ESG STRATEGY - Sustainable Foundations: Embedding ESG Principles at Every Level

THE IMPORTANCE OF ENVIRONMENTAL SOCIAL GOVERNANCE (ESG)

Sustainability is not a new topic – neither in Pharma nor more widely. Patients are seeking medicines that are more sustainable, from production to packaging, and regulations are adding pres­sure to favor therapies with a lower environmental impact in order to reduce overall healthcare footprints. This means that drug de­velopers and CDMOs must consider integrating sustainable ini­tiatives throughout their value chain. However, with “greenwashing” a key concern, claims must be backed by con­crete evidence and transparent communications about environ­mental impact using data. As a result, a robust (ESG) strategy is increasingly important for businesses to align with stakeholder values. See – ESG Update 2024 (report)

By bringing together the three different aspects of business sustainability, ESG provides a holistic way of looking at a com­pany’s operations and impact. It therefore also provides a useful framework to guide corporate strategy and decision-making.

At Bespak, we believe that we have a responsibility to make a positive impact in the world, and this means adopting an ap­proach of continual improvement to minimise negative environ­mental and social impacts across all aspects of our operations.

SUSTAINABLE FROM THE START

ESG has been woven into Bespak’s strategy from the very start. Having been spun out from Recipharm in April 2024 with a mission to take a leading role in the transition to low carbon pressurized Metered Dose Inhalers (pMDIs), sustainability and corporate responsibility are fundamental core values.

Our central focus is on driving a reduction in emissions from pMDIs through the adoption of low Global Warming Potential (GWP) propellants, and this is where we have concentrated the bulk of our resources and investment so far. However, we ulti­mately recognize that this is just one part of a larger picture and are committed to taking a more extensive approach that goes be­yond pMDI propellants. For example, we consider sustainability throughout key areas where we can have an impact: the devel­opment and manufacturing process, whether a pMDI or one of our alternative inhalation device platforms. And, thinking even bigger, this brings into focus the footprint of Bespak as a whole, considering our impact from every perspective, from global con­sequences for the atmosphere to local effects on the ecosystems of our sites and our local communities.

These factors are vital to embed in our ESG strategy, coupled with transparent data-driven actions and relevant metrics to mon­itor and evaluate progress. As a key step, we are releasing our inaugural Bespak ESG Update. This important assessment of our operations allows us to establish benchmarks, identify priority ac­tions and next steps, maintain accountability, and ultimately drive meaningful change.

CONSIDERING THE FULL SUPPLY CHAIN

Another important aspect to consider in terms of overall sus­tainability is the many different players in the supply chain. This is something we have factored into our ESG strategy, ensuring that our report extends beyond just our in-house operations, for example, through Life Cycle Assessments (LCAs) that include im­pact from raw materials through to manufacturing. Our supply chain has therefore been carefully built to leverage local expert­ise, minimizing transport-associated emissions. We also prioritize working with suppliers that match our values and meet our high operational and ethical standards. This not only helps to maintain standards and a consistent alignment on goals, but also offers the additional benefit of increasing supply chain resilience through onshoring.

ENVIRONMENTAL: CONSIDERING PROPELLANTS, RESOURCE USE, BIODIVERSITY & BEYOND

Considering our impact on the envi­ronment is an obvious place to start. As a CDMO specializing in inhaled therapies that treat a range of respiratory conditions, the state of the atmosphere is a highly top­ical concern. Addressing carbon emissions is a priority for Pharma more widely, for example, with seven big pharma compa­nies announcing their shared commitment to accelerating net-zero healthcare in 2022.¹ But an environmental footprint goes beyond air pollution and climate change, to encompass biodiversity, re­source use and more.

Transitioning to Low GWP Propellants
The transition to low GWP propellants is a clear priority for the industry, and our most significant priority at Bespak. In 2024, propellant emissions alone ac­counted for 86% of our direct operational emissions, highlighting the urgent need for change. We are focused on driving this transition and have expanded our facilities with a new high-speed production line ca­pable of producing pMDIs using Honey­well’s Solstice® Air HFO-1234ze(E). Our plans to manufacture at commercial scale using Orbia’s Zephex® HFA-152a were accelerated during 2024 with the addition of a GMP pilot-scale facility to supply pMDIs utilizing this low GWP propellant into clinical studies. We will continue to de­velop our expertise and capabilities to drive the switch to low carbon pMDIs, and reduce the inhalation sector’s carbon emissions.

Considering Resource Consumption
Consumption of energy and raw ma­terials, and waste generation – including emissions and discarded materials – must also be considered in a holistic approach to environmental sustainability.

We have implemented several initia­tives to support greater energy efficiency, from renewable energy (with solar panels providing 7% of our Holmes Chapel site’s total energy), to transitioning to LED light­ing and upgrading HVAC filters in our cleanrooms. We also implemented carbon accounting software to help track and monitor our Scope 1, 2, and 3 emissions.

To enhance resource efficiency and reduce waste, we are implementing signif­icant sustainability initiatives across device packaging and component manufactur­ing. These measures include introducing ISCC-certified materials into moulded parts and transitioning to recycled PET (rPET) for device trays, which has reduced CO₂e emissions by 29.3% compared to virgin PET. We’re also working to align with circular economy principles, achieving up to 80% rPET content. Additionally, strate­gies, such as re-using plastic trays and re­assessing the necessity of desiccant sachets in packaging, are being explored to further minimise material use and envi­ronmental impact.

LCAs are a critical tool in identifying carbon- and resource-intensive hotspots in our products and processes, highlighting opportunities for improvement, as well as allowing us to integrate sustainability into new product designs from the onset.

Biodiversity Impacts
A potentially overlooked aspect of sustainability is both direct and indirect im­pacts of business operations on local bio­diversity. We are lucky enough to have our Holmes Chapel headquarters surrounded by green landscape, and as such, preserv­ing local ecosystems is particularly impor­tant to us. By conducting on-site biodiversity assessments to understand the direct impact, and looking at our overall supply chain to understand indirect im­pacts, we can find opportunities to reduce our overall biodiversity footprint and envi­ronmental impact.

Having now conducted many of our initial assessments, we have established benchmarks from which to set our envi­ronmental targets. For example, we are planning to conduct a climate risk assess­ment to help identify where the business is most vulnerable in terms of climate change and its impact on our operations, supply chains, assets, and markets.

SOCIAL: WELLBEING ACROSS EVERY STEP IN THE SUPPLY CHAIN

People are vital to any business, and at Bespak, we pride ourselves on the qual­ity of our workforce. Collaboration and re­spect are among our core values, and this extends from the workers in our supply chain, to patients and our local communi­ties. Beyond this, we are committed to con­tinual upskilling and employee support. Our innovative Injection Moulding Acad­emy, which was awarded the Plastics In­dustry Awards’ Best Training and Development Programme 2024, provides specialist training and professional devel­opment for our staff and our partners, as well as supporting apprenticeships for the local community. With social impact largely underreported in the pharmaceu­tical space, we recognize our responsibility to commit to and effectively communicate our social initiatives.²

Contributing to a Sustainable Work Culture
There are many different factors that contribute to a sustainable, ethical work culture. Among these are employee health, safety, and wellbeing approaches to recruitment and development, and a commitment to diversity, equality, and in­clusion. We have business policies in place to support all of these factors, but at only a year old, we are still making founda­tional decisions that define Bespak’s cul­ture. We are committed to taking the time to get this right, bringing employees into the conversation to shape the future of the Bespak workforce. It’s also important to extend ethical standards and values to workers in our value chain, which is why we have developed a supplier code of conduct and evaluation process.

Excellence Across the Value Chain
When considering the full value chain, this should also include patients and other end-users of our products – en­suring that the products they receive are of the highest quality and have positive im­pacts on their lives. Quality and efficacy are of course non-negotiable in our indus­try, but we are committed to maintaining our decades-long track record of safe, re­liable products, with continuous improve­ments to our quality systems ensuring that we raise the bar every day.

Engaging With Local Communities
The final aspect of social impact con­cerns our local communities. Community engagement such as donation matching, sponsorships and volunteering has been a strong part of our historic workplace cul­ture at Bespak. We are now going a step further to contribute to positive impacts on the local communities surrounding each of our sites. We have conducted local com­munity needs assessments in Holmes Chapel and King’s Lynn, and will use these going forward to develop a mission-driven community engagement strategy. We are also planning to expand our partnerships with local education providers, offering even more opportunities for apprentice­ships and training particularly in STEM subjects.

GOVERNANCE: BUILDING ESG INTO OUR LEADERSHIP

Achieving sustainability ambitions re­quires governance structures that prioritise them. Our leadership approach works to balance our ESG strategy with our busi­ness needs, to ensure the longevity to suc­ceed sustainably.

Assigning Responsibility
We have established governance frameworks with the senior leadership team involved in maintaining a chain of accountability and keeping our sustain­ability goals front of mind and central to our operations. Our strategy also includes ESG awareness and training sessions to foster engagement and a feeling of re­sponsibility across our workforce.

SETTING THE STAGE

After our first year as a stand-alone inhalation CDMO, it will be important to continue the momentum toward our sus­tainability goals. Our aim is for Bespak to be a leader in this area, which means going above and beyond regulatory re­quirements, customer expectations, and industry norms. Our 2024 ESG Update is a critical milestone, as it lays the ground­work for our commitments. With sustain­ability already a key focus in the inhalation space, due to the transition to low GWP propellants in pMDIs, we look forward to the initiatives and innovations that will help to enhance the impact of the industry on the world.

 Solstice is a registered trademark of Honeywell International Inc.

Zephex is a brand of Koura and Orbia Fluor & Energy Materials and is a registered trademark of Mexichem SAB de C.V.

 REFERENCES/FURTHER READING

1. Seven pharma CEOs announce new joint action to accelerate net zero healthcare (2022). https://www.astrazeneca.com/media-centre/arti­cles/2022/seven-pharma-ceos-announce-new-joint-action-to-acceler­ate-net-zero-healthcare.html#.
2. ESG in pharmaceuticals – Strategies and opportunities (2025). https://www.rolandberger.com/en/Insights/Publications/ESG-in-phar­maceuticals-Strategies-and-opportunities.html.

– ESG Update 2024 (report)

Benedicta A. Bakpa is the Head of ESG at Bespak, bringing 15 years of experience in Environmental Management and Sustainability across multiple sectors. She specializes in Net Zero Carbon initiatives, helping organizations achieve their carbon reduction goals and contributing to a more sustainable future. She has successfully led the implementation of numerous environmental and social value initiatives for companies in Africa, the Middle East, and the UK. She earned her Master of Science in Applied Environmental Economics from the Imperial College London and a certificate in Business and Climate Change from the University of Cambridge. She is a Chartered Environmentalist and a full member of the Institute of Environmental Management and Assessment (IEMA).