Essentra PLC
Climate Impact & Sustainability Data (2020, 2022, 2023)
Reporting Period: 2020
Environmental Metrics
ESG Focus Areas
- Responsible Resource Usage
- Energy and Climate Change
- People and Community
- Responsible Supply Chain
Environmental Achievements
- Reduced greenhouse gas emissions by 13% compared to 2019
- Reduced waste to landfill by 36.2% compared to 2019
- Increased number of sites with zero waste to landfill from 8 in 2019 to 20 in 2020
Social Achievements
- Launched global health and wellbeing strategy, Essentra Thrives, including extension of Employee Assistance Programmes globally
- Reduced total number of days lost due to incidents by 23% from 855 in 2019 to 655 in 2020
- Maintained high employee engagement at 77% (78% in 2019)
Governance Achievements
- Formed a new Board Sustainability Committee in late 2019, elevating sustainability to Board level
- Established a Group Compliance Committee (GCC) to oversee compliance programs and procedures
- Refreshed the Code of Ethics and provided training to all employees
Climate Goals & Targets
- Carbon neutral by 2040
- All sites at zero waste to landfill by 2030
- 20% reduction in total waste by 2030
- Reduce normalised Scope 1 and 2 emissions by 25% by 2025 (vs 2019 baseline)
- Use 20% recycled or renewable polymer raw materials by 2025
Environmental Challenges
- COVID-19 pandemic impacting employee wellbeing and operations
- Potential changes in regulation related to single-use plastics
- Climate change risks to global operations
Mitigation Strategies
- Introduced strict hygiene and safety measures, extended PPE to family members in some areas, established informal support networks and alternative working arrangements
- Developed more sustainable products, including plastic-free and biodegradable cigarette filters and packaging with recycled content
- Implemented a risk-based supplier audit programme and Ethics Code certification for over 70% of supplier spend
Supply Chain Management
Supplier Audits: Over 70% of supplier spend covered by Ethics Code certification by end of 2020
Responsible Procurement
- Supplier code of conduct
- Modern Slavery Statement
Climate-Related Risks & Opportunities
Physical Risks
- Not disclosed
Transition Risks
- Potential changes in regulation related to single-use plastics
Opportunities
- Development of energy-efficient products and sustainable filters
Reporting Standards
Frameworks Used: CDP, Ecovadis, TCFD
Certifications: SA 8000 (Filters operations in India, Indonesia, and Thailand)
Third-party Assurance: ERM CVS
UN Sustainable Development Goals
- Not disclosed
Nine SDGs have a strong and direct link to Essentra’s business
Sustainable Products & Innovation
- Recycled plastic in Components products
- More sustainable secondary packaging for beauty brands
- Biodegradable cigarette filters
- Supastrip PCR product with 70% post-consumer recycled content
Awards & Recognition
- IT Service Desk Insourcing Project won “Best Service Improvement Project 2020” at the Service Desk Institute Awards
- Essentra awarded “Payroll Software Supplier of the Year” with Ceridian by the Global Payroll Association
Reporting Period: 2022
Environmental Metrics
ESG Focus Areas
- Emissions
- Water
- Waste
- Sustainable Materials
- Scope 3 emissions
Environmental Achievements
- Not disclosed
Social Achievements
- Not disclosed
Governance Achievements
- Not disclosed
Climate Goals & Targets
- Not disclosed
- Not disclosed
- Not disclosed
Environmental Challenges
- Data limitations restricting the use of the distance-based method for Upstream Transport and Distribution (Category 4) emissions.
Mitigation Strategies
- Continuous improvement planned to source activity data for Category 4 emissions.
Supply Chain Management
Supplier Audits: Not disclosed
Responsible Procurement
- Not disclosed
Climate-Related Risks & Opportunities
Physical Risks
- Not disclosed
Transition Risks
- Not disclosed
Opportunities
- Not disclosed
Reporting Standards
Frameworks Used: Greenhouse Gas Protocol
Certifications: Null
Third-party Assurance: Independent auditors, to ISAE 3000 standards
UN Sustainable Development Goals
- Not disclosed
Not disclosed
Sustainable Products & Innovation
- Not disclosed
Awards & Recognition
- Not disclosed
Reporting Period: 2023
Environmental Metrics
ESG Focus Areas
- Our planet
- Our components
- Our customers
- Our culture
- Our communities
Environmental Achievements
- 38% reduction in scope one and two GHG emissions since 2019
- 30% reduction in scope three GHG emissions intensity since 2022
- 14 sites achieved zero waste to landfill in 2023
- 94% of solid waste diverted from landfill in 2023
- Achieved 20% of materials from sustainable sources in polymer ranges two years ahead of plan (20.7% in 2023)
- Renewable electricity now accounts for 44% of total electricity usage
Social Achievements
- 57% reduction in days lost due to incidents in 2023
- 99% of employees trained on Ethics Code in 2023
- Launched Leadership Safety Commitment
- Yichun site achieved 365 days without a lost time incident
- Launched healthy lifestyles campaigns
Governance Achievements
- Supplier Code of Conduct refreshed and launched in 2023
- Joined the UN Global Compact initiative
- 18% of targeted suppliers have signed up to the new Supplier Code
Climate Goals & Targets
- Reach net-zero emissions by 2040 (scopes 1 & 2)
- Reach net-zero emissions by 2050 (scope 3)
- 25% of leaders identify as ethnically diverse by 2030
- Reduce absolute scope one and two GHG emissions by 50% by 2030 from a 2019 base year
- Reduce scope three GHG emissions intensity by 55% per GBP of value added by 2030
- 40% women in leadership teams by 2025
- 50% of materials from sustainable sources by 2030 across manufactured polymer ranges
- 100% of packaging reusable, recyclable or compostable by 2030
- 50% recycled content in packaging materials by 2030
- All sites to achieve zero waste to landfill by 2024
- Mental health training to 80% of leaders by end 2024
- Healthy lifestyles campaigns at 50% of sites by 2025
Environmental Challenges
- Increasing water usage due to increased operational footprint and usage at metals manufacturing sites
- Need to increase supplier engagement for emissions reduction initiatives
- Low percentage of employees participating in community engagement days (13%)
Mitigation Strategies
- Plan to begin reporting on water usage per head and create an action plan for high-usage sites in 2024
- Commenced engagement with metals and packaging suppliers on emissions reduction, expanding to more suppliers in 2024
- Implemented a third-party shipment tracking service to optimize routes and reduce emissions
- Focus on waste reduction in 2024 with 57% of employees having waste reduction as part of bonus objectives
- Relaunched Community Engagement Policy to increase visibility and encourage participation
Supply Chain Management
Supplier Audits: 19 on-site audits in 2023
Responsible Procurement
- Supplier Code of Conduct covering health, safety, environment, human and labor rights, and ethics
Climate-Related Risks & Opportunities
Physical Risks
- Impact of extreme weather
Transition Risks
- Changes in legislation on material use and environment
Opportunities
- Development of energy-efficient products
- Growth in low-carbon markets (renewables, EVs)
Reporting Standards
Frameworks Used: UN Sustainable Development Goals, CDP, SBTi, TCFD, UN Global Compact
Certifications: ISO 14001, ISO 45001, ISO 9001 or ISO/IATF 16949
Third-party Assurance: ERM Certification and Verification Services Limited
UN Sustainable Development Goals
- Not disclosed
Nine UN SDGs have a direct link to Essentra's operations.
Sustainable Products & Innovation
- Products with lower GHG emissions, increased recycled content or biomaterials, and improved circularity
Awards & Recognition
- EcoVadis Silver Medal 2023
- MSCI AA Rating 2023