Water

Freshwater availability and quality are crucial to our business operations. We use water in the production of beverages, for cleaning and cooling our facilities, and providing services to our customers. It is important that we have sound water management plans and work with other water users to improve water security in our operating locations and protect this shared resource for the future.

Our strategy involves implementing measures to enhance water use efficiency, recycle and reuse water, utilise alternative water sources, and, where freshwater use is necessary, replenish water through partnerships.

SwireTHRIVE and our Sustainable Water Policy outline what we will do to use water responsibly and protect local water sources for the future.

Swire Pacific and Swire Coca-Cola received a B rating in the 2024 CDP Water Security questionnaire.

To drive efficient water use in our operations, we set a target to reduce freshwater withdrawal by 30% by 2030, compared to a 2018 frozen efficiency baseline. To date we have achieved a 23% reduction, which surpassed the 15% target reduction for 2024 based on our 2030 projections.

The baseline assumes our water use efficiency remains fixed at 2018 levels but allows us to factor in the projected increase in overall water demand as our business grows. There are trade-offs. Water-cooled chillers are more energy efficient than air-cooled chillers and so reduce carbon emissions. They are a central part of our decarbonisation strategy but will increase our water footprint.

Our target currently covers operating companies, which together make up 99% of the Group’s total water footprint. It reflects our efforts to reduce water use in our operations. The water in the beverages produced by Swire Coca-Cola (production volume) is excluded. See Replenish water through partnerships for how we address water consumed.

Water availability is highly location dependent. Each watershed may be exposed to different risks depending on its climatic conditions and changing demand of all water users drawing from it. Understanding location specific water risks can inform a more targeted and strategic approach to water management, allowing focus on sites with the highest risks.

We use the World Resources Institute’s (WRI) Aqueduct Water Risk Atlas to assess the baseline water stress across our global operating locations. About 31% of the freshwater we use is drawn from sources that are classified as high or extremely high stress – indicating that demand from local water users is at risk of exceeding supply. When considering a 2030 business-as-usual scenario, 31% of our water demand is from highly stressed basins. Regions with high water stress in 2030 include locations in the Chinese Mainland (Beijing, Shanghai, and Chengdu). Hong Kong will also experience increasing water stress. The findings from the water risk analysis will contribute to the development of our water replenishment strategy.

Swire Coca-Cola evaluates site-specific water risks, including water quality and availability, for each bottling plant using The Coca-Cola Company’s guidelines on Source Vulnerability Assessments (SVAs). Following SVAs, plants prepare water management plans (WMPs). SVAs and WMPs provide detailed evaluations of site-specific risks, such as potential adjustments to water prices or damage to local water supply infrastructure, and also include mitigation measures. They are reviewed at least every five years. All bottling plants had SVAs and WMPs prepared or reviewed by external water experts. Swire Coca-Cola aims to have all SVAs and WMPs externally verified by 2025. Read more in Building adaptive capacity in the Climate section.

Mark Harper | Group Head of Sustainability

We monitor our water use to identify opportunities to adopt more efficient processes, repair leaks, install water flow regulators and use technologies that use less or no freshwater. Going beyond our direct operations, we seek to positively influence the behaviour of our suppliers, customers, and other water users in our local communities.

Swire Coca-Cola upgrades equipment, adopts new water-saving or water-less technologies and fixes leaks to reduce freshwater demand of its facilities. It has installed water sub-meters at all of its bottling plants in the Chinese Mainland. While Swire Coca-Cola does not have direct control of its co-packers’ operations, they contribute to the overall water footprint of the drinks it sells. It engages strategic co-packers on water issues.

Swire Properties uses water meters, water flow regulators, automatic taps, and automatic flush toilets and water-free urinals at various locations. It also encourages tenants to adopt guidelines on the use of fresh and flushing water and support compliance with the Hong Kong government’s voluntary “Quality Water Supply Scheme for Buildings”.

HAECO Hong Kong has commenced a water consumption audit to understand its actual water distribution profile within the premises. A consultant was appointed to carry out the study which aims to further identify water saving opportunities and help HAECO Hong Kong to achieve the 2030 water intensity target. 

At HAECO Xiamen, an ultrafiltration membrane has been installed in the existing reclaimed water system. It is expected to improve the use of recycled water and reduce freshwater consumption by 2,000 tonnes each year.

Taikoo Sugar uses a water heat exchange system in syrup production which can reduce water consumption by around 3.5 cubic metres per tank compared with an air-cooling system.

Pollution affects the quality of local water sources, so it is important to ensure that water is discharged safely in compliance with local regulations.

Swire Coca-Cola treats wastewater onsite before it is discharged at all of its bottling plants in the Chinese Mainland, Hong Kong, Taiwan, Vietnam and Cambodia. All of Swire Coca-Cola’s bottling plants comply with local water quality regulations and are required to follow the wastewater management requirements of The Coca-Cola Company. Performance is monitored. In the Chinese Mainland, an online monitoring system is used to track wastewater compliance.

Where necessary, Swire Coca-Cola bottling plants and companies in the HAECO group have onsite wastewater treatment facilities. HAECO Xiamen uses heavy metal monitoring equipment and detectors to check effluents before discharge.

Our operating companies have made steady progress and are actively making investments to further reduce freshwater consumption. The Water Working Group will focus on enhancing data collection and monitoring of our water data. We will continue to explore water replenishment partnership opportunities in locations where we operate.