Climate Change Data

Scandi Standard AB (publ)

Climate Impact & Sustainability Data (2023)

Reporting Period: 2023

Environmental Metrics

Total Carbon Emissions:941,326 tCO2e/year (location-based)
Scope 1 Emissions:15,889 tCO2e/year
Scope 2 Emissions:14,424 tCO2e/year (location-based)
Scope 3 Emissions:911,013 tCO2e/year
Renewable Energy Share:100% (electricity for production plants)
Total Energy Consumption:153,851,197 kWh/year
Water Consumption:2,108,475 m3/year
Waste Generated:3,240 tons/year
Carbon Intensity:0.49 kWh per kg product (2023)

ESG Focus Areas

  • Climate change
  • Animal welfare
  • Health & Safety
  • Feed efficiency
  • Plastic and packaging
  • Waste
  • Water
  • Biodiversity
  • Quality and food safety
  • Inclusive culture
  • Suppliers (Code of Conduct)

Environmental Achievements

  • Reduced plastic use in packaging by 5.8% (4,648 tonnes) compared to 2021 baseline.
  • Achieved 30% recycling rate of non-food waste.
  • All electricity purchased for production plants is renewable.
  • More than 90% of transport suppliers provide emissions data and use EURO 6 vehicles.
  • Pilot project in Finland measuring carbon footprint at farm level.

Social Achievements

  • Reduced work-related injuries resulting in lost time by 13% compared to 2022.
  • Launched a digital platform for employee collaboration and communication.
  • High employee satisfaction scores (72% in 2022 Scandi Pulse survey).

Governance Achievements

  • Adopted a new environmental policy.
  • Approved the implementation plan for the new Corporate Sustainability Reporting Directive (CSRD).
  • Board received training on CSRD and ESRS.

Climate Goals & Targets

Long-term Goals:
  • Not disclosed
Medium-term Goals:
  • Halve Scope 1 & 2 emissions by 2030 (compared to 2021 baseline).
  • Halve Scope 3 emissions by 2030 (compared to 2021 baseline).
  • Achieve <1% food loss in production by 2030.
  • Achieve <1% of all flocks treated with antibiotics by 2030.
  • Achieve LTIFR <15 by 2030.
Short-term Goals:
  • Reduce water consumption (local targets)
  • Achieve 100% certified soy by 2025.
  • Implement new Code of Conduct training for all employees by early 2024.

Environmental Challenges

  • Balancing bird production to meet increased consumer demand for breast fillet.
  • Substantial cost inflation requiring implementation of pricing strategy.
  • Reduced volumes in Ready-to-eat segment due to concluded customer contract.
  • Increased costs for handling and logistics in the 'Other' segment.
  • Over 90% of total carbon footprint arises in the value chain outside Scandi Standard's operations.
  • Attracting and retaining skilled employees.
  • Risks of unwanted bacteria and quality deficiencies in purchasing ingredients.
  • Risks related to climate change impacting feed production and supply chain.
Mitigation Strategies
  • Investing in thigh deboning processes to meet increased consumer demand for products with short cooking times.
  • Implementing pricing strategy and measures to boost profitability in Ready-to-cook in Denmark.
  • Expanding Ready-to-eat operations to Finland and diversifying customer base.
  • Adapting products and logistics solutions to meet changing market demands.
  • Developing a detailed transition plan for own operations and the value chain to meet science-based climate targets.
  • Implementing a new, modern, cloud-based business system.
  • Prioritizing safety measures and implementing efficient processes to reduce workplace accidents.
  • Strengthening routines to remedy permit violations more quickly.
  • Implementing a supplier risk assessment process and working with EcoVadis for external sustainability assessments.
  • Working to replace imported soy with alternative and local protein sources.

Supply Chain Management

Supplier Audits: 16 high-risk suppliers assessed by EcoVadis in 2023 (18.8% of identified high-risk suppliers).

Responsible Procurement
  • Supplier Code of Conduct
  • Requirements for certified soy
  • Assessments of suppliers from high-risk countries
  • EcoVadis partnership for external sustainability assessments.

Climate-Related Risks & Opportunities

Physical Risks
  • Extreme weather impact on crops and feed production
  • Rising mean temperatures and changes in precipitation patterns affecting crops/feed producing countries
Transition Risks
  • Pricing of GHG emissions
  • Changes to laws and regulations on land use and deforestation
  • Changed eating habits among consumers
  • Challenges in attracting and retaining talent
Opportunities
  • Changed eating habits from red meat to chicken
  • Diversify the range to include alternative protein sources
  • A low-emission chicken value chain
  • Consumer information and transparency regarding products with a low carbon footprint

Reporting Standards

Frameworks Used: GRI Standards 2021, EU Taxonomy, TCFD

Certifications: ISO 14001 (some sites), ISO 45001 (Danish operations)

Third-party Assurance: PwC (limited assurance)

UN Sustainable Development Goals

  • Goal 7 (Affordable and clean energy)
  • Goal 12 (Responsible consumption and production)
  • Goal 13 (Climate action)
  • Goal 8 (Decent work and economic growth)
  • Goal 15 (Life on land)

Scandi Standard's initiatives contribute to these goals through renewable energy use, waste reduction, emissions reductions, safe working conditions, and responsible sourcing.

Sustainable Products & Innovation

  • Climate-labeled products
  • Products with trays made of recycled PET

Awards & Recognition

  • Ranked as the world’s tenth most sustainable company in the Packaged Food category by Morningstar Sustainalytics.