Associated British Foods plc
Climate Impact & Sustainability Data (2022-08 to 2023-07)
Reporting Period: 2022-08 to 2023-07
Environmental Metrics
Total Carbon Emissions:2,915,000 tCO2e/year (Scope 1 & 2)
Scope 3 Emissions:7,675,000 tCO2e/year
Renewable Energy Share:58%
Total Energy Consumption:21,183 GWh/year
Water Consumption:860,000,000 m3/year
Waste Generated:520,618 tons/year
ESG Focus Areas
- Agriculture and farming practices
- People in our supply chains and surrounding communities
- Our people
- Carbon and climate
- Efficient resource use
- Food and nutrition
Environmental Achievements
- Group Scope 1 and 2 emissions have fallen by 39% since the Paris Agreement was signed in 2015.
- 29% of the electricity purchased came from a renewable source (a 62% increase compared to last year).
- 909 GWh of renewable energy generated by our sites was exported.
- Overall waste generated decreased by 11% compared with 2022.
- 83% of total waste was sent for recycling or other beneficial use.
- Water abstraction across Grocery businesses reduced from 5 million m3 to 4 million m3.
- Primark reduced its on-site LTI rate by 15%.
Social Achievements
- Primark Sustainable Cotton Programme celebrated its 10th anniversary, selling over 337 million products made from this cotton and training 299,388 farmers.
- Over 18,000 managers trained to support employee wellbeing.
- Women make up 55% of the total global workforce.
- Almost 90% of businesses report a 70% and above favourable score for their main measure of engagement.
Governance Achievements
- ESG and Strategic KPI element included in the short-term incentive plan (STIP) for executive directors.
- Processes to share legal compliance standards across the Group.
- 216 notifications received through the Speak Up Policy, with 24% resolved.
Climate Goals & Targets
Long-term Goals:
- Net zero emissions by 2050 or sooner
Medium-term Goals:
- Achieve 30% renewable energy by 2030 (example)
- Source 100% of cotton from organic, recycled, or PSCP sources by 2027 (Primark)
Short-term Goals:
- Reduce water consumption by 10% by 2025 (example)
- Reduce Scope 1 and 2 emissions by 30% by 2030 (ABF Sugar)
- Reduce absolute Scope 1, 2 and 3 emissions by 50% by 2030 (Primark)
Environmental Challenges
- Extreme weather events, increasing water stress, biodiversity loss and soil degradation.
- Devastating floods in Mozambique wiped out the entire sugar crop.
- Supply chain disruptions.
- Rising living costs.
- Scope 3 emissions across the Group.
Mitigation Strategies
- Businesses continue to proactively adapt and put in place mitigation action to build resilience against extreme weather events.
- Investing in programmes to help remove barriers to diverse talent.
- Focusing on ensuring financial wellbeing tools and resources are available internationally.
- Measuring Scope 3 emissions and working with suppliers to reduce them.
- Implementing various initiatives to reduce waste at source.
Supply Chain Management
Supplier Audits: 2,360 audits in 2022 (Primark)
Responsible Procurement
- Group Supplier Code of Conduct
- RSPO certified palm oil
- FEFAC benchmark for responsibly sourced soya
Climate-Related Risks & Opportunities
Physical Risks
- Extreme weather events
- Flooding
- Droughts
- Heat impact on farmers
Transition Risks
- Carbon pricing mechanisms
- Regulatory changes
Opportunities
- Renewable energy
- Energy efficiency
- Carbon enablement products
Reporting Standards
Frameworks Used: TCFD, GRI, UNGPs, ILO, OECD Guidelines for Multinational Enterprises, Ethical Trading Initiative, SAI Platform, ProTerra, SBTi
Certifications: ISO 50001, RSPO, GMP+, Red Tractor, SUSFARMS®, APIQ
Third-party Assurance: Ernst & Young (EY)
UN Sustainable Development Goals
- 2, 3, 5, 6, 7, 8, 9, 10, 12, 13, 15
Initiatives contribute to these goals through various programs and commitments (detailed in report).
Sustainable Products & Innovation
- NovaPro (AB Agri)
- Enzymes for lower-temperature washing (AB Enzymes)
Awards & Recognition
- FSA Growing a Better Planet Award (Phata, Malawi)