ICA Gruppen’s operations include grocery retail, pharmacies, real estate, banking and insurance. Climate-related risks and opportunities are analysed both within each company and for the Group as a whole.

Governance

ICA Gruppen has a long-established responsibility at the board and management level for sustainability-related issues, which includes climate-related risks and opportunities. The strategic direction of ICA’s sustainability work is set by the Board of Directors and is managed through strategic planning and business planning processes. While the CEO is responsible for sustainability issues within the Group, management of the day-to-day work has been delegated to the Chief Corporate Responsibility Officer, who is member of the ICA Management Team. To support the ICA Management Team and Chief Corporate Responsibility Officer, ICA Gruppen has established a management team for sustainability consisting of all the sustainability managers at the Group’s various companies. Climate and sustainability risks are also included in regular risk management and in the twice-yearly reporting of risks to the ICA Management Team and ICA Gruppen’s Board of Directors.

Strategy

While the climate transition presents significant risks for ICA Gruppen’s businesses, strategies and financial planning, significant opportunities can also be attained if the Group responds to the changes in areas such as consumer attitudes and consumption patterns that the climate transition is bringing about. The climate issue is therefore an integral part of ICA Gruppen’s long-term strategic direction and of the ambition areas that have been identified for responding to the changes and drivers in the world around us. ICA Gruppen’s ambition is that by 2030 it will be an industry-leader in the development towards reduced climate impact and towards a more modern and sustainable food supply, while also being the best in each market at helping and inspiring customers to make sustainable choices. Strategically important initiatives for reducing ICA Gruppen’s contribution to and exposure to the effects of climate change include ICA Gruppen’s climate ambition, ICA Gruppen’s fuel strategy (pertains to ICA Sweden and Apotek Hjärtat), and the energy strategies adopted for ICA Gruppen's operations in Sweden and the Baltic region respectively.

Food production accounts for a significant share of global GHG emissions. ICA Gruppen’s grocery retail operations are therefore extra meaningful both for reducing the Group’s climate impact from a value chain perspective and for conveying the long-term opportunities that exist in the transition to a food system with a lower climate and environmental impact. ICA Sweden’s and Rimi Baltic’s efforts to promote locally and domestically produced foods both reduce vulnerability to climate-related disruptions in the global supply chain and meet the growing interest among consumers for locally produced foods. Efforts to develop an attractive and sustainable plant-based range, such as through ICA Växa, are also helping to build up an offering that meets customers’ future preferences.

To provide additional insights for long-term strategic work on climate-related risks and opportunities, five workshops on climate risk were conducted at ICA Sweden during the year.

Risk management

Climate and sustainability risks that may materialise in a more short-term perspective (within three years) already form part of the overall risk management process for ICA Gruppen. Climate and sustainability risks must be integrated into the regular risk management process based on the impact that these have on ICA Gruppen, for example in the form of effects on brands (brand risk), physical disruption (operational risk) and increased costs (financial risk). ICA Gruppen works continuously to develop the process for risk analysis and management, to integrate sustainability risks even better in the work.

Measurement methods and targets

Since 2007 ICA Gruppen has reported on and set targets for reducing its climate impact, taking accepted standards such as the GHG protocol and Science Based Targets as its starting point. Read more about ICA Gruppen's climate goals, and outcomes.