European Commission, Brussels
Service request under the framework contract
No. ENV.G.4/FRA/2007/0066
CONDENSED REPORT
“Services on Monitoring Retailers’ REAP commitments”
30 November 2011
Consortium ESWI Expert Team to Support Waste Implementation
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Content
1 Background and objectives ...... 4
2 Achievements made by category and vision ...... 5
2.2 Commitments and achievements in the different REAP categories ...... 6
2.3 Major achievements in different areas of activity across the different categories...... 6
2.3.1 Sales of sustainable products including ecolabelled (all categories) ...... 6 2.3.2 Reduction and optimisation of the use of packaging material (what and how we sell) ...... 7 2.3.3 Green procurement, greening of the supply chain and partnerships (what and how we sell) ...... 8 2.3.4 Water management (what and how we sell) ...... 8 2.3.5 Increased energy efficiency (how we sell) ...... 9 2.3.6 Optimisation and green innovation of distribution system and logistic including greening of supply chain (how we sell) ...... 9 2.3.7 To improve waste management (how we sell & communication) ...... 10 2.3.8 To increase the use and production of renewable energy (how we sell) ...... 10 2.3.9 Awareness raising on environmental issues (all categories) ...... 10 3 Achievements made by retailer ...... 12
3.1 Achievements made by REAP Member Companies ...... 12
3.1.1 Asda Walmart (UK)...... 12 3.1.2 Auchan (FR) ...... 13 3.1.3 C&A (Retail Services Company) ...... 13 3.1.4 Carrefour (FR)...... 14 3.1.5 Colruyt (BE) ...... 15 3.1.6 Delhaize Group...... 16 3.1.7 El Corte Inglés ...... 17 3.1.8 IKEA ...... 18 3.1.9 Inditex ...... 19 3.1.10 Kaufland (DE) ...... 19 3.1.11 Kingfisher (UK) ...... 20 3.1.12 Leroy Merlin ...... 21 3.1.13 Lidl ...... 22 3.1.14 Marks & Spencer (UK) ...... 22
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3.1.15 Mercadona (ES) ...... 23 3.1.16 Mercator (SI) ...... 23 3.1.17 Metro Group ...... 24 3.1.18 REWE Group ...... 25 3.1.19 Royal Ahold (Albert Heijn, ICA) ...... 25 3.1.19.1 Reported initiatives and major achievements made by Albert Heijn ...... 26 3.1.19.2 Reported initiatives and major achievements made by ICA ...... 27 3.1.20 TESCO ...... 27 3.2 Achievements made by Retail Associations ...... 28
3.2.1 APED (PT) ...... 28 3.2.2 Confederación Española de Comercio CEC (ES) ...... 29 3.2.3 Euro Coop ...... 29 3.2.3.1 ANCC/Coop Italia ...... 30 3.2.3.2 S-Group (FI): ...... 31 3.2.3.3 Kooperativa Förbundet (SE): ...... 31 3.2.3.4 Coop Norway: ...... 32 3.2.3.5 The Co-operative Group (UK)...... 33 3.2.4 FCD (FR) ...... 34 3.3 Verification of achievements by store visits ...... 35
4 Conclusions and Recommendations ...... 37
4.1 Conclusions from the second REAP progress monitoring ...... 37
4.2 Recommendations for examples of good practice ...... 38
4.3 Recommendations for future REAP progress monitoring ...... 40
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1 Background and objectives
The Retail Forum1 is a multi-stakeholder platform set up in order to exchange best practices on sustainability in the European retail sector and to identify opportunities and barriers that may further or hinder the achievement of sustainable consumption and production over an initial timeframe of three years. Membership in the Retail Forum is voluntary and open to all retailers who join the Retailers' Environmental Action Plan (REAP). Exemplary environmental initiatives of REAP Members are reported in the Matrix of Environmental Action Points (MAP) and shall demonstrate progress made in the environmental sector over time. This progress is to be monitored externally in order to ensure transparency and to add more weight to the Forum, and to complement in a more cross- sectional manner the retailers' individual and collective reports.
This report constitutes a short version of the second external progress monitoring on behalf of the European Commission and has its focus on the targets set and achievements made by 2010. A comparison with the first progress monitoring round is made. In addition it contains summary information on the translation of commitments into the REAP database.2
The results are structured according the REAP categories: “What we sell”, “How we sell”, and “Communication” and the individual REAP member company and association.
For more information and further details please check the comprehensive full version of the progress report, which contains extended detailed information about achievements for 2010 and developments made since 2009.
Additional details and illustrations with a particular focus on store visits performed are contained in the Annex to the report document which can be accessed together with the report at http://ec.europa.eu/environment/industry/retail/monitoring_report.htm.
1 http://ec.europa.eu/environment/industry/retail/index_en.htm 2 http://ec.europa.eu/environment/industry/retail/reap/index_en.html
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2 Achievements made by category and vision
By October 2011 the REAP database contains about 390 reported environmental commitments from major European retail companies and associations. This figure comprises about 130 targets for the category “What we sell”, almost 195 targets for the category “How we sell” and 66 targets for the category “Communication”. Taking into account the number of targets scheduled for 2009 and before, the overall reporting of commitments increased by 65 compared to the previous progress monitoring period in 2010. Almost one third of the commitments has timelines for 2010 or is classified as ongoing and is included in the summary assessment for achievements made. Another third has short-term timelines for 2011 and 2012, and the last third are long-term targets up to 2020 or are not specified.
Energy efficiency of buildings (roughly 65) and increased sales of more sustainable products (about 60) together with improved eco-design (about 20) are the priority area of REAP activities and will continue to be over the next years. Other priority areas are optimisation and green innovation of distribution systems and logistics (about 55), including greening of the supply chain (10) and production and use of renewable energy (21). A third focus is on packaging and/or its environmental impact (21) including green procurement (13) and improved waste management (22). Also awareness raising of customers and training of staff (59) is an important area of activities, the major part of which is allocated to the category “Communication” (50) where a broad range of activities are reported.
2.1 Developments compared to reporting in previous year
In comparison to the first monitoring round in 2010 the number of reported commitments, targets and retailers involved increased in particular in relation to sustainable products, eco-design and packaging, energy efficiency of stores, logistics, waste management and renewable energy.
These developments already seem to reflect the priority topics discussed and concluded upon in the issue papers elaborated by the Retail Forum over the past two years and including energy efficiency of stores (2009)3, optimisation of distribution systems (2009)4, marketing and communication (2010)5, timber (2010)6, life-cycle information for every day products (2011)7, carbon footprint (2011), packaging (2011) and waste minimisation (draft 2011) and in part could be considered a reaction to the recommendations taken. Reduction and optimisation of the use of packaging materials (7), waste separation and recycling or plastic bags8 (about 5 each) are other areas where progress was scheduled and reported in a more extensive manner in 2010.
3 http://www.eurocommerce.be/media/docs/Environment/Issuepaper_EnergyEfficiency_Final.pdf 4 http://www.eurocommerce.be/media/docs/Environment/http___circa.europa.eu_Members_irc_env_retail_fo rum_library_l=_collection_finalised_optimisation_distributio__EN_1.pdf 5 http://www.eurocommerce.be/media/docs/Environment/marketing.pdf 6 http://www.eurocommerce.be/media/docs/Environment/timber.pdf; 7 http://www.eurocommerce.be/media/docs/Environment/LCA.pdf 8 Partly comprised in product design
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As a general rule it can be stated that target achievement in general is good but certain challenges exist in commitments related to customers’ bags and to waste management where success depends from customers and or public services.
2.2 Commitments and achievements in the different REAP categories
Under ”what we sell” the focus is clearly on sustainable products and eco-design including sustainable shopping bags. Compared to last year more commitments were reported for organic and fair trade products and for certified tissue/wood, whereas the reporting with respect to commitments related to sustainable fish, waste and water management decreased.
In the category “how we sell” the increase of energy efficiency in the retail sector and optimisation and green innovation of distribution system and logistic are the priority areas of environmental activities. Commitments focus on buildings and transport including lighting, refrigeration/cooling and energy efficient vehicles or optimised transport routing as major sectors. Main focus of waste management commitments is on increased waste recycling/recovery including sorting measures. Another focus is on food and packaging waste prevention.
In “communication” there is a clear focus on activities for customers’ information and awareness raising such as general environmental education and sustainable lifestyle, promotion of reusable and sustainable bags, promotion, presentation, and labelling of organic, eco-labelled and fair-trade and other sustainable food and non-food products, guide books and environmental reports for customers. In single cases communication is focussing on separate waste collection or recycling, environmental display on products, company engagement on sustainability, and self-help projects in developing countries.
As regards achievement scheduled for 2010 (and ongoing) it could be observed that commitments reported under the REAP initiative are allocated more or less evenly to the two categories "What we sell” (about 40) and “How we sell” (about 60). About 35 targets for 2010 or classified as ongoing have been reported in the category “Communication”.
Overview tables on number of commitments and targets for the reporting period 2010 and 2011 are provided by REAP category and vision in Annexes I and II to the progress report.
2.3 Major achievements in different areas of activity across the different categories
2.3.1 Sales of sustainable products including ecolabelled (all categories)
The roughly 75 commitments related to sustainable products and ecodesign (including energy efficient products) comprise targets for various types of products but focus on wood/paper/tissues (FSC, PEFC label, recycled fibres, EU label), eco-products in general, organic products (own brand, national, international) including regional and fair trade products, energy efficient light bulbs (including promotion actions), white goods and products using/producing renewable energy. In addition there are a number of commitments on sustainable fish.
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In single cases retailers report about products made of renewable materials, free from chemical products, sustainable palm oil, organic cotton, health and safety standard for textile products, concentrated washing liquids, carbon impact and sustainability labels.
Compared to the reporting in 2010 in particular the number and ambition of targets related to certification schemes for wood/paper/tissue increased, whereas the number of commitments related to eco-products and organic products remained high. This development is in line with the recommendations given in the issue papers on “Marketing and Communication” 9(April 2010) and on “Timber” 10(June 2010) and highlights well the fast development in the offer of organic and fair trade products and other eco products that could also be confirmed by the store visits performed (see Annex IV). The higher number of 2010 targets related to energy efficient light bulbs compared to targets 2009 (2) is triggered by the deadlines (clear 75 W bulbs by September 2010) set in Commission Regulation (EC) No 244/2009, but complete phase out as reported for Belgium due to a sectoral agreement and for the UK is well one year ahead of the legal schedule with has set the deadline for complete phase-out to September 2012. A final development that should be highlighted at this place is the inclusion of innovative targets such as the restriction to certified palm oil, or standards for sustainable textiles and furniture.
Highlights to mention are a 100% for sustainable fish, the considerable increase in shares for organic products or eco-labelled products of almost 10 and 20%, the high share of FSC certified paper/tissue and timber (100%, 75%). Further particularly valuable achievement made are the 100% FSC labelled beverage packaging (Mercadona, ANCC/Coop Italy) or the development of a health and safety standard for textile products. Interesting achievements to mention are also the increase in white good energy efficiency by 25% (Asda) or the increased share of A++ products by 20% over two years. In addition the purchase of Green palm certificates for the total company consumption (Carrefour), and several complete phase outs of sales of filament light bulbs shall be mentioned. In addition the 100% share of certified or recycled paper for own brand tissue and commercial publications according to the reporting seems to expand throughout Europe involving more retailers and additional countries compared to the previous year.
2.3.2 Reduction and optimisation of the use of packaging material (what and how we sell)
The roughly 30 commitments related to optimisation of packaging material focus on reduced use and/or environmental impact of carrier bags (including a ban of free single use bags, introduction of bio-cotton shopping bags, promotion of green bags and increased sales of biodegradable shopping bags), and product packaging, separate collection or recycling information on labels, on packaging prevention (deposit schemes), the optimisation of waste sorting, improved eco-concept of packaging materials (including reduction of mixed packaging waste), internal courses on environmental issues, the development of an eco-efficient store model with sustainable containers and packaging management, and improved records on packaging, electrical and electronic equipment, batteries and accumulators by improving IT support. This expands the focus set in the previous reporting round.
9 http://www.eurocommerce.be/media/docs/Environment/marketing.pdf 10 http://www.eurocommerce.be/media/docs/Environment/timber.pdf
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Actions under this vision reflect the recommendations from the issue paper on packaging waste (Sep 2011) and can be considered direct reactions to the requirements of the Packaging and Packaging Waste Directive (94/62/EC)11. These actions in addition are well consistent with the stakeholder consultation on how best to reduce the use of plastic carrier bags across Europe launched by the European Commission in the first half of 2011.
The targets aim at the same direction as the 2009 target to reduce environmental impact of carrier bags by 50%, but are wider in scope and more focussed on major packaging waste streams and waste prevention. New targets compared to 2009 are deposit schemes, application of labels indicating the appropriate treatment and separation scheme, and biodegradable packaging.
Highlights are that quite remarkable decreases have been achieved in single cases, with decreases up to 80% for single use disposable bags (Mercadona, TESCO) or the increase in sales of bio cotton bags by 12 million (C&A), as well as regarding product packaging (9,200 tons Auchan, about 15% The Cooperative Group, and 4,500 tons or 21% savings compared to 2009 ANCC/Coop Italia), and the introduction of biodegradable product packaging (Delhaize). Similar actions taken by some other retailers are presented under the individual retailer or can be derived from the store visits reports. The 2012 target for Carrefour related to phase out of free disposable check out bags was already achieved in hypermarkets in FR, in all formats in BE, and PL.
2.3.3 Green procurement, greening of the supply chain and partnerships (what and how we sell)
The 15 commitments related to green procurement, greening of the supply chain and partnership with NGOs or other institutions focus on local sourcing or on improved environmental performance of suppliers including self assessment, a carbon measurement tool for products as a basis for sustainable sourcing policies and suppliers training.
In this context we want to highlight in particular the supplier training program in developing and emerging countries (METRO GROUP), the programme related to chemicals of concerns (Kingfisher), and the initiated phase out of caged rabbits in cooperation with an animal welfare organisation (Kaufland). Benchmark for regional sourcing is the 2009 target of a 30% share in food. It is important to note that initiatives related to regional and seasonal sourcing are implemented by other retailers in the majority of EU Member States even if not included in REAP reporting. (For details see store visit reports).
2.3.4 Water management (what and how we sell)
Retailers only scarcely report about initiatives for improved water management. The only commitments reported focus on sales of plants with low water needs, efficient watering devices and testing of water treatment systems via UV. Few additional examples are documented in store visit reports.
11 to minimise, design for recovery and re-use, mandatory national recovery targets for waste packaging
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2.3.5 Increased energy efficiency (how we sell)
The roughly 60 reported commitments relate to energy efficiency mainly address energy consumption of stores. This is differentiated into specific targets for dimming, heat recovery, installation of frequency regulators, use of energy efficient lighting or LED, etc. Closed freezers and cooling installations or leakage reduction are other measures where retailers focus on.
The strong increase in targets compared to 2009 in part reflects the legal pressures of EU legislation and related national targets. In part it could be considered a reflection or reaction to the examples of good practice and the recommendations from the issue paper from September 200912.
Considerable improvements such as e.g. 100% optimized freezer cabinets and covered freezer sizzles including LED, heat recovery in 75% of all stores, reduction in average power consumption in stores of up to 50%, and reduction in CO2 emission of almost 50% have been achieved in certain cases in 2010.
2.3.6 Optimisation and green innovation of distribution system and logistic including greening of supply chain (how we sell)
A considerable share of the more than 50 commitments from roughly 20 REAP members related to “optimisation and green innovation of distribution system and logistic” address transport emissions, by means of improved/innovative vehicles, intermodal transport, and more efficient distribution (logistic) systems, reduced travelling by combined store deliveries and backhauling, or changed timing of transports including noise aspects. Customers transport is addressed in a single case.
Another considerable share of commitments relates to CO2 emissions from stores and products, to overall reduction targets for CO2 up to a zero carbon status without using offsets (TESCO), carbon footprint or to CO2 monitoring methodology. A smaller group of commitments is focussing on CO2 based natural refrigerants or the replacement of ozone depleting refrigerants.
The energy and climate efficiency of production plants (ANCC) and the cooperation with suppliers to reduce the carbon footprint of products (Albert Heijn) are reported in single cases.
Compared to the targets for 2009 the achievements made in 2010 can be considered a good continuation and simultaneously a considerable amplification of actions in this field. In particular the reporting by Euro Coop member companies should be highlighted, even if reporting to REAP remains limited to a number of retail companies/associations.
Achievements to be highlighted are optimized supply by distribution centres, shift to train and water, investment in extra silent or hybrid trucks, off-peak delivery, or up to 100% EuroV shares for company fleets. Particularly interesting achievements to be mentioned are the 84% share of public transport used by employees achieved by CEC/CCC, the up 22% reduction in transport emissions (Inditex and KF), or the annual 20% fuel reduction in transport (M&S). Other highlights are the
12 http://www.eurocommerce.be/media/docs/Environment/Issuepaper_EnergyEfficiency_Final.pdf
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installation of battery rechargers for electric vehicles (ICA, El Corte Inglés) or the use of electric cars for delivery (REWE) and maintenance works. The building of sustainability learning stores shall be highlighted as an innovative approach in the reporting this year. (For additional examples see store visit reports in Annex IV).
2.3.7 To improve waste management (how we sell & communication)
Main focus of the more than 20 commitments reported by ten individual companies and seven associations is increased waste recycling/recovery including sorting measures and installation of collection furniture. Another focus is on food and packaging waste prevention. A specific landfill target and methanisation of bio waste are reported in single cases.
Compared to the progress monitoring 2010 we observe a concretisation of many targets whereas the overall objective remains similar. The achievements go into the same direction as the 100% target for packaging waste (cardboard, plastics and polystyrene generated in supermarkets and warehouses) or the 100 % diversion of waste from landfill achieved in 2009, but together widen the range of retailers that already achieved such a high level.
It should be highlighted that a 100% recovery rate is aimed at in quite a number of cases.
2.3.8 To increase the use and production of renewable energy (how we sell)
A clear focus of the roughly 15 commitments related to renewable energy is on energy supply from renewable sources with targets ranging from 20 to 100%. Installation of photovoltaic and solar panels is a second focus of reported targets. Installation of condensing boilers is reported in one case. Highlights in this area are the 100% supply with renewable energy achieved by the Cooperative Group, and the 50% target for renewable energy production achieved by Inditex. Reported actions show the movement towards renewable energy sources that is triggered by national law (e.g. Spain) and EU requirements.
2.3.9 Awareness raising on environmental issues (all categories)
The more than 50 targets related to awareness raising of customers and employees reported for 2010 and onwards cover a considerable range of actions but clearly focus on:
General environmental education and sustainable lifestyle (via in-store information, awareness raising events, print media, websites, online training, school visits, etc.),
sustainability plans and social responsibility reports (including GRI reports), etc. , promotion of reusable and sustainable bags
promotion, presentation and labelling of organic, eco-labelled and fair-trade and other sustainable food products including certified fish, regional products, carbon foot printed products (including “One tonne Life” project) and GMO
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promotion of sustainable non-food products including carbon footprinted, energy efficient or renewable energy using products and education about energy saving measures
guide books and environmental reports for customers (topics may include environmental performance of the retail sector, climate change, wood, water or energy saving, sustainability, pesticides, etc.)
training programmes (online, manuals, corporate magazines, etc.) for employees including initiatives to reduce private transport of employees. In single cases communication is focussing on separate waste collection, environmental information on products, sustainability engagement, waste recycling, support of self-help projects in developing countries, Plan A quality in general merchandise and food products.
In comparison to 2009 the targets for 2010 reflect the higher priority that has been attributed to communication via the broader involvement of retail companies and the higher number of initiatives. An additional focus is put on climate impact and carbon footprint, GMO, and on waste separation and recovery.
Highlights in this context are the carbon footprinting of more than 1,000 and carbon label of more than 500 products by end of 2010 (TESCO), the 10% increase in fund raising for self-help projects in developing countries (KF), websites dedicated to environmental topics including climate impacts and energy needs (ICA, S-Group), e-learning tools (Coop Norway)and the European code of conduct13 for retailers, that was published in time in 2010 and is supported jointly by Euro Commerce and European Retail Round Table (ERRT). Priority aspects that are addressed in the code are environmentally sustainable sourcing, resource efficiency, transport and distribution and waste management.
In addition the publication of a report about the Climate Change project (EuroCoop), environmental marking of over 3,000 products (Auchan), Eco, Ecoplanet and Pro planet product lines as promotion tool for sustainable products (Carrefour, REWE), the participation in EU awareness raising campaigns (Carrefour), or awareness raising campaigns for sustainable fish (Kaufland) shall be highlighted as good approaches.
13 http://www.eurocommerce.be/media/docs/Environment/RetailEnvironmentalSustainabilityCodeFINAL_2_.pdf
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3 Achievements made by retailer
This chapter summarises progress made over time related to commitments reported to MAP with a focus on 2010. Additional information is included if relevant. Due to the fact that retail companies and retail associations have different options for action in the field, the results are presented separately for the two groups. In the assessment of progress made it is in addition important to be aware of the fact that reporting to REAP does not claim completeness but comparable types of activities are often taken or have been accomplished by other retailers without reporting.
High numbers of commitments and targets for 2010 or classified as ongoing were reported namely by ANCC/Coop Italy, Colruyt, the Co-operative Group, Mercadona, Kooperativa Förbundet, Delhaize, Coop Norway, C&A, Albert Heijn, ICA, FCD and Asda, S-Group, Carrefour, El Corte Inglés and TESCO but also all other REAP members reported interesting results.
3.1 Achievements made by REAP Member Companies
3.1.1 Asda Walmart (UK)
Founded in the 1960s, and a subsidiary of Walmart since 1999, Asda today is one of Britain’s leading retailers. It has over 175,000 dedicated Asda colleagues serving customers from 515 stores, including 25 Asda Living stores, 23 depots and eight recycling centres across the UK (Great Britain and Northern Ireland). It has its main home office in Leeds, Yorkshire and its George clothing division based in Lutterworth Leicestershire. Asda serves over 18 million shoppers a week in store and its growing home shopping business serves over 98 per cent of UK homes. The main service is on food retail; however, Asda also offers George clothing, home ware, electrics, music and video, toys and baby products, as well as financial services. Asda’s net revenues during fiscal 2010 were in a dimension of € 24 billion, Asda’s long-lived assets, consisting primarily of property and equipment, net, totalled € 8.9 billion, € 8.4 billion and € 7.7 billion at December 31, 2010, 2009 and 2008, respectively.
Reported initiatives and major achievements made
For Asda Walmart the REAP database lists 20 commitments for 2010 onwards with a focus on improved products eco-design (fish, palm oil, electronics) and carbon footprint. Further areas included in the reporting comprise local sourcing, waste & water management, phase out of filament light bulbs, and information on sustainable lifestyle.
Major achievements by the end of 2010 are the increase in sales share of sustainable fish from <5% in 2005 to 100% in 2010, a 12% absolute reduction of the carbon footprint since 2007 against a sales increase of 19.5%, a decrease in annual GHG emissions in tons CO2 equivalent/year by 85,000 tons CO2 equivalent to 1,153,444 in 2010, the reuse, recycling or recovery rate of 92% for store waste and of 95% for construction store waste from all UK businesses, the absolute 27% weight reduction from 2005 –end 2010 for packaging material, and a 100% sending to recycling of defected clothes in
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support to the New Life project.
Interesting initiatives that started recently comprise the initiative to allow “Green Champions” in stores to roll out sustainability plans, the Aisle Spy Environment blog installed on the Asda website in 2009, and the newly established target to discuss how to live a sustainable lifestyle across Asda media channels (Asda free magazine - the UK's widest read free magazine - and Asda FM in store). New targets for previous commitments specified in the sustainability strategy 2.0 (2005-2015) include the 35% reduction target for carbon emissions from existing stores, depots & offices, the 60%/30% higher carbon efficiency of the new store/depot model, an 8% (absolute) leakage rate from refrigeration systems, the 30% absolute reduction in water usage in buildings, and the 60% emission reduction from transport operations (intensity target versus cases delivered).
3.1.2 Auchan (FR)
Auchan is an international retail company with 262,000 employees, in 12 countries14. Consolidated revenue excluding taxes reached €42.5 billion in 2010. The four core businesses of Auchan are hypermarkets, supermarkets, real estate and banking. In May, 2011 Auchan operated 574 hypermarkets in 12 countries and 747 wholly-owned supermarkets in five countries (EU: France, Italy, Spain, and Poland).
Reported initiatives and major achievements made
Auchan France is focussing in its reporting on reduced packaging of Auchan branded products, improvement of waste management by an increased recycling rate and increased renewable energy production by methanization of fermentable waste, and on raising of consumer and employee's awareness by implementing a specific environmental marking.
77% of the waste produced by Auchan stores had been recycled in 2010 which shall be increased to 80% in 2011. The amount of methanized waste has doubled since 2008 to an estimated amount of 4.500 t of methanized waste in 2010. The number of products with environmental marking increased from 0 in 2007 to estimated 3,000 in 2010 and shall rise to 3,300 in 2011. The cumulated amount of packaging reduction of Auchan branded products since 2004 reached 9.200 t in 2010, and Auchan stopped selling incandescent light bulbs > 75 watt to consumers.
3.1.3 C&A (Retail Services Company)
C&A is one of the leading fashion retailers in Europe and Latin America, subsidiary of the COFRA Holding Group AG. Having started trading in 1841 as a textile warehouse, it has a history spanning over 160 years and 5 generations of the same family making it one of the pioneers of the retail industry. Today C&A operates in 18 European and 2 Latin American countries as well as China. Around 32,000 employees work throughout more than 1000 stores. The total turnover of C&A in
14 (EU: France, Spain, Italy, Portugal, Luxembourg, Poland, Hungary, and Romania. Non-EU: Ukraine, Russia, China, Taiwan)
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2010 represented 6.2 billion €.
Reported initiatives and major achievements made
Reported C&A commitments focus on the improvement of the products eco-design (increased sales of organic cotton), energy efficiency (motivate customer’s behaviour by washing instructions saving energy), carbon footprint and transport air emission.
Major achievements by the end of 2010 are the 69% share of European deliveries executed by vehicles compliant with Euro V standards and a corresponding reduction of transport emissions of harmful particles emission by 80% and of NOx by 60%. The number of stores equipped with the new environmentally friendly ELITE lighting systems in Germany reached 78% by the end of 2010- more than a twofold increase compared to 2008, and finally a remarkable improvement of sales of organic cotton from 15.3 million items in 2008 to 28 million items by the end of 2010 was reached. The ongoing commitment to increase sales of corporate bio cotton bags is further pursued. In total, roughly 700,000 corporate bio cotton bags have been sold over a 3 year period.
Compared to a total reduction of CO2 emissions within the stores, EHO and DCs of 30,000 t in 2008, additional 30,000 t of CO2 emissions were prevented in 2010; in addition 70% (m²) of EHO and DCs stores were powered by green energy in 2010. Energy consumption in the C&A Eco Store was reduced by 40% in 2010. The eco shop has been fully supplied by renewable energy since 2009.
3.1.4 Carrefour (FR)
Carrefour is the world’s second-largest retailer and the largest in Europe, the group currently operates four main grocery store formats: hypermarkets, supermarkets, cash & carry and convenience stores. The Carrefour group currently operates with almost 16,000 stores in 33 countries worldwide. Around 472.000 people are employed within Carrefour who reached a total of €90,090 million consolidated net sales in 2010.
Reported initiatives and major achievements made In reporting to REAP, Carrefour puts the focus on sales of more sustainable products including eco- labelled (certified tropic hardwood, paper and palm oil), a sustainability self assessment tool for its suppliers, increased energy efficiency, reduced CO2 emissions of stores, phase out of plastic bags, and consumer awareness on environmental issues via events in stores and head offices, promotion of organic and eco-labelled products. Carrefour achieved a share of paper made of fibres from certified sustainable forest management and/or recycled sources of 95% worldwide, reduced the quantity of paper bought for commercial publications by 19 %, and the average weight by 3.6% from 2007. More than 5,000 suppliers of private label products had access to the sustainability self assessment tool worldwide in February 2011. Carrefour has reduced by 55% the distribution of free disposable checkout bags between 2007
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and 201015. Carrefour proposed 27 references certified by MSC, 100% of the tropical hardwood furniture assortment of its European purchase office certified by FSC or in process to achieve certification. The company is the biggest seller of organic products in France and proposes more than 3,700 organic products in its hypermarkets all around the world. Carrefour has increased its energy efficiency by roughly 18% between 2004 and 2010, and in 2010, Carrefour France bought 15,000 tons of Green palm certificates, covering the total volume of palm oil used in Carrefour Brand products in France.
With respect to customer and staff awareness on environmental issues Carrefour for example participated to the European Energy Week. Exclusive partner to the operation, the Group mobilized four countries where it is active: Spain, Poland, Italy and France. Carrefour Italy for instance, made a promotional offer on rechargeable batteries, battery chargers and low energy-consumption bulbs. More than 130 Carrefour’s stores (hypermarkets and supermarkets) in France participated to the European Week for Waste Reduction. Since July 2010, some juices are packed in FSC-certified Tetra Pak’s packaging). Carrefour has developed special pictograms on its private brands Carrefour and Carrefour ECO planet (more than 600 references) in five European countries (France, Belgium, Spain, Italy, Greece) to indicate the possibility to recycle. Carrefour has launched the website www.c-laterre.fr, dedicated to sustainable development. During “Les jours bleus” Carrefour highlighted its MSC offer to inform consumers about the label. In addition Carrefour in 2011 started an information campaign about references produced from animals fed without GMOs, and proposes more than 350 references labelled “fed without GMO” in France. Carrefour participates in the mandatory French national experimentation for environmental display on products from July 2011. Carrefour intends to contribute to the global outcome and evaluation of the experimentation focusing on the following key performance indicators: the reliability of the assessment, the understanding by consumers, the cost of the assessment and its impacts on the cost of products compared to the environmental benefits. Carrefour intends to replace or to use only certified sustainable palm oil (RSPO) in its private label products by 2015, and already marked chips with related information. Finally the Carrefour group in 2010 has taken a new commitment to reduce the Group’s CO2 emissions compared to 2009 by 40 % until end of 2020 in France, Belgium, Spain, and Italy.
3.1.5 Colruyt (BE)
Colruyt is a Belgian family company that is one of the major players in the country's retail network. Founded in 1925 by Franz Colruyt, the group today operates a number of retail brands, most significantly its eponymous discount supermarket chain. The company is headquartered in Halle, Belgium and has operations in Belgium, France and Luxembourg. The Colruyt group employs a total of 24,119 people in currently 394 integrated stores. In March 2011 the total revenue reached €7,280 million. The Colruyt Group comprises various formats such as CodiCash, Coccinelle, Okay, Bio Planet, Dreamland, Dreambaby, Intrion, Symeta, Enco, Alvo, Spar, or Pro&Pro.
15 Worldwide phase-out envisaged by 2012
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Reported initiatives and major achievements made
The 18 commitments reported by Colruyt clearly focus on the sustainability of products, pollution- and carbon emission reduction in logistics, increased energy efficiency and customer information.
In this context it should be highlighted that class A products have been reduced from 60% in 2008 to 40% in 2010, whereas the share of A++ was raised from 0% in 2008 to 21% in 2010. The number of Bio-planet stores increased to 7, and the turnover of organic products in all Colruyt stores significantly increased with an average increase of 8 % a year. All self-imported full wooden garden furniture is labelled FSC or PEFC16, with a search function for these words established on the dreamland website. All Colruyt trucks have Euro V, already one year before the target year 2011. In addition 27 covered unload zones were established, three extra silent trailers were purchased and the first hybrid truck was put in operation to increase the number of silent off-peak deliveries. Colruyt continues to design eco-efficient buildings, associated with the complete ban of plastic bags and the installation of cooling zones instead of open shelves. 276 devices for systematic electricity monitoring have been installed in Colruyt stores as part of Colruyt’s ECO2 program, a fine-meshed measuring network to continuously monitor all energy flows within the group. A CO2 balance according to the GHG protocol has been performed, and the production of green energy rose to 22% and the purchased green energy could be reduced to 78%. The volume of recycled paper for brochures, catalogues, cash receipts and customer communication increased to 74% and the volume of FSC labelled paper to 60% in 2010. The number of employees that use alternative transport doubled to 3.000 within one year.
In addition the company is engaged in projects such as the “Greenline Charter”, or the “Collibri foundation”, and recently launched a new private label brand (ECO-SELECT) for environmentally friendly non-food products linked with a well readable and identifiable label.
3.1.6 Delhaize Group
Delhaize Group is a Belgian international food retailer, seated in Brussels with activities in eleven countries on three continents17. At the end of the second quarter of 2011, Delhaize Group’s sales network consisted of 2,842 stores thereof 1,638 in the USA. In 2010, Delhaize Group posted EUR 20.8 billion (USD 27.6 billion) in revenues and the Group employed approximately 143,000 people. The company focuses on food retailing, food wholesaling to affiliated stores in its sales network and independent wholesale customers and on retailing of non-food products such as pet products. Reported initiatives and major achievements made
The nine commitments to MAP in 2011 by Delhaize Group European operating companies18 relate to partnerships with local suppliers, an increase of biodegradable packaging, a ban of incandescent light
16 Target was set to 2011. 17 EU. Belgium, Greece, Romania, Serbia, Bosnia and Herzegovina, Montenegro, Bulgaria, and Albania 18 Delhaize Group European operating companies included Delhaize Belgium, Alfa-Beta (Greece) and Mega Image (Romania) when the 2011 MAP commitments were taken. Scope of this document is therefore limited to those operating companies’ commitments.
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bulbs, and to increased sales of more sustainable products. Further priorities are the encouragement of recycling behaviour, a decrease of the overall energy consumption, including an optimized refrigeration system, an improved distribution system and a ban of non reusable plastic carrier bags.
Delhaize Group annually informs on the corporate responsibility performance. Delhaize Belgium completely banned incandescent light bulbs from the product range. In 2010 Delhaize Belgium started sourcing from local milk cooperative, Alfa-Beta saw its local products sales increased by 20% (compared to 2009) and Mega Image launched a local private brand products range. Delhaize also increased the number of compostable product packaging in Belgium and launched this initiative in other European Delhaize Group operating companies as well. The offer of organic products amounts to 4% of the food assortments in Belgium and Greece. The sales volume increased significantly reaching close to a 20% increase per year in Belgium. Non-reusable plastic carrier bags were completely banned in Belgium since 2007. 42% of the refrigerants were ozone-friendly in 2010 worldwide across Delhaize Group. All Belgian operations are run by 100% renewable green energy from water powered energy plants and solar power projects in stores and distribution centres.
Finally Alfa-Beta increased its recycling facilities to 53 in 2011, and added cooking oil and lamp recycling in more than 61 stores, in order to encourage its customers to recycle.
3.1.7 El Corte Inglés
El Corte Inglés, headquartered in Madrid, is the biggest department store group in Europe and ranks fourth worldwide. El Corte Inglés is Spain's only remaining department store chain, as well as owner of several associated businesses, such as the supermarket chains Hipercor, Supercor & Opencor, the fashion chain Sfera as well as a travel agency (Viajes El Corte Ingles) and telephone provider (Telecor). In 2010 El Corte Ingles employs more than 100,000 people in 81 department stores, 38 hypermarkets and several hundred smaller stores in Spain and Portugal with a total turnover in 2010 of € 16,413,42. El Corte Inglés is one of the four biggest retail companies in the European Union.
Reported initiatives and major achievements made El Corte Inglés in its reporting sets the focus on the development of health and safety standards for textile products, sustainable fish and certified food, centralized delivery and charging points for electric vehicles, decreased distribution of plastic bags, reduced electricity consumption, and photovoltaic solar systems in new stores. Training of employees, increased recovery of light bulbs, and information material for customers and staff are further priorities. El Corte Inglés has managed to expand its offer in ecological products to 274 product references and the number of labelled products could be increased by 18% in comparison to the previous year. For sustainable fish El Corte Inglés has elaborated a detailed policy document including specific measures to replace endangered species, ban fishing methods and requesting traceability. Recently the company introduced the "15-use shopping bags" in the supermarket checkout lanes, with a total reduction by 40% envisaged for 2012. The company increased direct delivery to centralized platforms. For frozen articles a 100% share shall be reached in 2011. For refrigerated products and soft drinks 100% direct delivery is envisaged for 2012. Energy consumption by m² was reduced by
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17% and 23% of carbon emissions were saved in 2010.
El Corte Inglés raises awareness of clients and employees via symposia, intranet or SIE providing guide book, educational courses, etc. This includes manager training about energy saving and water, and employees’ training regarding plastic bags. 47,338 kg WEEE were recovered in 2009, and a 55,000 kg are envisaged for the target year 2012.
3.1.8 IKEA
IKEA is a home furnishing retailer, who in a few cases has established a fully integrated supply chain, including its own industrial groups – Swedwood and Swedspan. The IKEA Group, directly or indirectly, also owns retail centres, always with an IKEA store as unique anchor tenant. The IKEA Group works in four basic areas: range strategy & product development, production, supply and retail. The group itself owns 280 stores in 26 countries (excluding external franchisees). Besides furnishing products and accessories, IKEA takes part in gastronomy business, as most IKEA stores have restaurants. IKEA Group has grown into a global retail brand with 127,000 co-workers in 41 countries generating annual sales of more than € 23.1 billion. Reported initiatives and major achievements made
The nine commitments reported by IKEA relate to green procurement and eco-design in terms of wood, cotton, lighting and renewable and/or recycled materials in furnishing products, to improved waste management, reduced CO2 emissions, customers transport, energy efficiency and increased use and production of renewable energy. Initiatives to promote energy saving light bulbs include pre-opening and courtesy actions with free distribution or discount, the Earth hour campaign with external and internal communication material, and donations linked to “Sparsam” products in Portugal, Czech Republic, Hungary, Slovak Republic or Belgium. Sales of CFL light bulbs increased to 55% of total light source, and halogen light bulbs sales increased to 30%.
The share of FSC certified solid wood increased to 24% in 2010, with a final target of 35% by end of 2012, and current waste recycling rates from stores range around 85%. Recovery shares in production and transport are 90% and above. The amount of waste produced from stores has decreased by 6,000 t to 279.778 t in 2010.
As a particular highlight IKEA established IWAY, the IKEA code of conduct for suppliers which requires environmental standards related to energy, pollution and chemicals. For Europe the share of IWAY approved furnishing suppliers increased to 89%, and for transport on land increased to 83%.
13.4% of cotton used in IKEA products is sustainable in 2010, corresponding to more than 80,000 farmers using more sustainable practices. The share of customers using public transportation could be raised to 9.6 in 2009 and 2010, and the number of buildings with solar panel systems nearly doubled.
IKEA would like to highlight in addition the product score card which will monitor the environmental
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impact of each product sold and enables internal classification, as well as the fact that restaurants must not use endangered fish species, and all stores must offer one organic food dish. Organic products increased from ## to 14% of the product range. Candles since 2010 only contain palm oil with RSPO certificate. Certified paper suppliers amount to 89% and FSC certified Chain-of-Custody fibre increased to 21%. 99% of ovens are rated A or A+, and all freezers, fridges and dishwashers have A rating or above.
3.1.9 Inditex
The Inditex Group was formally incorporated in 1985. Currently, it consist of eight different store branches that all focus on cloth retailing. The group is involved in all stages of the fashion process: from design, manufacturing and logistics, to sales in its own stores. The Inditex Group is made up of more than 100 companies operating in textile design, manufacturing and distribution. Seated in A Coruña, Spain, the group is commercially present in 77 countries worldwide. However, 73% of their total sales take place in Europe. The total turnover reported in 2010 amounted to € 12,527 million.
Reported initiatives and major achievements made Inditex submitted commitments regarding eco-friendly textile products, carbon footprint of products, reduction of carbon footprint from distribution systems and logistics, an eco-efficient store including reduction and optimisation of the use of packaging materials, reduced electronic consumption, electricity supply from renewable sources, and training of employees. The overall focus is set on the optimization and green innovation of distribution systems and logistics and raising of consumer and employee´s awareness on environmental issues. Inditex reached a share of 3% of total garment offer for organic cotton in 2 flagship stores, and intends to increase it to up to 5% in 2011. The carbon footprint of three products is expected for the end of 2011. By improving the eco-efficient store mode it was possible to reduce the average power consumption in 834 stores by 42% in 2010, and to decrease the energy consumption per garment from 1,483 Wh/year to 860 Wh/year. The CO2 emission at platforms was reduced by 1% in 2010 and from road transport by 22%. The power supply at production sites and headquarters of the store is covered by 51% from renewable sources and co-generation plants19.
70% of all employees already received training in form of welcome manuals, on site and/or on-line courses, corporate magazines, etc., which should be continually repeated every year.
3.1.10 Kaufland (DE)
Kaufland like Lidl forms part of the Schwarz Group currently the third biggest retail company in Germany. Kaufland employs more than 127,000 employees in roughly 1,000 supermarkets in Germany and six other European Member States.
Reported initiatives and major achievements made Kaufland reported eight commitments with a focus on sustainable and eco-labelled products and
19 original timeline 2012
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awareness raising for employees and customers regarding environmental issues. They comprise a ban of battery caged rabbits, an increase of FSC, MSC, Blue Angel- and sustainable cleaning labelled products, training of employees, reduction in transports, recycling of light bulbs, reduced energy consumption and switch to energy-efficient technologies, free servings of fruits in support of EU school fruit scheme, and customer information on sustainable fish. Kaufland continuously supports the consumption of sustainable fish by promotion and information actions, an initiated cage free rabbit farming in cooperation with an animal welfare organization. Whilst 5-80% cage free products were already offered in 2010 100% shall be reached in the year 2011. In the support of sustainable consumption within the EU School Fruit Scheme, 1,500 pupils have been provided weekly with regional fruits or vegetables in 201020. Kaufland offers more than 2,000 sustainable products and the number should be further increased in the future.
In order to increase the awareness on sustainability, training is performed for employees. The number of training courses shall increase from 19 in 2010 to 36 by the end of 2011. Kaufland already installed innovative and efficient technologies different technologies for heating/cooling systems and lighting in different new and rebuilt markets, and innovative lighting system is standard in all new markets, already 100 (17%) of Kaufland markets offer a voluntary take back system for energy-saving lamps to implement supportive measures for Lightcycle-recycling of energy-saving lamps. This should be increased up to more than 600 (100%) markets in 2011.
3.1.11 Kingfisher (UK)
Kingfisher is a retailer based in England, focusing on home improvement. It is Europe’s leading retailer in this field and the third largest worldwide. Kingfisher is present with 860 stores in eight countries in Europe and Asia. The group includes five different retailer brands and employs around 80,000 people. Reported initiatives and major achievements made
Kingfisher shows clear focus on sustainable and eco-labelled products as well as on raising of consumer and employees awareness on sustainability and environmental issues. The nine reported commitments include a programme about use of chemicals of concern, FSC or equivalent labelling, increased sales of eco products, reduced CO2 emission, reduction in store waste disposed, and in energy consumption in stores. Awareness raising relates to carbon and environmental footprint of customers and research on customer attitudes. Kingfisher increased sales of eco products21 to 1.10 billion £ in 2010, and 7 operating companies established programmes to engage with suppliers over the use of chemicals of concern identified on Kingfisher Chemical Action List22. In addition the sales share of timber volume from proven, well
20 The number of pupils will be increased to 3.100 in 2011, and even more in the following years 21 Products are defined eco products if they either have an eco function or specific environmental credentials. This is verified by the independent expert BioRegional, who quarterly reviews nominated products. 22 This number should be further increased to 9 companies within 2011.
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managed forests or recycled sources, increased to 81%23. Kingfisher exceeded its five year target to reduce CO2 emissions from energy and transport per £ million retail sales by achieving a 25% reduction since 2006/07. The reduction in store waste disposed per £ million retail sales has achieved 64% (6.8 t)24. And finally Kingfisher already managed to reduce the store energy use (kWh/m² of total sales area) by 9.9% compared to the baseline 2006/2007.
3.1.12 Leroy Merlin
As a major actor on the worldwide DIY market, Leroy Merlin provides residents and homeowners with their home-improvement projects. As the founding enterprise of the GROUPE ADEO, Leroy Merlin specialises in sales of products and solutions and, in doing so, makes a unique commitment: to provide home improvement solutions tailored to each customer’s specific needs. Its business is centred around DIY, building, gardening, sanitary equipment, kitchen equipment and interior decoration. The headquarters of Leroy Merlin is in Lezenne, Lille in France. LM is present in France, Italy, Poland, Greece, Spain, Portugal, Russia, Brazil, China, Ukraine, Romania and Turkey. Their subsidiaries are Aki, Bricocenter and Weldom. In total, Leroy Merlin employs 48,700 people with a total turnover of 9.4 billion € in 2009.
Reported initiatives and major achievements made
Leroy Merlin (Spain) reports a considerable number of commitments focussing on certified timber. Gardening products free of chemicals and sales of renewable energy products, reusable and biodegradable shopping bags, and online training, guidelines, labelling, and customers’ information on certified wood are another focus. In this context Leroy Merlin Spain (LM Spain) increased sales of products free from chemical compounds to 78 references by the end of 2010. Total sales of the “Healthy home” product range could be increased to 738 references and a market share of 1.4%. In FSC/PEFC references and certified timber products the company could increase the number of reference to 1,829, which corresponds to an increase in references to 9.5%, and in sales to 30%. Systematic labelling of all certified wood references and in-store display of information about FSC/PEFC schemes could be achieved in new shops, and shall be expanded to all stores by 2012. The due diligence schemes of TFT timbered products was included in the product range. Specific training for sales people on certified wood shall be accomplished by 2012. A LM guide on sustainable wood is available at a number of stores and on the web page. LM Spain has established a new policy to avoid the use of illegal cardboard as packaging material by 2012 and has introduced it as a part of the Eco-Packaging trainings given to Product Managers. With respect to plastic carrier bags all the LM Spain stores will sell a new “15 uses plastic bag”, instead of the “one-use” free plastic bag by the beginning of 2012.
23 Target was set at 75% 24 Target to reduce by 50% (9.4 t) by 2011/2012 against the 2006/2007 baseline (18,8 t)
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3.1.13 Lidl
Lidl is a German discount supermarket chain that operates more than 9000 stores across Europe. Lidl belongs to the Schwarz Group one of the big retail companies in Europe. Lidl in 2010 employed a staff of more than 170.000 persons and achieved an annual turnover of € 42 Billion.
Reported initiatives and major achievements made
The focus of the commitments submitted is set on increased energy efficiency (energy efficient store concept) and sustainable products (eco-labelled products and regional products). In 2010 Lidl already offered 74 certified sustainable products in Germany, and the number shall be further increased to more than 83 in the target year 2011. Lidl launched its new own brand of milk- based regional products, including currently 8 products, which is supposed to be increased to more than 11 products in 2011. In 2011 more than 1,000 environmentally friendly, energy saving freezing cabinets are planned to be installed in Germany, and 49 stores were adapted to the energy efficiency concept (e.g. in the field of heating/cooling systems, lighting, etc.) by now. To further increase the consumption of sustainable products by raising consumer's awareness an information campaign is planned via website and print promotions as an ongoing target.
3.1.14 Marks & Spencer (UK)
Marks & Spencer (M&S) is one of the UK’s leading retailers, with over 21 million people visiting the stores each week. M&S offers stylish, high quality, great value clothing and home products, as well as quality foods, responsibly sourced from around 2,000 suppliers globally. Marks & Spencer employ over 75,000 people in the UK and abroad, and have over 600 UK stores, plus an expanding international business. The total turnover in 2010 was 9.7 bn £.
Reported initiatives and major achievements made
The considerable range of activities reported by M&S show a clear focus on energy efficiency, carbon emissions and customer awareness. Reported commitments relate to FSC certified wood, benchmarking with food suppliers, carbon emissions, improved fuel efficiency, energy use, sustainable learning stores, and awareness raising by aiming at plan A quality in M&S general merchandise and food products.
M&S opened two new sustainable learning stores in spring and October 2011. The share of wood based materials used for products, marketing, stationery and construction (excluding clothing fabrics and newspapers), which are FSC, recycled or in a category which otherwise protects forest and communities, has been raised from 60% in 2009 to an estimated 76% share in 2011. CO2 emissions have been reduced from 697,000 t CO2/year in 2007 to 640,000 t CO2/year in 2010. M&S reduced the annual fuel consumption to 8 litres per 1,000 sgls for General Merchandise and 1,993 litres per store per month for food in 2011. The energy usage in store, office and warehouse energy usage per sq foot of floor space has been reduced by 23% in 2011. The annual consumption decreased from 67.9 kWh per square feet of sales floor in 2007 to 52 kWh/square feet in 2011.
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3.1.15 Mercadona (ES)
Mercadona is a family-owned supermarket company in the business of groceries, home cleaning, hygiene and pet products. The company has 1,310 local stores averaging between 1,300 and 1,500 m² of retail space, representing a market share of 13.1% of the total food store retail space in Spain. Mercadona employed 63,500 people in 2010 with a total turnover of €16,485 Million. Reported initiatives and major achievements made
In its reported activities Mercadona continues to put a clear focus on increased energy efficiency as well as the optimization and green innovation of distribution system and logistic. Commitments comprise FSC certified packaging, single-use plastic bags, optimized transport, eco-efficient stores including heat recovery from air-conditioning, and publication of a special environmental annual report. In this context we would like to stress that Mercadona published a special Environmental Report in 2010 that specifically focuses on Mercadona´s environmental actions, and puts a particular focus on a consequent application of backhauling systems and logistics based on regional distribution centres. All Mercadona brand milk and fruit juices are packaged in FSC certified Tetra Pak slim flexo duplex packaging since 2010. An awareness raising campaign and the fact that customers are charged for bags, allowed reducing the use of single use bags by more than 80% in Catalonia25. The number of eco-efficient stores could be further increased to 360, and the estimated overall reduction in energy consumption was 81,994,320 kWh. Heat recovery from air conditioning was installed in 70% of the stores; the number of stores with night deliveries increased to 407, and 14,269 containers were transported by train. As innovative approach the new distribution platform at Villadangos del Páramo is equipped with a regenerative braking system, which reduces the energy demand of the platform by approximately 4%. The number of Euro V trucks in the Mercadona truck fleet could be raised to 270 (36%) in 2010 and doubled to 540 in 2011.
3.1.16 Mercator (SI)
The Mercator Group is one of the largest commercial chains in South-Eastern Europe; it is the leading commercial chain in Slovenia and is now operating in seven markets of the region: Serbia, Croatia, Bosnia and Herzegovina, Monte Negro, Bulgaria and Albania. Mercator is also an important retailer in the region in specialized technical program, clothing and sportswear. The company currently employs 23,482 staff members and achieved a total turnover of € 2,871 bn in 2010. Reported initiatives and major achievements made
Mercator is focussing on the optimization and green innovation of distribution system and logistic, as well as, on improvement of waste management and increased energy efficiency in the 12 commitments reported to MAP.
In the years 2010/2011 it was possible to optimise reporting on packaging (e.g. PVC), electrical and
25 In 2011 the measure was implemented in all other regions in Spain with comparable results
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electronic equipment, batteries and accumulators by 5%. The inventory of sources on environmental impacts and their characteristics for devices and equipment used has started with an SAP PM implementation. In 2010 28 additional aspects in SAP BI OK (Balance score card) were included, which should be further increased to 33 in the target year 2011. The energy consumption of Mercator stores could be reduced from 199,184,833 kWh in 2008 to 190,865,875 kWh in 2010 (4%)26. Mercator is the first wholesaler and retailer of consumer goods in Slovenia to be awarded with the ISO 14001 environmental management system certificate. The system was implemented by an environmental Balance Score Card and IT support for the group of parameters written down in ISO 14001.
3.1.17 Metro Group
METRO GROUP is one of the most important international retailing companies: Some 280,000 employees from 180 nations are working at over 2,100 outlets in 33 countries in Europe, Africa and Asia. The portfolio offers a wide range of services for private and commercial customers in Cash & Carry markets, Hypermarkets, Department Stores and Consumer electronic retailing. METRO GROUPS total turnover in 2010 amounted to € 67.3 bn.
Reported initiatives and major achievements made METRO Group in the reporting to MAP in 2011 puts a focus on greening of its supply chain and logistics (supplier training programs), on certification of fish, reduced diesel consumption in logistics and reduced energy consumption in stores. In comparison to the reporting in 2010 we can observe a small number of changes. A major highlight in reported METRO GROUP achievements is the implementation of a training program for suppliers in developing and emerging countries in cooperation with UNIDO, which is supported by collaboration GIZ and IFC. Starting from 2009 a cumulative number of 70 trained suppliers shall be achieved by 2013. In many countries, METRO GROUP helps local suppliers to produce their goods in accordance with international standards such as Global G.A.P and Global Food Safety Initiative (GFSI). Social Standards will be included in the future. METRO GROUP could expand the range of MSC certified fish products from 96 in 2009 to 108 in 2010, with a target of 110 set for 2011. The companywide energy consumption was reduced to 408 kWh/m² in 2010. This corresponds to a 2% reduction rate. This shall be further reduced to 402 kWh/m² by the target year 2011. Diesel consumption for the own trucks of Metro Group Logistics (MGL) in Germany remained stable at roughly 32 l/100 km in 2009 and 2010, but shall be decreased to 30.3 l/100 km in 2011.
26 In 2011 this should be further decreased by additional 4%.
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3.1.18 REWE Group
REWE Group is one of the leading retailing and touristic companies in Europe. In 2010 REWE Group employed about 336,000 employees and achieved a total turnover of €53 bn REWE Group’s core business is carried out under a variety of sales lines such as National & International Full-Range Stores, National & International Discount Stores, Specialist Stores for DIY & Consumer electronics, Travel and Tourism and others . REWE Group is currently operating in 14 European countries.
Reported initiatives and major achievements made
Commitments reported by REWE Group in 2011 focus on energy efficiency, promotion of sustainable products, innovative mobility (E-mobility), customer information on fresh food and on monitoring of energy demands. In comparison to the reporting in 2010 additional targets were included. In the attempt to promote sales of sustainable products, REWE Group introduced a company own label “PRO PLANET”, which in 2010 already comprised 80 products27. Already 2,533 stores of the REWE stores in Germany28 are equipped with a technical energy management system, which guarantees the well-functioning of buildings and technical devices and at the same time REWE Group compares the actual consumption data with benchmark profiles.
In addition REWE Group in 2010 initiated a target to provide 10% of the DIY markets of the REWE Group that are offering the customer service of the coordination of handcrafters with an electric car by the end of 2011. Furthermore the infrastructure for electric mobility is implemented in the stores by installing charging pillars which are available for the handcrafters’ coordinators as well as for customers, and REWE Group has published the third “Status report on chemical pesticides for fruit and vegetables” including the monitoring of residue load of pesticides in August 2011.
3.1.19 Royal Ahold (Albert Heijn, ICA)
Royal Ahold is an international retailing group based in the Netherlands, with consumer brands in Europe (the Netherlands, Sweden, Norway, the Baltic Countries, Czech Republic, Slovak Republic and Portugal) and the United States. The core business of the company is food retailing and online grocery delivery; other branches include retail, supermarkets, drugstores (Etos) and limited banking services (ICA). Ahold Europe branches comprise: Albert Heijn (see below), Etos, Gall & Gall, Albert NL, Albert, Hypernova, ICA AB (see below) and Pingo Doce. Worldwide, Royal Ahold operates 2,970 stores with 213,000 employees. The total turnover in 2010 counted € 29.5 billion.
Albert Heijn is a subsidiary of the Ahold Group, seated in the Netherlands. With 843 stores (2010) the company is the leading food retailer in the Netherlands, employing 55,000 (excluding franchisees) people. Albert Heijn is operating in addition one store in Flanders, Belgium.
The ICA group is a joint venture owned to 60% by Royal Ahold. The head offices of ICA AB are located
27 150 products and 200 Million customer contacts envisaged for the target year 2012. 28 Target 2011 3,000
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in Solna in Sweden. The group operates around 2,200 stores with around 19,700 employees in Sweden, Norway and the Baltic States. The main business is food retailing (ICA Sweden/ ICA Norway) and grocery stores (Rimi Baltic). In Sweden ICA has a market share in the retail sector of roughly 40%. For 2010 the ICA Group’s accounted for almost SEK 94,000 million. The ICA Group offers a wide range of products including other supplier’s brands and own private labels. The ICA group’s most important environmental goal is a reduction of direct greenhouse gas emissions. In social responsibility ICA puts priority on Global Food Safety Initiative (GFSI) certification for corporate brand suppliers.
Reported initiatives
Royal Ahold Group commitments relate to the improvement of waste management (waste- management programme) and to increased energy efficiency. They focus on waste management plans, decreasing CO2 emissions and optimization of refrigeration systems.
3.1.19.1 Reported initiatives and major achievements made by Albert Heijn
Additional commitments reported by Albert Heijn focus on reducing noise and carbon emissions from trucks, reducing carbon footprints of own-branded products, replacing PVC packaging, and on increased energy efficiency by means of closed fridges, freezers and low energy lighting. These activities are based on the “Energy saving in supermarkets covenant”, signed by Albert Heijn as the first supermarket in the Netherlands together with local government representatives in the beginning of 2010.
By the end of 2010, 100% of the Albert Heijn trucks are both silent and Euro V certified or higher. Albert Heijn is testing trucks with natural gas and improved aerodynamics. All drivers are offered a clean driving program. 250 stores were equipped with wall fridges with doors by the end of 2010 and all 843 stores shall be equipped by 2015. In addition all freezer units were covered and fitted with LED lighting, and 100% of the storage rooms have been equipped with motion sensors in order to reduce energy consumption in stores. In addition to these reported targets it shall be stressed that Albert Heijn has conducted Life Cycle Assessments (LCA) on a number of products to identify areas for improvement, and has shared these findings with their suppliers. The latest refrigerant leakage rate was brought down to 7.9%, and heating needs have been reduced to almost zero by means of heat recovery from refrigeration/cooling units. Albert Heijn uses a combined cooling, heating, freezing and airco installation, with CO2 being used for the freezing part and a low GWP HFC refrigerant for the other parts, and 42% of total electricity consumption is already covered from renewable sources. The recovery rates for plastics, organic waste and cardboard reached 3.4, 31.8, and 63.6 tons and stores are regularly equipped with collection points for bottles, batteries, cartridges, mobile phones and light bulbs. Cash receipts are not printed automatically but on request; printing is on FSC paper.
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3.1.19.2 Reported initiatives and major achievements made by ICA
ICA in its reporting has put priority on measuring the climate impact of several of its corporate brand products, on projects to reduce or neutralize occupational air travel emissions, on installation of recharge stations for electric cars, promotion of low energy light bulbs, solar panels and customers’ awareness on their carbon footprint.
ICA launched new private label organic and fair trade products, invests in organic cotton and sustainable fish, eco-friendly shopping bag, etc., and has taken steps to neutralize the CO2 impact of business air travel. In 2010, ICA held a campaign in Sweden to offer regular customers attractive prices on low-energy light bulbs, corresponding to estimated total electricity savings of 436,600
MWh (26.000 tons CO2). The solar panel project started in 2009 shall be expanded to 1 million m² in future. By the end of 2010 www.ica.se/klimat about environmental impact of wasting food, was operational, and has been visited some 1000 times since then. ICA started to install recharge stations for electric cars starting with 3 stations in 2010, and in the beginning of 2011 joined the “One Tonne Life” project testing whether it is possible to reduce CO2 emissions resulting from food consumption and living habits to 1 tonnes/year. In addition to these reported commitments for following initiative should be highlighted in this place. Sales in organic products doubled since 2007 and rose by 5% in 2010. The Swedish assortment counts 1,140 products. Fair-trade sales increased by more than 90% since 2008. Charcoal and tropical wood garden furniture is 100% FSC certified. 377 ICA stores are Swan labelled and 20 stores in Sweden already use 100 % natural refrigerants. Energy consumption in Swedish stores was reduced by 10% from 200729 and 72% of the ICA Groups´ energy comes from renewable sources. ICA Group reached a recovery/recycling share for waste from warehouses in Sweden of more than 90% and charitable donations from ICA and customers/suppliers/employees amounted to 3.7 million €. In the future, ICA intends to achieve a 20% reduction of direct GHG emissions compared to 2006 by 2012 and all palm oil used for ICA food brands shall be certified RSPO by 2015.
3.1.20 TESCO
TESCO is the third-largest retailer in the world measured by revenues (after Walmart and Carrefour) and the second-largest measured by profits (after Walmart). It has stores in 14 countries across Asia, Europe and North America and is the grocery market leader in the UK (where it has a market share of around 30%), Malaysia, the Republic of Ireland and Thailand. TESCO additionally offers a wide range of non-food products and services.
Reported initiatives and major achievements made TESCO has set a clear focus on carbon emissions and carbon footprint reduction. Packaging and waste management are other areas of priority. Commitments comprise reduction of carbon emission and increase in energy efficiency, carbon foot printing of products including labelling and awareness raising. In addition there are commitments related to the launch of a greener living product range, a
29 Average energy consumption in stores amounts to 400 kWh/m² in Sweden.
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reduction target for packaging material, and to reduction in plastic bag use. TESCO achieved a 15% reduction in own brand packaging already in 2009. The 2010 target to divert away from landfill 100% of waste produced by the entire UK business was achieved early in August 2009. The TESCO UK customer in 2010 uses around 60% fewer carrier bags than in 2006. In the beginning of 2011, 525 products (stock keeping unit) were carbon labeled, and 1,100 stock keeping units have been carbon foot printed. A greener living product range was launched in 2007 with an increasing number of products within this range. As an ongoing activity TESCO works with the University of Manchester to build the Sustainable Consumption Institute into a world-class research centre looking at ways to make it easier for people to lead greener, lower carbon lives. TESCO by 2010 reduced energy use in UK buildings to 50%, compared to the baseline use in 2000. TESCO is continuously establishing energy efficient stores, and is building more zero carbon stores across Europe. CO2 emissions per case delivered were reduced by 21% compared to 2006 in 2010/2011.
In addition to these targets TESCO achieved a reduction of CO2 emissions from existing stores and distribution centre’s built before 2006 by 20%30, and produced a consumer guide to carbon aimed at increasing consumer carbon literacy. This activity is part of the overall 2020 target to find ways to help consumers reduce their carbon footprints by 50%.
3.2 Achievements made by Retail Associations
3.2.1 APED (PT)
APED - Portuguese Association of Retail Companies was founded 30 years ago. In 1994 it converted from NSA – National Association of Supermarkets, which had been founded in 1981. APED is a national employers association, which includes companies from the food and non-food retail sector and from wholesale. APED is composed of 120 Member Companies, including all major international players. In 2010 APED members achieved an overall turnover of €15,708 Million, employed a staff of 93,068 employees and operated 2,733 stores. Fields of activity comprise the textile and food sector (roughly 30% each of APED member companies), sports, consumer electronics, furniture, DIY, etc. APED activities are guided by protection of free competition and free market access for all economic agents, presentation of legal solutions to the problems of interest to the trade and sale of products of great consumption in the system of free service. A final task of APED is the representation of the interests of its associates, towards national and foreign public and private entities. Reported initiatives and major achievements made
APED commitments relate to improved waste management (increased recycling rate), increased energy efficiency (support LED usage), promotion of improved environmental performance via publication of a guide-book on environmental best practice, and to the re-launch of APED´s “green [shopping] bag”. The amount of sold reusable carrier bags almost doubled to 2,372,000 bags in 2010. For store waste
30 50% target by 2020
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APED could increase the recycling/recovery rates to 71% in 2010. These figures correspond to 150,419 tons of recovered waste, including a 69% share for paper/cardboard, a 15% share for organic waste, a 7% share for plastic and a 4% share for electric and electronic equipment collected in retail stores. A guide book on environmental best practices applied to the retail sector was published in May 2010. In addition APED introduced a new reusable bag composed to 99% of recycled PET bottles in the beginning of 2011, and promotes the replacement of halogen lamps and CFL (from refrigerating appliances) by LED.
3.2.2 Confederación Española de Comercio CEC (ES)
The Confederation of Commerce of Catalonia, CCC, is affiliated to the Spanish Confederation of Commerce, CEC. CCC is a business entity, representing and promoting the general interests of commerce for SMEs and freelance services in Catalonia. Founded in 1985, CCC currently brings together all the organizations at sectoral and territorial level (350 guilds and commerce associations) representing about 90,000 SME’s. The organization constantly promotes initiatives aimed at the Catalan merchants in order to be more competitive on the global scene in the moving industry. For this reason, the CCC is also present in political and social settings to strengthen trade.
Reported initiatives and major achievements made CCC-CEC priorities comprise mainly overall sustainability aspects such as promotion of low water consuming plants, use of loading/unloading areas for supply (sound pollution, congestion reduction), construction/demolition with lower impact material, and employees transport to work. The commitments remained the same as for the progress monitoring in the previous year.
By the end of 2010, 80% of plant sellers promote the sale of plants requiring low levels of water. 70% of companies in the Barcelona region use special loading zones for the loading/unloading of goods. 40% of companies make efforts to know about the environmental impacts of construction materials, which are less than were expected. However the share of employees going to work by public transportation, cycling or foot has reached 84% in 2010, corresponding almost to the target set for 2012.
3.2.3 Euro Coop
European Community of Consumer Co-operatives, in short Euro Coop, is a cooperation among 17 European countries representing national organisations of consumer co-operatives. The co- operatives are enterprises owned by consumers in the food retail. Euro Coop was founded in 1957 and achieves an overall turnover of more than €73 billion, with 36,000 points of sale and 400,000 employees. ANCC Coop Italia, S-Group, Kooperativa Förbundet, Coop Norway and Co-operative – Group are some of the 17 members of Euro Coop.
Reported initiatives and major achievements made
Euro Coop is focussing on optimization and green innovation of distribution system and logistic by reducing the carbon emissions of member activities and by motivating employees and consumer
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members to reduce their carbon footprint. Starting from a conference on Climate Change in 2007, Euro Coop managed to publish the report on the Climate Change project by the end of 2010.
3.2.3.1 ANCC/Coop Italia
Coop is a leading company in the world of Italian retailers (market share 18.1% and 2009 preliminary sales of about € 12.8 billion). Coop is a holding company but a system of enterprises, cooperatives, acting on a regional or national level. The members are stand-alone companies, owners of shops and facilities, but associated with policies and strategies. Until December 2010, the member cooperatives have a base of over 7.4 million members. Coop can count on a network of 1,444 stores (1,103 supermarkets with COOP teaches, teaches IPERCOOP with 100 hypermarkets, 241 discounters with sign I say - see Glossary) distributed in 19 regions.
Reported initiatives and major achievements made
Coop Italy commitments are focussing in particular on energy efficient points of sale. Other priorities are use of renewable energy, efficient distribution, and reduction of packaging material, labelling, organic and ecological non-food products, sustainable fish and shopping bags. Communication is focussing on CSR reporting, leaflets, teaching material for schools, special training for members of some co-operatives, consumer magazine, free phone service, and website.
In 2010 packaging of 201 products was optimized with "3R" interventions saving approximately 4,500 tons of packaging material31, and Coop significantly expanded its sales network of bulk detergents to 160. Coop labelled 50% of all product packaging by end of 2010. The 2009 organic and ecological “vivi verde” product line includes 336 products by end of 2010. FSC labeled paper references increased to 16 in 2010, and all Coop brand cellulose products bear the FSC label. Sales of disposable bags were reduced by more than 100 million to 337 million bags compared to 2008; whereas 5.5 million reusable bags were used.
Since 2001 the association has installed 173 condensing boilers in 140 stores and by the end of 2010 224 stores were Greenlight certified and restructured according to the protocol. 30 stores were equipped with dimmed plants, and 25 stores, 6 parking areas, shop signs in 49 stores were changed to LED. Over 100 stores are equipped with covered horizontal freezers, and CO2 based refrigeration systems are installed in 12 stores. 450 shops use automated control and management systems for management of energy consumption, and by the end of 2010 18 shops were connected to a district heating network. Heat recovery systems were installed in 13 stores in 2010, and heat pumps are used in 26 markets up to now. In 2010 ten stores were equipped with solar panels and the number of photovoltaic plants increased to 63 plants with an overall annual production of 12,400,000 kWh by 2010. The national average for distribution dropped to 65 km, and with the new distribution centre in Prato, centralized supply can be provided for 74.7% of Hypermarkets and 50.8% for Supermarkets.
31 increase in savings of 21% compared to 2009
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Coop works with member magazines, website, CSR report, brochures and educational materials and training for members. For consumers Coop performed campaigns on sustainable water consumption and on eggs from free-range hens.
3.2.3.2 S-Group (FI):
S-Group is a Finnish retailing cooperative organisation, founded in 1904. It consists of 21 regional cooperatives active all around Finland in the markets for groceries, consumer durables, service station, hotel and restaurant services, agricultural supplies, and car sales. The group has businesses in Finland, Estonia, Latvia, Lithuania and Russia. The S-Group owns currently about 1,636 stores with an active staff of more than 39,500 employees. The annual total turnover in 2010 amounted for € 10,465 million.
Reported initiatives and major achievements made
S-Group (SOK) focus is on eco-efficiency and climate change including efficient building and transport, awareness raising, eco-design, packaging, waste management. Commitments comprise deposit schemes, sustainable shopping bags, energy efficient light bulbs, organic products and local and seasonal sourcing. Other priorities are reduction and monitoring of transport carbon emissions, innovative refrigerants, participation in a carbon footprint project, food waste prevention, energy efficiency in distribution, and the increased use and production of renewable energy. Communication activities include information campaigns, website information, and CSR reports.
SOK issues a monthly magazine, and has established a website (www.yhteishyva.fi). In 2010 distributed magazines and internet visits summed up to 2.07 million. Results of the "Peloton" project aimed to reduce energy consumption needs of the Finnish population are published on the web page: www.peloton.me. In addition S-Group participates in the carbon footprint project which will prepare the decision about carbon footprint labels and about communication to consumers.
CO2 emissions in domestic distributions have been halved to 11 kg CO2/ t between 2008 and 2010, and the energy consumption in stores decreased to 376 kWh/m². S-Group offers over 200 organic grocery product titles, and sales of organic products almost doubled to 40,860,341 over 2 years, and similar increases were also achieved for eco- products, SWAN-products, FSC-, and Eco-tex labelled products. MSC labeled fish was newly introduced in 2010 with 386,394 products sold. Sales of energy efficient light bulbs were more than doubled from 2008 to 693,797 in 2010. Sales of environmentally friendly bags32 increased to 62.49% in 2010, and recycling of paper, plastic, and textiles considerably increased compared to 2008. Via deposit schemes for beverage bottles 457 million aluminium cans and 159 million plastic bottles were recycled in 2010.
3.2.3.3 Kooperativa Förbundet (SE):
Kooperativa Förbundet (KF) is a cooperative based business with Coop as core retail activity. Over three million people are members of one of the 44 nationwide consumer societies. Via the societies’
32 Bags made from recycled plastic, biodegradable bags and durable bags made of cotton
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membership in the Swedish Cooperative Union, KF, these societies own the retail group KF. The KF Group owns roughly half of the country’s Coop stores. The remainder of the Coop stores are owned directly by 39 different consumer societies, known as retail societies. KF and the consumer societies together form the consumer cooperative movement. KF has two main business areas – Grocery retail group and Media group. Together with the retail societies KF holds a share of about 20% of the Swedish food retail sector and in 2010 achieved an annual total turnover of € 4.03 Million. The grocery retail group (Coop Butiker & Stormarknader) in 2010 operated roughly 380 stores and employed a staff of about 7,300 people. Other 380 stores are operated by the retail societies. Coop stores comprise different formats such as Coop Nära, Coop Extra, Coop Consum, Coop Forum, Coop Bygg, Daglivs and the online store Mataffären.se.
Reported initiatives and major achievements made
KF has set a clear focus on climate change, sustainable products, and waste prevention. Commitments address quality in the supply chain33, MSC and equivalent labelling, promotion of sustainable consumption, and enlarged product range that also includes fair trade and increased sale of organic fresh meat. Other activities target at emission reduction from logistics and distribution, waste recycling and food waste prevention, and at carbon footprint and energy consumption. Actions to support self-help projects in developing countries are reported under communication.
KF sales of organic food increased to 7.1% in 2010, and fair trade products reached a sales share of 0.4 %. Therewith Coop offers Sweden’s largest range of organic and eco-labeled foods. 2,400 organic and eco-labeled food products and 133 fair trade products are offered in 2010. For MSC products and other labels of sustainably sourced fish products KF reached a sales share of 29%. This corresponds to an increase by 100% in comparison to 2009 and 250% compared to 2008.
KF reduced its GHG emissions34 in relation to the inflation adjusted financial turnover by 42% compared to 2009, due to the transition to renewable electricity in the KF Fastigheter energy portfolio, a new logistics system where parts of the freight transport were transferred to rail, reduction in climate impact from refrigerant leakage, and reduced emissions from business travel. Diesel consumption in road transport from terminal to store could be reduced by 20% compared to 200835. Fund raising self-help- projects in developing countries amounted to SEK 26.8 million and increased by 10% compared to 2009. This shall be further raised to 30% in 2020.
3.2.3.4 Coop Norway:
Coop Norway Trade (Coop Norge Handel) is a subsidiary of the Norwegian Coop Norge Group, and Coop Norway is owned by 125 independent local cooperatives. These 130 independent local cooperatives own and run over 1,000 stores in Norway, and the cooperatives themselves are owned by 1.3 million citizens of Norway. Coop Norway has currently about 22,500 employees with a total turnover of € 4.87 Billion.
33 Central suppliers have to work in line with the internal KF code 34 The calculation of climate impacts includes freight transport, electricity, energy and business travel. 35 30% target for 2020.
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Reported initiatives and major achievements made
Coop Norway has set a clear focus on sustainable products and increase energy efficiency. Also the topic of awareness raising concerning environmental issues is given a high attention. Commitments are targeting product packaging, organic and eco-labelled products, and carbon emissions including environmentally friendly refrigerants. Other reported priorities are sustainable shopping bags, recycling and increased energy efficiency, renewable energy, and awareness raising.
COOP Norway increased its sales of organic products increased by 4% and its sales of ecolabelled products increased by almost 19% (NOK mill.). The number of ecolabelled products sold reached 11.5%. Coop Norway labels any new packaging with disposal instructions, and introduced deposit schemes for beverage packaging. Bags for life and degradable bags are promoted via exclusive presentation at cashier. Bags are only provided on request and are charged with a fee. An internal e- learning course on environmental issues was launched in 2010. Coop Norway increased the distribution during nights and low traffic times and therewith managed to reduce CO2 emissions to
1.1 kg CO2/km in 2010. The number of Swan-labeled outlets has increased to 57 in the year 2010. A pilot on low energy lighting equipments in stores has been established, and the number of stores with CO2-based refrigeration appliances was increased from 2 in 2009 to 25 in 2010. Coop Norway increased recycling of waste in DCs to 93.2% in 2010 hence exceeding the target set36. Carbon footprint project reports and reports on climate change were published in 2009 and 2010, and Coop Norway published its CSR reports in line with the regulations of the global reporting initiative (GRI), a network-based organization that produces a comprehensive sustainability reporting framework widely used around the world. 3.2.3.5 The Co-operative Group (UK)
The Co-operative Group is the UK’s largest mutual business, owned not by private shareholders but by almost six million consumers. It is the UK’s fifth biggest food retailer, the leading convenience store operator and a major financial services provider, operating both The Co-operative Bank and The Co-operative Insurance. Among its other businesses are the number one funeral services provider and Britain’s largest farming operation. The Group operates over 5,000 retail trading outlets, employs more than 110,000 people and has an annual turnover of £13.7bn.
Reported initiatives and major achievements made The Co-operative group focus is clearly set on increased energy efficiency and reduction of emissions in general. The 15 commitments relate to waste management and products packaging, local sourcing, organic products, increased energy efficiency, and sales of sustainable products including phase out of incandescent light bulbs and energy efficient white goods. Others address CO2 emission, ozone depleting refrigerants, or renewable energy supply, and awareness raising of customers. The annual CSR report 2010 has been published.
36 The target 2011 was set to 92.1%
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Own-brand primary packaging material was reduced by 16% (15,403 tons) already in 2009 anticipating the target set for 2011. Therefore a new target to reduce the carbon impact of packaging has now been set. Consumption of single use carrier bags was reduced by 66% therewith almost meeting the target set. This corresponds to over one billion carrier bags avoided. The Co-operative
Food’s distribution mileage and associated CO2 emissions decreased by 24.4 million miles (21%) and by 30,909 tons of CO2 (20%) compared with 2005.
The Co-operative Group sources more than 98% of its electricity (1,137GWh) from renewable sources – mainly wind and hydro technologies. In addition it has negotiated equivalent green energy contracts on behalf of 15 independent co-operative societies, and generated 24,000MWh (roughly 2% of its requirements) in own installations in 2010.
GHG emission from refrigeration was reduced by 35% compared to 2009 and by 58% compared to the baseline year 2006, therewith exceeding the reduction target set, and The Cooperative Group could reduce its energy consumption by 29%. This corresponds to a decrease from 1,996,682 MWh in 2006 to 1,421,946 MWh in 2010. The consumption shall be further reduced by 30% until 2012.
3.2.4 FCD (FR)
The French Federation of Enterprises of Trade and Distribution (FCD), comprises trading companies and suppliers. The Federation represents and promotes the general and common interests of its members. It represents them at public authorities, economic and social bodies, official and private, national or European. FCD represents a broad range of retail companies of different formats including online shops, small local stores for daily needs, cash and carry restaurants, super- and hypermarkets and maxi discounts. FCD associates 27.250 stores with 635.000 employees. A total turnover of € 180 billion was achieved for 2009 and will be in a similar dimension in 2010.
Reported initiatives and major achievements made
The environmental commitments reported to MAP 2011 show a clear focus on sustainable products and eco-design, with carbon emissions, packaging, and waste-management as additional topics addressed. Reported commitments cover use of recycled material, CFLs and phase out of incandescent light bulbs, and presentation of sustainable products. Other commitments address guidelines for environmental sound management practices for stores, and impact assessment for a range of products. For FCD is should be highlighted that incandescent light bulbs ≥ 60 W were phased out by 30 June 2010 with the market share of CFL going up to 30% sale volume in 2010. The simultaneous increase of the market share of halogen lamps results in a decrease of traditional incandescent bulbs by 50% compared to 2008, the number of free check out bags in FCD member stores was reduced to 0.9 Billion bags, which corresponds to only 8.5% of the original quantity and is well towards the complete phase out for 2011. In addition FCD published and is currently up-dating an implementation guide, including good practices and specific methods of self-evaluation, for stores of more than 1500 m², with the full impact assessment intended to be accomplished by 2012.
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In addition FCD members raised the number of products bearing labels by 10% in 2009, and FCD members were involved in the Campaign 2010 "on the promotion of eco-labeled products", currently evaluated by the French Ministry of Environment. The share of organic products in the total food products increased by a further 15%, after annual increases of 20% in 2008 and 2009. Packaging reduction is pursued in cooperation with the national Council of Packaging. Examples of products for which a reduction on packaging could already be reached are compiled at: http://www.conseil- emballage.org/Prevention.aspx. By October 2011 almost 1,000 collection equipments for WEEE were put in place, corresponding to half of the envisaged quantity.
3.3 Verification of achievements by store visits
Achievements made by retail companies and associations in reported commitments have been verified as far as appropriate by means of store visits selected in close cooperation with the individual retail company. The selection was made in view of the objective to cover if possible all REAP members, and stores in several countries, and to restrict to commitments that are visible as far as possible. Priority was given to commitments with target year 2010 and targets for 2011 were included if appropriate. Commitments with later deadlines were accepted if wished and necessary to cover all REAP members, and as many EU regions as possible. Visits were restricted to company stores, because franchisees are not obliged to comply with environmental standards and the full range of commitments.
As a general rule two store visits were performed per retail company and country visited. The selection of countries was based on the scope of relevant targets. REAP experts of the retailers were informed beforehand as agreed in 2010. In addition unaccompanied control checks in randomly selected stores were realised in some cases.
Except for Delhaize, Asda Walmart and the Co-operative Group, which due to the type and timing of target did not wish to have store visits for target achievement 2010, all REAP Members were visited in the course of the first half of 2011, by means of 50 store visits performed at 27 retail companies in 10 EU Member States37 and Norway. Store visits in general could support target achievement based on provided data, taking into account the implicit limitations of store visits.
3.4 Identification of good practice in the retail sector that merits recognition
Based on the selection criteria:
1. Preciseness in term of target, timeline, and baseline 2. Ambition of target 3. Target achievement 4. Sectoral relevance of commitment (widespread initiative) 5. Innovative character
37 Belgium, Finland, France, Germany, Greece, Italy, Sweden, Slovenia, Spain and the UK
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the project team identified examples of targets for 2010 or ongoing achievements made that could be considered as examples of good practice for environmental activities in the retail sector. The selection of examples is not exhaustive. In many cases other companies have taken similar measures either in the past or without reporting them to REAP. Therefore the project team recommends considering recognition of achievements without further specification of retail companies/associations, at least in a number of cases.
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4 Conclusions and Recommendations
4.1 Conclusions from the second REAP progress monitoring
The second progress monitoring round showed an increased number of reported commitments and a broader participation of REAP members. In comparison to the first monitoring round it can be noticed that “What we sell”, and “How we sell” remain the predominant sectors in terms of reported activities, whilst the number of reported activities in the category “Communication“ moderately increased. There is a certain shift in reported action from the areas (visions) energy efficiency, waste and water management to sustainable products, optimization and green innovation of distribution system and logistic, green procurement and greening of the supply chain as well as the use and production of renewable energy.
Overall, the second progress monitoring round revealed further improvement and harmonisation of standards and daily practice under the reported priority goals of the retail forum throughout Europe. This improvement and harmonisation of state of the art could be observed via the amplification of reported activities in specific priority areas, but became even more visible and striking via the store visits that were performed this year at almost all REAP partners (see Annex IV).
On the other hand the observations from the first reporting round related to the important implications of types and formats of retail activities (e.g. electronics, DIY, food, textile; low budget discount, hypermarket), customer demands, national policies, and climatic aspects on possible range of commitments and targets achievable could be confirmed. Overall food retail remains the predominant sector in range and number of targets and involved companies compared to the other retail sectors. Sales and return on investment being the primary objective of retail, customers’ demand and external economic or legal pressures currently remain the driving factors for the larger part of activities. Customers’ choice and demand are regionally different and clearly dependent on the policy priorities and societal attitudes in a given Member State.
The reported REAP commitments currently tend to focus on presentation of state of the play and compliance with European or National law, such as the Energy Performance in Buildings Directive (2002/91/EC), the Energy Efficiency Directive (2006/32/EC), the EuP Directive (2005/32/EC) and its related decisions, or the Waste Framework (2008/98/EC) and Packaging and Packaging Waste (94/62/EC) Directives including the national waste management plans and recycling targets. Initiatives related to use and production of renewable energy are fostered by the 2020 target set by Directive 2009/28/EC on the promotion of the use of energy from renewable sources, and related national action plans, but in part appear to be by far more ambitious than the targets set.
Targets continue to have varying points of reference, which can be the company level, a group of Member States or a single installation, overall sales or a specific product group. But some improvement in clarity and preciseness could be observed.
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Assessment of achievements made remained at a basic level, based on company information largely also provided in individual company reporting, but retail companies in general provided time series of data and highly valuable background information, allowing a good insight into the progress made over time even for commitments with targets in 2011 or 2012 and open ended commitments. It should be highlighted that in part a considerable amount of background information including internal documents was provided in order to explain in detail the scope and range of environmental commitments and policies. Cooperation with retailers in general was highly cooperative, although the provision of progress data was considered a major challenge in a number of cases.
The verification of environmental achievements made in the retail sector by 2010 was more than doubled this year (50 visits) compared to 2010 and covered all REAP Members except for very few cases, where the timing and type of reported commitments was not suitable. Store visits generally confirmed the focus on eco-products and energy efficient building, CO2 foot print, cooling/freezing, waste separation and recycling, as well as on plastic bags, and in comparison with the previous year showed a considerable increase in labelled, organic and fair trade products, as in the offer of sustainable bags and in energy efficient and sustainable building and management.
The progress monitoring was hampered by some inconsistencies between the timing of the update of the MAP as well as publication of company data and the project schedule, with important information not being available when needed and high workload and modification needs at the end of the project running time.
4.2 Recommendations for examples of good practice
Based on the results of progress monitoring, the project team would recommend selecting the following commitments as examples for good practice in the category of “What we sell”.
Sell only 100% sustainable fish (Asda) 100% of own brands milk and fruit juices in FSC certified Tetra Pak packaging (Mercadona, Coop Italy)
Up to 80% reduction in single-use plastic bags in the 150 stores of Catalonia (Mercadona) 60% reduction in use of single-use plastic bags (TESCO)
Sales of bio cotton bags increased by almost 13 Million (C&A) 8% annual increase in sales of organic food and ecological non-food products (Colruyt)
20% increase in sales of A++ labelled white goods within two years (Colruyt) Increase number of eco-labelled products 10% yearly (Coop Norway)
10,000 ton savings in packaging material (Auchan)
15 % reduction in own-brand product packaging (TESCO/The Co-operative Group) Deposit schemes for beverage packaging (to be highlighted as regional achievement)
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Engage with suppliers over the use of chemicals of concern (Kingfisher) The Supplier training program in developing and emerging countries (Metro Group)
Green palm certificates for all palm oil consumer in own brand products (Carrefour) 100% of paper for commercial publications made from fibres from certified and/or recycled sources (Carrefour, Colruyt)
100% of tropical hardwood that is certified FSC (or in time bound to achieve FCS) (Regional achievement France)
7% share of organic food on total sales (Kooperativa Förbundet)
14% sales share for eco-products (Kingfisher)
Complete phase out of incandescent light bulbs (Asda, Coop, Colruyt, Delhaize)
In the category “How we sell” the project team would recommend selecting the following commitments as examples for good practice:
"Green Light" certification of stores (ANCC/Coop Italia) Swan label each new outlet (Coop Norway)
Reduce the average power consumption in stores by 42% in 2010 (Inditex) GHG emissions in transport reduced by 22% (Inditex)
Energy-consumption per m2 and diesel consumption in transports reduced by 20% (Kooperativa Förbundet, M&S) 100% of stores equipped with covered freezers isles and optimized freezer cabinets, including LED light (Albert Heijn) Reduce energy use in UK buildings to 50% of baseline use (TESCO)
Reduce direct GHG emission in relation to turnover by 48% to 2010 (Kooperativa Förbundet)
Introduce CO2-based refrigeration appliances (highlight as innovative sectoral achievement) Increase number of silent off-peak deliveries (Mercadona, Colruyt, Coop Norway)
Piloting with hybrid trucks (Colruyt, Albert Heijn) 100% silent trailers, 100% Euro V and above (Albert Heijn)
84% of employees using public transport (CEC/CCC) 100% share of renewable energy supply by 2010 (The Co-operative Group, Delhaize, Colruyt)
100% diversion of waste from landfill (TESCO, Asda)
Complete phase out of free disposable check out bags (highlight as majority achievement in food retail)
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the installation of battery rechargers for electric vehicles and piloting of electric vehicles for customer services or delivery (highlight as innovative achievement by REWE, ICA, Inditex, El Corte Inglés, and M&S)
building of sustainability learning stores and eco-stores (highlight as sectoral achievement) 70% share of heat recovery from cooling and refrigeration (Mercadona)
Mandatory installation of solar panels (highlight as national achievement in Spain)
Given the sectoral importance, the innovative character or the ambition in target, the project team would recommend acknowledging the following commitments in the category “Communication”:
Carbon footprint 1,000 and carbon label 500 products by 2011 (TESCO)
Publish code of conduct for retail sector (ERRT and Euro Commerce) Ensure environmental training of all employees via welcome manuals, on site and/or on-line courses, corporate magazine, etc. (highlight as sectoral achievement)
Promote sustainable fish products via customer magazine and provide information about sustainable fish via homepage (Kaufland; or as innovative achievement)
Encourage consumers to reduce their carbon and environmental footprint through marketing campaigns, price promotions and guidance (Kingfisher)
Increase the money raised through the consumer cooperative movement to self-help projects in developing countries by 10% in 2010 (Kooperativa Förbundet)
4.3 Recommendations for future REAP progress monitoring
Based on the experiences made during this second round of progress monitoring we would like to recommend the following actions to further improve the progress monitoring and assessment of environmental achievements made in the retail sector in future:
(1) Further adjust and reduce visions (clear delimitation between visions, reduction of the heterogeneity within the visions, aggregation of visions with few commitments (e.g. “others”) or limit to key words in data base (2) Increase precision of commitments in MAP, with an exclusive reporting of concrete targets; assure that commitments contain a full data set including a baseline (this is not essential for all kind of commitments), a clearly defined target and a timeline (3) Further expand the reporting to MAP to a broader range of commitments in order to better reflect overall environmental activities in the sector, and put a stronger focus on innovative voluntary approaches (4) Reduce administrative burden and facilitate data transfer by enhanced use of CSRs and up- dated MAP for progress monitoring (5) Reduce frequency and number of store visits and focus on lighthouse initiatives
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(6) Continue work on development of robust criteria for selection of examples of good practice and an appropriate recognition scheme in order to highlight particularly interesting and ambitious initiatives and targets (7) Condense progress monitoring report with a focus on changes in targets, priority areas and overall performance (8) Investigate possibilities to evaluate relations between achievements made and environmental implications
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European Commission ESWI Final Report Services on Monitoring Retailers’ REAP commitments