AF Gruppen
Climate Impact & Sustainability Data (2023)
Reporting Period: 2023
Environmental Metrics
Total Carbon Emissions:35,166 tCO2e (Scope 1 & 2)
Scope 3 Emissions:14,196 tCO2e
Total Energy Consumption:33,660 MWh (Scope 1 & 2)
Waste Generated:288,511 tons (recovered)
ESG Focus Areas
- Climate and Environment
- Social Conditions
- Corporate Governance
Environmental Achievements
- Reduced greenhouse gas emissions for scope 1 and 2 by 42% compared to 2020 baseline for civil engineering services.
- Recovered 288,511 tonnes of masses for reuse, reducing CO2 emissions compared to conventional aggregate production.
- Achieved a 59% greenhouse gas reduction in the renovation of Kommunegården in Sandvika compared to a reference building.
- 26% reduction in energy consumption at Grand Hotel Terminus renovation project.
Social Achievements
- LTI rate of 0.8 in 2023 (17 LTI injuries), significantly lower than the industry average.
- Absence due to illness rate of 4.1% in 2023, lower than the construction and civil engineering sector average.
- Increased focus on mental health with fundraising, courses, and talks.
Governance Achievements
- Updated climate risk analysis in 2023, aligned with the TCFD framework.
- Implemented a new analysis tool (Enin platform) to combat work-related crime.
- Introduced a mandatory online course on the Transparency Act in 2023.
Climate Goals & Targets
Long-term Goals:
- Achieve climate neutrality by 2050.
Medium-term Goals:
- Halve relative greenhouse gas emissions (Scope 1 & 2) by 2030.
- Halve the amount of unsorted waste sent for incineration and landfill by 2030.
- Increase proportion of women among salaried employees to 40% and overall to 20%.
Short-term Goals:
- Increase knowledge about greenhouse gas emissions and waste production.
- Develop circular products and climate-friendly services.
- Achieve employee satisfaction score above 5.0.
Environmental Challenges
- High proportion of diesel use in construction machinery.
- Variations in earthmoving amounts across different civil engineering projects.
- Uncertainty about future policy requirements and framework conditions.
- Increased input costs from suppliers due to energy consumption and environmental requirements.
- Limited access to emission-free construction machinery in some areas.
- Increased reporting scope due to CSRD.
- Challenges related to labour rights in the construction industry.
- Difficulties in detecting issues like living wages, working hours, and forced labour in subcontractors' value chains.
Mitigation Strategies
- Setting goals to halve relative greenhouse gas emissions by 2030 and achieve climate neutrality by 2050.
- Implementing measures to reduce waste produced at construction sites and prioritize recycling.
- Developing and using innovative solutions to reduce climate and environmental impacts.
- Close collaboration with clients, suppliers, and subcontractors to identify and select suitable solutions.
- Building mobile charging stations for heavy construction machinery.
- Developing innovative solutions for efficient sustainability data reporting.
- Investing in internal skills development and attracting relevant expertise.
- Implementing systems and procedures to ensure subcontractors' compliance with laws and regulations.
- Conducting on-site inspections and spot checks to verify compliance.
- Using tools like StartBANK and internal blacklisting to assess and manage supplier risks.
- Introducing mandatory HSE courses for subcontractors.
Supply Chain Management
Responsible Procurement
- AF Supplier Declaration; Code of Conduct; Transparency Act compliance; zero tolerance for breaches; use of StartBANK and risk filter; internal blacklisting.
Climate-Related Risks & Opportunities
Physical Risks
- Acute physical risk (extreme weather events)
- Chronic physical risk (temperature changes, sea level rise)
Transition Risks
- Unpredictable policy and contract terms
- Price increases associated with CO2 emissions
- Disputes and litigation
- Increased reporting scope
- Changing demand for climate-friendly products
- Increased input costs
- Limited access to technology and materials
- Introduction and development of new technologies
- Changed customer behavior
Opportunities
- Resource efficiency and circularity
- Increased demand for climate-friendly products and services
- Development of innovative solutions
- Increased demand due to extreme weather events
- Employee value proposition
Reporting Standards
Frameworks Used: TCFD, EU Taxonomy, UN Global Compact, GRI (implied)
Certifications: BREEAM, Miljöbyggnad, ISPS (for AF Environmental Base Vats)
UN Sustainable Development Goals
- Goal 7 (Affordable and clean energy)
- Goal 9 (Industry, innovation and infrastructure)
- Goal 11 (Sustainable cities and communities)
- Goal 12 (Responsible consumption and production)
- Goal 13 (Climate action)
AF's initiatives contribute to these goals through various projects related to renewable energy, sustainable construction, waste reduction, and climate change mitigation.
Sustainable Products & Innovation
- Low-carbon concrete; upcycled maritime metal building materials.