The energy transition is a veritable transformation process, making it possible to contribute actively to a sustainable long-term development trajectory in order to achieve more inclusive and environmentally friendly growth and find new solutions to customer needs. New forms of energy are required that can outline a new business model, drawing value from the trends of urbanization, an increased demand for electricity and the profound decarbonization that is consequently necessary.
In the new 2018-2020 Plan, which is based on industrial pillars and ESGs, the Group is confirming the fundamental principles of its strategy, with greater change and acceleration in its implementation.
The Plan promotes combining different cultures and objectives within the same Group, across mature businesses and upcoming activities, promoting the application of a sustainable business model along the entire value chain, with the UN’s 17 SDGs. Amounting to 14.6 billion euro over the three-year period, growth investments will mainly concern the digitalization of grids, the development of renewables, the installation of charging stations, software platforms and public lighting, with 80% of them dedicated to mature markets, thereby resulting in a reduction in the risk profile. The Plan also envisages an increasing dividend and a gross operating margin of 18.2 billion euro in 2020, against profits that will rise to 5.4 billion euro.
Operationally speaking, in 2020 renewable installed capacity will be about 48GW and thermal capacity will equal about 39 GW, resulting in 55% of zero-emission production. In line with the commitments made in 2015 to achieve the sustainable development goals (SDG 13), the Plan calls for the reduction of CO2 specific emissions (< 350 gCO2/kWheq). In terms of the environment, the targets of a 30% reduction in SO2 and NOx specific emissions are also confirmed, plus a reduction of 70% of dust by 2020, compared to the corresponding 2010 values. Enel also continues to promote the economic and social growth of the local communities in which it operates, confirming and strengthening its specific commitment to the following SDGs: 800 thousand beneficiaries of quality education in the 2015-2020 period, doubling the previous target of 400 thousand beneficiaries (SDG 4); 3 million beneficiaries of affordable and clean energy in the 2015- 2020 period, mainly in Africa, Asia and South America (SDG 7); 3 million beneficiaries in terms of decent work and sustained, inclusive and sustainable economic growth in the 2015-2020 period, doubling the previous target of 1.5 million beneficiaries (SDG 8).
The Company’s people are key elements of the strategy, which, therefore, aims to strengthen their roles and responsibilities within the organization, providing them with the tools for managing the energy transition through clear and precise objectives in terms of performance evaluations, company climate, development of digital skills – with the aim of involving 100% of people in dedicated training by 2020 – and promotion of diversity, with the intention of reaching a share of 50% women for the 2020 selection process. It is a method of working based on principles of ethics, transparency, inclusiveness, respect for human rights and maximum attention to safety. These clear objectives are also linked to the promotion of a sustainable supply chain, an increasingly integrated and modern governance structure and environmental management based on the reduction of emissions, the promotion of biodiversity and the spread of a circular economy approach that combines innovation and competitiveness. Two particularly significant factors have been added to Enel’s strategic levers: digitalization and customer focus. Through a 5.3 billion euro investment over three years, Enel wants to digitalize assets, with particular focus on smart meters, remote control and system connectivity, implement an agile design for the main processes that affect customers, and increase its people’s digital skills.
This technological transformation could not exist without great attention to cyber security. In this regard, in addition to confirming the goal of obtaining accreditation for the Enel CERT4 from the national CERTs4 of 8 countries and creating affiliations with international organizations5, the Group is expanding its goals by scheduling 350 computer security checks (ethical hacking, vulnerability assessments, etc.) per year. Enel also has the ambitious goal of increasing its customer base by about 80% in three years, from 20 million to almost 35 million, by taking advantage of growing demand and capturing the needs of the customers. This is why the new e-Solutions Business Line was created, aiming to give customers the power to transform energy into value for everyone: an immediate, accessible, always connected and state-of-the-art reality with new offers and integrated solutions. This Plan features all the aspects of energy of the future: efficiency, flexibility, digitalization, electric mobility and the integration of renewables, as well as the new role of customers – no longer just passive users, but conscious main players with growing needs.
4 Computer Emergency Response Team.
5 First and Trust Introducer.
2018-2020 Sustainability Plan
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