Our Sustainability Report 2014
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Sustainability Report 2014 Brewing a Better World Introduction The big picture Our focus areas Values and behaviours Other information Our Sustainability Report 2014 Nigerian Breweries Plc is the leading brewing company in Nigeria and our brands are enjoyed across the nation and exported to 15 countries in Africa, Asia, Europe and America. We are committed to satisfying our customers and consumers in a socially and environmentally responsible manner. Sustainability is one of our core priorities; our way of doing business and creating value; and Brewing a Better World is our long-term strategic agenda. We are Contents A proud, longstanding market leader, committed to 01 About this Sustainability Report 4,280 02 MD/CEO Foreword meeting and exceeding Employees consumer expectations. The Big Picture We value 03 Brewing a Better World A passion for quality, 04 HEINEKEN’s 2020 Commitments enjoyment of life, respect for 05 From Barley to Bar 19 07 What we said and what we’ve done people and our planet as well Brands as encouraging performance. 09 Stakeholder Dialogue We want Our Focus Areas To consistently win with Nigeria 1 0 P r o t ec t i n g W at e r R es o u r c e s 12 Reducing CO emissions in line with our core business 2 11 14 Sourcing Sustainably philosophy. Brewery Locations 16 Advocating Responsible Consumption 18 Promoting Health and Safety 20 Growing with Communities Our Brewery Locations: Our Ways of Working Awo-Omamma Aba Ama Ibadan 22 Values and Behaviours Ijebu Ode Kaduna-Kakuri Kaduna-Kudenda Lagos Makurdi Onitsha Ota Other Information 24 Benchmarks and Achievements Malting Plants: Aba Kudenda For more information on Nigerian Breweries and our sustainability performance, visit: www.nbplc.com For HEINEKEN global Sustainability Report 2014 including detailed performance data and moving images, visit: www.sustainabilityreport.HEINEKEN.com Introduction The big picture Our focus areas Values and behaviours Other information About this Sustainability Report his Nigerian Breweries Plc Sustainability Report discloses our performance in economic, environmental and social aspects of our operations during 2014 and provides Tinformation on how we manage these and a wide range of other sustainability-related issues including corporate governance, stakeholder engagement as well as human rights and labour management. The report follows version 4.0 of the Global Reporting Initiative Guidelines (G4). As a HEINEKEN Operating Company, Nigerian Breweries has principally aligned this report to the HEINEKEN Sustainability Report, which also follows G4. While the HEINEKEN Sustainability Report is assured by KPMG to provide an independent and limited perspective, this Nigerian Breweries report is not verified by any external agency. However, key operational data contained in the report is sourced from Nigerian Breweries Annual Report and Accounts, which were audited by KPMG. In addition, Raitas Communications, the agency who prepared this report, visited some of our breweries, interviewed relevant managers and reviewed documents as well as witnessed some of the community development projects and stakeholder engagement sessions. This year, in addition to the printed report, we have prepared a web version, which is available in our website: www.nbplc.com. The web version contains the GRI Reference Table which can be accessed through a link. More information about our report can be obtained from our website: www.nbplc.com while more detailed supporting information on the HEINEKEN sustainability report can be found in the sustainability section of the Company website: theheinekencompany.com/sustainability. It includes information from more than 40 local sustainability reports and fact sheets. Sustainability Report 2014 01 Introduction The big picture Our focus areas Values and behaviours Other information Managing Director/CEO Foreword Nicolaas A. Vervelde MD/CEO Expanding our Footprint, Encouraging Sustainability In the sixty-nine years of our operation, in 2013 to 4.4 hl/hl in 2014. created among employees and Third Nigerian Breweries Plc has been driven by During the year, three of our breweries Party personnel, we recorded one fatality a commitment to excellence in value transited from the use of diesel to in 2014 compared to zero in 2013. My creation, meeting the expectations of natural gas, which reduced our condolence goes to the family of the late Third Party staff. shareholders and satisfying consumers as greenhouse gas emissions by 8% from well as supporting socio-economic 13.2 kg CO2-eq/hl in 2013 to 12.2 kg One of the milestones we recorded in development. We have continued to set CO2-eq/hl in 2014. Going forward, we 2014 was the merger of Nigerian the pace in contributing to the growth of will switch more of our breweries from Breweries Plc and Consolidated Breweries our communities and other publics. Also the use of fossil fuel to gas and Plc. The merger has further increased our we have remained fully committed to progressively achieve our goal of geographic footprints, brands portfolio operating in a manner that enhances reducing CO2 emission in our breweries and market leadership position. In sustainability of our business, the society by 40% in 2020. addition, it has better positioned us to improve economies of scale, deliver and the environment. Our long-term superior value to our shareholders as well sustainability agenda helps us to make During the year, we strengthened as expanded our opportunities for more this happen. partnership with various stakeholders, impact on sustainable development. which is evident in the number of In 2010, we commenced a new Memorandums of Understanding During the year, we received several sustainability agenda, termed Brewing a (MoU) that we signed with diverse awards and commendations from Better Future (BaBF), designed to create groups. In line with our sourcing governments and other stakeholder shared value among our stakeholders by sustainability focus area, we signed an groups in recognition of our contributions focusing on delivering concrete MoU with the Federal Ministry of towards sustainability. These and more are presented in this report for your commitments in four key areas. In 2014, Agriculture and Rural Development to information. after four years of implementing the upscale the farmer yield and Brewing a Better Future, it evolved into productivity by making available In spite of a subsisting difficult operating Brewing a Better World, which expanded improved hybrid sorghum varieties. environment, our commitment to touch the scope for more positive impact on the lives of more Nigerians, satisfy our society with the addition of two new We also signed an MoU with Psaltry consumers and return impressive value to focus areas. With BaBW, we now have six International Limited and 2SCALE, a shareholders as well as reduce the sustainability focus areas: Protecting Dutch funded program, to enhance the environmental impact of our operations cassava value chain in Nigeria. To remain unshaken. We will continue to Water Resources, Reducing CO2 strengthen our partnership with the identify and exploit opportunities to Emissions, Sourcing Sustainably, Federal Road Safety Corps (FRSC) as make a difference and encourage Advocating Responsible Consumption, part of our advocacy for responsible sustainability. That is our promise! Promoting Health and Safety and consumption, we signed an MoU with Growing with Communities. In this report, the Corps. In addition, we entered into we highlight some of the achievements signing an MoU with the Pan Atlantic Nicolaas A. Vervelde, recorded in these areas in 2014. University on providing financial support Managing Director/Chief Executive for the construction of its Faculty of Engineering and Technology. Officer 2014 was a very dynamic, challenging, eventful but successful year for us. We In 2014, we recorded improvement in made good progress in achieving our safety performance with the reduction in Brewing a Better World targets against number of accidents by 70% from 10 in the 2015 milestones. We reduced specific 2013 to 3 in 2014. Unfortunately, in water consumption by 12% from 5.0 hl/hl spite of the high level of awareness 02 Introduction The big picture Our focus areas Values and behaviours Other information Brewing a Better World Brewing a Better World is HEINEKEN's long-term approach to Sustainability and one of our key business priorities. Our strategy Protecting Reducing CO2 water emissions resources Advocating Sourcing Our focus responsible sustainably consumption Promoting health Growing with and safety communities Passion for quality Our values Respect for people and planet Performance Enjoyment Brewing a Better World-Strategic Drivers Our approach is based on the following drivers: Do Build Save Mitigate Impact Commercial Good Trust Cost Risk Society Opportunity Strategic Focus Sustainability Report 2014 03 Introduction The big picture Our focus areas Values and behaviours Other information HEINEKEN’s 2020 Commitments Each focus area is underpinned by clear commitments that state our ambitions for 2020. These commitments are broken down into three-year milestones to be achieved by 2015. Brewing a Better World continues to be Protecting Water Resources • Reduce specifc water consumption in the breweries by 30%1 to 3.5 hl/hl. supported by our other business values • Aim for signifcant water compensation/balancing by our production units and behaviours. These include a in water-scarce and distressed areas. commitment to fairness, integrity and Reducing CO2 Emissions respect for the law, contained in the • In production by 40% 1 . • Of our fridges by 50%2 . HEINEKEN Code of Business Conduct. • Of distribution by 20%3 in Europe and the Americas. Sourcing Sustainably Sustainability remained an ongoing part • Aim for at least 50% of our main raw materials from sustainable sources. of the performance plans of HEINEKEN's • Deliver 60% of agricultural raw materials in Africa via local sourcing within senior management. It was one of the five the continent. • Ongoing compliance with our Supplier Code procedure. merit areas for senior managers in their Advocating Responsible Consumption Annual Performance Appraisal.