Climate Change Data

Environmental Metrics

ESG Focus Areas

• Corporate Governance
• Environmental Performance
• Social Performance
• Smart Life 2030 Vision

Environmental Achievements

• Vestel Beyaz Eşya reduced per-unit power consumption by 9% through energy efficiency projects.
• Korteks conserved 169,000 m3 of water through water recovery and reuse.
• Zorlu Enerji increased EV charging stations 7.5-fold and charging connectors from 54 to 272.
• Zorlu Enerji received the Low Carbon Hero award for ZES and electrip initiatives.

Social Achievements

• Launched intrapreneurship program "Parlak Bi’Fikir", resulting in two new startups.
• Launched corporate volunteering program "Kıvılcımlar", with 1,272 volunteers contributing 4,965 hours.
• Implemented gender equality initiatives under "Eşit Bi’Hayat" strategy.
• Zorlu Center received the Albert Sussman International Social Support Award for accessibility initiatives.

Governance Achievements

• Implemented Ethical Principles training for 3,559 employees.
• Established a Gender Equality Committee and Working Group.
• Conducted risk assessment survey across the Group to improve risk culture.

Climate Goals & Targets

Environmental Challenges

• Global economic uncertainty and complex environmental and social challenges.
• Climate crisis, diminishing natural resources, and increasing inequality.
• Disruptions in global supply chains due to the COVID-19 pandemic.

Mitigation Strategies

• Developed Smart Life 2030 vision for sustainable and stakeholder-oriented business model.
• Implemented risk management strategies, including diversification and contingency planning.
• Established COVID-19 Coordination Task Force to ensure a healthy work environment.
• Prioritized local sourcing to enhance supply chain resilience.

Supply Chain Management

Supplier Audits: 727 environmental audits, 185 social audits

Responsible Procurement

• Zorlu Holding Supplier Principles covering child labor, forced labor, discrimination, humane treatment, remuneration, working hours, occupational health and safety, environment, and ethics.

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events, water scarcity

Transition Risks

• Regulatory changes, market shifts towards clean energy

Opportunities

• Investment in low-carbon technologies, renewable energy, and sustainable business models

Reporting Standards

Frameworks Used: GRI Standards: Core option, UN Global Compact

Certifications: ISO 14001 (various subsidiaries), ISO 50001 (various subsidiaries), ISO 14064 (various subsidiaries), ISO 14046 (Vestel Beyaz Eşya)

UN Sustainable Development Goals

• Goal 7 (Affordable and Clean Energy)
• Goal 9 (Industry, Innovation and Infrastructure)
• Goal 10 (Reduced Inequalities)
• Goal 13 (Climate Action)

Initiatives aligned with Smart Life 2030 vision contribute to these goals.

Sustainable Products & Innovation

• Energy- and water-efficient household appliances (Vestel), recycled innovative fabrics (Zorlu Textiles), self-cleaning roller blinds (Zorlu Textiles)

Awards & Recognition

• Low Carbon Hero award (Zorlu Enerji)
• First Prize in Large-Scale Enterprise Sustainable Production category (Korteks)
• First Prize in the 7th Technology Development Zones and R&D Centers Awards (Vestel)
• Efficiency award in Large-Scale Enterprise category (Vestel)
• Gold Medal in event category at the 2019 Stevie-International Business Awards (Sónar Istanbul)
• Best Customer Experience award (Vestel Customer Services)
• Excellent Customer Satisfaction Diamond award (Zorlu Enerji)
• First Prize in Employee Participation category at the 2019 Sustainable Business Awards (Vestel Customer Services)
• Albert Sussman International Social Support Award (Zorlu Center)

Environmental Metrics

ESG Focus Areas

• Environmental Sustainability
• Social Responsibility
• Governance

Environmental Achievements

• Reduced water consumption per unit product by 24% despite a 22% increase in production volume over 4 years.
• Achieved annual greenhouse gas reduction of 10,385 tonnes/year and raw material savings of 830 tonnes/year in the New Generation Panel Condenser EKONF Refrigerator Project.
• Recovered 177 tonnes of waste paint, resulting in a 460-tonne reduction in carbon footprint and saving 123 tonnes of water.

Social Achievements

• Launched corporate Well-Being Program, “We Are Good Together”, providing various healthy life supports for employees and their families.
• Trained 58 female technicians as part of the Women Technician Training Project.
• Donated products and resources to healthcare institutions and supported children undergoing cancer treatment.

Governance Achievements

• Corporate Governance Rating revised upwards to 9.63 (96.32%) in 2020.
• Issued Turkey’s first TL denominated green bond with an international sustainability rating.
• Vestel Call Center successfully passed the ISO 18295-1 Customer Service Quality Certificate interim audit.

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions due to the COVID-19 pandemic.
• Economic contraction in the EU, Vestel's main export market.
• Tightening panel supply in the TV market.

Mitigation Strategies

• Diversified supplier base and flexible production capabilities.
• Successful management of the pandemic with protective measures and remote working.
• Compensated losses in white goods exports with strong demand in the second half of the year.

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, CDP

Certifications: ISO 14001, ISO 50001, ISO 14064, ISO 9001, ISO 45001, ISO 27001, IATF 16949, TSE COVID-19 Safe Production Certificate

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Goal 7 (Affordable and Clean Energy)
• Goal 9 (Industry, Innovation, and Infrastructure)
• Goal 12 (Responsible Consumption and Production)
• Goal 13 (Climate Action)

Vestel's initiatives contribute to these goals through energy efficiency, waste reduction, renewable energy use, and sustainable product development.

Sustainable Products & Innovation

• LED lighting, energy-efficient TVs, Smart Home kits, electric vehicle charging units, Daylight Technology products

Awards & Recognition

• TSE COVID-19 Safe Production Certificate, TPM World Class Award, EU Environment Awards, Stars of Technology Award, various other awards

Environmental Metrics

ESG Focus Areas

• Climate Crisis and Transition to a Zero Carbon Economy
• Circular Economy and Waste
• Talent Management and Employee Engagement
• Digitalization and Consumer Experience
• Responsible Supply Chain

Environmental Achievements

• 19% reduction in greenhouse gas intensity compared to 2021
• 3,693 tons of carbon emission reduction with 7,693 MWh of energy savings
• 3% reduction in the energy amount per unit product compared to 2021
• 15% reduction in the water amount per unit of product compared to 2021
• Waste recycling at 93%
• 87,934 products renewed within the scope of circular economy
• Reduction of unprocessed plastics by 6,383 tons
• Preventing 351,339 trees from being cut down by using 20,667 tons of recycled cardboards

Social Achievements

• Launched the Female Technician Training Project
• Established the Gender Equality Group
• Published “Eşit Bi'Hayat (An Equal Life) Dictionary”
• Established the Human Rights Committee
• Implemented the Equal Chance Project
• Established the Sheltered Workplace for People with Mental Disabilities (Z.E.K.İ. Life Center)

Governance Achievements

• Established the Sustainability Committee at the Board of Directors level
• Adopted the Zorlu Holding Enterprise Risk Management Policy and the Enterprise Risk Management Directive
• Implemented the Vestel Supplier Monitoring and Development Program

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions due to geopolitical tensions, climate change, and inflation
• Talent shortage in engineering and technology sectors
• Cyber risks related to data security and privacy
• Plastic and waste pollution
• Climate-related risks (transition risks, physical risks)

Mitigation Strategies

• Alternative sourcing strategies, supplier monitoring and development program
• Employee satisfaction initiatives, talent management programs, hybrid working
• Cyber threat intelligence management, security measures, cyber insurance
• Waste reduction, recycling, use of recycled and bio-based plastics
• Decarbonization strategy, renewable energy investments, energy efficiency measures, life-cycle-based design practices

Supply Chain Management

Supplier Audits: 509 audits in 2023

Responsible Procurement

• Supplier Code of Conduct
• Supplier Monitoring and Development Program
• Conflict Minerals Reporting Template

Climate-Related Risks & Opportunities

Physical Risks

• Water stress
• Extreme weather events (heat waves, floods, wildfires)

Transition Risks

• Policy risks
• Legal risks
• Market risks
• Technology risks
• Reputation risks

Opportunities

• Renewable energy
• Low-carbon products and services
• Resilient supply chain

Reporting Standards

Frameworks Used: GRI, TCFD, SASB, UNGC, WEPs

Certifications: ISO 14001, ISO 45001, ISO 9001, ISO 50001, ISO 27001, TS ISO 10993

Third-party Assurance: Limited Assurance Report (Annex 12)

UN Sustainable Development Goals

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

Various social and environmental initiatives contribute to these goals.

Sustainable Products & Innovation

• Energy-efficient appliances
• Washing machines with microfiber filters
• Products using bio-based plastics
• Electric vehicle chargers
• Energy storage systems

Awards & Recognition

• Top 3 in Türkiye's Most Valuable Brands
• German Innovation Award
• InovaLIG award
• Sustainable Business Awards
• Türkiye Customer Experience Awards
• Globee Awards
• S&P Global Sustainability Yearbook-2024 (Top 10%)