ESG人类和地球（英文版）

IMPERIALBRANDS

ESG:PEOPLEANDPLANET

PERFORMANCESUMMARY2022

INTRODUCTION

OurPeopleandPlanetAgenda:managingourenvironmental,socialandgovernance(ESG)responsibilities

InJanuary2021,weoutlinedournewfive-yearstrategytotransformImperial.Laterthatyear,welaunchedanewCompany

purposeandvision,definingwhywearehereandwhatwearetryingtoachieve.

Ourcommitmenttoenvironmental,socialandgovernance(ESG)issuesisenshrinedinthesetwostatements.

InDecember2021,wecompletedanESG

materialityassessmentfortobaccoand

NextGenerationProducts(NGP),listeningto,listeningtotheviewsofconsumers,

customers,employees,investorsand

shareholders.Thissurveyidentifiedeightfocusareas,whichwehavegroupedintothreebroadcategories:HealthierFutures,PositiveContributiontoSociety,andSafe&

InclusiveWorkplace.Eachofoureightfocusareasisalsoalignedtoatleastoneofthe

UnitedNations’SustainableDevelopmentGoals(UNSDGs).

Alongsidethiswork,weintroducedanewESGgovernanceframeworktoensurerigourinthewayinwhichwesetobjectivesand

deliveronourcommitments.

Wearecommittedtooperatingresponsiblyineverythingwedo,respectingourpeople,ourcommunities,andourplanet.We

dischargeourESGresponsibilitiesthroughaframeworkofgovernance.

ToensuretheBoardhasfulloversightofallrelevantESGissues,wehaveestablishedacross-functionalESGCommittee,chaired

bytheCEOofImperialBrands.TheESGCommitteereportstotheBoardfor

ESG-relatedopportunities,andtotheGroupRiskCommitteeforpotentialmaterial

ESG-relatedrisks.TheBoardreviewsour

ESGperformanceonaquarterlybasis.

Thecross-functionalEnvironmentaland

SocialStrategygroupsreporttotheESG

Committeeandareinturnfedintobya

rangeofESGtopic-specificworkinggroups.Thisstrengthenedgovernanceapproach

enablescross-functionalcollaborationandavoidsduplicationofefforts.

ThisPerformanceSummarydetailstheworkandprogresswehavemadetodateagainstourPeopleandPlanetAgenda.

Opportunity

Risk

ESGCommitteeGroupRiskCommittee

GroupESGFunction

OtherrelevantFunctions

EnvironmentalStrategyGroup

SocialStrategyGroup

BoardofDirectors

2

PeopleandPlanet|PerformanceSummary2022

CONTENTS

FurtherReading

3

OurrefreshedESGapproachsupportsourstrategy,purposeandvision

4

OurPeopleandPlanetAmbition

5

Developedthroughacomprehensivereview

6

ImperialBrandsinnumbers

7

OurPeople&PlanetAgenda

8

•ConsumerHealth

8

•ClimateChange

10

•PackagingandWaste

15

•FarmerLivelihoodsandWelfare

18

•SustainableandResponsibleSourcing

22

•HumanRights

24

•EmployeeHealth,SafetyandWellbeing

26

•Diversity,EquityandInclusion

30

FURTHERREADING

ThissummaryformspartofourwiderESGreporting,whichincludesour:

AnnualReportandAccounts:

Detailingcorporatestrategy,financialandnon-financialperformanceaswellas

informationonRiskandESGperformanceandourdisclosuresbasedontheTaskForceonClimate-relatedDisclosures(TCFD)

requirements.

FINDOUTMORE

CorporateWebsite:HealthierFutures:

WeprovidefurtherdetailonourapproachtomanagingourESGresponsibilities

onourwebsite,andinourESGstrategy

document.

FINDOUTMORE

ReportingCriteriaDocument:

Thisdocumentsetsoutourreporting

approach,scopeandcriteriawhich

underpinsthePLCBoard’scommitmenttodiscloseourESGperformanceintheAnnualReportandAccountsandonthe

corporatewebsite.

FINDOUTMORE

GRIandSASBIndex:

OurESGreportingisalignedtotheGlobalReportingInitiative(GRI)StandardsandtheSustainableAccountingStandards

Board(SASB)frameworkforTobacco.ThisindexliststheGRIandSASBStandards

ofESG

wearereportingagainst,andwheretheinformationcanbefoundacrossoursuite

reporting.

FINDOUTMORE

IndependentAssuranceStatement:

WeappointedErnst&YoungLLPto

providelimitedindependentassurance

overselectedESGcontentwithinthe

AnnualReportfortheperiodended30

September2022.Theassurancestatementisavailableonourcorporatewebsite.

FINDOUTMORE

3

PeopleandPlanet|PerformanceSummary2022

P

P

PEOPLE&PLANET

PERFORMANCESUMMARYJULY2022

.IMPERIaL

BRANOS

OURREFRESHEDESGAPPROACHSUPPORTS

OURSTRATEGY,PURPOSEANDVISION

BoardandseniormanagementarehighlyengagedwithourESGagenda

G

A

R

T

S

S

R

A

P

N

E

R

S

C

R

I

T

L

OurVision:

Tobuildastrong

challengerbusiness

poweredbyresponsibility,focusandchoice.

OurPurpose:

Toforgeapathtoa

healthierfuturefor

momentsofrelaxationandpleasure.

Takeaccountability

withConfidence

Startwiththe

Consumer

BeAuthentic,

Inclusivetoall

Build

ourFuture

Collaborate

withPurpose

TEICILL

Drivevalue

fromour

broader

market

portfolio

priority

combustible

markets

TransformingImperial

Brands

Simplifiedandefficientoperations

Performance-

based

cultureand

capabilities

ICAEABL

Focuson

Builda

targetedNGP

business

Consumeratthecentreofthebusiness

4

PeopleandPlanet|PerformanceSummary2022

OURPEOPLE&PLANETAMBITION

SAFE&INCLUSIVEWORKPLACE

HEALTHIERFUTURES

POSITIVECONTRIBUTIONTOSOCIETY

POWEREDBYRESPONSIBILITY

5

CONSUMERHEALTH

Wearecommittedto

strengtheningournext

generationproducts

(NGP)andmakingamore

meaningfulcontributionto

harmreductionbyoffering

adultsmokersarangeof

potentiallylessharmful

products.

OURPLAN:

Provideadultsmokerswitha

reducedharmchoice.

SubstantiateallourNGPproducts

againstourScientificAssessment

Framework(SAF).

CLIMATECHANGE

Wearecommittedto

reducingourimpacton

theclimatethroughout

ourvaluechain.Focusing

onbothmitigationand

adaptation.

OURPLAN:

By2040ourValueChainwillbe

NetZeroEmissions.(Scope1,2,3).

By2030,100%oftheenergy

sourcedforouroperationsfrom

renewablesources,And*25%

energyreduction,therefore

achievingNetZeroinourdirect

operations.

By2025,100%ofourpurchased

gridelectricitywillcomefrom

traceablerenewablesources.

PeopleandPlanet|PerformanceSummary2022

PACKAGING&WASTE

Wearecommitted

tominimisingwaste

associatedwithour

products,packagingand

productionprocesses.

OURPLAN:

By2025ouroperationswillsend

zerowastetolandfill.

100%ofourpackagingwill

bereusable,recyclableor

compostable(EU&UK)by2025.

Reducetotalwastefromour

operations*20%by2030.

*Baseline2017,**Baseline2019

FARMER

LIVELIHOODS

&WELFARE

Wearecommitted

toengagingwithour

supplierstosupport

anddevelopfarming

communitiesandpromote

sustainableagriculture.

OURPLAN:

Purchasefromleafsuppliers

whoarecommittedtosupport

theirfarmersaccessadecent

standardofliving.Supporting

supplierstoprovideaccessto

100%sustainablewooduse

by2025.

Improveaccesstobasicneeds

for180,000farmersandtheir

familiesby2030.

SUSTAINABLE

&RESPONSIBLE

SOURCING

Wearecommittedto

sourcingproductsand

servicesinacompliant,

sustainableandsocially

consciousmanner.Wewill

workwithoursuppliers

toensurecontinuous

improvements.

OURPLAN:

Sourceproductsandservices

fromadiversesupplybasethat

matchesourESGvaluesand

ambitions.

ResponsibleSourcingPolicy

rolloutFY23.

ResponsiblesourcingFramework

rolloutFY23.

Riskassessmentacrosssupply

basefromFY23.

HUMANRIGHTS

Wearecommittedto

raisingawarenessand

improvingprocessesinour

supplychainsrecognising

theimportance,influence

androlewehavein

promotingandprotecting

humanrights.

OURPLAN:

Strengthenourduediligence

processalignedtointernational

frameworksandlegislation.

Allemployeeshaveaccess

toSpeakUpchannelsand

remediationprocess.

Salienthumanrightsissues

assessedforeachofourpriority

locations&testrobustnessofdue

diligenceprocesses.

EMPLOYEE

HEALTH,SAFETY

&WELLBEING

Wearecommittedto

achievingworld-class

occupationalhealth,safety

andwellbeingforallour

employees.

OURPLAN:

A“Zero”injuryaspiration.

100%compliancewithOHSE

Frameworkby2025.

**75%reductioninLTArate

by2030.

**60%reductioninfleetcollision

rateby2025.

HealthandWellbeingframework

establishedFY23.

DIVERSITYEQUITY&INCLUSION

Wearecommittedtocreating

atrulydiverseandinclusive

organisationrenownedfor

celebratingdifference,enabling

ourpeopletofeelthatthey

belongandbetheirauthentic

selves.

Wewillrespect,recognise

andvaluethediversityofour

consumersandreflectthe

communitiesinwhichwe

operate.

OURPLAN:

Developawarenessand

understanding.

Ensurepracticesandpolicies

bestattract,support,developand

retaindiversetalent.

Capturedataandmeasure

theprogresswe’remaking.

LaunchStrategyFY23.

DEVELOPEDTHROUGHACOMPREHENSIVEREVIEW

ESGfullyintegratedintostrategy,vision,purposeandbehaviours

September2021September2022

.>

Board&

Executive

governance

agreed

ESGstrategy

signedoff

byESG

Committee

&Board

Internal

‘People

&Planet’

campaign

launched

ESGpriorities

integrated

intoexecutive

renumeration

•ClearESGframeworkinplacewithexecutivesponsorship

•Fullyintegratedintovision,purposeandbehaviours

•HostedESGinvestorwebinarinSeptember2022tolaunchnewapproach

•Metricsandtargetsinplacetosupportdelivery

ESG

materiality

study

completed

IntroducedforFY23

6

PeopleandPlanet|PerformanceSummary2022

IMPERIALBRANDSINNUMBERS

4TH

LARGEST

internationaltobacco

business

‘TOP

EMPLOYEREUROPE’

fora5th

successiveyear1

160

BRANDS

inourportfolio

5CORE

BEHAVIOURS

definedtoenabledeliveryofnewstrategy

MODERNSLAVERY

e-learning

courseavailablein15languages

26,000

employees

SPEAKINGUP

serviceavailable

in76countries

c.120

MARKETS

sellingbrands

7

PerformanceSummary2022

1.

TopEmployersInstitute

PeopleandPlanet|

OURPEOPLEANDPLANETAGENDA

CONSUMER

HEALTH

Wearecommittedtostrengtheningour

nextgenerationproducts(NGP)tomakeamoremeaningfulcontributiontoharmreductionbyofferingadultsmokersa

rangeofpotentiallylessharmfulproducts.

SDGs

Wearecommittedtotobaccoharmreduction.

Consumer-ledharmreductionstrategy

Westartwithourconsumers,focusingonconsumerinsightand

researchtoensurewebuildaportfoliothatsuitsthem.Onewaywecanmakeamaterialcontributiontoharmreductionisbygetting

everclosertoourconsumers,understandingtheirneedsandbehaviours,andtheninnovatingatpaceandcreatingnew

compellingpropositions.

Asillustratedintheaboveequation,NGPhavethepotentialtobelessharmfultoconsumerhealththantobacco.However,inordertodoso,thesenewproductsmustbeacceptedbyconsumersasalternativestocigarettes.

Thisiswhywebelieveharmreductionstartswiththeconsumer.

TobaccoHarmReduction(THR)

PotentiallyLessHarmfulProduct

ConsumerAcceptance

Whyisitimportant?

Weunderstandsociety’sconcerns

aboutthehealthrisksofsmokingand

recogniseourroleinhelpingtoreducetheharmcausedbycombustibletobaccoproducts.

Ourambitionistomakeameaningfulcontributiontotobaccoharmreduction.Thisambitionisalsodirectlylinked

totarget3.4oftheUNSDG3,whichis“toreducemortalityfromnon-

communicablediseasesandpromotementalhealth”.

Clearly,thebesthealth-relatedoutcomeisforadultsmokerstostopsmoking.

However,thenextbestoptionistoofferpotentiallyharmreducedalternative

productstothoseconsumerswhoareuninterestedorunwillingto

stopsmoking.Wehavefoundthese

consumersfallintotwodistinct

categoriesandarelikelytobeattractedtodifferentproducttypes:

1.Willingtotrynewproductsbut

wantinganexperienceasclosetosmokingaspossible.

2.Amorehealth-conscioussmoker,

lookingtofindsomethingpotentiallylessharmfulandlikelytocompromisesomewhatontheexperiencebut

notfully.

ByincreasingNGPchoiceandimprovingtheexperience,tobaccocompaniescanincreasethenumberofadultsmokers

whochoosepotentiallyharm-reducedalternatives.

Whatarewedoingaboutit?

OurnewNGPstrategyisfocusedon

drivingconsumerchoice.Wehave

definedanapproachwhichplaystoourstrengthsandiscentredonmeeting

consumerneeds.Asthesmallestoftheglobalplayers,itisnotourroletocreatecategoriesinmarkets.Atthisstage,wearefocusedonmarketswhereanNGPcategoryisalreadywellestablished

andwherewecanleverageourexistingcombustibleroutestomarket.

Oncewehaveidentifiedwhich

marketsareattractivetous,weseektounderstandwhatourtargetconsumersvaluemostabouttheirsmoking

experience.Havingclearlyunderstoodtheconsumerdynamics,ourrolein

thesemarketsisthentoprovidegreater

consumerchoicewithadifferentiatedproductofferingthatmeetsanuntappedconsumerneed.

NGPhavethepotentialtomakea

significantcontributiontoharm

reduction.Productsinothernicotine

categories,whilstnotriskfree,differ

fromcigarettesintheirriskprofiles.

Currentscientificevidencesuggests

NGPhavethepotentialtosignificantlyreduceharm,relativetocontinuingtosmokecigarettes.WhileeachcategoryofNGPhasadifferingriskprofile,no

NGPinvolvetheburningoftobaccoandsodonotproducethesmokewhichistheprimarycauseofsmoking-relateddisease.

Persuadingconsumerstochoose

potentiallyreducedriskproducts

requiresinnovationacrosstheentire

valuechain.Foranadultsmokerto

chooseapotentiallyreducedrisk

product,weneedtoensuretheirjourneyisasfrictionlessaspossible.

Thisrequiresinnovationacrossoursupplychain,superiordistribution

networks,focusedconsumerinsights

andnovelmarketingmodels.Weseektosubstantiatethereducedharmpotentialthroughourscientificresearchinthe

laboratory,theclinicandonceproductsareinmarket.

Ourproductstargetexistingadult

smokers.Ourfocusisondriving

consumeracceptance,whilerecognisingthatnotallconsumersandmarketsarethesame.Therearedifferentpreferencesandregulationsacrossdifferentmarkets,whichiswhywearetakingaportfolio

approachwithourrangeofNGP.

Underage1peopleshouldneveruseourproducts.ItisvitalthatanyNGPuse

by“neversmokers”,includingyouth,is

minimisedoreliminatedaltogether.NGPareforadultsmokersandadultnicotineconsumersonly.

OurentireNGPphilosophyreflectsa

no-toleranceapproachtoyouthaccessthrougheverystageofourproducts’

life.Thisappliesfromconception,

developmentandmanufacturing

throughtoperceptionandbehaviouralscience,marketingandpost-market

surveillance.Wemaintainastrict

responsiblemarketingprotocol.To

reinforceourcommitmenttoyouth

accessprevention,weseektoensure

thatregulatoryrequirementsare

implemented,adheredtoandenforced.Wearecommittedtomarketingand

advertisingourproductsresponsibly

withinthelaws,codesofpractice

andvoluntaryagreementsofthose

countrieswithinwhichweoperate.OurcommitmenttoresponsiblemarketingandsaleofourNGPandcombustible

tobaccoproductsissummarisedbyourMarketingPrinciples.

Wearealsodevelopingaframeworktoassess,understandandacttomitigatetheriskofunderage1use.Weintendtoexpandonthisframeworkin2023.

MarketingPrinciples

1

Weonlyengagewithadultconsumersoftobaccoandnicotineproducts.

2

Ourmarketingishonestandtransparent.

3

Wegiveourconsumerstheinformationthey

needtomakeinformedchoices.

4

Wewillnever

encouragepeople

tostartsmokingor

non-smokerstouse

recreationalnicotineproducts,andnever

discourageconsumersofourproductsfromquitting.

5

Wecomplywiththe

locallaws,codesof

practiceandvoluntaryagreementswhich

governtheadvertising,promotionandsaleofourproducts.

8

PeopleandPlanet|

PerformanceSummary20221.Underageisdefinedasconsumersundertheageof18orahigherlegalageforpurchase

OURPEOPLEANDPLANETAGENDA

CONSUMERHEALTH

Wearecommittedtostrengtheningour

nextgenerationproducts(NGP)tomakeamoremeaningfulcontributiontoharmreductionbyofferingadultsmokersa

rangeofpotentiallylessharmfulproducts.

Wearecommittedtotobaccoharmreduction.

SDGs

Ourprogressin2022

WeseektosubstantiatethereducedharmpotentialofNGPthroughourrigorousscientificresearchinthelaboratory,theclinicandonceproductsareinmarket.Wehaverefinedourscientificassessmentframework(SAF),whichisamulti-

stage,multi-yeartestingandresearchprogrammedesignedtoevaluatetheharmreductionpotentialofeachofourNGPrelativetocombustiblecigarettes.Our

comprehensiveconsumerproductsafetyprogrammeensureswearerigorouslyvalidatingNGPsafetyprofilesthroughouttheirlifecycles.Simultaneously,we

arescientificallyassessingtheTobaccoHarmReductionpotentialandrelativerisksofourNGPcomparedtocigarettes,focusingonbothindividualsandwiderpopulations.

WebelievetheSAFiscrucialingeneratingthenecessaryscientificproofpoints

andevidencetobuildandmaintaintrustinNGPwithconsumers,regulators,publichealthandthemedia.Wealsothinkthecomprehensivescientificassessmentoftheserelativerisksshouldformthebasisofrisk-proportionate,evidencebased

regulation.OurSAFisthereforealignedwithguidelinesprovidedbyleadingglobalpublichealthauthoritiesandregulators.

9

PeopleandPlanet|PerformanceSummary2022

BytheendofFY22,ourcommerciallyavailableNGPhadachievedthefollowingSAFcompletion1ratestodemonstrateharmreductionpotential:

PROGRESSOFTESTINGHARMREDUCTIONPOTENTIALOFOURNGPAGAINSTTHESCIENTIFICASSESSMENTFRAMEWORK

NGPtypeSAFprogressScientifichighlights

Vapedevice%97

myblu

blu2.0%28

Analysisofbehaviouraldatafroma12-monthlongitudinalstudyshows23.1%ofsmokersquit

smokingwithmybluafter3months,35.9%after6months,and46.2%after12months.Forsmokerswhodidnotquit,theyreducedthenumberofcigarettessmokedperdayonaverageby51%.Forblu2.0wehavecompletedsafetytestingandassessmentforlaunch.

Heatedtobacco

PulzeandiD

%

62

Ourfirstclinicalstudy2onPulzeandiD,withadultsmokerswithnointentiontoquitsmoking,demonstratedagoodsafetyprofileandthattheproductreducestheirdesiretosmoke.

Tobacco-freeoralnicotinepouch

ZoneX

%

47

Wehavenowcompletedtwoclinicalstudies3onarangeofZoneXnicotinestrengths.They

demonstratetheproducthasagoodshort-termsafetyprofile,offersasatisfyingalternativetocombustiblecigarettesandsnus,andreducestheconsumers’urgefornicotine.

WebelievethatthetotalityoftheresearchgeneratedbytheSAF,alongsidein-marketconsumerdataonadultsmokerswitching/retentionratesandthebroader

scientificliterature,willultimatelyconfirmthatourNGPcontributetoimprovedconsumerhealthoutcomescomparedtocontinuingtosmoke,thusdemonstratingourmeaningfulcontributiontoTHR.

THERELATIVERISKSCALE

Anillustrativerepresentationofthecurrentscientificevidence:

Replacement

CombustibleCigarettes

Total

Cessation

NON-COMBUSTIBLETOBACCOPRODUCTS

NON-COMBUSTIBLENICOTINEPRODUCTS

HIGHERRISKMORETOXICANTSLOWERRISKMORETOXICANTS

COMBUSTIBLE

TOBACCOPRODUCTS

Oral

NicotinePouches

COMBUSTION

HeatedTobacco

Therapy

Nicotine

Vape

Snus

1.Pleasenote100%SAFcompletionisnotrequiredformarketproductlaunch.

2.Studynotyetpublishedinthescientificliterature.

3.Onlyoneofthesestudiesiscurrentlypublishedinthescientificliterature.

OURPEOPLEANDPLANETAGENDA

CLIMATE

CHANGE

Wearecommittedtoreducingourimpactontheclimatethroughoutourvaluechain,focusingonbothmitigationandadaptation.

SDGs

Wearetakingactiontocombatclimatechangeanditsimpacts.

Imperialhasbeenrecognisedasa2022ClimateLeaderbytheFinancialTimesforasecondconsecutiveyear,initsrankingofactionstakenbyEuropeanbusinesses.

Ouractionstocutemissions

andmitigateclimateriskshaveearnedusapositionontheCDP’s‘AList’forclimatechange,forafourthconsecutiveyear.Our2022CDPscorecardisavailableonour

Performancepage

.

83%

83%ofour

operations

certifiedtotheenvironmentalmanagement

standardISO14001

Attheendof

FY22,52%of

ourpurchased

gridelectricity

wassupplied

bytraceable

renewablesource

52%

10

PeopleandPlanet|PerformanceSummary2022

Whyisitimportant?

Asidentifiedinourmateriality

assessment,climatechangeisa

priorityforus.Weknowthatclimatechangerepresentsapotentiallong-termriskacrossthewholeofour

valuechainandtosocietyingeneral.Disruptioninclimateandenergy

hasthepotentialtoimpactour

businessfromchallengesasdiverseascropfailure,assetdestructionandinterruptionindistribution.

Inlinewiththerecommendations

oftheTaskForceonClimate-relatedFinancialDisclosures(TCFD),we

haveexploredtheimpactthatclimatechangeislikelytohaveonourvaluechain.Pleaseseepage59ofour2022

AnnualReport

fordetails

Whatarewedoingaboutit?

Wemonitorclimate-relatedrisksandputinplaceinterventionormitigationmeasureswherenecessary.Ourtargetsonclimatechangealsorepresent

potentialbusinessopportunities.Weexpecttoseecostandenvironmentalbenefitsflowfromourenergy-savingandefficiencyprogrammes.

Wearefocusedbothoncurbingour

useofenergyandchangingthemix

oftheenergywecontinuetouse.

OurambitionsarealignedtoUN

SDG7:affordableandcleanenergy,

specificallytargetingpoints7.2and

7.3,whichareto“increasetheglobal

percentageofrenewableenergy”and“doubletheimprovementinenergy

efficiency”.Ourfirstrenewableenergysite(fordefinitionseeourReporting

Criteriadocument),theSkrufplantinSavsjo,Sweden,isnowactingasan

exemplarforourotherfacilitiesas

theyworktofurtherprovetheirenergyefficiency.

OurScope3emissionsarethosethatweaccruefromourvaluechainand

weareworkingwithoursuppliersandotherpartnerstobetterunderstand

theseemissions.Wedothislargely

throughtheinternationallyrecognisedCDPSupplyChainProgramme.

Althoughwedonothavewater

intensivemanufacturingprocesses,

wemaintainastrongtrackrecordof

managingwateruseeffectively,havingreducedconsumptionby28%sinceour2017baselineyear.

NetZeroby2040

Wehaveastrongtrackrecordof

reducingourenvironmentalimpact

throughenergyefficiencyandcarbonemissionsmanagement.Since2019,

wehavehadScope1,2and3targets,consistentwithreductionsrequiredtolimitclimatewarmingto2°C,approvedbytheScienceBasedTargetsinitiative(SBTi).However,inFY21wesetour

sightshigherandjoinedtheBusinessAmbitionfor1.5°CRacetoZero

initiative,acampaignledbytheSBTi.Thismeanswearenowcommitted

toreachingscience-basedNetZero

emissionsby2040.Toachievethis,wehaveresetourscience-basedtargetsforcarbon,increasingourambitioninlinewith1.5°Cglobalwarminglimits.Thesearedetailedin“Ourplan”whichwewillsubmittotheSBTifortheir

approvalinFY23.

Wehavealsosetnewenergytargets

whichsupportourNetZeroemissionsambition.Forexample,duringFY22wetookaCompanydecisiontoaccelerateourtransitiontorenewableelectricity.

Strongtrackrecordofperformance

Overthelast10years(2012-2021)wehave:

PerformanceinFY22versus2017baselineyear

Reducedourabsolutescope1and2carbonemissions(tonnes)by26%

Absoluteenergyconsumption

19%decrease

Reducedourabsoluteenergyconsumption

(GWh)by33%

TotalabsoluteScope1andScope2location-basedCO2eemissions

19%decrease

Reducedourabsolutewaterconsumption

inouroperations(m3)by42%

Reductioninwaterconsumptionin

ouroperations28%decrease

42%

26%

28%

33%

19%

19%

Wehavemappedafive-stepapproachtowardsNetZero:

1

Undertakeenergyefficiencyinitiatives

2

Switchto100%renewablegridelectricity

3

Transitionallotherenergytypestorenewablesources

4

AchieveNetZeroinouroperations

5

Becomeclimatepositive,whichmeansremovingadditionalcarbondioxidefromtheatmosphere

Note:OurScope1emissionsarisefromstationaryfuelcombustionatoursites,refrigerantgasesandfrommobilefuelcombustioninourfleetofcompanysalesvehicles.OurScope2

emissionscompriseoftheindirectemissionsresultingfromtheuseofpurchasedelectricity,heatandsteamatoursites.OurScope3emissionsaretheemissionsarisingfromourvaluechainasaresultofactivitiescarriedoutbyImperial.Forexamplefromthemanufactureofcomponentsthatgointoourproducts.

OURPEOPLEANDPLANETAGENDA

2025

100%

OFOUR

PURCHASEDGRID

ELECTRICITY

willcomefromtraceablerenewablesources

Reduceabsolute

scope1and2

GHGemissionsby

MORETHAN

50%

2030

100%OFTHE

ENERGYSOURCED

forouroperationsfromrenewablesources

BENETZERO

inourdirectoperations

(scope1and2GHGemissions)

REDUCE:

Ourtotalcarbonfootprint

(absolutescope1,2and3GHG

emissions)by30%

Absolutescope3emissionsby20%

Energyconsumptionby25%

2040

OURVALUE

CHAINWILLBE

NETZEROEMISSIONS

(absolutescope

1,2and3

GHGemissions)

CLIMATECHANGE

Wearecommittedtoreducingourimpactontheclimatethroughoutourvaluechain,focusingonbothmitigationandadaptation.

Wearetakingactiontocombatclimatechangeanditsimpacts.

SDGs

52%ofourpurchasedgridelectricitywassuppliedbytraceablerenewablesource,attheendofFY22

52%

19%

19%

19%reductioninScope1and2locationbasedCO2eemissions

19%reductioninenergy

consumption

Ourprogressin2022

Wereportprogressagainstour2017baseline.

Ourfirstrenewableenergysite,theSkrufplantinSavsjo,

Sweden,isnowactingasanexemplarforourotherfacil