Climate Change Data

Ege Carpets

Climate Impact & Sustainability Data (2023-05 to 2024-04)

Reporting Period: 2023-05 to 2024-04

Environmental Metrics

Total Carbon Emissions:92,093 tCO2e/year
Scope 1 Emissions:3,516 tCO2e/year
Scope 2 Emissions:265 tCO2e/year
Scope 3 Emissions:88,312 tCO2e/year
Renewable Energy Share:Not disclosed
Total Energy Consumption:12,728 MWh electricity + 24,102 MWh natural gas/year
Water Consumption:107,730 m³/year
Waste Generated:2,870 tons/year
Carbon Intensity:13.62 Kg CO2e per m² of carpet production in 2023/2024

ESG Focus Areas

  • Environment
  • Social
  • Governance

Environmental Achievements

  • Reduced natural gas consumption by 1.2 million m³ annually through the installation of electric boilers in Herning North and Gram, reducing approximately 40% of scope 1 & 2 GHG emissions.
  • Reduced incinerated waste by 25% compared to the financial year 2019/2020.
  • Launched Ege CircleBack take-back system for recycling selected carpets.
  • Established a new business unit, "From Waste to Resource", to develop recycling possibilities for production waste and used carpets.
  • Reduced carbon emissions by 48% in scope 1 & 2 and 30% in scope 3 since 2019/2020.

Social Achievements

  • Launched a new values model to guide actions and relations within the company.
  • Increased the number of trainees and apprentices, exceeding the target under the Danish practical training scheme.
  • Improved employee well-being, with a 75% response rate in the workplace culture analysis.
  • Reduced accidents leading to absence on manufacturing sites by two compared to the previous year.
  • Reduced hours of absence due to occupational accidents and work-related illness by 42%.

Governance Achievements

  • Increased female managers at group level to 30% from 24% the previous year.
  • Implemented a regulation for issuing warnings to employees who violate safety rules.
  • Conducted a human rights risk assessment, identifying no high risks in Ege Carpets' own operations or supply chain.

Climate Goals & Targets

Long-term Goals:
  • Reduce carbon emissions by 50.6% in scope 1 & 2 and by 27.5% in scope 3 by 2030.
  • All carpets covered by a reuse or recycling system by 2030.
Medium-term Goals:
  • Achieve 75% recycled or renewable raw materials by 2030.
  • Phase out natural gas use in all manufacturing sites by 2030.
  • All production waste reused, recycled or composted by 2030.
Short-term Goals:
  • Reduce water consumption (due to internal quality issues within our dye process at Herning North, we have added a water purification process here. This process has increased the intake of water but lowered the number of internal errors.)
  • Further reduce natural gas consumption through electrification projects.

Environmental Challenges

  • Supply chain disruptions.
  • High GHG emissions from raw materials and end-of-life treatment of carpets.
  • Need to find alternatives for natural gas in drying ovens.
  • Large amount of waste sent for incineration.
  • Difficulty in recycling used carpets.
  • Potential biodiversity impacts from raw material extraction and product end-of-life.
  • Maintaining a diverse workforce across age groups.
Mitigation Strategies
  • Investing in renewable energy and climate credits.
  • Switching to recycled and regenerated materials.
  • Developing recycling and reuse systems for carpets and production waste.
  • Implementing Ege Go2Work program for recycling and social initiatives.
  • Collaborating with partners for recycling solutions.
  • Conducting biodiversity impact scans and implementing mitigation strategies.
  • Focusing on attracting young people to the workplace.

Supply Chain Management

Supplier Audits: 115 out of 128 suppliers completed questionnaires.

Responsible Procurement
  • Code of Conduct requiring focus on human rights, working conditions, sustainability, and anti-corruption.

Climate-Related Risks & Opportunities

Physical Risks
  • Flooding
Transition Risks
  • Regulatory changes, market shifts
Opportunities
  • Development of energy-efficient products

Reporting Standards

Frameworks Used: UN Global Compact, Science Based Targets initiative (SBTi)

Certifications: ISO 9001, ISO 14001, ISO 45001, Cradle to Cradle Certified® Products Program

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

  • SDG 7
  • SDG 12
  • SDG 13
  • SDG 17

Initiatives contribute to these goals through renewable energy investments, resource efficiency, emissions reduction, and partnerships.

Sustainable Products & Innovation

  • Ege Felt
  • Carpets made with regenerated nylon and 100% wool.

Awards & Recognition

  • Ecovadis Platinum rating
  • Haderslev Municipality awards for Ege Go2Work.