Brambles’ sustainability credentials are founded in its circular ‘share and reuse’ model, which is inherently low carbon. Circular business models design out waste and pollution, keep products and materials in use, rather than using them up, and actively regenerate the natural systems they depend on.
Through its efforts to connect people to life’s essentials, Brambles reduces demand on natural resources, regenerates forests, eliminates waste for customers and reduces carbon emissions from the world’s supply chains. As a leader in the circular economy, Brambles understands its potential to address climate change and, if more broadly adopted, the vision for a low‑carbon future outlined in the 2015 Paris Climate Agreement, which Brambles supports, is far more probable.
Brambles’ response to the Task Force for Climate‑related Financial Disclosures (TCFD)
Brambles accepts climate science and recognises that climate change is influencing both short-term weather events and longer-term climatic trends. Climate-related physical impacts are also influencing society and economies, which is translating into policy and investment decisions as well as shifts in consumer behaviours. Responding to the specific challenges of climate change is intimately linked to Brambles’ focus on its circular ‘share and reuse’ model. Within this context, Brambles has responded to the recommendations of the 2017 TCFD, an initiative of the G20 Financial Stability Board. The TCFD supplement is an extension of the disclosure provided in Brambles’ FY20 Annual Report and provides our stakeholders with a more detailed narrative on how climate-related risks and opportunities could positively or negatively impact the financial circumstances of Brambles.
The TCFD project has revealed three key climate-related themes for Brambles.
Brambles’ low-carbon advantage
The immediate and ongoing opportunities related to Brambles’ low-carbon, circular business model outweigh short-term climate-related risks in the decarbonising 1.5°C and 2°C climate scenarios.
In decarbonising economies, efficient use of natural resources will become more important and the low-carbon advantage inherent within Brambles’ circular business model presents a clear opportunity. This is enhanced through Brambles’ transport collaboration solutions and the Zero Waste World (ZWW) programme. Brambles’ forthcoming 2025 sustainability targets will further amplify market opportunities and help customers with their decarbonisation and circularity commitments while remaining prepared for future climate and waste regulation.
Brambles’ network resilience
The agility and scale of Brambles’ network and asset pools create an inherent resilience to supply chain shock, enabling greater responsiveness to customers before and after severe climate‑related weather events.
Adaptability and agility will be increasingly important as exposure to supply chain shocks from physical climate-related weather events increases in all three climate scenarios. Brambles’ network resilience is a market differentiator and a key mitigant, enabling greater agility pre-weather event and reliability during the recovery phase. The objectives of Brambles’ supply chain and asset efficiency workstreams will serve to further strengthen the resilience of our networks.
Raw material supply security and continuity
Longer-term climate-related risks relating to materials, specifically timber for pallets, is considered in the strategic planning process, including mitigations already underway as part of procurement, supply chain and asset efficiency programmes.
The price and availability of timber supply, as well as the potential impact of pests and disease, were identified as emerging climate-related risks which are expected to evolve over a five-to-ten-year timescale and manifest differently under the three climate scenarios.
Brambles’ timber supply was identified as an area of risk under each scenario. It could be exposed to transitional risks such as a price on carbon (in the decarbonising 1.5°C and 2°C climate scenarios) or exposed to physical risks such as biome1 shift in the 4°C scenario. Brambles’ sustainable timber sourcing practices and current efficiency workstreams, combined with regeneration commitments including both afforestation and reforestation within the 2025 sustainability targets, represent a resilience building strategy that will both mitigate risks and enhance Brambles’ sustainability reputation.
1A biome is a major and distinct regional element of the biosphere, typically consisting of several ecosystems and characterised by typical communities of plants and animals.