Climate Change Data

El.En. Group

Climate Impact & Sustainability Data (2020, 2021, 2023)

Reporting Period: 2020

Environmental Metrics

Total Carbon Emissions:3726 tCO2e (location-based); 3998 tCO2e (market-based)
Scope 1 Emissions:1676 tCO2e
Scope 2 Emissions:2051 tCO2e (location-based); 2322 tCO2e (market-based)
Renewable Energy Share:7%
Total Energy Consumption:43895 GJ
Water Consumption:34042 m3

ESG Focus Areas

  • Governance
  • Economic responsibility
  • Product responsibility
  • Responsibility towards human resources
  • Social responsibility
  • Environmental responsibility

Environmental Achievements

  • Two photovoltaic plants started functioning in 2020.
  • Penta Laser Wenzhou received the “Green Factory” award for sustainable production processes.
  • Overall energy consumption decreased by 2% compared to the previous year.
  • Water consumption decreased due to reduced workplace presence because of the pandemic.

Social Achievements

  • 9% increase in staff in 2020.
  • Over 27,100 hours of training conducted in 2020.
  • Continued support of initiatives promoting the social and economic development of the local community.
  • Creation of a Medical Advisory Board (MAB) for women’s genital health by DEKA Mela S.r.l.

Governance Achievements

  • Executive Administrator in charge of internal controls was entrusted with defining strategic guidelines for sustainability.
  • The Anti-corruption Policy was adopted by all subsidiary companies.
  • The Human Rights Policy was adopted by all subsidiary companies.

Climate Goals & Targets

Long-term Goals:
  • Achieve sustainable and economical development.
  • Guarantee satisfaction and meet expectations of all stakeholders.
Medium-term Goals:
  • Install photovoltaic plants at more companies.
  • Implement an Ethics Code for Suppliers.
  • Continue well-being initiatives and start a wellness culture awareness program.
Short-term Goals:
  • Increase awareness and training of suppliers on ESG issues.
  • Distribute sustainability questionnaire to all employees.
  • Extend the questionnaire to include opinions, suggestions, and assessments.
  • Carry out new stakeholder engagement and meetings with other stakeholder categories.

Environmental Challenges

  • COVID-19 pandemic impacted activities in China and Europe, leading to reduced demand and production.
  • Supply chain disruptions due to travel restrictions.
Mitigation Strategies
  • Implemented smart working to maintain operations.
  • Invested in computer equipment to support remote work.
  • Utilized government support measures (CIG, PMI financing, grants).
  • Prioritized employee health and safety with strict protocols.

Supply Chain Management

Supplier Audits: 43% of critical component suppliers evaluated according to social and environmental criteria (Deka Mela S.r.l.).

Responsible Procurement
  • Checklist for evaluating suppliers including ESG subjects implemented.
  • Dissemination of social, ethical, and environmental standards to suppliers.

Climate-Related Risks & Opportunities

Physical Risks
  • Extreme weather events impacting infrastructure and production.
Transition Risks
  • Increased reporting obligations for emissions.
  • Expectations concerning low-impact energy sources.
  • Uncertainty in energy prices.

Reporting Standards

Frameworks Used: GRI Standards (Core option)

Third-party Assurance: Deloitte & Touche S.p.A. (limited assurance)

Sustainable Products & Innovation

  • Fiber lasers for metal cutting (reduced waste, emissions)
  • Laser systems for art restoration (non-invasive, reduced chemical use)
  • Medical lasers for minimally invasive surgery (improved patient outcomes).

Awards & Recognition

  • Green Factory award for Penta Laser Wenzhou

Reporting Period: 2021

Environmental Metrics

Total Carbon Emissions:4234 tCO2eq (location-based); 4670 tCO2eq (market-based)
Scope 1 Emissions:1755 tCO2eq
Scope 2 Emissions:2479 tCO2eq (location-based); 2915 tCO2eq (market-based)
Renewable Energy Share:5%
Total Energy Consumption:49.567 GJ
Water Consumption:44142 m3
Waste Generated:526 tons (excluding Chinese subsidiaries)

ESG Focus Areas

  • Environmental responsibility
  • Economic Responsibility
  • Governance
  • Social Responsibility
  • Human Resources
  • Product Responsibility

Environmental Achievements

  • Installed two photovoltaic plants.
  • Implemented selective waste collection in subsidiary companies.
  • Began monitoring waste produced by the Group.
  • Reduced CO2 emissions per unit produced by 24%.

Social Achievements

  • Increased staff by 17%.
  • Increased training hours by 24%.
  • Donated laser systems to non-profit organizations and hospitals.
  • Supported community initiatives.

Governance Achievements

  • Established a Committee for Controls and Risks, related party-transactions and sustainability.
  • Assigned the Executive Administrator of the internal controls system the task of defining strategic guidelines for sustainability.
  • Linked 25% of executive incentive remuneration to non-financial, multi-year sustainability objectives.

Climate Goals & Targets

Long-term Goals:
  • Reduce direct impact by reducing CO2 emissions; promote circular economy initiatives.
Medium-term Goals:
  • Develop a new analysis process to verify the applicability of the European Taxonomy to activities.
Short-term Goals:
  • Install four photovoltaic plants by the end of 2022.

Environmental Challenges

  • Supply chain disruptions due to the pandemic.
  • Increased costs of energy and raw materials.
  • Difficulties in the supply chain.
Mitigation Strategies
  • Group technical structures managed the emergency.
  • Continued to adopt Covid-19 safety procedures.
  • Implemented smart working.
  • Increased monitoring of the supply chain.

Supply Chain Management

Supplier Audits: 1% of new suppliers evaluated for sustainability in 2021.

Responsible Procurement
  • Defined and delivered social, ethical, and environmental standards to suppliers.
  • Required acceptance of the Ethics Code by suppliers.

Climate-Related Risks & Opportunities

Physical Risks
  • Extreme weather events; damage to infrastructure.
Transition Risks
  • Regulatory changes; market shifts; increased reporting obligations.

Reporting Standards

Frameworks Used: GRI Standards: Core option

Certifications: ISO 9001, ISO 13485, ISO 14001, ISO 45001, ISO 50001, MDSAP

Third-party Assurance: EY S.p.A. (Limited assurance)

UN Sustainable Development Goals

  • Not disclosed

The Group's sustainability objectives contribute to nine of the seventeen UN SDGs.

Sustainable Products & Innovation

  • Laser systems for cutting and marking that reduce waste and pollution.
  • Laser systems for conservation of works of art.

Awards & Recognition

  • ESG Identity 2021 label
  • Sustainability Leader 2021
  • Sustainability Awards 2021

Reporting Period: 2023

Environmental Metrics

Total Carbon Emissions:4,719 tCO2e (market-based Scope 2)
Scope 2 Emissions:4,719 tCO2e (market-based)
Renewable Energy Share:28% (purchased electricity from renewable sources)
Total Energy Consumption:6,812,980 kWh (purchased electricity)
Water Consumption:44,899 m3
Waste Generated:827 tons

ESG Focus Areas

  • Climate Change
  • Circular Economy
  • Responsible Supply Chain
  • Valuing People
  • Contributing to the Community

Environmental Achievements

  • Reduced Scope 2 GHG emissions by 26% (market-based methodology) compared to 2022.
  • Installed four photovoltaic systems in 2023.

Social Achievements

  • Increased employee count by 10% in Italian and European offices.
  • Provided over 43,800 hours of training (average 21 hours per employee).

Governance Achievements

  • Approved a new five-year Sustainability Plan (2023-2027).
  • Obtained ISO 14064 certification for El.En., Deka, and Quanta (early 2024).

Climate Goals & Targets

Long-term Goals:
  • Achieve carbon neutrality by 2050 (implied).
Medium-term Goals:
  • Reduce Scope 2 GHG emissions by 30% (market-based) and 5% (location-based) by 2027 compared to 2022 baseline.
  • Increase renewable energy share to at least 30% (purchased) and 20% (self-produced) by 2027.
Short-term Goals:
  • Reduce paper and plastic use.
  • Improve waste treatment and recovery.

Environmental Challenges

  • Contraction in the Chinese market due to economic slowdown and reduced investments.
  • Supply chain disruptions (not explicitly stated, but implied).
Mitigation Strategies
  • Investing in new product development and market release.
  • Developing a model for sustainable supply chain management.

Supply Chain Management

Responsible Procurement
  • ESG criteria integrated into supplier qualification system.
  • Supplier Code of Conduct (to be drafted).

Climate-Related Risks & Opportunities

Physical Risks
  • Extreme weather events
  • Damage to infrastructure
Transition Risks
  • Regulatory changes
  • Technological evolution
  • Market shifts
  • Reputational risks
Opportunities
  • Development of energy-efficient products and processes.

Reporting Standards

Frameworks Used: GRI

Certifications: ISO 14064

Third-party Assurance: EY S.p.A.

Sustainable Products & Innovation

  • New PRO line of medical devices
  • TORO laser platform
  • PhysiQ 360° product
  • Energy-efficient industrial laser systems

Awards & Recognition

  • Leader of Sustainability 2023
  • The most climate-conscious companies 2023
  • Sustainability Awards Italia 2023