How we manage our environment

Although the direct environmental impact of operations at a corporate level is limited, the group monitors its use of energy, water and waste to reduce these responsibly. The environmental impact of restaurants and the supply chain is far greater, and the group uses its close partnerships to promote positive environmental practices with franchisees and suppliers.

The current reality

Managing resources carefully has become paramount, with particular constraints in South Africa in terms of water and electricity.

The effects of global warming are a major concern in the industry, as extreme climatic conditions, droughts, depletion of fishing resources and wildfires impact food production, the availability of locally sourced products and the increasing costs of manufacturing.

Continued use of non-renewable products has also become a critical aspect for businesses to manage in the face of increased consumer demands for more sustainable products.

Our brands are dependent on a continuous supply of inputs, such as meat, fish, clean water and energy. Red meat is a significant contributor to global environmental concerns, including climate change, pressure on water resources and deforestation for feed. Fish resources are under extreme pressure and sourcing sustainable seafood products has to be carefully managed.

Our response

The group has conducted an annual environmental evaluation of franchises for the last four years. This includes a restaurant visit to capture resource consumption data and an interview with the franchise representative.

The 2020 reporting period was postponed due to lockdown restrictions during COVID-19 until May 2021.

of restaurants
participated
(2019: 92%)

The current top five environmental issues for the group are:

1.

CO2e carbon emissions reduction

2.

Effective waste management

3.

Resource measurement & management

4.

Sustainable consumption & production

5.

Reduction of single-use packaging

1. CO2e carbon emissions reduction

The group conducts a carbon footprint evaluation every second year to monitor the group’s impact. As the last report was done in 2019, the new report was planned for 2021. However, due to the significant impact of COVID-19 on the group, this was postponed to 2022.

2. Effective waste management

The group’s focus remains on minimising waste and diverting waste from landfills through recycling and composting, actively promoting recycling and minimising the reliance on raw materials, as well as curbing pollution and leakage into the environment.

of waste at regional offices diverted from landfill

tonnes of materials being recycled

Used cooking oil is one of the key high-risk waste items produced through the group’s operations. The main objective is to ensure that spent oil is removed from the food chain to prevent unsafe re-use.

3. Resource measurement and management

The group continues to focus on the effective management of resources, especially in
South Africa where electricity and water constraints exist. Both electricity and water use decreased this year due to the impact of COVID-19 on operations. As we return to higher levels of activity, our usage is expected to increase.

Total energy use at regional
offices and facilities:

(2020: 1 027 MWh)

The group’s manufacturing plant is responsible for 75% of the group’s water consumption. Regional offices have been fitted with water saving fixtures and fittings, with rainwater harvesting and water-wise plants where possible.

Water consumption – regional offices

(2020: 1 508 kilolitres)

Water consumption – facilities

(2020: 3 279 kilolitres)

4. Sustainable consumption and production

Supplier assessments are conducted to ensure ethical and environmentally responsible sourcing. Our outsourced logistics partner has an
ISO 14001-aligned environmental management programme and all three distribution hubs are ISO 14001 accredited.

The April 2020 roll-out to replace palm oil with soft oil was unfortunately not possible due to the severe impact of COVID-19, as well as the almost 20% increase in soft oil prices during the year. The group remains committed to removing palm oil as a deep- frying fat and will review the situation in early 2022.

3 359
kilolitres of oil were sold to franchisees
54% was palm oil

3 360
kilolitres of oil were sold to franchisees
60% was palm oil

The group, in particular John Dory’s, remains committed to procuring sustainable seafood products that are Marine Stewardship Council and Aquaculture Stewardship Council certified. The group’s restaurants and franchises are fully compliant with the SASSI “Seafood Promise” and do not procure or sell any species that are on the SASSI red list, or from fisheries that are not in a fish improvement project (FIP).

For restaurant use (shelled eggs for breakfast and baking), the majority of eggs procured by Spur franchisees is from smaller local suppliers, of which approximately 32% is cage free.

The group is also in the process of listing a centralised solution to accelerate the use of cage-free eggs.

5. Reduction of single-use packaging

The group has been working towards eradicating problematic plastics over the last few years and is a member of the SA Plastics Pact. As a member, we will continue to work with the organisation on the achievement of the set targets, which will include phasing out avoidable packaging, redesigning problematic and unnecessary plastic and working with suppliers to procure packaging from renewable sources.

The group will also continue to evaluate the optimal approach in terms of reusing, recycling or composting.

Balloon usage reduced

60 tonnes in 2017
3 tonnes in 2020
and being phased out

88% of packaging procured is made from renewable resources (2020: 69%)

Paper bags instead of plastic bags

tonnes in 2021
tonnes in 2020
Goal is to fully eliminate plastic bags by 2022

Plastic straws reduced from

tonnes in 2017 to
tonnes in 2019
Eliminated in 2019