Climate Change Data

Environmental Metrics

ESG Focus Areas

• Community Engagement
• Employee Wellbeing
• Environmental Sustainability
• Health and Safety
• Ethical Supply Chain

Environmental Achievements

• Reduced CO2e emissions from electricity usage by 18.3% (1,888 tonnes)
• Reduced waste sent to landfill from 6.2 tonnes to 5.5 tonnes
• 97% of waste recycled

Social Achievements

• Increased focus on mental health awareness and support for employees
• Supported learning activities across the region, increasing engagement with schools and colleges
• Relaunched KCOM Community Grants scheme, doubling grant value and increasing community involvement
• Provided employee volunteering time and resources to support local communities during the COVID-19 pandemic

Governance Achievements

• Established a Board Health and Safety committee
• Introduced closer coordination with contractors and improved incident review processes
• Integrated legal and regulatory teams and appointed a Chief Legal and Regulatory Officer

Climate Goals & Targets

Environmental Challenges

• Declining revenues and underperformance in the Business segment
• Increased risk from civil engineering work in the full fibre deployment project
• Increasing cyber-attacks threatening data security
• Impact of COVID-19 on operations and customer ability to pay
• Attracting and retaining talent during a period of change and transformation

Mitigation Strategies

• Implemented cost efficiencies, reduced product range, simplified delivery processes, and restructured segments
• Increased wellbeing, health and safety team, comprehensive training program, contractor safety walks, and established a Health and Safety Committee
• Clear data management policies, mandatory e-learning training, internal Cyber Security team, and participation in information sharing forums
• Followed government guidelines, provided PPE, screened calls, offered support for physical and mental health, and implemented flexible payment plans for customers
• Employee satisfaction surveys, roundtable discussions, salary benchmarking, and review of ways of working

Supply Chain Management

Responsible Procurement

• Supplier and Partner Code of Conduct
• Regular credit checks on suppliers
• Proactive vendor management

Climate-Related Risks & Opportunities

Physical Risks

• Flood risk

Awards & Recognition

• Best Consumer Broadband Provider (Internet Service Providers’ Association)
• Quality and Affordability of Services (European Broadband Awards)

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Installed solar panels at Salvesen Way, generating around 18% of consumed electricity at the site.
• Over 98% of waste recycled, with less than 1 ton sent to landfill.

Social Achievements

• Introduced two days of paid volunteering time for all employees.
• Provided group volunteering activities (tree planting, beach cleans).
• Won the Commitment to the Local Community Award at the national Better Society Awards 2022.
• Supported local businesses through an online marketplace.
• Continued support of community groups and charities through donations and employee time.
• Trained 18 additional mental health first aiders.
• Offered financial coaching sessions to all employees.
• Offered all employees access to health benefits (remote GP appointments, mental health support, remote health check).

Governance Achievements

• Participated in the GRESB Global ESG Benchmark for Real Assets, receiving a score of 86.

Climate Goals & Targets

Environmental Challenges

• Gender pay gap (mean 22.4%, median 29%), driven by the ratio of male to female employees in technical and engineering roles.
• Reducing Scope 3 emissions.

Mitigation Strategies

• Focusing on encouraging more diverse participation in technical and engineering roles.
• Addressing other factors contributing to the gender pay gap.
• Established a gender balance network to drive greater gender balance.
• Partnered with the University of Hull to develop a carbon reduction plan and carry out a Scope 3 mapping exercise.

Supply Chain Management

Responsible Procurement

• Supplier and Partner Code of Conduct
• Regular credit checks
• Preference for local suppliers (future goal)

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRESB

Third-party Assurance: Independent limited assurance under ISAE 3000 and ISAE 3410

Sustainable Products & Innovation

• Flex social tariff

Awards & Recognition

• Commitment to the Local Community Award (Better Society Awards 2022)

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• Developed a plan to become net zero by 2040, 10 years ahead of the government target. Interim target to reduce scope 1 and 2 emissions by 92% by 2030.
• Zero tonnes of waste sent to landfill.

Social Achievements

• Created a new KCOM Inclusion Team with five Employee Representative Groups (ERGs): LGBTQ+, Women & Gender, Faith, Beliefs, Heritage & Ethnicity, Disability & Accessibility, and Parents & Carers.
• Provided two days of paid volunteering time for all employees and organised group volunteering activities.

Governance Achievements

• Implemented a risk management framework to identify, assess, measure, manage, and monitor key risks.
• Maintained compliance with covenants on external lending facility.

Climate Goals & Targets

Environmental Challenges

• High inflation and rising costs, especially energy costs.
• Cyber-attacks and data security threats.
• Attracting and retaining talent with complex technical skills.

Mitigation Strategies

• Disciplined investment plan to expand full fibre network and upgrade existing infrastructure.
• Comprehensive policies and training programs for data security and cyber risk management.
• Employee engagement surveys and initiatives to improve work practices and organizational culture.

Supply Chain Management

Responsible Procurement

• Treating suppliers fairly and doing business with them in a sustainable way

Climate-Related Risks & Opportunities

Physical Risks

• Risk of flooding and extreme weather

Reporting Standards

Frameworks Used: GHG Protocol Corporate Accounting and Reporting Standard, GHG Protocol Corporate Value Chain (Scope 3) Accounting and Reporting Standard

Certifications: ISO 27001