Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Significant achievements in savings of natural resources and the reduction of emissions and disposal of waste in the different processes of the value chain
• Achieved standard ISO 50001 certification for energy management systems in several of its production centres
• Incorporation of renewable sources of energy into the Group’s energy mix increased by 24.8% compared to the previous year
• Significant reduction in scope 1 emissions in 2022, which dropped by more than 22%
• Achieved the goal of 100% of the electricity acquired being produced from renewable sources, thus completely eliminating scope 2 CO2 emissions
• Waste recycled increased to 97% from 95% in 2021
• Hazardous waste reduced by 18.4% compared to 2021

Social Achievements

• Actions aimed at guaranteeing a safe, healthy and egalitarian working environment for the whole workforce
• Initiatives aimed at the creation of value in the local communities in which Miquel y Costas operates
• Updating of our Code of Ethics in 2022, which reinforces the Group’s commitment to conducting its activities in accordance with solid ethical values
• 36% decrease in the accident rate compared to 2021

Governance Achievements

• Updating of the Code of Ethics in 2022
• No cases of corruption, bribery, fraud, money laundering or any other type of crime detected in 2022

Climate Goals & Targets

Environmental Challenges

• Huge increases in the costs of gas and electricity
• Considerable hikes in the price of pastes and many raw materials
• Deceleration in the growth of the global GDP in 2022
• Geopolitical tensions arising from the war in Ukraine hampering international trade
• Deterioration of the trade relationship between Spain and Algeria

Mitigation Strategies

• Price updating carried out through negotiations with clients
• Achieving of a larger volume in certain lines of business
• Active management of its sales policy, applying price increases and negotiating tariff updating mechanisms
• Proactive management in its product policies
• Implementation of renewable energy in its operations (photovoltaic installations)

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• 100% of the paste purchased was supplied by suppliers holding FSC® and PEFC certificates
• Prioritising the purchasing of raw materials in geographical areas where their cultivation and production is done responsibly

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: GRI

Certifications: ISO 50001, ISO 9001:2015, IATF 16949:2016, BRCGS Packaging Materials, UNE-EN ISO 22000:2018, UNE-EN ISO 14001, ISO 45001:2018, FSC®, PEFC

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Biodegradable filters for cigarettes
• Highly water resistant material replacing plastic straws
• Greaseproof paper with high heat resistance and very low grammage
• Paper reductions in heat-sealing paper tea bags
• Pharmamed 40 paper for pharmaceutical industry

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Achieved a triple A rating from CDP in Climate Change, Water Security, and Forests.
• Obtained EcoVadis Platinum rating.
• Reduced absolute scope 1+2 CO2 emissions by 55.3%, and scope 1+2+3 emissions by 38.6% (base year: 2018).
• Increased the proportion of energy from renewable sources to 39% (35% in 2022).

Social Achievements

• Invested €2.4 million in H&S measures.
• Invested €268,000 in training activities, including compliance culture and talent development.
• Maintained a safe working environment with a lower accident rate than the industry average.

Governance Achievements

• Updated Code of Ethics in 2022.
• Updated Anti-corruption and Anti-bribery Policy in 2023.
• Implemented Internal Control Model for the Prevention of Criminal Risk.
• Formally adhered to the 10 Principles of the United Nations Global Compact.

Climate Goals & Targets

Environmental Challenges

• Adaptation of sales policy to new paste and energy prices.
• Lower demand in some markets due to customer stock reduction policies.
• Refurbishment delays of the M2 machine.
• 4.6% year-on-year decrease in domestic paper and cardboard production.

Mitigation Strategies

• Investments in continuous quality improvement, new product development, cost reduction, environmental protection, and energy optimization (€18.4 million total investment).
• Development of alternative sourcing strategies (implied).

Supply Chain Management

Supplier Audits: 100% of fibre and paste suppliers assessed; 100% of strategic suppliers assessed on corporate social responsibility.

Responsible Procurement

• 100% of wood pulp from FSC and/or PEFC certified suppliers.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI

Certifications: ISO 50001, ISO 45001, IATF 16949:2016, UNE-EN ISO 9001:2015, BRCGS Packaging Materials Protocol (Grade A+)

UN Sustainable Development Goals

• SDG 7
• SDG 12
• SDG 13
• SDG 15
• SDG 6
• SDG 14

The report details how various initiatives contribute to these goals.

Sustainable Products & Innovation

• Filters made entirely of special pastes from renewable natural fibres.
• Paper lined with heat-sealable materials for paper bags.
• Sustainable, ecological materials free of PFAS.
• Food-grade paper with biowax barrier coating.
• Thin, resistant paper with barrier properties against oil, humidity, water, steam, and oxygen.

Awards & Recognition

• CDP Triple A rating
• EcoVadis Platinum rating