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 2.25 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 across-the-board digital transformation, deployment of a new IT model and advanced platform
Main targets@2025: €300 million invested; >50% of clients’ full digital operations
PEOPLE
Main initiatives:
- Competence enhancement and reskilling
- New working modes supported by digitalisation
- Diversity enhancement
- People care
Main targets@2024: 25% of women among middle managers and executives; +27% hours of training per capita
SUSTAINABILITY - Circular economy
Main initiatives:
- Increase of sorted waste collection
- Growth of material recovery in Group plants
- Production of fuels from biodegradable waste
- Wastewater reuse for industrial and agricultural purposes
Main targets@2024: 73.6% sorted waste; 15 Mcm wastewater reused; 1.6 Mt waste recovered in Iren plants; 35 Mcm biomethane produced
SUSTAINABILITY - Water resources
Main initiatives:
- Increase in purification capacity
- Rational use of water through reduction of water withdrawal and network leaks
Main targets@2025: 29% network leaks; approx. 80% networks divided into districts; +16% wastewater plants capacity
SUSTAINABILITY- Decarbonisation
Main initiatives:
- Reduction of carbon intensity of energy production
- Energy saving of production processes
- Emissions reduction (scope 2)
Main targets@2025: -4% power generation carbon intensity; approx.-35% scope 2 emissions; +27% energy saving
SUSTAINABILITY- Resilient cities
Main initiatives:
- Extension of district heating networks
- Reduction of corporate vehicle fleet environmental impact
- Energy saving from Iren products and services
Main targets@2025: +16% district heated volumes; 35% eco-vehicles on total fleet; approx. 25% of green electricity sold to end clients and wholesalers
CUSTOMERS/RESIDENTS
- National retail clients acquisition
- New product/service lines with added value
- Digital operations and payments
- Greater investment in infrastructure and services
TECHNOLOGICAL EVOLUTION AND EFFICIENCY
Main initiatives:
- Transformation into a lean organization with an agile management model
- Performance improvement projects
- Advanced analytics projects
Main targets@2025: € 55 million of synergies; 65 performance improvement projects
GROWTH - Investments
Main initiatives:
€2.25 billion of sustainable investments: 21% in circular economy, 31% for water resources, 41% for resilient cities and 7% for decarbonisation
Main targets@2025: €3.7 billion in 6 years; +12% compared to previous Plan
GROWTH - Ebitda
Main initiatives:
- €1,060 million of Ebitda at the end of the Plan
- Increased organic growth
- Net financial positions/EBITDA Ratio by 2025 of 2.5x
Main targets@2025: +€ 243 million compared to 2019; +4% annual growth rate
GROWTH - Profits and dividends
Main initiatives:
- Short-term dividend policy revised taking into account the covid impact on 2020 results, capex acceleration in 2020 and 2021, strategic M&A transactions
- Financial policy that allows to reduce the cost of debt
Main targets@2025: approx. €350 million of profit by the end of the Plan; +8% average annual dividend growth