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RESPONSIBLE
PRODUCTION

OUR APPROACH TO CREATING VALUE
Responsible Production
Management & Governance Systems  
CCI's sustainability governance is structured to support and manage comprehensive key environmental concerns. The CCI Group Supply Chain Director has the ultimate responsibility for environmental management and is diligently monitoring our sustainability goals.

In 2018, we formed a committee to maximize our potential to reduce our WUR (Water Utilization Rate) and EUR (Energy Utilization Rate) values. This committee carried out an action plan after assessing the current situation and preparing gap analysis among plants. Thus, CCI reviews and evaluates its performance every month with this method. We also evaluate our strategy and medium/long-term targets with our cross-functional Task Forces established in 3 focus areas.
Compliance
We comply with local legal requirements, international standards and TCCC KORE requirements. Our perpetual goal is 100% compliance with legal environmental limits and TCCC’s standards. In 2021, we fully complied with environmental legislation and TCCC standards, and consequently did not receive any fines*.

*Fines exceeding 10,000 USD
Trainings
In 2021, we provided 3,897 human hours of environmental training to our employees in Turkey, Jordan, Azerbaijan, Kazakhstan, Pakistan, Kyrgyzstan, Tajikistan, Turkmenistan and Iraq in order to improve our performance and create environmental awareness.
3.897
Human-hours of environmental training
Highlights In Our Environmental Management Performance
In 2021, with CCI operational excellence (OE) projects, we saved
12.5
Million MJ of energy
5,000
tons of CO2 emissions
185,000
m3 water
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Responsible Production
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Operational excellence is crucial in terms of sustainability of our operations. At CCI, we off er our consumers a wide range of products with our bottling activities in 30 plants in 11 countries without any compromise on product quality and safety. As product safety and hygiene issues are increasingly becoming more important today, we introduced more strict hygiene practices at our facilities and distribution centers for the health of our consumers.
11
countries
30
facilities
KORE Audits
We manage our food safety and quality, environmental impact and occupational safety performance
at our facilities based on the Coca- Cola System (TCCC operating requirements) named KORE. In order to ensure compliance with standards at each plant and the attainment
of relevant certifications and engagement with approved excellence programs, TCCC’s internal auditors perform periodical KORE audits and assessments.
Due to the Covid-19 pandemic, all TCCC and Operations Unit audits were carried out virtually this year. The measures taken against Covid-19 and Food Safety were the focus in virtual audits. All audits were completed successfully.
The external audits performed to verify our compliance with the required standards at our plants also continued in 2021.
The current list of standards and completed verifications can be found at the left section of the page.
Certificates
ISO 9001 Quality
All Facilities**
ISO 14001 Environment
All Facilities**
ISO 45001 Occupational Health andSafety
All Facilities**
FSSC 22000 Food Quality
All Facilities**
ISO 50001
Energy Management**
Turkey: All Facilities
Kyrgyzstan: Bishkek Facility
Pakistan: All Facilities
ISO 14064 Greenhouse Gas Standards
Turkey: All Facilities, sales operations facilities and offi ces
LEED Gold Certificate
Turkey: Head Office Building
ISO/TS 22002-4 Food Packaging
All plants that produce preforms
ISO 27001
All Facilities**
TSE COVID-19 Safe Production*
Turkey: All Facilities
*Until July 2021.
** Except Pakistan - Islamabad Facility

Sustainable Packaging & Waste Management

Sustainable Packaging
Packaging is an important component of our product quality. Additionally, sustainable packaging comes with its responsibilities such as conserving resources and the efficient use of energy. As CCI, we contribute to the circular economy and reduce our carbon footprint while ensuring safe deliveries to our customers and consumers through our sustainable packaging efforts.
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Our Sustainable Packaging Strategy
Design, Collect, Partner!
In order to prevent packaging
from ending up in our oceans and waterways or littering the communities in which we all live, we have aligned our packaging strategy with TCCC's new environmental program, "A World Without Waste". One of the key elements of our packaging strategy is using less resources for packaging. Consequently, we continuously work to develop lighter packaging by using less material and conduct lightweight projects on both glass and resin side. We also focus our efforts on reusing our glass bottles, collecting back the packaging we put on the market and increasing the recycled content in our packaging.
Returnable Glass Bottle
With our returnable glass bottle practices that allow the use of glass bottles up to eight times, we reduce energy consumption and use fewer resources.
In 2021, returnable glass bottle practices in Turkey prevented
67.302
tons of CO2, equivalent to the amount that is absorbed by
5.6 million trees.
[1] The calculation is made based on the assumption that an average mature (15 years and older) tree absorbs 12 kg of CO2 annually.
Lightweight Practices
As defined in our strategy, we put several practices into action to reduce the number of natural resources used in packaging without compromising the safety of our products. Our efforts began in 2008 when we reduced the length of the bottleneck for the lightweight PET bottle in Turkey. We have been implementing lightweight programs since 2010 in Kazakhstan, Azerbaijan, and Kyrgyzstan operations.

forIn 2015, we conducted a benchmark study covering all countries of operations to map the amount of resin used for all sizes of bottles and to share best practices for lightweight applications among the plants. With our lightweight practices, we save materials and also reduce GHG emissions released during production. With the help of lightweight and short neck practices, 128 tons of resin is saved in 2021 within the scope of lightweight practices.
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Recycled PET (R-PET)

As a consequence of the great emphasis we place on circular economy at CCI, we focus on the entire life cycle of packaging. With this renewed perspective, we spend continuous efforts to increase the amount of recycled material in our packaging. Besides the mandatory regulations on the use of r-PET in beverage packaging, we have been working on the use of recycled materials for a long time.
In 2021, we used 8.3% recycled plastic (r-PET) content in Turkey, using the chemical recycling method. This rate corresponds to 25% r-PET content in 32% of our total volume used at CCI Turkey. In Turkey, we used 50% recycled plastic in 1 lt sparkling beverages products and 25% recycled plastic in fruit juice and ice tea products We also used 25% recycled HDPE (high-density polyethylene) in our plastic crates. In 2022, we will implement the necessary tests to further increase our use of recycled plastic in our products in these categories compared to 2021.

Using 50% recycled plastic (r-PET) based labels in our transparent labels used in the water category, and increasing the use of recycled materials in secondary packaging such as plastic crates, cling film and shrink are among other goals that we are working on with our strategic partners.
Zero Waste Approach In Our Operations
In order to reduce our environmental footprint, we try to minimize the waste generated within the scope of our operations.
In line with the ISO 14001 environmental management system, CCI's environmental policy, legislations and TCCC's KORE-EOSH requirements, we carry out practices related to waste prevention, reduction, reuse, recycling and recovery, which are the focus of our core strategy. At our production facilities, we sort and separate our waste as reusable, recyclable, recoverable and other wastes.
In all CCI activities, all waste that can be reused is reused, and that which can be recycled and recovered is delivered to licensed companies. Waste that cannot be recycled or recovered is sorted according to specific, legally defined categories and delivered to licensed disposal facilities and/or municipalities for storage in waste storage facilities. According to our waste management standards, all waste disposal sites are evaluated before use, and periodically thereafter, to verify and document site acceptability.
We are actively using the advantages of digitalization towards reducing paper waste. Double printing allowed 1.1 million pages of paper to be saved annually. Thus, at the same time, carbon dioxide equivalent to the amount that is absorbed by 4000 trees was prevented.All the computers and connected equipment we use are delivered to certified recycling companies after completing their life cycles.

Since 2006, within the scope of our ultimate goal of "zero waste" production, we have initiated various practices aimed at developing and improving our performance in all our countries of operation. In order to comply with our Zero Waste target, we now operate with “Zero Waste” at all our plants and Head Office in CCI Turkey.
Waste Recycling Ratios At Our Production Facilities
In Turkey
%97.7
In Kazakhstan
%89.1
In Pakistan
%98.3
In Tajikistan
%91.6
In Iraq
%94.4
In Jordan
%92.3
In Azerbaijan
%99.2
In Kyrgyzstan
%98.3
In Turkmenistan
%57.9
CCI Joins International "10x20x30" Initiative to Address Food Loss & Waste
In line with its sustainable growth strategy, CCI has joined the worldwide "10x20x30" initiative aiming to halve food loss & waste within its supplier network. Led by 12 of the world's leading food retail and food provider companies, each member invited 20 suppliers to develop an effective solution across the value chain.

The project initiated by the World Resources Institute (WRI) is carried out in more than 80 countries and CCI will participate in the project with 20 suppliers of Migros to be among the companies representing Turkey. Retailers and producers will join forces with this initiative to expand their impact. By participating in this initiative, CCI aims to contribute to its 2030 targets.
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Water Management

Water is the most important natural resource for the continuity of life. As a result of the technological developments, the eff ects of climate change and improvements in living standards, it is predicted that demand for water will increase 40% by 2030.

Based on this reality, the sustainable use of water, which is an indispensable element of our products and production, is critical for the sustainability of our business. Therefore, minimizingour negative impacts on water and sustaining water eff icient operations is of utmost priority and we fully support TCCC’s ultimate goal “replenish every drop of water we use.”
At all facilities, we take into account the impact of the climate crisis on water resources in the basins where we have facilities. Based on this point, we develop, invest and implement water saving programs in line with the Operational Excellence Culture every year to ensure eff icient use of water. In 2021, we saved approximately 185 thousand m3 water in our countries of operation.
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Our Water Management Strategy
Improving the overall wateruse eff iciency in our plants;
Implementing Source Vulnerability Assessment (SVA) and Source Water Protection (SWP) studies to protect water catchment basins in the regions where our plants are located;
Managing wastewater and storm water discharge in our plants (achieving 100% compliance in wastewater treatment);
Replenishing the water, we use, back to the nature by implementing locally relevant programs;
Mitigating risk for communities and for our business, by partnering with governments, NGOs and communities to assess, understand and generate effective, long-term water stress solutions, and implement source water protection plans;
Researching and investing in new technologies to reduce water consumption;
Investigating opportunities and conducting feasibility study to supply sustainable sources.
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Plant Water Usage and Minimization
At CCI, we monitor the amount of water used for producing one liter of product. Our plants have created a water map in order to follow water consumption on a daily basis. We continuously analyze, evaluate and spread best practices among CCI plants to reduce our water usage ratio (WUR). Our 2022 goal is to achieve a water usage ratio of 1.64 L/L of water per liter of product.
In 2022, we aim to achive
1.64 L/L
water use per liter product.
Top 10 Water Saving Programs
All CCI plants completed the program in 2018, which was designed to reduce water usage in production facilities and to support continuous improvement of water usage ratio in our plants.
Some of the best water saving programs include:
Reverse osmosis water purification and reuse project at Lahore plant in Pakistan
The project of reusing water at the Baku plant in Azerbaijan;
Scrubber efficiency improvement project at Gujranwala plant in Pakistan
TCCC's 2030 Water Security Strategy
More than 10 years ago, the Coca-Cola Company set a leading goal to replenish the water we use in our beverages and the production process of our beverages. Our goals also include using water more efficiently and purification of all wastewater in our production processes.
In 2021, TCCC announced "2030 Water Security Strategy".

We will work to improve water availability and quality, ecosystems, access to water, and management to improve water security for society and nature.
We are water neutral and restore 100% of the water used in the production of our beverages back to nature. Our water management goals aim to improve water safety, supply materials, and touch people's lives in CCI geographies.
TCCC's 2030 Water Strategy focuses on 3 priorities
Reducing shared water challenges worldwide.
Increasing the water resilience of the society by focusing on women and girls.
Improving the health of watersheds whichis a priority due to conditions.
Source Water Vulnerability Assessment (SVA)
The water we use in our products and our production processes is drawn from local sources. Therefore, as CCI; we conduct a local source water vulnerability assessment (SVA) and develop Source Water Protection Plan (SWPP) to use water responsibly, mitigate water-related risks to our system and to the communities we serve as part of our water management program.
SVAs allow us to assess the vulnerabilities of community sources of water and help us determine the potential impacts of our water usage and wastewater discharge.

This assessment is conducted in five-year rounds at all CCI plants. One of our 2021 targets was to conduct SVA studies in Amman, Ankara, Çorlu, Dushanbe, Izmir, Köyceğiz, Lahore, Mersin, Multan, and Rahim Yar Khan plants. In line with this target, we carried out SVA studies for these factories.
During SVA studies, which include field surveys, interviews with plant authorities or field representatives, local and national authorities, and desktop studies; an analysis of water basins and sub-basins around our plants is conducted.

This includes the topographical, geological, hydrogeological, and hydrological assessment of the study areas as well as the identification of any risks to the sustainability of water resources within these areas.

As a result of the assessments, we file an inventory of social, environmental and political risks related to water resources supplying our facilities and surrounding communities and act on a plant-by-plant basis after evaluating the results of these studies with a WMP.
Across the countries in which we operate
11 billion liters
water has been replenishedso far.
The water replenishment ratefor Turkey has reached
%101
by 2021.
Wate Replenishment Programs
TCCC began water replenishment programs in 2005, and since then has been working with communities, governments and respected third parties to commission and support projects that address local water needs from safe water access to watershed protection and water use for production.
These Water Stewardship Programs have been developed considering the following objectives:
• To improve safe access to water and
sanitation;
• To protect watersheds;
• To provide water for productive use;
• To educate and raise awareness
about water issues, including engagement on water policy.
Through the water replenishment projects, 11 billion liters of water was replenished so far across CCI countries in the reporting scope. The water replenishment rate for Turkey has reached 101% by 2021.

In line with the results of the source water vulnerability assessments (SVA)conducted for each of our plants, we will continue to provide community water projects and replenishment programs in local regions in 2022.
For detailed information about our water replenishment programs, see "Section 5: Community Development".
Wastewater Management
At CCI, we comply with local laws regulating wastewater treatment and discharge in all the operating countries in line with our waste water management approach which we define as "Zero waste water generation and reclamation".

At the same time, we have high standards around wastewater discharge and act according to TCCC standards or local regulations (whichever stricter comes first) that set wastewater pollutant limits for our activities. In many cases, the permitted discharge limits set by the TCCC are much lower than those set by local authorities.
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In addition to ISO 14001 Environment Management System Audits, all CCI operations are regularly audited in detail by third parties.

We monitor our wastewater quality parameters by periodic analyses and reduce our environmental impact by treating wastewater prior to discharge.

We also monitor the amount of wastewater discharged per liter of product. We also develop projects to reduce wastewater generated as a result of our activities.
In 2021, we discharged approximately 4,633,533 million m3 of wastewater in our nine countries of operation. We discharged 3,119,711 m3 of this amount into the municipal sewage system, 716,252 m3 to organized industrial zone purification plants, and 797,570 m3 to surface water after purification.
For TCCC requirements on treated wastewater quality, please see Section 5-Sustainability Performance Indicators.
For water discharge analysis of CCI Plants, please see Section 5 Additional Remarks for BIST.
A Step Towards Asustainable Future
In 2020, CCI Pakistan signed a Memorandum of Understanding(MoU) with the Pakistan HorticultureAuthority (PHA) to provide purified wastewater for cleaning roads and watering green areas.
Under the agreement between the two sides, CCI Pakistan will provide the PHA with purified wastewater for irrigation of green areas and cleaning roads over the next five years.

As a compliant and responsible corporate citizen, CCI Pakistan aims to do its part by implementing innovative effective water use mechanisms and improving water usage ratios. At critical times when Pakistan is experiencing a severe water crisis, CCI Pakistan is taking exemplary and sustainable initiatives while paving the way for others.

Energy Management And Climate Protection

Our main focus areas while reducing our environmental footprint are energy efficiency and climate protection.

With the rest of the world, we are aware of the risks of the climate crisis that necessitate an all-out struggle and the direct/indirect consequences that may occur towards these risks.

With the awareness of our responsibility for such a high potential risk to humanity, we are implementing all necessary changes to contribute to this struggle.
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The Focus Areas of Our Energy Efficiency and Climate Protection Strategy are:
To reduce energy use and GHG emissions by implementing energy efficiency programs in our production activities as well as production and sales offices;
To reduce direct emissions caused by logistics activities through effective fleet and fuel management and optimization;
To reduce indirect emissions by focusing on climate-friendly cooling programs;
To raise awareness about climate protection by cooperating with our distributors,vendors, suppliers, employees and other stakeholders;
To consistently calculate, verify and report the carbon footprint of our activities;
To raise awareness of climate crisis by interacting with our stakeholders on relevantplatforms;
To calculate the carbon footprint of our products in line with a life cycle approach;
To conduct clean and renewable energy research and to make investments accordingly as much as possible;
To investigate opportunities and conduct a feasibility study to supply sustainable sources.
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Practices To Reduce Carbon Footprint
Responsible Procurement
At CCI, we prefer environmentally friendly alternatives as much as possible in our procurement processes and prefer equipment that consumes less energy.

into In order to minimize our carbon dioxide emissions, we replaced LPG forklifts with electric forklifts in 2021 and reduced our carbon dioxide emissions by 68% which prevented 521 tons of carbon dioxide from leaking the atmosphere. We also replaced company cars with hybrid cars that consumed 38% less fuel.
Server Systems
As CCI, we use green electricity in all our cloud systems that serve us. In order to consume less energy and minimize our carbon dioxide emissions accordingly, we virtualized 331 servers in CCI system rooms.

As a result, we prevented the consumption of 98 million kWh of electricity per year and therefore the release of approximately 46,000 tons of carbon dioxide.
Biometric Signature Application
As a result of the joint work of Digital Technologies and Legal departments, we became the first FMCG company to implement biometric signatures. More than 100 documents have been signed with nearly 500 biometric signatures to date. This instant and paperless signature, which we started to use in approval processes, will only be used in internal processes until it becomes legal. The future plans of the teams include collecting all signatures automatically on the same platform and full transition to both biometric signature and e-signature.

The signature which off ers a 100% safe process by recording the writing angle, pen use pressure, speed, and pace of the person and we aim to adapt to the rapidly changing digital world, save on productivity, cost efficiency, time, and maintain our activities in an environmentally conscious manner.
Transport and Distribution Practices
Our commercial performance, transporting millions of products within the scope of our operations, is dependent on an efficient logistics network that optimizes the number vehicles in transit and mileage covered and aims to reduce emissions. Since logistics accounts for approximately 9.2% of the total greenhouse gas emissions of our value chain in Turkey, the optimization of distribution is critical to our commercial performance. We choose vehicles that consume less fuel and emit less carbon.
Electric Vehicle Use For Distribution
At CCI, the management of our environmental impact plays avital role in the continuity of our operations. We are aware of ourresponsibility towards the limits of natural resources. Accordingly, we started distribution with electric panel van in our Dudullu warehouse. We will continue to bring new solutions and expand the fleet by following developments for a more sustainable distribution.
COOLING PRACTICES
Our cooling practices allow our consumers to enjoy our products more while also bringing us the need to take steps with the awareness of our responsibility to reduce our environmental footprint. Therefore, we are constantly upgrading existing equipment with energy efficient technologies and working with our suppliers to produce and develop climate-friendly cooling technologies. During this reporting period, we collected and disposed of approximately 62,120 old cooling equipment.
Thanks to EMD and HFC-freecold drink equipment thatwe purchased between 2010and 2021, we prevented
2.5 million tons of CO2
emissions.
Between 2010 and 2021, we purchased EMD and HFC-free cold drink equipment, thus preventing 2.68 million tons of CO2 emissions which is beyond our target of 1.75 million tons of CO2 emissions. This is equivalent amount of CO2 emissions that 220 million trees absorb from the atmosphere.*
*Calculation is made based on the assumption that an average mature (15 years and older) tree absorbs 12kg CO2 annually.
Hfc-free Cold Drink Equipment
The use of HFCs as refrigerant in cold drink equipment has negative impact on climate change. TCCC, together with its bottling partners, set its new goal to have 100% of its new cold beverage equipment HFC-free. In cases where a commercial HFC-free solution is not available, we collaborate with our suppliers to develop alternative HFC-free solutions.
HFC-free cold drink equipment is at least
1.000 times
less effective on global warming.
This effort is vitally important as HFC-free cold drink equipment have at least 1,000 times less eff ect on global warming when compared to their HFC counterparts. On the other side, refrigerants in cold drink equipment may slowly leak into the atmosphere during use or may leak completely if the equipment is not properly disposed at the end of its life cycle. For this reason, CCI always ensures that cold drink equipment is properly degassed.
Cold Drink Equipment With Led Lights
At CCI Turkey operations, we strive to minimize our energy consumption and we have been purchasing cold drink equipment with LED lights since 2012. With this strategy, we will keep increasing our ratio and minimizing our energy consumption.
Cold Drink Equipment With Energy Management Device (EMD)
Effective since 2009, Energy Management Device (EMD) is another tool which enables us to tune our cold drink equipment’s environmental footprint. By using cold drink equipment with EMD, we can reduce energy consumption up to 42%. For this reason, we preferred Awareness Programs of TCCC and CCI on Energy and Climate to purchase new cold drink equipment (larger than 250-liter capacity) with EMD as part of the initiative.

With our climate-friendly actions in our countries of operation, we avoided 2.48 million tons of CO2 emissions since 2009 which is equivalent amount of CO2 emissions that 207 million trees absorb from the atmosphere.
Awareness Programs of TCCC and CCI on Energy and Climate
Hand-in-Hand Environment Program
We have initiated Hand-in-Hand Environment Program in 2018 and started to implement the program in production operations in 2020. The scope of the program aims to bring more environmental and sustainable perspectives to our cultural strategy, to create a "behavior-oriented environmental program", to improve our environmental behaviors in our operations, to manage our environmental footprint as per the United Nations Sustainable Development Goals and to mitigate its impact. As CCI, we aim to achieve the LEADER (best in class) position in TCCC cultural maturity assessment with the model applied in the program.

In addition to the assessment of the compliance to Hand in Hand Environment Program, we introduced a new performance indicator (EMI) in 2021 and started to measure the environmental performance of Turkish factories with a single parameter and their objectives were set accordingly. In 2022, we aim to expand this system to all CCI factories.
Science Based Target From The Coca-Cola Company
The Coca-Cola Company has committed to reducing absolute carbon emissions across the value chain by 25% in 2030 compared to 2015. This goal has also been approved by the Science Based Targets Initiative.
CCI Climate Task Force
As CCI, we continue our efforts to determine the roadmap in accordance with our own operation geography and dynamics. In this context, we have created a climate task force consisting of various department representatives to reduce our carbon emissions throughout the value chain while growing our business.
Emissions By Scope And Region
At CCI, while we measure totale missions for each country of operation, we also monitor our GHG emissions rate which represents the amount of gram CO2 per liter of produced product.
At CCI, while we measure total emissions for each country of operation, we also monitor our GHG emissions rate which represents the amount of gram CO2 per liter of the product. As a part of our transparency principle in line with ISO 14064-1 Standard, our emission coverage measured and verified within the framework of Scope 3 in Turkey has been expanded in 2021. Until today (including 2020), Turkey Scope 3 emissions data was covering cold beverage equipment, Head Office service transportation, business trips, and downward transportation in the value chain. In 2021 this was extended to also include land transportation across Turkey, purchased goods, energy-related consumption, waste, carbon dioxide emissions during the use of the products, and end-of-life emissions.
In other countries, Scope 3 emissions cover emissions from cold beverage equipment.

When we compare our absolute emissions over last year's coverage, we see that our absolute CO2 emissions increased from 1.3 million tons to 1.7 million tons.
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Renewable Energy Transformation in Bornova
Taking an important step towards reducing its carbon footprint, ourBornova distributor now meets its electricity needs with solar panels installed on the roof of its warehouse.

In addition to reducing absolute emissions, we have optimized ouroperations to increase emissions savings as well. As a result of best practices executed throughout the value chain, we prevented 485,000 tons of CO2 emissions in 2021 which equals the amount of CO2 that approximately 40 million trees absorb from the atmosphere annually.
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In 2021, we prevented
485 thousand tons of CO2
emissions.