Message from the Managing Director

Over the past year we’ve seen sustainability well and truly become a business imperative. There is no doubt in my mind that operating sustainably is critical to the future of DB and the success of New Zealand as a whole. One need only look at the data, which tells us that issues like plastics, climate change, water quality and New Zealand’s high youth suicide rates are of deep concern to Kiwis, and that there is little room for businesses that do not respond to changing consumer needs and global challenges.

DB has been on its sustainability journey for many years now and we continue to develop our business strategy to ensure that we are operating well into the future. Through our Brewing a Better New Zealand sustainability programme, we are front footing sustainability challenges and opportunities across our value chain, from fostering a safe and social drinking culture, through to lowering our carbon emissions, and making sure our people are safe and well. We believe that even small actions can make a difference and that all of our people have a role to play in the success and prosperity of our business and local communities. Coupled with this is the knowledge that we need to be pragmatic in our approach and collaborate with others to achieve our goals. To that end, we benefit from a wealth of knowledge through the HEINEKEN network and ensure that the best ideas and solutions from around the globe feed into our local sustainability programme.

Since our last report, we have been busy developing and beginning to implement long term action plans across our focus areas. We will start to share more details of these over the coming year. In 2018, I signed up to the Climate Leaders Coalition, which now represents over 80 businesses that are committed to transitioning to a low carbon economy. In this report we share our new science based targets for reducing our scope 1 and 2 carbon emissions and start to outline how we’ll get there. We are currently developing our roadmap for scope 3 emissions and I look forward to collaborating with our suppliers to achieve these goals.

Along with our focus on reducing carbon emissions, we have had a number of other highlights during 2018. We launched two powerful drink driving reduction programmes that aim to address New Zealand’s high road toll. The year also marked the hugely successful launch of Heineken 0.0, which is catering to a growing demand for non-alcoholic beverages. We proudly closed our gender pay gap following the roll out of a three-year talent and acquisition strategy. Mental health and wellbeing continued to remain in focus and we have been working to normalise conversations around mental health in the workplace by sharing our personal stories and being open and vulnerable. And we continued to educate consumers about reducing and reusing waste through DB Export Brewtroleum and Beer Bottle Sand.

As I look ahead to 2019 and beyond, I am excited about the future. We have a number of programmes in development that will result in a real step change for our business. These include investing in waste water treatment infrastructure in Timaru that will mean the quality of waste water at DB Draught Brewery is well above local standards, as well as investments in renewable thermal energy that will lead to a material reduction in our carbon emissions.

Our report includes many more examples of the progress we are making and our direction of travel. As always, I welcome your feedback on how DB can continue to Brew a Better New Zealand.

Cheers

Peter Simons

Managing Director