Nestlé in society Creating Shared Value and meeting our commitments 2015

Nestlé in society:
Creating Shared Value
Nutrition, health
and wellness
Rural development
Water
Environmental
sustainability
Human rights
and compliance
Our
people
Notes on transport and distribution data
The criteria and methodology used in the calculations of all the
transport and distribution data is as follows:
Gaps/exclusions:
• Only the transport of finished goods is covered in the
environmental reporting. Transports from suppliers to our
factories for raw and packaging materials are not covered.
• The transport reporting includes a) International transport,
b) Primary transports from factory to distribution center and
c) Secondary transport from distribution center to customer.
• Coverage of around 60% of tonnage despatched to
customers, extrapolation to full scope of Nestlé.
• For transportation, standard fuel consumption factors per
km per vehicle are taken and not real consumption.
• The major part of the transportation is outsourced and only
a relatively small part of the transportation is done with our
own fleet vehicles. Currently, our reporting doesn’t
distinguish between own and third party transport and we
cannot clearly separate Scope 1 and Scope 3 emissions
from transport. A similar situation is for warehousing, where
a large part of warehouses is outsourced. We estimate the
complete CO 2 emission for own and outsourced
warehouses, but cannot clearly separate between Scope 2
and Scope 3 emissions from warehousing.
• Due to different extraction methods per market for the base
data, the data quality is different by market. A validation is
done by cross-checking with earlier reports and any
significant year-on-year variations must be explainable.
• We are not covering completely our ocean transports.
• In transportation, we cover around 60% of the overall
tonnage distributed. An extrapolation to cover the full
despatched volume is done by extrapolating the average
CO 2 emissions per tonne of product separately by
geographical zone and for the Water business. This
approach is taken as within a geographical zone and within
the Water business the average CO 2 emissions per tonne of
product are representative.
• For warehousing, every market is reporting the number of
pallet spaces per warehouse type (ambient, temperature
controlled, chilled, negative temperature). A yearly default
energy consumption per pallet space by warehouse type is
applied to calculate the yearly energy consumption for
warehousing per market. Markets can overwrite the default
energy consumption rate with real consumption rates when
available. As an approximation, all energy consumption is
assumed to be electricity. By applying a factor for indirect
CO 2 emissions per kWh consumed per market, the CO 2
emissions for warehousing per market are estimated.
• The extrapolation from the 60% of tonnage covered to the
full scope of Nestlé is done – as for transportation – based
on CO 2 emissions per tonne of product, extrapolating
separately by geographical zone and for the Water business.
Methodology used to calculate data in the transport
section:
• We have a yearly reporting by market on transport activities
and warehousing.
• The coverage is for own fleet and outsourced transports.
• Every transport lane is captured with distance, number of
shipments per year, transport mode and vehicle type, yearly
tonnage.
• For road transport, standard fuel consumption rates (lt of
fuel per 100 km) for a set of predefined vehicle types are
used for calculating the overall fuel used. Fuel consumption
is then converted into CO 2 emissions using DEFRA
emission factors per litre of fuel consumed (diesel or petrol).
• CO 2 emissions for train, sea, combined (road-rail transport)
are based on standard CO 2 -emission factors per tonne/km,
defined per transport mode.
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