Climate Change Data

Environmental Metrics

ESG Focus Areas

• Customer satisfaction
• R&D and innovation
• Digitalization
• Occupational health & safety
• Supply chain management
• Employee development and talent management
• Gender equality
• Circular economy
• Resource efficiency
• Renewable energy
• Green products
• Corporate governance
• Risk management
• Business conduct
• Biodiversity

Environmental Achievements

• Reduced energy intensity by 1% compared to 2017-2019 averages.
• Generated 146,002 MWh electricity from renewable energy sources, offsetting Scope 2 emissions with I-REC certificates.
• Achieved energy savings of 3,505,193 kWh/year and prevented 1,868 tons/year of carbon emissions through 23 energy efficiency projects.
• Developed a new alloy with 50% lower carbon footprint compared to equivalent products, using over 95% non-primary material.
• Planted 5,000 trees as a gift to exhibition guests and 1,680 trees to offset employee air travel carbon footprint.
• Created an Assan Alüminyum Memorial Forest with 5,000 saplings.

Social Achievements

• Increased female employee rate by 17% compared to 2020.
• Reached 14% female executive rate.
• Implemented the “It’s OUR Job, It’s OUR Life” project to improve work-life balance and adopted flexible and remote working conditions.
• Provided 86,778 person*hours of training for employees (14.7 hours per employee).
• Implemented the K-Star Supplier Development Program to extend sustainability to the value chain.
• Supported the UNICEF Empowering Girls as Future Leaders Project, providing education support to 1,000 students.
• Sponsored the theater play “Sand Lily” as an extension of the Biodiversity Preservation Project.

Governance Achievements

• Received the Performance Standard Certification from the Aluminium Stewardship Initiative (ASI) for Tuzla and Dilovası production facilities and recycling facility.
• Maintained all existing product and process certifications.
• Successfully completed the UKCA audit and received the UK Conformity Assessed marking certification.
• Implemented various projects and activities on Cyber Security, System Continuity, Infrastructure and Operational Development areas.

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions and logistics interruptions due to extreme weather conditions resulting from climate change.
• Decrease in employee commitment compared to 2021 (addressed through focus group meetings).

Mitigation Strategies

• Risk assessment activities to evaluate the effects of different climate scenarios on operations.
• Development of resistant strategic business plans to reduce vulnerability against climate events.
• Evaluation of potential risks in supply chain, product development, R&D, procurement, production, and sales.
• Addressing employee commitment decrease through feedback and focus group meetings.

Supply Chain Management

Supplier Audits: 146 suppliers evaluated in 2022

Responsible Procurement

• Kibar Group’s Procurement Code of Conduct
• Kibar Group Framework Agreement
• Supplier assessments including legal and environmental risks
• Supplier audits and site visits

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events (heavy rain, hail, snow, tornadoes, lightning, flash floods, city floods)
• Flood risk
• Drought risk

Transition Risks

• Regulatory changes (e.g., EU Carbon Border Adjustment Mechanism)
• Market shifts
• Taxes on carbon and greenhouse gas emissions
• Customer requirements

Opportunities

• Green transformation economy opportunities using aluminium as a recyclable material.
• Development of energy-efficient products.

Reporting Standards

Frameworks Used: GRI Standards, UN Sustainable Development Goals

Certifications: ASI Performance Standard, ISO 9001, IATF 16949, ISO 14001, ISO 45001, ISO 50001, ISO-IEC 27001, ISO 22301, ISO 22000, ISO 31000, CE, NSF, Kosher, ISPM 15, TSE COVID-19 Safe Production Certificate, Zero Waste Certificate

Third-party Assurance: Limited assurance provided by an unnamed third party for some environmental and social performance indicators (ISAE 3000 and ISAE 3410).

UN Sustainable Development Goals

• Goal 4 (Quality Education)
• Goal 5 (Gender Equality)
• Goal 7 (Affordable and Clean Energy)
• Goal 8 (Decent Work and Economic Growth)
• Goal 9 (Industry, Innovation and Infrastructure)
• Goal 12 (Responsible Consumption and Production)
• Goal 13 (Climate Action)
• Goal 17 (Partnerships for the Goals)

The report details how Assan Alüminyum's activities contribute to these SDGs.

Sustainable Products & Innovation

• New recyclable alloy with lower carbon footprint.

Awards & Recognition

• Kibar Dış Ticaret received awards in Metallic Stars of Export Awards.
• Zeynep Sarsan listed among The Most Influential 50 CFOs of Türkiye.
• Assan Alüminyum project teams received awards in Asım Kibar Mavi Damla Awards.

Environmental Metrics

ESG Focus Areas

• More Satisfied Stakeholders
• Better People
• A Better World
• Our Management Approach

Environmental Achievements

• Reduced energy intensity by 6% compared to 2020.
• Reduced emission intensity by 7% compared to 2020.
• Generated 108,015 MWh of electricity from renewable energy sources at the Manavgat Hydroelectric Power Plant.
• Offset all Scope 2 emissions through I-REC certificates.
• Completed 23 energy efficiency projects, saving 3.9 million kWh of energy and preventing 1,263 tons of emissions annually.
• Developed a new recycling-friendly aluminum alloy with a 50% lower carbon footprint compared to equivalent products.
• Received a USD 90 million green loan from the International Finance Corporation (IFC) for renewable energy investments.

Social Achievements

• Increased female employee ratio by 14% compared to 2022.
• Female manager ratio reached 18%.
• Launched the Women Employment in the Field Project.
• Provided 63,442 hours of training to employees (28.9 hours per employee).
• Implemented the second 5-year strategic plan for the Life Safety Culture Change Program.
• Implemented the “WE Are Equal” gender equality project.
• Supported the education of 1,000 disadvantaged girls through UNICEF’s Leading Girls of the Future project.
• Supported the Women of Toroslar Enterprise Production, Management and Development Cooperative.

Governance Achievements

• Achieved ASI Performance Standard Certification for Tuzla and Dilovası facilities and recycling plant.
• Implemented the Cast’n Roll supply chain transformation project.
• Implemented various digitalization projects across sales, purchasing, finance, supply chain, and production.
• Established an Ethics Hotline for reporting ethical violations.
• Conducted annual risk assessments, including climate-related risks.

Climate Goals & Targets

Environmental Challenges

• Climate change risks, including natural disasters, energy and water supply disruptions.
• Transition risks associated with the shift to a low-carbon economy.
• Supply chain disruptions.
• Water stress.

Mitigation Strategies

• Comprehensive risk assessments and annual reviews.
• Decarbonization Program to reduce carbon footprint.
• Investments in renewable energy.
• Development of new alloys with lower carbon footprints.
• Water efficiency projects.
• K-STAR Supplier Sustainability Program to improve supplier sustainability performance.
• Alternative sourcing strategies.

Supply Chain Management

Supplier Audits: Audits every two years; 1,224 supplier companies evaluated in 2023.

Responsible Procurement

• Kibar Group Procurement Code of Conduct
• Kibar Group Framework Agreement
• K-STAR Supplier Sustainability Program

Climate-Related Risks & Opportunities

Physical Risks

• Natural disasters (floods, droughts)
• Energy and water supply disruptions
• Fire risk

Transition Risks

• Greenhouse gas emission regulations
• Rising prices of low-carbon aluminum
• Changes in electricity infrastructure

Opportunities

• Resource efficiency improvements
• Development of low-emission products and services

Reporting Standards

Frameworks Used: GRI Standards, UN Sustainable Development Goals, TCFD (Task Force on Climate-related Financial Disclosures)

Certifications: ASI Performance Standard, ISO 9001, IATF 16949, ISO 14001, ISO 45001, ISO 50001, ISO-IEC 27001, ISO 22301, ISO 22000, ISO 31000, CE, NSF, UKCA, Kosher, ISPM15, TSE COVID-19 Safe Production, Zero Waste

Third-party Assurance: PwC Bağımsız Denetim ve Serbest Muhasebeci Mali Müşavirlik A.Ş.

UN Sustainable Development Goals

• 4 (Quality Education)
• 5 (Gender Equality)
• 7 (Affordable and Clean Energy)
• 8 (Decent Work and Economic Growth)
• 9 (Industry, Innovation and Infrastructure)
• 12 (Responsible Consumption and Production)
• 13 (Climate Action)
• 17 (Partnerships for the Goals)

Initiatives contributing to these goals are detailed throughout the report.

Sustainable Products & Innovation

• Recycling-friendly aluminum alloy
• Products with lower carbon footprints

Awards & Recognition

• Brandverse Awards (Bronze)
• Golden Compass Public Relations Award
• Stevie Awards (Bronze)
• Communitas Awards (two awards)
• Metallic Stars of Export Awards (first prize in two categories)
• Asım Kibar Blue Drop Awards (multiple awards)
• Certificate of Appreciation for Earthquake Aid