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For Society and the Environment
Scroll to our 2022 overview
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By taking a long-term, collaborative approach to protecting the environment, enhancing farmer livelihoods, respecting human rights and supporting local communities, we add value to society.

Zafar Khan
Operations Director
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Net Zero by 2050

We have reduced our Scope 1 & 2 CO2e emissions by 22% since 2020; and our Scope 3 emissions by 7% since 20201.

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0%

Of our employees completed training and compliance sign-off on our Standards of Business Conduct (SoBC) in 2022

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Risk
Assessment

we undertook biodiversity risk assessments for our tobacco supply chain in 2022, to better understand and evaluate farmers potential impacts

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SBTi-Aligned targets

Our science-based targets for 50% Scope 1, 2 & 3 CO2e emissions reduction by 2030 vs 2020 have been approved by the Science Based Targets initiative (SBTi)2

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Water
Stewardship

23% of our total water use was recycled in 2022, and 24 sites achieved Alliance for Water Stewardship (AWS) certification in 2022

Sustainably Sourced

99.99% of wood used by our contracted farmers for tobacco curing in 2022 was from sustainable sources. 94% of paper & pulp volumes were certified sustainably sourced.

A Better Tomorrow
For Society

The greatest contribution we can make to society is by reducing the health impact of our business. We will do this by encouraging those smokers who would otherwise continue to smoke to switch completely to scientifically-substantiated, reduced-risk alternatives*†. Achieving this, while working to reduce our impact on the environment, is central to delivering A Better Tomorrow™.

Measured by:

01
22.5m consumers of Non-Combustible products
02
84.3% of operating waste recycled
03
22% reduction in Scope 1 & 2 emissions from
our new 2020 baseline

Putting ESG
front and centre

Our Sustainability Agenda is integral to our Group strategy and purpose to build A Better Tomorrow™. It reflects our commitment to reducing the health impact of our business as our principal focus area, while achieving excellence across environmental, social and governance (ESG) matters relevant to our business.

H

Reducing the health impact of our business

E

Excellence in Environmental management

Climate Change
Circular Economy
Biodiversity & Ecosystems
Water
S

Delivering a positive Social impact

Human Rights
Farmer Livelihoods
People, Diversity & Culture
G

Robust corporate Governance

Responsible Marketing & Transparent Communications
Ethics & Integrity
Sustainability Governance

Creating shared value for

Consumer
Society
Employees
Shareholders & investors

Our ESG Roadmap

Our ESG Roadmap contains key goals and targets, metrics, current performance and prior-year comparatives for our material sustainability topics.

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Harm reduction

Goal & Target

£5bn by 2025

in revenue from New Categories

50m by 2030

consumers of our Non-Combustible products

Improvement/target met
Ongoing focus area
Metrics
2022
2021
2020
Status
New Category revenues (£bn)
2.9
2.1
1.4
No. of consumers (millions)
22.5
18.3
13.5

Climate change

Goal & Target

Net Zero

across our value chain - comprising Scope
1, 2 & 3 greenhouse gas (GHG) emissions

50% CO2e emissions reduction by 2030

across our value chain - comprising
Scope 1, 2 & 3 GHG emissions1

Carbon neutral operations by 2030

comprising Scope 1 & 2 GHG emissions

Improvement/target met
Ongoing focus area
Metrics
2022
2021
2020
Status
Scope 1 & 2 (market based) CO2e emissions (thousand tonnes)
420
495
541
Scope 1 & 2 CO2e emissions intensity (tonnes per £m revenue)
15.2
19.3
20.0
% Scope 1 & 2 CO2e emissions reduction vs 2020 baseline
22.3
8.4
N/A
Scope 3 CO2e emissions (thousand tonnes) including biogenic emissions and removals
- 2
5,243
5,614

Circular economy

Goal & Target

<1% waste to landfill by 2025

100% packaging

reusable, recyclable or compostable by 2025

Improvement/target met
Ongoing focus area
Metrics
2022
2021
2020
Status
% waste sent to landfill from direct operations
4.9
8.70
8.90
% packaging reusable, recyclable or compostable
92
92
80
% markets selling Vuse and glo with Take-Back schemes
100
100
-

Biodiversity & ecosystems

Goal & Target

No gross Deforestation

of primary native forests in our tobacco, paper and pulp supply chains

Net Zero Deforestation by 2025

of managed natural forests in our tobacco, paper and pulp supply chains

Improvement/target met
Ongoing focus area
Metrics
2022
2021
2020
Status
% sources of wood used by our contracted farmers' for curing fuels that are from sustainable sources
99.99
99.89
99.70
% paper and pulp volumes that is certified as sourced sustainably
94
89
-

Water

Goal & Target

35% less water use by 2025

100% operations sites Alliance for Water Stewardship certified by 2025

Improvement/target met
Ongoing focus area
Metrics
2022
2021
2020
Status
% reduction in water withdrawn vs 2017 baseline
33
28
23
% operations sites Alliance for Water Stewardship (AWS) certified
36
15
-

Human rights3

Goal & Target

Zero child labour

aiming for zero incidents in our tobacco supply chain by 2025

Monitoring

of supply chains

Improvement/target met
Ongoing focus area
Metrics
2022
2021
2020
Status
% farms with incidents of child labour identified
0.38
0.70
0.50
% incidents of child labour reported as resolved by the end of the growing season
100
100
98.5
% farms monitored for child labour in our Tobacco Supply Chain
99.99
99.91
99.70
% product material and higher-risk indirect service suppliers having an independent labour audit within a three-year cycle
36.6
22
-

Farmer livelihoods3

Goal & Target

Crop diversification

supporting prosperous livelihoods

Improvement/target met
Ongoing focus area
Metrics
2022
2021
2020
Status
% farmers in our Tobacco Supply Chain reported to grow other crops for food or as additional sources of income
92.8
95.6
93.4

People, Diversity & Culture

Goal & Target

Increase to 45% by 2025

proportion of women in management roles

Zero accidents

aiming for zero accidents Group-wide each year

Improvement/target met
Ongoing focus area
Metrics
2022
2021
2020
Status
% female representation in management roles
41
39
38
Number of work-related accidents (including assaults) resulting in injury, causing absence of one shift or more
83
95
114
Lost Time Incident Rate (LTIR)
0.19
0.20
0.22
Number of serious injuries and fatalities to employees and contractors
36
31
39

Ethics & Integrity

Goal & Target

100% SoBC compliance

aiming for full adherence to our Standards
of Business Conduct (SoBC)

Improvement/target met
Ongoing focus area
Metrics
2022
2021
2020
Status
Number of established SoBC breaches4◆
84
99
116
Number of disciplinary actions taken as a result of established SoBC breaches that resulted in people leaving BAT
58
46
54

Responsible marketing

Goal & Target

Full compliance

aiming for full compliance with marketing regulations

Improvement/target met
Ongoing focus area
Metrics
2022
2021
2020
Status
Incidents of non-compliance with marketing regulations resulting in a fine or penalty5◆
3
-
-
-

2022 (2021 for Scope 3) metrics with independent limited assurance by KPMG in accordance with ISAE 3000; see page 94 of the Annual Report and Form 20-F 2022 for a full list of assured metrics. See BAT 'Reporting Criteria' for key terms and definitions, on bat.com/sustainabilityreport. Environmental and Health & Safety data is reported for the period 1 December 2021 to 30 November 2022. In 2022, BAT changed its CO2e emissions reduction baseline from 2017 to 2020, following SBTi approval of its near-term, 1.5°C-aligned, 2030 reduction target. See page 80 of the Annual Report and Form 20-F 2022 for CO2e emissions reporting methodology. 1) Compared to 2020 baseline. Comprises 50% reduction in Scope 1, 2 and 50% reduction in Scope 3 GHG (CO2e) emissions. Scope 3 emissions target includes purchased goods and services, upstream transportation and distribution, use of sold products and end-of-life treatment of sold products, which collectively comprised >90% of Scope 3 emissions in 2020. 2) Due to the complexity of consolidating and assuring Scope 3 data from our suppliers and value chain, Scope 3 data is reported one year later. 3) Our goals cover all tobacco used in our combustibles & THP products ('tobacco supply chain'). Our metrics, however, derive data from our annual Thrive assessment, which includes our directly contracted farmers and those of our strategic third party suppliers, representing over 80% of the tobacco purchased by volume in 2022 ('Tobacco Supply Chain'). 4) Consistent with previous years' reporting, cases are not included in the above if they were not resolved at year-end. 5) This is a new GRI-aligned metric for FY2022, with a new reporting system. Although similar data exists for FY2021 & 2020, because the reporting methodology has changed, prior data is not directly comparable.