Elsewedy Electric

Climate Impact & Sustainability Data (2020-2023, 2022)

Reporting Period: 2020-2023

Environmental Metrics

ESG Focus Areas

Climate Change
Water Management
Circular Economy
Biodiversity
Human Rights
Diversity & Inclusion
Employee Wellbeing
Supply Chain Sustainability
Governance
Digitalization

Environmental Achievements

First Group Sustainability Report and Carbon Footprint Report (2017-2018)
First Group GRI Sustainability report and GRI community member (2019)
Elsewedy Cables first in MENA to gain ISO 14067 and ISO 14064 (2019)
Obtained ISO 45001 for select subsidiaries (2020)

Social Achievements

41 social projects (2019)
EL SEWEDY PSP certified with SA 8000 (2019)
Major revision of group policies to extend contributions to sustainability (2021)
New sustainability strategy adopted for 2030 (2021)

Governance Achievements

First ISO 9001 certification obtained (2004)
Becoming a signatory of the UN Global Compact in 2017
Best in-house legal team in Africa and best performance certification from JICA (2017-2018)
ECOVADIS – BRONZE Rating (2019)

Climate Goals & Targets

Long-term Goals:

100% coverage by digital services by 2030
Invest twice the current amount by 2030 in innovative digital services and products that facilitate the transition to SDGs with a focus on sustainable cities and communities and by leveraging proprietary technologies
All products to have EPDs / Green Labels by 2030
Net-zero GHG emissions from the entire supply chain by 2050
100,000 unprivileged people from local communities trained by 2030
All suppliers comply with ESG criteria by 2030
All new investments comply with ESG criteria by 2030

Medium-term Goals:

100% Digital Sustainability Management System and GHG Accounting Systems by 2025
100% coverage of own facilities by remote energy monitoring and smart appliances by 2025
100% coverage by ISO 50001 for all sites by 2025
Resource Efficiency Index covering all products by 2025
100% of packaging free from single-use plastics by 2025
100% workplace satisfaction by 2025
Criteria and processes for prioritizing safe chemicals and materials in line with or exceeding recognized industry standards and regulatory requirements by 2025
One product within each product category has EPDs by 2025
All new developments have community-driven action plans by 2025
Group-wide comprehensive ESG guidelines and procedures integrated by 2025
50% electric fleet by 2030
100% coverage of clients by remote energy monitoring systems and smart appliances by 2030
100% smart office buildings by 2030
90% of sourced materials by volume are renewable, recycled or recyclable by 2030
100% green office buildings by 2030
30% women within the workforce by 2030
40% women within the board and management by 2030
Zero human and labour rights violations across supply chain from 2025
Net-zero GHG emissions of business operations by 2030
20% of energy consumption from self-supply renewable energy systems by 2030
Reduce energy consumption by 20% for all office-buildings and factories by 2030
Reduce water consumption by 40% for all office-buildings and factories by 2030
100% of revenue from low-carbon or net-zero products by 2040
Net Zero Biodiversity Loss by 2030
Wastewater Zero across operations by 2030
Zero Waste to Landfill by 2030

Short-term Goals:

Conduct a comprehensive review of organizational structure, departments, roles and responsibilities by 2023
Conduct a comprehensive review of all existing corporate policies, standards, instructions, plans and procedures by 2023
Develop a corporate context analysis and formalized risk assessment related to the production facilities, turnkey projects, and renewables by 2023
Introduce a comprehensive metric for shared value creation by 2023
Establish a Corporate Environmental and Social Management System (C-ESMS) by 2023
100% of employees trained on sustainability and ESG topics by 2023
Join one globally recognized coalition or initiative for each of the pillars of this strategy by 2023
Develop a formalized process for identification, assessment and management of risks and impacts on biodiversity and ecosystem services by 2023
All employees assessed on a comprehensive wellbeing metric by 2023
Revise labour management policies and procedures according to good international practices by 2023
Comprehensive diversity and inclusion assessment report by 2023
All operations are reviewed for human rights compliance annually
15 new community projects with a balanced contribution to all SDGs within geographic boundaries by 2023
Conduct a group-wide comprehensive GHG emissions assessment covering all operations and subsidiaries by 2023
Appoint a corporate energy manager by 2023
Develop Climate Action Plan and Water Action Plan by 2023
Conduct a group-wide audit regarding for storage and handling of hazardous materials and waste, including the risks of water and soil contamination by 2023
Integrate assessment of exposure to hazardous materials and chemicals into the regular audit process by 2023
Adopt and implement a procedure for Inventory and control of refrigerants by 2023
100% transparency across supply chains by 2023
An inventory of all materials and chemicals used in manufacturing and final products by 2023
Processes for considering water, energy, materials, and indoor environmental quality considerations for buildings and facilities in place by 2023
Update the corporate maternity leave policy for global applicability by 2023
Revise policies and procedures for consideration of Grievances Related to Sexual Harassment and Gender-based Violence; Protection and Remediation Measures against Discrimination and Workers with disabilities by 2023
Integrate the consideration of Informal land use rights and impacts on indigenous peoples into C-ESMS, and in particular for land acquisition and greenfield development projects by 2023
Conduct screening of all directly employed workers under the age of 18 by 2023
Establish a corporate-level Stakeholder Engagement Plan and procedures for site-specific Stakeholder Engagement Plans and Community Grievance Mechanisms, including facilities In operation, renewable energy, facilities under construction and greenfield developments by 2023
Develop a Comprehensive Circular Economy Policy and Action Plan by 2023
Embed Life Cycle Assessment as a standard procedure for 100% of the Group products by 2023
Conduct a group-wide waste management audit by 2022
ESG investment framework adopted by 2023
Sustainability due diligence and gap analysis for 100% of suppliers by 2023
Integrate identification, assessment and management of ESG risks within a formal risk management process, ensuring coverage of all sectors and subsidiaries by 2023
Ensure 100% coverage of all office buildings, facilities and sites by a regular audit process by 2023
Develop corporate procedures that regulate the modalities to be adopted for the risk identification and impact assessment to ensure 100% coverage of new applicable developments (such as greenfield developments) by ESIAs starting from 2023
Develop a group-wide due diligence process for all new acquisitions in line with the IFC standards by 2023
Product Stewardship Guidelines (PSGs) operational by 2023

Environmental Challenges

Decline in hydrocarbons demand
Loss of results and cash flow
Stranded assets
Decreasing shareholders' returns
Price fluctuations
Rising operation and investments costs for hydrocarbons
Cuts to fossil fuel subsidies
Higher carbon tax
Interruptions of industrial operations
Difficulty in complying with legal and other requirements
Damage to plants and infrastructures
Recovery and maintenance costs
Employee health and productivity deterioration
Impacts on stakeholders' relations
Impacts on stock price
ESG scores and investor views

Mitigation Strategies

Improve sustainability governance
Implement a sustainability management system
Identify, assess and manage environmental and social risks and impacts across the value chain
Align goals with SDGs and national priorities
The transition towards a sustainable business model
Adopt circular economy principles
Adopt a product stewardship approach
Align asset development with low-carbon scenarios
Foster impactful partnerships for sustainability
Model an optimal sustainable energy mix
Increase the share of renewable energy/resources
Achieve science-based climate and water targets
Facilities comprehensive ESG integration
Ensure transparent ESG disclosures
Define and monitor SMART sustainability targets
Invest in sustainable infrastructure
Protect critical infrastructure via nature-based and technical measures
Diversify the portfolio across geographies and less vulnerable sectors

Supply Chain Management

Responsible Procurement

Suppliers undergo reviews to ensure their adherence to local laws and international regulations and agreements in HSE, human rights adherence, environmental regulations, labour rights, child labour, and other supply chain sustainability issues.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI

Certifications: ISO 9001, ISO 14001, OHSAS 18001, ISO 14067, ISO 14064, ISO 45001, SA 8000

UN Sustainable Development Goals

The strategy is effectively linked to 15 out of 17 Sustainable Development goals.

Reporting Period: 2022