Annual Report 2023

Carbon footprint

In 2023, in line with the recommendations of the GHG Protocol Corporate Accounting and Reporting Standard, we improved the way we calculate the emissions associated with electricity consumption. At Biedronka, we started using the specific emission factors and the energy mix updated annually and made available by electricity suppliers in Poland, as was already the case for our operations in Portugal. In Colombia, this information is not yet available and data on the country’s energy mix is used. Considering the information provided by the Polish electricity sector for previous years, we also recalculated Biedronka’s scope 2 emissions for 2021 and 20221.

Based on this methodological adjustment, our scope 1 and 2 GHG emissions accounted for 929,000 tonnes of carbon dioxide equivalent (CO2e) in 2023, 6.9% more than in 2022. This increase is due mainly to the growth of our activities in Poland and Colombia, and to the increase in electricity and fuel consumption. The specific value of scope 1 and 2 emissions decreased 11.7% compared to 2022, as a result of the increased efficiency of our operations. We exceeded our goal to reduce scope 1 and 2 carbon emissions by at least 40% per 1,000 euros in sales by the end of 2023, compared to 2017, reducing emissions by 60%.

Mountain top with six wind turbines  (photo)

The strategy to reduce our carbon footprint, defined on a voluntary basis since our Companies’ activities are not covered by the European Emissions Trading Scheme, includes increasing operational efficiency and increasing the consumption of renewable energy, with the production of photovoltaic energy for self-consumption through Power Purchase Agreements (PPAs), Virtual Power Purchase Agreements (VPPAs) and the purchase of guarantees of origin. The 24.2% reduction in our carbon footprint, in absolute terms and compared to 2017, confirms the effectiveness of this strategy.

With regard to scope 3 emissions, particularly in the categories associated with purchased goods and services (category C1) and the end-of-life treatment of sold products (category C12), the increase recorded follows the growth trend of our businesses.

Carbon footprint (t CO2e/1,000 euros of sales)

 

2023

 

2022

 

Δ 2023/2022

Specific value (scopes 1 and 2)

 

0.0303

 

*0.0342

 

-11.7%

*

Values corrected to improve alignment with the Greenhouse Gas Protocol methodology.

Carbon footprint (t CO2e)1

 

2023

 

2022

 

Δ 2023/2022

Overall carbon footprint (scopes 1 and 2)2 by GHG

 

928,904

 

*869,337

 

+6.9%

Carbon dioxide (CO2)

 

801,408

 

*736,051

 

+8.9%

Methane (CH4)

 

19,692

 

*19,004

 

+3.6%

Hydrofluorocarbons (HFC)

 

104,914

 

*111,605

 

-6.0%

Perfluorocarbons (PFC)

 

0

 

0

 

-

Nitrous oxide (N2O)

 

2,890

 

*2,677

 

+8.0%

Sulphur hexafluoride (SF6)

 

0

 

0

 

-

Overall carbon footprint (scopes 1 and 2)

 

 

 

 

 

 

Biedronka

 

747,290

 

*713,934

 

+4.7%

Hebe

 

21,200

 

20,583

 

+3.0%

Pingo Doce3

 

40,536

 

42,745

 

-5.2%

Recheio

 

3,977

 

*3,187

 

+24.8%

Ara

 

91,384

 

*65,335

 

+39.9%

JMA4

 

24,372

 

*23,406

 

+4.1%

Hussel/Jeronymo5

 

145

 

*147

 

-1.4%

Carbon footprint (scope 1 – direct impacts)6

 

240,466

 

*227,719

 

+5.6%

Leakage of refrigerant gases

 

104,976

 

*111,669

 

-6.0%

CO2 usage

 

29,166

 

25,755

 

+13.2%

Fuel consumption

 

65,459

 

52,858

 

+23.8%

Light vehicle fleet

 

21,788

 

*18,977

 

+14.8%

Emissions from agriculture and livestock farming7

 

19,077

 

*18,460

 

+3.3%

Carbon footprint (scope 2 – indirect impacts)

 

688,438

 

*641,618

 

+7.3%

Electricity consumption (location-based)

 

755,226

 

*753,496

 

+0.2%

Electricity consumption (market-based)

 

674,051

 

*622,080

 

+8.4%

Heating (location-based)

 

14,387

 

19,538

 

-26.4%

Carbon footprint (scope 3 – other indirect impacts)

 

32,593,713

 

*28,960,529

 

+12.5%

Poland

 

23,108,168

 

*20,447,987

 

+13.0%

Portugal

 

6,106,242

 

*5,947,187

 

+2.7%

Colombia

 

3,379,303

 

*2,565,355

 

+31.7%

Carbon footprint (scope 3 – other indirect impacts)

 

 

 

 

 

 

C1. Purchased products and services

 

28,051,367

 

24,694,613

 

+13.6%

C2. Capital goods

 

627,556

 

*511,612

 

+22.7%

C3. Fuel and energy related activities

 

307,489

 

309,982

 

-0.8%

C4. Upstream transport and distribution

 

256,781

 

*261,510

 

-1.8%

C5. Waste produced in operations

 

57,091

 

49,268

 

+15.9%

C6. Work travel

 

4,841

 

3,359

 

+44.1%

C7. Commuting

 

20,813

 

20,392

 

+2.1%

C8. Assets rented upstream

 

-

 

-

 

-

C9. Downstream transport and distribution

 

-

 

*-

 

-

C10. Transformation of products sold

 

799

 

780

 

+2.4%

C11. Use of products sold

 

1,798,879

 

1,822,447

 

-1.3%

C12. End-of-life treatment of products sold

 

1,458,531

 

1,276,387

 

+14.3%

C13. Assets rented downstream

 

-

 

-

 

-

C14. Franchises8

 

-

 

-

 

-

C15. Investments

 

9,566

 

*10,179

 

-6.0%

*

Values corrected to improve alignment with the Greenhouse Gas Protocol methodology.

1

The Group Companies have not acquired carbon credits to offset their scope 1, 2 or 3 emissions, nor have they implemented removal or storage projects in their operations or value chain.

2

Scope 2 emissions concern location-based (heating) and market-based (electricity) type emission factors.

3

To measure the environmental indicators reported in this subchapter, the distribution centres, central buildings, and trucks used to distribute goods were accounted for under Pingo Doce.

4

JMA: Jerónimo Martins Agro-Alimentar.

5

To calculate the environmental indicators reported in this subchapter, Hussel and Jeronymo’s emissions were estimated based on their sales, making a correlation between commercial activities and Pingo Doce’s environmental impacts.

6

Scope 1 GHG emissions from our Companies’ activities are not covered by the European Emissions Trading Scheme of the regulated emissions trading systems.

7

Emissions from JMA’s farming and livestock activities include enteric emissions from cattle and sheep, the use of chemical fertilisers, and manure management.

8

This parameter includes franchising and similar models.

Approximately 95% of our scope 3 emissions are associated with the production, use and end-of-life treatment of the products we sell. Collaboration with our suppliers, in particular with those that have the greatest impact on our scope 3 emissions, aims at increasing the resilience of our value chain and reducing C1 emissions, in line with the scope 3 emissions reduction target set in the Climate Transition Plan.

1 More information can be found at http://www.jeronimomartins.com/cr-documents-2023.

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