Arla Foods Annual Report 2020 slide image

Arla Foods Annual Report 2020

Management Review Our Strategy Our Brands and Commercial Segments Our Responsibility Our Governance Our Performance Review Our Consolidated Financial Statements Our Consolidated Environmental, Social and Governance Data Environmental figures 1.3 WASTE Solid waste decreased Waste that cannot be recovered through recycling, reuse or composting impacts the environment. Arla continuously seeks to increase production efficiency at sites, reduce waste throughout the manufacturing and transport process, as well as working with waste management suppliers to reduce waste and improve waste handling. In 2020, waste decreased to 32,975 tonnes compared to 33,713 tonnes last year. In 2005, Arla set a target to generate zero waste for landfill by 2020. Waste for landfill increased to 1,204 tonnes compared to 988 tonnes last year. Due to expansions in international markets where waste handling is less developed, Arla did not achieve the 2020 target. Solid waste, 2020 Solid waste, 2019 32,975 TONNES 33,713 TONNES ESG Table 1.3 Solid waste (Tonnes) 2020 2019 2018 2017 2016 Recycled waste Waste for incineration with energy recovery 21,402 21,651 20,233 8,991 10,011 Waste for landfill 1,204 988 Hazardous waste Total 1,378 1,063 12,546 933 888 19,699 11,088 18,997 11,264 897 1,015 924 32,975 33,713 34,600 32,608 916 32,192 126 ARLA FOODS ANNUAL REPORT 2020 Recyclable waste 65% Waste for incineration 27% Waste for landfill 4% Hazardous waste 4% ■Recyclable waste 64% Waste for incineration 30% Waste for landfill 3% Hazardous waste 3% Accounting policies Solid waste is defined as materials from production which are no longer intended for their original use and which must be recovered (e.g. recycled, reused or composted) or not recovered (e.g. landfilled). This includes packaging waste, hazardous waste and other non-hazardous waste. To follow up on the goal of zero waste for landfill, Arla collects data monthly from all sites where we have control. ☑Uncertainties and estimates Currently, Arla discloses only solid waste in ESG table 1.3. In general, solid waste figures and waste handling methods were provided by the waste management supplier structured according to EU and local regulations. However, solid waste only makes up a small part of Arla's total waste. Other waste types are product waste and sludge. Arla planned to report total operational waste figures from 2020. However, a thorough analysis revealed a lack of standardisation across Arla sites concerning how to gather, organise and control product waste and sludge data. Therefore, disclosure of the full operational waste figures will be postponed until 2021.
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