2022 Universal Registration Document

Chapter 4 : Social, environmental and societal responsibility

Water withdrawal at administrative sites and research centres

As part of the L’Oréal for the Future programme, the Group has set itself the target for 2030 of reducing the water withdrawal at administrative sites and research centres per100 hours worked by 30% compared with 2019.

Total water withdrawal at the administrative sites and research centres came to 300 thousand m3 in 2022, down 27%compared with 2019. Water withdrawal was 653 litres per100 hours worked in 2022, representing an increase of 14% compared with 2019 (-18% compared with 2021).

Changes in water withdrawal intensity (in relation to the number of hours worked on site) have been significantly affected by changes in work organisation. Indeed, since the lockdown periods (still in place in China for several months of 2022), the on-site attendance rate has fallen sharply due to the extensive use of remote working.

However, while domestic consumption is proportional to the presence of employees on site, this is not the case for all water uses. For example, industrial pilot, laboratory and pre-launch testing activities, which are more related to research and development projects and new product launches, consume a lot of water regardless of the number of employees present. A minimum amount of water withdrawal is also required for the maintenance and cleaning of technical facilities.

(in litres per 100 hours worked)

This diagram shows the water withdrawal at administrative sites and research centres. 

From 2016 to 2022: - 5%

From 2019 to 2022: + 14%

L’Oréal pour le futur - Target 2030: - 30%

(in litres per 100 hours worked)

Water consumption and quantitative water footprint of production sites

In 2021, in order to take into account the local aspect of water-related issues, the Group created a new indicator:the quantitative water footprint. It is calculated based on the water consumption of a site (the difference between the water withdrawal and the wastewater at the exit) and the level of water stress in the watershed in which it is located.

The quantitative water footprint is only calculated for the factories, as these are the sites that account for the majority of the Group’s water withdrawal (84% of the water withdrawal for all the sites operated by the Group in 2022).

At the end of 2022, 13 of the Group’s 38 factories (34%) were located in watersheds subject to water stress.

Water consumption and quantitative water footprint of the Group’s factories 2021 2022
Municipal water withdrawn (or other supplier) (m3)

Municipal water withdrawn (or other supplier) (m

3

)

2021

1,718,987

Municipal water withdrawn (or other supplier) (m

3

)

2022

1,811,979

Rainwater (m3)

Rainwater (m

3

)

2021

92

Rainwater (m

3

)

2022

0

Water withdrawn from groundwater (m3)

Water withdrawn from groundwater (m

3

)

2021

256,003

Water withdrawn from groundwater (m

3

)

2022

256,370

Total withdrawal (m3)

Total withdrawal (m

3

)

2021

1,975,082

Total withdrawal (m

3

)

2022

2,068,608☑

Wastewater at the exit of the site (m3)

Wastewater at the exit of the site (m

3

)

2021

911,208

Wastewater at the exit of the site (m

3

)

2022

1,020,362 ☑

Water consumption (m3)

Water consumption (m

3

)

2021

1,063,874

Water consumption (m

3

)

2022

1,048,245

Quantitative water footprint (m3 eq.)

Quantitative water footprint (m

3

eq.)

2021

8,474,577

Quantitative water footprint (m

3

eq.)

2022

8,583,556☑

The Water Disclosure Project: for transparency in information about water and water risk management across the value chain

Since 2010, L’Oréal has taken part in the Water Disclosure Project, of which it is one of the Founding Responders. This programme is aimed at encouraging companies to publish every year their water management strategy, their results and the projects they have launched to improve their performances and to reduce the risks with regard to their activities related to water usage. The programme was launched by the CDP, a not-for-profit and independent organisation. It promotes transparency and environmental information reporting on several issues: climate change, water, deforestation, etc.

In 2022, L’Oréal was recognised for the seventh consecutive year as one of the world leaders for its strategy and actions in sustainable water management. It received an “A” rating, which is the highest possible level of performance in the CDP ranking. These initiatives cover its entire value chain, from the production of raw materials to the use of products by consumers and the end of life of products.

L’Oréal is also working with its supply chain on sustainable water management (see section 4.3.1.2.2.).

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