2022 Universal Registration Document

Chapter 4 : Social, environmental and societal responsibility

Making increased use of renewable energy

Share of renewable energy consumed by industrial sites (as a percentage)

This graph shows the share of renewable energy consumed by industrial sites. (as a percentage)

  • 2019: 69
  • 2020: 72
  • 2021: 80
  • 2022: 89

☑Les Commissaires aux Comptes ont exprimé une assurance raisonnable sur cet indicateur.

During the last years, L'Oréal has drafted an ambitious policy involving the use of renewable energy, based on the possibilities offered by each local context. This policy focuses first on on-site energy production and consumption (self‑consumption), then the implementation of long-term power purchase agreements (PPA) and finally the purchase of locally produced renewable energy.

Share of renewable energy consumed

by the administrative sites and research centres
(as a percentage)

This graph shows the share of renewable energy consumed by the administrative sites and research centres. (as a percentage) 

  • 2019: 51
  • 2020: 73
  • 2021: 83
  • 2022: 92

In 2022, 89% of the energy consumed by the factories anddistribution centres was renewable ☑. For the administrativesites and research centres, this percentage amounted to 92%of the energy consumed.

A site can claim “carbon neutral” status(1) if it meets the following requirements:

  • Direct CO2 (Scope 1) = 0, with the exception of the gas used for catering, the fuel oil used for sprinkler tests, fossil energy consumptions during maintenance of on-site renewable facilities, cooling gas leaks if they are lower than130 tonnes CO2eq./year; and
  • Indirect, CO2 Market Based (Scope 2) = 0.

The renewable energy sources must be located on site or less than 500 kilometres from the site, and be connected to the same distribution network.

The “carbon neutral” status(1), as defined above, is achieved without carbon offsetting.

At the end of 2022, 110 Group sites were “carbon neutral”(1):

“CARBON NEUTRAL”(1) SITES
Type of site Industrial sites Factories Distribution centres Administrative sites and research Administrative sites Research centres Group total
Number of “carbon neutral”(1) sites 60 ☑ 22 38 50 43 7 110
Total number of sites 83 38 45 85 77 8 168
% of total number of sites 72% 58% 84% 59% 56% 88% 65%

☑The Statutory Auditors have expressed reasonable assurance about this indicator.

(1) A site can claim “carbon neutral” status if it meets the following requirements:

• Direct CO2 (Scope 1) = 0, with the exception of: the gas used for catering, the fuel oil used for sprinkler tests, fossil energy consumptions during maintenance of on-site renewable facilities, cooling gas leaks if they are lower than 130 tonnes CO2eq./year; and

• Indirect CO2 Market Based (Scope 2) = 0. The renewable energy sources must be located on site or less than 500 kilometres from the site, and be connected to the same distribution network. The “carbon neutral” status, as defined above, is achieved without carbon offsetting. See section 4.3.1.1.3. B/.