Pirelli: all sustainability indicators improved

Water withdrawal reduction and training targets exceeded

Since 2009, the base year for the mid-to-long term sustainability goals that Pirelli set for itself, the Italian tyre maker reports it has made ‘significant progress’ in the realization of its green performance goals. Indeed, Pirelli reports that it has improved sustainability across all its indicators.

During 2015, almost half 48 per cent (compared with 46 per cent registered in 2014) of Pirelli’s tyre revenues came from green performance products, almost double the 2009 level when it was equal to 25 per cent and above the target in the 2013-2017 sustainability plan which aimed at reaching the value only at the end of 2017. According to the company, these results are the fruit of intense research and development activities at Pirelli’s laboratories, aimed at the development of ever more advanced tyres at both the technological and performance levels, but at the same time able to ensure better environmental performances such as reduction of rolling resistance and noise, lower weight and greater endurance. The investments in R&D amount annually to over 3 per cent of total revenues, one of the highest levels in the industry, and in 2015 they totalled about 215 million euros (3.4 per cent of total revenues) an increase from 205.5 million euros in 2014 and 133 million euros in 2009.

Water withdrawal reduced

The reduction of water withdrawal is said to be amongst the most significant. In 2015 Pirelli registered absolute water withdrawal slightly above 11 million cubic meters, with a reduction of specific withdrawal of 3 per cent compared with 2014 and 42 per cent compared with 2009. Between 2009 and today, across all production sites, water savings have totalled 30 million cubic meters – slightly lower than the Pirelli’s group’s absolute water withdrawal over three years. Furthermore, over the course of the year the rate of waste recovery rose to 91 per cent, with an increase of 1per cent compared with the prior year and of 18 per cent compared with 2009.

With 20 factories worldwide, employing around 37,000 people, making training another focus. In 2015, the average number of training days per person rose to 8.3, compared with 8.2 days in 2014 and 7.2 days in 2013. This figure exceeds the 7 day per person target indicated in the 2015 industrial plan for the third consecutive year.

Commitment to training has contributed to a 6 per cent improvement in the index measuring the frequency of accidents in 2015, which brings the improvement since 2009 to 73 per cent. Overall, in the three year period 2013-2015 the company’s investment in health and safety has exceeded 40 million euros, of which over 25 per cent was invested in 2015.

Targets of the sustainability plan and vision to 2020

Pirelli’s Sustainability Plan completes and supports the group’s industrial plan for 2013-2017 and provides a vision to 2020. Among the targets already exceeded are the percentage of revenues from Green Performance products and training per employee (see above). From now through to 2020 it is estimated that the index of accident frequency, already reduced by 73 per cent compared with 2009, will be reduced by 90 per cent thanks to ongoing investments in always safer machinery and courses in safety awareness for employees.

At the environmental level, the following are expected – always comparing 2020 to 2009 levels – a reduction of 15 per cent in CO2 emissions, a fall in specific energy consumption of 18 per cent, a decline of 58 per cent in specific water withdrawal and a rate of waste recovery above 95 per cent. The plan also includes further strengthening of the sustainable management system for the supply chain, which looks at economic, social and environmental sustainability criteria fully integrated into the processes of selection, collaboration and evaluation of Pirelli’s partners around the world.