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GRI 306

Waste

Brief Overview:

In order to conserve resources, the REWE Group aims to mechanically recycle waste where possible. The company

  • considers proper recycling of unavoidable waste through comprehensive waste and recycling management to be of major importance;
  • consistently pursues the goal of recycling when dealing with waste and recyclable materials in cooperation with its disposal partners.

Three areas of action have been defined in the Energy, Climate and Environment pillar of the company-wide sustainability strategy: Climate-Relevant emissions, Energy Efficiency and Resource Conservation. Activities relating to waste management are assigned to the latter.

GRI 306-1: Waste generation and significant waste-related impacts
GRI 306-2: Management of significant waste-related impacts

Management Approach

Effect

The REWE Group is aware that it produces waste as part of its business activities, mainly in the area of trade. Waste can be generated in particular through product packaging or during production of goods (see Packaging and Circular Economy) at various levels of the upstream and downstream value chains. However, waste is also generated at operational level, for example, in logistics, where paper, cardboard and paperboard make up the largest share. Production of these types of packaging often requires use of resources whose extraction comes at the expense of ecosystems, such as forests, and can therefore have a negative impact on climate change and biodiversity. Recyclable materials can be lost at disposal if they do not end up in the correct disposal system. Food waste is also an issue: Valuable resources are wasted every time food is thrown away (see Food Waste).

Waste can be generated in particular by product packaging or during the production of goods in the upstream and downstream stages of the value chain. However, waste is also generated at operational level, for example, in logistics, where paper, cardboard and paperboard make up the largest share.

Principles

In its Guideline on Sustainable Business Practices, the REWE Group makes a commitment to efficient use of natural resources, e.g., soil, air and water, as well as raw materials and fuels. Proper recycling of unavoidable waste through comprehensive waste and recycling management is of major importance to the trading company as a means of protecting valuable resources.

With regard to waste at product level, the company has defined objectives and measures in its Guideline on More Eco-Friendly Packaging in order to promote circular economy practices in the sales and service packaging of its private label products. Furthermore, the Guideline on Circular Economy forms the basis for gradual integration of the circular economy into products’ value chain (see also Circular Economy). The company also aims to reduce food waste to a minimum (see Food Waste).

Objectives

When dealing with waste, the REWE Group and its disposal partners consistently pursue the goal of recycling. Furthermore, the company aims to reduce waste generation, for example by using reusable alternatives.

Responsibility and Resources

The topic of Waste is the responsibility of the working group Energy, Climate and Environment. The working group is headed by Telerik Schischmanow (Member of the Executive Board – Finance). Dedicated units work on and expedite operational implementation in the regions and strategic business units.

Implementation

Recyclable materials that result from logistics processes in the REWE Group are largely unmixed so they are ideal for mechanical recycling. This is particularly the case with non-hazardous waste. Not only is a large proportion of it recycled but the recycling is also essentially mechanical. In the reporting year, this proportion amounted to 95 per cent, which had already been seen in 2021. The paper, cardboard and paperboard (PCP) category is almost entirely mechanically recycled and, at around 40 per cent, makes up the largest share of total waste generation. PCP is an important raw material for the paper industry, because the recycled fibres can be used to make new paper and board. The majority of plastics, metals, glass and waste from the stores is also recycled. Organic waste generated in the food retailers is taken to suitable biogas plants where it is converted into electricity and heat.

The paper, cardboard and paperboard (PCP) category is almost entirely mechanically recycled and, at just under 40 per cent, makes up the largest share of total waste generation.

Involvement of Stakeholders

The topic of Waste Management is assigned to the Resource Conservation area of action, which was assessed by stakeholders as being relevant for the company in the Materiality Analysis. They are informed annually about the effectiveness of measures taken via the Sustainability Report and in various dialogue formats (see Stakeholder Dialogue). This exchange allows stakeholders to provide important input on the issue.

Customers, suppliers, and partners, as well as other stakeholders, can submit their complaints or comments. For this purpose, the REWE Group has established reporting and grievance mechanisms. For more information, please refer to the Compliance section.

GRI 306-3: Waste generated

Waste Generation

The quantity of non-hazardous waste within the group in Germany and Austria amounted to around 825,000 tonnes in 2022. There has therefore been a marked decrease of 5.4 per cent compared with the previous year. This is primarily due to restrictions as a result of the pandemic.

At considerably less than one per cent, hazardous waste – mainly including certain types of used electrical equipment, oils, vehicle batteries and fluorescent tubes – only made up a very small portion of total waste in previous years. A clear increase in generation of hazardous waste is not expected. Due to the high collection burden, hazardous waste will no longer be shown separately in the sustainability report.

Non-hazardous waste – absolute generation (t)

Non-hazardous waste – percentage generation by waste type

Scope: Companies of the REWE Group in Germany (including independent retailers) and Austria (not including independent retailers). Waste generation by units that left the REWE Group during the reporting period relating to the scope was not taken into consideration during collection.

1 GRI 2-4: With regard to the data for 2020, there were deviations in comparison with the reports from previous years. In 2020, data from the Lekkerland sales line, which was collected for the first time, and from independent retailers, were included in the calculation.

Measures and Projects

The REWE Group implements measures and projects in the sphere of waste management in its own business processes. They are presented below for the reporting period.

Reusable solutions for reducing waste at locations Highlight

In September 2022, PENNY stores across Germany switched from disposable banana crates to reusable open crates from the world’s leading supplier of reusable solutions, IFCO, for its BioHelden bananas. It was so far the first food retailer to do so. Other banana categories will follow. The open crates will be used for ten years. Once they have reached the end of their life, they are 100 per cent recycled to make new open crates. This should save 500,000 disposable banana crates.

In October 2022, PENNY in Germany also announced that standard IFCO reusable buckets will be introduced for its cut flower range from 2023. Around one million disposable buckets were previously being used each year. The switch will save up to 140 tonnes of plastic per year. It will start with the popular eight- and ten-litre buckets that make up around 75 per cent. The remaining special sizes are supposed to be gradually replaced with the standard IFCO reusable buckets. The unbreakable buckets can be shared by retailers in a pooling system so they can be continually reused in a closed-loop system. In Germany, the IFCO buckets were awarded the “Reusable Innovation Prize 2022” (“Mehrweg Innovationspreis”) by Environmental Action Germany (Deutsche Umwelthilfe e.V. (DUH)) and the Reusable Initiative Foundation (Stiftung Initiative Mehrweg).

At toom Baumarkt DIY Stores, several million disposable plant pallets are used every year to transport plants from nurseries, via warehouses and stores, to customers. In order to reduce plastic waste, toom has used 60,000 reusable pallets for plant transportation since 2022. The reusable pallets can each be used several times during the year. They are aiming to increase the number of reusable pallets.