Morgan Advanced Materials plc
Climate Impact & Sustainability Data (2022)
Reporting Period: 2022
Environmental Metrics
Total Carbon Emissions:211,104 tCO2e/year
Scope 1 Emissions:121,889 tCO2e/year
Scope 2 Emissions:89,115 tCO2e/year
Scope 3 Emissions:Approximately 700,000 tCO2e/year (2021 data)
Renewable Energy Share:49% of total electricity consumption
Total Energy Consumption:1,058 GWh/year
Water Consumption:1.93 million m3/year
Waste Generated:47,879 tons/year
Carbon Intensity:Not disclosed
ESG Focus Areas
- Climate Change
- Water Stewardship
- Safety
- Workforce Diversity & Inclusion
- Sustainable Sourcing
Environmental Achievements
- Reduced absolute scope 1 and 2 CO2e emissions by 8.2%
- Achieved 49% carbon-free electricity
- Improved energy intensity (price-adjusted) by around 2%
- Reduced CO2e emissions at Ranipet site by nearly 50% through electrification and solar power
- Improved waste generation at several sites by enhancing waste segregation
Social Achievements
- Launched three employee resource groups (ERGs)
- Improved employee engagement score to 53% (from 50% in 2021)
- Relaunched early careers program with increased focus on diversity (45% female cohort)
- Rolled out 'thinkSAFE' training in all plants
Governance Achievements
- Signed a longer-term contract with SAI360 for EHS360 Management System
- Undertook a pilot study in cradle-to-gate Life Cycle Assessment of products
- Established a cross-functional committee to work with top-tier suppliers on ESG
Climate Goals & Targets
Long-term Goals:
- CO2e net zero business by 2050
Medium-term Goals:
- 30% reduction in total water usage by 2030
- 30% reduction in water use in high and extremely high stress areas by 2030
- 50% reduction in direct CO2e emissions (scope 1 & 2) by 2030
- 0.10 lost time accident rate by 2030
- 40% of leadership population will be female by 2030
- Top quartile engagement score by 2030
Short-term Goals:
- 65% renewable or carbon-free electricity by the end of 2025
- Complete a scope 3 inventory and develop reduction strategies in 2023
- Conduct life cycle assessments on key products in 2023
- Include a shadow carbon price in Capex business cases
Environmental Challenges
- Overall water usage increased by 11.6% due to volume increases, product mix changes, and water leaks
- LTA rate worsened to 0.28 (from 0.22 in 2021)
- Delayed purchase of green energy credits for German sites
- Challenges in obtaining green energy allocation proofs for Kizad site in UAE
- Significant water leak at one site
Mitigation Strategies
- Completed process and infrastructure improvements to reduce water usage in 2023
- Broad program underway to improve safety performance, including 'thinkSAFE' training and enhanced plant-level activities
- Will ensure all green energy credits are obtained before reporting deadlines
- Will undertake a detailed GHG inventory exercise in 2023 to address calculation discrepancies
- Program to detect and reduce water leaks at production sites
Supply Chain Management
Supplier Audits: ESG questionnaire distributed to top suppliers in 2022; ESG training planned for 2023
Responsible Procurement
- Supplier Code of Conduct
Climate-Related Risks & Opportunities
Physical Risks
- Not disclosed
Transition Risks
- Exposure to carbon taxation
Opportunities
- Development of energy-efficient products
- Growth in semiconductor, clean energy, and clean transportation markets
Reporting Standards
Frameworks Used: GRI, TCFD, SBTi
Certifications: Null
Third-party Assurance: Not disclosed
UN Sustainable Development Goals
- SDG 6 (Clean Water & Sanitation)
- SDG 12 (Responsible Consumption and Production)
- SDG 13 (Climate Action)
Morgan's 2030 ESG objectives are consistent with these SDGs.
Sustainable Products & Innovation
- Ceramic cores for energy-efficient turbine blades
- Brush grades for wind turbines
- Collector strips and carbon shoes for electrified rail
Awards & Recognition
- AAA MSCI ESG Rating (2021 and 2022)
- Silver EcoVadis medal (2022)