ClimateWise sub principles
- 5.1 Engage with our supply chain to work collaboratively to improve the sustainability of their products and services.
- 5.2 Measure and seek to reduce the environmental impact of the internal operations and physical assets under our control.
- 5.3 Disclose our direct emissions of greenhouse gases using a globally recognised standard.
- 5.4 Engage our employees on our commitment to address climate change, helping them to play their role in meeting this commitment in the workplace and encouraging them to make climate-informed choices outside work.
How is Lloyd's reducing the environmental impact of our business?
We aim to reduce our footprint through a combination of environmental and energy reducing activities. These include:
The Environmental Working Group that meets three times a year to monitor and review progress against an annual environmental action plan. This plan covers issues such as waste, transport, energy, and procurement. The group is made up of representatives from Property Services, IT, Catering, Supply Management, and Corporate Social Responsibility.
Lloyd’s global corporate social responsibility initiative, Lloyd’s Together, works with our global sustainability champions to encourage them to take practical action to improve the environmental impact in their offices. For the first time in 2015 fourteen of our global offices took part in a week of activities centred around the United Nations World Environment Day and plans are underway to deliver this initiative again in 2016.
Lloyd’s has been tracking greenhouse gas emissions (GHG) since 2008. We work with Carbon Smart, our environmental consultants, to calculate the GHG emissions from our global operations. These are published each year in our annual report and a full inventory for 2015, including Carbon Smart’s public opinion statement, can be found here.
Lloyd’s purchases 100% renewable electricity for our offices in London and Kent. The saving in electricity from 2008 to 2015 for the London office is 18%. Lloyd’s have reduced the water pressure in the London office toilets which has helped generate an 8% saving in water usage compared to 2014.
Lloyd’s is supportive of the landfill tax (£82.6/tonne of waste disposal to landfill) and in 2013 we switched to a “zero to landfill” policy. This has resulted in a significant reduction in our waste with 85% of the waste from the UK offices being recycled and the general waste used as fuel for power generation. This has resulted in savings of over 40% in waste management costs. Lloyd’s commitment to waste management was recognised in 2016 when we were given a Gold Award with Special Commendation in the City of London’s annual Clean City Awards.
Lloyd’s offsets its air travel emissions by buying carbon credits for carbon offset projects through Natural Capital Partners. In 2015 we purchased carbon credits for an “improved water infrastructure” project in Malawi and an ”improved cookstoves” project in India.
The project in Malawi helps provide clean and healthy drinking water to communities that do not currently have access to such sources. By providing clean water, safe for human consumption, and maintaining the infrastructure, the project means households use less firewood to purify the water through boiling. The project also helps reduce greenhouse gas emissions from the combustion of firewood that is non-renewable and leads to degradation of the local forests and shrub lands.
India uses the greatest amount of fuel wood globally with 88% of rural households using sold fuel for cooking. This means that over 900 million people are exposed to indoor pollution on a daily basis. The project in India has distributed 490,000 stoves since 2008. The stoves are designed to make them 60% more fuel efficient and significantly more durable than traditional stoves. The stove’s widespread distribution ensures that the health and financial benefits from the reduced pollution, fuel costs and collecting time can be scaled up across India.
These are just a few examples of how we have and will continue to reduce the environmental impact of our business. Find out more about our progress with ClimateWise.
Lloyd’s global sustainability programme supports staff champions across the world to make their office environments more sustainable as well as encouraging personal action outside of work. The initiative also looks at how Lloyd’s flagship London building can be more sustainable. Key outputs:
- Lloyd’s offices in 20 countries participated in the programme – an increase from 3 countries in 2014.
- Since 2014 a reduction in the global carbon footprint of 13%, including a reduction in the carbon intensity per employee from 7.6 tCO2e/FTE to 7.2 tCO2e/FTE.
- 27 separate sustainability projects initiated in 2016, on topics from lighting upgrades to performing waste audits.
- Training delivered to champions on a range of topics, from how to perform a waste audit to how to incorporate sustainability into procurement.
- 153 activities in 18 countries during World Environment week in 2016 in comparison to 47 in 12 offices in 2015. An increase of 319%.
- A talk to an audience of over 60 sustainability experts by the Head of Exposure Management & Reinsurance at Lloyd’s on how the Lloyd’s market has responded to the challenges of climate change and what the next steps for the industry are. Ben Murray from Carbon Smart provided a wider snapshot of what other sectors are doing in response to climate change.