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Copy of Imperial Tobacco
Patricia Pankoon 10 April 2013
Transcript of Copy of Imperial Tobacco
Written and Presented By:
Katy Ray Evalution of Imperial Tobacco's
Environmental Profile Ash, 2009. Tobacco and the environment. London: Ash. Available from: http://www.ash.org.uk/files/documents/ASH_127.pdf [Accessed 11
Business In The Community., 2012a. CR Index 2011 – Company Ranking. London: Business In The Community. Available from:
http://www.bitc.org.uk/cr_index/results_and_ranking/company_ranking.html [Accessed 14 February 2012].
Business In The Community., 2012b. Previous CR Index results and ranking. London: Business In The Community. Available from:
http://www.bitc.org.uk/cr_index/results_and_ranking/previous_results.html [Accessed 14 February 2012].
Carbon Retirement., 2011. The state of voluntary carbon offsetting in the FTSE 100.Bath: Carbon Retirement. Available from:
100.pdf [Accessed 12 February 2012].
Chapman, J., 2012. GM cigarette boasts no nicotine. Daily Mail. Available from: //www.dailymail.co.uk/health/article-18686/GM-cigarette-boasts-nicotine.html.ixzz1mqQww7uV [Accessed 19 February 2012]
Cigarette Beetle, 2012. ZerOx, the natural treatment which is 100%. Cigarette Beetle. Available from: http://www.cigarettebeetle.com/home.html [Accessed 19 February 2012]
CORESTA, 2003. CORESTA Guide No. 1. Paris:CORESTA. Available from: http://www.coresta.org/guides/guide-no1-grls.pdf [Accessed 12
CRC Energy Efficiency Scheme., 2011. 2010/2011 – CRC Performance League Table. Rotherham: The Environment Agency. Available from:
http://crc.environment-agency.gov.uk/pplt/web/plt/public/2010-11/CRCPerformanceLeagueTable20102011 [Accessed 13 February 2012].
Defra, 2007. Preventing cigarette litter in England. London: Crown. Available from: http://archive.defra.gov.uk/environment/quality/local/legislation/cnea/documents/cigarette-litter.pdf [Accessed: 19 February 2012].
References Contributor to Climate Change
Deforestation & effects on nearby farms:
Pesticides & water supplies
Fires Industry Issues Headquartered in Bristol, UK.
World wide leader in fine cut tobacco, papers and cigars.
Formed in 1901
1996 – Became listed as a FTSE 100 company.
Operate under two segments : Tobacco & Logistics
Unique portfolio of brands and products across all tobacco categories.
Brands and products are available in over 160 countries.
Company Profile Recommendations Climate Change Respecting Natural Resources Supply Chain ‘We recognise the importance of manufacturing, marketing and selling our products in a way that is financially, socially and environmentally responsible'
Awards Analysising The Annual Report and Company Website Analysis of The Awards Why Change? Analysis of the Supply Chain Analysis of Respecting Natural Resources Analysis of Climate Change Awarded a Gold Award in the Community CR Index.
Imperial Tobacco Group PLC 2011a pg34 Imperial Tobacco Group PLC 2010
‘Gold companies display a high level of transparency by publicly reporting CR Performance’
Have not changed status since 2008
British American Tobacco held a platinum status from 2008 – 2010
Platinum plus companies demonstrate that their commercial business strategy is underpinned by thinking around long-term sustainability
Business In The Community 2012a Business In The Community 2012b Business In The Community 2012b Business In The Community 2012a working with suppliers to ensure compliance but if a supplier fails to meet standards Imperial Tobacco will consider ending the business relationship.
Approach Supplier engagement and assessment programmes: Social Responsibility in Tobacco Production (SRiTP) for tobacco suppliers and the Supplier Qualification Programme for the supply of non-tobacco materials.
Board member of the Eliminating Child Labour in Tobacco (ECLT) Foundation.
Relationships with suppliers support their anti-illicit trade initiatives and help them to comply with the high standards set out in Imperial Tobacco’s Code of Conduct.
to tackle issues such as deforestation, environmental protection, child labour, sustainable development and poverty alleviation.
Objective The information provided should be more transparent:
Imperial Tobacco fail to publicly disclose the location and type of the forests.
Do not mention any infromation related to their contracts with suppliers.
Pesticides Forestry Protection Environmental Production Litter and Packaging In line with CORESTA guidelines
Provide training on the safe and correct use of pesticides and fertilizers, and techniques to help farmers reduce the need for them.
Performs tests ‘for the presence of residues of plant protection products’ on the leaf it uses.
“We are investigating the environmental impact of tobacco growing… This work is still in its early stages”
Imperial Tobacco Group PLC 2012b Various reforestation and woodlot planting programmes are helping farmers to become self-sufficient in fuel wood for curing and for barn construction, e.g. reforestation scheme in Poland
Donate seedlings to local communities and are involved in a number of initiatives to help preserve local indigenous forests.
Rocket Barns – reduce wood use by 50% for curing.
Otanez and Glantz 2011 Reduced overall water consumption by 15%
Improvements to production sites
Water Guardian Project – Water Conservation in Brazil Water: Imperial Tobacco Group PLC 2012d Waste: Waste to landfill decreased by 27%
Reduce, recycle, re-use
Engage with local authorities to reduce waste to landfill.
Imperial Tobacco Group PLC 2012d Factories based on ISO 14001 Standards:
72% of our manufacturing sites have now achieved certification. The latest to receive certification include facilities in Taiwan, Reidsville (USA) and Gabon.
Imperial Tobacco Group PLC 2012e Keep Britain Tidy & Love Where You Live
Keep South Australia Beautiful, Please Butt It, Then Bin It
"Small Steps Make A Difference" Campaign
Reduced the thickness of cardboard and aluminum packaging Imperial Tobacco Group PLC 2012c Imperial Tobacco Group PLC 2012d Pesticides CORESTA guidelines: “The list of GRL values is neither a regulatory requirement nor mandatory”
Aldicarb – less than 1/1000 of an ounce is a lethal dose for a human.
Imidacloprid – highly toxic to birds, fish and bees – has potential to leach into groundwater
Pesticides affect water supply; supplies are further depleted by the planting of quick-growing eucalyptus trees.
CORESTA 2003 Ash 2009 Forestry Protection Litter & Packaging Ineffectiveness of measures for reforestation
600 million trees are cut down every year
Negative consequences of tobacco farming are “clearly visible in the form of forest devastation, erosion and abnormally low water levels.”
Rocket Barn project had little impact - too expensive for local farmers.
Farrell, B. cited Ash 2009 Assistance and Management of Studies about Nature 2007 cited Ash 2009 Otanez and Glantz 2011 "Small steps make the difference" Campaign
Stoiber, founder of Change, applauded the campaign.
The Canadian Association of Physicians for the Environment accused Imperial of Green Washing Semansky 2009 “All consumers have a responsibility to properly dispose of their litter” Imperial Tobacco Group PLC 2012f 79% of streets are littered with cigarette butts in the UK defra 2007 Madeley 1999 Triple Bottom Line Elkington (1994) coined the term, arguing companies should be preparing 3 bottom lines:
Planet Are Imperial Tobacco dismissing the people and planet bottom lines? The Economist 2009 2012 2022 2018 All phases of tobacco production have the potential to contribute to climate change. Imperial Tobacco’s goal is to: reduce energy usage by 20% by 2020.
Imperial Tobacco Group PLC 2012a pg 38 Solar installation in USA and ground source heat pump system in the Netherlands.
Guaranteed savings contracts
Independent energy audits
Energy Conservation & Renewable Sources Provide guidance to suppliers about reforestation
Carbon Offsetting Participated in The Carbon Disclosure Project since Its Inception
Founder members of the CDP Supply Chain Initiative
Hosted events in aid of the CDP
CDP score improved from 63 to 71 in 2011
Carbon Disclosure Project Imperial Tobacco Group PLC 2012c Greenhouse Gas Inventory In Accordance With The Greenhouse Gas Protocol (GHG)
Basis for measuring emissions in a valid and consistent way.
Imperial Tobacco Group PLC 2011a pg39 Scollo and Winstanley 2008 Energy Conservation & Renewable Sources Only a two year agreement
No 1301 / 2000 on the CRC Energy Efficiency Scheme Performance League Table
British American Tobacco are number 1
Green Monday 2011 pg5 CRC Energy Efficiency Scheme 2011 ‘Trials of this approach are underway in Logrono in Spain and Radom in Poland before we extend group wide’ Imperial Tobacco Group PLC 2011a pg38 Carbon Offsetting Imperial Tobacco do not publically disclose the volume of offsets purchased or which offsetting standard they use. Carbon Retirement 2011 pg16
Greenhouse Gas Inventory In Accordance With The Greenhouse Gas Protocol (GHG)
Fails to include emissions from:
Their logistics and office activities
From vehicles owned or leased by their operations
From leakage of ozone-depleating substances and
Third parties such as suppliers, transport and service providers Imperial Tobacco Group PLC 2012d Carbon Disclosure Project This is a voluntary partnership with no enforcement mechanism.
Imperial Tobacco may experience competitive advantage, increased shareholder value and better treatment by stakeholders.
Otanez and Glantz 2011 Stakeholder vs. Shareholder Are Imperial Tobacco in this project to appear more environmentally friendly and so gain competitive advantage benefiting the shareholders?
Or do they care about the stakeholders and the environment? 2015 2021 Reduce Contributions to Climate Change by 25% Extend ESCO Partnership Agreement
Provide carbon emissions info for logistics
Invest in R&D into GM Cigarettes
2014 Create own initiatives
Distribute a ‘stub pouch’ with a packet of cigarettes.
Pilot natural pesticide ZerOx on 10% of tobacco farms
Create a sustainability contract with suppliers
2017 Platinum Plus Award
$200,000 invested profits to create bio-energy rocket barns 2020 Match or beat BAT’s position in CRC Efficiency Scheme
Invest further in GM science
Implement ZerOx at all production sites
Green Monday., 2011. Energy Efficiency White Paper – Kick-starting the change process with an ESCO partnership. London: Green Monday.
Available from: https://docs.google.com/viewer?a=v&q=cache:U3zCQXSfZ6IJ:acre
maHKOtQvA5k3QHYGOxeaNcwrUJtVeQcWyfzMGuMFTnTlmb2-1IQ8aBrJKgmcPV4c&sig=AHIEtbR28C2SGLAzjf7SsTj5d4URV-ypvg [Accessed 13
Imperial Tobacco Group PLC., 2010. Business In The Community. Image. Bristol: Imperial Tobacco Group. Available from:http://www.imperial
tobacco.com/files/financial/reports/ar2010/index.asp?pageid=77 [Accessed 15 February 2012].
Imperial Tobacco Group PLC, 2011a. Realising our potential. Bristol: Imperial Tobacco Group PLC. Available from:
http://www.imperialtobacco.com/files/financial/reports/ar2011/files/pdf/annual_report_2011.pdf [Accessed 14 February 2012].
Imperial Tobacco Group PLC., 2011b. Non-financial Performance Indicators. Graph. Bristol: Imperial Tobacco Group. Available
from:http://www.imperial-tobacco.com/files/financial/reports/ar2011/files/pdf/2011AnnualReport.pdf [Accessed 13 February 2012].
Imperial Tobacco Group PLC. 2012a. About Us. Bristol: Imperial Tobacco Group PLC. Available from:
http://www.imperialtobacco.com/index.asp?page=2 [Accessed 12 February 2012].
Imperial Tobacco Group PLC, 2012b. Biodiversity and Forestry Protection. Bristol, Imperial Tobacco Group PLC. Available from:
http://www.imperial-tobacco.com/index.asp?page=665 [Accessed 15 February 2012] .
Imperial Tobacco Group PLC., 2012c. Case Studies: Keeping Britain Tidy. Bristol, Imperial Tobacco Group PLC. Available from: http://www.imperialtobacco.com/index.asp?page=139 [Accessed 13 February 2012].
Imperial Tobacco Group PLC, 2012d. Environmental Issues. Bristol, Imperial Tobacco Group PLC. Available from: http://www.imperial
tobacco.com/index.asp?page=664 [Accessed 15 February 2012].
Imperial Tobacco PLC, 2012e. Annual Report & Accounts 2011: Respecting Natural Resources. Bristol, Imperial Tobacco PLC. Available from: http://www.imperial-tobacco.com/files/financial/reports/ar2011/index.asp?pageid=49 [Accessed 17 February 2012].
Imperial Tobacco Group PLC, 2012f Our Views: Tobacco Products – Litter. Bristol, Imperial Tobacco Group PLC. Available from:
http://www.imperial-tobacco.com/index.asp?page=42 [Accessed 10 February 2012].
Keep Britain Tidy. Reducing Smoking Related Litter. Keep Britain Tidy. Available from: http://www.nerwai.org.uk/uploaded/file/Smoking%2520Related%2520Litter_615.pdf [Accessed 12 February 2012].
Madeley, J., 1999. Big Business Poor Peoples; The Impact of Transnational Corporations on the World’s Poor. London: Zed Books
Otanez M., Glantz SA., 2011. Social responsibility in tobacco production? Tobacco companies' use of green supply chains to obscure the real
costs of tobacco farming. Tob Control 2011;20:403–11. [Accessed 14 February 2012].
Scollo, MM., and Winstanley, MH., 2008. Tobacco In Australia: Facts and Issues. Third Edition. Melbourne: Cancer Council Victoria. Available
from: http://www.tobaccoinaustralia.org.au [Accessed 15 February 2012].
Semansky, M., 2009. ‘Kinder’ Smokes. Canada: Marketing Mag. Available from: http://www.marketingmag.ca/news/marketer-news/kinder
smokes-10023 [Accessed 14 February 2012].
Stubbi, 2012. Shop. Available from: http://www.stubbi.co.uk/uk/index.php?page=display_prods&cat=1&loc=uk [Accessed 19 February 2012].
Tarlock.co.uk,2012. By using our Stub Pouch you can avoid litter fines, reduce environmental damage and cut clean-up costs . Tarlock.co.uk. Available from :http://www.aimd.co.uk/stubPouches.asp [Accessed 19 February 2012].
The Economist, 2009. Triple Bottom Line. Haywards Heath: The Economist Newspaper Ltd. Available from: http://www.economist.com/content/subscription-centre#print [Accessed 18 February 2012].
TheYdouthink, 2011.Deforestation and Cigarettes - TV Commercial.YouTube. Available from: http://www.youtube.com/watch?v=LpnaJ4YmAX8 [Accessed 20 February 2012].
WHO, 2008. Costs To The Economy. WHO. Available from: http://www.who.int/tobacco/en/atlas13.pdf [Accessed 14 February 2012].
References Any Questions? Thank You for listening. Imperial Tobacco Group PLC 2011b pg 41 Imperial Tobacco Group PLC 2012a
Madeley 1999 Keep Britain Tidy WHO 2008 Imperial Tobacco Group PLC 2011a pg 34 Back Casting It is essential to develop viable alternatives to conventional tobacco production if agriculture is to survive in many tobacco producing regions. Bioenergy Rocket Barns
Alternative for current fumigations
Based on Controlled Atmosphere
Composes an optimal atmosphere in temperature, humidity and (low) oxygen
Suitable for all the tobacco supply chain
Non-toxic, safe and environmentally friendly.
Incorporate sustainability criteria in supplier agreements
Use an environmental scorecard to monitor environmental performance
Monitor and display Greenhouse Gas emissions information from the logistics side of the business Sustainable Criteria for Supply Chain GM Cigarettes "88% of consumers said they were more likely to buy from a company that supports and engages in activities to improve society.”
Companies with an environmental profile grew annually at 11.3% vs companies without growing at 6.2%
myBU 2012 Company growth Reduce energy and operating costs
Use of rocket barns showed around 50 per cent saving in fuel consumption. Competitive advantage
Attract, retain and maintain a happy workforce
Differentiate yourself from your competitors
Generate innovation and learning and enhance your influence
Generate positive publicity
Simply CSR 2008 Cigarette Beetle 2012
Stub Pouch is a pocketsize anti litter pouch for the safe and convenient disposal of cigarette stubs on the move.
122 tons of cigarette stubs and cigarette related litter is dropped every day in the UK.
Cigarette stubs leak toxins that contaminate our water supplies and harm marine life and the environment
£1.20 each one - discount for bulk-buying
Stub Pouch Stubbi 2012 Tarlock.co.uk 2012 Four Systems Conditions 2. Concentrations of substances produced by society
1. Concentrations of substances extracted from the earth’s crust
3. Degradation by physical means
Tobacco leaves require curing with generated heat, usually fuelled by wood, coal or gas.
In Brazil, an average of 3kg of wood used to cure 1kg of tobacco: there are 200,000 tobacco-growing families.
Consequences of tobacco farming include ‘forest devastation, erosion and abnormally low water levels’
Assistance and Management of Studies about Nature 2007 cited Ash 2009 Geist, Chang, Eteges, Abdallah 2009 cited Ash 2009 Scollo and Winstanley 2008 Tobacco plants prone to disease thus large amounts of fertiliser, herbicide and pesticides are used.
Manufacturing generates hazardous chemicals, including ammonia, hydrochloric acid, toluene and nicotine by-products.
Chemical waste threat to the environment. Soil degradation, deforestation and water pollution caused.
Cigarette butts washed into rivers, lakes and oceans where they are eaten by wildlife.
Cigarette filters: not readily biodegradable, taking 2 months to 12 years to break down.
600 million trees cut down yearly to produce tobacco products.
4. and, in that society, people are not subject to conditions that systemically undermine their capacity to meet their needs.
Child labour: children working on tobacco farms exposed to toxic levels of pesticides causing high rates of depression and anaemia.
Tobacco growers susceptible to GTS (Green Tobacco Sickness) and may absorb up to 54mg of nicotine a day.
Genetic engineering as a way of manipulating nicotine concentrate with the aim of providing a potentially less hazardous product
Various forms of filters, ventilation systems and modifications to the tobacco leaf itself in an effort to reduce harmful emissions from tobacco smoke.
Major focus on tar and carbon monoxide
Smokers report that GM cigarettes taste like conventional products, according to the American firm behind the technology. Chapman 2012
Fuel efficient curing barns that reduces the amount of wood needed to cure tobacco.
Provide all suppliers with subsidies enabling them to construct rocket barns.
Ensure that suppliers use a bulk curing method.
Modify all barns to run on bio energy. Experiment with gas, straw, sawdust, rubber, tree waste, and coconut, coffee and rice straw
Imperial Tobacco Group PLC 2011a, p.40 Imperial Tobacco Group PLC 2011a, p.40 Carbon Retirement 2011 Theydoyouthink 2011 Novotny and Zhao 1999 cited Ash 2009
Scollo and Winstanley 2008 Ash 2009 Gamlin et al 2007 cited Ash 2009 Hard Work, Long Hours and Little Pay 2009 cited Ash 2009 WHO 2008 cited Ash 2009 Ocean Conservatory 2009 cited Ash 2009 Scollo and Winstanley 2008 Farrell 2007 cited Ash 2009