2021 UNIVERSAL REGISTRATION DOCUMENT

L’Oréal has drafted a strategy involving the use of renewable energy, based on the possibilities offered by each local context.

In recent years, many projects have been rolled out that allow some sites to directly produce their own renewable energy, establish PPAs (Power Purchase Agreements) or use locally produced renewable energy.

In 2021, 80%☑ of the energy consumed by the factories and distribution centres and 82% of the energy consumed by the administrative sites and research centres was renewable.

100 of the Group’s sites were "carbon neutral" at the end of 2021☑:

Certain sites are now able to claim the status of “carbon neutral” if they meet the following two requirements:

• Direct CO₂ (Scope 1) = 0 with the exception of the gas used for catering, the fuel oil used for sprinkler tests, fossil energy consumptions during maintenance of on-site renewable facilities, cooling gas leaks if they are lower than 130 tonnes CO₂eq./year; and
• Indirect CO₂ Market Based (Scope 2) = 0.

The renewable energy sources must be located on-site or less than 500 kilometers from the site and be connected to the same distribution network.

☑The Statutory Auditors have expressed reasonable assurance about this indicator.