Climate Change Data

Environmental Metrics

ESG Focus Areas

• Climate Change
• Sustainability
• People, Culture & Organization
• Sustainable Innovation & Lean Manufacturing
• Extended Value Chain

Environmental Achievements

• Reduced CO2 emissions to 817,000 t (from 920,000 t in 2019)
• Decreased energy consumption by 6%
• Increased total recycled waste to 69% (from 63% in 2019)
• Pikkala plant to be the first net-zero emissions plant with 100% renewable energy

Social Achievements

• Improved diversity indicators, increasing the percentage of women in executive positions to 13% (from 12% in 2019) and the percentage of female white-collar hires to 34% (from 32% in 2019)
• Increased investments in health and safety by 29% to €17 million
• Improved positioning in major sustainability indices (Dow Jones Sustainability World, FTSE4Good, MSCI, Bloomberg, STOXX Global ESG Index, Ecovadis)

Governance Achievements

• Adopted Science Based Targets aligned with the Paris Agreement, aiming for Net Zero emissions by 2040 (Scope 1 and 2) and 2050 (Scope 3)

Climate Goals & Targets

Environmental Challenges

• COVID-19 pandemic impact on production, installation, and project mix
• Supply chain disruptions
• Reduced production levels due to the pandemic
• Pressure on prices in the Telecom segment, particularly in Europe

Mitigation Strategies

• Implemented a robust cost containment plan
• Protected cash generation
• Maintained operational flexibility of production plants (above 80%)
• Implemented cost efficiency measures
• Focused on maintaining high levels of customer service (on-time delivery over 94%)

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Development of energy-efficient products

Reporting Standards

Frameworks Used: Null

Certifications: Ecovadis Platinum

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• 525 kV P-Laser cable
• Sirocco high-fiber density optical cable
• Submarine power cable for depths up to 3000 m
• P-Laser cable systems (100% recyclable materials, -40% CO2 emissions)

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Climate Change
• Social Ambition
• Diversity, Equality and Inclusion (DE&I)
• Digital Inclusion
• Community Empowerment
• Employee Engagement
• Upskilling
• Energy Transition
• Digitalization
• Governance
• Business Ethics
• Occupational Health and Safety
• Sustainable Supply Chain
• Human Rights

Environmental Achievements

• Reduced GHG emissions (Scopes 1 & 2 Market Based) by -22.1%
• 89% of product families included in carbon footprint analysis
• 69% waste recycled
• 5 operating units with water recirculation percentages over 90%

Social Achievements

• 39% white-collar women hired with permanent contracts
• 13.5% women executives
• 81% of total workforce of plants subjected to human rights due diligence
• 69% of plants have ISO 45001 (safety management) certification
• Employee satisfaction 60%
• Average training hours per employee: 1.55

Governance Achievements

• Obtained ISO 37001:2016 certification (Anti-bribery Management Systems)
• 75% of Board members are independent and 42% are women
• Implementation of a new integrated and dynamic approach to risk management (TCFD-aligned)

Climate Goals & Targets

Environmental Challenges

• Water availability risks at some plants
• Risks linked to rising sea levels
• Risks linked to increased severity of extreme weather events
• Potential impact of carbon taxes or ETS
• Environmental compliance risks
• Cybersecurity risks
• Data protection compliance risks
• Risk of losing key personnel
• Health and safety risks
• Risks related to changes in HSE legislation
• Anti-corruption compliance risks
• Antitrust compliance risks
• Export sanctions risks
• Human rights risks in organizational structure and business model
• Risks of inadequacy in technological innovation
• Risks associated with third-party patents
• Risks related to supply chain sustainability
• Risks linked to Covid-19
• Risk of loss of competitiveness in energy transition

Mitigation Strategies

• Water recycling and consumption monitoring
• Loss prevention programs, flood protection measures, insurance
• Loss prevention programs, insurance, supply chain risk assessment
• GHG emission reduction plan, monitoring of legislation
• ISO 14001 certified environmental management system
• Information Security Strategy, Cybersecurity Program
• Data protection program, GDPR compliance
• Job Band Program, Group Academy, talent management programs, non-compete agreements
• ISO 45001 certified safety management system, training, monitoring
• HSE Management System, monitoring of legislation, energy efficiency projects
• Code of Ethics, Anti-Corruption Policy, ISO 37001 certification, Third-Party Program, training
• Antitrust Code of Conduct, training
• Export control policy, training
• Human Rights Policy, Human Rights Due Diligence process, training
• Diversified portfolio, R&D investment, innovation programs
• Patent portfolio, IP department
• Supplier Code of Conduct, supply chain risk assessment
• Cash generation protection, investment policy
• In-depth analysis of business activities, monitoring of market entry

Supply Chain Management

Supplier Audits: 27 in 2021

Responsible Procurement

• ESG evaluation of suppliers
• Sustainability audits
• Code of Ethics and Code of Business Conduct

Climate-Related Risks & Opportunities

Physical Risks

• Water availability
• Rising sea levels
• Extreme weather events

Transition Risks

• Carbon taxes/ETS
• Changes in HSE legislation
• Technological innovation inadequacy
• Third-party patents

Opportunities

• Development and expansion of low-emission solutions
• Intercepting global cable market growth
• Use of lower-emission energy sources
• Greening the supply chain

Reporting Standards

Frameworks Used: GRI Standards, SASB, TCFD

Certifications: ISO 14001, ISO 45001, ISO 37001

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

UN Sustainable Development Goals

• Goal 7 (Affordable and clean energy)
• Goal 9 (Industry, innovation, and infrastructure)
• Goal 11 (Sustainable cities and communities)
• Goal 13 (Climate action)
• Goal 5 (Gender equality)
• Goal 8 (Decent work and economic growth)

See page 37

Sustainable Products & Innovation

• Eco Cable
• P-Laser technology
• Bio P-Laser
• Hybrid cables
• Multi-core fibre
• Reduced diameter FlexRibbon cables
• Sirocco Extreme Microduct Cables
• Micro Blowable Cables
• FlexTube Cables without Aramid
• Pry-CAM HOME
• Pry-CAM DTS

Environmental Metrics

ESG Focus Areas

• Climate Change
• Social Ambition (Diversity, Inclusion, Employee Wellbeing, Community Investment)
• Governance (Ethics, Integrity, Risk Management)

Environmental Achievements

• Reduced Scope 1 and 2 emissions by -24% vs. 2019 baseline
• Reduced Scope 3 emissions by -7% vs. 2019 baseline
• Increased total recycled waste to 70.8%
• Launched P-Laser, a high-performance power cable made entirely from recycled materials

Social Achievements

• Increased percentage of women in executive positions to 15.7%
• Launched several initiatives to promote an inclusion culture
• Increased percentage of employees who are stable shareholders to 44.9%
• Increased average training hours per employee to 29

Governance Achievements

• Complied with the Corporate Governance Code for listed companies
• Established a Sustainability Committee
• Implemented a new integrated annual report
• Organized the first Prysmian Sustainability Week
• Launched the Prysmian Sustainability Academy

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions due to geopolitical events and raw material shortages
• Risks related to technological innovation and emerging technologies
• Risks of non-compliance with ethical and legal standards (anti-bribery, antitrust, export control)
• Environmental risks (GHG emissions, extreme weather events, water availability)
• Cybersecurity risks

Mitigation Strategies

• Developed alternative sourcing strategies
• Increased R&D investment and collaboration with universities and research centers
• Implemented a robust compliance program (Code of Ethics, Anti-corruption Policy, Antitrust Code of Conduct, Helpline Policy)
• Set science-based targets for GHG emission reduction
• Implemented an Enterprise Risk Management (ERM) model
• Implemented an Information Security Strategy and Cyber Security Program

Supply Chain Management

Supplier Audits: 30 suppliers audited since 2017; 5 audits in 2022

Responsible Procurement

• ESG assessments of suppliers
• Sustainability audits
• CDP partnership
• Inclusion of ESG KPIs in supplier appraisal

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events
• Sea level rise

Transition Risks

• Increased operating costs due to carbon taxes or ETS
• Changes in competitive landscape due to new technologies and players

Opportunities

• Development and expansion of low-emission solutions
• Growth in the global cable market driven by energy transition and digitalization
• Greening the supply chain

Reporting Standards

Frameworks Used: GRI Universal Standards, TCFD, UN Global Compact, Science Based Targets initiative (SBTi)

Certifications: ISO 14001 (97% of plants), ISO 45001 (73% of plants), ISO 37001 (Anti-bribery), ISO 37002 (Whistleblowing)

Third-party Assurance: EY S.p.A. (limited assurance on Non-Financial Statement)

UN Sustainable Development Goals

• Goal 7 (Affordable and clean energy)
• Goal 9 (Industry, innovation and infrastructure)
• Goal 12 (Responsible consumption and production)
• Goal 8 (Decent work and economic growth)
• Goal 13 (Climate action)
• Goal 17 (Partnerships for the goals)

Prysmian's activities contribute to these SDGs through sustainable product innovation, responsible resource management, community development initiatives, and commitment to climate action.

Sustainable Products & Innovation

• P-Laser cable
• Eco Cable
• E3X coating solutions
• Reduced CFP EV charging cables
• Reduced diameter FlexRibbon cables
• Sirocco HD and Extreme Microduct Cables
• Hybrid Cables
• Multi Core Fibre

Awards & Recognition

• Top score (100 points) in Innovation Management, Environmental Reporting and Social Reporting in the Electrical Components & Equipments category of the S&P Global Corporate Sustainability Assessment

Environmental Metrics

ESG Focus Areas

• Climate Change
• Social Ambition

Environmental Achievements

• Reduced absolute scope 1 and 2 GHG emissions by 47% by 2030 (target) using 2019 as the base year.
• Reduced absolute scope 3 GHG emissions by 28% by 2030 (target) within the same timeframe.

Social Achievements

• Not disclosed

Governance Achievements

• Not disclosed

Climate Goals & Targets

Environmental Challenges

• Not disclosed

Mitigation Strategies

• Not disclosed

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: GRI Standards, WRI GHG Protocol Initiative, Science Based Target Initiative (SBTi), Carbon Disclosure Project (CDP), IPCC 5th Assessment

Certifications: UNI EN ISO 14064

Third-party Assurance: EY SpA (limited audit)

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed