Climate Change Data

United International Transportation Company

Climate Impact & Sustainability Data (2021)

Reporting Period: 2021

Environmental Metrics

ESG Focus Areas

  • Saudization
  • Environmental Responsibility
  • Social Responsibility
  • Disability Inclusion

Environmental Achievements

  • Reduced petrol engine oil consumption by 56% from 258,000 liters in 2017.
  • Implemented Water Efficient Cleaning Process, recycling and reusing up to 80% of used water.
  • Operates electric forklifts and plans to reach 30% hybrid vehicles by 2025.
  • Achieved ISO 14001 certification (Environmental Management System).

Social Achievements

  • Hired 10 employees with disabilities.
  • Achieved Mowaamah certification for disability-inclusive workplace.
  • Partnership with Al-Irada organization for customer donations.
  • Sponsorship of Gifted with Disabilities.
  • Sponsorship for the most popular player award in King Cup.
  • Held educational and awareness sessions for breast cancer.
  • Ongoing societal awareness campaigns through social media.

Governance Achievements

  • Established a Governance and Risk Management Committee.
  • Complied with Corporate Governance Regulations issued by the Capital Market Authority (with some exceptions noted in the report).
  • Achieved ISO 9001 and ISO 45001 certifications.

Climate Goals & Targets

Short-term Goals:
  • Reach 50% Saudization by 2024.
  • Reach 30% hybrid vehicles by 2025.

Environmental Challenges

  • Risks associated with pandemics (lockdowns impacting revenue).
  • Risks associated with changes in the transportation sector (new fees or regulations).
  • Risks related to logistics and supply chain services (semiconductor shortage, inflation).
  • Political and geological risks affecting investment opportunities.
  • Foreign currency risks increasing costs.
  • Risks related to the sale of vehicles at the end of their operational life (decreased selling prices).
  • Credit risk (non-payment by customers).
  • Risks of high rents (especially for airport sites).
  • Risks associated with relying on the human element and workforce (attracting skilled labor).
  • Risks associated with foreign investments.
  • Liquidity risk.
  • Competition risks.
  • Risks associated with the use of trademark licenses.
  • Insurance risks (increased cost of car insurance).
  • Risks associated with funding (securing financing sources).
  • Risks associated with possible Zakat and tax.
  • Risks associated with government work permit fees.
Mitigation Strategies
  • Policies and plans to manage risks.
  • Risk management policy based on organized systems, rules, and procedures.
  • Regular monitoring and management of risks by various company entities.
  • Maintaining good relationships with banks to ensure liquidity.

Supply Chain Management

Climate-Related Risks & Opportunities

Sustainable Products & Innovation

  • Hybrid vehicles

Awards & Recognition

  • Mowaamah certification
  • Best CEO Award (Fawaz Abdullah Danish)
  • Guinness World Record (text messages)