Climate Change Data

Tesco PLC

Climate Impact & Sustainability Data (2001-02, 2003-03 to 2004-02, 2005-03 to 2006-02, 2018-2022, 2020-21, 2021-03-01 to 2022-02-26, 2022-02-26 to 2023-02-25, 2023-24, 2024, March 2008 to February 2009)

Reporting Period: 2001-02

Environmental Metrics

ESG Focus Areas

  • Economic
  • Social
  • Environmental

Environmental Achievements

  • Further improvement in energy efficiency, saving over £8 million and offsetting the cost of the climate change levy.
  • Reduced water use in store by 10%.
  • Continued improvement in recycling of secondary packaging waste – saving the equivalent of 1.2 million trees.
  • Continued roll out of improved merchandising systems in store – 4% increase in the use of reusable green trays.
  • Launch of customer focused recycling programme – mobile phones, Christmas cards and carrier bags added to existing store recycling facilities.
  • Launch of biodegradable packaging trial on organic fruit.

Social Achievements

  • Most successful year for Computers for Schools, having donated over £70 million worth of ICT equipment.
  • Raised over £2 million for Alzheimer’s Society and Alzheimer Scotland Action on Dementia.
  • Maintained membership of the BITC PerCent Club, donating more than 1% of pre-tax profits.
  • Opened two regeneration stores, creating 1,050 new jobs.
  • Launched the Tesco Teaching Masterclass programme.
  • Stocked over 7000 regional food products in local stores.
  • Promoted 800 members of staff into managerial positions.

Governance Achievements

  • Tesco is committed to high standards of corporate governance.
  • Established a cross-functional Corporate Social Responsibility Group.
  • Incorporated environmental, social and ethical issues into risk analysis at each level.

Climate Goals & Targets

Medium-term Goals:
  • Reduce electricity and gas consumption in stores per square foot by 35% by 2006.
Short-term Goals:
  • Reduce water consumption in stores by 10%.

Environmental Challenges

  • Managing standards across a large and complex own-brand supplier base.
  • Addressing customer concerns about GM food.
Mitigation Strategies
  • Working with suppliers to maintain, develop and improve standards.
  • Providing proper information and clear labelling on GM food.
  • Seeking reliable sources of non-GM ingredients.

Supply Chain Management

Responsible Procurement
  • DTI Code of Conduct

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: Global Reporting Initiative (GRI), DEFRA (UK Department of Environment, Food and Rural Affairs) Environmental Reporting Guidelines, Association of British Insurers (ABI) Guidelines on Disclosure of Social Responsibility

Sustainable Products & Innovation

  • Organic products
  • Biodegradable packaging

Awards & Recognition

  • Business in the Community (BITC) Impact Endorsement Award for Computers for Schools
  • Financial Times BITC ‘Programme Impact Award’ for Innovation for Leeds Seacroft Regeneration Partnership
  • 5 awards for the St Rollox, Glasgow Regeneration Scheme
  • 3 awards at Recruitment Advertising Awards
  • Gold Award at the New York Film Festival for Pensions Video

Reporting Period: 2003-03 to 2004-02

Environmental Metrics

Total Energy Consumption:117.3 Kwh per ft2 sales space (2003/04)
Water Consumption:1.42 m3 per m2 sales space (2003/04)
Waste Generated:131,052 tonnes to landfill (2003/04)

ESG Focus Areas

  • Economic
  • Social
  • Environmental

Environmental Achievements

  • Recycled 80% of cardboard and 85% of plastic used in operations
  • Introduced degradable carrier bags
  • Used brownfield sites for 96% of new developments
  • Reduced energy consumption per square foot by 2%
  • Reduced water consumption per square foot by 4.2%

Social Achievements

  • Created 16,000 new jobs in the UK, many in deprived areas
  • Gave £7m in computer equipment to schools
  • Raised £2.5m for Barnardo’s
  • Launched own-brand Fair Trade range
  • Introduced a new confidential Protector Line for staff concerns

Governance Achievements

  • Established the position of dedicated Corporate Governance Manager
  • Carried out the first internal audit of corporate responsibility reporting system

Climate Goals & Targets

Medium-term Goals:
  • 80% of supply base compliant with Nature’s Choice standards by 2005
  • 100% of suppliers in 55 countries worldwide compliant with Nature’s Choice by 2006
Short-term Goals:
  • Reduce energy consumption per square foot by 35% by 2006
  • Open 3 partnership stores, create 1000 jobs, initiate 6 new partnerships

Environmental Challenges

  • High expectations from investors, media, public, NGOs, and government
  • Difficulties at plastic recycling contractors
  • Concerns over confidentiality, complexity, and duplication of effort in certain surveys
  • Accusations of strong-arm tactics in dealings with South African suppliers
  • Need for better structured relationships with NGOs
Mitigation Strategies
  • Increased seniority of the CR Committee, now reporting to the Board
  • Changed the company used for plastic recycling
  • Decided not to participate in Race to the Top due to concerns
  • Maintained that accusations of strong-arm tactics were wrong; emphasized partnerships with suppliers
  • Setting up a more organized contact program with NGOs, commissioning qualitative research

Supply Chain Management

Supplier Audits: 83 high-risk sites audited (2003/04)

Responsible Procurement
  • Ethical Trading Initiative (ETI) Base Code
  • SEDEX (web-based system for supplier data on labor standards)
  • Buying With Your Eyes Open (BWYEO) and Supplying With Your Eyes Open (SWYEO) training courses
  • Nature’s Choice scheme for fruit, vegetable, and salad suppliers

Climate-Related Risks & Opportunities

Sustainable Products & Innovation

  • Own-brand Fair Trade range
  • Healthy Living products
  • Free From range
  • MSC-certified seafood products

Awards & Recognition

  • AAAAB rating in Business in the Community’s 2004 Corporate Responsibility Index
  • Queen’s Award for Enterprise for green trays

Reporting Period: 2005-03 to 2006-02

Environmental Metrics

Total Carbon Emissions:1.75 million tonnes CO2e (2005/06)
Scope 1 Emissions:Not disclosed
Scope 2 Emissions:Not disclosed
Scope 3 Emissions:Not disclosed
Renewable Energy Share:Not disclosed
Total Energy Consumption:Not disclosed
Water Consumption:3,161,811 m³ (2005/06)
Waste Generated:384,517 tonnes (2005/06)
Carbon Intensity:Not disclosed

ESG Focus Areas

  • Community
  • Corporate Responsibility
  • Sustainability
  • Ethical Trading
  • Environmental Impact
  • Healthier Choices
  • Supplier Relations
  • Climate Change
  • Energy Efficiency
  • Waste Reduction
  • Packaging
  • Recycling
  • Animal Welfare
  • Seafood Sourcing
  • Diversity & Inclusion
  • Health & Safety

Environmental Achievements

  • Reduced energy use by 15% (165 kWh/ft² reduction)
  • 97% of new stores developed on brownfield sites
  • Increased volume of products delivered per litre of fuel by 8%
  • Reduced water consumption by 7.7% (264,289 m³)
  • Recycled 71% of waste (384,517 tonnes)
  • All year two growers registered for Nature's Choice
  • All year two suppliers audited for Nature's Choice
  • All pesticide uses of year two growers reviewed for Nature's Choice
  • Established a £100 million fund for sustainable environmental technology
  • Opened a model energy-efficient store in Diss using 20% less energy
  • Introduced a 5% bioethanol mix into standard unleaded petrol
  • Converted standard diesel pumps to biodiesel in the South East and North West England

Social Achievements

  • Gave 1.9% (£41,768,741) of pre-tax profits to charities and good causes
  • Increased cumulative value of computer equipment supplied to schools to £101m
  • Over 549,880 women participated in Cancer Research UK's Race for Life
  • 21,927 Tesco staff participated in Race for Life
  • Nutritional signposting on over 2,500 products
  • 83% retention of experienced staff
  • 95.1% of retail staff trained to bronze standard
  • Launched Sport for Schools and Clubs
  • Reduced reportable accident rates among customers by 14.1%, store staff by 5.3%, and distribution staff by 14.4%
  • Introduced a range of initiatives to support disabled customers and staff
  • Improved paternity pay and set up a joint working party on flexible working with Usdaw

Governance Achievements

  • Each country now has a corporate responsibility strategy measured in their Steering Wheel
  • All Tesco Commercial teams received training on supply chain labour standards
  • 100% of high-risk own-brand suppliers underwent independent ethical assessments
  • 100% of high-risk own-brand suppliers received training

Climate Goals & Targets

Long-term Goals:
  • Not disclosed
Medium-term Goals:
  • Reduce CO2 produced per case of goods delivered by 30% over the next three years
  • Reduce water consumption by 15% over the next three years
  • Divert 80% of waste from landfill over the next three years
  • Achieve 100% compliance with Nature's Choice standards by 2007
Short-term Goals:
  • Reduce energy use per square foot by 50% by 2010
  • Reduce carrier bag usage by 25% by 2008
  • Recycle 72% of waste by 2006/07
  • Increase the amount of products containing recycled materials
  • All eligible own-brand products to have nutritional signposting by Spring 2007
  • Reduce reportable accident rate by 10% over the next three years
  • Launch six Regeneration Partnership stores in 2006/07

Environmental Challenges

  • Office of Fair Trading (OFT) referral of the grocery industry to the Competition Commission
  • Railway tunnel collapse at Gerrards Cross development site
  • Concerns raised about minimum wage payments and pesticide use on South African apple and pear farms
  • Disappointing results in NGO surveys of supermarket seafood sourcing policy
Mitigation Strategies
  • Worked to resolve issues with the OFT and Competition Commission
  • Funded compensation schemes for those affected by the Gerrards Cross incident
  • Conducted a detailed investigation into claims of minimum wage violations and pesticide misuse in South Africa (found no evidence to substantiate them)
  • Reviewed seafood procurement policy and published detailed sourcing information on the website

Supply Chain Management

Supplier Audits: 100% of high-risk suppliers audited annually

Responsible Procurement
  • Ethical Trading Policy based on ETI Base Code
  • Supplier Code of Practice
  • Nature's Choice environmental standards
  • Sedex for data sharing on labour standards

Climate-Related Risks & Opportunities

Physical Risks
  • Not disclosed
Transition Risks
  • Not disclosed
Opportunities
  • Development of energy-efficient products and technologies

Reporting Standards

Frameworks Used: GRI 2002 Sustainability Reporting Guidelines

Certifications: ISO 14001 (printer)

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

  • Not disclosed

Not disclosed

Sustainable Products & Innovation

  • Degradable carrier bags
  • Products with recycled materials
  • Healthy Living and Kids ranges
  • Wholefoods range
  • MSC-certified seafood
  • Outdoor bred pork

Awards & Recognition

  • Sector leader in the Business in the Community (BiTC) CR Index
  • Leading food and drug retailer in the Carbon Disclosure Project Climate Leadership Index
  • Hermes 2005 award (Poland)
  • Ubi Caritas 2005 Award (Poland)
  • Best environmental project award (Ireland)
  • President’s Award from the Chambers of Commerce (Ireland)
  • Business in the Community Membership Charter (Ireland)
  • Credit Suisse’s Employer of the Year award (Czech Republic)
  • National Deafblind Friendly Corporate Award
  • Best Supermarket in the Tommy’s parent-friendly awards

Reporting Period: 2018-2022

Environmental Metrics

ESG Focus Areas

  • Sustainable Agriculture
  • Animal Welfare
  • Climate Change
  • Biodiversity
  • Water Stewardship

Environmental Achievements

  • Roll out of LEAF Marque certification scheme across entire global produce supply chain supplying the UK (ongoing, aiming for completion by 2025)
  • Expanded Group net zero target to include full value chain (Scope 1, 2, and 3), aligned to 1.5°C trajectory
  • Worked with biggest potato supplier to subsidise cover crops for farmers across 420 hectares of potato fields
  • Supporting suppliers to deploy nature-based solutions to prevent water pollution

Social Achievements

  • Supporting farmers through Tesco Sustainable Farming Groups (TSFGs) and Agriculture Produce Forums, sharing best practice and supporting innovation
  • Providing £10m in extra funding for UK pig farmers
  • Setting up a fair and transparent feed cost model for egg and poultry suppliers
  • Fostering collaboration and knowledge sharing through TSFGs and sustainability scorecards
  • Encouraging innovation through Tesco Agri-T Jam and Innovations Connections

Governance Achievements

  • Tesco Welfare Approved (TWA) livestock requirements ensuring transparency and driving improvement
  • All farms must comply with a recognised farm assurance scheme (e.g., Red Tractor) in addition to TWA requirements
  • Commitment to reducing antibiotic usage as part of the Food Industry Initiative on Antimicrobials (FIIA)

Climate Goals & Targets

Long-term Goals:
  • Net zero across our value chain by 2050
Medium-term Goals:
  • 50% of all fresh food sourced from areas of sustainable water management by 2030
Short-term Goals:
  • Entire global grower base supplying the UK to be LEAF Marque certified by 2025
  • 100% of eggs sold from cage-free hens by 2025

Environmental Challenges

  • Challenges related to increases in on-farm costs (feed, etc.) for UK pig farmers
  • Measuring the impact of agriculture at an individual farm level
  • Supply chain disruptions and headwinds
  • Tackling both the climate and nature crises
Mitigation Strategies
  • Providing £10m in extra funding for UK pig farmers
  • Setting up a fair and transparent feed cost model for egg and poultry suppliers
  • Working with suppliers and universities to understand the market readiness of methane-inhibiting technology
  • Developing ambitious strategies for climate and nature
  • Collaborating with industry on issues requiring collective action

Supply Chain Management

Responsible Procurement
  • LEAF Marque certification
  • Tesco Welfare Approved (TWA) standards
  • Farm assurance schemes (e.g., Red Tractor)

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: LEAF Marque, TNFD, Science-Based Targets for Nature, Courtauld 2030 Commitment

Certifications: LEAF Marque, Red Tractor

UN Sustainable Development Goals

  • SDG 2
  • SDG 6
  • SDG 12
  • SDG 15
  • SDG 17

Tesco's sustainable agriculture initiatives align with these SDGs by promoting sustainable food production, water efficiency, responsible resource use, biodiversity protection, and collaborative partnerships.

Reporting Period: 2020-21

Environmental Metrics

ESG Focus Areas

  • Sustainable Agriculture
  • Climate Change
  • Biodiversity
  • Water Management
  • Soil Health

Environmental Achievements

  • 50% of key suppliers have robust on-farm biodiversity improvement plans.
  • 40% of key suppliers have robust on-farm water management plans.
  • 40% of key suppliers have robust on-farm soil health improvement plans.
  • Worked with Branston to subsidise cover crops for farmers across 650 hectares of potato fields.
  • Removed invasive tree species along a water course in South Africa, saving approximately 53 million litres of water a year.
  • 11% of the way toward halving the environmental impact of the average UK shopping basket.

Social Achievements

  • Supporting farmers through Tesco Supplier Network, Future Farmer Foundation, and Tesco Sustainable Farming Groups (TSFGs).
  • Co-funding free on-farm advice on water course protection in three UK river catchments with The Rivers Trust.

Governance Achievements

  • Set science-based targets for manufacturing and agricultural supply chains, aligned to the Paris Agreement’s 1.5°C global warming trajectory. Aiming for net-zero across the supply chain by 2050.
  • Implementation of the LEAF Marque environmental assurance scheme across the global produce supply chain (UK growers certified by end of 2022, global completion by 2025).

Climate Goals & Targets

Long-term Goals:
  • Net zero emissions across supply chain by 2050.
Short-term Goals:
  • Complete LEAF Marque certification across the global grower base by 2025.

Environmental Challenges

  • Measuring the impact of agriculture at an individual farm level is complex.
  • Agriculture and food production accounts for around 47% of Tesco’s carbon footprint.
Mitigation Strategies
  • Helping agricultural suppliers improve impact measurement through tools such as the Cool Farm Tool and carbon assessment consultancy.
  • Setting science-based targets aligned with the Paris Agreement.
  • Working with suppliers to develop farm-level improvement and management plans.

Supply Chain Management

Responsible Procurement
  • Working with suppliers to implement sustainable agriculture strategies and farm-level improvement plans.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: Science-based targets aligned with the Paris Agreement

Certifications: LEAF Marque

Reporting Period: 2021-03-01 to 2022-02-26

Environmental Metrics

Total Carbon Emissions:1,719,331 tCO2e/year
Scope 1 Emissions:1,110,098 tCO2e/year
Scope 2 Emissions:16,107 tCO2e/year
Scope 3 Emissions:593,405 tCO2e/year
Renewable Energy Share:100%
Total Energy Consumption:6,263 GWh/year
Carbon Intensity:18.56 kg CO2e/sq.ft. of stores and DCs

ESG Focus Areas

  • climate change
  • healthy, sustainable diets
  • packaging & waste
  • diversity & inclusion

Environmental Achievements

  • Reduced food waste by 45% since 2016/17
  • Removed more than 1.6 billion pieces of plastic since 2019
  • Use 100% renewable electricity in the UK and Europe
  • Committed to be carbon neutral in our own operations across the Group by 2035.

Social Achievements

  • Donated 52.6 million meals to local charities across the Group through our food redistribution programmes.
  • Reached an agreement with USDAW in the UK that sees a substantial increase in base pay, an extension of the colleague discount and new training and technology to upskill colleagues
  • Committed to jumpstart the careers of more than 45,000 young people in the UK

Governance Achievements

  • Refreshed capital allocation framework
  • Launched an ongoing share buyback programme

Climate Goals & Targets

Long-term Goals:
  • Achieve net zero emissions across our entire value chain by 2050
Medium-term Goals:
  • Be carbon neutral across our Group operations by 2035
Short-term Goals:
  • Reduce Scope 1 and 2 market-based emissions by 60% by 2025
  • Increase sales of plant-based products by 300% by 2025 versus a 2018 baseline
  • Increase sales of healthy products to 65% by 2025

Environmental Challenges

  • Rising inflation impacting customer finances and operational costs
  • Supply chain disruptions
  • Market competition for talent
  • Climate change impacts
Mitigation Strategies
  • Investing in value proposition (Aldi Price Match, Low Everyday Prices, Clubcard Prices)
  • Securing additional supply-chain capacity
  • Talent planning and people development processes
  • Developing decarbonisation pathways and aligning with 1.5°C pathway

Supply Chain Management

Responsible Procurement
  • Responsible sourcing policies on key commodities including soy, palm oil, seafood etc.
  • Supplier code of conduct
  • Supplier sustainability requirements

Climate-Related Risks & Opportunities

Physical Risks
  • Extreme weather events, flooding
Transition Risks
  • Carbon pricing policies, regulatory changes
Opportunities
  • Development of energy-efficient products and services

Reporting Standards

Frameworks Used: TCFD

Third-party Assurance: Deloitte LLP (limited assurance on selected data)

Sustainable Products & Innovation

  • Plant-based products
  • Sustainable packaging alternatives
  • Refilable cleaning products

Awards & Recognition

  • Voted Britain’s Favourite Supermarket 7 years running
  • MSC Supermarket of the Year 2021
  • Leading retailer status within the World Benchmarking Alliance Food and Agriculture Benchmark
  • Terra Carta seal

Reporting Period: 2022-02-26 to 2023-02-25

Environmental Metrics

Total Carbon Emissions:1,614,053 tCO2e/year (2023)
Scope 1 Emissions:1,039,346 tCO2e/year (2023)
Scope 2 Emissions:7,796 tCO2e/year (2023)
Scope 3 Emissions:567,191 tCO2e/year (2020)
Renewable Energy Share:100% (2023)
Total Energy Consumption:6,000 GWh/year (2023)
Carbon Intensity:11.91 kg CO2e/sq.ft. of stores and DCs (2023)

ESG Focus Areas

  • Climate change
  • Diversity & Inclusion
  • Responsible sourcing
  • Food waste reduction
  • Community investment
  • Health and sustainable diets

Environmental Achievements

  • 55% reduction in Scope 1 and 2 emissions since 2015 baseline
  • First UK retailer to ban plastic wet wipes
  • Removed two billion pieces of plastic from UK business
  • All Tesco tea bags in the UK to be compostable by summer 2023
  • Launched large-scale commercial field trial with suppliers to identify planet-friendly fertiliser alternatives
  • Nearly 300 electric vans for customer deliveries
  • 2,500 customer electric vehicle (EV) charging points across 600 stores

Social Achievements

  • Nearly 8% increase in UK hourly colleague pay in 2022
  • Substantial investment in colleague base pay across all markets
  • Donated more than 52 million meals to food banks and charity partners
  • Launched Black Action Plan in the UK
  • Named among The Times Top 50 Employers for Women for the second year running
  • Launched ‘Reduced in price. Just as nice.’ areas in over 100 stores to reduce food waste
  • Kids Eat Free at Tesco Cafés during school holidays

Governance Achievements

  • Enhanced climate governance framework encompassing Board, committees, and Executive Committee
  • ESG metrics integrated into executive remuneration policy
  • Climate change established as a standalone principal business risk
  • Group climate committee renamed Group planet committee
  • Sustainability-linked bond

Climate Goals & Targets

Long-term Goals:
  • Net zero emissions across full value chain by 2050
Medium-term Goals:
  • Carbon neutral across own operations by 2035
  • Achieve 60% of electricity from PPAs and onsite generation by 2030
  • 100% electric home delivery fleet by 2030
  • 53% healthy sales by 2027 in Central Europe
Short-term Goals:
  • Reduce Scope 1 and 2 emissions by 60% by 2025
  • Halve food waste in own operations by 2025
  • 65% healthy sales by 2025 in UK & ROI

Environmental Challenges

  • Cost-of-living crisis impacting customers and suppliers
  • Inflationary pressures on operating costs
  • Climate change impacts on supply chain and operations
  • Geopolitical instability affecting supply chains
  • Competition for talent
  • Cybersecurity threats
  • Data privacy regulations
Mitigation Strategies
  • Strengthened value proposition with Aldi Price Match, Low Everyday Prices, and Clubcard Prices
  • Invested in colleague pay and benefits
  • Worked collaboratively with suppliers to manage inflationary pressures
  • Implemented enhanced climate governance and decarbonisation plans
  • Developed alternative sourcing strategies
  • Invested in cybersecurity and data privacy measures
  • Developed business continuity plans for supply chain disruptions

Supply Chain Management

Responsible Procurement
  • Code of Business Conduct
  • Sustainability policies on key risk commodities
  • Supplier sustainability requirements
  • Sustainability-linked supply chain finance programme

Climate-Related Risks & Opportunities

Physical Risks
  • Extreme weather
  • Flooding
Transition Risks
  • Carbon pricing
  • Consumer preference shifts
  • Technology changes
Opportunities
  • Development of energy-efficient products
  • Growth in sustainable product categories

Reporting Standards

Frameworks Used: TCFD

Third-party Assurance: Deloitte LLP (limited assurance on selected data)

UN Sustainable Development Goals

  • Goal 7 (Affordable and Clean Energy)
  • Goal 12 (Responsible Consumption and Production)
  • Goal 13 (Climate Action)

Initiatives contribute to these goals through emissions reduction, waste reduction, renewable energy use, and sustainable sourcing

Sustainable Products & Innovation

  • Plant-based meat alternatives
  • Own brand products with enhanced sustainability credentials

Awards & Recognition

  • Tesco Clubcard ranked best supermarket loyalty scheme in the UK
  • Tesco Bank won Credit Builder Card Provider of the Year and Best Card Provider (Introductory Rate) at the Moneyfacts Awards
  • Tesco Bank won Credit Card Provider of the year at the 2023 Moneyfacts Consumer Awards

Reporting Period: 2023-24

Environmental Metrics

Total Carbon Emissions:1,438,365 tCO2e/year
Scope 1 Emissions:902,830 tCO2e/year
Scope 2 Emissions:6,259 tCO2e/year
Scope 3 Emissions:529,470 tCO2e/year
Renewable Energy Share:100%
Total Energy Consumption:5,511 GWh/year
Carbon Intensity:16.34 kg CO2e/sq.ft. of stores and DCs

ESG Focus Areas

  • Climate Change
  • Nature
  • Community
  • Colleagues
  • Suppliers
  • Customers

Environmental Achievements

  • 61% reduction in Scope 1 and 2 emissions versus 2015 baseline
  • 100% of electricity from renewable sources
  • Expanded low-carbon fertiliser trial
  • Plans to install solar panels on 100 large stores
  • Deployed 571 electric home delivery vans

Social Achievements

  • Launched £5.3m Stronger Starts grant scheme
  • Donated more than 450,000 free meals to children
  • Launched Stronger Starts apprenticeships
  • Biggest ever single investment in store colleague pay (£12.02/hour)
  • Enhanced parental leave and other colleague benefits

Governance Achievements

  • Appointment of new Chair
  • Sale of Tesco Bank operations and strategic partnership with Barclays
  • Continued compliance with UK Corporate Governance Code
  • Strengthened risk management framework

Climate Goals & Targets

Long-term Goals:
  • Net zero emissions across all scopes by 2050
Medium-term Goals:
  • Net zero emissions on Scopes 1 and 2 by 2035
  • Reduce Scope 3 emissions by 55% by 2032 (from 2019 baseline)
Short-term Goals:
  • Reduce Scope 1 and 2 emissions by 85% by 2030 (from 2015 baseline)
  • 100% electric delivery van fleet by 2030
  • Source 60% of electricity from onsite and offsite PPAs by 2030
  • Source soy and palm oil from verified zero deforestation areas by 2025

Environmental Challenges

  • Cost-of-living pressures impacting customers
  • Geopolitical uncertainty and supply chain disruptions
  • Competition in the grocery sector
  • Climate change risks (physical and transition)
  • Cyber security threats
Mitigation Strategies
  • Relentless focus on value for customers
  • Diversified supplier base and contingency plans
  • Investment in technology and digital capabilities
  • Science-based targets for net-zero emissions
  • Investment in cyber security and data privacy

Supply Chain Management

Responsible Procurement
  • Policies and guidance to ensure human rights are respected
  • Contractual agreements with suppliers articulating expected standards
  • Supplier audit programmes to monitor compliance

Climate-Related Risks & Opportunities

Physical Risks
  • Extreme weather events impacting supply chain and store operations
Transition Risks
  • Carbon pricing
  • Changing consumer preferences
  • Technological shifts
Opportunities
  • Growth in low-impact product ranges
  • Energy savings from efficient solutions
  • Electric vehicle charging for customers

Reporting Standards

Frameworks Used: TCFD, SBTi

Certifications: LEAF Marque

Third-party Assurance: Deloitte LLP (limited assurance on selected metrics)

Sustainable Products & Innovation

  • Finest range
  • Plant Chef ready meals
  • Range of plant and dairy alternatives

Awards & Recognition

  • Britain’s Favourite Supermarket (The Grocer Gold Awards)

Reporting Period: 2024

Environmental Metrics

Total Carbon Emissions:Not disclosed
Scope 1 Emissions:Not disclosed
Scope 2 Emissions:Not disclosed
Scope 3 Emissions:Not disclosed
Renewable Energy Share:Not disclosed
Total Energy Consumption:Not disclosed
Water Consumption:Not disclosed
Waste Generated:Not disclosed
Carbon Intensity:Not disclosed

ESG Focus Areas

  • Diversity of the Group’s global leadership
  • Food waste
  • Greenhouse gas emissions

Environmental Achievements

  • Reduced greenhouse gas emissions
  • Reduced food waste

Social Achievements

  • Increased diversity in the Group’s global leadership

Governance Achievements

  • Not disclosed

Climate Goals & Targets

Long-term Goals:
  • Not disclosed
Medium-term Goals:
  • Not disclosed
Short-term Goals:
  • Not disclosed

Environmental Challenges

  • Climate change (physical, financial, people and reputational risks)
  • Cyber security incidents
  • Supply chain disruptions
  • Ethical concerns (human rights abuses)
  • Competition in the retail market
  • Maintaining brand reputation
  • Data security and privacy breaches
  • Compliance with legal and regulatory requirements
  • Workplace health and safety
  • Product safety and traceability
  • Litigation
Mitigation Strategies
  • Efficiency improvements, innovation, renewables, waste minimization, policy advocacy, sustainable management of natural resources and ecosystems
  • Dedicated cyber-security program
  • Diversification of suppliers, identification of alternative suppliers, technology solution for identifying high-risk raw materials and regions
  • Targeted response strategies, innovative due diligence and monitoring methods
  • Developing multiple formats (including online channels), market scanning and competitor analysis
  • Monitoring stakeholder perceptions
  • Clear privacy compliance and protection policies, structured staff training
  • Policies and procedures to monitor and guide legal, regulatory and tax compliance
  • Safety management framework, policies and procedures
  • Policies and procedures to ensure product safety, proper packaging and labeling
  • Not disclosed

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement
  • Not disclosed

Climate-Related Risks & Opportunities

Physical Risks
  • Not disclosed
Transition Risks
  • Not disclosed
Opportunities
  • Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: KPMG LLP, Deloitte LLP

UN Sustainable Development Goals

  • Not disclosed

Not disclosed

Sustainable Products & Innovation

  • Not disclosed

Awards & Recognition

  • Not disclosed

Reporting Period: March 2008 to February 2009

Environmental Metrics

Total Carbon Emissions:4.9 million tonnes of CO2e

ESG Focus Areas

  • Climate Change
  • Communities
  • Suppliers & Ethical Trading
  • Customer Choice & Health
  • Our People

Environmental Achievements

  • Halved energy use per square foot in UK stores (against a 2000 baseline)
  • Opened first new format environmental store in Cheetham Hill, Manchester, with a 70% smaller carbon footprint than an equivalent 2006 store
  • Reduced in-store waste going to landfill by one-third
  • First major retailer to carbon label 100 own-brand products in Ireland and the UK

Social Achievements

  • Helped over 4.6 million people get active globally
  • Removed over 2,500 tonnes of saturated fat and 3,000 tonnes of salt from UK products since 2005
  • Over 250 store Community Champions in six countries
  • Launched Community Promises to engage staff in community initiatives
  • Raised a record £6.2 million for UK Charity of the Year
  • 86% of new managers appointed from within Tesco
  • Local Employment Partnerships in the UK provided jobs for the long-term unemployed
  • Appointed first female director in South Korea

Governance Achievements

  • Appointed a Code Compliance Officer to handle supplier issues
  • No complaints made to the Code Compliance Officer in 2008
  • Revised ethical trading guidelines and issued a new Code of Practice

Climate Goals & Targets

Short-term Goals:
  • Reduce CO2 emissions from existing stores and distribution centers by at least 50% by 2020 (compared with 2006)
  • Reduce CO2 emissions from new stores by 50% by 2020 (compared with 2006)
  • Reduce by 50% the amount of CO2 used in distribution network to deliver a case of goods by 2012 (compared with 2006)
  • Recycle 95% of store waste in the UK by 2010
  • Cut carrier bag use by 70% by 2010
  • Increase sales of local products to £1 billion by 2011 in the UK

Environmental Challenges

  • Debate about the longer-term impacts of biofuel
  • Inability to report Group water use in 2008
  • Weight reduction may not be the best measure of packaging environmental benefit
  • Work to do to meet the target of auditing 100% of high-risk supplier sites
  • Active dialogue with animal welfare organizations to improve standards
  • Work to develop common standards and targets for nutritional labelling
  • Need to increase the local impact of community activities
  • Need to improve women's representation at senior levels
Mitigation Strategies
  • Asked the Sustainable Consumption Institute (SCI) at Manchester University to study biofuel impacts and water use
  • Working with suppliers to find a better approach to packaging reduction
  • Increased the number of high-risk supplier sites audited to 87%
  • Engaged in active dialogue with animal welfare organizations
  • Working with governments, health organizations, and industry bodies on nutritional labelling
  • Building on the success of initiatives such as South Korean Culture Centres

Supply Chain Management

Supplier Audits: 1,819 independent audits carried out on suppliers to UK business in 2008

Responsible Procurement
  • ETI Base Code
  • Risk assessment of supplier sites
  • Independent audits of high-risk sites
  • Supplier training programs

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: WBCSD greenhouse gas protocol

Third-party Assurance: Environmental Resources Management Limited (ERM)

Sustainable Products & Innovation

  • Greener Living brand
  • Energy-efficient light bulbs
  • E-leather shoes
  • Concentrated squash
  • Reduced packaging on Easter eggs
  • Fairtrade products

Awards & Recognition

  • Sustainable Pack of the Year award
  • Starpack Silver Star award for Environment and Innovation
  • Best Practice Recruitment award
  • North West Local Employment Partnership Awards
  • Employer of the Year (Tesco Czech Republic)