Environmental responsibility

For Swedish Match, environmental responsibility implies working consciously and actively to reduce and mitigate negative environmental impacts of the Company’s business operations.

Swedish Match and environmental responsibility

Swedish Match’s environmental responsibility extends across the value chain, from sustainable tobacco sourcing and forest management to efficient management of energy, waste, and water in manufacturing, to eco-efficiency measures in all facilities.

Although the production processes and raw materials used in the tobacco industry generally are considered to have limited environmental impact, improvements and savings from more efficient uses of resources can have positive direct benefits on the sustainability and profitability of the Company as well as on the environment itself.

Key achievements 2015

  • The Company significantly improved its disclosure score in CDP’s1) global annual review of companies’ efforts within the area of climate change, from 84 for the reporting year 2013 to 91 for the reporting year 2014. The dis­closure score reflects the comprehensiveness of a company’s response to CDP in terms of the depth and breadth.
  • Swedish Match consolidated and moved its offices in Stockholm to a new energy efficient facility which has been granted BREEAM certification.

Environmental organization

The Senior Vice President Investor Relations and Corporate Sustainability, who reports to the CEO, is responsible for the Corporate Sustainability function and for communicating environmental issues. The Senior Vice President Investor Relations and Corporate Sustainability also chairs the Group’s Environmental Council, and presents findings and updates to the Board of Directors on a periodic basis.

The Group’s Environmental Council, with representation from all Swedish Match factories, is an advisory and reporting body on matters relating to environmental issues and aids in reporting results internally in this area. The council’s task is to safeguard compliance with Swedish Match’s Group Environmental Policy and the Environmental Management System (EMS) throughout the organization. This is achieved by regular meetings and by a structured information exchange between meetings.

Environmental management (quality and standards)

In 2015, the ten most significant of the Company’s twelve manufacturing facilities, with products accounting for more than 95 percent of Company sales of its own produced products, had management systems certified according to the environmental management standard ISO 14001 as well as the quality management systems standard ISO 9001.

Basic environmental education is a requirement according to the environmental management standard ISO 14001 in those facilities that are certified according to the standard. The main purpose of the education is to promote environmental awareness among the staff and increased knowledge of the EMS and the Company’s routines.

Swedish Match’s ISO certifications

Environmental KPIs and targets

Swedish Match has set long term targets at the factory level (five year horizon to 2016) and is monitoring and reporting on the following six environmental KPIs: total energy consumption, electricity, greenhouse gas emissions, total waste, hazardous waste, and water use.

The Company measures all KPIs on a factory level, both in absolute numbers as well as per unit of output produced. In the Company’s Sustainability Report, aggregated results are reported for each product area – per unit of output by weight for smokefree products (snus, moist snuff, and chewing tobacco) as well as per unit of output for cigars and lights products (matches and lighters). Where applicable, totals are presented in relation to total Company sales as well as per employee. Read the 2015 Sustainability Reporting Document.

Swedish Match’s aggregated environmental targets and achievemets

TopicKPIProduct areaTarget 2016Result 2014UnitIncrease/decrease vs. target
Energy consumptionTotal energy consumptionSmokefree products3.94.7MWh/ metric tons produced0
Cigars13.08.4MWh/ mn cigars produced0
Matches813.4827.8MWh/ bn matches produced0
Lighters38.937.5MWh/ mn lighters produced0
ElectricitySmokefree products1.51.8MWh/ metric tons produced0
Cigars11.68.2MWh/ mn cigars produced0
Matches150.8147.7MWh/ bn matches produced0
Lighters36.836.1MWh/ mn lighters produced0
WasteTotal wasteSmokefree products0.160.18metric tons/ metric tons produced0
Cigars1.991.00metric tons/ mn cigars produced0
Matches, excluding biomass19.1520.07metric tons/ bn matches produced0
Lighters0.860.78metric tons/ mn lighters produced0
Hazardous wasteSmokefree products0.0010.001metric tons/ metric tons produced0
Cigars0.0070.005metric tons/ mn cigars produced0
Matches8.91211.386metric tons/ bn matches produced0
Lighters0.0450.029metric tons/ mn lighters produced0
Water useWithdrawal and discharge of waterAll product areas/
all factories
To have a level of zero in terms of the withdrawal and discharge of water affecting sensitive water bodies (using the GRI definition of sensitive water bodies).
Greenhouse
gas emissions
CO2 emissionsTotal companyTo stay at or below baseline for CDP Scope 1 (direct emissions)
and Scope 2 (indirect emissions).

 

Environmentally adapted products and packaging

Swedish Match works to reduce or minimize packaging in production and transport while also reducing or eliminating the use of excess consumer packaging. The Company strives to use environmentally adapted materials for its product packaging. For matches, for example, post-consumer ­recycled fibers are being used for the vast majority of the production of inner and outer match boxes.

Eco-efficiency

In addition to its efforts at the factory and sourcing levels, the Company encourages greater eco-efficiency in all facilities under guidelines covering computers and data management, printing of materials, the use of electrical devices in the office or facility, video and telephone conferencing, type of travel, and recycling.