Greenhouse gas as measured in kilos per kilo of dyed product went down by 11% in the last year (4.6 kg CO₂e per kg of dyed product compared to 5.1 in 2014) and by 18% cumulatively over the last three years.
In 2015, the total carbon footprint of our manufacturing operations (Scope 1 and Scope 2*) was 319 thousand tonnes, 7% down compared to the previous year (345 thousand tonnes). Scope 1 covers all direct greenhouse gas emissions (GHG) from sources that are under Coats control, e.g. combustion of fuel, and Scope 2 covers indirect GHG emissions from the consumption of purchased electricity.
The reduction to date has been achieved through a combination of investment in energy efficiency – such as utilising better manufacturing schedules, regular maintenance and optimising building management – as well as in new technology. We have also seen a change in the energy mix used at our sites, e.g. an increased use of biofuels. This reduction performance since we created a new base line in 2011 is consistent with our long term trends whereby we have achieved a reduction of GHG emissions of nearly 60% compared to 2000.
As we said above, we are continuing to see an increase in the amount of energy taken from renewable sources, particularly hydro power and biofuels. This has resulted in a reduction in electricity being sourced from the local / national grid. Other renewable energy sources are also important, for example, our Madura Coats plant in India is now sourcing energy from a company supplying wind power. 59% of the electricity used in Coats India now comes from clean wind power, with zero emissions from its generation. We have measured the greenhouse gas generated by our refrigerant usage and business air travel, but they each represent less than 2% of the emissions resulting from our manufacturing operations.
During 2015, we have also started to look at the emissions associated with the transportation of our products via shipping and air, with the help of our logistics suppliers. Our calculations to date suggest that this is also small compared to the impact of our manufacturing operations. We shall be in a position to give more detail next year.
We also recognise that our activities produce waste and so we strive to reduce, recycle or re-use this where we can. For the waste that we are unable to eliminate, we make sure that this is disposed of in a safe and responsible manner.
Of the water we used in 2015, 80% was discharged as waste effluent (eight percentage points down from 2014). Any effluent that we discharge must not only comply with local legislation and discharge limits, but also work towards meeting our own internal global effluent policy. This policy has been developed to ensure that all our operations, regardless of location, will meet a high standard in terms of the effluent they discharge. These standards require our operations to measure and monitor the quality of effluent discharges in terms of a number of criteria, including oxygen demand, pH and metals content. Our internal limits usually go well beyond legal requirements.
Coats Sri Lanka has just installed a new effluent treatment plant. This will be the first of its kind in Sri Lanka and will recycle 95% of the waste effluent back to the dyeing process. The plant will be commissioned by April 2016.
Coats Mexico is also looking into the recycling of cooking oils to produce biodiesel for our transport vehicles. This ultimately reduces the amount of cooking oil being discharged to the local drains.
In 2016, we signed up to the Zero Discharge of Hazardous Chemicals (ZDHC) Programme, originally launched in 2011 by six leading brands. Through our commitment to ZDHC, we will be working with the industry to eliminate hazardous chemicals not only from our own operations but also the rest of the supply chain.
See our case studies for more on our initiatives.
We had no environmental prosecutions during 2015. We take our relationships with all regulatory bodies very seriously and, if there is an incident – no matter how small – we are always proactive with the local authorities, undertaking robust investigations into what happened and putting in place measures to prevent any future occurrences.