Climate Change Data

Environmental Metrics

ESG Focus Areas

• Sustainability
• Climate Change
• Renewable Energy

Environmental Achievements

• The company's projects have prevented the emission of more than two million tonnes of carbon dioxide per year.
• Commissioning of the 86.8 megawatt Pajuperänkangas wind farm in Finland, the largest project to date where ABO Wind covered the entire value chain from planning to turnkey construction.
• Sale of the 514.6 megawatt Buffalo Plains wind farm in Canada, the largest approved wind energy project in the country.
• Commissioning of the first turnkey wind farm in Poland (Donaboròw wind farm).

Social Achievements

• Global Meeting in Wiesbaden in October 2022, bringing together almost 1,000 colleagues from 16 countries for knowledge exchange and team building.
• Launch of “Nah & Grün Invest” in Germany, offering residents of neighboring communities low-threshold financial participation in the Hainstadt-Buchen wind farm.
• Increased number of employees from 955 to 1,036.

Governance Achievements

• Successful issuance of a debt bond, increasing the issue amount from 50.0 M€ to 70.0 M€.
• Strengthened financial basis through capital increases and issuance of a subordinated bond and a promissory note loan.
• All covenants relating to the net debt ratio and the equity ratio were complied with.

Climate Goals & Targets

Environmental Challenges

• Significant price increases for wind turbines, solar modules, and inverters in 2022.
• Delays in global supply chains.
• Individual projects becoming unfeasible or less profitable due to price increases.
• High inflation in many countries.
• Difficulties in supply chains causing project implementation delays.

Mitigation Strategies

• Strengthened financial basis through capital increases and debt issuance.
• Focus on projects with secured tariffs before price increases.
• Hedging transactions to mitigate currency risks.
• Interest rate hedges to counteract rising interest rates.
• Consistent diversification to cushion risks.
• Expansion of service and maintenance division.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Collaboration with different manufacturers for wind energy, solar energy plants, and battery systems.

Climate-Related Risks & Opportunities

Transition Risks

• Regulatory changes
• Market shifts
• Rising interest rates

Opportunities

• Expansion of renewable energies
• Green hydrogen production

Reporting Standards

Frameworks Used: German Commercial Code (HGB)

Third-party Assurance: Rödl & Partner GmbH

UN Sustainable Development Goals

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

ABO Wind's projects contribute to these goals by expanding renewable energy capacity and reducing carbon dioxide emissions.

Sustainable Products & Innovation

• ABO Lock access control system
• ABO Bat Link data interface for bat monitoring

Environmental Metrics

ESG Focus Areas

• Climate protection
• Energy security
• Sustainability
• Workforce diversity

Environmental Achievements

• Connected five wind turbines with a total output of 18 megawatts to the grid in Sheskin, Ireland.
• Connected the 50-megawatt Margariti solar park in Greece to the grid.
• Concluded power purchase agreements (PPAs) for a 50-megawatt solar farm in Spain and a 30-megawatt wind farm in Finland.
• Concluded a 20-year power purchase agreement for a 22 MWp photovoltaic project in France.
• Built five solar parks, three with storage systems, and three additional stand-alone batteries in Germany.
• Built its largest turnkey wind farm to date in Pajuperänkangas, Finland (86.8 megawatts).
• Commissioned three wind farms in France (Monterfil, Les Champarts, and Croix de la Pile).
• Constructed the third phase of the Clogheravaddy wind farm and the Sheskin wind farm in Ireland.

Social Achievements

• Increased the number of employees from an average of 1,036 to 1,221.
• Proportion of women among all managers below the Managing Board level was 24% in the first and 26% in the second management level.
• Proportion of women in the overall staff was 36%.

Governance Achievements

• Changed the legal form from AG to KGaA (partnership limited by shares) and name to ABO Energy.
• Supervisory Board consisted of three members, two-thirds being women.

Climate Goals & Targets

Environmental Challenges

• Lengthy permitting processes for wind farms, especially in Germany.
• Overloaded medium-voltage grids and high prices for substations.
• Supply chain bottlenecks for wind turbines.
• Controversy surrounding the change in legal form.
• High upfront costs for project development.
• Currency risks due to international operations.
• Rising interest rates.
• Regulatory risks related to remuneration regulations, authorization procedures, grid connection, and energy feed-in conditions.
• Inflation.
• Logistic or regulatory difficulties causing project implementation delays.
• Compliance with the German Supply Chain Sustainability Act (LkSG).
• Grid connection challenges in areas of high wind potential (South Africa).

Mitigation Strategies

• Appealing against permit rejections and re-planning projects.
• Using in-house expertise to realize substations independently.
• Concluded PPAs to secure economic basis for projects.
• Established Energy Sales & Markets Department.
• Careful matching of inflows and outflows.
• Hedging transactions to counter currency risks.
• Interest rate hedges.
• Consistent diversification of projects and manufacturers.
• Expanding additional services (plant service and maintenance).
• Internal control systems to ensure compliance with legal requirements.

Supply Chain Management

Climate-Related Risks & Opportunities

Opportunities

• Development of energy-efficient products
• Green hydrogen projects

UN Sustainable Development Goals

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

ABO Energy's projects contribute to these goals by expanding renewable energy capacity and reducing reliance on fossil fuels.