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42 About Strategy and Governance Our People Our Business Our Outcome Appendix%u2023 Emissions intensity (market-based): Scope 1 and 2 CO2e emissions market-based in tons per CHF million net sales%u2023 Emissions intensity (location-based): Scope 1 and 2 CO2e emissions location-based in tons per CHF million net sales%u2023 Energy consumption intensity: Energy consumption27 in MWh per CHF million net sales%u2023 GRI 302-3, GRI 305-4Energy Usage in Our Operations, by Activity, in MWhFuel usage by our fleetFuel usage in our facilities25Electricity in our facilities268,7335,06691,13712,7985,738102,03917,1028,453104,7582020(base year)2022 2023%u2023 GRI 302-125%u2002 Fuel used in equipment such as back-up electricity generators, boilers, and material handling equipment (e.g. forklift trucks). 26%u2002 More than 62 % of electricity used is either purchased under a green tariff from our supplier or is covered by centralized purchases of unbundled renewable energy certificates (I-RECs).27 Energy consumption for our own operations only. For energy types, see the bar chart %u2018Energy usage in our operations, by activity, in MWh%u2019.Energy Consumption and Fossil Fuel Use in Logistics OperationsDKSH operates more than 200 DCs to distribute the products made by our clients and our company. Our DCs and warehouses are typically leased, with a few of them built to suit. They account for a significant part of our carbon footprint. We consume energy for lighting, cooling, heating, and operating forklifts and other handling equipment. Most of our handling equipment is battery powered. We may need to store and transport temperature-sensitive products in air-conditioned vehicles or special transportation boxes. Therefore, the use of refrigerants and the resulting fugitive emissions form part of our carbon footprint.Our capillary distribution network serves thousands of customers daily. We have a comparatively small fleet of our own vehicles. Transport tenders are a particular focus for our company in line with the commitments made in our Sustainability Strategy and as part of our Non-Trade Sustainable Procurement Strategy. We welcome working with service providers who can offer electric vehicles, particularly those who can provide such services in emerging markets. For developed markets, we require that transport service providers supply electric vehicles for at least 5% of the tendered fleet. In general, our goal is to replace as many diesel vehicles as possible with electric vehicles for all routes. In our largest market, Thailand, the fleet operated by DKSH and its subcontractors comprises 12 electric vehicles. We are planning to order a further eight vehicles for this market in 2024. Most of our outbound deliveries are handled by transport service providers that we select based on quality, reliability, and, increasingly, fuel efficiency criteria. One of our most significant impacts relates to vehicle fuel consumption. More than 97 % of our outsourced fleet is diesel-powered, although some vehicles run on compressed natural gas or gasoline. Optimizing routes is vital here to improving our operating efficiency. Our outsourced fleet comprises transport services that we pay for on a per-trip/case basis, while our chartered fleet is made up of vehicles that we rent monthly. We continuously strive to optimize the mix of trucks in our fleet to improve fuel efficiency and decrease fuel consumption.2021 2022 2023Scope 1 and 2 emission intensity (market-based) per million CHF sales 3.14 2.97 2.61Scope 1 and 2 emission intensity (location-based) per million CHF sales 5.36 5.51 6.06Energy consumption intensity per million CHF sales 10.07 10.65 11.78Emission Intensity and Energy Consumption Intensity