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Nestlé in society Creating Shared Value and meeting our commitments 2015

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<strong>Nestlé</strong> <strong>in</strong> <strong>society</strong>:<br />

Creat<strong>in</strong>g <strong>Shared</strong> <strong>Value</strong><br />

Nutrition, health<br />

<strong>and</strong> wellness Rural development Water<br />

Environmental<br />

susta<strong>in</strong>ability<br />

Human rights<br />

<strong>and</strong> compliance<br />

Our<br />

people<br />

G4-26, G4-27, Materials G4-DMA, Energy G4-DMA, Biodiversity G4-DMA, Emissions G4-DMA, Effluents <strong>and</strong> waste G4-DMA, Products <strong>and</strong> services G4-DMA,<br />

Compliance G4-DMA (Environmental), Transport G4-DMA, Overall G4-DMA, Supplier environmental assessment G4-DMA, Environmental grievance mechanisms G4-DMA<br />

The environmental roadmap<br />

<strong>in</strong> Brazil<br />

Increas<strong>in</strong>g <strong>our</strong> efficiency <strong>and</strong> improv<strong>in</strong>g the environmental<br />

performance of <strong>our</strong> activities helps us manufacture more<br />

products us<strong>in</strong>g fewer natural res<strong>our</strong>ces, but every part of<br />

<strong>Nestlé</strong> needs to play its part. Each bus<strong>in</strong>ess, across all regions,<br />

is expected to demonstrate how it is improv<strong>in</strong>g its own<br />

environmental performance to contribute to <strong>our</strong> corporate<br />

objectives. Aligned with <strong>Nestlé</strong>’s corporate goals, an action<br />

plan has been created for each factory across the country.<br />

As part of the roadmap, <strong>Nestlé</strong> Brazil’s action plan has been<br />

<strong>in</strong> place s<strong>in</strong>ce 2013. It gives the company a clear underst<strong>and</strong><strong>in</strong>g<br />

about its national objectives <strong>and</strong> the <strong>in</strong>vestment necessary to<br />

achieve its 2020 goals. In the first two years after the roadmap<br />

was created, at least two water-sav<strong>in</strong>g projects <strong>and</strong> two<br />

energy-reduction projects have been <strong>in</strong>stigated at each factory,<br />

supported by a wide range of bus<strong>in</strong>ess units <strong>and</strong> functions.<br />

Water sav<strong>in</strong>gs Number of projects Water saved<br />

<strong>2015</strong> 93 242 315 m³<br />

2014 88 186 793 m³<br />

2013 68 253 836 m³<br />

Energy sav<strong>in</strong>gs Number of projects Energy saved<br />

<strong>2015</strong> 126 142 969 GJ<br />

2014 110 173 953 GJ<br />

2013 96 143 523 GJ<br />

By <strong>2015</strong>, although <strong>Nestlé</strong> Brazil <strong>in</strong>creased production volume<br />

from 2014 levels by 8.8%, its water consumption fell by 19.2%<br />

<strong>and</strong> energy use reduced by 6.4%; dur<strong>in</strong>g the same period,<br />

direct greenhouse gas (GHG) emissions reduced by 17.6% <strong>and</strong><br />

waste for disposal was cut by 78%.<br />

Go<strong>in</strong>g forward, <strong>our</strong> priorities are to implement all projects on<br />

the roadmap, cont<strong>in</strong>ue to ref<strong>in</strong>e objectives <strong>and</strong> targets to<br />

improve <strong>our</strong> environmental performance, <strong>and</strong> communicate with<br />

employees, consumers <strong>and</strong> other stakeholders when applicable.<br />

Multi-stakeholder engagement<br />

At a local, regional <strong>and</strong> global level, we proactively engage with<br />

stakeholders <strong>and</strong> foster long-term partnerships to def<strong>in</strong>e,<br />

implement <strong>and</strong> evaluate solutions to the complex environmental<br />

challenges we face. Some examples are outl<strong>in</strong>ed below.<br />

• Car<strong>in</strong>g for Climate – as part of UNGC LEAD we actively<br />

support this <strong>in</strong>itiative. In <strong>2015</strong>, we participated at several<br />

high-profile events organised around Global Compact +15<br />

on bus<strong>in</strong>ess commitment to further<strong>in</strong>g climate change<br />

action. Read more.<br />

• Consumer Goods Forum (CGF) – <strong>our</strong> Chief Executive<br />

Officer, Paul Bulcke, sits on the board of directors of the<br />

CGF, a global <strong>in</strong>dustry network that br<strong>in</strong>gs together leaders<br />

<strong>and</strong> senior management from more than 400 retailers,<br />

manufacturers, service providers <strong>and</strong> other stakeholders<br />

across 70 countries. We are an active member of the CGF’s<br />

Susta<strong>in</strong>ability Steer<strong>in</strong>g Committee, develop<strong>in</strong>g action plans<br />

to help achieve zero net deforestation by 2020, <strong>and</strong><br />

mobilis<strong>in</strong>g res<strong>our</strong>ces to beg<strong>in</strong> phas<strong>in</strong>g out<br />

hydrofluorocarbon (HFC) refrigerants <strong>and</strong> replace them with<br />

natural refrigerant alternatives when purchas<strong>in</strong>g po<strong>in</strong>t-ofsale<br />

units <strong>and</strong> large refrigeration <strong>in</strong>stallations. In June <strong>2015</strong>,<br />

the board of the CGF endorsed a new resolution on food<br />

waste reduction, developed under <strong>Nestlé</strong> leadership;<br />

• The European Food Susta<strong>in</strong>able Consumption <strong>and</strong><br />

Production Roundtable – together with the European<br />

Commission, we co-chair the steer<strong>in</strong>g committee that advises<br />

on the food cha<strong>in</strong>. We support the ENVIFOOD Protocol, a<br />

methodology for assess<strong>in</strong>g the environmental performance of<br />

food, feed <strong>and</strong> dr<strong>in</strong>ks, <strong>and</strong> actively support the European<br />

Commission’s Product Environmental Footpr<strong>in</strong>t Category<br />

Rules <strong>in</strong>itiative, by participat<strong>in</strong>g <strong>in</strong> three pilot projects cover<strong>in</strong>g<br />

bottled water, coffee <strong>and</strong> pet food (see The environmental life<br />

cycle of products);<br />

• FoodDr<strong>in</strong>kEurope Environmental Susta<strong>in</strong>ability<br />

Committee – chaired by <strong>Nestlé</strong>, the committee represents<br />

the European food <strong>and</strong> dr<strong>in</strong>k <strong>in</strong>dustry <strong>and</strong> has launched ‘A<br />

Time to Act: Europe’s food <strong>and</strong> dr<strong>in</strong>k <strong>in</strong>dustry shows action<br />

to address climate change’ under <strong>Nestlé</strong> guidance;<br />

• United Nations 10-Year Framework Programme on<br />

Susta<strong>in</strong>able Food Systems – we are a member of the<br />

Multi-Stakeholder Advisory Committee, represent<strong>in</strong>g the<br />

private sector to develop measurement, communications<br />

<strong>and</strong> accelerate susta<strong>in</strong>able production <strong>and</strong> consumption;<br />

• United Nations Framework Convention on Climate<br />

Change (UNFCCC) – we are a partner of the Adaptation<br />

Private Sector Initiative, which shares <strong>in</strong>novative solutions<br />

to climate change adaptation. Dur<strong>in</strong>g <strong>2015</strong>, we provided<br />

different case studies on climate change adaptation;<br />

• Climate Disclosure St<strong>and</strong>ards Board (CDSB) – a <strong>Nestlé</strong><br />

representative is a member of the CDSB’s technical work<strong>in</strong>g<br />

group <strong>and</strong> represents <strong>our</strong> commitment to disclose climate<br />

change <strong>in</strong>formation <strong>in</strong> conformance with the CDSB’s<br />

framework;<br />

• The University of Cambridge Institute for<br />

Susta<strong>in</strong>ability Leadership – we are members of the<br />

Natural Capital Leaders Platform, which has a range of<br />

activities for measur<strong>in</strong>g <strong>and</strong> valu<strong>in</strong>g natural capital. Dur<strong>in</strong>g<br />

<strong>2015</strong>, we participated <strong>in</strong> a project on measur<strong>in</strong>g natural<br />

capital <strong>in</strong> the dairy sector;<br />

• World Res<strong>our</strong>ces Institute (WRI) – on behalf of the CGF,<br />

we are a member of the steer<strong>in</strong>g committee of the WRI Food<br />

Loss & Waste Protocol. In <strong>2015</strong>, we piloted the draft WRI Food<br />

Loss & Waste Protocol <strong>in</strong> the dairy value cha<strong>in</strong> <strong>in</strong> Pakistan;<br />

• World Bus<strong>in</strong>ess Council for Susta<strong>in</strong>able Development<br />

(WBCSD) – we are an active member of the WBCSD,<br />

participat<strong>in</strong>g <strong>in</strong> its work on redef<strong>in</strong><strong>in</strong>g value, water <strong>and</strong><br />

social issues; <strong>and</strong><br />

• World Economic Forum – we are a member of the Global<br />

Agenda Council on Food & Nutrition Security, which aims<br />

to promote a step-change <strong>in</strong> susta<strong>in</strong>able food <strong>and</strong><br />

agriculture systems.<br />

We also collaborate with organisations such as the 2030<br />

Water Res<strong>our</strong>ces Group <strong>and</strong> the WBCSD on a range of water,<br />

sanitation <strong>and</strong> hygiene-related issues.<br />

<strong>Nestlé</strong> <strong>in</strong> <strong>society</strong> – Creat<strong>in</strong>g <strong>Shared</strong> <strong>Value</strong> <strong>and</strong> meet<strong>in</strong>g <strong>our</strong> <strong>commitments</strong> <strong>2015</strong> 172

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