Dowlais Group plc
Climate Impact & Sustainability Data (2023)
Reporting Period: 2023
Environmental Metrics
Total Carbon Emissions:14,913,090 tCO2e (Market-based)
Scope 1 Emissions:123,101 tCO2e
Scope 2 Emissions:559,660 tCO2e (Market-based)
Scope 3 Emissions:14,230,329 tCO2e
Renewable Energy Share:10%
Total Energy Consumption:2,066,826 MWh
Water Consumption:2,898,716 m3
Waste Generated:224,848 tons
Carbon Intensity:140 tCO2e per £m revenue (Market-based)
ESG Focus Areas
- Climate Change
- Product Sustainability
- Natural Resources
- Health, safety and wellbeing
- Diversity, equity & inclusion
- Community
- Product safety and quality
- Responsible sourcing and human rights
- Ethics and integrity
Environmental Achievements
- 6.4% decrease in Group emissions on a market basis against a 6.3% increase in sales at constant currency, representing an 11.6% decrease in emissions intensity.
- GKN Automotive’s net zero by 2045 and near-term carbon emissions targets validated by the SBTi.
- GKN Powder Metallurgy submitted its 2030 GHG reduction targets and 2050 net zero target for SBTi validation.
- GKN Powder Metallurgy received a Platinum EcoVadis medal, and GKN Automotive received Silver.
- 98% of waste produced by GKN Automotive diverted from landfill.
- 89% of waste produced by Dowlais Group recycled.
Social Achievements
- Launched a new wellbeing framework at GKN Automotive.
- Held GKN Powder Metallurgy’s first global safety awareness week.
- GKN Automotive launched a new charitable giving framework and network of local community champions.
- GKN Automotive completed a six-month project to build a new internal tool for LCA.
- GKN Automotive’s new plant in Hungary launched with zero safety incidents.
Governance Achievements
- Established a central sustainability function and a Group Sustainability Committee.
- Developed a comprehensive set of policies and processes for all ESG issues.
- Maintained 100% compliance on ISO 45001 certifications at manufacturing sites.
- Maintained 100% of the Group’s product portfolio (by revenue) certified to ISO 9001 or IATF 16949.
- No product safety-related recalls in the Group.
Climate Goals & Targets
Long-term Goals:
- Net Zero by 2050 (backed by SBTi).
Medium-term Goals:
- GKN Automotive: 33% female representation on Executive Committee by 2030.
- GKN Automotive: 45% reduction in absolute Scope 1 and 2 GHG emissions by 2030.
- GKN Automotive: 25% reduction in absolute Scope 3 GHG emissions by 2030.
- GKN Powder Metallurgy: 42% reduction in absolute Scope 1 and 2 GHG emissions by 2030.
- GKN Powder Metallurgy: 25% reduction in absolute Scope 3 GHG emissions by 2030.
Short-term Goals:
- Implement Group Water Stewardship Programme by 2025.
- Achieve AFR < 0.1%
- Divert 100% of (solid, non-hazardous) waste from landfill by 2030.
- All sites to have at least one charitable partnership by 2025 (GKN Automotive).
Environmental Challenges
- Reducing Scope 3 emissions across the value chain.
- Meeting evolving customer requirements for sustainable practices.
- Managing risks associated with the use of critical materials.
- Ensuring responsible sourcing and human rights throughout the global supply chain.
- Preparing for the CSRD and CBAM.
Mitigation Strategies
- Developed science-based targets for emission reductions.
- Implemented a multi-pronged strategy for emission reductions, including technological innovations, energy efficiency improvements, and renewable energy solutions.
- Strengthened Supplier Code of Conduct and introduced a supplier self-assessment tool.
- Working with NQC to assess suppliers on ESG performance.
- Conducting operational and supply chain risk assessments for human rights and sustainability.
Supply Chain Management
Supplier Audits: Over 90% of senior commercial and procurement teams in GKN Automotive received training on sustainability and responsible sourcing; 39% of strategic suppliers shared sustainability roadmaps and targets (GKN Automotive).
Responsible Procurement
- Supplier Code of Conduct (SCOC)
- Conflict Minerals Policy
- Human Rights Policy
- Sustainability and responsible sourcing training for procurement teams.
Climate-Related Risks & Opportunities
Physical Risks
- Flooding
- Severe weather events
Transition Risks
- Changing customer behavior
- Carbon pricing and regulation
- New technologies
Opportunities
- Development of energy-efficient products and technologies for EVs.
Reporting Standards
Frameworks Used: SASB Auto Parts, TCFD, UN SDGs, EU CSRD
Certifications: ISO 14001, ISO 45001, ISO 9001, IATF 16949
UN Sustainable Development Goals
- Goal 3
- Goal 4
- Goal 5
- Goal 6
- Goal 8
- Goal 9
- Goal 10
- Goal 12
- Goal 13
- Goal 15
- Goal 16
Targets and commitments mapped to relevant SDGs.
Sustainable Products & Innovation
- AWD disconnect system (reduces CO2 emissions by up to 80%)
- Next generation 3-in-1 eDrive system
- Recyclable bioplastics
- Recycled rare earth magnets
- Electric water pump for hybrid vehicles
- Electric motor for e-motorbike
Awards & Recognition
- EcoVadis Platinum medal (GKN Powder Metallurgy)
- EcoVadis Silver rating (GKN Automotive)
- Various customer awards for safety performance (GKN Automotive)
- Greentech CSR Award 2023 for rural development (GKN Powder Metallurgy)