Climate Change Data

Enstar Group Limited

Climate Impact & Sustainability Data (2021, 2022, 2023)

Reporting Period: 2021

Environmental Metrics

ESG Focus Areas

  • Climate change
  • Investments
  • Human capital

Environmental Achievements

  • Began measuring the impact of global offices on the environment and pledged to reduce CO2 emissions each year.
  • Implemented follow-me-printing in UK offices to reduce paper, toner, and waste cartridge usage.
  • Introduced recycling systems in Bermuda and US offices.
  • Reduced real estate footprint in US through lease assignments, buyouts, subleasing, and office closures.

Social Achievements

  • Launched a Global Wellness Programme focused on physical, emotional, and financial wellbeing, including a wellness allowance and employee assistance programme.
  • Achieved 99% participation in mid-year reviews to revisit performance and professional development objectives.
  • Rolled out a digital learning platform with 80% course completion rates.
  • Implemented a new talent management and succession planning strategy.
  • Launched qualification pathways for UK-based employees using the UK apprenticeship levy.
  • Developed a Business Excellence Leadership Programme with 38 participants.
  • Launched a Group-wide Wellbeing Platform.
  • Introduced agile working for a majority of employees.
  • Implemented unconscious bias training for all employees.
  • Published the 2020 Gender Pay Gap report, highlighting a reduction in the median gender pay gap in Enstar UK.

Governance Achievements

  • Established an executive-level ESG Oversight Group reporting to the Board.
  • Embedded consideration of climate-related risks into standard processes.
  • Launched a Vendor Code of Conduct.
  • 100% of employees annually certified with the Code of Conduct.
  • Developed climate change approach and ESG into the Global Risk Management Framework.

Climate Goals & Targets

Medium-term Goals:
  • Continue to seek to improve data privacy and data security.
  • Continue to drive operational sustainability practices.
Short-term Goals:
  • Continue to embed climate change and ESG risks into the Global Risk Management Framework.
  • Enhance Code of Conduct training to include ESG considerations.

Environmental Challenges

  • Climate change presents physical, transition, and liability risks to Enstar's business.
  • Competition for talented people in a challenging recruitment environment.
  • Cyber risk, including ransomware, data breaches, and cyber-attacks.
Mitigation Strategies
  • Embedded climate-related risks into the ERM Framework.
  • Implemented a new talent management and succession planning strategy.
  • Established a governance framework of policies and procedures, risk assessment, security tools, and audited controls for cybersecurity.
  • Implemented a cyber risk insurance policy.
  • Established a Cyber Incident Response Team.

Supply Chain Management

Responsible Procurement
  • Vendor Code of Conduct

Climate-Related Risks & Opportunities

Physical Risks
  • Floods and storms impacting property and investments
Transition Risks
  • Repricing of carbon-intensive assets
  • Increased production costs

Reporting Standards

Frameworks Used: Global Reporting Initiative (GRI)

Reporting Period: 2022

Environmental Metrics

Total Carbon Emissions:537.16 tCO2e/year
Scope 1 Emissions:8.86 tCO2e/year
Scope 2 Emissions:528.30 tCO2e/year
Scope 3 Emissions:Not disclosed
Renewable Energy Share:Not disclosed
Total Energy Consumption:1,438.15 MWh/year
Water Consumption:Not disclosed
Waste Generated:Not disclosed
Carbon Intensity:0.68 tCO2e/FTE

ESG Focus Areas

  • Climate Change

Environmental Achievements

  • Reduced total GHG emissions (Scopes 1 and 2) by 31.70% from 2021 to 2022 (537.16 tCO₂e in 2022 vs 786.34 tCO₂e in 2021).
  • Reduced total energy consumption (Scopes 1 and 2) by 36% from 2021 to 2022 (1,438.15 MWh in 2022 vs 2,247.45 MWh in 2021).

Social Achievements

  • Not disclosed

Governance Achievements

  • Expanded suite of climate-related risk metrics within the Risk Appetite Framework.
  • Evolved ESG governance and management.
  • Expanded climate-related risk scenario analysis to subsidiaries.
  • Established GHG emissions monitoring program.
  • Provided comprehensive climate change training to directors.

Climate Goals & Targets

Long-term Goals:
  • Consider establishing a Net Zero commitment and strategy after near-term targets are in place and the SBTi Financial Net Zero Standard for Financial Institutions is launched.
Medium-term Goals:
  • Set meaningful targets for relevant components of Scope 3 emissions (e.g., investment portfolio).
Short-term Goals:
  • Set near-term operational GHG emissions targets for the next 5-10 years in 2023.

Environmental Challenges

  • Data availability challenges in measuring Scope 3 emissions.
  • Potential for swift, adverse repricing of carbon-intensive financial assets (transition risk).
  • Potential for climate change-related litigation (liability risk).
Mitigation Strategies
  • Periodic review of exposure to transition and physical risks.
  • Periodic review of liability exposure to climate-related litigation.
  • Development of an ESG Investment Risk Framework to assess ESG risks associated with investment holdings.
  • Incorporation of climate risk impact in M&A due diligence.
  • Monitoring reserve development on climate change liability risk across impacted lines of business.
  • Active monitoring of global litigation trends.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement
  • Not disclosed

Climate-Related Risks & Opportunities

Physical Risks
  • Weather-related events (floods, storms) impacting operations and investments.
Transition Risks
  • Loss of value in carbon-intensive investments due to transition to a lower-carbon economy.
  • Increased production costs associated with the transition to a greener economy.
Opportunities
  • Not disclosed

Reporting Standards

Frameworks Used: TCFD

Certifications: Null

Third-party Assurance: Ecometrica (for emissions data)

UN Sustainable Development Goals

  • Not disclosed

Not disclosed

Sustainable Products & Innovation

  • Not disclosed

Awards & Recognition

  • Not disclosed

Reporting Period: 2023

Environmental Metrics

Total Carbon Emissions:14,308 tCO₂e/year
Scope 1 Emissions:6.36 tCO₂e/year
Scope 2 Emissions:495.73 tCO₂e/year (location-based), 561.90 tCO₂e/year (market-based)
Scope 3 Emissions:13,806.15 tCO₂e/year (non-investment)
Total Energy Consumption:1,369.15 MWh/year

ESG Focus Areas

  • Sustainable Investing
  • Addressing Climate Change
  • Developing Human Capital

Environmental Achievements

  • Expanded environmental reporting to include Scope 3 (non-investment) emissions for the first time.
  • Completed first submission to CDP and received a 'C' score.
  • Funded the planting of 30,000 trees.

Social Achievements

  • Expanded social impact reporting, valuing total community contribution for the first time.
  • Established first Employee Resource Groups for Parents & Carers, Mental Health, and Women in the Finance Industry.
  • Increased volunteering, with almost half of employees participating.
  • Launched a five-year Diversity, Equity & Inclusion (DE&I) strategy.
  • Expanded people reporting to include global ethnicity data.
  • Established new charity partnerships in Bermuda and the UK.

Governance Achievements

  • Expanded Code of Conduct to include ESG issues.
  • Provided introductory ESG training for employees and directors.
  • Included ESG metrics into all employees’ bonus plans.

Climate Goals & Targets

Medium-term Goals:
  • Set medium and longer-term targets for emissions reduction.
Short-term Goals:
  • Expand Scope 3 GHG emissions reporting to include investment portfolio.

Environmental Challenges

  • Scope 3 emissions (excluding investment portfolio) rose due to increased business travel.
  • Need to further expand Scope 3 reporting to include investment portfolio emissions.
Mitigation Strategies
  • Developing methodology for measuring carbon emissions in investment portfolio.
  • Setting meaningful targets for emissions reduction in the short and long term.
  • Seeking independent assurance of operational carbon footprint data.

Supply Chain Management

Responsible Procurement
  • Vendor Code of Conduct

Climate-Related Risks & Opportunities

Physical Risks
  • Floods
  • Storms
Transition Risks
  • Repricing of carbon-intensive financial assets

Reporting Standards

Frameworks Used: TCFD, CDP, Business for Societal Impact (B4SI)

UN Sustainable Development Goals

  • Goal 7 (Affordable and Clean Energy)
  • Goal 13 (Climate Action)

Initiatives align with these goals through emissions reduction, renewable energy efforts, and community investment.

Awards & Recognition

  • People Insight Outstanding Workplace Award (2 consecutive years)