Grafton Group plc
Climate Impact & Sustainability Data (2023)
Reporting Period: 2023
Environmental Metrics
Total Carbon Emissions:44,968 tCO2e (Scope 1 & 2)
Scope 1 Emissions:32,436 tCO2e
Scope 2 Emissions:12,532 tCO2e
Scope 3 Emissions:Not disclosed
Renewable Energy Share:Not disclosed
Total Energy Consumption:49,080 MWh (Electricity)
Water Consumption:Not disclosed
Waste Generated:Not disclosed
Carbon Intensity:Not disclosed
ESG Focus Areas
- Climate Change
- Waste
- Biodiversity
- Plastics & Packaging
- Water
- Pollution
- Raw Materials
- Product Safety & Quality
- Resource Use & Circular Economy
- More Sustainable Products
- Equality, Equity, Diversity & Inclusion
- Training & Development
- Upskilling Senior Leaders on ESG
- Health, Safety & Wellbeing
- Monetary Donations
- Goods & Services Donations
- Volunteering
- Fundraising & Raising Awareness of Important Community Issues
- Strong Governance
- IT & Cyber Security
- Regulatory Compliance
- Responsible Sourcing (Supply Chain Management)
- Privacy & Data Security
Environmental Achievements
- 11.5% absolute reduction in Scope 1 and 2 location-based GHG emissions
- 12.2% reduction in GHG emissions (tonnes CO2e) per £m revenue
- 98% waste diverted from landfill
- >1,200 MWh electricity generated from solar PV installations
- >1,000 tCO2e saved through the use of >430,000 Litres HVO across the fleet
Social Achievements
- 7% reduction in the frequency rate for lost time injuries
- £0.8m+ community donations made by the Group
- All four business leadership roles filled through internal succession planning
Governance Achievements
- New Executive Sustainability Committee established
- Scope 3 GHG emissions calculated
- Net zero targets submitted to SBTi for validation
- CEO and CFO bonus scheme linked to sustainability targets
Climate Goals & Targets
Long-term Goals:
- Net zero emissions by 2050
Medium-term Goals:
- Top 100 in the FTSE 250 for Board Diversity by 2030
- Promote products to customers with sustainability attributes by 2030
- 42 per cent reduction in absolute GHG emissions across scope 1, 2 and 3 by 2030 against a 2021 base year
Short-term Goals:
- Annual two per cent reduction in tCO2e per £m revenue (2021 baseline)
- 15 per cent reduction in total operational waste tonnage per £m revenue (2021 baseline)
- Establish a Group natural resources policy by 2025
- 100 per cent building timber products (by value) responsibly sourced by 2025
- Pilot circular business opportunities by 2025
- Year on year increase in percentage of colleagues that are female
- 25 per cent reduction in total working days lost as a result of an injury at work by 2025 vs 2018 baseline
- Equivalent to at least one per cent of operating profit donated to communities by 2026
Environmental Challenges
- Scope 3 emissions represent a large portion of total GHG emissions
- Need for close collaboration with suppliers to meet targets
- Challenges in data collection and monitoring for Scope 3 emissions
- Need for policy support to enable delivery of stretching targets
- Dependence on large industries (chemicals, steel, cement) for product supply
- Need for technological advancements in building construction and transport
Mitigation Strategies
- Developed initial transition plan to achieve net-zero targets
- New Group Procurement Director will engage with suppliers on sustainability matters
- Improved data collection and monitoring
- Collaboration with suppliers to increase proportion with Science Based Targets
- Focus on alternative products, materials, and energy usage
- Scaling up circular business models
- Sensitivity analyses setting out different scenarios for emissions reductions
- Engagement across Grafton’s value chain, especially with suppliers and customers
Supply Chain Management
Supplier Audits: 81% of suppliers on the risk management system completed the assessment
Responsible Procurement
- Supply chain management system rolled out in partnership with Exiger
- Questionnaires sent to large suppliers requesting due diligence information
- Supplier screening against sanctions lists and media reports
Climate-Related Risks & Opportunities
Physical Risks
- Extreme weather
- Flash flooding
- Wildfires
Transition Risks
- Regulatory changes
- Market shifts
Opportunities
- Development of energy-efficient products
Reporting Standards
Frameworks Used: CSRD, TCFD, SBTi
Certifications: FSC, PEFC
Third-party Assurance: EY (limited assurance)
UN Sustainable Development Goals
- Not disclosed
The strategy aligns with eight UN Sustainable Development Goals.
Sustainable Products & Innovation
- Products with sustainability attributes (responsibly sourced raw materials, low impact manufacture, reduced fossil fuel consumption in use, etc.)
- Cradle to cradle accredited products (Isero)
Awards & Recognition
- Woodie’s shortlisted for Best Diversity Strategy at the 2023 HR Leadership & Management Awards
- Woodie’s listed as a Best Workplace for Women for five consecutive years in Ireland
- Chadwicks achieved silver status in Diversity from Irish Centre for Diversity
- CPI EuroMix became a platinum member of Women into Construction