Associated British Foods plc
Climate Impact & Sustainability Data (2015-08 to 2016-07)
Reporting Period: 2015-08 to 2016-07
Environmental Metrics
Total Carbon Emissions:8.7 million tonnes of CO2e (gross); 4.9 million tonnes CO2e (net)
Renewable Energy Share:49%
Total Energy Consumption:22,800 GWh
Water Consumption:800 million m3
Waste Generated:Just over 1 million tonnes
Carbon Intensity:649 tonnes per £1m of revenue (gross)
ESG Focus Areas
- Modern Slavery
- Environment (Climate Change, Water, Waste)
- People (Safety, Gender Diversity)
- Supply Chain
- Community
- Customers (Nutrition)
Environmental Achievements
- Increased recycled waste to 78% of total waste generated
- Sourced 49% of total energy from renewable sources
- Reduced gross GHG emissions by 9%
- Reduced abstracted water by 14%
Social Achievements
- Created 5,880 new jobs
- Helped 72,367 people in the supply chain through health initiatives
- Supported 8,050 people in need through food programs
- Provided training to 22,477 people
- Trained 381 people to recognize unconscious bias
- Staff raised and donated over £100,000 to charity
- Boosted career prospects for 26,103 young people
- Nutrition education websites helped 8 million customers
Governance Achievements
- Published Modern Slavery Statement
- Strengthened Supplier Code of Conduct
- Introduced new whistleblower hotline service
Climate Goals & Targets
Medium-term Goals:
- AB Agri UK to reduce energy use by 20% by 2024
Short-term Goals:
- British Sugar to reduce CO2 emissions per tonne of sugar by 2020
Environmental Challenges
- Three fatalities in African operations
- Increased number of environmental complaints (62)
- Water challenges due to climate events (droughts, floods)
- Addressing modern slavery in complex supply chains
- Maintaining safety performance during business growth
- Addressing public health concerns about sugar consumption
- Accusations of land-grabbing by Illovo Sugar in Malawi
Mitigation Strategies
- Thorough root cause investigations of fatalities
- Engagement with stakeholders to address complaints
- Investment in water infrastructure and efficiency projects
- Risk assessments and action plans for modern slavery
- Investment in health and safety risk management (£36m)
- Reformulating products to reduce sugar content
- Detailed response to land-grabbing allegations, including a land policy and roadmap
Supply Chain Management
Supplier Audits: 2,629 audits (Primark); Audits of high-priority suppliers (AB Sugar)
Responsible Procurement
- Supplier Code of Conduct
- Ethical sourcing initiatives
- Partnerships with NGOs (e.g., UNICEF, CottonConnect)
Climate-Related Risks & Opportunities
Physical Risks
- Extreme weather, droughts, floods
Transition Risks
- Changing water and carbon-related regulations
Opportunities
- Energy efficiency projects
- Renewable energy generation
Reporting Standards
Frameworks Used: AA1000AS
Certifications: ISO 50001 (British Sugar), LEAF Marque (Jordans Farm Partnership), BRC Global Standard (PGP)
Third-party Assurance: EY
Sustainable Products & Innovation
- Products with reduced sugar, salt, and fat content
- AlphaSoy (AB Agri)
- Yeast-based protein product from dried distillers’ grains (AB Agri)
Awards & Recognition
- WWF Palm Oil Buyers Scorecard - Leading the Way
- Twinings ranked fourth in UK’s Best Workplaces survey