Essentra believes that integration of Environmental, Social and Governance (ESG) is crucial to our ability to maintain stability, deliver our strategies and ensure growth. Good management of this topic is critical to meeting the increasing expectations of all stakeholders including customers, investors, employees, as well as prospective employees.
Our Sustainability Strategy is developed around four pillars:
Responsible Resource Usage
Reducing our impact on the environment through waste reduction projects, driving sites to zero waste to landfill, trials of recycled and biodegradable materials and trials of “closed loop” business models in partnership with suppliers and customers.
Energy and Climate Change
Reducing scope 1 and 2 GHG emissions via energy efficiency (e.g. roll-out of LED projects across multiple sites), on-site energy generation (e.g. biomass for heating & solar PV) and procurement of certified renewable energy.
People and Communities
Ensuring we support the communities we operate in through our community engagement policy – each site chooses and actively supports one or more local initiatives. Continued focus on improving our health and safety performance for employees and visitors.
Responsible Supply Chain
Ensuring our supply chain is robust through ongoing improvements in policies and standards including new Know Your Supplier processes, along with roll-out of a risk-based supplier audit programme.
This is communicated internally under the concept of “small changes – big impact”, underlining and encouraging everyone’s role in contributing to the sustainability agenda.
To advance the sustainability agenda within Essentra, environmental KPIs and targets have been set which help to build for the future responsibly:
To further underscore the importance the Board places on this topic, the Group Sustainability Committee created in 2018 was elevated to a Board Committee in 2019 and is now chaired by Ralf Wunderlich. The Board Sustainability Committee meets at least quarterly in order to input to strategy, risk management and performance.
Risk Management & Defining our Material Issues
It is important this topic is managed effectively due to the potential environmental impact, changing regulatory context and increasing public awareness of this issue. The risk that climate change poses to Essentra’s global operations is managed through business continuity planning for locations.
Essentra has identified the material issues in order to focus efforts on solutions that make the biggest difference to the overall footprint of the business. The key issues identified are weighted on both importance to Essentra and stakeholders and Essentra’s level of influence or control over the issue. The areas with a high business impact and high degree of control are GHG emissions, materials and waste. The material issues will be re-evaluated annually to ensure they reflect the areas of highest priority to our stakeholders.