Goal and Performance

Charoen Pokphand Group aims to promote water stewardship practices across our operations to achieve sustainable water management and conservation. The Group is focusing on reducing water consumption, implementing water recycling and reuse initiatives, and engaging in community-based projects to ensure responsible water usage and protection of water resources.

%

reduction of water withdrawal per unit of revenue compared to base year 2020

Supporting the SDGs

Charoen Pokphand Group's commitment to promoting sustainable consumption of water throughout the value chain supports the achievement of two Sustainable Development Goals:


More Details on Sustainable Development Goals Report 2023

Stakeholders Directly Impacted

Charoen Pokphand Group performs stakeholder assessment and prioritization process on an annual basis to evaluate impacts we have on them and how can they influence our strategies and actions over time. In 2022, the evaluation results showed that our commitment to protecting water resources creates impacts on seven stakeholder groups.


More Details on Stakeholder Engagement Report 2023

Our Impact by the Numbers

cubic meters/million THB

Water Withdrawal per unit of revenue decreased by 11% from 2022

%

Water recycled/reused decreased by 31% from 2022

%

Percentage of water recycled/reused decreased by 4% from 2022

B-Level Rating from CDP Water Security Assessment

Water Stewardship Management Approach

Charoen Pokphand Group’s water stewardship management approach is deeply rooted in the company's core values and corporate culture. We prioritize responsible water management across their diverse business operations and supply chain. The approach begins with a thorough assessment of water-related risks and opportunities, setting clear objectives in line with global sustainability goals, and adhering to strict environmental standards to protect water quality. Water efficiency and conservation are top priorities for C.P. Group, as we invest in innovative technologies to minimize water consumption while maintaining high productivity levels. Collaboration with stakeholders, including local communities, governments, NGOs, and experts, is central to our approach. We actively engage in dialogue and partnerships to address water challenges collectively and co-create sustainable solutions.

Integrated Water Risk Assessment

Charoen Pokphand Group has developed a water risk assessment framework for implementation in all business groups. The assessment considers various risk factors, including the water withdrawal volume of each business unit and baseline water stress using the widely recognized Aqueduct Water Risk Atlas tool established by the World Resources Institute (WRI). The assessment results are subsequently ranked according to the three levels of water risk in order to develop appropriate management plans.

Water Risk Assessment Framework

Baseline Water Stress Water Withdrawal Water Risk

Low - Medium

+
Low – Medium Volume

Low Risk

+
High Volume

Medium Risk

High - Extremely High

+
Low Volume

Low Risk

+
Medium Volume

Medium Risk

+
High Volume

High Risk

Water Management Plan

Low Risk

  • Regularly monitor water withdrawals through reporting systems

Medium Risk

  • Improve water use efficiency using the "5Rs" principle
  • Regularly monitor water withdrawals through reporting systems

High Risk

  • Improve water use efficiency using the "5Rs" principle
  • Regularly monitor water withdrawals through reporting systems
  • Assess local-level risks using the "Local Water Tool"
  • Assess water risks for key suppliers

Water risk assessment was conducted on all of Charoen Pokphand Group’s production units. This has enabled the identification of units with high water risk levels, which account for 1% of all units. The Group has emphasized promoting the implementation of an intensive water management plan and continuous follow-ups on the performance of water consumption reduction.

C.P. Production Units with High Water Risk Level (By Region)

In 2023, Charoen Pokphand Group partnered with Keystone to pilot a study on the site specific assessment of risks and business opportunities in terms of biodiversity using TNFD’s LEAP approach. Water is regarded as one of the key indicators in the assessment. Guidelines and a brief summary of the assessment results are as follows:

L
Locate Interface with Nature

Selecting sites in water stressed areas for assessment.

1. Poultry farm
2. Swine farm
3. Poultry farm
4. Swine farm
5. Agricultural farm (rice, corn and soy)
E
Evaluate Dependencies & Impacts

Assessing dependencies and impacts associated with each site. The evaluation found that poultry farms, swine farms and agricultural farms have very high dependency on water use to raise animals, causing freshwater habitat degradation due to water diversion and loss of species abundance. Meanwhile, water pollution was still found in the Bangladeshi poultry farm, leading to water quality decline.

A
Assess Material Risks & Opportunity

Assessing risks of identified dependencies and establishing impact mitigation plans. In terms of dependency on water use for animal rearing, efforts to conserve and reduce water use in line with the Groups water reduction target have been carried out on sites with risks. With regards to alleviating the problem of water pollution, wastewater is treated via bioremediation on sites with risks.

P
Prepare To Respond & Report

Defining targets consistent with applicable global biodiversity framework targets, including reducing water withdrawal per unit of revenue by 20% compared to baseline year 2020, adopting a policy of non-chemical pest control management on all directly owned farms where possible, and reducing pesticide risk by 50%.

Data on Water Management 2023

Total Water Consumption

million cubic meters

%

Freshwater TDS ≤ 1,000 mg/L

%

Other Water TDS > 1,000 mg/L

Water recycled/reused

million cubic meters

Wastewater Quality

BOD mg/L

COD mg/L

* BOD and COD are calculated from the average value of all business units

Total Water Withdrawal

Total Water Discharge

Water Withdrawal from Water Stressed Areas *

Wastewater Quality - BOD (Biological Oxygen Demand)

Water Recycled/Reused

Wastewater Quality - COD (Chemical Oxygen Demand)

* In 2023, volume of water in stressed area increased significantly due to the Group had updated the area according to Aqueduct Water Risk Atlas 4.0

In 2023

water withdrawal per unit of revenue is 38% compared to base year 2020.

Moreover, C.P. Group measured the quality of water effluent. The average BOD was 16.86 milligrams/liter and COD was 57.21 milligrams/liter. These are within the effluent discharge control standards of each country.

Circular Water Management

Charoen Pokphand Group’s water stewardship is based on the principles of the CEO Water Mandate, which is an initiative of the UN Global Compact. In managing our internal water supply, the Group has adopted the Circular Water Management concept in accordance with the 5Rs principle (Reduce, Reuse, Recycle, Restore, and Recover) established by the World Business Council for Sustainable Development (WBCSD). This is aimed at improving water-use efficiency through various measures and enabling water reuse or recycling. We also highlight an effective wastewater treatment process to ensure that the treated water quality meets, or is above, the required standard of each country prior to discharging into natural water resources.

Managing Wastewater Prior to Discharge to Natural Water Bodies

Releasing untreated wastewater into natural water bodies will produce a range of negative impacts. Environmentally, it will harm creatures and plants in the water source. In terms of human health, it will become a source of pathogens and water pollution as well as destroy water sources for daily consumption.

Charoen Pokphand Group is well aware that business operations may affect the quality of water sources. Therefore, we are committed to wastewater management and ensuring that water quality meets standards before releasing it into natural water sources.

Water Management for Suppliers

Charoen Pokphand Group is committed to using water resources sustainably and places importance on the effective management of water across the entire supply chain. In view of this, the Group has developed a water management guideline for suppliers, who are the key stakeholders in our business, to promote their water-use efficiency, reduce water shortage risks, and jointly campaign for the conservation of water resources.

Water Risk Assessment

Conduct water risk assessment for suppliers to classify them by water stress level using internationally trusted tools

Water Management System

Collaborate with suppliers in water management planning to optimize water-use efficiency

Supplier Water Management Audit

Join the evaluation and audit of suppliers’ water management system, wastewater treatment, and wastewater quality that meets the standard

Promotion of Water Resources Conservation Activities

Collaborate with suppliers in promoting water-saving activities as well as provide knowledge and understanding about the importance of water resources conservation

Water Management for Communities

Water is an essential resource for community well-being and a fundamental human right, according to Charoen Pokphand Group. We are committed to enhancing water security and resilience in the places where we operate through our Water Management for Communities initiative. We strive to address water-related concerns, promote equitable access to clean water and sanitation, and contribute to the sustainable development of communities all over the world through collaborating with regional communities, governments, and stakeholders.

Training on Water Stewardship

To comply with the guidelines of the Water Stewardship Policy, we regularly communicate with employees, suppliers, business partners, and stakeholders to raise awareness about the issue of water stewardship. We have developed online educational materials including water efficiency management, water risk assessment, reducing water usage in operations, wastewater treatment, and assisting communities in accessing water resources. Additionally, we have conducted training courses on water management and water balance with the aim of reviewing accurate water management practices and developing guidelines for water reuse/recycling. These training sessions are provided to the recycled water quality management committee, farm/factory managers, and relevant employees.

Water Management for Watershed

Charoen Pokphand Group performs water risk assessments based on an operational framework on all our production sites. This allows the Group to identify watersheds that are located in high water risk areas. According to the assessment, by using Aqueduct Water Risk Atlas, it results that 14 major watersheds in 6 countries where the Group operates are situated in high water risk areas. Therefore, the Group gives priority to cooperating with all sectors to protect and rehabilitate watersheds which are the source of water resources needed in our daily lives and ensure that everyone will have a right to access clean and sufficient water.