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ENVIRONMENTAL MANAGEMENT<br />

SYSTEM (EMS)<br />

We are committed to developing and<br />

implementing an EMS throughout the<br />

Group to measure, control and reduce our<br />

environmental impacts. We have developed<br />

performance indicators that assist local<br />

management in implementing the policy<br />

and ultimately developing an EMS. All Group<br />

companies are encouraged to undertake<br />

ISO 14001 accreditation, where warranted.<br />

The requirement to implement an EMS will<br />

be extended to the rest of the Group in the<br />

medium term.<br />

Group companies are also encouraged to<br />

improve energy efficiency, to reduce waste<br />

and emissions and reduce the use of<br />

materials in order to minimise their<br />

environmental impact.<br />

The Group has identified its key<br />

environmental impacts as emissions to air<br />

and water, water and energy consumption,<br />

and waste production. We established<br />

baseline data for these impacts in 2004/05<br />

and set targets for reductions against<br />

the baseline on a rolling three year cycle.<br />

We support innovation and investment<br />

that drives environmental performance.<br />

For example, Fortress Interlocks have<br />

implemented an initiative to shred its<br />

cardboard waste packaging and use it<br />

as a bulk fill for shipments to customers<br />

in place of purchased expanding foam. Not<br />

only has this had a significant environmental<br />

impact, it has also delivered a commercial<br />

benefit. Similarly, sites such as Fortress<br />

Interlocks and our Group head office, have<br />

replaced halogen lighting with more efficient<br />

LED lighting.<br />

CARBON FOOTPRINT<br />

The Group’s policy on carbon is published<br />

on our website and has been distributed<br />

and explained to all <strong>Halma</strong> business units.<br />

A senior executive in each of our higher<br />

impact business units is responsible<br />

for implementing the carbon policy at<br />

local level. Our Finance Director, Kevin<br />

Thompson, has principal responsibility<br />

for coordinating and monitoring the policy.<br />

We are committed to reducing our carbon<br />

footprint. The Group set a target of reducing<br />

its total carbon emissions relative to revenues<br />

by 10% over the three years from March<br />

2010, which was met in March 2013. The<br />

same target was set for the three year period<br />

to March <strong>2016</strong> and has been significantly<br />

exceeded. The Board are pleased with the<br />

carbon emissions reduction across all three<br />

categories of emissions and on a tonne per<br />

of revenue basis. For the three year period to<br />

March 2019, the Board has agreed a targeted<br />

reduction of total carbon emissions relative<br />

to revenues by a further 10%, further<br />

demonstrating our commitment in this area.<br />

From April 2010, we have worked with<br />

providers of energy efficiency and carbon<br />

reduction solutions to ensure compliance<br />

with the Carbon Reduction Commitment<br />

Energy Efficiency Scheme (CRC) which is<br />

the UK’s mandatory energy saving scheme<br />

administered by the Environment Agency.<br />

We are in full compliance with the CRC<br />

requirements. All major UK sites have<br />

received an energy survey and set an<br />

action plan for improved energy usage.<br />

<strong>Halma</strong> has complied with the Energy Savings<br />

CO2e emissions reduction<br />

Performance<br />

26%<br />

reduction over<br />

3 years to <strong>2016</strong><br />

Target<br />

10%<br />

reduction over<br />

3 years to <strong>2016</strong><br />

CO2e emissions<br />

(tonnes/£m of revenue)<br />

51*<br />

48*<br />

43 42 39** 36**<br />

41*<br />

31**<br />

12 13 14 15 16<br />

* Due to changes in Defra reporting guidance, the 2013/14<br />

figures onward have been calculated to include Well to<br />

Tank (WTT) emissions and Radiative Forcing on air travel.<br />

It is not required to restate years prior to 2013/14 due to<br />

the methodological changes.<br />

** The figures for 2013/14 onwards have also been calculated<br />

on the same basis as prior years (excluding Well to Tank<br />

(WTT) emissions and Radiative Forcing on air travel) to allow<br />

for a direct comparison over the longer time scale.<br />

STRATEGIC REPORT GOVERNANCE FINANCIAL STATEMENTS<br />

Greenhouse Gas Emissions (GHG) Reporting<br />

We continue to work with our consultants to better monitor our environmental performance and future external reporting requirements.<br />

GHG Emissions data for the period 29 March 2015 to 2 April <strong>2016</strong><br />

2015/16<br />

CO2e emissions<br />

global tonnes<br />

2014/15<br />

CO2e emissions<br />

global tonnes<br />

Scope 1: Combustion of fuel and operation of facilities 3,955 4,348<br />

Scope 2: Electricity, heat, steam and cooling purchased for own use 15,083 16,247<br />

Scope 3: Business air travel, WTT (Well to Tank) 13,883 14,022<br />

Total gross emissions 32,921 34,617<br />

Intensity measure of tonnes of CO 2<br />

e gross emissions per £m revenue 40.8 47.7<br />

<strong>Halma</strong> plc Annual Report and Accounts <strong>2016</strong> 49

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