Contribution to SDGs
The Business Plan defines explicit sustainability objectives and targets grouped into six focus areas. These targets determine a commitment to produce tangible results consistent with 8 of the 17 targets to be achieved by 2030 according to the UN Agenda (SDGs).
A commitment that Iren Group ensures, investing over the next 6 years about 2 billion euros in projects and initiatives that have a direct impact on the SDGs.
BUSINESS PLAN OBJECTIVES AND TARGETS: OUR CONTRIBUTION FOR SDGs
DIGITALISATION
Main initiatives: Strong acceleration of digitalisation on a large scale, implementation of new IT model and advanced platforms
Main targets@2024: € 350 mln invested; +75% compared to previous Plan
PEOPLE
Main initiatives:
- Skills development and reskilling
- Implementation of new career paths and generational exchange
- Development of women's skills to offer equal development opportunities
Main targets@2024: +14% direct and indirect occupation; +27% training hours per capita
SUSTAINABILITY - Water resources
Main initiatives:
- Division of networks into districts
- Increased efficiency of waste water treatment plants
- Digitalisation to improve predictive maintenance, service levels and operating efficiency
Main targets@2024: -5% network leaks; -5% water withdrawals; 76% network divided into districts; +16% wastewater plants capacity
SUSTAINABILITY - Circular economy
Main initiatives:
- Acquisition and construction of new waste recovery plants
- Extension of door-to-door waste collection systems
- JustIren for the digitalisation of the waste management cycle
Main targets@2024: +8% sorted waste collection (kg/inh/y); -24% unsorted waste collection (kg/inh/y); 1,2Mt waste recovered; +3% MWh/t from WTE
SUSTAINABILITY- Decarbonisation
Main initiatives:
- Expansion of electric and thermal storage
- Development of renewables
- Smart Solutions: energy efficiency projects
Main targets@2024: -3% power generation carbon intensity; +20% energy saving; +56% CO2 avoided from waste recovery; ~75% renewable or similar energy production
SUSTAINABILITY- Resilient cities
Main initiatives:
- Extension of district heating networks
- Smart metering
- Eco-mobility
- Distributed solar energy generation
Main targets@2024: +12% district heating volumes; 35% eco-vehicles on total vehicle fleet; 95% gas smart meters; ~2.000 distributed solar plants
CUSTOMERS/RESIDENTS
- Expansion of customer base outside key areas
- Maintenance of one of the lowest churn rates in the industry
- Major investments in infrastructure and services
EFFICIENCY
Main initiatives:
- Transformation into a lean organisation with an agile management model
- Further performance improvements
Main targets@2024: € 60 million of synergies; 100 performance improvement projects
GROWTH - Investments
Main initiatives:
- Approximately €2 billion of investments in sustainability projects: over €800 million in the water sector and €600 million in the waste sector
- €350 million in digitalisation projects
Main targets@2024: € 3,3 billion in 6 years; +10% compared to previous Plan
GROWTH - Ebitda
Main initiatives:
- Approximately €1,070 million by the end of the Plan
- Over 100 performance improvement projects
- Net financial position/EBITDA ratio by 2024 of 2.4x
Main targets@2024: +€ 200 million by the end of the Plan; +3,6% annual growth rate compared to 2018
GROWTH - Profits and dividends
Main initiatives:
- 2018 dividend policy confirmed
- Pay-out ratio of 50% by 2019 and 60% by 2022
Main targets@2024: ~€ 300 million of profit by the end of the Plan; +10% annual dividend growth