Enel has been included in the prestigious ‘A List’ for climate change released by CDP, the global environment impact non-profit that provides the most valued platform to monitor business performance on the fight against climate change. Enel’s Spanish subsidiary Endesa has been rated with an A-.
“Our inclusion in CDP’s A List is a recognition of our active commitment to address climate change by promoting the decarbonization of energy generation systems, while contributing to cut emissions in other sectors through the electrification of energy demand,” said Francesco Starace, Enel CEO and General Manager. “The strategic choice we made in 2015 to switch to a sustainable, integrated business model allowed Enel to position itself as a leader in the transition towards a zero emission economy, in order to be best prepared for the challenges of climate change.”
Enel is one of a small number of high-performing companies included in CDP’s ‘A List’ based on their 2019 climate reporting. Enel was recognized for its management and transparency with regards to climate related issues at both Board and Management levels, the Group’s measures to mitigate climate risks by boosting renewables and phasing out thermal capacity, its commitment and actions to cut GHG emissions, as well as its ability to seize climate-related opportunities.
CDP’s environmental disclosure and scoring process, which evaluates businesses from A to D-, is globally recognized as the gold standard of corporate environmental transparency. Companies’ performance in addressing climate change is assessed based on the level of disclosure, awareness and management of environmental risks, as well as the implementation of best practices related to environmental leadership, such as setting ambitious targets. In 2019, over 8,400 companies participated in the assessment process.
In 2019, Enel strengthened its commitment to climate action by setting a 2030 target to reduce its direct GHG emissions per kWh by 70%, from a 2017 base-year. Towards this goal, by 2022 the Group is expected to develop 14.1 GW of new renewable capacity and reduce coal production by 74%, with respect to 2018. Through these initiatives, Enel is embedding climate action in its strategic decisions and operations to lead the energy transition. The Group is actively committed to the UN Sustainable Development Goals (SDGs), with around 95% of its overall 28.7 billion euro investments for 2020-2022 directly targeting SDG 7 (Affordable and Clean Energy), 9 (Industry, Innovation and Infrastructure) and 11 (Sustainable Cities and Communities), all contributing to the achievement of SDG 13 (Climate Action). Enel is set to invest more than 50% (14.4 billion euros) of its total capex in decarbonisation, supporting the Group’s target to fully decarbonise its technology mix by 2050.
Enel’s global sustainability leadership is acknowledged through its presence in several other renowned sustainability indices, such as the Dow Jones Sustainability Indices, the FTSE4Good Index series, the Euronext Vigeo-EIRIS indices, the STOXX Global ESG Leaders indices, the OEKOM “Prime” rating, the ECPI indices, and the Thomson Reuters/S-Network ESG Best Practices Indices. Furthermore, Enel currently holds the maximum score (AAA) by MSCI ESG Research Ltd., the leading research and data provider measuring companies’ performance on the grounds of ESG (environmental, social, governance) factors.
Enel is increasingly attracting the attention of Socially Responsible Investors (SRI), whose stake in the company is steadily growing, representing about 10.5% of the Group’s share capital in 2019, up 78% compared to 2014. This increase reflects the growing importance the financial market gives to non-financial elements in the creation of long-term sustainable value.