At Atlantica, we are determined to be part of the solution to climate change as a key pillar of our long-term strategy:
- We are committed to invest ind renewable energy assets, and in transmission, natural gas and storage as enablers of the energy transition.
- Environment will remain as a priority in planning our business through: (i) innovation and eco-efficiency initiatives and, (ii) the gradual reduction of environmental impacts of all our activities.
We have set a goal to maintain 80% of our revenues generated from low-carbon footprint assets (i.e., renewable energy, transportation and transmission infrastructures and water assets.)
Through this policy, we commit to:
- Protect the environment in the areas where we operate and integrate environmental protection in the decision-making processes.
- Comply with environmental laws, regulations, permit requirements and internal policies in each of the markets where we operate.
- Continue to increase environmental awareness.
- Reduce our GHG emissions over time and disclose GHG initiatives, targets, deadlines, monitoring and periodic audits.
- Analyze and implement internal energy efficiency measures in our operating assets.
- Maintain and periodically review our environmental management system.
- Foster using natural resources more efficiently.
- Maintain the necessary indicators to obtain quantifiable information to measure and monitor the environmental performance and impacts of our activities and, define and implement action plans to reduce such impact in relation with:
- Emissions: calculating and monitoring our Scope 1, 2 and 3 GHG emissions.
- Water: calculating and monitoring our water usage by promoting a rational and sustainable use.
- Waste: calculating and monitoring our waste and implementing initiatives aimed at minimization and improvement of waste management.
- Appropriately manage environmental risks and opportunities. We have developed a risk analysis methodology based on ISO 31000 and common market practices. As such, we commit to maintain a robust risk analysis process that at least contains:
- Risk identification: identify the causes that may turn into a risk situation, classifying those potential causes in natural, human, intentional, accidental and technological.
- Risk assessment: evaluate the risk including an analysis of the potential frequency and impact.
- Risk management plan: manage the risk in order to mitigate the effects that it may cause.
- Consult and collaborate with environmental third-party oriented stakeholders when appropriate and foster discussions and partnerships on environmental issues with public and private entities.
- Identify relevant non-GHG air emissions, analyze initiatives and appropriately implement measures to reduce such emissions.
- Implement and share best practices when appropriate.
- Report key measures taken towards the conservation of environment in the areas where we operate.
The Board of Directors of Atlantica is responsible for the oversight of environmental risks and opportunities as well as overseeing the implementation specific initiatives.
Atlantica’s senior management monitors the accomplishment of this Environmental Policy in the Environment, Social and Governance (ESG) Committee.
Our Environmental and Quality Management System complies with the standards ISO 14001 and ISO 9001. These certifications cover management and acquisition of contracted assets. They were obtained for the first time in 2015 and are valid until May 2021. Our Environmental and Quality Management System is audited annually by an external third party (DNV GL).
Our management system guarantees that we comply with the regulations in force and with our policies in each of the markets we operate. In this sense, we measure and monitor the environmental impact of our activities and we analyse plans to reduce our emissions, water and waste.
We perform annual internal audits in our assets aimed at reviewing compliance with our best practices and promoting constant improvement. These audits are focused on a broad range of areas of asset management and include the environmental aspects. The purpose of these audits is to review the operational, maintenance, health and safety, and environmental indicators, as well as compliance and reporting requirements. We intend to assure compliance with our best practices. In 2019, 11 of our assets were audited and 206 improvement actions were identified. Action plans have been set to reach the internal standards required and are currently ongoing.
We have established a goal to maintain 80% of our revenues generated from low-carbon footprint including our renewable, transportation and transmission infrastructures and water assets. The achievement of this target is reviewed by top management in our ESG Committee, which is held once a month. We also report to our Board at every meeting on the progress of our ESG plan and semi-annually on the main environmental indicators (GHG, water and waste).
At Atlantica, we have a strong commitment to operating to the highest standard of corporate conduct. According to our Code, we also seek to work with third parties who operate under principles that are similar to those set in the Code of Conduct. We have a Supplier Code of Conduct and we expect our suppliers to adhere to it. We include our requirements in our contractual arrangements with suppliers. Nevertheless, we understand that some suppliers may face significant challenges in immediately meeting every aspect of the Code. In this sense, our commitment is also to working together over time to help those supplies achieve adherence with this Code.
Our main O&M suppliers are large corporations that, we believe, follow strong corporate policies. One of the main suppliers of Atlantica is Abengoa who is contracted as an O&M supplier at some of our assets across geographies. In Mexico, our O&M Operators are General Electric and NAES Corp.
In 2019 we reinforced the environmental certification of our suppliers through a two-step process:
- Internal homologation process: Atlantica’s internal compliance team reviews the suppliers’ financial information, environmental initiatives, tax compliance, and bank account certificates, etc.
- External homologation process: We have engaged the services of the external provider Ecovadis to evaluate our key suppliers in terms of: (i) environment, (ii) fair labor & human rights, (iii) ethics, and (iv) sustainable procurement.
Ecovadis’ applies an in-house methodology built on international CSR standards including the Global Reporting Initiative, the United Nations Global Compact, and the ISO 26000 and issues a rating per supplier. This evaluation is renewed on a yearly basis enabling us to periodically monitor and track-down the suppliers’ improvements in terms of i) environment, (ii) fair labor & human rights, (iii) ethics, and (iv) sustainable procurement.