Vertiv Group Corp.
Climate Impact & Sustainability Data (2021, 2023)
Reporting Period: 2021
Environmental Metrics
ESG Focus Areas
- Environmental Sustainability
Climate Goals & Targets
Environmental Challenges
- High energy consumption for cooling in tropical climates of Southeast Asia.
- Large proportion of power plants in APAC generating electricity from fossil fuels.
- Lack of readily available renewable energy sources in some regions.
- Complications in developing renewable energy in third-world economies.
- High embodied carbon in concrete and steel used in datacenter construction.
Mitigation Strategies
- Exploring on-site clean energy generation (e.g., hydrogen fuel cells).
- Modular datacenter design to optimize resource usage.
- Integrated grid solutions to feed renewable energy to major cities.
- Building facilities closer to green power transmission sites.
- Importing renewable energy from neighboring countries.
- Investing in renewable energy projects in other countries (e.g., solar farms).
- Using technologies like CarbonCure to reduce carbon footprint of concrete.
Supply Chain Management
Climate-Related Risks & Opportunities
Physical Risks
- Extreme heat due to climate change impacting datacenter cooling
Transition Risks
- Regulatory changes requiring decarbonization
Opportunities
- Development of energy-efficient products and technologies
Reporting Period: 2023
Environmental Metrics
ESG Focus Areas
- Environmental Stewardship
- Safe, Inclusive and Engaged Workplace
- Responsible Business Conduct
Environmental Achievements
- Introduced Vertiv™ TimberMod™, reducing resource depletion and lowering carbon emissions compared to steel alternatives.
- Expanded product line to include energy- and water-efficient power and cooling solutions supporting alternative energy, AI, and liquid cooling.
- Implemented water reclamation system in Monterrey facility, reducing reliance on city water supply.
- Launched Vertiv Trade-In Program for responsible disposal and recycling of legacy UPS systems.
Social Achievements
- Continued inclusion training, including unconscious bias training.
- Supported various community engagement initiatives globally (e.g., Pelotonia, NC4K, Pune beach cleanup, disaster relief).
Governance Achievements
- Implemented robust cybersecurity strategy aligned with NIST 800-171 and ISO 27001 standards.
- Established Responsible Business Executive Steering Committee for oversight of ESG initiatives.
- Maintained strong corporate governance practices aligned with best practices.
Climate Goals & Targets
Long-term Goals:
- Not disclosed
Medium-term Goals:
- Not disclosed
Short-term Goals:
- Not disclosed
Environmental Challenges
- Growing energy consumption in data centers due to AI revolution.
- Balancing supply and demand in electrical energy.
- Water stress in certain regions.
- Managing end-of-life equipment.
- Supply chain disruptions due to geopolitical uncertainties and climate events.
Mitigation Strategies
- Developed innovative cooling technologies (liquid cooling, high-efficiency chillers).
- Offered Dynamic Grid Support for UPS systems to enable peak shaving and integration of renewable energy.
- Implemented water reclamation system.
- Launched Vertiv Trade-In Program.
- Implemented “Local + 1” strategy for supply chain diversification.
Supply Chain Management
Responsible Procurement
- Supplier Code of Conduct (aligned with RBA Code of Conduct Version 7.0)
- Conflict Minerals Policy
- Cobalt Reporting Program
- “Local + 1” strategy
Climate-Related Risks & Opportunities
Physical Risks
- Severe weather events (flooding, natural disasters)
Transition Risks
- Current and emerging regulation
- Legal risks
- Market risks
- Reputational risks
Opportunities
- Technological risks and opportunities (energy efficiency, low-carbon materials, alternative fuels)
- Market demand for sustainable solutions
Reporting Standards
Frameworks Used: GRI Standards 2021, SASB Electrical & Electronic Equipment Standard 2018, TCFD
Certifications: ISO 14001 (multiple sites), ISO 45001 (multiple sites), ISO 9001:2015 (all manufacturing facilities), ENERGY STAR (some UPS products), R2:2013 (certified recycler)
UN Sustainable Development Goals
- Goal 7 (Affordable and Clean Energy)
- Goal 9 (Industry, Innovation, and Infrastructure)
- Goal 13 (Climate Action)
Initiatives contribute to these goals through energy-efficient products, sustainable supply chain practices, and community engagement.
Sustainable Products & Innovation
- Vertiv™ TimberMod™
- Energy- and water-efficient power and cooling solutions
Awards & Recognition
- 4cLegal Legal Procurement Award (for responsible business accreditation service)