Sir Terry Leahy

Sir Terry Leahy

Tesco has published its sixth Corporate Responsibility Review for the financial year 2006-07, with carbon emission reduction and local sourcing top of the agenda.

“Across our business, internationally as well as in the UK, we have taken responsibility for tackling one of the gravest threats we all face: that of climate change,” said Tesco chief executive Sir Terry Leahy in the introduction to the report. “I am determined that Tesco should meet this challenge by being a leader in helping to create a low-carbon economy.”

Going forward, the retailer is pledging an absolute reduction in carbon dioxide emissions from its UK business, as well as publication of the carbon footprint of all Tesco stores and distribution centres worldwide, with a target to halve emissions from such buildings by 2020.

Installation of what are thought to be the world's most advanced automated recycling machines in 120 Tesco stores is another key aim outlined in the report, while a new target to reduce packaging by 25 per cent by 2010 has been set. All packaging will also be labelled according to whether it can be recycled.

In 2006, the retailer launched its first annual community plan, which saved 400 million carrier bags and saw new regional buying offices set up around the UK. Tesco businesses in eight countries have now developed a plan for 2007-08. This year, the retailer is aiming to save 500m new carrier bags, achieved by rewarding customers with Green Clubcard points for re-using bags. Local sourcing also remains top of the agenda, with a move to set up eight local buying offices to bring more local products to customers on the cards.

The report also outlines how Tesco is stepping up its ethical training programme for buyers and suppliers, and gives results of audits of employment conditions among overseas producers.

The report can be accessed at www.ethicalperformance.net/tescocrreport07.html

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