Embraer S.A.
Climate Impact & Sustainability Data (2016, 2022, 2023)
Reporting Period: 2016
Environmental Metrics
ESG Focus Areas
- Ethics
- Attraction, development and retention of human resources
- Product safety
- Management of chemical substances
- Management of supply chain
- Export control
- Sustainable new business, products and services
- Management of natural resources and waste
- Atmospheric emissions
- Human and labor rights
- Employee health and safety
- Transparency and communication
- Management of the product’s environmental life cycle
- Local socio-economic development
- Research, development and innovation
Environmental Achievements
- Reduced energy consumption by 2,498 MWh/year through initiatives such as modernization of hangar lighting systems, installation of photovoltaic panels, and replacement of fluorescent bulbs with LED lights.
- Reduced greenhouse gas emissions (Scope 1+2) by 19% compared to 2013.
- Reduced VOC emissions by 82% compared to 2013.
- Achieved 5% water reuse.
Social Achievements
- Launched first trainee program.
- Established partnerships with educational institutions.
- Filled 36% of open positions with internal employees.
- Offered more than 300 training courses.
- Reduced Lost Time Injury Rate (LTIR) by 31.6% compared to 2014.
- Embraer High Schools achieved high approval rates in university entrance exams.
Governance Achievements
- Reached an agreement with Brazilian and U.S. authorities regarding irregularities identified in four sales contracts.
- Strengthened Compliance and Internal Controls Program.
- Implemented an ongoing ethics training program.
- Improved processes and controls.
Climate Goals & Targets
- Carbon neutral growth by 2020 and a 50% reduction in net aviation CO2 emissions by 2050 (industry goals)
- Not disclosed
- Not disclosed
Environmental Challenges
- Adverse conditions and deterioration of the competitive landscape, including deceleration of emerging markets’ commercial activity and global political and economic instabilities.
- Reduced sales in Defense & Security and Executive Aviation segments.
Mitigation Strategies
- Adjusted costs and expenses to the current market scenario.
- Launched “Challenge 200” to achieve US$200 million in annual savings.
- Implemented operational adjustments, including a Voluntary Dismissal Program (PDV).
Supply Chain Management
Supplier Audits: Monthly monitoring of performance indicators, face-to-face audits at contractor companies’ plants, and periodic assessment of environmental impact surveys.
Responsible Procurement
- Code of Ethics and Conduct
- Contracts containing clauses regarding human rights, labor, and environmental laws
Climate-Related Risks & Opportunities
Physical Risks
- Not disclosed
Transition Risks
- Environmental laws, carbon taxation, European Union Emissions Trading Scheme (EU ETS)
Opportunities
- Development of energy-efficient products
Reporting Standards
Frameworks Used: GRI G4 Guidelines (Core option)
Certifications: ISO 14001 (at 47.05% of manufacturing plants and service centers), OHSAS 18001 (at 47.05% of manufacturing plants and service centers)
Third-party Assurance: KPMG Independent Auditors (financial data); Lloyd’s Register Quality Assurance (LRQA) (GHG emissions inventory)
UN Sustainable Development Goals
- Not disclosed
Embraer embraced four UN Sustainable Development Goals in 2016.
Sustainable Products & Innovation
- E2 generation jets (reduced fuel consumption, emissions, and noise)
- KC-390 multi-mission aircraft
- Phenom 100EV
Awards & Recognition
- Brazil’s Most Innovative Company
- 2016 Best Companies to Work For in Brazil
- The Best Companies for Starting your Career
- Best Companies for Human Resources
- Transparency in Corporate Reports
- Empresas Mais
- Aviation International News’ 2016 Product Support Survey
- Pro Pilot magazine’s Corporate Aircraft Product Support Survey
Reporting Period: 2022
Environmental Metrics
ESG Focus Areas
- Decarbonizing aviation
- Diversity & Inclusion
- Corporate Governance
Environmental Achievements
- Signed a power purchase agreement to ensure 100% renewable electricity in Brazil by 2024 (achieving Scope 2 carbon neutrality in Brazil one year ahead of schedule)
- Implemented pilot project to replace natural gas with biomethane in Gavião Peixoto unit
- Installed photovoltaic panels in Ede unit
- Installed solar heating at Gavião Peixoto unit
- Successfully tested E195-E2 aircraft using 100% sustainable aviation fuel (SAF)
- Signed a Letter of Intent with Raízen to evaluate SAF production in Brazil
Social Achievements
- Implemented a global “Future of Work” project focusing on hybrid work models
- Filled more than 2,700 vacancies in 2022
- Filled 500 internship vacancies in two cycles
- Launched Summer Internship program
- Conducted Social Tech program for professional qualification of minority groups
- Created Women’s Training Program to accelerate women’s career development
- Received “Great Place to Work” certification in several countries
Governance Achievements
- Ranked first in corporate governance in the Época Negócios 360º Yearbook survey
- Implemented Compliance Office Floor Kaizen pilot project
- Launched “Fly Right” tool to centralize Compliance processes
- Conducted various Compliance trainings
- Held Compliance Day event
Climate Goals & Targets
- Develop products for zero-carbon aviation by 2050
- Achieve carbon neutrality in operations by 2040
- Use 100% renewable electricity in all operations by 2030
- Provide professional qualification in technology for 1,500 people from minority groups by 2025
- Achieve 50% diversity in hiring across all gateway programs by 2025
- Have 25% of women in Embraer’s Master’s Program by 2025
- Have 20% of women in senior leadership positions by 2025
Environmental Challenges
- War in Ukraine
- Increased global inflation
- Supply chain restrictions
- Contract renegotiation in Defense & Security segment
Mitigation Strategies
- Created a special team to operate within main suppliers’ plants
- Developed alternative logistics routes
- Improved internal processes to reduce production cycles
- Implemented inventory turnover management
- Restructured selection and procurement processes
- Improved production processes
- Diversification of business areas
Supply Chain Management
Supplier Audits: Not disclosed
Responsible Procurement
- Global Procurement Policy
- Socio-environmental requirements in contracts
- Due diligence process for critical suppliers
- Conflict Minerals clause
Climate-Related Risks & Opportunities
Physical Risks
- Not disclosed
Transition Risks
- Not disclosed
Opportunities
- Development of energy-efficient products
- Development of SAF
Reporting Standards
Frameworks Used: GRI, SASB, TCFD, UN Global Compact
Certifications: ISO 14001, ISO 45001, AS9100, NATO AQAP 2110
Third-party Assurance: Not disclosed
UN Sustainable Development Goals
- Goal 1
- Goal 4
- Goal 5
- Goal 8
- Goal 9
- Goal 13
Embraer's initiatives contribute to these goals through various programs and policies.
Sustainable Products & Innovation
- Energia Family program for zero-emission aircraft
- E195-E2 aircraft with improved fuel efficiency
Awards & Recognition
- National Innovation Award
- Valor Inovação Brasil Award
- Brazil 5.0 Digital Transformation Award
Reporting Period: 2023
Environmental Metrics
ESG Focus Areas
- Decarbonizing aviation
- Diversity & Inclusion
- Corporate Governance
Environmental Achievements
- Continued SAF acquisition strategy at Melbourne facility.
- Contracts signed for purchase of renewable electricity in Brazil (starting 2024) and efforts to structure renewable electricity acquisition plan for US operations.
- Successfully conducted test flights using 100% SAF on Phenom 300E and Praetor 600 jets.
- Implemented new methodology in E-Jets wing production, speeding up manufacturing cycle by 50%.
Social Achievements
- Significant advances in cultural evolution focusing on five pillars (One Embraer, Responsibility, Openness, Passion, Simplicity).
- Launched Women’s Training Program.
- Joined IATA’s 25by2025 initiative to increase female participation in aviation.
- Launched ‘Plan for Inclusion of People with Disabilities in Brazil.’
- Launched Social Tech program, providing 50 scholarships exclusively for women.
Governance Achievements
- Maintained Compliance program, revising procedures and policies to encompass diversity, inclusion, ESG, and cultural pillars.
- Conducted several training sessions on anti-corruption topics.
Climate Goals & Targets
- Products for zero-carbon aviation by 2050
- Carbon-neutral operations by 2040
- 100% renewable electricity by 2030
- Transition entire portfolio of commercial and executive aircraft to SAF 100% by 2030.
- Promote technological education for 1,500 people from underrepresented groups by 2025.
Environmental Challenges
- Significant constraints in the supply chain and escalating international conflicts.
- Reducing Scope 2 emissions associated with electricity.
- Reducing emissions from the use of natural gas.
Mitigation Strategies
- Focus on business efficiency and innovation, strengthening sales efforts.
- Contracts for renewable electricity and efforts to structure renewable electricity acquisition plan for US operations.
- Comprehensive study to identify primary equipment using natural gas and exploring electrification and biogas alternatives.
Supply Chain Management
Supplier Audits: Not disclosed
Responsible Procurement
- Global Purchasing Policy
- Supplier Code of Ethics and Conduct
- Socio-environmental requirements in contracts
- Conflict Minerals clause
Climate-Related Risks & Opportunities
Physical Risks
- Not disclosed
Transition Risks
- Not disclosed
Opportunities
- Development of energy-efficient products
- Development of hydrogen propulsion technologies
Reporting Standards
Frameworks Used: GRI, SASB, TCFD, UN Global Compact
Certifications: ISO 14001, ISO 45001
Third-party Assurance: Not disclosed
UN Sustainable Development Goals
- Goal 1
- Goal 4
- Goal 5
- Goal 8
- Goal 9
- Goal 13
Initiatives aligned with SDGs 1, 4, 5, 8, 9, and 13, as detailed in the GRI Content Summary.
Sustainable Products & Innovation
- E2 family of aircraft
- Electric propulsion systems for aerospace industry (Nidec Aerospace joint venture)
- eVTOL aircraft (Eve Air Mobility)
Awards & Recognition
- National Innovation Award (Innovation Management and Sustainability categories)
- Valor Inovação Brasil Award (ranked fourth most innovative company)
- ANEFAC Transparency Trophy
- Great Place to Work certification