ENHANCED LIVELIHOODS
Our environmental management approach is based on an ISO 14001-certified environmental management system, guided by our environmental policy and implemented across our sites through an integrated SSHE management approach led by the SSHE department within Manufacturing (here). Ensuring compliance is central to our activities. We meet regulatory requirements for emissions reporting and carbon tax, air quality standards for our coal-fired boilers, water use and effluent discharge permits, and extended producer responsibility obligations for post-consumer packaging waste. Beyond compliance, we run strategic initiatives targeting our most resource-intensive sites and product lines to advance progress against our 2030 targets. Participation in industry initiatives, including those led by the National Business Initiative (NBI) and Consumer Goods Council of South Africa (CGCSA), further supports these efforts.
Our environmental stewardship agenda is led and developed jointly by the chief manufacturing officer (who has accountability for the implementation and monitoring) and the chief legal and corporate affairs officer (who has accountability for the management reporting). Energy emissions, water and waste are driven by the process optimisation and SSHE teams within Manufacturing, while the transition to recyclable packaging is driven by the procurement director within Procurement. Implementation across all topics is carried out by the respective business units. An environmental steering committee meets monthly to coordinate activities and review performance.
Energy and climate change
Our energy and climate efforts respond to global climate action needs, national energy supply challenges, and climate-related risks to our operations and upstream agricultural supply chain. We account for scope 1 and 2 GHG emissions, reporting publicly and to the Department of Forestry, Fisheries and the Environment (DFFE) and we pay a carbon tax annually under the Carbon Tax Act. We project our annual carbon tax liability to support emissions reduction efforts and have committed to net zero scope 1 and 2 emissions by 2050, with our 2030 GHG targets aligned to the Science-based Targets Initiative (SBTi).
We operate coal-fired boilers at nine manufacturing sites, including four high-emitting boilers registered as controlled emitters with DFFE. Boiler management is central to our emissions reduction efforts. We run ongoing energy-efficiency programmes and are installing on-site solar via Power Purchase Agreements (PPAs), with four sites currently operational. We're exploring wheeling solutions for renewable energy; this is our primary lever for achieving 2030 renewable energy and emissions reduction targets alongside maximising onsite solar installations. Air quality compliance is an additional concern related to coal-fired boilers. We report air emissions (NOx, SOx, PM10) to DFFE annually and remain compliant with emissions standards under the Air Quality Act.
Water and effluent
Our water management is grounded in compliance with the National Water Act and municipal by-laws and addresses operational water risks associated with scarcity in our operating catchments, national infrastructure challenges and climate change. We measure freshwater consumption and track water usage at site level across all sites, with rapid response to anomalies and leaks.
We run ongoing water-efficiency programmes, complemented by a comprehensive water-risk assessment in 2024. This identified that more than half our facilities are in water-stressed catchments, with key operational risks including erratic supply, reliance on tanker services, deviations from effluent quality standards, low-water pressure and leaks. We have established comprehensive business continuity plans (BCPs) for each site with mitigation measures for high-risk sites, including water purchase agreements, borehole water access, and water reuse systems. Effluent management requires improvement and will be a focus going forward.
Waste and packaging
Our waste and packaging management balances environmental impact reduction with food safety and quality requirements, addressing plastics pollution, indirect carbon emissions, reputational risk and cost reduction. Zero waste-to-landfill by 2030 is our overarching goal, supported by our participation in the South African Plastics Pact and South African Food Waste and Loss Voluntary Agreement. We comply with extended producer responsibility (EPR) regulations and pay levies to appointed producer responsibility organisations (PROs) to facilitate post-consumer packaging waste management nationally. We measure waste and packaging volumes across our sites, including waste-to-landfill, and set annual KPIs to track progress towards our 2030 targets.
We maintain strong working relationships with solid waste and food waste service providers, including alternative distribution arrangements with FoodForwardSA for near-expiry items and farmers for food waste. We have established waste separation at source and monthly food waste reporting across all sites, generating rebates from recyclables. Targeted solid waste and food waste projects address heavy waste sites and root causes of mixed waste disposal. For packaging, we have completed a baseline footprint assessment and regularly review material optimisation and light-weighting opportunities. Our key packaging drive is transitioning applicable product lines to recyclable PET packaging, including recycled content where possible.
