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Energy and resource use

Orkla considers it essential to reduce its energy consumption and maximise its use of renewable energy.

Around 25-30% of all food that is produced is not eaten, and food wastage is one of the major contributors to global environmental challenges. Orkla wants to help ensure that less food is thrown away, and focuses continuously on improving raw material use, increasing production yield and reducing food waste. The objective is for the Group factories to reduce food wastage by 30% by 2020. In 2017, Orkla will prepare an overall plan for reducing food waste in the value chain.

Fresh water scarcity creates significant and growing challenges in many parts of the world. Apart from the Indian company MTR Foods, Orkla’s businesses are located in areas where there is low-to-medium risk of water scarcity. Nonetheless, reducing water consumption is also a way of cutting costs. To help ensure that the Group reaches its objective of 20% reduction in water consumption by 2020, the issue of water is covered in the internal programme «Improved Resource and Energy Efficiency». Activities in 2016-2107 will primarily be focused on awareness-raising within the Group and the introduction of systematic measurement and monitoring of internal water consumption. In 2016, MTR Foods invested in equipment for purifying and recycling waste water for use in the production of steam. This has reduced daily water consumption by 20,000 litres, and is an important step towards realising the company’s ambition of achieving water self-sufficiency.

In the case of some of the raw materials bought by the Group, drought can lead to smaller harvests and higher raw material costs. Orkla keeps close track of the raw material situation, and works systematically to reduce its commercial exposure to such risk. Among other things, Orkla has several alternative suppliers of important raw materials. Orkla requires all its suppliers to have effective procedures for preventing emissions and unnecessary water consumption. In future, the Group will increase its efforts to monitor water consumption and follow up on other key environmental topics with its suppliers.

GRI ref.   unit 2015 2014 2013
CONSUMPTION
  Materials:
G4-EN1 -Raw materials tonnes 799,000 796,400 748,120
G4-EN1 -Materials for packaging purposes tonnes 99,300 107,330 100,180
  Energy and water:
G4-EN2 -Produced energy GWh 2,850 2,570 2,400
G4-EN3 -Energy usage fossil fuels GWh 475 448 403
G4-EN3 -Energy usage purchased GWh 385 400 397
G4-EN3 -Energy from renewable fuel sources (scope 1) GWh 13 27 15
G4-EN5 -Energy usage per FTE MWh/FTE 59 67 52
G4-EN5 -Energy usage per revenue MWh/mill NOK 26 28 24
G4-EN8 -Total water withdrawal mill m3 6,9 6,5 6,6
G4-EN10 -Water recycled and reused mill m3 1 0,1 0,1
G4-EN10 -Water recycled and reused % 28 1,5 1,2