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.
Bidvest became a signatory to and participant in the United Nation's Global Compact. Bidvest's Group chief executive was appointed to the board of the UN Global Compact Network SA and elected the chairman. Nominated employees are participating in the UN's Climate Ambition and Gender Diversity Accelerator programs.
|Topic||Our aim||We will||Measurement||FY2019
|E1||Own carbon footprint||To reduce the emission intensity of our operations by 20% 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 environmentally-smart||Scope 1 and 2 emissions intensity||4.33||3.46||3.07||(29%)||3.05||(30%)||(14%)|
|% electricity sourced from renewables||1%||2%||100%|
|E2||Resource use||To reduce the waste generated and water intensity in our operations by 20% by 2025 from the 2019 base||Step up waste recycling efforts||Quantum of recycled waste (ton)||511 413||2 117 298||314%|
|% of waste generated recycled||3%||96%|
|Increase recycled raw material content in products and packaging whilst also making it more environmentally friendly||% product and packaging content from recycled material||Refer to
|Reduce the net quantum of water used taking into account recycling||Net water intensity||24.91||19.93||18.41||(26%)||18.53||(26%)||(13%)|
|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 standard or equivalent environmental assessment)||% offshore suppliers being compliant as measured by self disclosure||100%||66%|
|Introduce the recovery/take-back of product at the end of life||Quantum of items recovered||Refer
Bidvest's carbon footprint assessment was conducted using the operational control approach.
The Group generated Scope 1 and 2 emissions of 295 414 tons in the financial year ended 30 June 2022, 3% less when compared to the financial year ended 30 June 2021. Group emission intensity decreased by 13% year on year. In reference to targets embedded in our ESG Framework, emissions reduced by 15% between FY2019 and FY2022. Emission intensity declined from 4.33kg/R000s revenue to 3.05kg/R000s revenue, on a like-for-like basis.
2 038MWh, or 2%, of electricity used was drawn from renewable sources
Konica Minolta retained its carbon neutral status, which it has held since 2013
Both Noonan and PHS have started new zero journeys
Emission intensity (kg/R000s)
Group scope 1, 2 emissions (ton CO2)*
|Scope 1||285 431||250 441||217 085||212 910||170 365||197 687||133 618||179 520||176 592|
|Scope 2||5 357||9 471||157 704||148 661||132 675||123 318||118 822|
|Total||285 431||250 441||222 442||222 381||328 070||346 349||266 396||302 838||295 414|
|Like-for-like||275 512||275 002|
|*||Ton of CO2e are reported using government and international GHG conversion factors.|
Bidvest made a climate change submission to the CDP. Please refer to www.bidvest.co.za.
The Group used 1.8 million kilolitres of water, a decrease of 2% year on year. Also, 0.2 million cubic meters of industrial wastewater was treated and discharged. Water intensity decreased by 13% during the year to 30 June 2022.
In reference to targets embedded in our ESG Framework, 11% less water was used in FY2022 compared to FY2019. Water intensity declined from 24.91litre/R000s revenue to 18.53litre/R000s revenue, on a like-for-like basis, a 26% decrease.
Group water used and waste water treated (kilolitres)
|Total water||2 935 642||2 391 110||2 367 121||2 423 291||2 048 674||1 994 158||1 778 043||1 802 576||1 771 759|
|Like-for-like||1 639 454||1 671 474|
|Waste water treated||402 149||518 614||285 180||574 628||166 449|
Water intensity (litres/R000s)
The Group has a handful operations in water stressed municipalities, notably in the Eastern Cape, SA. Business continuity plans have been put in place.
The Group recycled 2 117 298 tons of waste. 96% of waste generated was recycled.
Product/service innovation examples:
PHS purpose designed a plastic-free biodegradable bag for users to dispose of their sanitary waste
PHS's range of AERAMAX and BIOZONE air purifiers remove harmful germs, allergens and particulates out of the air
PHS introduced ‘paper wrapped in paper' and utilise bamboo or sugar cane in the packaging of paper products
PHS launched an "on foot" washroom service in high density areas, aimed at a new employment market of those that only wanting 20 hours work per week, and which has significantly reduced the carbon footprint in these areas
Patented, water-efficient washroom water products, branded FLOWSAVER, save customers 3m3 water annually
Recycled material content, such as wheat grass, was introduced in several Interbrand branded handbag products
Croxley's popular counter book was redesigned and no longer requires plastic covering
Konica Minolta is elevating remote servicing through digital device log-in, which also improves technician efficiencies and customer satisfaction
During the year, two environmental grievances were received. One was a hexene leak at BTT which was contained to the bunded area and remedial action taken. The incident was reported to the Department of Environmental Affairs. No fine was issued and they requested an investigation report instead. At Manica Group Namibia, an external complaint was received from a neighbour relating to copper concentrate dust emissions. An inspection from the Municipal Health department took place, recommendations were received, implemented and closed out. Two social grievances related to general dust was received, one each at Bulk Connections and Manica.
No environmental fines or incidents occurred
During the year, Lufill received its FSSC supplier accreditation
Environmental management systems are in place at businesses, as listed below, representing 46% of Group revenue.
|Noonan||ISO 9001||ISO 14001||ISO 45001||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|
|Home of Living Brands||ISO 9001|
|Cecil Nurse||ISO 9001|
|Hotel Amenities Supplies||ISO 9001|
|Aluminium Foil Converters||ISO 22000|
|King Pie||FSSC 22000|
Responsible supply chain
At the beginning of FY2022, a Group Code of Ethical Purchasing (Code) was published. This Code is intended to promote safe and fair working conditions, ethical business practices and the responsible management of environmental and social issues within the Group's supply chain. The principles are to uphold human rights, behave ethically and environmentally sustainable.
As a first step, all offshore suppliers were approached to sign the Code (or equivalent) as confirmation of adherence and commitment. Many of our businesses have already started to engage with the rest of their supplier base around the same. As included in the FY2023 short term incentive scorecard, we are widening the net to include multinational suppliers as well. We are also investigating further tools to strengthen oversight.
To date, 66% of Bidvest's offshore suppliers signed the Code (or equivalent)
Noonan and PHS are engaging with select suppliers to better understand the complete supply chain footprint
Task Force on Climate-related Financial Disclosures
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 restricting the increase in the global mean temperature in accordance with the Paris Agreement, we have set a target of reducing emission intensity by 20% by 2025.
To date, we have taken the following 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 of 20% by 2025 in the board approved ESG Framework which has been cascaded into the identified focus businesses as part of management's KPIs. Data gathered quarterly is presented to the Social, ethics and transformation committee;
- Strategy – offering a continuously broadening basket of services and products that adds value to customers, means 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 – Climate risk is one of the key risks elevated at Group level. This is discussed in more detail in Material focus areas, risks and responses. Operationally, climate risks 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 has reported on its environmental footprint for several years. The need for specific measurement metrics and targets culminated in an ESG Framework released in FY2021. A 20% reduction in emission and water intensity between 2019 and 2025 has been committed to, together with measures to contribute to a sustainable supply chain and the circular economy.
Refer to www.bidvest.co.za for the Group's climate change response submitted to the CDP.
PHS innovations improve safety, reduce costs and decrease emissions
PHS is one of the largest hygiene services providers in Great Britain, Scotland, Wales and Ireland. Showing its commitment to ongoing innovation, it recently overhauled its transportation fleet, purchasing 44 new waste collection trucks and 260 vehicles in its washroom fleet.
The new trucks are fitted with state-of-the-art technology. This includes automatic braking (to help prevent low-speed collisions), proximity sensors (to detect cyclists and pedestrians in vehicle blind spots) and cameras with recording systems (to monitor, understand and improve driver performance). The trucks are fitted with on-board bin weighing equipment to accurately record individual collection weight. The safety features reduce insurance and repair costs and deliver extra protection for the fleet of drivers.
The PHS team says the overhauled washroom fleet will lead to a 30% reduction in fuel costs, a two-ton decrease in CO2 emissions, and the smaller, more nimble vans will also reduce accidents saving replacement and repair costs. PHS has a fleet of 2 000 vehicles, 700 in the washroom unit and 1 300 in waste collection. At this stage, only the City of London operations have instituted similar technologies in waste collection trucks. However, given the project's positive impact, fleet modernisation may roll out to other areas.
The company has also placed an order for electric vehicles, the first of which was delivered in Hayes, West London at the end of May 2022. The electric vehicles will initially operate in four areas in the UK. PHS believes this pilot project will ultimately lead to most of its vehicles being electric, which will save fuel costs and significantly reduce the fleet's carbon imprint.
Noonan introduces "cobots" to enhance its services
Noonan has introduced cleaning robots in its operations. The collaborative robots, referred to as cobots, enhance the services the company provides to its customers.
"Leoscrub" and "The Rex" are two of the cobots which have helped the cleaning services company free up its staff to enable them to concentrate on value-adding tasks. The company is a pioneer in implementing the latest technologies to improve its performance, ensuring it provides the best solutions possible to its growing list of clients.
The robotic cleaning machines were introduced for the first time, four years ago, at the company's pharmaceutical client. Since then, the technology has improved, leading Noonan to invest in a new range of machines. The Rex, a larger machine, was put on trial in May 2022 and is expected to be deployed at the company's shopping centre clients in the coming months.
The cobots perform repetitive cleaning tasks over large areas. Since their introduction, Noonan has saved up to 80% in water usage. The cobots are also energy efficient as their mapping technology ensures efficient cleaning and they can work in darkness. For instance, The Rex is a powerfully built yet nimble machine, which uses the class-leading lidar mapping system, a depth camera mesh and sonar sensors to help it navigate and avoid collisions. The app technology attached to the machine provides intelligent data on square metres cleaned and energy consumption.
Leoscrub and The Rex have ensured that Noonan can realise cost savings and deliver a favourable return on its investment in the form of reduced labour hours. The company has managed to save between 16 to 20 man hours a week, making the introduction of the Leoscrub financially viable. An added benefit is the increase in staff motivation – unburdened from performing mundane and monotonous cleaning tasks, they can now focus on other critical functions.
By using energy efficient robots, Noonan is also able to make progress in achieving its net zero targets. The cobots have enabled Noonan to move closer to its vision of being a partner of choice, modernise its operations and reduce its carbon footprint.