Scope 1 Emissions
2022 Communication on Progress
Redes Energeticas Nacionais, SGPS, SA
Published date
June 7, 2022
No. of questions
61
Supplemental files
Statement of social responsibility policy.pdfIntegrity policy.pdfCode of conduct.pdfREN_Relatório Garantia Limitada Fiabilidade - Sustentabilidade 2021_ENG.pdfCode of conduct.pdfDeclaração Política QAS - julho 2020 EN (1).pdfStatement of social responsibility policy.pdfCEO Statement
Signed
Governance
Policies and Responsibilities
1. Does the Board / highest governance body or most senior executive of the company:
Optional commentThe Executive Committee is responsible for overseeing sustainability-related topics. The CEO is responsible for the Sustainability area and the COO for the Operational Sustainability area. Additionally, in 2021, the Board of Directors created a Sustainability Committee, formed by the Executive Committee and two independent directors. The primary objective of this Committee is the strategic analysis of the progress made towards its commitment to the Environmental, Social, and Governance (ESG) objectives, as well as the supervision of the implementation of those objectives and decisions by the Board of Directors.2. Does the company have a publicly stated commitment regarding the following sustainability topics?
Optional commentThree documents uploaded: REN's Code of conduct, Integrity policy and declaration of social responsibility policy.3. Does the company have in place a code of conduct regarding each of the following sustainability topics?
Optional commentREN's Code of Conduct sets out the principles, values and rules concerning ethics and professional conduct to be complied with by all employees of REN, including the members of its corporate bodies and companies controlled directly or indirectly by the Group. This Code of Conduct further applies to proxies, authorized representatives and service providers who are in any way empowered to act on behalf of and/or in representation of REN. Other REN service providers and suppliers are equally invited to observe the principles set out in this Code. Suppliers, in particular, shall also adhere to the REN Group Supplier Code of Conduct. The social responsibility followed by REN further determines the implementation of the principle of sustainability – with regard to economic, social and environmental aspects – as the guiding reference for all activities over the long-term. Humans rights are referred in sub-chapter 2.9 of the Code of Conduct, Labour rights and decent work are referred to in sub-chapters 2,11 and 4.1, Environment on sub-chapters 2.9, 2.11 and 3.7. Anti-corruption is referred to in sub-chapter 3.1. https://www.ren.pt/files/2018-12/2018-12-17100041_f7664ca7-3a1a-4b25-9f46-2056eef44c33$$72f445d4-8e31-416a-bd01-d7b980134d0f$$B2F3C69E-E609-4F72-891F-04F35E9959EB$$storage_image$$pt$$1.pdf4. Has the company appointed an individual or group responsible for each of the following sustainability topics?
Optional commentAll ESG-related topics have the direct oversight of the Executive Committee, the Sustainability Committee and the Ethics and Corporate Governance Committee. In 2021, REN's Board of Directors extended the competence and activities of the Corporate Governance Committee to also expressly cover ethics matters. To this end, the management of risks in matters of ethics and the monitoring of the implementation of the Code of Conduct and internal rules and policies were reinforced. Moreover, accordingly, the name of the committee was changed to Ethics and Corporate Governance Committee. Additionally, there are two departments that oversee sustainability matters, one at a more strategic level and the other more focused on the operational level. Since 2021, there is also a ESG working group responsible for the implementation of more than 70 ESG initiatives.5. Does the company have a formal structure(s) (such as a cross-functional committee) to address each of the following sustainability topics?
Optional commentREN's Board of Directors formed in 2021 a Sustainability Committee, whose main objective is the strategic analysis of the evolution of commitments to ESG objectives, supervision of the respective implementation and decisions on new actions within the Board of Directors. The new governance structure is directed at ESG and aims to achieve broader organization in the implementation of action plans and communication with respect to sustainability. The Sustainability Committee meetings include not only the participation of its five members (Executive Committee and two independent Directors) but also the participation of the Directors of the Sustainability and Communication department and the Operational Sustainability department, as well as the Sustainability manager. Also in 2021, REN's Board of Directors extended the competence and activities of the Corporate Governance Committee to also expressly cover ethics matters. To this end, the management of risks in matters of ethics and the monitoring of the implementation of the Code of Conduct and internal rules and policies were reinforced. Moreover, accordingly, the name of the committee was changed to Ethics and Corporate Governance Committee.Prevention
6. Does the company have a process or processes to assess risk?
Optional commentREN's Board of Directors formed in 2021 a Sustainability Committee, whose main objective is the strategic analysis of the evolution of commitments to ESG objectives, supervision of the respective implementation and decisions on new actions within the Board of Directors. The new governance structure is directed at ESG and aims to achieve broader organization in the implementation of action plans and communication with respect to sustainability. The Sustainability Committee meetings include not only the participation of its five members (Executive Committee and two independent Directors) but also the participation of the Directors of the Sustainability and Communication department and the Operational Sustainability department, as well as the Sustainability manager. Also in 2021, REN's Board of Directors extended the competence and activities of the Corporate Governance Committee to also expressly cover ethics matters. To this end, the management of risks in matters of ethics and the monitoring of the implementation of the Code of Conduct and internal rules and policies were reinforced. Moreover, accordingly, the name of the committee was changed to Ethics and Corporate Governance Committee. Regarding risk, REN has a Risk Management Committee to suport the Board of Directors in monitoring the Group's risks, as well as ensuring the enforcement of risk management policies common to the REN Group.6.1. During the assessment of risk, which business relationships are reviewed?
Optional commentFor risk identification, REN has its own supplier’s management system that assesses the sustainability of critical Tier 1 suppliers in terms of the followings aspects: a. Dimension, financial capability and stability; b. Compliance; c. Technical capability. The system also includes processes concerning the evaluation of the supplier’s performance regarding the execution of the awarded contracts. Specific business database providers, benchmarking and the engagement of specialized companies in sourcing are some of the tools used by REN to identify suppliers/purchasing subcategories with potentially higher sustainability risks. Particularly to address issues related with Human Rights, Labour, Environmental and Corruption risks REN has a Supplier Code of Conduct. The Code must be accepted for suppliers and covers the following issues: - Environmental standards for the suppliers' processes, products or services Child labor - Fundamental human rights (e.g. labor rights, freedom of association, ILO conventions) - Working conditions (e.g. working hours, lay-off practices) - Remuneration - Occupational health and safety - Business ethics (e.g. corruption, anti-competitive practices, control of related party transactions, conflict of interest, segregation of responsibilities).7. Does the company have a due diligence process through which it identifies, prevents, mitigates, and accounts for actual and potential negative impacts on sustainability topics?
7.1. During the due diligence process, which business relationships are reviewed?
Optional commentAmong several other analysis, during the qualification/requalification (annual update of the qualification process) processes and award of the contracts, REN verifies if the payments due to Social Security and Tax Authorities are up to date; check the criminal records of the company directors; and globally the suppliers awareness to Quality, Health, Safety, and Environment (QHSE) issues. REN has also an evaluation process concerning the performance of the suppliers during the execution of the contracts awarded by REN, that includes the evaluation of Quality, Health, Safety, and Environment (QHSE) aspects.Concerns and grievance mechanisms
8. Are there any processes through which members of the company’s workforce can raise concerns about the company’s conduct related to human rights, labour rights, environment, or anti-corruption?
Optional commentStakeholders (shareholders, members of corporate bodies, officers, directors, managers, employees, service providers, clients, suppliers and other stakeholders in REN or REN Group companies) may communicate any irregular practices they have knowledge or reasonable doubts of to the Audit Committee, in order to prevent, stop or sanction irregularities which could adversely affect REN. Such communication must be made voluntarily, orally or in writing. Oral communications should be made through the telephone number (351) 210 013 511 and, at the request of the whistleblower, in a face-to-face meeting. The written communications should be sent to the Company's headquarters and addressed to the Chairman of the Audit Committee or to the e-mail address comissão.auditoria@ren.pt, of restricted access to the Audit Committee, and contain all the elements and information that the author has and deems necessary to assess the irregularity. Communications will be dealt with confidentially, except if the whistleblower wishes to reveal his or her identity in the communication of the irregularity, which will only be disclosed for the purposes of investigation should the whistleblower give his or her consent. More information available in REN's Code of Conduct (section B. Applicable procedures for processing communications regarding irregularities and the assessment of irregularities), REN's integrity policy (chapter V. Communication of irregularities) and REN's Annual Report 2021 (page 436, regarding the reinforcement of internal commucation on the whistleblowing mechanism).8.1. Please provide additional detail regarding the process(es) the company has through which members of the company’s workforce can raise concerns about the company’s conduct.
Optional commentREN implemented the mechanisms with regard to the prevention and detection of fraud and errors and the verification of the operations and business of the Group with the applicable legal and regulatory provisions, including the general policies and regulations of REN, carried out by the Risk Management Committee. More information available in REN's Code of Conduct (section B. Applicable procedures for processing communications regarding irregularities and the assessment of irregularities), REN's integrity policy (chapter V. Communication of irregularities) and REN's Annual Report 2021 (page 436, regarding the reinforcement of internal commucation on the whistleblowing mechanism).9. Does the company provide or enable access to effective remedy to right holders / stakeholders where it has caused or contributed to the adverse impact?
Optional commentThe Chapter “Procedures applicable to the handling of the communication and investigation of irregularities”, included in the REN Group Code of Conduct, which was updated in 2021, describes the procedures applicable to the receipt and processing of such communications submitted by interested parties and to the investigation of possible irregularities and their remedy. Shareholders, members of corporate bodies, employees, service providers, clients, suppliers and other stakeholders in REN or REN Group companies may communicate any irregular practices they know of. In addition, these stakeholders have the ability to communicate situations where they have substantiated doubts, including whistleblowing. This procedure aims to prevent, stop and remedy irregularities and allow the sanctioning of whoever is considered an infringer.Lessons
10. How does the company capture lessons regarding each of the following sustainability topics?
Optional commentREN monitors its perfomance and sustainability impact on a regular basis, and updates its policies, processes and practices when incidents occur or new best practices emerge. Regarding risk monitoring, REN has a Risk Management Commiitee responsible for monitoring the Group's risks, as well as ensuring the enforcement of risk management policies common to the entire REN Group and the internal disclosures of best practices for risk management.Executive Pay
11. Is executive pay linked to performance on one or more of the following sustainability topics?
Optional commentREN's objectives for 2022 include an ESG cluster, with a weight of 15%, regarding Health & Safety, Gender diversity, and Reduction in GHG emissions. Besides these specific objetives, the Remuneration Committee takes into account other ESG topics in the evaluation of the Executives with impact on the overall remuneration. More information on REN's Annual Report, Annex 1 to the Governance Report (Annual Report on the Remuneration of the Corporate Bodies of REN), 9. ESG (page 453).Board Composition
12. Percentage of individuals within the company’s Board / highest governance body by:
Optional commentInformation regarding REN's Board of Directors composition on our website: https://www.ren.pt/en-GB/investidores/governo_da_sociedade/conselho_de_administracao13. Do you produce sustainability reporting according to:
Data Assurance
14. Is the information disclosed in this questionnaire assured by a third-party?
Human Rights
Materiality / Saliency
1. Which of the following has the company identified as material human rights issues connected with its operations and/or value chain, whether based on their salience (i.e., the most severe potential negative impacts on people) or another basis?
Response
8. Briefly describe practical actions the company has taken during the reporting period and/or plans to take to implement the human rights principles, including any challenges faced and actions taken towards prevention and/or remediation.
REN continued to monitor its performance regarding regarding sustainability topics, namely human rights issues.Labour
Commitment
1. Does the company have a policy commitment in relation to the following labour rights principles?
Optional commentAccording to our Code of Conduct, REN commits to condemn all forms of child labour and forced labour under the form of slavery and seeks to promote respect for human rights, labour and freedom of association; The persons covered by this Code shall not discriminate, namely with regard to race, sex, age, physical disability, sexual orientation, political opinions or religious convictions. Emphasis shall instead be placed on the principle of equal opportunity, diversity and individual merit; The persons covered by this Code shall not discriminate, namely with regard to race, sex, age, physical disability, sexual orientation, political opinions or religious convictions. Emphasis shall instead be placed on the principle of equal opportunity, diversity and individual merit; REN shall provide a healthy and safe environment. Also, in its Quality, Environment and Safety Policy Statement, REN states that relevant aspects of quality, environmental protection, safety and occupational health are systematically taken into consideration. Also compromises to use all means at its disposal to prevent serious accidents involving hazardous substances and occupational accidents and diseases in order to ensure and maintain high standards of performance in matters of occupational health and safety.1.1. For each labour rights policy, is it:
Optional commentREN's Code of Conduct is publicly available, applicable to all employees and business relationships. Regarding our suppliers, in our Supplier's Code of Conduct, which was reviewed in 2021, we address human rights in the workplace has a fundamental area of business conduct. This means that in our Supplier's Code of Conduct we already address topics such as working hours and decent wage policy. Regarding working hours: All Suppliers of REN Group undertake to respect at least the requirements enshrined in national legislation, national agreements and/or industry standards regarding the work schedule of their employees (Conventions nos. 1 and 47 and Recommendation no. 116 of the ILO). The provision of additional working hours shall be voluntary whenever possible, and shall not be demanded as a rule, nor may it constitute a form of replacement for insufficient regular salaries, and will always be compensated according to national laws and with what is displayed in Collective Conventions. Regarding decent wage policy: All Suppliers of REN Group undertake to ensure that their workers receive fair and equitable salaries, allowances and other benefits, in accordance with their duties, roles and responsibilities, and at least equal to what is defined in national legislation and International Conventions (Conventions nos.94 and 95 and Recommendation no. 135 of ILO). Source: https://www.ren.pt/en-GB/o_que_fazemos/fornecedores/codigo_de_conduta_do_fornecedorPrevention
2. In the course of the reporting period, has the company engaged with affected stakeholders or their legitimate representatives in relation to the following labour rights issues?
Optional commentREN meets on a quarterly basis with workers' representatives for safety and health at work, with a view to the continuous improvement of working conditions. REN also meets with the Workers' Committee on a quarterly basis to discuss and resolve labor problems and working conditions. On an annual basis, REN negotiates with the unions the revision of the salary policy taking into account the main macroeconomic indicators. These negotiations take place punctually during the rest of the year whenever necessary.3. What type of action has the company taken in the reporting period with the aim of preventing/mitigating the risks/impacts associated with this labour rights issue?
Optional commentREN encouraged and supported the electoral process for the election of workers' representatives for safety and health at work. Negociations with the Worker's Committee and the unions.4. Who receives training for the following labour rights issues?
Optional commentAll employees are trained in Basic Life Support. Specific groups of employees are trained in First Aid or other safety and health components related to specific functions or facilities or equipment. The remaining topics are addressed in the Code of Conduct and Sustainability e-learning training.5. How does the company assess progress in preventing/mitigating the risks/impacts associated with the following labour rights issues?
Optional commentREN keeps track internally on its performance regarding sustainability topics, namely labour issues.Performance
6. What is the percentage of employees covered under collective bargaining agreements?
Optional commentAnnual Report 2021, page 1437. What is the percentage of employees in a trade union or other workers' organization?
Optional commentAnnual Report 2021, page 1438. In the course of the reporting period, what was the percentage of women in:
Optional commentAnnual Report 2021, page 137 https://www.ren.pt/en-GB/investidores/governo_da_sociedade/conselho_de_administracao9. What was the average ratio of the basic salary and remuneration of women to men (comparing jobs of equal value) during the reporting period?
Optional commentThe ratio is of -2% Annual Report 2021, page 15110. In the course of the reporting period, how frequently were workers injured (injuries per hour worked)?
Optional commentAnnual Report, page 14711. In the course of the reporting period, what was the company’s incident rate?
Optional commentAnnual Report, page 147Response and Reporting
12. In the course of the reporting period, has the company been involved in providing or enabling remedy where it has caused or contributed to the adverse impact associated with the following labour rights issues?
Optional commentAs REN did not register any labour-related complaint, no remedy was provided regarding such topics.13. Briefly describe practical actions the company has taken during the reporting period and/or plans to take to implement the labour rights principles, including any challenges faced and actions taken towards prevention and/or remediation.
2021 was marked by evolution in the organization of the company’s human resource policies and practices to meet the new challenges of our strategic plan. This evolution involved the transformation of our organizational structure, taking into account the need to develop greater agility and responsiveness to specific sector challenges, succession needs in critical business areas and recognition and retention of critical talent in the organization. From a human resource policy perspective, the evolution and transformation process was based on six structural vectors: • Future work organization model - using the experience gained in the management of the pandemic, and in a process which saw extensive involvement by all employees (general questionnaire, workshops), we sought to establish guidelines for the future post-pandemic work model based on principles of flexibility, focus on results, sense of group and commitment. This process also involved assessing the need to adapt spaces and ways of working in order to evolve towards a culture which is both collaborative and close-knit Of note was the start of the process to train leaders and teams for work in hybrid models through a series of dedicated sessions. • Talent management and meritocracy – from a development perspective, the 360º performance management processes continued to serve as the basis for identifying and recognizing talent and succession, as well as for identifying cross-company and individual training needs. The practice of holding retention, alignment and development interviews with different employees, a process which was started in 2020, was further consolidated in 2021. • Development and training – the project to transform the training model using flexible models and ondemand learning, continued to be implemented with the evolution and creation of new e-learning courses, an increase in online opportunities and the development of a new training platform. • Equality, inclusion and diversity – gender equality, which has been focused on through different initiatives since 2014, gained new impetus with the formalization of a strategic objective for the REN Group: for women in management to hold at least 1/3 of total positions by 2030. In addition to ongoing actions, new partnerships and support programmes were formalized, such as the “Engineers for 1 Day” initiative, our commitment to the “Alliance for Equality in ICT” and sponsorship of the “Girl Move Academy” initiative. • With respect to inclusion and diversity, we continued to invest in partnerships with different entities and in the assessment of integration opportunities in relation to available opportunities. • Digital transformation – the digitization of human resource processes and the digitization of the interface with our employees was another area we focused on. In addition to starting the development of a new training platform, an application was also launched to facilitate the management of scales in hybrid work models. • Welfare proposal – management of the pandemic brought organizational and individual resilience to the fore as one of the priority topics of 2021. In addition to specific measures to support management with regard to the pandemic (which included an extra day off besides the already existing flexibility measures), issues of well-being and mental health were emphasised as areas of priority concern to be reinforced under the Nós Programme - the aim of which is to promote wellbeing, quality of life and overall satisfaction for REN employees.Environment
Commitment
1. Does the company have a formal policy on the following environmental topics?
Optional commentREN has not formalized in a Policy some of its already known commitments - such as facilitating the energy transition, thus joining the fight against climate change, the preservation of forest and biodiversity, etc. Nonetheless, our sustainability strategy is based on four strategic pillars, being one of them the protection of the environment. Also, as an enabler of the energy transition, we have a robust invesment plan do decarbonize both the electricity and gas sectors. We currently develop several initiatives that contribute to the preservation of the environment and to SDG 7, 13 and 15. Please consult chapter 5.3.2 Environmental performance of our Annual Report. In our current Policy for Quality, Environment and Safety, we state our aim to: minimizing environmental impacts stemming from its activities, promoting the rational use of natural resources and the prevention of pollution, seeking to safeguard the rights of future generations.1.1. For each environmental policy, is it:
Optional commentIn our current Policy for Quality, Environment and Safety, we state our aim to: minimizing environmental impacts stemming from its activities, promoting the rational use of natural resources and the prevention of pollution, seeking to safeguard the rights of future generations.Prevention
2. In the course of the reporting period, has the company engaged with affected stakeholders or their legitimate representatives in relation to the following environmental issues?
Optional commentREN actively collaborates with associations and initiatives regarding the climate action topic. For example, REN is a member of BCSD Portugal (Business Council for Sustainable Development), of the OGMP Oil and Gas Methane Partnership Iniciative, collaborates with the DGEG (National Energy and Climate Plan) and also the National Strategy for H2. REN also participates in sector associations and national/international bodies (ENTSO-E and G, CIGRÉ, etc.). Regarding forest/biodiversity/land use, and bearing in mind the impact fires can have in our infrastructure, we are one of of the founding members of ForestWISE – Collaborative Laboratory for Integrated Forest and Fire Management (https://forestwise.pt/), which conducts innovative multidisciplinary research and transfers of knowledge with respect to integrated forest and fire management. Other key initiatives in this topic are the partnerships with QUERCUS "Common Forest" to promote and encourage the creation of native forest with high levels of biodiversity and good ecosystem services; and with CERVAS - Centre for Ecology, Recovery and Surveillance of Wild Animals (our partner for over four years in range of actions to preserve the environment, help in the recovery of injured wild animals, habitat conservation and environmental education). We also work closely with ICNF - Institute for the Conservation of Nature and Forests and the municipalities where REN has infraestructure and with the National System of Forest Defence against Fires.3. What type of action has the company taken in the reporting period with the aim of preventing/mitigating the risks/impacts associated with these environmental topics?
Optional commentClimate action: REN's investment, as the concessionaire for electricity transmission and gas storage, reception, transmission and distribution networks, in the construction of the new infrastructure necessary to receive new renewable production and the adaptation required to allow the injection of renewable gases into networks, guaranteeing the quality and supply security and operation of the systems, will enable energy transition objectives to be achieved, more specifically, the gradual reduction of GHG emissions from the energy sector. In 2021, the Portuguese electricity system underwent a profound change with the decommissioning all of coal-fired power plants (2). RES (Renewable energy sources) capacity has continued to grow, and in the last three years, from 2019 to 2021, installed RES capacity grew by around 6 pp, while production by RES went from 51% in 2019 (around 26 TWh), to 59% in 2021 (around 30TWh). During 2021, several projects were undertaken to reinforce and modernize the network that will allow the gradual decarbonization of SEN (73% of electricity generation in 2021 was from renewable sources, compared to 65% in 2020). These projects will also provide increased resilience of operation, with emphasis on the continuation of infrastructure construction that will allow partial integration of the hydroelectric plants in the Tâmega basin (consisting of three reservoirs and three hydroelectric plants, totalling 1,158 MW, of which 880 MW is reversible). In the gas sector, and recognizing the role of renewable gases in a carbon neutral economy, we are furthering the study of the technical limits of the infrastructure, identifying the necessary investment, as well as the potential consequences for the operation and maintenance of the infrastructure and the impacts for different users arising from the incorporation of green hydrogen. Investment needs in transmission and distribution networks, as well as in underground storage, are identified in the respective development and investment plans. We are also collaborating on a number of international and national projects aimed at reducing methane emissions to achieve the gradual decarbonization of the gas infrastructure and, as such, its continued use on a sustainable basis in the national energy system. Oceans: REN installed a submarine cable, currently operated at 60 kV (with possibility to operate at 150 kV), that runs along of sea about 17 km long to the area with renewable energy conversion potential defined in the Portuguese maritime spatial planning, with a surface area of approximately 60 km², where a world pioneering wind farm using floating technology adapted to deep waters is currently in operation and connected to the RNT’s cable. Forests/biodiversity/land use: EN carried out in 2021 by the CIBIO team: i) the preparation of final reports to assess the risk of incidents caused by breeding birds in REN platforms and the first field campaign to identify breeding birds (in addition to the white stork) using REN platforms, with emphasis on species on conservation lists ii) the scientific support: DFOS - Distributed Fibre Optic Sensing to Detect Collisions on Extra-High Voltage Lines, led by the Institute of Systems and Computer Engineering, Technology and Science (INESC-TEC) which seeks to develop/test an automatic testing system for collisions involving birds with electricity lines. A study to evaluate the effectiveness of “fans” in deterring white stork nesting on REN platforms and monitoring of the project to implement an automatic stork scare deterrent system - Stork disturbance online mitigation system for overhead lines iii) analyses were conducted relating to the study of the relationship between the use of space by Bonelli's eagles and electrical lines in the Algarve mountains, to test whether exclusion effects exist as caused by electrical lines and iv) conclusion of the work involving the CIGRE C3.16 – Wildlife and infrastructures work group, which resulted in a technical brochure (sent to the study committee), and our continued participation in the CIGRE C3.20 working group – Sustainable Development Goals. Increasing levels of biodiversity through reforestation involving the planting of native species, as is the case with the strawberry tree, which represented 57% of the area planted by REN in 2021, and the search for other solutions, such as the use of access corridors for pasture, thus reducing the risk of forest fires and increasing the climate resilience of agriculture are examples of the company's commitment in this area. Air pollution: The fleet electrification policy which aims to reduce emissions from this type of asset, continues the process of consolidation, and in 2021, 56% of new vehicles purchased were electric (BEV – battery electric vehicle or PHEV – plug in hybrid electric vehicle), currently representing 28% of the total fleet. With the change in market purchase specifications, most types of new vehicles acquired are now electric, with only a small number of segments which, for operational reasons, are still unable to find a suitable solution in terms of market supply.4. How does the company assess progress in preventing/mitigating the risks/impacts associated with the following environmental topics?
Optional commentREN keeps track internally on its performance regarding sustainability topics, namely environmental issues.5. In the course of the reporting period, has the company been involved in providing or enabling remedy for any actual impacts associated with the following environmental issue(s)?
Optional commentAlthough REN registered environmental administrative offence proceedings, no fine was issued.Climate Action
6. What were the company’s gross global greenhouse gas emissions for the reporting period?
Scope 2 Emissions
Scope 3 Emissions
Optional commentRegarding scope 3 emissions, REN currently only reports business travel. We have started the calculation for all categories this year and will publish the full scope 3 emissions in 2022.7. What percentage of the company's revenue was invested in R&D of low-carbon products/services during this reporting period?
8. Has the organization acted to support climate change adaptation and resilience?
Optional commentThe fight against climate change places decarbonization at the centre of public policies, generating significant changes in the energy sector. As such, from an energy transition perspective, adapting the electricity and gas infrastructures is critical for meeting national energy policy goals. In terms of electricity sector infrastructure, RES growth targets, combined with the decommissioning of thermal power stations that made up the current National Electricity Network, means that in order to guarantee supply security, the transmission infrastructure must be adapted and developed. Changes to the national and European legislative and regulatory framework and technological developments such as mobility and energy storage, represent additional challenges. With regard to the gas sector, the current reception, storage, transmission and distribution infrastructures will play an important role in allowing the introduction, distribution and consumption of renewable gases in the different sectors of the economy, allowing increasing levels of renewable energy sources to be incorporated into final energy consumption. REN investment, as the concessionaire for electricity transmission and gas storage, reception, transmission and distribution networks, in the construction of the new infrastructure necessary to receive new renewable production and the adaptation required to allow the injection of renewable gases into networks, guaranteeing the quality and supply security and operation of the systems, will enable energy transition objectives to be achieved, more specifically, the gradual reduction of GHG emissions from the energy sector. Recognizing the decisive role of companies in climate action, we signed the manifesto “Towards COP26” promoted by the Business Council for Sustainable Development (BCSD) Portugal, a document that came about as a result of the 26th United Nations Conference on Climate Change (COP26) and which sets out 11 goals to stop climate change. Additionally REN is committed to set science-based emissions reduction targets across al relevant scopes, in line with 1.5ºC emissions scenarios, under the UN Global Compact "Business Ambition for 1.5º".Energy / Resource Use
9. Please report the company's renewable energy consumption as a percentage of total energy consumption in the reporting period.
Optional commentREN does not currently report information regarding its renewable energy consumption as percentage of total energy consumption.Technology
10. What percent of the company's revenue came from environmentally friendly products / services during this reporting period?
Sector-specific Questions
11. Which sector(s) does the company operate in? If diversified, choose top 3 by revenue.
Sector-specific: Water
12. Please provide details regarding the company's water withdrawal and consumption (own operations) during the reporting period.
Water withdrawal (volume of water in megaliters):
Water consumption (volume of water in megaliters):
Optional commentREN doesn't currently report data regarding water consumption. We plan to re-start reporting this information next year due to the sensibility of the topic, although it is not material for REN's activities.13. Please provide details about the company’s water intensity of products in regions with high or extremely high water stress.
Optional commentREN doesn't currently report data regarding water consumption. We plan to re-start reporting this information next year due to the sensibility of the topic, although it is not material for REN's activities.Sector-specific: Air pollution
17. Where applicable, please report the company's emissions of the following pollutants during the reporting period.
Optional commentREN doesn't currently report information regarding air emissions that were deemed not material. REN reports its CH4 emissions and was awarded the Gold Standard by OGMP in 2021 for its commitment to reduce methane emissions by at least 20% by 2025 vs 2018.Sector-specific: Waste
18. Please report the company's total weight of waste generated in metric tonnes during the reporting period.
Optional commentREN doesn't currently report data regarding waste. We plan to re-start reporting this information next year due to the sensibility of the topic, although it is not material for REN's activities.19. Please report the percentage of the company's waste that was hazardous waste (i.e., hazardous waste ratio) during the reporting period.
Optional commentREN doesn't currently report data regarding waste. We plan to re-start reporting this information next year due to the sensibility of the topic, although it is not material for REN's activities.20. Please report the company's estimated metric tonnes of single-use plastic consumed wherever material along the value chain during the reporting period.
Optional commentREN doesn't currently report data regarding single-use plastics.Overall Environment
21. Briefly describe practical actions the company has taken during the reporting period and/or plans to take to implement the environment principles, including any challenges faced and actions taken towards prevention and/or remediation.
In 2021 we continued to monitor key environmental performance indicators and undertake initiatives aligned with energy transition. REN's investment, as the concessionaire for electricity transmission and gas storage, reception, transmission and distribution networks, in the construction of the new infrastructure necessary to receive new renewable production and the adaptation required to allow the injection of renewable gases into networks, guaranteeing the quality and supply security and operation of the systems, will enable energy transition objectives to be achieved, more specifically, the gradual reduction of GHG emissions from the energy sector. Reinforcing investment plans to achieve decarbonization targets for the electricity and gas sectors is key and will require a coordinated effort between different SEN and SNG agents and other stakeholders. REN is actively committed to achieving these goals. In 2021, the Portuguese electricity system underwent a profound change with the decommissioning of the two coal-fired power stations, Sines and Pego, with total installed power of 1,756 MW. Over the last 35 years, these plants provided one of the main sources of electricity supply. RES capacity has continued to grow, with an addition of around 120 MW in wind farms and around 500 MW in new photovoltaic installations. During 2021, several projects were undertaken to reinforce and modernize the network that will allow the gradual decarbonization of SEN (73% of electricity generation in 2021 was from renewable sources, compared to 65% in 2020). These projects will also provide increased resilience of operation, with emphasis on the continuation of infrastructure construction that will allow partial integration of the hydroelectric plants in the Tâmega basin (consisting of three reservoirs and three hydroelectric plants, totalling 1,158 MW, of which 880 MW is reversible). More initiatives regarding environmental principles in REN's Annual Report, pages 159-173.Anti-corruption
Commitment
1. Does the company have an anti-corruption compliance programme?
Optional commentIn 2021, the REN Group Integrity Policy was approved by the REN Board of Directors, establishing the principles of action and duties of Group companies and other parties, in order to prevent the practice of illicit acts, namely crimes of corruption, money laundering and financing of terrorism, and to promote ethics, integrity and transparency in doing business, ensuring compliance with current legislation and regulations. Among other matters, in its current version, the REN Group Integrity Policy covers the priorities set out in the National Anti-Corruption Strategy. Internal communication was also reinforced on this matter, particularly with regard to whistleblowing, namely with reminders on the intranet, in order to make employees aware of the existence of this whistleblowing mechanism. In addition, a course is being prepared to cover the topics of the Group's Integrity Policy, as well as, in general, the policies and procedures for the prevention of corruption, as is already the case in relation to the Code of Conduct.2. Does your company have policies and recommendations for employees on how to act in case of doubt and/or in situations that may represent a conflict of interest, e.g. with regard to gifts and hospitality, donations, sponsorship, or interactions with public officials?
Optional commentInformation regarding Conflict of interest in our Code of Conduct and in our Integrity Policy.Prevention
3. Who receives training on anti-corruption and integrity?
Optional commentTraining on anti-corruption topics is available to all employees, through various training courses, namely the training on "Ethics and Code of Conduct". More information on REN's Annual Report 2021, page 436.3.1. How often is such training provided?
Optional commentThe e-learning course on "Ethics and Code of Conduct" is obligatory and transveral to all employees. In addition to established employees, new workers and interns are also required to attend this course when they join the company. Due to the relevance of the topic, and in order to ensure the recycling of knowledge, all employees repeat this course every two years. More information on REN's Annual report 2021, page 141 and 436.4. Does the company monitor its anti-corruption compliance programme?
Response and Reporting
5. Please report the company's total number and nature of incidents of corruption during the reporting year.
6. Within the reporting period, what measures has the company taken to address suspected incidents of corruption independently or in response to a dispute or investigation by a government regulator?
Optional commentInvestigations were conducted by REN regarding cases liable to constitute potential irregularities. Whenever deemed suitable, the results of the work carried out by the Internal Audit Department were conveyed to the Executive Committee, the Board of Directors and the External Auditor, in line with the duties performed by each of these bodies in the management and supervision of the Company business. Information available in the Audit Committee Report on the Financial Year of 2021 (https://www.ren.pt/files/2022-05/2022-05-11123747_f7664ca7-3a1a-4b25-9f46-2056eef44c33$$72f445d4-8e31-416a-bd01-d7b980134d0f$$70680EBA-8CEC-40EF-9F7E-B27716109DBB$$storage_image$$pt$$1.pdf).7. Does your company engage in Collective Action against corruption?
8. Briefly describe practical actions the company has taken during the reporting period and/or plans to take to implement the anti-corruption principle, including any challenges faced and actions taken towards prevention and/or remediation.
In 2021, the REN Group Integrity Policy was approved by the REN Board of Directors, establishing the principles of action and duties of Group companies and other parties, in order to prevent the practice of illicit acts, namely crimes of corruption, money laundering and financing of terrorism, and to promote ethics, integrity and transparency in doing business, ensuring compliance with current legislation and regulations. Among other matters, in its current version, the REN Group Integrity Policy covers the priorities set out in the National Anti-Corruption Strategy. Internal communication was also reinforced, particularly with regard to whistleblowing, namely with reminders on the intranet, in order to make employees aware of the existence of this whistleblowing mechanism. In addition, a course is being prepared to cover the topics of the Group's Integrity Policy, as well as, in general, the policies and procedures for the prevention of corruption, as is already the case in relation to the Code of Conduct. For the same purpose, understanding and compliance mechanisms were reinforced in relation to REN employees, who, from the moment they are hired, and regardless of their contractual relationship, declare that they are aware of and fully accept the provisions of the REN Group Code of Conduct, the procedures applicable to the treatment of communications and investigation of irregularities and the REN Group Integrity Policy. The content of said regulations and policies is made available to all employees and is permanently available at REN's buildings and on its websites (internet and intranet), and is the object of regular training and testing. Also in 2021, REN's Board of directors extended the competence and activities of the Corporate Governance Committee to also expressly cover ethics matters. To this end, the management of risks in matters of ethics and the monitoring of the implementation of the Code of Conduct and internal rules and policies were reinforced. Moreover, accordingly, the name of the committee was changed to Ethics and Corporate Governance Committee.