Signatory Name: CHEP Australia Pty Ltd

Transcription

1 Signatory Name: CHEP Australia Pty Ltd The question numbers in this report refer to the numbers in the report template. t all questions are displayed in this report. Status: Completed The content in this APC Annual Report is hereby endorsed by the Chief Executive Officer, or equivalent officer of the organisation. 5. Industry sector (please select 1 only): Brand Owner / Wholesaler / Retailer Packaging Manufacturer Waste Management Other - Commercial Organisation Community Group Industry Association Government Raw Material Supplier Other: 6. Industry type (please select 1 only): 7. Please indicate your organisation's reporting period: Financial Year: 1 July June 2013 Calendar Year: 1 January December 2013

2 Goal 1: Design KPI 1: % of signatories with documented policies and procedures for evaluating and procuring packaging using the SPGs or equivalent. 8. Does your company have documented policies and procedures for evaluating and procuring packaging using the SPGs or equivalent? Provide details of policies and procedures Stage Gate process- A response to the following criteria is required as part of the Business Development process for all new products: Explain how this product will increase supply chain sustainability (minimise material use through pooling, reduced single-use packaging, reduce transport etc) 2. Does this product use raw or virgin material? If virgin material, please explain why recycled material cannot be used. 3. Does the product use low toxic and non-hazardous material? Please explain 4. Can the product be easily recycled at its end-of-life (eg, use of one type of material)? 5. Is this product designed for reuse? If not, please explain how this product will avoid landfill 6. Have all suppliers committed to the Brambles Code of Conduct and follow responsible practices? 7. Do suppliers have any Environmental Management Systems or policies to reduce their impact on the environment? 8. Will there be an increase in CHEP energy, water or waste as a result of this product? Please explain 9. Please outline any constraints (cost, availability, quality) to designing a more environmentally responsible product 9. Of the types of packaging existing at the beginning of the reporting period, what percentage had been reviewed using the Sustainable Packaging Guidelines (SPG) by the end of the reporting period? 10. Have any new types of packaging been introduced during the reporting period? 1 93 % If yes, of the new types of packaging introduced during the reporting period, what percentage have been reviewed using the Sustainable Packaging Guidelines (SPG) by the end of the reporting 100 % 12. Please indicate your progress this year towards achieving your annual targets and milestones for KPI 1 2. Using the SPG's sustainable packaging criteria, develop a CHEP Sustainable Packaging Policy by EoFY 2012 Continue to optimise customer packaging systems by expanding the use of reusable, recyclable and 'one touch merchandising' packaging alternatives by EoFY 2015 As part of the Business Development process (new product design & commissioning), the SPGs have been adapted into the Stage Gate process. This process guides the development of new products and SPGs criteria is now used as part of the assessment for new product designs. CHEP is continually improving supply chain efficiencies through the use of our products and as a result, removing waste from the supply chain. In 2013, we worked with a number of major retailer to convert cardboard-intensive processes to the d-pallet and beverage tray system. In 2013 alone, it has been estimated that 2.6 million cardboard boxes have been removed from the supply chain due to the conversion to the one touch merchandising packaging. We expect this number to increase in 2014 as more retailers move towards using the D-pallet and beverage tray system.

3 3. 4. Continue to optimise Load Containment & Safety packaging: work with film and machine suppliers to improve yields without compromising quality and safety by EoFY 2015 Use the Sustainable Packaging Guidelines to review existing packaging as per the review schedule: -CHEP timber Pallet by Plastic crates (RPC) by Retail Ready Packaging by Plastic auto crates (4-100lt, Ropak, pallet cap, AFC lt, Stillages) by Bins (plastic bins and foldable bins) by Cube containers (CHEPbox, CHEP Hazboc and CHEP Unicon) -Stretch film by Cardboard liners by Packaging tape by Liner bags by 2012 This action is to be completed by EoFY 15, however progress has been made in this area: Business Development are currently investigating the viability of more environmentally friendly alternatives to the currently available plastic wrap. Initial trials will be undertaken in April CHEP timber Pallet: complete -Plastic crates (RPC): complete -Retail Ready Packaging: complete -Plastic auto crates: These products have been in decline since this action plan was written. This is due to the decline in the Australian auto industry. A new product- the ICOQube has been reviewed instead. -ICOQube: complete -Bins: Delayed until Cube containers: These products have moved to Pallecon- a recent addition to Brambles and are no longer a CHEP products -Stretch film: complete -Cardboard liner: delayed until 2014, this product is insignificant in terms of products sold and will be reviewed at a later stage once higher volume products are complete -Packaging tape: delayed until 2014, this product is insignificant in terms of products sold and will be reviewed at a later stage once higher volume products are complete -liner bags: This product has moved to Pallcon- a recent addition to Brambles and is no longer a CHEP product 5. Continue to provide information to customer signatories to assist with their packaging against the SPCs by EoFY 15 CHEP was requested to report against the APC requirements for two customers in Integrate a CHEP Sustainable Packaging Policy into the Supplier Assessment and Design Brief used to assess new packaging As part of the Business Development process (new product design & commissioning), the SPGs have been adapted into the Stage Gate process. This process guide the development of new products and SPGs criteria is now used as part of the assessment for new product designs. 13. Describe any constraints or opportunities that affected performance under this KPI There have been some changes to the business due to the inclusion of Pallecon. All bulk containers have moved over to Pallecon which means some packaging reviews cannot be completed by CHEP. An updated action plan will be developed to reflect these changes in 2014.

4 Goal 2: Recycling KPI 3: % signatories applying on-site recovery systems for used packaging. 14. Do you have on-site recovery systems for recycling used packaging? at all facilities/ sites at some, but not all facilities/ sites 15. Please indicate your progress this year towards achieving your annual targets and milestones for KPI 3 Further improve on-site timber recovery system: waste audits to monitor zero timber waste to landfill Complete the NSW Government Sustainability Advantage 'Resource Efficiency' module and QLD EcoBiz programs to continue to ensure highest end use of timber not suitable for use in repair In vember 2013, a consultant was engaged to review the Sydney Metro's waste management program to find resource recovery improvements. The consultant will undertake a desktop assessment of current waste practices and identify improvements. The report is expected by March In 2013, CHEP attended a number of Sustainability Advantage cluster meetings focusing on industrial ecology. The cluster is investigating how waste timber can be used as a resource in neighbouring industries as a fuel for heating processes. This is an ongoing initiative and results are expected in the medium-long term. In FY 13 CHEP's diversion from landfill rate was 83% (by weight). 2. Further improve cardboard and plastic on-site recovery systems to further reduce waste to landfill CHEP's waste data capture has improved in the past 12 months. Data completeness has also improved and therefore it is difficult to make comparisons between years. In FY13, 83% of waste was diverted from landfill. This includes all waste that comes in from our customers, equipment end-of-life scrapping, beyond repair timber and office recycling such as paper. Previous years did not capture equipment scrapping data which makes up over 80% of our total waste in weight. AU waste to landfill data for previous years: FY t FY t FY t H1 FY t 16. Describe any constraints or opportunities that affected performance under this KPI Sites are already practicing best practice resource recovery in many areas and therefore it is quite difficult to show improvements. Its is also very difficult to get accurate data of waste timber recycling due to the complex process of dismantling and reusing timber pallets. A model is currently being developed to help best estimate timber recovery rates. CHEP has no control over the waste that comes in on our pallets from our customers, therefore we have minimal control over amount of waste and therefore focus on segregation.

5 KPI 4: Signatories implement formal policy of buying packaging made from recycled products. 17. Does your company have a formal policy of buying packaging made from recycled packaging? Please explain why not Most of our procurement activities are of virgin material to be used in our pooled equipment. Recycled raw content is used when possible (such as in our plastic pallets) and is covered under the 'economic reasoning' as recycled content is more than often less expensive than raw material. In addition, recycled content is not always more environmentally sound eg. engineered timber using recycled timber and timber off-cuts contains toxic glues. Our business model is based on the reuse of products which is a more environmental sound operation then just using recycled content. 18. Is this policy actively used? 19. Please indicate your progress this year towards achieving your annual targets and milestones for KPI 4 Integrate a commitment to buy products made from recycled packaging, where appropriate, into CHEP Procurement Policies Through discussion it was decided that a formal 'buy recycled' policy was not required as investigating recycled raw material is covered under 'economic reasoning' for purchasing. This is due to the fact that recycled content is almost always less expensive than virgin material. In addition, a recycled paper trial was conducted at head office, however it was decided that the quality of paper was not fit-for-purpose. Instead, PEFC certified paper has replaced non-certified paper. Engineered timber using recycled timber and timber offcuts has been investigated in the past 12 months to replace virgin timber used in our pooled pallets. The glue used in the engineered timber was deemed too toxic and a less environmentally sound product when compared to our current virgin timber. 20. Describe any constraints or opportunities that affected performance under this KPI The food safety standard that requires virgin plastic to be used in products that come into direct contact with food is a constraint. CHEP would consider using recycled plastic in our RPCs if it was deemed possible. CHEP is awaiting the release of the APC recycled plastic report before investigating this initiative further.

6 Goal 3: Product Stewardship KPI 6: % signatories with formal processes to work collaboratively on packaging design and / or recycling. 2 Does your company have formal processes in place for collaborating with other companies or organisations on improved packaging designs and/or recycling which aims to reduce or eliminate waste? Provide details of policies and procedures (including names of policies/ procedures) CHEP is a member of Sustainability Advantage - a NSW Government program for business sustainability. As part of this program, CHEP has worked with the Industrial Ecology cluster to develop collaborations with neighboring industries to use waste timber as a resource in heat-intensive processes. It is expected that cross-industry initiatives will have a longterm focus and be achieved in 5 + years saw the beginning of the conversations about timber reuse opportunities. 22. Please indicate your progress this year towards achieving your annual targets and milestones for KPI 6 2. Continue to optimise customer (including signatories) packaging systems: work with customers to expand use of reusable, recyclable and 'one touch merchandising' packaging alternatives to reduce their environmental impacts of packaging Active and increased participation in packaging industry forums and customer advisory panels CHEP is continually improving supply chain efficiencies through the use of our products in reducing waste. In 2013, we worked with a number of major retailer to convert cardboard-intensive processes to the D-Pallet and Beverage Tray system. In 2013 alone, it has been estimated that 2.6 million cardboard boxes have been removed from the supply chain due to the conversion to the D-Pallet and Beverage tray system. We expect this number to increase in 2014 as more retailers move towards using the Beverage Tray system. In 2013, CHEP committed to becoming a founding member of the Retail and Supplier Roundtable Sustainability Council which is a consumer-goods industry led forum to collaborate and lead the development of consistent environmental and social sustainability metrics and assessment tools. We have also become a member of the MGSM (Macquarie Graduate School of Management) CSR (Corporate Social Responsibility) Network. This network of corporations commits to providing case studies and data for MGSM CSR research. Other members include some of CHEP's customers. CHEP is an ongoing member of Sustainability Advantage, which commits CHEP to business sustainability at all levels, including packaging. CHEP commissioned a report into the role of food packaging to reduce food waste. The report has identified packaging can play a significant role in reducing food waste within the supply chain. It also identified the majority of food waste occurred during the consumption phase (left-overs from the plate etc). 23. Describe any constraints or opportunities that affected performance under this KPI As a member of the AFGC, CHEP has access to the AFGC transport calculator. The calculator has been used in a number of calculations to assess how CHEP packaging system can reduced transport emissions. We expect to expand this function over the next few years to calculate the transport emissions CHEP packaging solutions has removed from the supply chain.

7 KPI 7: % signatories showing other Product Stewardship outcomes. 24. Please indicate your progress this year towards achieving your annual targets and milestones for KPI 7 Further improve resource efficiency and reduce environmental impact of CHEP's equiptment pool and therefore packaging by efficiency actions towards CHEP sustainability targets: Implement energy reduction opportunities identified via a suite of energy audits across CHEP's service centre network in 2011 Establish Timber Chain of Custody Certification Plan Further energy and waste resource efficiency projects under NSW Government Sustainability Advantage 'Resource Efficiency' module and QLD EcoBiz programs Seven energy audits have been undertaken in the last 3 years. The recommendations have been used to develop a pathway to achieving our 20% emission reduction target. Emissions have decreased by 4% on 2010 levels. In 2014 CHEP is investigating the establishment of a Eco- Efficiency fund to support energy and waste reduction projects which is expected to result in greater CO2-e reductions. Half yearly FY14 emissions results show a 12% reduction on half yearly FY13 results. Our target to have 100% of purchased timber for pooled pallets COC certified by 2015 is expected to be met early. CHEP Australia has been working with timber suppliers and millers to become COC certified. The majority of producers and millers have now been certified with a number of smaller millers in the process of gaining certification. The COC program is currently ahead of schedule. In 2013, Brambles was named the the Sector Leader for the Industrials and Autos Industry in CPD s Forests Annual Report. CHEP has attended 2 Sustainability Advantage workshops to improve skills in Energy and Waste management. 25. Since the beginning of the reporting period, has your company had any other outcomes related to product stewardship? If yes, please give examples of other product stewardship outcomes Three dryers have been replaced in CHEP service centres which has reduced the energy required for drying by 90%. LED lighting trials in a number of sites have seen very positive results in terms of energy reductions and improved lighting standards. Other energy efficiency initiatives include compressor replacement, production efficiencies and equipment replacement. Brambles was the winner of the CDP s ASX 200 Climate Performance Award: Best Year on Year Change 2013 and named as the Sector Leader for the Industrials and Autos Industry in CPD s Forests Annual Report. 26. Describe any constraints or opportunities that affected performance under this KPI As CHEP's head office is located in Sydney, attending QLD EcoBiz programs is logistically challenging.

8 KPI 8: Reductions in packaging items in the litter stream. 27. Please indicate your progress this year towards achieving your annual targets and milestones for KPI 8 Establish additional systems for employee lunch and office recycling and litter collection at sites Encourage employee teams to participate in Clean Up Australia Day via CHEP's Helping Hand Volunteering Program Clean Up Australia Day activities have been advertised at all sites. However, due to WH&S concerns at a number of sites, CUAD was advertised as a outside work initiative. In 2014, the Sustainability team has a local university student undertaking a research project into office recycling to look at the current recycling situation, and recommendations for improvements. CHEP has also engaged a waste consultant to review the current waste situation and recommend potential improvements. This report is expected in March Describe any constraints or opportunities that affected performance under this KPI WH&S concerns were expressed in relation to CUAD. It is expected these concerns will be addressed and CUAD activities will be undertaken in Your Experiences This section lets you share with us any achievements, good news stories and areas of difficulties in making progress against your plan and the Covenant goals and KPIs. 29. Key achievements or good news stories As part of the Business Development process (new product design & commissioning), the SPGs have been adapted into the Stage Gate process. This process guides the development of new products and SPGs criteria is now used as part of the assessment of viability for new product designs. CHEP is continually improving supply chain efficiencies through the use of our products and as a result, removing waste from the supply chain. In 2013, we worked with a number of major retailer to convert cardboard-intensive processes to the D-Pallet and Beverage Tray system. In 2013 alone, it has been estimated that 2.6 million cardboard boxes have been removed from the supply chain due to the conversion to the 'one touch merchandising' packaging. We expect this number to increase in 2014 as more retailers move towards using the D-Pallet and Beverage Tray system. in 2013, Brambles was the winner of the CDP s ASX 200 Climate Performance Award: Best Year on Year Change 2013, and named the Sector Leader for the Industrials and Autos Industry in CPD's Forests Annual Report. 30. Areas of difficulties in making progress against your plan, Covenant goals or KPIs This action plan is now out-of-date and a new action plan will be written for the 2014 period.