Protection of the environment is nowadays considered a major issue in most countries across the world. For example, hasn’t the Nobel Peace Prize just been awarded to Al Gore, former vice president of the United States, for his film “An Inconvenient Truth”, a genuine alarm cry about the risks of planetary warming? In France, a major consultation, initiated by the head of state under the name “Grenelle de France de l’Environnement”, has just been set in motion and over the coming four months, institutions, representatives of civil society and French citizens will “invent” the conditions for “new growth”.
Having adopted an approach of sustainable development around a decade ago, the Carrefour Group has participated in this consultation through a range of preparatory MEDEF working groups brought together for the occasion.
This contribution attests to the commitment and experience accumulated by the company over many years in respect of the preservation of the environment. Because its role consists of discerning the expectations of its customers and anticipating issues in society, the Carrefour group decided very early on to commit itself to an approach of sustainable development, of which the environment is a linchpin. And it did this even before there had been a real increase in collective consciousness in respect of this issue.
As early as 1992, Carrefour launched its ‘Quality Line’ products, derived from agricultural practices that respect the environment (preservation of ecosystems, management of the risk of pollution to earth and water, etc.), and which can now be recognised by their “Engagement Qualité Carrefour” logo. In 1997, the group’s first own brand organic products appeared. These products are now sold in ten countries. In 1996, the Group decided to apply the principle of caution in respect of GMOs and excluded genetically modified organisms from the ingredients of its products. Since then, it has continually offered its customers alternatives to products deriving from transgenic procedures.

One principle: Act to respect the environment

This active approach in favour of the environment is clearly a major vector of our corporate strategy. Our objective is to remain a benchmark in our profession of retailer and to provide long-term growth for our Group by reconciling business, environmental and social performance.
The Group has equipped itself with resources and a suitable organisation to take its approach forward and has put its policy of sustainable development in place. It created a Sustainable Development Department in 2001, and defined indicators that enable it to measure the evolution of its social and environmental performance. Each year, the Sustainable Development Report reports on the initiatives and progress accomplished during the year. 22 key indicators (on energy consumption, waste management etc) enable rating agencies and SRI (Socially Responsible Investment) investors to evaluate the Group’s performance.
Respect for the environment being an issue for all – institutions, companies and the public – we believe that our responsibility as a world leader in food retailing is to limit the impact of our commercial activity on the environment at all stages (production, transport, stores, merchandise mix) while helping to raise public awareness (internal and external) on these issues.

Four priority areas

For greater effectiveness, the Group has concentrated its action on four major priority areas:
- Helping to fight climate change,
- Acting to preserve biodiversity and natural resources,
- Promoting methods of production and marketing that respect the environment,
- Fostering fair, sustainable consumption.
Our trade names are responsible for a range of initiatives in the field and regularly collaborate with environmental protection associations, both local and international.
Our aim is to be realistic, pragmatic and determined. That is to say that the Group favours concrete measures that have an impact on daily life and are adapted to each country in which we are present. In addition, we do not hesitate to commit ourselves to voluntary initiatives (on GMOs, fishing, forestry) which go beyond the legislation in force.

1) CO2 emissions: the Group regulates energy consumption in stores and transport

The warming of the planet, linked to the increase in the emission of greenhouse gases, is considered by many scientists to be THE environmental challenge of the 21st century. On this crucial subject, the Carrefour group conducts programmes in two main areas, working in store to better control its energy consumption and in its logistics chain to optimize transport.

   Stores that work using less energy…

First area of focus: reducing energy consumption in stores through better management. At this level, it is often simple measures that have the most impact. Stores achieve substantial savings by fitting low-energy bulbs that use 25% less energy, decreasing the use of air conditioning (a great consumer of energy), installing doors on freezer cabinets, designing doors for closed meat-cutting workshops that limit the need for refrigeration and limiting the height of cold rooms. All in all, these deliver real savings in the Group’s energy bill and CO2 emissions.
Thanks to the initiatives introduced, the Group reduced its energy consumption per m² of sales area by 9.5% in 2006, compared to 2003.
   
   … and are designed according to “sustainable construction” principles

For a number of years now, Carrefour-group trade names have also maintained a policy of “sustainable” construction when renovating or building new stores, be they in France (Champion supermarkets, Carrefour shopping centres) or in other countries where the Group is present.

In Italy, the Limbiate hypermarket was built using natural materials and is supplied with energy from a hydro-electric power station.

In Spain, Carrefour is investing in renewable energy such as solar energy (six hypermarkets are equipped with photovoltaic coverings).

Carrefour China has committed to reducing its energy consumption by 20% as part of a national programme to reduce CO2 emissions launched by the Chinese government.

• Logistics: developing modes of transport other than road transport

By reorganizing its logistics chain (in which it has been helped by partners such as ADEME) and within the framework of the Club Demeter, the Carrefour group is making a determined two-fold effort to contribute to reducing the greenhouse effect.
The Group uses alternative methods of transport in a number of countries and has stepped up the number of initiatives to rationalize the transport of merchandise. One-third of non-food supplies to the Paris region are delivered by river, saving 340 tonnes of CO2 emissions per year.

In France, optimizing delivery rounds and improving truck loading rates – they no longer operate empty on the return trip – has made it possible for Carrefour hypermarkets to reduce the number of trucks on the road by 9,500 in two years.

 

2) Preserving biodiversity and natural resources through a policy of responsible sourcing.

The Carrefour group is committed to preserving natural resources and biodiversity. It does this by applying a policy of responsible sourcing, listing and developing products that respect the environment, and participating in local initiatives to preserve natural resources. Carrefour works in close and regular collaboration on these issues with associations and NGOs (Non-Governmental Organisations) such as WWF (World Wildlife Fund), the FSC (Forest Stewardship Council), the MSC (Marine Stewardship Council) and the RSPO (Roundtable on Sustainable Palm Oil). 
The Carrefour group has introduced a number of measures on its own initiative to  achieve its goal of saving natural resources.

• Wood traceability: Amburana to replace teak

The Group has worked with WWF since 1998 to promote the use of certified wood in the manufacture of furniture and garden decorations.

In 2006 and on its own initiative, it took measures in respect of teak garden furniture. In recent years, such furniture has enjoyed great success, leading to auctions in which prices have been lowered and generating intensive and illegal exploitation of this forest species. Faced with this worsening situation, Carrefour France and Carrefour Belgium decided to stop using teak and proposed to replace it with furniture made from Amburana, which grows in South America. This timber certified by the FSC (Forest Stewardship Council) fulfils our requirements in terms of traceability and the preservation of resources, and provides guarantees of quality, in addition to prices that are accessible for consumers (30% to 40% less expensive than teak).
The Carrefour group is also a signatory to the proposal for European regulation to combat illegal trading in wood (FLEGT). 

•  A responsible fish range

Similarly, faced with the crucial problem of the over-fishing of the oceans and the decrease in fish stocks, the Carrefour group decided to favour sustainable sources of supply and sell frozen fillets of fish harvested under conditions that do not threaten the reproduction of the species concerned (cod, Greenland halibut, sea bream, Loup de Mer).
In 2005, it launched its “Pêche responsible” (“Responsible Fishing”) range in France and Belgium, which guarantees maximum traceability, good management of stocks and respect for the ecosystem, at a reasonable price.

3) Promoting responsible production methods and reducing waste

To contribute effectively to protecting the environment, the Carrefour group acts across the entire marketing process, at both extremes of its responsibility: from the production and manufacturing stage - for products it controls (own and low-priced brands) - up to the disposal of the waste caused by its activity as a retailer. Carrefour-group trade names apply this approach both upstream of its stores (with producers and manufacturers) and downstream (with waste recycling firms).

• Helping suppliers with their approach

The Group’s quality teams work in close collaboration with suppliers so as to offer customers the best guarantees in terms of both quality and the environment. They seek to implement processes in manufacturing (in factories) and production (in the fields) that respect the environment. This approach includes defining specifications that include strict environmental criteria for Carrefour Quality Line products (sold accompanied by the “Engagement Qualité Carrefour” logo in France), and products carrying Carrefour’s AGIR brand.
The Group’s quality departments also support suppliers in their environmental approach. Since 1996, its super- and hypermarkets in France have offered their suppliers a self-diagnosis tool to assess their sustainable development policy. 

• Controlling waste management

At the other extreme of its chain of responsibility, the Group has been running programmes to reduce the amount of waste caused by its commercial activity for a number of years now. These initiatives are closely linked to campaigns to raise customer and employee awareness and encourage them to act responsibly.
Selling thousands of products each day, our stores have introduced methods to systematically sort and recycle their waste (cardboard packaging, plastic etc). In 2006, over 478,000 tonnes of waste were recycled throughout our company-owned and operated stores.
Equipped with collection points (for batteries, ink cartridges, clothing, electronic products), the stores facilitate the recycling of standard consumer items. Once dropped off by customers, this waste is then handed over straight to the recycling firms that process it.
All trade names in France have introduced a “packaging block” on the packs of their own brand or trade name food products which raises customer awareness of the importance of sorting their waste, couched in terms that are as accessible to children as they are to adults.
Lastly, an important recycling initiative was run in 2007 involving shopping bags. The Group’s trade names in France (Carrefour, Champion, Shopi etc) had already considerably reduced their use of disposable plastic carrier bags, as had those elsewhere.
In 2006, their campaign led to a decrease in the consumption of disposable bags of 45% in France, 43% in Belgium and 11% in Spain.
Taking the approach further, Carrefour hypermarkets stopped giving out free carrier bags throughout France in March 2007, offering as an alternative two types of bag that can be exchanged for life. The Group’s Belgian trade names also stopped giving out free carrier bags in Spring 2007. As in all countries where the Group is present, they continue to offer alternatives to disposable bags.

4) Fostering methods of “sustainable consumption”

The world’s second-largest retailer, serving 100 million customers across the world each year, the Group encourages responsible consumption through the sales policy of its trade names. It has opened up access to “responsible” or “sustainable” products by developing products under its own brands or trade names that are accessible to all pockets, and that integrate social or environmental criteria.
By way of example, the Group sells 1,929 organic product references under its own or its  trade names’ brands in ten countries, plus an “Eco-Planete” range in a number of countries in Europe. In 2006, it also launched the Carrefour Agir range, with a positioning based on responsible consumption. These products carry “responsible” labels that guarantee the sustainable management of resources (NF Environnement, eco-labels etc). In France, for example, Carrefour Agir Bio products are certified “AB”, (which stands for “Agriculture Biologique”), Carrefour Agir “Eco Planete” products bear eco-labels or are certified by the FSC, and Carrefour Agir Solidaire products carry the Max Havelaar label.
Faithful to the choice we made in 1996, and by virtue of the principle of caution, our policy consists of offering a credible alternative to GMOs in line with consumer demand. The own brand and low-priced products of the Group’s trade names derive from conventional agriculture. Within the European Union - which has drawn up very precise rules on the labelling of GMOs - these products do not therefore have to signal on their label the presence of a GMO, in accordance with the ruling on labelling that came into force on 18 April 2004.

Our mix of national and own brands also favours the development of new modes of consumption: low-consumption light bulbs, water savers, rechargeable batteries, solar-powered products. All these products mirror the Group's commitment to respect the environment and promote sustainable and ethical consumption.

Through all these concrete actions and the daily involvement of its 456,000 employees, the Carrefour group is contributing to the emergence of new modes of consumption that are in line with what its customers want and evidence its desire to assume its corporate and social responsibilities.