The environment
Conduct profitable business in a responsible and accountable manner
In line with SDGs aimed at affordable and clean energy and climate action, the Group is focused on energy and water efficiency, responsible waste management, and innovative solutions to aid customer sustainability.
Bidvest’s environmental footprint is largely concentrated in its Freight operations, Bidair Cargo, laundries and the businesses with extensive operational networks, which collectively represent the vast majority of Group emissions and water usage.
We have set a target to reduce our own carbon and water footprint by a further 20% to 2025 (off the 2019 base), focusing in these identified businesses. As a distributor, it is also critical that we play our part in ensuring our supply chain partners are responsible in their dealings and that we contribute to the circular economy. Waste reduction and recycling is a focus area across the entire Group.
| Topic | Our aim | We will | Measurement | ||
| Environmental | E1 | Own carbon footprint | To reduce the emission intensity of our operations by 2025 from the 2019 base. | Continue to improve energy efficiency, shift our energy consumption to lower emission sources, invest in renewable sources and configure our properties to be enviornmentally-smart. | Scope 1 and 2 emissions intensity; % electricity sourced from renewables. |
| E2 | Resource use | To reduce the waste generated and water intensity in our operations by 20% by 2025 from the 2019 base. | Step up recycling efforts. | Quantum of recycled waste. | |
| Increase recycled raw material content in products and packaging whilst also making it more environmentaly friendly. | % product and packaging content from recycled material. | ||||
| Reduce the net quantum of water used taking into account recycling. | Net water intensity. | ||||
| Source product from supply chain partners that are responsible in their dealings and achieve 100% compliance by 2025 and contribute to the circular economy. | Engage with these tier 1 suppliers to ensure that they have adopted the commitments described in our Ethical Purchasing Code (industry standards or equivalent environmental assessment). | % key supply chain partners
being compliant as measured
by self disclosure.
Major non-disconformances during the year and corrective action. |
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| Introduce the recovery/ take-back of product at the end of life. | Quantum of items recovered. |
Emissions
The Group generated Scope 1 and 2 emissions of 302 952 tons in the financial year ended 30 June 2021, 14% more when compared to the financial year ended 30 June 2020. Excluding the impact of the acquired businesses, the Group’s emission increased 4%. Group emission intensity decreased by 6%. 3,351MWh, or 2%, of electricity used was drawn from renewable sources, an increase of 49% compared to the prior year.
Bidvest Tank Terminals and Bidair Cargo submitted Green House Gas reports. First Garment Rental conducted boiler stack emission tests, Noonan started the calculation of their carbon footprint, and both of them and PHS submitted Energy Saving Opportunity Scheme reports in line with a United Kingdom requirement. Konica Minolta retained its carbon neutral status, which it has held since 2013.
Group Scope 1, 2 emissions*
| 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | ||
| Scope 1 | Tonnes CO2 | 217 085 | 212 910 | 170 365 | 197 687 | 133 721 | 179 520 |
| Scope 2 | Tonnes CO2 | 5 357 | 9 471 | 157 704 | 148 661 | 132 675 | 123 318 |
| Total | Tonnes CO2 | 222 442 | 222 381 | 328 070 | 346 348 | 266 396 | 302 838 |
| * | Tonnes of CO2e are reported using government and international GHG conversion factors. |
Emissions intensity (Kg per R’000s revenue)
Water
The Group used 1.9 million kiloliters of water, an increase of 2%, of which 0.5 million kilolitres of industrial wastewater was treated and discharged. Excluding the impact of the acquired businesses, the Group’s water consumption declined 3% and water intensity decreased 15%.
Group water used and waste water treated
| 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | ||
| Total water usage | Kilolitres | 2 367 121 | 2 423 291 | 2 048 674 | 2 053 070 | 1 739 108 | 1 737 059 |
| Waste water treated | Kilolitres | 402 149 | 518 614 | 285 180 | 574 628 |
Water intensity (Litre per R’000s revenue)
Waste
The Group recycled
126,235
tonnes of waste
Almost all the businesses have waste recycling programme.
Some examples include:
- Pandae Green Solutions has been recycling oil on behalf of McCarthy dealerships for some time. A wider reaching waste management initiative, involving Pandea Green Solutions, was rolled out in Gauteng from May 2021. Over time, this will be expanded to include the dealerships in KwaZulu-Natal and Western Cape provinces as well.
- Konica Minola implemented a toner recycling programme with no cost to the customer.
- ExecuFlora uses eco bark chips from recycled plastics and rubber as soil cover in pots. Pots are also recycled and refurbished for new installations.
- Steiner branches return tin from aerosol cans, plastic from sanitiser refills, batteries, plastic and steel from obsolete dispensers to a central collection point for a recycling service provider to collect. The branches also have an active refurbishment of dispensers programme that prevented 88,000 individual plastic and steel items from going into the solid waste stream this past year.
Value add solutions
The Group is also committed to innovative customer solutions to aid sustainability. For example, the Richards Bay Liquid Petroleum Gas ("LPG") terminal was commissioned in October 2020. Contributing to the facilitation of reliable availability of an affordable low-carbon energy alternative, it is expected that the LPG terminal will increase the current supply of LPG in South Africa by 50%.
Bidvest Prestige introduced Tersano, a highly effective, environmentally friendly alternative to disinfectant chemicals. It is a cleaning chemical system that turns ordinary tap water into Stabilised Aqueous Ozone, nature's most powerful cleaner. It is a highly effective cleaning agent that breaks down dirt, grease and other contaminants, safely replacing traditional chemical cleaners, deodorisers and sanitisers.
PHS historically offered a bin replacement service whereby sanitary bins were returned to depots where the waste was removed and bins washed. Having moved to a liner service, bins no longer need to be washed and fuel consumption has been reduced as drivers no longer need to return to depots daily.
Environmental management systems
During the year, five environmental grievances were received, with four relating to odours. These were investigated and it was determined that the odours could not be attributed to products stored by Bidvest Tank Terminals. One grievance related to dust at Bulk Connections. This was due to a municipal water failure on that date. The water was restored the following day and the issue resolved.
Environmental management systems are in place at businesses, as listed below, representing 50% of Group revenue.
| Entity | Certifications | ||||
| Noonan | ISO 9001 | ISO 14001 | ISO45001 | ISO 22301 | ISO 27001 |
| First Garment Rental | ISO 9001 | ISO 14001 | ISO 45001 | SANS 10146 | |
| Masterpack | FSSC 22000 | IOS 22002 | FSC-C031324 | FSSI IBL | |
| Bidvest Tank Terminals | ISO 9001 | ISO 14001 | ISO 45001 | SANS 3000 | |
| Bidvest Facilities Management | ISO 9001 | ISO 45001 | ISO 14001 | ESCo Tier 1 | |
| PHS | ISO 9001 | ISO 14000 | ISO 45001 | ||
| Bidvest Steiner | ISO 9001 | ISO 45001 | ISO 14001 | ||
| Bidvest Prestige | ISO 9001 | ISO 45001 | ISO 14001 | ||
| Bidvest Catering Services | ISO 9001 | SANS 10049 | SANS 10156 | ||
| Renttech | IOS 9001 | ISO 45001 | |||
| Rotolabel | ISO 9001 | FSSC 22000 | |||
| Lithotech | ISO 9001 | FSSC 22000 | |||
| S&N Labels | ISO 9001 | FSSC 22000 | |||
| Konica Minolta | ISO 9001 | FSC | |||
| Manica Namibia Group | ISO 9001 | ISO 45001 | |||
| G Fox | NRCS accredited | SEDEX accredited | |||
| Bidvest Protea Coin | ISO 9001 | ||||
| P & I Associates | ISO 9001 | ||||
| Bidfreight Port Operations | ISO 9001 | ||||
| Rennies Ships Agency | ISO 9001 | ||||
| Bidvest International Logistics | ISO 9001 | ||||
| Academy Brushware | ISO 9001 | ||||
| Buffalo Tapes | ISO 9001 | ||||
| Burncrete | ISO 9001 | ||||
| Nu-Quip | ISO 9001 | ||||
| Cabstrut | ISO 9001 | ||||
| Electech | ISO 9001 | ||||
| Technilamp | ISO 9001 | ||||
| Home of Living Brands | ISO 9001 | ||||
| Silveray | ISO 9001 | ||||
| Cecil Nurse | ISO 9001 | ||||
| Hotel Amenities Supplies | ISO 9001 | ||||
| Vulcan | ISO 9001 | ||||
| Aluminium Foil Converters | ISO 22000 | ||||
| Bidair Cargo | ISAGO | ||||
| Lufil | FSSC 22000 | ||||
| King Pie | FSSC 22000 |
Task Force on Climate-related Financial Disclosures ("TCFD")
The TCFD published recommendations to encourage companies to increase their disclosure of climate-related information, with a focus on governance, strategy, risk management and metrics and targets.
Bidvest is aware of the importance of addressing issues related to climate change as the impacts are far reaching. As a targeted first step towards contributing to restrict the increase in the global mean temperature in accordance with the Paris Agreement, we have set a target of reducing our emission intensity by 20% by 2025.
During FY2021, we have taken the following initial steps towards these recommendations:
- Governance – Bidvest reiterated its commitment to conduct profitable business in an accountable manner and set objectives, which include representing responsibly made products. Management included an explicit Group emission reduction target in the board approved ESG Framework which has been cascaded into the identified focus businesses as part of management's KPIs and data gathered quarterly will be presented to the Social, ethics and transformation committee;
- Strategy – offering a continuously broadening basket of services and products that adds value to customers mean that we represent products and services that are responsibly made and delivered whilst preserving the environment for future generations. This is an ongoing process, incorporating innovation and investment;
- Risk management – at a high level climate-related risks, as discussed under ESG risks, page 6, were identified. Operationally these translate into, for example, damage to facilities at coastal level and disruptions to supply chains due to extreme weather conditions, escalating cost of service delivery, products and compliance as well as reputational damage; and
- Metrics and targets – Bidvest reported on its environmental footprint for several years. Management, however, recognised the need for specific measurement metrics and targets. A 20% reduction in emission and water intensity between 2019 and 2025 have now been included in the ESG Framework.