Climate Change Data

Environmental Metrics

ESG Focus Areas

• Climate Change
• Social Responsibility
• Corporate Governance

Environmental Achievements

• CO2 equivalent savings of approximately 5.2 million tons through waste treatment and energy recovery.
• High operating reliability of large energy recovery plants (over 85% annual availability).

Social Achievements

• Creation of over 10,736 net job positions (excluding Unión Fenosa integration).
• Active personnel selection policies, fostering of teamwork, and specialized training.

Climate Goals & Targets

Environmental Challenges

• Negative impact of the credit market crisis and economic slowdown on stock market performance.
• Development of the capital markets did not favor the share prices of companies related to the infrastructure sector in 2007.

Mitigation Strategies

• Reinforced sustainability strategy focusing on economic, social, and environmental impacts.
• Continued allocation of resources to reducing greenhouse gases.

Supply Chain Management

Climate-Related Risks & Opportunities

Awards & Recognition

• Inclusion in Dow Jones World and European Sustainability Indices

Environmental Metrics

ESG Focus Areas

• Ethics
• Operating Efficiency
• Human Resources
• Climate Change
• Eco-efficiency
• Water Saving
• Biodiversity
• Social Action

Environmental Achievements

• Reduced CO2 emissions by 3,288,764 tCO2e (from 5,492,986 tCO2e in 2014)
• Reduced water consumption ratio (m3/Sales € million) from 831.9 to 1206.0
• Reduced total carbon intensity ratio (Total emissions/Sales € million) from 487.1 to 376.0
• Increased water treatment by Cobra from 13,254,636 m3 in 2014 to 19,778,612 m3 in 2015
• Implemented a new line in the refining separation area to separate glass from waste, recovering 700 tons of glass by April 2015
• Reduced electricity usage in Zaragoza facilities by 24.72% (2,451,547 kWh), saving 266,861 euros since 2014

Social Achievements

• Increased investment in Social Action and ACS Foundation from €6 million in 2014 to €12 million in 2015
• Organized over 4,800 training courses in Human Rights, Ethics, and Integrity
• Implemented a unified Social Action policy in 2014
• Improved employee satisfaction scores (69.98% satisfied or very satisfied)
• Clece integrated 2,610 employees from underprivileged backgrounds in 2015 (33.7% growth)
• Organized several social initiatives and volunteer work, benefiting an estimated 1,752,484 people

Governance Achievements

• Adapted the Code of Conduct to follow the most demanding standards in Good Corporate Governance and Human Rights, aligning with the UN Ruggie Report
• Defined Corporate Social Responsibility Policy, approved by the Board of Directors
• Implemented Project One to analyze and assess the Group’s performance in line with the Dow Jones Sustainability Index

Climate Goals & Targets

Environmental Challenges

• Organizational and administrative changes in 2015 impacting the scope of some indicators
• Supply chain disruptions (implied)
• Climate change impacts (implied)
• Maintaining ethical standards across a large, decentralized organization
• Managing risks associated with a global workforce and operations

Mitigation Strategies

• Recalculated certain 2014 data for better comparability with 2015 data
• Developed tools for collecting and consolidating sustainability information
• Implemented Project One to promote good management practices and align with the Dow Jones Sustainability Index
• Adapted the Code of Conduct to address ethical risks
• Implemented risk management model including identification, assessment, and monitoring of risks

Supply Chain Management

Supplier Audits: 37.7% of ACS sales report carrying out internal audits of suppliers (affecting an average of 3.0% of suppliers); 38.8% report independent audits (0.8% of suppliers)

Responsible Procurement

• Inclusion of compliance with the ACS Code of Conduct in supplier contracts (82% of sales)
• Verification of supplier compliance with the Code of Conduct (27% of sales)
• Promotion of supplier adherence to international standards (69% of sales)
• Analysis of supplier criticality (42.8% of sales)
• Development of corrective plans for suppliers (46.8% of sales)
• Cancellation of contracts for breaches (88.6% of sales)
• Promotion of the use of certified/recycled materials (57.6% of sales)

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather (implied)

Transition Risks

• Regulatory changes (implied)
• Market shifts (implied)

Opportunities

• Development of energy-efficient products (implied)

Reporting Standards

Frameworks Used: GRI G4, Construction and Real Estate Sector Supplements

Certifications: ISO 9001, ISO 14001, OHSAS 18001

Third-party Assurance: KPMG Asesores S.L.

Sustainable Products & Innovation

• Recycled and certified construction materials
• Energy-efficient technologies

Awards & Recognition

• Inclusion in the Dow Jones Sustainability Index

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• Reduced total emissions by over 6%

Social Achievements

• Increased training hours by 58%
• Increased number of employees who have received courses related to corporate compliance by 26%

Governance Achievements

• Strengthened ethics and integrity training

Climate Goals & Targets

Environmental Challenges

• CIMIC’s decision to cease its activities in the Middle East and leave the region
• Global coronavirus pandemic

Mitigation Strategies

• Gains from the sale of some renewable energy assets in Spain managed to virtually neutralize the negative impact of CIMIC’s decision
• Professionalism, dedication and commitment of employees, efficient organizational structure and strong financial capacity

Supply Chain Management

Supplier Audits: 2,090 audits/year

Responsible Procurement

• Code of Conduct for Business Partners

Climate-Related Risks & Opportunities

Physical Risks

• Natural disasters

Transition Risks

• Regulatory changes
• Technological changes
• Market preferences

Opportunities

• Renewable energy
• Green Building projects
• Energy efficiency services

Reporting Standards

Frameworks Used: GRI Standards, IIRC

Certifications: ISO 14001, OHSAS 18001, ISO 9001

Third-party Assurance: Independent third party under ISAE 3000

UN Sustainable Development Goals

• Goal 5
• Goal 6
• Goal 7
• Goal 8
• Goal 9
• Goal 10
• Goal 11
• Goal 12
• Goal 13

Contribution through infrastructure development, social dimension, and social action initiatives

Sustainable Products & Innovation

• Green Building
• Green Infrastructure
• Renewable energy

Awards & Recognition

• Dow Jones Sustainability World Index
• Platinum Sustainable Infrastructure Award (Champlain Bridge)
• Preventive excellence award (Cobra)

Environmental Metrics

ESG Focus Areas

• Climate Change
• Circular Economy
• Sustainable Infrastructure
• Health & Safety
• Diversity & Inclusion
• Governance & Compliance
• Supply Chain
• Community Investment

Environmental Achievements

• Scope 1 emissions reduction of -15% by 2025 (target), -35% by 2030 (target)
• Scope 2 emissions reduction of -30% by 2025 (target), -60% by 2030 (target)
• 80% waste → reuse/recycling
• 45% of infrastructure sales = Projects with sustainable certification

Social Achievements

• 97% of employees subject to certified Health and Safety management systems
• +25% women in Senior Management position by 2025 (target)
• +7% employees belonging to vulnerable groups by 2025 (target)

Governance Achievements

• 100% of employees with responsibility in compliance matters trained
• 100% of own operations evaluated in the field of Human Rights
• 75% of suppliers trained in the Business Partner Code of Conduct
• 100% of the direct critical suppliers evaluated in terms of sustainability

Climate Goals & Targets

Environmental Challenges

• Climate change risks (GHG emissions, resource depletion)
• Supply chain sustainability
• Meeting increasing demand for sustainable infrastructure while addressing funding gaps
• Ensuring responsible supply chain management
• Maintaining ethical and responsible business practices

Mitigation Strategies

• Implementing a climate strategy aiming for climate neutrality by 2045
• Promoting resource optimization and circularity
• Becoming a reference in sustainable infrastructure
• Strengthening sustainability governance
• Extending ESG best practices in the supply chain
• Investing in employee training and development
• Increasing community investment

Supply Chain Management

Responsible Procurement

• Business Partner Code of Conduct

Climate-Related Risks & Opportunities

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• 89.6% of the Group's turnover is generated by companies that have management systems certified under the ISO 14001 standard.
• Reduction of scope 1 and 2 emissions by 28.7% compared to 2019.
• 12,935 million euros in Green Building and Green Infrastructure projects in 2022 (41.2% of ACS Group Construction sales).
• Olympia-Odos highway reduced its carbon footprint by more than 25% between 2017 and the end of 2022.
• 83.8% recovery rate of non-hazardous waste in 2022.

Social Achievements

• Increased workforce by 5.1% compared to 2021, with 56.7% women.
• 2,745 women in management positions (22.2% of total).
• 1,048,174 total teaching hours given in 2022.
• 68,462 employees participated in training activities.
• Clece obtained the gold category in Discert for commitment to the inclusion of disabled people.

Governance Achievements

• ACS became the first unregulated listed Spanish company certified in ISO 37301 for compliance management systems.
• Updated General Compliance Policy approved by the Board on 28 July 2022.
• Updated Environmental Policy approved in July 2022.
• Implementation of a dual risk control model for subsidiaries.

Climate Goals & Targets

Environmental Challenges

• Inflation and tensions in the supply chain
• Limitation of material resources and human resources
• Geopolitical instability
• Interest rate rise
• Population growth and urbanisation
• New technologies
• New sources of financing
• Obsolete assets
• Climate change and decarbonisation
• Stimulus plans and deglobalisation
• Natural catastrophes and pandemics
• Safety and health risks
• Labour relations
• Attracting and retaining talent
• Ineffective internal communication
• Purchasing and sub-contracting processes
• Impact on the economic-social environment
• Relationship with the client
• Violation of Human Rights
• External communication with stakeholders
• Information security and cyber-attacks
• Environment and circular economy
• Climate change and energy efficiency

Mitigation Strategies

• General Risk Control and Management Policy updated in 2020 and 2022.
• Integrated Risk Control and Management System.
• Sustainability Master Plan 2025.
• Various initiatives and measures to achieve targets set in the 2025 Sustainability Master Plan.
• Risk management system that integrates financial and non-financial risks, including climate change risks.
• Measures to adapt to physical risks arising from climate change.
• Actions to reduce GHG emissions (e.g., renewable energy, vehicle replacement).
• Waste management prioritizes recycling, reuse, and recovery.
• Implementation of ISO 14001 and ISO 45001 certifications.
• Various initiatives to improve energy efficiency and reduce energy consumption.
• Use of recycled and/or certified construction materials.
• Life cycle analysis in infrastructure and building projects.
• Various initiatives to promote work-life balance and employee well-being.
• Global Compliance Management System.

Supply Chain Management

Supplier Audits: 61,169 suppliers assessed at least once in the last three years (78.6% of total suppliers)

Responsible Procurement

• Code of Conduct for Business Partners
• ESG criteria included in supply chain management
• Supplier approval and selection systems
• Analysis of the level of compliance of these systems
• Promotion of collaboration with suppliers and transparency in contractual relationships

Climate-Related Risks & Opportunities

Physical Risks

• Increase in the severity and frequency of weather events
• Extreme weather events related to temperatures
• Disruptions in the supply chain caused by extreme weather events

Transition Risks

• Reputational damage caused by climate change
• Increase in borrowing costs
• Increase in prices or decrease in insurance coverage
• Increase in the price of greenhouse gas emissions
• Regulation of project specifications and services
• Increase in the cost of raw materials

Opportunities

• Expansion of the market to construct climate change adaptation solutions
• New opportunities related to the electrification of the economy and renewable energy
• Other opportunities related to decarbonisation of transport, water infrastructure, building refurbishment, and operational efficiency improvements

Reporting Standards

Frameworks Used: GRI Standards

Certifications: ISO 14001, ISO 45001, ISO 37301, ISO 20400: 2017 (Clece), ISO 27001 (Clece)

Third-party Assurance: Independent third party adhering to ISAE 3000

UN Sustainable Development Goals

• SDG 8 (Decent Work and Economic Growth)
• SDG 10 (Reduced Inequalities)
• SDG 11 (Sustainable Cities and Communities)
• SDG 13 (Climate Action)

Various initiatives contribute to these goals, as detailed throughout the report.

Sustainable Products & Innovation

• Earth Friendly Concrete
• Recycled asphalt
• HIPER piles
• Green Building and Green Infrastructure projects

Awards & Recognition

• ISO 37301 certification
• BIM Champion 2022 (HOCHTIEF ViCon)
• Catalejo Prize (Clece)