Sustainability report 2019

Energy consumption Per unit processed material 2015 2016 2017 2018 2019 2.5 2.0 1.5 1.0 0.5 0.0 2.37 2.33 2.25 2.36 2.18 Key achievements (QYLURQPHQWDO LPSDFW DQG HI¿FLHQF\ More frequent extreme weather and external hazards AAK is a processing company with impact on the envi- ronment that has to be managed and minimized. There DUH PDQ\ JHRJUDSKLFDO IDFWRUV LQYROYHG WKDW LQÀXHQFH our improvement work. AAK has different plants that differ in size, capacity, types of processes used and ORFDWLRQ 'LIIHUHQW DVSHFWV DUH WKHUHIRUH VLJQL¿FDQW RQ each site but the focus on continuous progress in line with the AAK Environmental Policy ambitions and key indicators is the same at all our sites. During 2019 we have continued to improve the HQYLURQPHQWDO HI¿FLHQF\ RQ RXU VLWHV DQG ZH DLP WR &RQWLQXRXV SURJUHVV DQG HI¿FLHQW ULVN PDQDJHPHQW DUH of highest importance. However, according to the 2019 Global Risk Report published by the World Economic )RUXP H[WUHPH ZHDWKHU HYHQWV ZLOO UDQN DV WKH PRVW likely and impactful global risk over the next ten years. Going forward, we will not only see system transfor- PDWLRQV DLPLQJ IRU PRUH HQYLURQPHQWDO HI¿FLHQF\ EXW also initiatives built on external hazards such as climate change. Our production site in Karlshamn, Sweden expe- rienced a really hot summer in 2018 which increased WKH VHD ZDWHU WHPSHUDWXUH DQG KDG D VLJQL¿FDQW LPSDFW on the ability to use sea water for cooling purposes. Instead of sea water, municipal water had to be used JHQHUDWH PRUH HI¿FLHQF\ WKURXJK WHFKQRORJ\ DQG process changes going forward. $V PHDVXUHPHQW RI HQYLURQPHQWDO HI¿FLHQF\ UHTXLUHV integration into management and environmental plans, it will take some time to get new sites on track with the AAK standard. However, we can see good progress already and with more best practice sharing, bench- marking, scalable solutions and engagement on the VLWHV ZH DUH FRQ¿GHQW WR VHH VWURQJ GHYHORSPHQW JRLQJ forward. in order to avoid production stop. During 2019, projects ZHUH LQLWLDWHG WR LPSURYH RSHUDWLRQDO HI¿FLHQF\ DQG reduce sea water consumption by 50 percent. Extensive research was completed and solutions which also aim to reduce the overall energy consumed by the water- cooling station are planned to be implemented in 2020. This is one example of an initiative based on external hazards. In order to mitigate the impact of extreme weather on our production facilities, AAK has initiated a third-party climate change risk assessment to be completed at all production sites by the end of 2020. This will include a full water-related risk assessment, which you can read more about on page 47. Contributes to: 41 Water consumption Per unit processed material 2015 2016 2017 2018 2019 1.25 1.20 1.15 1.10 1.00 1.23 1.20 1.17 1,18 1.16 m 3 :DVWH WR ODQG¿OO 2015 2016 2017 2018 2019 5 4 3 2 1 0 % GJ 1.3 1.9 2.2 4.8 2.5 -7% -2.3% -48%