive toward reduced environmental impact.
Supply Chain Management
Supplier Audits: 237 in 2021
Responsible Procurement
- Supplier Workplace Standard
- Workplace Directive
- Responsible sourcing scoring model
- CDP Supply Chain Program
Climate-Related Risks & Opportunities
Physical Risks
- Extreme weather conditions
- Flooding
Transition Risks
- Regulatory changes
- Market shifts
Opportunities
- Development of energy-efficient products
Reporting Standards
Frameworks Used: GRI Standards (Core option), UN Global Compact (Advanced level), UN Guiding Principles Reporting Framework
Certifications: ISO 14001, ISO 50001 (78% of factories), ISO 45001
Third-party Assurance: Deloitte AB
UN Sustainable Development Goals
- SDG 3
- SDG 4
- SDG 5
- SDG 6
- SDG 7
- SDG 8
- SDG 12
- SDG 13
- SDG 17
Electrolux's sustainability framework contributes to several SDGs through its goals and initiatives.
Sustainable Products & Innovation
- NutriFresh inverter refrigerator
- Pure 4X water purifier
- Care Drum washing machine
- Electrolux front-load washers
- Microplastic filter
- Genesi refrigerator range
- Electrolux 800 Cordless cleaner
- Well A7 air purifier
Awards & Recognition
- German Red Dot design award for Care Drum
- Electrolux Sustainability Award to CMA-CGM Group
- CDP Supplier Engagement Leader
- CDP A score for Climate and Water