Climate Change Data

Environmental Metrics

ESG Focus Areas

• Greenhouse gas emissions & climate change
• Energy use & efficiency
• Longevity & cyclability
• Environmental impacts of application purpose
• Working conditions
• Occupational health & safety
• Product safety
• Business conduct

Environmental Achievements

• Converted Burckhardt Compression’s electricity consumption in Switzerland to 100% renewable energies.
• Burckhardt Compression India significantly reduced Scope 1 and Scope 2 emissions through a comprehensive energy audit.
• Successfully completed the conversion from coal-fired to electric furnaces at the Shenyang Yuanda foundry in China.
• Energy savings of more than 95’000 kWh in 2021 for the local site in India by conducting an energy-saving audit and carrying out several specific projects.
• Developed and approved for sale the next, more energy-efficient generation of Laby®-GI compressors.

Social Achievements

• Launched Dr. BeWell program in 2019, including a varied range of physical exercises as well as preventative measures and special topics.
• Further expanded remote working concept in line with the needs and wishes of our employees.
• Successfully recertified occupational health and safety management system at Group level in accordance with the new ISO 45001 standard.

Governance Achievements

• Revised Code of Conduct and Code of Conduct for business partners.
• Launched Speak Up reporting system.
• New training module produced for anti-corruption and free competition compliance.

Climate Goals & Targets

Environmental Challenges

• Increased Scope 2 emissions due to the switch from coal-fired to electric furnaces at the Shenyang Yuanda foundry, while casting production has increased significantly.
• Increased energy consumption due to the switch from coal-fired to electric furnaces and increased production at the Shenyang Yuanda foundry.
• Increased Lost Time Workday Rate (LWTR) due to increased workload in factories and related new hires and use of temporary personnel.
• Employee turnover rate increased to 10.1%, with voluntary departures above target.

Mitigation Strategies

• Developing a road map for the long-term reduction of greenhouse gas emissions.
• Extending the greenhouse gas inventory to further Scope 3 categories.
• Setting short- and long-term targets at Group level to increase electricity efficiency in operations.
• Continuing local energy-saving measures.
• Using employee survey findings to improve employee satisfaction.
• Introducing a global award program for exceptional team performance.
• Bolstering safety culture through awareness campaigns and information.
• Aligning local approaches and achieving continuous improvement through shared learning experiences.
• Further implementing and reinforcing process improvements started in 2021.
• Developing a strategy for wider distribution of Burckhardt Compression compressor control systems.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Code of Conduct for business partners, checks on-site or when goods arrive, policy on conflict minerals.

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: GRI Standards: Core option

Certifications: ISO 14001, ISO 45001

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• SDG 3
• SDG 7
• SDG 8
• SDG 12
• SDG 13

Strategic approach to sustainability is based on eight material topics and is aligned with the SDGs.

Sustainable Products & Innovation

• Next generation Laby®-GI compressors, oil-free compressor with a discharge pressure of 550 bar and high capacity.

Awards & Recognition

• EcoVadis silver medal
• GreenCo Star Performer Award (Pune factory)

Environmental Metrics

ESG Focus Areas

• Economic Sustainability
• Social Sustainability
• Environmental Sustainability

Environmental Achievements

• Reduced need for district heating by up to 60% through waste heat recovery in new manufacturing hall
• Installed solar panels generating around 300,000 kWh per year at Pune plant
• Received an award from the Carbon Disclosure Project (CDP) for the greatest improvement of any company in Switzerland in 2015

Social Achievements

• Low employee turnover ratio of 5.4%
• Average employee tenure of nine years
• Annual spending on apprenticeship training programs of about CHF 1.4 million
• Filled various management vacancies with internal candidates

Governance Achievements

• Ranked 14th out of 165 Swiss listed companies in a 2015 survey of company boards on corporate governance
• A- rating for Investor Relations and transparency from Finanz und Wirtschaft

Climate Goals & Targets

Environmental Challenges

• Increased water consumption and waste due to higher order intake, multiple shifts, and leased space

Mitigation Strategies

• Continued and expanded waste disposal concept with more rigorous waste separation

Supply Chain Management

Supplier Audits: Annual assessments through visits and audits

Responsible Procurement

• BC Code (Burckhardt Compression’s Code of Conduct)

Climate-Related Risks & Opportunities

Sustainable Products & Innovation

• Laby®-GI compressors (reduce CO2 and SOX emissions)
• Process Gas Compressors API 618 (used in fuel desulphurization)
• PROGNOST®-SILver (condition monitoring for compressors)

Awards & Recognition

• CDP award for greatest improvement in Switzerland

Environmental Metrics

ESG Focus Areas

• Economic Sustainability
• Social Sustainability
• Environmental Sustainability

Environmental Achievements

• Pune plant reduced energy consumption by 21% and freshwater consumption by 33% versus the 2015/16 base year.
• 772 kg of cotton saved by washing oily cotton cleaning rags instead of disposing of them.
• Optimized chemicals concept at Winterthur site, replacing combustible chemicals with less flammable ones and reducing VOC gas consumption.
• Conventional lighting in Winterthur replaced with LEDs.
• New sand mixer installed in Shenyang Yuanda Compressor’s foundry allowing for sand reprocessing and reuse.
• Shenyang Yuanda Compressor’s new plant designed for energy efficiency using district heating and insulated wall panels.
• Improved internal logistics and transportation, reducing transport runs and using more container delivery solutions.

Social Achievements

• Employee survey showed a 91% participation rate with improvements across various topics, including collaboration, supervisors, and information policies.
• Launched the "Dr. BeWell" program to improve employee health and well-being.
• Increased percentage of women in the global workforce to 14.5% (from 13.8% the previous year), aiming for 20%.
• Maintained low employee turnover rate of 9.5% (previous year: 9.8%).
• 58 apprentices in Switzerland and 31 in India receiving vocational training.
• Filled various management vacancies with internal candidates.

Governance Achievements

• Maintained compliance with OHSAS 18001 and ISO 14001 standards.
• Achieved above-average sustainability rating compared to comparable Swiss companies.
• Consistently high ratings for investor relations and transparency.

Climate Goals & Targets

Environmental Challenges

• Significant increase in warranty costs due to additional costs in the LNGM business.

Mitigation Strategies

• Not disclosed

Supply Chain Management

Supplier Audits: Annual assessments through visits and audits.

Responsible Procurement

• Code of Conduct
• Systematic suitability testing
• Annual performance assessment

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: OHSAS 18001, ISO 14001

Third-party Assurance: GAM

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Compressor systems for marine applications (reducing CO2, SOx, and NOx emissions)
• Process gas compressors for hydrogen fueling applications (oil-free operation)
• PROGNOST®-SILver systems for monitoring and diagnosing compressor condition

Awards & Recognition

• SAP Gold Award in the “Fast Delivery” category
• GreenCo STAR Performer Award (Pune plant)

Environmental Metrics

ESG Focus Areas

• Greenhouse gas emissions & climate change
• Energy use & efficiency
• Longevity & cyclability
• Environmental impacts of application purpose
• Working conditions
• Occupational health & safety
• Product health & safety
• Business conduct

Environmental Achievements

• Reduced greenhouse gas emissions by 44% in Winterthur (mostly due to pandemic-related travel restrictions)
• Pune factory (India) reduced energy consumption by 22% and freshwater consumption by 38% compared to the base year 2015/16.
• Shenyang Yuanda Compressor’s new factory utilizes district heating and has effective insulation.
• Saved 660 kg of cotton by washing instead of disposing of oily cleaning rags in Pune.

Social Achievements

• Improved employee satisfaction based on a 91% response rate employee survey.
• Implemented the Dr. BeWell program for employee well-being.
• Achieved ISO 45001 certification for health and safety at most locations.
• Ranked 26th among most attractive Swiss employers in 2021 (3rd in mechanical engineering sector).

Governance Achievements

• Established a Speak Up channel (grievance channel) for reporting violations of values and behavioral guidelines (to be launched in 2021).
• Consistently receives very good ratings for investor relations and transparency.
• Regularly reviews and updates its Code of Conduct.

Climate Goals & Targets

Environmental Challenges

• Reducing energy consumption and greenhouse gas emissions further.
• Maintaining high employee satisfaction and low turnover.
• Managing risks associated with global supply chains.

Mitigation Strategies

• Multi-year energy saving project in Winterthur.
• Implementation of measures based on employee survey results.
• Close collaboration with suppliers and a Code of Conduct for Business Partners.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Code of Conduct for Business Partners
• Supplier qualification process
• Regular evaluations and performance reviews

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Development of energy-efficient products

Reporting Standards

Frameworks Used: GRI

Certifications: ISO 14001, ISO 45001

Third-party Assurance: GAM

UN Sustainable Development Goals

• Not disclosed

From fiscal year 2021, Burckhardt Compression will gradually integrate key sustainability topics into its business activities and align them more closely with the Sustainable Development Goals.

Sustainable Products & Innovation

• Compressor systems for marine applications (dual-fuel propulsion system)
• Process gas compressors for hydrogen fueling applications
• Process gas compressors per API 618
• PROGNOST®-SILver monitoring and diagnostic systems

Awards & Recognition

• GreenCo Star Performer Award (Pune factory)

Environmental Metrics

ESG Focus Areas

• Greenhouse gas emissions & climate change
• Energy use & efficiency
• Longevity & cyclability
• Environmental impacts of application purpose
• Working conditions
• Occupational health & safety
• Product safety
• Business conduct

Environmental Achievements

• Converted Burckhardt Compression’s electricity consumption in Switzerland to 100% renewable energies.
• Burckhardt Compression India significantly reduced Scope 1 and Scope 2 emissions through a comprehensive energy audit.
• Successfully completed the conversion from coal-fired to electric furnaces at the Shenyang Yuanda foundry in China.
• Launched a research and development project to evaluate various approaches for comprehensive emissions management of existing compressors.
• Developed and approved for sale the next, more energy-efficient generation of Laby®-GI compressors.

Social Achievements

• Further expanded remote working concept in line with employee needs and wishes.
• Improved overall employee satisfaction and engagement compared with the last survey.
• Launched Dr. BeWell program in 2019, including physical exercises and preventative measures.

Governance Achievements

• Revised Code of Conduct and forwarded it to every employee in the Group.
• Produced a new Code of Conduct for business partners, signed by suppliers representing more than 80% of purchasing volume.
• Launched Speak Up reporting system for employees and business partners to report suspected misconduct.

Climate Goals & Targets

Environmental Challenges

• Increased energy consumption due to the switch from coal-fired to electric furnaces and increased production at the Shenyang Yuanda foundry.
• Employee turnover rate increased to 10.1%, with voluntary departures above the target figure of 5%.
• Lost Time Workday Rate (LWTR) increased from 16.4 to 27.8 due to increased workload and new hires.

Mitigation Strategies

• Implementing local energy-saving measures and setting targets to increase electricity efficiency.
• Using findings from employee surveys to improve employee satisfaction and introduce a global award program.
• Thoroughly analyzing the cause of accidents and implementing corrective measures, focusing on a culture of prevention.

Supply Chain Management

Responsible Procurement

• Code of Conduct for business partners
• Policy on conflict minerals

Climate-Related Risks & Opportunities

Opportunities

• Reduction of greenhouse gas emissions through avoidance of gas leakage.
• Development of energy-efficient products and services.

Reporting Standards

Frameworks Used: GRI Standards: Core option

Certifications: ISO 14001, ISO 45001

UN Sustainable Development Goals

• SDG 3
• SDG 7
• SDG 8
• SDG 12
• SDG 13

Strategic approach to sustainability based on eight material topics and aligned with the SDGs.

Sustainable Products & Innovation

• Laby®-GI compressors
• Oil-free compressor with a discharge pressure of 550 bar

Awards & Recognition

• EcoVadis silver medal
• GreenCo Star Performer Award (Pune factory)

Environmental Metrics

ESG Focus Areas

• Greenhouse gas emissions & climate change
• Energy use & efficiency
• Longevity & cyclability
• Environmental impacts of application purpose
• Working conditions
• Occupational health & safety
• Product safety
• Business conduct

Environmental Achievements

• Reduced greenhouse gas emission intensity by working hours (excluding Shenyang foundry) from 2.1 kg CO2e/h in 2021 to 2.3 kg CO2e/h in 2022.
• Increased share of renewable electricity from 15% in 2021 to 21% in 2022.
• Increased revamp and upgrade sales of Services Division (index, 2021=100) from 100 in 2021 to 159 in 2022.
• Achieved energy savings of 34.5 MWh through the installation of Pneumatic Multistage Clearance Adjustment System in China.
• Achieved energy savings of 320 MWh per year for a customer in India with minimal modifications.

Social Achievements

• Maintained an employee engagement score of ≥ 80% (2020: 79%).
• Implemented numerous measures at the Shenyang production site based on employee survey results (e.g., tea rooms, sports facilities, health checks).
• Launched a global award program for recognizing exceptional team performance.
• Reduced Lost Time Injury Rate (LTIR) from 1.1 in 2021 to 0.6 in 2022.

Governance Achievements

• Updated and rolled out “Values and Behaviors” guidelines.
• Continued rollout of Code of Conduct for business partners, signed by suppliers representing over 80% of purchasing volume.
• Provided targeted training modules on anti-corruption, free competition, and export compliance to 372 employees.

Climate Goals & Targets

Environmental Challenges

• Increased Scope 1 and Scope 2 emissions due to strong business growth, especially in China where renewable energy options are limited.
• Increased employee turnover rate to 10.7%.

Mitigation Strategies

• Developing a roadmap for net-zero emissions by 2035.
• Implementing solar panel projects in various locations.
• Developing special service offerings to support customers in reducing emissions.
• Systematically analyzing employee survey results to improve employee engagement.
• Implementing measures to strengthen safety culture and enhance internal coordination.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Code of Conduct for business partners

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Development of energy-efficient products and services.

Reporting Standards

Frameworks Used: GRI Standards

Certifications: ISO 14001, ISO 45001, ISO 9001

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• SDG 3
• SDG 7
• SDG 8
• SDG 12
• SDG 13

Initiatives contribute to these goals through various aspects of their operations.

Sustainable Products & Innovation

• Persisto® materials
• Redura® sealing systems
• Pneumatic Multistage Clearance Adjustment System

Awards & Recognition

• EcoVadis silver medal

Environmental Metrics

ESG Focus Areas

• Climate Change
• Energy Efficiency
• Longevity & Cyclability
• Energy Transition
• Working Conditions
• Occupational Health & Safety
• Product Safety
• Business Conduct

Environmental Achievements

• Reduced CO₂ emissions by 5% in absolute terms and by 12% in relative terms, per hour worked.
• Prognost in Germany completely switched to renewable electricity.
• Solar installations at the service center in Spain.

Social Achievements

• Launched a new employee survey with a 93% participation rate.
• Improved Lost Time Injury Rate (LTIR) below Mid-Range Plan target.
• Implemented a new human rights policy and third-party risk management policy.

Governance Achievements

• No deviations from zero-incident targets for product safety and business conduct.
• Key figures externally audited for the first time.

Climate Goals & Targets

Environmental Challenges

• Reducing Scope 3 emissions (primarily from the use phase of compressors)
• Accurately estimating gas leakages in customer operations
• Challenges in accessing data for quantifying energy savings with customers

Mitigation Strategies

• Developed a detailed climate roadmap for each local unit to achieve net-zero operational CO₂ emissions by 2035.
• Launched BC ACTIVATE service to provide customers with diagnostics and insights for emission reduction.
• Implementing energy monitoring systems and energy-saving projects at various sites.
• Planning expansion of renewable electricity production at facilities.

Supply Chain Management

Supplier Audits: 618 supplier assessments initiated in 2023, 392 completed.

Responsible Procurement

• Code of Conduct for business partners
• Third-party risk management policy
• Due diligence approach focusing on environment, health & safety, human rights, child labor, and conflict minerals.

Climate-Related Risks & Opportunities

Opportunities

• Development of energy-efficient products and services; supporting customers in their CO2 emission reduction efforts.

Reporting Standards

Frameworks Used: GRI

Certifications: ISO 14001, ISO 45001

Third-party Assurance: PwC (limited assurance)

UN Sustainable Development Goals

• SDG 3
• SDG 7
• SDG 8
• SDG 12
• SDG 13

Initiatives aligned with SDGs for good health and well-being, affordable and clean energy, decent work and economic growth, responsible consumption and production, and climate action.

Sustainable Products & Innovation

• Oil-free hydrogen compressors
• Persisto® materials
• Redura® sealing systems

Awards & Recognition

• GreenCo Star Performer Award (Gold Rating) for Pune factory
• Ranked among the most attractive Swiss employers in mechanical and plant engineering sector.