John Lewis Partnership Annual Report and Accounts 2015

58

John Lewis Partnership plc Annual Report and Accounts 2015 Partnership performance (continued)

ENVIRONMENT review

The Partnership’s approach to the environment is outlined in the Constitution in rule 109 to “take all reasonable steps to minimise any detrimental effect its operations may have on the environment, and to promote good environmental practice”.

The challenges we face

The issue of climate change should be a primary concern for all businesses. For the Partnership, it matters both in terms of how we minimise our impact on the environment, and how the effects of climate change will impact us in the future. We need to take action so that we can carry on growing, while minimising our direct negative environmental impacts and continuing to ensure we source products from environmentally sustainable sources.

Our Carbon Plan

The biggest contributor to our operational carbon footprint is the energy we use in our estate. In 2010 we published our Carbon Plan with an absolute operational emission target of 15% CO2

e reduction. This is an exceptionally

challenging target in particular with our current level of growth being a 33% increase in sales since 2010. In addition we recognise the changes in global carbon reporting coming into effect in 2015 will have a material effect on the way we report our carbon footprint. During 2014 we have also gained valuable insight on the application and viability of on-site renewable energy technologies which have proved very challenging.

We are therefore reviewing our future Carbon Plan targets in line with the Partnership’s projected growth rate, the balance of that growth to be delivered between new shops and online, the change in reporting guidance and the availability of viable on site renewable technology. We will ensure that these changes do not deter from the Partnership’s goal of reducing our environmental impact.

In 2014 we have continued to innovate and develop technologies that help make us more efficient. This has included building two new award-winning highly energy efficient shops, an industry leading LED roll out programme, innovative green fuel trucks and a 19% reduction in refrigerant emissions since last year. This year our trading was 53 weeks (usually 52) so in light of this, and an 11% increase in electricity emission factors, we believe our reduction in carbon intensity is good progress.

Partnership emissions

515,380 509,931 539,275 546,358 583,915 Absolute Partnership emissions tonnes CO2

e

Responsible Development Framework

2011 2012 Assured by DNV GL

Our Responsible Development Framework helps us design, operate and manage our estate in a way that meets the needs of our customers, Partners and the wider community, while minimising our environmental impact.

Transport emissions

Since its launch, our focus has been to embed it into our construction process. In 2014 we worked on developing a tool to do this, which we will implement in 2015.

Transport emissions tonnes CO2 8.8

8.7 8.4 8.4

e per £m sales 8.5

Once again this year, we chose shops to trial new technologies, new materials, and new ways of end-to-end working. In 2014, we also developed a planting policy that will have positive outcomes for wildlife, carbon reduction and the community.

2011 2012 Assured by DNV GL 2013 2014 2015 2013 2014 2015

Partnership emissions

515,380 509,931 539,275 546,358 583,915 Absolute Partnership emissions tonnes CO2

e

Partnership 62.8

5

2011

2012 Assured by DNV GL

Partnership emissions tonnes CO2 62.8

58.4 56.5 Transport emissions

Transport emissions tonnes CO2 8.8

8.7 2011 2012 Assured by DNV GL 8.4 2013 8.4 2014

e per £m sales 8.5

2015 53.7

e per £m sales 53.4

2013

2014

2015

2011

2 Assured by DNV

Waste di

Proportion diverted fro

80.8 8

Waste diverted from landfill Assured by DNV GL

2011 2012 2013 2014

Proportion of Partnership waste diverted from landfill %

6 4

80.8

0 2

-2

Source: IFCC 2000

2011 2050 2012 Assured by DNV GL 2013 2014 Focus on climate change

2015 is set to be a vital year in addressing the challenge of climate change as world leaders work towards ratifying a new international climate change agreement in December. These international negotiations offer Governments an opportunity to draft long-lasting agreements to tackle climate change. Business will be integral to helping to achieve these ambitions.

2015 32 2100 89.0 92.1 39 96.1 C

2015

Global average surface temperature change (relative to 1986–2005) O

96.5

2011

2 Assured by DNV

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