#8
EABL
East African Breweries PLC (EABL), which is part of Diageo, a renowned global powerhouse in premium drinks boasting a portfolio of over 200 brands and a footprint in nearly 180 countries, stands at the forefront of the beverage alcohol industry in East Africa. With a dedicated workforce exceeding 1,400 individuals across the region, and a commitment to building and sustaining exceptional brands, EABL operates with a mission worthy of people’s trust where it lives, works, sources, and sells.
EABL’s overarching sustainability strategy for the next decade, embodied in its Society 2030: Spirit of Progress Plan, signals a profound commitment to creating a more inclusive and sustainable world. Within this framework, a spotlight is cast on East Africa, emphasising positive impacts on both people and the environment.
In the realm of Environmental, Social, and Governance (ESG) practices, inspired by its White Cap brand, EABL has set a high bar for the industry. This commitment is ingrained in the company’s ethos, evident in its multifaceted approach to environmental stewardship, social responsibility, and corporate governance.
EABL has managed to achieve a remarkable 55 percent reduction in carbon emissions, in its fiscal year 2023, compared to 2022, largely attributed to various biomass projects in Uganda and Kenya. A notable example is ‘Project Rudisha’ spearheaded by Kenya Breweries (KBL), a key player in the EABL portfolio. KBL aims to transition to a sustainable glass Spirits business, moving from a One Way to a Returnable Glass Model. The project not only reduces environmental impact, including Scope 3 and greenhouse gas (GHG) emissions, but also brings about social and economic benefits. During the pilot phase, Project Rudisha successfully collected 4,000 cases (100,000 bottles) per month, creating 200 jobs and saving 240 tonnes of CO2. As the project advances to its second phase, EABL is targeting a collection of 40,000 cases (1,000,000 bottles) cases per month, creating 500 jobs, and reducing 5,000 tonnes of CO2. The long-term vision is to emulate the success of beer bottles, reusing all Spirits bottles until the end of their life cycle.
Another example is the significant growth of use of renewable electricity at EABL’s sites, having grown from 26 percent in the fiscal year 2022 to 65 percent in 2023, setting a benchmark with an impressive 39 percent growth in the use of renewable energy across EABL’s operations.
Down the value chain, efficiency in water usage is a central focus for EABL, with the company utilising 3.3 litres of water per litre of packaged product compared to a target of 3.75 litres. This is as a result of the investment in state-of-the-art water recovery plants at key sites. For instance, the Tusker Plant has achieved an impressive 13 percent recovery of total water abstraction, amounting to 192,376 cubic metres. Similarly, at the Kisumu Plant, a recovery of 59,653 cubic metres, equivalent to 23 percent, further underscores EABL’s commitment to sustainable water management. Across the board, EABL has driven a 24 percent reduction in water use, attributed to infrastructure upgrades.
In terms of community engagement, under the banner of ‘Water for Life’, a tag derived from the White Cap brand values, EABL is actively engaged in community-based water projects across East Africa. These initiatives aim to provide safe, reliable, and sustainable water supplies. For instance, in a strategic move to address water scarcity, KBL launched a transformative water project in Ndiguini, Kikuyu Constituency, Kiambu County. This project, benefiting over 5,000 people, involved meticulous planning, drilling, and the construction of a 330-metre deep borehole. The subsequent elevated steel-pressed water tank yields an impressive 5,400 litres of water every hour, ensuring a sustainable supply for approximately 2,700 people daily.
Under its inclusion and diversity pillar, EABL is advancing in workforce diversity, with 47 percent of its top leadership comprising women. Firmly on track toward its 2030 goal, the company aspires to have 50 percent of senior leadership roles filled by women.
The ‘Learning for Life’ program, which focuses on business and hospitality skill training, further underscores EABL’s commitment to empowerment, extending its impact to individuals from vulnerable backgrounds and persons with disabilities (PwDs).
Underpinning the ‘S’ in ESG, EABL invests in continuous learning to build critical skills for the future, providing various learning opportunities, including formal education, exposure through coaching, tools for learning, and meaningful on-the-job experiences. The ‘My Learning Hub’ e-learning platform has seen the completion of various courses, empowering employees with the capabilities needed for growth. In Kenya, the Reserve and Key Accounts Academy, a 12-month capability program, reflects EABL’s commitment to nurturing in-house talent and creating a pipeline from the internal pool.
Additionally, EABL’s commitment to occupational health and safety is evident in its prioritisation of the health, safety, and welfare of all employees, contractors, and visitors. Compliance with occupational health and safety legislation, along with continuous learning initiatives, reinforces a culture of safety within the organisation.
Towards creating positive societal change in alcohol consumption, EABL is focused on changing the way the world drinks for the better by celebrating moderation and addressing the harmful use of alcohol through tackling underage drinking, drink driving and binge drinking. The company actively engages in impactful campaigns such as ‘SMASHED’ and ‘Wrong Side of the Road’. These initiatives, which significantly surpassed annual targets, are designed to address underage drinking, and discourage drink-driving respectively. The SMASHED campaign exceeded expectations by 458 percent, reaching an impressive 338,550 individuals in 2023, while the Wrong Side of the Road Campaign surpassed targets by 258 percent,reaching 47,709 individuals. . Notably, messages of moderation reached 29,011,638 people across East African markets, reflecting a whopping 283 percent improvement from 2022.
Additionally, EABL places a strong emphasis on robust corporate governance practices, the G in ESG. This commitment forms the cornerstone of EABL’s endeavours to enhance business prosperity and uphold corporate accountability, ultimately ensuring the sustained value creation for long-term shareholders while considering the interests of diverse stakeholders.
The commitment to good corporate governance at EABL is further exemplified through the pivotal role played by its Board in advancing business sustainability goals. ESG frameworks are seamlessly integrated into decision-making processes, strategy formulation, and risk management. EABL’s active participation in Diageo’s 2019 Materiality Assessment, leading to the formulation of the Society 2030: Spirit of Progress Plan, demonstrates a strategic alignment with broader sustainability initiatives. Furthermore, EABL’s corporate governance places significant emphasis on stakeholder engagement, fostering a culture of collaboration, transparency, and shared responsibility. This engagement extends to diverse stakeholders, encompassing employees, investors, and local communities, both at the local and global levels.
In a nutshell EABL, stands as a sustainability trailblazer in East Africa. Through innovative practices and community engagement, it champions ESG principles for a brighter future.
