Henkel Publishes Sustainability Report

Henkel Releases Sustainability Report In 2021, Henkel continued to advance its sustainability strategy more forcefully in business operations. The company reduced carbon dioxide emissions from its operations (particularly through the transition to green electricity) and achieved progress in numerous areas including sustainable use of raw materials and sustainable finance. By the end of 2021, Henkel succeeded in reducing the carbon footprint from its production by half. As of the end of 2021, Henkel had converted 100 per cent of the electricity it uses in production to renewable energy in 21 countries. Henkel currently operates at a renewable electricity usage level of 68 per cent. Henkel CEO Carsten Knobel commented on the matter as follows: "Sustainability is embedded in our company's DNA and is a key element of how we do business. Alongside innovation and digitalization, which are among our strategic priorities, sustainability also occupies the centre of our 'Growth with Purpose' agenda. Sustainability is also one of our core values and serves as our ultimate objective in our corporate approach: we operate according to the principle 'Pioneers at heart for the good of generations'. With our sustainability strategy defined with even more ambitious targets, we will accelerate our transformation while developing our portfolio and processes more robustly in line with sustainability." he said.

Target: 100 per cent of all packaging to be recyclable by 2025

Henkel aims to reduce the carbon footprint from its production by 65 per cent by 2025 (compared to the base year 2010). To achieve this, the company is focusing on increasing energy efficiency and aims to source 100 per cent of the electricity it uses from renewable sources by 2030. To this end, Henkel works alongside various partners across the value chain as well as with international initiatives such as the New Plastics Economy led by Plastic Bank and the Ellen MacArthur Foundation. One of the prominent 2025 targets is to make 100 per cent of Henkel packaging recyclable or reusable. This target has already been achieved at approximately 86 per cent as of the end of 2021. Henkel is also steadily working to increase the proportion of recycled material used in all plastic packaging of consumer products to above 30 per cent globally by 2025. As of the end of 2021, this proportion has risen to approximately 18 per cent. Henkel also recorded significant progress in its journey towards 100 per cent responsible sourcing in palm and palm kernel oil. In 2021, the company met 93 per cent of all its certified raw material requirements—and derivative products—in this area in accordance with the Roundtable on Sustainable Palm Oil mass balance model.  

Henkel's "2030+ Sustainability Target Framework" comprises three dimensions:

• Regenerative Planet: Transform operations, products and raw materials, with the support of science and innovation, to enable a circular and net-zero carbon future.
• Thriving Communities: Contribute to improving people's lives by supporting equality, education and wellbeing through leveraging the collective power of operations and brands.
• Trusted Partner: Holistically advance performance and systems change through values-based culture, science-grounded approach and technology passion.

Some of the key new targets:

• Operations to be climate-positive by 2030 and establishing a net-zero pathway for 'Scope 3' emissions (farm to shelf) in alignment with the Science Based Targets initiative.
• Strengthening circularity by increasing circular use of water and production waste by 2030.
• Achieving gender equality at all management levels by 2025.
• Expanding the scope of community education programmes and volunteering.
• Shaping the future of working life for the company and its employees through further development and expansion of the "Smart Work" programme launched in 2021.