Environment

The Group believes that helping mitigate global environmental impacts through the effective use of resources, such as water, energy, and raw materials, and the prevention of environmental pollution are indispensable actions to ensure the sustainability of companies. With this belief, we will advance various initiatives and also build a sustainable business by actively deploying innovative technologies.

Resources and Environment

Group policy

Our business and communities depend on the sustainable consumption of natural resources and protection of the environment and biodiversity. We will work to improve the life cycle and circularity impacts of our products and supply chain.

Risks & opportunities

The key risks and opportunities associated with resources and environment are summarized in the table of materiality page (Materiality, Risk, Opportunity). While these are largely common across the consolidated group, individual PCGs do have some different focus areas and action priorities that reflect the local maturity of their improvement journeys.

Improvement & performance

Waste generated, waste recovered, water withdrawn, and water consumed all increased during the year. A significant contributor to these performance changes were the European acquisitions of Cromology and JUB within DuluxGroup, while other significant individual factors within each PCG also contributed.
Total waste generated increased 43% to 15.9 kilograms per tonne (kg/t), while the hazardous waste proportion decreased 4 percentage points (pp) to 33%. Waste recovered (recycled, reused) increased 43% to 6.3 kilograms per tonne (kg/t), which is equivalent to 42% of the total waste generated, an increase of 1 pp. The waste recovered performance excludes Cromology, where data is not currently available. Overall, these waste performance changes were primarily driven by the Cromology and JUB acquisitions, inclusion of previously unreported non-hazardous waste for NIPSEA China, and increased waste in DuluxGroup Pacific due to clean-up from the major flooding event at the Dulux Rocklea plant.
Water withdrawal increased 7% to 0.58 kiloliters per tonne (kL/t), while water consumed increased 8% to 0.39 kL/t. These performance changes were primarily driven by the Cromology and JUB acquisitions, changes in production mix for NIPSEA Group, and increased consumption in DuluxGroup Pacific due to clean-up activities following the major flooding event at the Dulux Rocklea plant.

Performance

2022 performance and changes versus the prior year for individual PCGs are summarized in the following table, together with the key improvement priorities for the year.

Performance by Partner Company Group (PCG)

PCG Waste Water 2022 improvement drivers & priorities
Total waste generated (kg/t) Hazardous waste generated (% of total waste generated) Waste recovered (% of total waste generated) Water withdrawal (kL/t) Water consumed (kL/t)
NIPSEA
Group
10.5
(+46%)
43.2%
(-1.7pp)
23.9%
(0pp)
0.52
(+6%)
0.38
(+8%)
  • Target: 8% water intensity reduction by 2025.
  • Increased waste due to China reporting non-hazardous waste data for the first time as part of comprehensive 2022-2023 plan.
  • Betek Boya implemented waste-water recycling, rainwater recovery, and polymer recovery from waste water.
  • China Jinshan implemented thermal oxidizer to treat volatile organic compounds (VOCs) emissions.
DuluxGroup
(Pacific)
65.6
(+10%)
32.1%
(-3.3pp)
51.4%
(+1.8pp)
0.41
(+14%)
0.23
(+64%)
  • Target: 50% landfill waste reduction by 2030.
  • Waste and water increased due to Dulux Rocklea site flood clean-up activities.
  • Developed action plan for 2030 waste to landfill reduction target and commenced implementation.
  • Commenced bulk bag recycling at Yates Wyee and improved waste segregation and recovery across Dulux Trade Centers.
DuluxGroup
(Europe)*
33.5 15.9% 0.75 0.47
  • Waste water treatment plant installation at three Cromology factories (France, Italy).
Japan Group 50.1
(-12%)
14.3%
(-3.6pp)
96.5%
(+17.1pp)
1.62
(-7%)
0.61
(-24%)
  • Wastewater treatment plant sludge reduction.
  • Improved waste segregation.
  • Increased recycling of wash water.
Dunn-
Edwards
11.1
(+1000%)
0%
(0pp)
10.3%
(-44pp)
0.57
(-17%)
0.52
(-23%)

* Businesses were acquired in 2022, hence no prior year comparison is available for performance metrics.

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