Energy

Energy:

• We will optimise the energy we use
• We will improve energy effectiveness through initiatives on transport
• We will reduce our greenhouse gas emissions

Optimise the energy we use

The Group has continued with its policy of replacing all non-LED lighting within its control over the next four years, and has installed 450 LED lighting units at the Zagreb facility, which represents 15% of the internal lighting units.

In 2019, we opened a solar at our Zagreb manufacturing operation. The project in Zagreb cost US$1.6million and was partially subsidised by EU funds. The facility is now the largest integrated power plant for own consumption in Croatia and has been recognised by the Emissary of Prime Minister of the Republic of Croatia as a vital renewable energy project. It consists of 5543 solar photovoltaic panels which have been fitted onto existing roof structures across the factory. Any surplus electricity from the power plant is distributed to the municipal electrical grid. The plant took seven months to complete and was commissioned in June 2019. Until then, the facility sourced all of its energy via the main grid. Annually, electric power generation is expected to reach approximately 1,545,000 kWh and will generate nearly a third of the electric power needed for Dechra’s Croatian manufacturing facility.

Improve energy effectiveness through transport initiatives

The transportation of goods is the largest activity for Dechra Service Center (DSC) in Uldum, Denmark. They handled 79,300 orders in the 2019 financial year, an increase of 28.8%, to customers worldwide as well as receiving and storing approximately 1,500 full truck deliveries. Although the cost of transport is the predominant factor for choice of transportation, DSC has reviewed the method of transportation to find a form of transportation with the lowest carbon footprint. The majority of the pharmaceutical products received by DSC are supplied from our manufacturing sites in Bladel, the Netherlands and Skipton, the UK. The products from Bladel are transported by road, whereas the products from UK are shipped by sea and road.

DSC will trial all of our transportation initiatives prior to roll out to the wider group, these initiatives include:

• all future agreements on sea transport will be made only with shipping conference companies. Shipping conferences are groups of shipping companies who work together and have equal high standards for shipping;
• all air transport should be ordered via consolidated airfreight companies only; and
• all road transport should only be made with companies who can guarantee that the vehicles used conform to the Euro6 norm or any given newer norm.

Reduce Greenhouse Gas Emission

In order to determine our carbon emissions, we use the GHG Protocol Corporate Accounting and Reporting Standard and we report on emissions arising from those sources over which we have operational control. Any acquisitions during the year are included from the first full month that they become part of the Dechra Group. The main contributor to Scope 1 is the production of the nutrition supplement that is manufactured at Genera (please refer to case studies for further information). We are continuing look at ways to reduce our greenhouse emissions.

Case Studies