Environmental Responsibility

Detsky Mir Group prioritizes environmental protection, responsible use of natural resources and recycling of packaging. The Company believes that the environment of tomorrow for us and the future generation – our children – depend on the careful treatment of our environment today.

Strategic Development Areas in Environmental Protection:

  • Reducing greenhouse gas emissions
  • Using recyclable packaging of individual goods
  • Increasing volumes of collected recyclable materials and recycled waste

We pay particular attention to environmental wellbeing and implement a range of projects aimed at reducing our environmental footprint and introducing sustainability best practices into our business processes. This approach has enabled us to significantly reduce not only the amount of energy consumed, but also the emissions produced.

Fundamental Principles of Our Environmental Protection Activity

  • Compliance with the environmental legislation of Russia, Kazakhstan, and Belarus
  • Raising employees’ environmental awareness through training programs
  • Implementing special environmental projects (campaigns)
  • Responsible use of natural resources
  • Analysis and disclosure of environmental information
  • Continuous improvement of the environmental management system
  • Minimizing environmental impact

Key Environmental Protection Achievements in 2020:

  • Prepared debut report on greenhouse gas emissions (calculation of scopes 1, 2 and 3)  
  • Held environmental campaigns in the office and retail chain stores: collections to recycle clothing and footwear, used household appliances and batteries, and wastepaper
  • Improved energy efficiency in distribution centers and stores
  • Improved transport efficiency
  • Set environmental requirements for logistics companies’ transport and fuel use

Reducing Greenhouse Gas Emissions

Detsky Mir works with suppliers and customers to reduce its environmental impact. It also competently manages its own business processes in order to consume resources responsibly and gradually reduce greenhouse gas emissions. We believe that our progressive approach will eventually make us a carbon-neutral company.

The Company maintains a record of direct greenhouse gas emissions (scope 1) that are associated with fuel and gas consumption for its own electricity generation. Detsky Mir also collects data to calculate indirect emissions (scope 2), which are associated with the consumption of purchased heat and electricity. Distribution centers, retail stores, and office buildings are the primary sites used by the Company to calculate figures for scopes 1 and 2.

In 2020, we took the first steps to calculate other indirect greenhouse gas emissions (scope 3). These include all emissions that occur in the production chain and are not related to emissions from scopes 1 and 2. The calculation presented in the report is based on data on the volume of fuel consumed by transport companies that provide logistics services to Detsky Mir. The Company is completely transitioning all business processes related to goods transport and production to third party companies that provide these services.

Responsible Resource Consumption

Regular introduction of modern technologies and solutions aimed at reducing resource consumption is important for Detsky Mir. These solutions not only reduce operating costs but also reduce our impact on the environment.

The Detsky Mir store retail concept involves using modern energy-saving solutions that not only improve selling spaces by making them more comfortable for visitors and staff but also significantly saves energy. In 2020, we managed to keep electricity consumption at around the same level as the previous year. All Company distribution centers are equipped with energy-efficient equipment and a lighting system that uses motion sensors. These sites have been assigned the highest energy– efficiency rating of A++.

Because the Company’s activities are inextricably linked with the use of real estate sites—logistics infrastructure facilities, selling space, etc.—Detsky Mir uses thermal energy and gas to heat them. We take measures to use thermal energy and gas efficiently and use a stateof- the-art automated system to maintain records of the consumption
of these energy sources. In 2020, Detsky Mir reduced its heat consumption by 8.2% year-on-year.

Guided by environmental principles, the Company has developed standards with respect to requirements for carriers of its goods, which must be adhered to by all transport service providers when doing business with Detsky Mir. Compliance with these standards comes in addition to compliance with all applicable laws and regulations.

Compliance with these requirements and local laws is a prerequisite for working with Detsky Mir. For us, a responsible supply chain means partnering with suppliers who:

  • Monitor the quality of the fuel used in their operations;
  • Minimize the use of hazardous (toxic) substances;
  • Safely operate their fleet;
  • Respect the environment;
  • Monitor the safety of the waste generated by their operations;
  • Comply with technical rules and regulations.

Water consumption at the Company’s facilities (office, retail stores, and distribution centers) is minimal. Detsky Mir aims to optimize water consumption through the use of state-of-the-art technologicalsolutions and metering devices.

Automation of the Company’s business processes has led not only to an increase in operating efficiency but also to a reduction in the consumption of resources such as office paper. For example, the introduction of an electronic invoice format made it possible to abandon paper invoices.

Ecological Consumer Packaging and Reusable Bags

The Detsky Mir Group was the first operator in the children’s goods segment in Russia to offer customers environmentally friendly and reusable bags. Today, the chain’s retail stores and the Detsky Mir online store offer customers reusable soft bags and bags made of environmentally friendly material that does not harm the environment during decomposition and is easy to dispose of. Launching the sale of eco-bags was the next logical step in a series of environmental initiatives. In 2020, total sales of cloth bags and eco-bags amounted to 464,644 units (compared with 164,142 in 2019).

Collection and Processing of Recyclable Materials

Cardboard, polyethylene film, and pallets account for a substantial part of the waste generated at our distribution centers and stores. These waste items are well suited to recycling. For example, cardboard is used to make chipboard, which is considered the most promising recycled packaging material globally. We have set ourselves the task of reducing our own environmental impact, so the introduction of packaging recycling projects was a logical step on this path.

Since 2014, the Company has been collecting wastepaper and polyethylene packaging films at its distribution centers; they are sorted separately and transferred to a specialized organization for further recycling. In 2015, the Company introduced collection of waste for recycling at retail facilities.

Green World Project

The Green World Project is one of the Company’s eco-projects. It works to increase the number of employees involved in ecoinitiatives and therefore limit the Company’s environmental impact.

The project’s goal is to contribute to collective environmental efforts and not to shy away from the problems associated with the responsible use of natural resources. In 2020, a number of eco-initiatives were implemented at the Company’s headquarters as part of the project, which are aimed at promoting the careful consumption of resources:

  • Collection of batteries and used accumulators
  • Collection of wastepaper for recycling
  • Collection of used household appliances
  • Disposal of capsules from coffee machines
  • Separate waste collection
  • Kind Caps
  • Collection of clothing and footwear for recycling