Climate Change Data

Sphera Franchise Group SA

Climate Impact & Sustainability Data (2022)

Reporting Period: 2022

Environmental Metrics

Total Carbon Emissions:10,521.21 tCO2e (location-based)
Scope 1 Emissions:1,038.48 tCO2e/year
Scope 2 Emissions:9,482.73 tCO2e/year (location-based), 12,655.40 tCO2e/year (market-based)
Scope 3 Emissions:N/A
Renewable Energy Share:0%
Total Energy Consumption:152,601.83 GJ/year
Water Consumption:291,511 m3/year
Waste Generated:6,583.48 tons/year (disposed)
Carbon Intensity:7.95 tons CO2e/Mln RON (net sales), 7.39 tons CO2e/Mln RON (gross sales)

ESG Focus Areas

  • Corporate Governance
  • Compliance and Risk Management
  • Cybersecurity
  • Environmental Responsibility (Energy Efficiency, Sustainable Materials, Waste Reduction)
  • Social Responsibility (Human Rights, Employee Well-being, Community Engagement)
  • Supply Chain Sustainability

Environmental Achievements

  • Reduced diesel consumption of fleet by 24% and gasoline consumption by 14%
  • 100% recycling of metal and glass packaging in Romania and Moldova restaurants
  • All paper product suppliers prove sustainable forest sourcing
  • All three Romanian companies certified in food safety management (ISO 22000:2018)
  • 100% of plastic straws and bags replaced with sustainable alternatives
  • Electricity savings of 1,389.95 MWh in KFC restaurants compared to 2021
  • 8% reduction in Scope 1 emissions compared to 2021

Social Achievements

  • 34 different nationalities among employees
  • Over 50% women in management positions in 5 of 6 Group companies
  • Invested over RON 1 million in CSR projects, supporting children from disadvantaged backgrounds
  • Donated 7 tonnes of food in 2022 through Harvest program
  • 90% of operations training programs available on digital learning platforms
  • 80% internal promotion rate for restaurant management roles achieved
  • Implemented Group-wide wellbeing program in May 2022

Governance Achievements

  • Updated policies, including supplier dealings and Code of Conduct
  • No cases of conflicts of interest, bribery, or corruption
  • ESG Low Risk rating (18.7) from Morningstar Sustainalytics
  • Implemented double materiality methodology for risk and opportunity assessment
  • Complied with EU Taxonomy reporting requirements

Climate Goals & Targets

Long-term Goals:
  • Not disclosed
Medium-term Goals:
  • 80% internal promotion rate for restaurant management roles by 2025
  • 100% of restaurants equipped with kiosk ordering systems by 2021 (achieved)
  • 100% of restaurants equipped with digital menu boards in all KFC and Taco Bell restaurants by 2022 (achieved)
Short-term Goals:
  • Auditing of basic product suppliers according to Code of Conduct by 2025
  • 100% energy-efficient lighting (LED) by 2024
  • 100% consumer packaging based on recoverable or reusable plastic by 2025
  • 2% of staff from vulnerable communities or people with disabilities by 2023

Environmental Challenges

  • Supply chain disruptions
  • Rising energy costs
  • International pressure to reduce greenhouse gas emissions
  • New regulations on mitigating climate change effects
  • High staff turnover rates in the hospitality sector
Mitigation Strategies
  • Contingency plans for raw material supply and unforeseen events
  • Investment in energy efficiency and low-carbon technologies
  • Sustainable fleet management (Euro 6 trucks, hybrid cars)
  • Updated and digitalized HR processes (recruitment, training, performance review)
  • Improved onboarding and training for new employees
  • Focus on employee well-being and satisfaction

Supply Chain Management

Supplier Audits: 24 (food safety) in 2022

Responsible Procurement
  • Supplier Code of Conduct
  • Sustainable sourcing policy (paper from sustainably managed forests)
  • Animal welfare policy
  • Ethical procurement practices

Climate-Related Risks & Opportunities

Physical Risks
  • Extreme weather events
  • Supply chain disruptions
Transition Risks
  • Rising energy costs
  • Carbon emission taxes
  • Regulatory changes
Opportunities
  • Energy efficiency improvements
  • Development of low-carbon technologies

Reporting Standards

Frameworks Used: GRI 2021, SASB 2018 (Food & Beverage)

Certifications: ISO 22000:2018 (food safety management)

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

  • Not disclosed

The report mentions contribution to UN Sustainable Development Goals but doesn't specify which ones.

Sustainable Products & Innovation

  • Paper straws, wooden cutlery, biodegradable bags

Awards & Recognition

  • Numerous national and international awards (Effie, Golden Drum, Internetics, etc.)
  • ESG Low Risk rating (18.7) from Morningstar Sustainalytics