Knauf Sustainability Report 2022

KNAUF UK & IRELAND SUSTAINABILITY REPORT

Why Sustainability Matters to Knauf - a Message from our MD

At Knauf, we firmly believe that sustainability is the pathway to a better future. As the UK Managing Director of Knauf, I feel a deep responsibility to lead by example and promote sustainable practices within our organisation and across the industry.

Almost 100 years ago, two brothers laid the foundations for Knauf. The same family has made the organisation the global leader it is today. Along this journey, we have fostered values of corporate responsibility: For nature, when we recultivate quarries, we take care of how we leave a place after our intervention. For our employees, whose wellbeing and development we put first in more than the 90 countries where we operate. For communities, partners, and future customers - by offering training and taking responsibility for the social and environmental conditions in our supply chain.

Here’s why sustainability matters to us:

Sustainability is not a nice to have, but an essential part of the way we live and work. But what does that really mean to Knauf?

• We will put people and communities first

• Achieve net zero carbon

• Be a key player in a circular economy

• Maintain a sustainable supply chain.

Our People, Planet, Prosperity strategy allows us to measure performance, and ensure progression. As part of Knauf’s Global Sustainability Goals, Knauf are taking great steps to meet the demands of the market and understand what our customers expect. In 2022, we once more gained 3rd party accreditation by Planet Mark for our Carbon Footprint and Social Value, continuing the work we started in 2021.

Image on left of: Ian Stokes, Managing Director Knauf UK & Ireland

What does this mean?

Knauf has been measuring its carbon footprint for some time but prior to working with Planet Mark, had never had this verified by an external organisation. The company had also never previously measured its social value. This extra layer of evaluation adds value to the measures the company is taking. It also allows Knauf to demonstrate to its customers its commitment to measuring and lowering its carbon footprint, increasing its social value and contributing to the UN Sustainable Development Goals.

How is Knauf reducing its carbon footprint?

The Knauf Group is committed to reducing scope 1 and 2 emissions by 50% (based on the Knauf groups emissions in 2021) by 2032, the 100th anniversary of the global Knauf business. Furthermore, we commit to be net zero carbon by 2045. These are ambitious targets and we have put in place a roadmap to achieve these targets in the UK business. We are taking a diverse approach to our carbon reduction, including efficiency improvements, investment in energy saving technologies and investigation into options for clean energy alternatives.

What does social value mean?

Social Value measures the positive value Knauf creates for the economy, communities, and society. This includes how we look after our people, local communities, donations, where we buy from and our environmental impacts. Social Value is becoming increasingly important to Knauf’s clients, and through our certification with Planet Mark, we now have a baseline from which to improve year on year.

The United Nations Sustainable Development Goals

The United Nations Sustainable Development Goals (SDGs) are a universal call to action to end poverty, protect the planet and improve the lives and prospects of everyone, everywhere. Knauf’s Planet Mark certification demonstrates how we are already contributing to nine of these goals. For example, Knauf has an apprenticeship scheme to develop the next generation of talent as well as the learning and development of our staff through training and education programmes, as well as tackling gender inequality by reducing its mean gender pay gap by 0.96% in 2022. Our aim is to contribute to further goals.

Stronger together

Knauf has a strong focus on internal communication and education to help embed sustainability throughout the business. In 2022 we have continued with our Sustainability Champions Group, our Circular Economy Task Force and a Carbon Zero Task Force to help integrate sustainability into all aspects of everyday business.

We are also educating everyone in the business on how they can contribute to reducing our carbon footprint to help achieve our sustainability goals.

We are encouraging staff to add value to society, for example by using the three paid volunteer days that every staff member is allowed each year to volunteer and support a charitable organization. In 2022 we have continued to add Environmental Product Declarations (EPDs) to our products, a big step in meeting the demands of our customers. Planet Mark’s findings will help set our sustainability strategy moving forwards, underpinning our message of Building

For The World We Live In.

Ian Stokes Managing Director

Knauf UK & Ireland Sustainability Report 2022

Sustainability Governance at Knauf

Global

Jörg Kampmeyer General Partner

Regional

Jan Ellringmann

Member of the Group Management Committee

Nanna Rigenstrup Strategic Marketing Director

Inge Mette Pretzmann Strategic Marketing & Sustainability Manager

UK & Ireland

Ian Stokes Managing Director

Emma Delaney HR & Sustainability Director

Richard Gibbons Head of Process Sustainability and Compliance

Liam Poole Head of Marketing

Brian Moran Logistics Manager

Knauf UK & Ireland Sustainability Report 2022

Knauf History

Knauf is a synonym for gypsum – among construction experts and enthusiasts. This proverbial association of a building material with a manufacturer’s name is not just coincidence. It is the result of decades of hard work and consistently high quality.

The fact is, if you say Knauf, you mean dependability. Our group of companies had comparably humble beginnings. Specifically the family company was established in 1932, when brothers Alfons and Karl Knauf secured the mining rights to gypsum deposits in the Schengen community (Obermosel) in Germany. Courage, determination, and business savvy were the reasons that only a year later Knauf established its first gypsum factory in Perl (Moselle) – laying the foundation for what would later be the Knauf Group.

Today Knauf is one of the world’s leading manufacturers of modern insulation materials, drylining systems, plasters and accessories, thermal insulation composite systems, paints, floor screed, floor systems, and construction equipment and tools. With more than 300 production facilities and sales organisations in over 90 countries, 44,000 employees worldwide, and sales of 12.5 billion Euro (in 2021), the Knauf Group is without doubt one of the big players on the market –in Europe, the USA, South America, Asia, Africa, and Australia.

Knauf UK and Ireland

The Company’s headquarters in the UK is in Sittingbourne (Kent). Constructed in 1988, the Sittingbourne Plasterboard Plant was up and running to a working factory in less than twelve months. The production system, which was engineered and designed using the most modern manufacturing technologies, enables the production of Knauf’s superior quality Standard and High Performance Plasterboards, Foil-backed Plasterboards and Insulating Laminates.

Following the success of the Sittingbourne Plant, construction on a second UK Plasterboard manufacturing facility commenced in 1990. Based on the banks of the River Humber, the Immingham Plasterboard Plant services the North of England, Scotland and the Irish market. Built to the same modern technical specification as the Sittingbourne Plant, Immingham also has the capability to produce the complete range of Knauf Plasterboards, Insulating Laminates and Foilbacked Plasterboards.

Future of Knauf

New factory

Knauf UK and Ireland has a new factory coming. Once commissioned, this will help to increase the UK production volume of Knauf’s range of gypsum-based building materials by 20% when fully onstream in the near future. It is an emphatic demonstration of the Group’s commitment to dry construction in the UK and Ireland markets in a sustainable way. Managing Director of Knauf UK Ian Stokes is delighted with the move. “This new plant will significantly increase our ability to service customers throughout the UK, and particularly those in South Wales, the Midlands and the South-West of England. It is a very exciting move for Knauf and, following recent investment in increasing the capacity of Knauf Insulation, reflects the confidence of the Knauf Group in the UK construction sector.”

The plant will create some 54 local jobs, making it a welcome addition to the South Wales economy. Knauf will manufacture a range of gypsum boards in Newport, adding to the capacity of its existing plants in Immingham and Sittingbourne.

Knauf Must Win Battles

-50% CO2 emissions (scope 1 & 2) by 2032*

-30% CO2 emissions (scope 3) by 2032*

NET ZERO CO2 emissions (scope 1, 2 & 3) by 2045

CIRCULAR ECONOMY Be a leading actor of the circular economy

ZERO Zero products containing red listed chemicals as of 2032

ZERO Zero waste to disposal as of 2032

-2% Water withdrawals yearly

Scope 1: Direct emissions

Scope 2: Indirect emissions (owned)

Scope 3: Indirect emissions (not owned)

* Based on Knauf’s 2021 CO2 emissions

How we get there

Firstly, we believe in transforming the built environment. And to accelerate our sustainability leadership in the industry we are continuously innovating to create solutions that reduce the environmental impact of buildings and make homes more sustainable in future.

Secondly, at every step of our operations, we try to do things better – from naturally recultivating the sources of our raw materials and ensuring the wellbeing of the communities where we operate in, to driving a circular economy across our plants, supporting our customers, suppliers and partners to adopt the sustainability best practices that will be genuinely world-changing.

Sustainability at Knauf - Our Strategy

People

Knauf aims to have a positive effect on the people and communities we interact with.

Planet

Knauf is focused upon moving to a net zero carbon business and improving the circularity of our products.

Prosperity

Knauf endeavours to maintain a sustainable business for us and our supply chain.

People Planet Prosperity

UN Sustainable Development Goals (SDGs)

The Sustainable Development Goals (SDGs), also known as the Global Goals, are a collection of 17 interrelated goals set by the United Nations. They cover a broad range of social and economic development issues. These include poverty, hunger, health, education, climate change, gender, equality, water, sanitation and energy.

Knauf believes that both directly and indirectly through its processes, supply chain and partnerships, we contribute to some of the SDGs.

(Hover over image to enlarge)

We are working to ensure that in the future we can demonstrate our alignment to even more SDGs, as they become increasingly important to our customers.

Planet Mark – Measuring Carbon Footprint & Social Value

We are Planet Mark Certified

This is to certify that Knauf has achieved the Planet Mark by reporting a reduction in its carbon footprint and engaging its stakeholders.

Planet Mark is a sustainability certification that verifies and measures carbon and social data to reduce emissions and achieve the UN SDGs.

Our 2022 carbon footprint and social value has been verified by Planet Mark. We achieved an overall reduction of 8.2% in our carbon footprint compared to our baseline year of 2021. Within this reduction, there was a 7.9% reduction in the scope 1 and 2 emissions from our production facilities.

Our social value increased from £262,295 in 2021 to £431,376 in 2022, underlining the positive impact that Knauf continues to have on the wellbeing of employees and local communities.

People

Knauf strives to have a positive effect on the people and communities we interact with

People

Knauf believes that both directly and indirectly through its processes, supply chain and partnerships, we contribute to the following SDG’s:

We are building good health for all though the products we supply in the healthcare sector, and our products such as acoustic ceilings are contributing to wellbeing in public buildings. For our own staff, Knauf continues to offer a healthcare plan as part of our benefits package, and an optional annual influenza vaccination. A safe working environment is a priority for Knauf, ensuring all workers health and safety is taken care of at all times.

Our apprenticeship scheme helps to develop the next generation of talent at Knauf, as well as supporting our staff through learning and development schemes. Knauf also offers a fully equipped training school at Sittingbourne to deliver training courses to our customers. Many of our products are also used in the construction of education sites, such as schools, colleges and universities. Our collaboration with a local primary school is helping students to develop the skills that they might require within the ‘world of work’.

Knauf is tackling gender inequality by reducing its mean gender pay gap by 0.96% in 2022. We also introduced Gender Identity & Expression training which was completed by 383 people, and continue to challenge all forms of discrimination by providing Equality, Diversity & Inclusion training for all staff. This training was completed by 47 additional people in 2022.

Knauf UK & Ireland Sustainability Report 2022

Social Value

Our social value has again been verified by Planet Mark. Social value is calculated using evidence of our contribution to the areas of people, community and volunteering, donations, procurement and environmental impacts. We increased our social value by £169,081 (+57%) compared with 2021. One key area of improvement was our mental health campaign, with mental health awareness for all employees, trained mental health first aiders and a full time counsellor available to all staff.

Knauf UK & Ireland Sustainability Report 2022

Our People

Our employees are the heart of our operation and the force behind everything we do. We try hard to make sure we do right by them, every step of the way, from the start, to the end of their career at Knauf. But employees are not the only people we consider when doing business. We also like to ensure that we give back to charities and communities through offering volunteering days, and supporting a range of charities through fundraising activities.

Health & Safety

Equality, Diversity and Inclusion

Mental Health Campaigns

Real Living wage

Wellbeing programmes

Gender Pay Gap

Employee Engagement

Charity engagement

Training

Community days

Donations

Procurement

2022 Safety Day

Production in all of the factories in Knauf Northern Europe (KNE) was stopped for everyone to congregate and join the meeting. There was an introduction for the UK from Ian Stokes and then we joined the rest of KNE for a presentation on safety performance and why going home safely is important to our colleagues with a slideshow of pictures of them enjoying time with their families or enjoying their hobbies. After this hour, production was re-started and then some activities were made available for those on site which were first aid and fire safety refresher sessions.

Knauf UK & Ireland Sustainability Report 2022

Supporting our Staff

Real Living Wage

We are proud to commit to pay above the living wage to our employees. See the image on the left of this page for our Living Wage Statement.

Equality, Diversity and Inclusion Training

We issued 491 certificates for equality, diversity and inclusion training, which equates to 181 hours of learning.

132 employees attended Dignity at Work workshops in 2022, which equates to 462 hours of learning.

Mental health Campaigns

We offer a range of mental health support options, including an onsite counsellor, trained mental health first aiders, and accessible Mental Health Awareness E-Learning for all employees. Additionally, our partnership with a wellness provider offers a wide array of video content such as webinars, sleep stories, meditation sessions, and fitness resources. These resources are conveniently available at any time, allowing our employees to engage with them at their own convenience.

Wellbeing

In 2022, volunteers designed and created a ‘Wellbeing Garden’ at the Knauf UK & Ireland Head Office in Sittingbourne, built by re-using old materials and Knauf products.

The Knauf Wellbeing Garden was created from an idea in the company’s Sustainability Champions group, led by Product Manager Becky Newell and Customer Relationship Executive Zoe Wells.

Becky and Zoe recruited a team of volunteers from across the business and planned out the garden, working cross-functionally to deliver the garden project in time for the Knauf Futures event held in the garden on 1st September 2022.

Material donations were received from retail partners such as timber for a pergola, and gravel for a new path to ensure safe access for all staff. Working with distribution partner Nicholls, Knauf volunteers repurposed an old lorry curtain side to create a movable pergola cover, making sure staff can enjoy the garden whatever the weather.

The garden features an Aquapanel planter, made by Training Services Manager Chris Lee and his team, using offcuts of an SFS steel frame system, boarded with Aquapanel cement board outdoor, and rendered using render which was too close to its expiry date to sell. Old factory pallets and offcuts were also used to create benches and planters.

The wellbeing of local wildlife was also considered as part of the garden’s design as FSC birdhouses and bee hotels were purchased from RSPB. Wildflowers were also planted to encourage bees and butterflies, and a bird bath was installed.

Larger planters made from old wood will have vegetable and herbs grown by the staff for their own personal use. A composter will allow staff to deposit their food waste, while a new water butt will collect rainwater from the roof.

The garden was designed by staff and will be maintained by staff; gardening is known to have positive impacts on mental health, and access to a garden can reduce stress. With staff working in two separate office blocks as well as the factory, the garden was also designed to provide a space for staff to mix and relax at lunchtime, promoting a positive wellbeing environment.

Gender Pay Gap in 2022

At Knauf, we are dedicated to creating a family-centric workplace culture that promotes inclusivity and equality for all and have published our Gender Pay Gap Report 2022 on our website. This year Knauf have made further positive improvements in this area. We still face low numbers of women in our organisation in all pay quartiles, but we have made improvements in both our mean and median gender pay gaps.

There has also been a significant improvement in our Mean Gender Bonus Gap, reflecting the overall distribution of our bonus across the company.

Our Median Gender Bonus Gap is again negative, which is a reflection on women receiving a bonus being in the higher pay quartiles.

The full report can be found here

Knauf UK & Ireland Sustainability Report 2022

Employee Engagement

2022 is the fifth year that we have surveyed our employees engagement using the globally recognized Gallup Survey. Participation rates remain high and the 2022 survey saw improved scores in responses to all questions.

Knauf UK & Ireland Sustainability Report 2022

Training

Since 2020 Knauf has been working with iHasco, a provider of high-quality Health & Safety and HR Compliance eLearning. Training is video-based and delivered online, allowing us flexibility with training times and locations. Training is managed through IHasco’s intuitive Atlas learning platform that enables users to see the courses available, and allows Knauf team members to allocate training, see when this is completed, and pull user training records direct from the system.

During 2022 we issued our 10,000th training certificate through the iHasco system.

Knauf UK & Ireland Sustainability Report 2022

Apprenticeships

In 2022 we had 7 apprentices:

Name: Amelia Akester

Location: 1st Year HETA Training Academy

Job Title: Electrical Engineering Apprentice (Automation)

Standard: Maintenance and Engineering Operations Level 3

Line Manager: Julian Marshall

Name: James Sowter

Location: 1st Year HETA Training Academy

Job Title: Electrical Engineering Apprentice

Standard: Maintenance and Engineering Operations Level 3

Line Manager: Kevin Wallace

Name: Finley Gillespie

Location: 1st Year HETA Training Academy

Job Title: Electrical Engineering Apprentice (Process)

Standard: Maintenance and Engineering Operations Level 3

Line Manager: Tom Greaves

Name: Olly Julier

Location: Sittingbourne Cube

Job Title: Digital Marketing Apprentice

Standard: Digital Marketing Level 3

Line Manager: Patrick Cantellow

Knauf UK & Ireland Sustainability Report 2022

Apprenticeships

In 2022 we had 7 apprentices:

Name: Samuel Agyemang Asare

Location: Sittingbourne Cube (one day per week at Mid Kent College

Job Title: Technical Support Apprentice

Standard: Design & Build Technician Level 4

Line Manager: Chris Lee

Name: Harry Burnett

Location: Sittingbourne Plant / Immingham Plant / Head Office

Job Title: H&S Apprentice

Standard: H&S Technician Level 3

Line Manager: Karen Moffatt

Name: Hayden Epps

Location: Sittingbourne Calcination Plant

Job Title: Calcination Apprentice

Standard: Lean Manufacturing Operative Level 2

Line Manager: Irfan Arapi

Apprenticeships

At Knauf, we believe in providing valuable work experience and opportunities for the next generation of industry professionals.

Our UK Head Office, Sittingbourne plant and Immingham plant have apprentices at various stages of their learning journey.

One of the latest additions to the team, Hayden Epps, began his 18-month Calcination Apprenticeship with Knauf in October 2022. Although Hayden was initially unsure what he wanted to do, he came across Knauf’s Calcination Apprenticeship programme and found it particularly interesting. Within just two months, Hayden has spent time shadowing factory team members and getting to learn all the site procedures and technical information.

Hayden summarised his experience so far: “The apprenticeship has been challenging but interesting, and I’m enjoying learning new things. I’m looking forward to seeing where this opportunity can take me.”

Another shining example of the scheme is Amelia Akester, who began her four year Electrical and Automations Apprenticeship at Knauf in August 2022. Right from the start, she’s been heavily impressed by the level of support on offer from Knauf.

Amelia said: “Even though I’m in training at the moment, there has been a lot of support from Knauf. They’re keen to stay involved and make sure I’m okay which is something I really appreciate.”

In light of a nationwide skills shortage, construction training body CITB have highlighted the importance of new skills coming into the industry. This is one of the reasons we’ve played an active role in the professional development of young people over the last 13 years as we believe that apprenticeships contribute to a solution for skills shortages in the sector.

For Knauf, apprentices also represent an investment not just in new talent but in demonstrating a commitment to the progression of our wider workforce.

The scheme increases employability outcomes for apprentices and allows them to gain industry-recognised qualifications. It also allows us to consider our apprentices within the long-term investment strategy of the company at the start of their career.

By the end of an apprenticeship, we are committed to ensuring our apprentices have had every opportunity to gain the skills and knowledge needed to successfully progress in their chosen career or onto the next apprenticeship level. We’re proud of our apprenticeship scheme and the positive impact it has had on both our apprentices and our company as a whole.

Community Days

We offer 3 days a year for staff to support charities and community projects close to their hearts.

61.5 hrs Knauf Community Days paid in 2022

Many Knauf employees used their paid community days in 2022 to volunteer and participate in charitable events. These activities included assisting with the development of our very own wellbeing garden, supporting food banks in the local community, volunteering with the RSPCA, participating in the Band of Builders - Howards Project, aiding entrepreneurial activity in Ghana and the UK, which included presenting at schools to encourage participation in exchange programs in Ghana, and an exceptional donation of bone marrow via the Anthony Nolan Foundation for a match in the United States that saved a young life!

Knauf UK & Ireland Sustainability Report 2022

Crash Charity

Knauf provided donations and fundraising totalling £11,751.56 in the financial year, January 22 to December 22 to Crash.

We have been supporting the construction industry charity CRASH since 1998 as a corporate patron.

CRASH helps homelessness charities and hospices with life changing building projects.

CRASH unites the power of the industry to be a force for good by:

• Sourcing pro bono professional expertise

• Sourcing free or discounted construction products

• Awarding cash grants

Thanks to Knauf, CRASH has helped 33 homelessness and hospice projects during April 2021 - March 2022.

Corporate Patron since 1998 www.crash.org.uk

Knauf

Knauf UK & Ireland Sustainability Report 2022

Bounceback Charity

Knauf has supported Bounceback since 2015 when they partnered with a number of companies to create a state of the art training facility in Brixton Prison. Bounceback is a charity that works in prisons to train inmates in skills they can use when they leave. Knauf helped to design the first training centre in Brixton prison in 2015, assisting at open days and providing installation guidelines for various drylining techniques. It continues its support with donations of materials every year up to a value of £25,000.

The specific investment of materials by Knauf and the provision of logistics services by Encon have made the centre possible. “It is amazing what can be done when everyone comes together to make something happen,” said Fran Findlater, CEO of Bounce Back. “The need for skills in the construction industry means that the number of potential employees in prison presents a great opportunity.”

https://www.bouncebackproject.com/

Procurement

We are delighted to support the Royal British Legion Industries from whom we purchase FSC wood pallets and other items. Our contract also helps RBLI deliver its support to veterans and others with disabilities across the UK.

100% of our procurement contracts include commitments to ethical employment practices in the local and global supply chain. However, working with our supply chain on sustainability issues is something we are keen to do a lot more of in the future.

Read more about our work with RBLI here

Planet

Knauf is focused upon moving to a net zero carbon business and improving the circularity of our products.

Planet

Knauf has an ‘Excellent’ rating for BES6001 responsible sourcing which demonstrates our commitment to ensuring that our raw materials are sourced from suppliers who meet stringent environmental controls. We have also reduced the amount of virgin plastics in some of our packaging, and continue to develop the way we package our products. Partnering with ‘Countrystyle’ we also use recycled plasterboard in our production and continue to try to reduce our waste to landfill.

From a baseline in 2021, Knauf is committed to reducing Scope 1 and Scope 2 emissions by 50% by our 100 year anniversary in 2023. Beyond this we will reach net zero carbon by 2045. Verified by Planet Mark, we have demonstrated a reduction of our carbon emissions by 8.2% in 2022 compared with 2021.

Knauf UK & Ireland Sustainability Report 2022

Our Goals

-50% CO2 emissions (scope 1 & 2) by 2032*

-30% CO2 emissions (scope 3) by 2032*

NET ZERO CO2 emissions (scope 1, 2 & 3) by 2045

CIRCULAR ECONOMY Be a leading actor of the circular economy

ZERO Zero products containing red listed chemicals as of 2032

ZERO Zero waste to disposal as of 2032

-2% Water withdrawals yearly

* Based on Knauf’s 2021 CO2 emissions

Knauf UK & Ireland Sustainability Report 2022

Carbon Footprint for Haulage

We continue to recognise the high level of savings made by our hauliers, through the consistent use of vehicle telematics and driver performance charts, a high level of driver training, persistent methods of minimising fuel consumption such as an increased emphasis on trailer tyre pressures, and smart witness cameras to monitor our transport for quality and safety.

Tusker Car Scheme

To reduce our scope 3 emissions due to commuting, Knauf now offers employees access to an electric car benefit scheme operated by Tusker. This scheme allows any employee (subject to credit checks) to lease an electric vehicle through salary sacrifice, making reduced carbon motoring more affordable and accessible.

Since the launch of the scheme in January 2022, the scheme has already offset 16.77tCO2e of carbon emissions.

16.77 tCO2

Carbon

offset by scheme to date

Waste, Water & Emissions

2022 has seen a significant reduction in waste to landfill as we focus on minimising waste in our production processes and maximising the recycling of production scrap.

Waste Production - Immingham and Sittingbourne

Over the past 3 years Knauf has faced the challenge of a significant change to a key raw material - the gypsum which forms the core of our plasterboards. This change has affected recipes and in the short term increased the amount of water used to make our product but we are now returning to more normal water use and are committed to the continued reduced use of this valuable resource. The reduced water use in 2022 is in part due to a focused water reduction program in our production processes.

Water Usage -

Immingham and Sittingbourne

(litres / tonne production output)

Recycled Packaging

In 2021 we focused our efforts on moving to recycled packaging, becoming the first in our industry in the UK to do so. We developed easy to identify logos to state recycled / recyclable packaging which is massively important for the circular economy.

The impacts achieved are:

• Step forward on circular economy

• Increased use of post consumer recycled plastics

• Products changed contain at least 30% recycled plastic

• All of our pallet hoods and shrink wraps have 30% recycled content.

The impacts achieved are:

• Step forward on circular economy

• These hoods have the benefit of maintaining their strength and quality while using less virgin resources

Circular Economy

One of Knauf’s ‘Must Win Battles’ is to be a leading actor of the Circular Economy. Moving away from the linear ‘take, make and dispose’ model, the circular economy avoids waste and pollution, and ensures nature is regenerated, with products and materials maintained, reused, refurbished, remanufactured, recycled and composted.

Gypsum is ideal for the circular economy as it can be recycled many times. You can find more information about the power station by-product Flue Gas Desulpherisation (FGD) on page 37, and how it is used in production alongside recycled plasterboard.

We are aiming to increase the circularity of our packaging by reducing the amount of virgin plastic used, opting for recycled content where possible (more information on page 35), as well as making it easier to recycle through clear labelling and the materials used.

With our Countrystyle recycling partnership for over 6 years providing some of the recycled raw material for our plasterboard production, Knauf are keen to develop more options for our customers within the circular economy

During construction, we work with our customers on waste minimisation such as designing out waste, as well as working with a number of modular offsite construction companies.

The way that we consider products as part of our new product development process and our research and development process has also changed to consider circularity from the outset of a products lifecycle.

Recycled Content

Recycled Content for Knauf Plasterboard

The table above shows the recycled and renewable content of our plasterboards. 7.52% of the core material and 100% of the paper outer were recycled content in 2022 for Plasterboard. Therefore, the overall recycled material content varies slightly with board thickness, from approximately 8.5% for the thickest boards up to 12% for the thinnest. Increasing our recycled content is a complex area that we are undertaking studies on to determine the most sustainable solution.

The total recycled content of Knauf plasterboards (according to ISO14021) has reduced over the past three years as Flue Gas Desulpherisation (FGD) gypsum has become more scarce. FGD Gypsum is a byproduct of coal fired electricity generation and as the world moves to decarbonise grid electricity supplies, less and less of this material is being produced. Future recycled content will be influenced much more by the recycled paper used to produce plasterboard liner and recycled gypsum from production and post-consumer plasterboard waste.

Products

To help our customers build for the world they live in, it is important to Knauf that our products are designed and manufactured sustainably, as well as contributing to the efficiency and safety of the building.

With the majority of our products being made from gypsum, they naturally lend themselves to being more sustainable as it is naturally recyclable, nontoxic.

Here, we discuss some of the benefits of our products in more detail:

Airless Finish

An alternative to traditional gypsum plastering, Airless Finish offers wellbeing benefits to the applicators who no longer have to suffer from musculoskeletal problems associated with traditional methods. Working at height risks are also reduced, as some ceilings can be sprayed from ground level. The product is ready-mixed and reduces the need for water to be added on site, and the finished product is virtually VOC free (<0.1%).

Acoustic Ceilings

Made from gypsum, including up to 30% recycled gypsum content, Knauf’s acoustic ceiling and wall boards and tiles portfolio offers excellent acoustic performance to increase indoor comfort, with good acoustics attributed to health and productivity benefits. Recyclable at the end of their life, the products are circular in nature. With certified indoor climate for indoor pollutants, the acoustic range is a breath of fresh air.

Knauf UK & Ireland Sustainability Report 2022

Products

Flooring

Made to last, the durable and strong dry-screed flooring from Knauf is an alternative to wet-screed where water is introduced to the build. A lightweight recyclable solution, Knauf flooring can offer acoustic properties, alongside the highest certification of low-VOC emitting EMICODE range of adhesives. With high thermal conductivity, the boards work efficiently with underfloor heating.

Offsite and MMC Technology

Knauf’s engagement with modern methods of construction (MMC) and offsite technology is not new, Knauf has collaborated with several key partners to bring sustainable solutions to the build process, helping to utilise resources through increased productivity with higher levels of consistent performance, greatly reducing water usage and material waste in the factory environment when compared to on site traditional methods.

Innovation in light-weight building materials is key to reducing our impact on the planet, should be innovation leads to a cleaner, safer workspace and improves efficiencies whether building within timber frame, light steel frame or volumetric technology. Knauf invests in training to upskill the labour force to ensure a smooth transition to new ways of working utilising MMC and realising the sustainability benefits they bring.

Prosperity

Knauf endeavours to maintain a sustainable business for us and our supply chain.

Knauf believes that both directly and indirectly through its processes, supply chain and partnerships, we contribute to the following SDG’s:

We have taken the decision to remove all diesel vehicles from our company fleet and all company cars will be hybrid or fully electric by the end of 2024. Employees also have the option of purchasing an electric vehicle for their commute through salary sacrifice.

Knauf’s apprenticeship scheme is providing young people with the skills that match the demands of the labour market and our commitment to responsible sourcing protects workers in our supply chain from modern slavery.

Knauf contributes to the building of sustainable cities and communities, with many of our products helping to achieve BREEAM or LEED credits, or Passivhaus standards on projects.

Knauf UK & Ireland Sustainability Report 2022 Compliance

ISO 45001 – Health & Safety Management System

Knauf is committed to ensuring the health, safety and wellbeing of our employees and other people who may be affected by our activities, and to the continual improvement of our safe working environment. We will operate a BS EN ISO 45001:2018 compliant Health & Safety Management System in order to meet our statutory duties and comply with non-statutory requirements to which we subscribe.

ISO 14001 – Environmental Management Systems

Knauf recognises that its operations and activities impact on the local and global environment in a number of ways and as such is committed to continually reducing these environmental impacts. Our overall objective is to develop the business having full regard to the environment and taking into account the views of all affected interests.

In order to achieve this overall objective, we are committed to operating an Environmental Management System in accordance with BS EN 14001:2015, and to continually improving our environmental performance.

ISO 50001 – Energy Management Systems

Knauf UK is committed to achieving continual improvement in its energy performance and operates an energy management system compliant with BS EN ISO 50001:2018 “Energy Management Systems – Requirements with guidance for use”.

Our energy policy and associated management system covers energy use and consumption associated with product manufacture, company buildings and workplace vehicles at our Sittingbourne and Immingham production sites.

ISO 9001 – Quality Management System

Knauf takes pride in the products and services we provide, and we recognise that the true measure of our quality will always be judged through the eyes of our customers. The confidence that our customers have in our products, services and in our people ultimately defines the success of our business through their continued decisions to purchase from us.

We operate a Quality Management System which complies with the requirements of BS EN ISO 9001:2015 that aims to continuously improve the performance of our business to ensure that our products and services conform to all applicable statutory and regulatory requirements as well as national and international business standards.

BES 6001 – Responsible Sourcing of Construction Products

BES 6001 has been published to enable construction product manufacturers to ensure and then prove that their products have been made with constituent materials that have been responsibly sourced. We achieved Excellent in 2020 and will be audited against our 2022 dataset later in 2023. The standard describes a framework for the organisational governance, supply chain management and environmental and social aspects that must be addressed in order to ensure the responsible sourcing of construction products.

Knauf UK & Ireland Sustainability Report 2022

Product Sustainabilty Information

Knauf is seeing a year on year increase in requests for more detailed information about our products. EPD’s are frequently requested to demonstrate the lifecycle of our product. In 2022 we undertook the major task of producing our first EPD’s for the boards that we make in the UK, as well as collating EPD’s for other Knauf products. We also started updating our Product Sustainability Credentials documents to demonstrate how our products contribute to green building certifications such as BREEAM and LEED.

Product Sustainability Credentials (PSC) Environmental Product Declaration (EPD)

Countrystyle Recycling

The partnership between Knauf and Countrystyle Recycling was ahead of its time when it led to the construction of a dedicated plant to recycle gypsum board in 2017. Move on six years and the partnership continues to flourish, providing a model for how reclamation and manufacturing can work hand in hand.

As our society faces the challenges of creating a sustainable economy, a big challenge for manufacturers is that the underlying imperative must be to use less of everything. Doing this while still maintaining a positive economy requires the active development of closed-loop recycling – the process by which materials are reclaimed and processed back into the raw materials needed for manufacturing.

The 5,300m2 plasterboard processing facility can handle up to 120,000 tonnes of plasterboard each year and uses uniquely designed bespoke machinery supplied by Danish company Retek Engineering to shred and separate plasterboard products. Gypsum is extracted and returned to Knauf where it goes straight back into the manufacturing process while the wastepaper is in turn sent to paper manufacturer DS Smith.

As Countrystyle is situated next to the Sittingbourne plant, it is straightforward to control the movement of plasterboard and recycled materials. The arrangement ensures that tens of thousands of tonnes of gypsum each year is reprocessed rather than being wasted. Reducing manufacturing waste makes clear economic sense. The bigger challenge is to reclaim and re-use post-consumer waste from construction and demolition sites. In this area the plasterboard industry has historically been something of a trail blazer, with manufacturers working together to support a series of waste recycling companies able to offer collection and recycling services.

Countrystyle operates one such collection scheme and its 150 distinctive trucks are a familiar site around Kent and the South-East. Knauf is a willing recipient of the gypsum reclaimed in this way, provided it reaches the quality standards required for its manufacturing. All the gypsum reclaimed and processed at the Countrystyle plant is supplied to Knauf and recycled gypsum now accounts for around 8% of the total material used by the UK manufacturing plants.

This partnership shows how collaboration can bring about positive change, reducing waste and, over time, phasing out the reliance on virgin material. With this working model in mind, Knauf is developing a scheme to expand the support provided to other site collection and recycling schemes outside of the South-East.

Sustainability Champions

The Knauf Sustainability champions are a voluntary group formed in January 2022, who meet on teams once a month, currently with 15 members from around the business – from factory, to technical, commercial and marketing. They work on projects or issues around the business and aim to improve conditions for all; their mission statement is ‘A cross-functional team, championing change to build a more sustainable Knauf’.

Sustainability champions are often coined in literature as ‘change agents’ (Willard, 2009) who are involved with transformations in their own organisation or broader industry (Howell et al., 2005). A positive culture in sustainability is being created by the team at Knauf UK & Ireland.

The group cover a range of topics from diversity, mental health, litter, wellbeing, local charity events, energy reduction, biodiversity and packaging. With an inclusive team from around the business, a variety of opinions, needs and requests from different areas are bought to the group.

In 2022, the group have worked on the following:

• Designed and created the well-being garden at Sittingbourne, from an empty space to a peaceful sanctuary for all staff to enjoy on their lunch break

• Had a ‘Blackout Friday’ event with posters and an email blog with tips for energy/emission saving at work and at home

• Created a Knauf dictionary for new starters to help them understand all the abbreviations and fit in with the culture of Knauf

• Had an ‘energy walk’ at the Sittingbourne offices to identify energy and water savings that could be implemented

• Looked at how to increase internal communication on sustainability, for example in the monthly ‘Staff 2 Staff’ newsletter.

The sustainability champions have lots more exciting projects lined up for 2023 and beyond.

Sustainability Targets 2020-2022

Sustainability Targets 2020-2022

Sustainability Targets 2020-2022

Detail of ‘Boundaries’

Production processes in relation to ‘Plasterboard (laminated and non-laminated) and Gypsum powders’.

Direct and indirect emissions by GHG source (expressed as CO2e) 2022 calendar year

Direct emissions in relation to production are shown as ‘Natural gas, Gas oil, Diesel, LPG and Bulk Propane (Scope 1)’.

Indirect emissions in relation to production are shown as ‘Electricity (Scope 2)’.

Transport emissions in relation to production (i.e. Knauf ‘Gate to client’ haulage of product) are shown under KPI’s 2.3a to 2.3d.

Contact Details

For any queries about this report please contact:

Richard Gibbons Head of Process Sustainability

and Compliance

richard.gibbons@knauf.com

Customer Service

UK: 0800 521 050 Eire: 01 4620739

cservice@knauf.com

Technical Service

0800 521 050 (press option 2) Live Webchat 09:00 – 17:00 technical-uk@knauf.com (excluding bank holidays)

ADDRESSES

Knauf

Kemsley Fields Business Park

Sittingbourne Kent ME9 8SR

Knauf 87 Broomhill Road

Tallaght Dublin 24 D24 WR85

Website knauf.co.uk knauf.ie

Email technical-uk@knauf.com

SOCIAL MEDIA

KnaufUK @Knauf_UK

Knauf UK & Ireland @Knauf_UK

The information given in this publication is believed to be current and accurate as at the date of publication, but no warranty, express or implied is given. Updates will not be automatically issued.

© Copyright Knauf 2023