LMA - Engie EPS · 2020-02-25 · industry, have led the shareholder base to become more international. In particular, this ongoing dialogue with the financial • the success of

2017

ii

2017 CORPORATE SOCIAL AND ENVIRONMENTAL RESPONSIBILITY REPORT

INDEX OF CONTENTS

CLAUSE PAGE

1. INTRODUCTION ............................................................................................................................. 1

1.1 Our stakeholders as our whole focus .............................................................................................. 1 1.2 Our mission, vision and values: built around environment and sustainability ................................ 1 1.3 Our Corporate Social and Environmental Responsibilities ............................................................. 3

2. OUR RESPONSIBILITY TO THE FINANCIAL COMMUNITY ........................................................ 4

2.1 A constant dialogue with analysts and investors............................................................................. 4 2.2 Stock performance and news flow comitment ................................................................................ 5

3. OUR RESPONSIBILITY TO THE EPS’ PEOPLE ........................................................................... 8

3.1 Our employees’ challenges ............................................................................................................. 8 3.2 Work-life balance strategy ............................................................................................................... 5 3.3 Constant trade unions and labour relations .................................................................................... 6 3.4 Health and Safety as a priority ........................................................................................................ 6 3.5 Continuous Training......................................................................................................................... 9 3.6 Equal opportunities for the EPS’ people ......................................................................................... 1 3.7 International Labor Organization compliance ................................................................................. 1

4. OUR RESPONSIBILITY TO ENVIRONMENT: OUR BUSINESS STRATEGY .............................. 3

4.1 Our environmental policy, our investments ..................................................................................... 3 4.2 Circular economy: pollution and waste management ..................................................................... 5 4.3 The significant posts of greenhouse gas emissions generated by the company’s activities, in

particular through the use of the goods and services it produces .................................................. 6 4.4 Climate change ................................................................................................................................ 7

5. OUR RESPONSIBILITY TO SOCIETY ......................................................................................... 27

5.1 Territorial, economic and social impact in terms of employment .................................................. 27 5.2 Innovation as local development driver, partnering with Universities ........................................... 27 5.3 Sponsorships and charities ........................................................................................................... 30 5.4 Enduring partnerships and stakeholders ...................................................................................... 30 5.5 A supply chain engaged in Social and Environmental Responsibility .......................................... 30 5.6 Fair trade practices ........................................................................................................................ 31 5.7 Other measures taken in favor of human rights ............................................................................... 32

6. METHODOLOGY NOTE ............................................................................................................... 33

6.1 Reporting boundaries and indicators selection criteria ................................................................. 33 6.2 Indicators criteria ........................................................................................................................... 33

7. CONCORDANCE TABLE .............................................................................................................. 35

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1. INTRODUCTION

This report is part of a comprehensive

approach to taking into account the

Group’s corporate, environmental and

social responsibility and transparency

with respect to these issues.

Corporate social and environmental

responsibility is an integral part of EPS’

way of doing business. The goal of the

Group has always been to combine

competitiveness with sustainability. It is a

commitment aimed at pursuing growth,

innovation and results, always placing

great attention to the quality of life, and

environmentally compatible

development. The pursuit of these

objectives allows EPS to create

everlasting values not only to the benefit

of our people, partners, stakeholders but

also to the communities where we

operate.

With the appointment of the new board,

since February 2015, the Group has

started for the first time to formalize and

monitor such goals and way to do

business, with precise policies and

procedures of corporate social and

environmental responsibility (“CSR”), that

are now implemented by our new

operational and staff departments.

1.1 Our stakeholders as our whole focus

In particular, after the admissions of the

EPS’ shares on Euronext in April 2015,

the Group has focused immediately on

the identification and formalization of its

stakeholders outlined in the figure below.

Chart 1-Our Stakeholders

As an immediate consequence, the

Group entrusted its new operational and

staff departments, and in particular the

Finance, Communication and Legal

department to spearhead the

implementation, ongoing application and

continuous improvement by involving all

employees.

1.2 Our mission, vision and values: built

around environment and sustainability

EPS is a vertically integrated energy

storage company. The ongoing transition

in electrical power generation from fossil

fuels and nuclear power to renewable

energy sources has given rise to new

challenges that have seen storage

technology take the centre stage. The

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energy sector has encountered two main

hurdles:

• in off-grid applications (emerging

markets): to serve the 2.4 billion

people (35% of the global population)

and energy intensive businesses

around the world that are not currently

reached by a reliable electric power

grid, so as to (i) replace diesel-fuelled

generators that currently provide

power and capacity to the final users

and (ii) make better use of renewable

energy sources.

• in on grid support (developed

countries): as intermittent and

unpredictable renewable energy

progressively displaces traditional

power plants, electricity grids

increasingly need storage systems

that provide both capacity and

flexibility. As a result, having the goal

to concretely enable renewables

sources to unlock the energy

transition, EPS’ mission, vision and

values are built around environment

and sustainability.

1.2.1. A clear Vision: An Energy Company

and the world’s reference for a clean

energy culture

Electro Power Systems S.A. (the "Group"

or "EPS") in 2017 has consolidated its

business model as a player operating in

the sustainable energy sector,

specializing in hybrid-storage solutions

and micro-grids that, in line with the

Group's mission, enable intermittent

renewable sources to be transformed into

a stable power source.

2016 has been the first year in which the

Group focused exclusively on hybrid,

storage and power conversion solutions

for both flexibility and capacity

requirements of any national grid or

micro-grid, developing and

commercializing:

- in developed countries, energy

storage systems to stabilize

electrical grids heavily penetrated

by renewable sources ("Grid

Support"); and

- in emerging economies,

microgrids to power off-grid areas

at a lower cost than fossil fuels

("Off-Grid Power Generation").

This dualism of hybrid solutions which

can provide at the same time flexibility

and capacity to any grid or micro-grid, is

aimed at solving the problem of

intermittence of renewables and

contribute to the implementation of the

energy transition, namely the

development of a balanced electricity

generation model based on new

renewable energy sources (wind and

photovoltaic power) and of electricity

distribution via so-called smart grids. In

2017 we consolidated our footprint in the

previous sectors by: (i) integrating wind

energy in a previously developed

microgrid, (ii) commissioning of a

hydrogen based microgrid plant in a

desert area at 4500 m above sea level

and, (iii) scaling up in the size of the

projects where the latest achievement

was the award of a 20MW-12 MWh grid

support BESS. Moreover, we developed

a new Power Conversion System,

suitable for tackling the utility scale BESS,

and laid down the basis for operating in

the Electric Vehicle market.

1.2.2. Our Mission statement: unlocking the

Energy Transition

The Group’s mission is to unlock the

energy transition, by mastering the

intermittency of renewable energy

sources, being pioneer of Hybrid Storage

Solutions, transforming intermittent

renewable sources into a stable power

source and enabling renewables to power

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society: reliably, affordably and

sustainably.

1.2.3. Our Values in three cornerstones

Seeking innovation and sustainability of

the energy transition are the main values

of the Group.

It is expressed in three cornerstones:

• reliability for our partners;

• proactivity for our customers;

• technological excellence in any

solution deployed.

This means building value over time

through continuing innovation,

continuous improvement, transparency

and people development.

1.3 Our Corporate Social and

Environmental Responsibilities

The Group has taken steps to identify its

key CSR issues organized around three

lines of action:

• Our responsibilities to the financial

community;

• Our responsibilities to the EPS’

people;

• Our responsibility to environment;

• Our responsibility to society.

Our responses to these issues are

presented in this report.

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2. OUR RESPONSIBILITY TO THE

FINANCIAL COMMUNITY

The Group attributes strategic importance

to financial and corporate communication

as a key instrument to build a relationship

of trust with the financial community, one

of its main stakeholders.

In this respect, the Group maintains an

ongoing dialogue, through the Investor

Relations department and the Group’s

top management, with analysts as well as

institutional and individual investors,

promoting fair, transparent, timely and

accurate communication.

As of the Initial Public Offering (“IPO”)

process and after that, financial

communication was aimed at creating

and further strengthening dialogue with

key stakeholders: public and institutional

investors (representing 38% of the share

capital), individual shareholders and

financial analysts.

2.1 A constant dialogue with analysts and

investors

During the IPO process the Group met

more than 50 institutional investors in

France, Italy, UK. In 2015 the Group

organized meetings with financial

analysts and leading local investors, also

participating to small and midcap

conferences in Paris and Geneva,

meeting more than 40 investors in Italy

and abroad. During 2016 and 2017 the

Group continued this trend by furthering

its dialogues in Italy, UK and France as a

result of a constant cooperation with the

most renown financial analysts of Société

Générale, Intermonte, Invest Securities

and Cantor Fitzgerald.

These activities, together with the

growing investors interest in the

specificity of the equity story of EPS and

in the storage and renewable energy

industry, have led the shareholder base to

become more international. In particular,

this ongoing dialogue with the financial

community has been the enabler of:

• the success of the IPO in April 2015,

in which the Group issued 1,974,032

new shares at a subscription price of

7.30€ per share, raising 14.4 million

euros;

• the success of the capital increase via

private placement in December 2015,

through which EPS issued additional

701,500 new shares at a subscription

price of 6.80€, i.e. with only 4.2%

discount versus the weighted

average of the stock closing prices

during the preceding three trading

days;

• the financing of € 0.5 million short-

term credit line to provide additional

working capital and € 2 million

medium-long term credit line mainly

dedicated to EPS’ development plan

from Unicredit;

• the financing of € 6.5 million received

by Intesa Sanpaolo structured in:

(a) €3.5 million 5-year long-term

credit line, by Mediocredito

Italiano, a subsidiary of Intesa

Sanpaolo, primarily dedicated to

continuing EPS’s research and

development activities on the

HyESS (Hybrid Energy Storage

System) project; and

(b) €3 million short-term credit line to

provide additional working capital

and to boost the pipeline’s

projects, primarily focused on

Africa and Asia, where EPS

hybrid solutions have already

been shown to dramatically

reduce energy costs thanks to the

Group’s innovative and

proprietary technology.

• Equity-linked €30mln loan with EIB:

On 11 April 2017, EPS approved the

equity-linked financing up to €30mln

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with the European Investment Bank

(EIB), backed by the European Fund

for Strategic Investments, which will

support the company in its growth,

continuous research, development

and innovation activities, and further

product commercialisation.

The focus of the financial community in its

dealings with the Group is confirmed by

the coverage of its shares by French and

international investment banks. The

assessment and the related instant

reactions to our news and press releases

is periodically published (in terms of

“Target Price” recommendation) on the

company website in the Investors - EPS

Share - Analysts Coverage section.

Details on Stock Recommendations

Investment Bank Last Coverage Last recommendation Target Price per share

Société Générale November 2017 BUY € 18.50

Invest Securities November 2017 BUY € 14.30

Cantor Fitzgerald October 2017 HOLD € 15.00

Intermonte March 2017 BUY € 9.50

Chart 1- Analyst Coverage

2.2 Stock performance and news flow

commitment

The Group is committed to continuing its

efforts to maintain constant relations with

its investors and analysts by their direct

involvement in all its results and strategy

presentation.

The Group dedicated to fulfilling the

commitment to its financial community,

has decided and accomplished during

2017 to:

• publish and submit to the French

Market Authorities their quarterly

results even though French Law

dated 30 December 2014

(n°2014-1662) has ruled out this

obligation;

• organize conference calls with its

investors on all the quarterly

results and its strategy

presentation in order to better

outline its achievements, and

publish the transcript of the entire

call on its website;

• regularly upload all investors and

analyst presentations, news and

materials on its website in

Investors - Financial Information -

Presentation&Webcasts;

• constantly share with the financial

community (that has subscribed

to our newsletter) all major news

and press releases published on

our website and broadcasted;

• broadly share all our news-flow

always through:

a. Business Wire, broadcaster

authorized and regulated by the

AMF (Diffuseur Professionnel

d'Information Réglementée

autorisé par l’AMF), in order to

ensure a wide coverage in

Europe; and

6


b. Websim: a retail specialized

broadcaster, which ensures a

wide coverage of our news-flow

in particular in Italy.

As a consequence, our commitment

resulted in a good correlation between

news-flow and stock performance as

shown in the chart below.

Chart 2 - News-flow correlation to stock performance

Stock performance has been subject to a

lack of news-flow in the first months after

the IPO, but from September 2015,

particularly after the setup of a dedicated

Investor Relations department led by

Francesca Cocco, the activation of proper

broadcasters and a more focused effort

towards the financial community, the

stock trend has demonstrated a high

sensitivity to news-flow.

This resulted in the inclusion of the

Group’s stock (EPS:PA) on the CAC®

MID & Small and CAC® All-Tradable

indices: on 7 December 2015, Euronext

published the quarterly review results of

the CAC family, and officially announced

the inclusion of the EPS shares on these

two leading indices on and from market

close on 18 December 2015. This is proof

of the solid market capitalization and

significant float rotation of the shares,

confirming the liquidity of the stock and

enhancing visibility towards institutional

investors.

The chart below outlines the EPS stock

performance trend compared to the main

French and Italian indexes, CAC40

(FCHI) and FTSE MIB (FTSEMIB:MI) in

2017:

6


Chart 3 - Stock performance compared to CAC40 and FTSE MIB

Future challenges and approaches

The Group has met its purpose set on

2017 to forge a direct, personal and

stable relationship with the investors and

the financial community over time, which

is based on the vocation of permanent

service, transparency, accuracy and

reliability of the information supplied. It is

determined to further pursuit and meet

the numerous opportunities on the main

European financial markets, by

continuing its constant presence and

participation in the future small-mid

conferences and road shows dedicated to

corporate governance and carrying on

providing accurate, precise and punctual

financial information.

8


3. OUR RESPONSIBILITY TO THE EPS’

PEOPLE

3.1 Our employees’ challenges

The Group considers its employees the

main contributor to creating value and the

strategic factor in its own success.

Dedicated employees with diverse

background play a crucial role in creating

the innovative corporate culture EPS

needs to be successful and reach the

targets. For that reason, their

professional and personal fulfilment and

their motivation are the key drivers for the

Group’s development. We are conscious

the EPS Group’s performance depends

on having a highly skilled, motivated,

committed and talented workforce that

act in a way coherent with the Group’s

values and reflect the diversity of the

societies in which we operate. In this

context, the principal employment-related

challenges are:

• Developing a team spirit around the

Group’s values;

• Maintaining excellence and a top

level of know-how, expertise and

technical skills;

• Attracting and retaining the right

people;

• Ensuring equal opportunity

employment and zero discrimination;

• Promoting dialogue and respect

between employees and

management;

• Securing top working conditions no

matter what.

3.1.1. A balanced organization

As EPS becomes an ever-larger Group, it

is essential for our growth and

competitiveness that we further develop

diversity, improve our performance,

expanding and realigning the Group’s

organization. We want to make EPS a

more diverse, collaborative and enjoyable

place to work. As better detailed in the

following sections of this report, we

started by the end of 2015 a process of

transformation which continued in the

following years aimed to improve and

enhance every aspect of our workplace,

from the employment of new people, to

the design of our offices, passing through

the launch of flexible working initiatives,

and replacing internal emails with other

collaborative and social tools, down to the

organization of our work.

Management attaches great importance

to the full understanding of the corporate

culture and ensures that every employee

fully supports the Group’s strategy.

Through regular information meetings on

business developments and trends, EPS’

women and men are kept up-to-date on

expectations of management and

stakeholders. This commitment to the

EPS’ spirit also involves a commitment to

its ethical values by each employee, who

is asked to adhere to the Group’s Ethic

Code. That is focused in particular on

business confidentiality, sensitive

transactions, health & safety,

responsibility, risk management, respect

for individual freedoms.

Within the Group, the organization is

extremely flexible, thanks to the new

matrix organization, and is composed of

small teams who ensure horizontal

interaction and a continuous adaptation

to all changes or evolving external

conditions.

We employ a workforce of technical,

scientific and industry specialists whom

we rely on to ensure the technological

excellence and safe operation of the

Group’s systems around the world.

Although we are an Energy Technology

Company, EPS is made up of many other

facets. Strong and committed managers

play a decisive role in the successful

execution of the Group’s strategy. EPS’

9


leadership model clearly states that

leaders have the responsibility to achieve

business results and be people leaders at

the same time.

Our team of corporate professionals and

staff functions, although based in different

locations, ensure we operate effectively

as a listed company and in the most

transparent way. At the end of 2017, the

Group had 86 employees for an overall

organization including 6 dedicated

business partners totalling 92 human

resources (77 of which with a permanent

employment agreement). On February

8th, 2017, Electro Power Systems

Manufacturing S.r.l. ("EPS") has been

transferred to Elvi Energy S.r.l. ("Elvi

Energy"), by means of business lease

agreement, pursuant to art. 2561 and

2562 of the Italian Civil Code. In addition,

on 8th of February the AGM of Elvi

Energy, formally changed its name in

EPS Elvi Energy S.r.l.

The completion of the acts necessary for

the transfer and of all the related

obligations took place on February 8th,

2017, with retroactive effect as from

January 1st, 2017.

As a result of the transfer all the business

relationships in place and/or in progress,

including the agreements, have been

transferred to Elvi Energy, pursuant to

article 2558 of the Italian Civil Code and

therefore all the Group’s employees are

counted within the EPS Elvi Energy

perimeter. Over the last three years, the

Group has been engaged in a significant

corporate reorganization with no recourse

to social intervention.

Chart 4 – Headcount

3.1.2. Distribution of employees by gender

29

57

8692

Headcount

2014 2015 2016 2017

10


Chart 5 - Gender distribution of employees

We promote the careers of women and

getting the work-life balance right

between employment and family (please

see the maternity leave and flexibility

provisions under sections 3.1.2 and

3.2.1).

The percentage has registered a 2%

growth compared to last year where the

growth was more conservative due

exclusively to the acquisition of Elvi

Energy and MCM, where the quasi-

totality of the resources are electrical and

system engineers, a specialization which

is rarely addressed by women.


To further increase women presence, the

Group has promoted and is putting into

place a range of policies:

• The possibility for women of working

at home for 3 months to be utilized

one-off in full, or on a non-

consecutive basis, at full discretion of

the employee after the maternity

leave;

• Maternity check-up covered by the

Group’s insurance of employee

benefits;

• A right to request part time work;

• High quality and affordable medical

childcare which is covered by the

Group’s insurance of employee

benefits;

• Comprehensive job protection for

pregnant workers-:(1) guaranteeing a

safe and non-hostile environment; (2)

retain her job during pregnancy and

maternity leave; and (3) return to her

position or an equivalent one upon

return.

3.1.3. Distribution of employees by age

Flexibility and diversity are key elements

for creating an employment environment

which will enable EPS to remain an

attractive company over the time.

With regards to the age structure of the

workforce, the Group has in whole a

balance, which has allowed a constant

presence of senior staff that enriches the

11


Group’s expertise besides the junior staff.

Additionally, the Group’s contacts to

school and universities enable the

recruitment of high potential young

specialists, thus bringing a reinforcement

to the highly skills and new ideas

requested per each recruitment.

Chart 6 - Employees by age group

Our energy experts, scientist and

technologists, their skills and

competences are our primary assets and

this means we have a specific

responsibility towards our people. As we

want to develop our business and climb

the value chain, the Group considers

R&D critical to active innovation,

technological excellence and corporate

growth. Regarding the distribution of

employees by occupational category,

research&development and engineering

is the most represented area: as of 31

December 2017 43% of the EPS’ women

and man worked on innovative projects

and technologies (R&D, Innovation and

Engineering)

The breakdown of the workforce is as

follows:

Chart 7 - Headcount by function

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The Group has an extremely qualified

staff, at year-end 2017 where almost 80%

of the headcount has a university degree,

of which 62% has an Engineering degree,

and 27% of our graduates has a Ph.D. or

a M.B.A equivalent.

.

Headcount by degree 31.12.2015 31.12.2016 31.12.2017

University Degree, of which: 40 60 73

- Engineers 20 39 45

- PHD or MBA 14 15 20

Technical Degree 17 26 19

TOTAL HEADCOUNT 57 86 92

Chart 8 - Headcount by degree

3.1.4. Distribution of employees by geographical area

We consider diversity as an enrichment,

because it supports the cultural change

within EPS and improves our routine work

every day. We aim to create an

environment of inclusion and acceptance

where our employees are treated with

respect and dignity and without

discrimination regardless their gender,

race, sexual orientation, political affiliation

or religion. The Group has increased its

global presence in 2017 by launching and

completing new commissions in

Americas, EMEA and Asia Pacific where

the Group’s employees have been

deployed during 2017.

2


Chart 10 – EPS Installed base

3.1.5. Our team is growing

The EPS Group offers opportunities to

pursue a career in a pioneering company

with a strong focus on quality, innovation

and sustainability.

Throughout the year, the Group has

continued to promote and reward internal

mobility with a communication campaign

directed to employees showing the

diversity of career paths supported within

the Group.

In 2017 the recruitment trend was very

positive: 16 new human resources

entered the Group.

As at 31/12/2017 No. Variation

Recruitment 16 + 62%

Dismissals 0 0%

Resignations 10 - 38%

Variation in Human Resources + 6 + 24%

Chart 10 – Variation in Human Resources


The Group’s recruitment campaign

launched since June 2015 has continued

in 2016 and 2017 and will be carried out

in 2018 with 26 new job positions

expected to be filled within 2018, which

will reinforce the Staff, Innovation,

Technology, Operations and Finance

departments.

3.1.6. Remuneration: we reward

performance

The compensation policy aims to attract,

retain and reward employees, based on

their collective and individual

performance. This policy is grounded on

four principles: (i) performance reward,

(ii) budget expectations, (iii) equal and fair

compensation to employees and (iv)

compensation market alignment. Total

compensation is broken down to:

• fixed compensation: base salary,

seniority benefits etc.;

• variable compensation: linked to

specific jobs or to individual

performance (bonus/variable

component or allowance), which

is measured based on the

3


appraisal process outlined in

section 3.1.7 of this CSR report);

• benefits: health and insurance

benefits are provided to all the

employees; and

• mandatory and optional profit-

sharing: based on criteria for

rewarding collective performance

and appraisal process.

Compensation shall be based and

benchmarked on the collective industry

scheme for metal-workers (Contratto

Collettivo Nazionale del lavoro, CCNL

Metalmeccanici). As per 2017, the total

compensation of the EPS employees was

31% higher than the minimum

compensation guaranteed per each

category by said collective scheme

agreed with the Trade Unions.

3.1.7. Appraisals and career development

The Group’s variable compensation

program, based on both collective

financial performance, individual

objectives and appraisal results is

gradually being brought into alignment

since 2015. The target percentages for

variable compensation depend on local

practices and are structured by level of

responsibility. The results of appraisals in

2017 have allowed a promotion on 6 of

the Group’s new employees which were

internships/stages transformed in

permanent contracts..

The appraisal platform studied and

designed specifically by EPS has allowed

an equal, independent and anonymous

evaluation of the employees by their

peers, direct reports and by the top

management. All employees are

evaluated and ranked based on their

performance and potential.

For evaluation purposes, it was

established a five pillars set of criteria in

order to assess performance:

(A) Analytics and insight

• understanding of the issue and recommendation of realistic solutions, based on sound business sense;

• accurate and rigorous analyses;

• priorities management;

• effective planning.

(B) Internal interaction and

communication

• capacity of building strong, trust-based collaborative relationships;

• documentation production to a client ready level (content and format);

• logical workflow construction;

• effective participation to meetings;

• audience engagement and strong presence expression.

(C) Team and self-management

• efficient time management;

• direct reports and/or colleagues’ motivation;

• use and provision of feedback;

• independent behaviour and help requests when needed leveraging supervisors time and skills effectively;

• calm reactions and focus in stressful situations.

(D) Entrepreneurial mind-set

• contribution to the development of EPS as a company and a Group;

• self-application to develop new business/R&D;

• identification of new business development and R&D;

• contribution to creating strong EPS relationships;

• knowledge creation, organisationand/or spreading.

(E) Commitment and motivation

• ownership of the project at hand;

• will to run the “extra mile” when needed;

4


• proactive engagement in new challenges;

• endeavour to think in solutions:

• care about advancing the project no matter what.

On the basis of these criteria of

evaluation, the employees are then

assessed according to their

performances, which rank from below

expectations, meets expectations, above

expectations to outstanding, combined

with their potential of improvement, which

is ranked in high, good and development

needs.

Chart 11 - Appraisal evaluation scheme

The results obtained by this appraisal

allocate the employees within different

areas of the evaluation grid, thus paving

the way for a reassessment, for an

improvement course or for an early

promotion.

All those employees who are ranked at

the extreme top right of the chart become

part of the Academy Talent Program

(“ATP”), which consists in a three-year

program dedicated to selected talents

within the EPS Group worldwide. The

ATP, subject to regular performance and

improvement appraisal, implies:

- increases of the total compensation

and promotion program;

- stock options plans;

- benefits, bonuses;

- courses, masters whose tuition fees

are paid, totally or partially, by EPS;

- secondment programs.


The Group will continue to build a value-

driven high-performance culture across

all our operations, supporting each and

every employee in evolving his/her skills

and career through our diverse systems

for talent development.

5


3.1.8. Our team, engaged shareholders

The Group offered stock options to all its

employees for the first time in 2015, by

allocating stock options plans and profit

sharing plans. As a result, at the end of

2017 3.12% of fully diluted shareholding

is held by Group’s employees and 7.67%

is held by its directors.

Category Fully Diluted

capital

Profit Sharing

Plan

Directors and Executive Directors 7,67% 71,08%

Employees 3,12% 28,92%

Chart 12 - Profit Sharing plan description

3.1.9. Evolution in compensation, our main

investment

The increase on human resources has

consequently brought at year end an

increase in the company cost base. In

2017 personnel costs and indirect

personnel costs amounted to €5.2 million

and total personnel costs with an impact

in P&L amount to €3.5 million.

Considering the positive impact in terms

of capitalization, that is due mainly to the

fact that 27% of our workforce have a

PhD and their main goal is to create and

enrich value on a daily basis, for that

reason we have capitalized 31% of the

total personnel costs in R&D activities.

Labour Costs 2015 2016 2017

Staff Costs 1,310,102 2,486,678 1.904.418

Social Security Charges 305,960 566,432 831.072

Benefits and service costs 67,230 230,750 272.343

Other Costs 36,858 412,300 495.500

Total staff Costs 1,720,150 3,696,249 3.503.332

Stock Options Costs (IFRS accounting method) 4,646,452 1,620,213 331.539

Chart 13 - Group compensation

3.2 Work-life balance strategy

3.2.1. Working time and maternity protection

The average number of working hours per

week is set by law. Full time employees

work between 35 and 40 hours per week.

EPS has also set up initiatives for a better

work-life balance by offering flexible work

hours at the site. For that matter the

Group has not implemented a control

system on working hours, badging is

done only for security reasons to monitor

the persons actually present in the

company during the day. In addition,

women with at least two children can

benefit from part-time conditions and

remote working flexibility programs. At the

date of this report 100% of the women

with at least two children have opted

for – and obtained – such flexibility

schemes.

3.2.2. Our results: low absenteeism

6


The Total Absenteeism rate, which is a

key indicator for measuring employee

engagement and motivation, in 2017 was

2%, thus registering a very positive trend

considering that it has decreased

compared to the absenteeism rate of

2016 It has to be noted that 1% of the

absenteeism was due to sickness or

maternity leave and that no occupational

incidents or diseases were registered in

2017.

3.3 Constant trade unions and labour

relations

The Group has historically recognized a

pivotal role to trade unions and social

representatives to discuss any key

decision regarding its personnel.

At EPS this dialogue plays an essential

role and goes beyond the formal legal

obligations that are required, providing

important input to identify any issues and

fine tune strategic decisions and

operations.

During 2016 dialogue with trade union

representatives of our employees was

fundamental to support the integration of

Elvi Energy and MCM within the Group

and to adopt a Group Business Travel

Policy containing a common business

travel policy within the Group that takes

into account the peculiarity of the regions

where the Group’s operational sites are

located, as well as workers’ health and

safety.

After the acquisition of Elvi Energy,

meetings between local labour

representatives in Valtellina (Italy) and the

Group’s representatives have ensured

tight coordination throughout the

integration processes. Since then EPS

has promoted a constant cooperation and

dialogue with its employees

representants of trade unions (RSU)

within the Group with update meetings

scheduled monthly. This cooperation has

also been fruitful in implementing the

Employee Welfare system (a set of

benefits and services offered by the

employers, which are not taxed, to

support the employees’ income and to

improve their private and working life)

within the Group, based on art.51 of

Legislative Degree 232/2016.

3.4 Health and Safety as a priority

Health and Safety are EPS’ number one

priority. The Group is committed to

providing a healthy work environment for

employees, contractors and all others at

our sites to help meet our company-wide

goal of achieving no harm to people. We

strive to impart to employees a strong

personal safety ethic that is rooted in

awareness, focused on prevention and

motivated by concern for human life,

because we want our workforce and the

employees of our partners to return home

every day as healthy as when they came

to work first thing in the morning. The

Group is fully compliant with the Italian

regulation D.Lgs. 81/08 promoting

activities, training, prevention and

awareness-raising on health and safety

issues and drawing up and collecting

good practice. For this reason and

considering the nature of our operations,

no collective agreements were signed for

health and safety matters in 2017.

Even though the results are easily

observed through indicator trends (chart

occupational incidents, injuries,

accidents), there are many underlying

factors: work organization, risk

assessment and mitigation, training, the

state of the equipment, management of

production processes, corporate culture

and the management’s leadership on the

subject.

7


Type of incidents, injuries and accidents 2015 2016 2017

Occupational diseases - - -

Occupational injuries 1 - -

Occupational accidents - 1 -

Chart 14 - Incidents type

Our trend on work safety is a positive one;

nonetheless, EPS continues to work to

further improve its performance by

remaining highly focused on the health

and safety of its people and contractors.

The Group has applied an integrated

management system for the

management of health and safety,

environment and quality issues and has

appointed an HSEQ Manager who

supervises the compliance to the

certifications OHSAS 18001, ISO 14001,

ISO 9001 conferred to the Group. On 24

May 2017, the Company and EY’s

Sustainability Team finalised the new

“Integrated Management System” of the

Group, which now embodies the new

quality management system (QMS) and

the new environmental management

system (EMS) of the Group and has been

placed under the newly established

Health, Environment, Safety and Quality

Office of EPS. After less than two months

of implementing the news IMS. the Group

successfully overcame the certification

audit held on its new Integrated

Management System by RINA, the

leading global certification body, resulting

in compliance with ISO 9001:2015 (on 30

June 2017) and ISO 14001:2015

standards. In addition, EPS Elvi obtained

the OHSAS 18001:2007 certification on 6

July 2017.

The health and safety management

system guarantee an effective and

systematic administration of employees’

safety without disrupting the

organizational work structure by

implementing the following:

- adoption of a policy for the safety

management;

- hazard identification, risk assessment

and identifying the risk control

procedures, as per legislative

requirements;

- definition of specific programs and

objectives;

- definition of tasks and responsibility;

- education, training and staff

involvement;

- implementation of communication

and consulting procedures with the

employees and stakeholders;

- controlled management of archives;

- implementation of management

procedures on the activities related to

significant identified risks, including

processes, such as design and

maintenance;

- preparation of measures to detect,

prevent and monitor potential

accidents (injuries and failed

accidents) and emergencies;

- health and safety system monitoring

and performance measurements,

corrective actions undertaken to

maintain legal compliance;

- definition and implementation of

systematic and periodic inspections

(accidents, incidents, non-

conformities, corrective and

preventive actions) on management

system adequacy; and

- identification and assessment of risks

and dangers associated with the

8


activities carried out by third parties at

Group’s site.

The key performance indicators we use

for occupational safety are the Total

Recordable Incident Rate (“TRIR”) the

total number of recordable cases

multiplies to 200,000 divided by total

hours worked by all employees during the

year covered and the Lost Time Injury

Frequency Rate (“LTIFR”), the number of

injuries that occurred in the workplace

that resulted in an employee's inability to

work the next full work day, which

occurred in a given period relative to the

total number of hours worked in the

accounting period. The figure is typically

calculated per 1,000,000 hours worked In

the reporting year 2017 we succeeded in

maintaining the number of occupational

diseases and one of the occupational

accident injuries to zero.

Occupational safety KPI 2015 2016 2017

TRIR 3.5 2,01 0

LTIFR 17.7 10,04 0

Chart 15 - TRIR and LTIF metrics

Several measures were taken during the

2017 in order to create the best work

conditions and improve work place

comfort in all EPS premises: lighting

conditions, ergonomic office chairs with

silicon wheels to reduce noise, correct

height of office table, relaxing spaces.

2017 was devoted to the completion of

the mandatory training courses and

equipment control. Among the mandatory

courser was that of instituting and forming

an HSEQ referent for site that will be

responsible of the periodic inspection of

equipment and locations in order to

guarantee the safety conditions in all work

environments

The new offices and premises in Turin,

Bovisa and Delebio (Italy) were studied in

order to guarantee excellent work

conditions. These offices, designed by

international interior designers, are calm

and bright, and all employees are

equipped with laptop: there is no pre-

assigned desk, as any premises of the

Group is a “working area”, to encourage

team working and horizontal interactions

between the team members.

Furthermore, particular attention has also

drawn the subject of good posture in

workplace and the muscle-skeletal and

related hazards.

Itinerant employees are provided with

quality company cars and computer

equipment and smartphones specifically

adapted to their needs and to facilitate

their work conditions wherever should

they find themselves.

The Group encourages employees to

undertake periodical medical check-ups,

by providing employees with a health

insurance coverage, which guarantees a

reimbursement for specific medical and

surgery costs sustained by the

employees during the year. The Group

has launched a specific healthy living

program to inspire a happier and more

active lifestyle based on nutrition

information, balanced diet choices and

sports practice. In particular, the Group

9


encourages its employees to attend at

least one marathon run for a charity

program. In 2017 we participated to the

Milan Marathon which was held on 4th

April, an event that will be repeated in

2018. This is a net-zero initiative with the

goal to promote a wealthy lifestyle

through running, food, culture, art and

experience in the context in which people

live and work.


In all the countries where the Group

operates, we will evaluate the need of

specific collective agreements to further

regulate aspects of workers’ health and

safety.

While upholding occupational Health and

Safety as one of our top priorities, we will

continue to improve the working

environments through:

- safety measures for equipment;

- assessments to promote risk

mitigation;

- specific corporate communication

appointment;

- training programs that teach

employees skills and information

about risks management;

- organizational principles;

- healthy practices;

- employee climate surveys.

For 218 one of our main goals would be to raise awareness on the safety issues of all operators, by continuing the activities of specific training and courses started in 2017. Also for 2018 specific training sessions on travelling policies will be scheduled, which will focus on informing employees about any critical situation they could face during their business trips in different countries and subsequently a 24-hour service assistance will be deployed to support all the Group’s employees.

3.5 Continuous Training

The exchange of information and the

dissemination of a corporate culture

through initiatives to raise awareness and

specific training courses delivered to the

entire workforce with no exceptions are

fundamental to maintaining good safety

results.. During 2016 the Group has

invested in 818 training hours divided in:

Training 2017 Hours per employee

Employees(*) Hours

Training of employees on regulation 81/80 Training of Reg. 81/08 training on Electric Risks (CEI 11-27)PES-PAV 16 20 320

Training on ERP Software 39 1 39

Training for operators of self-propelled forklifts 16 5 80

Training of Reg. 81/08 on medium risks 8 22 176

Training of 81/08 on ADR-IMDG-IATA 4 4 16 Training on additional specific requirements for the person responsible for safety (Preposto) D.Lgs 9/04/08 n.81,artt.19 e37 8 25 200

Training of Reg. 81/08 on RLS 8 3 24

Total 855 (*) employees indicated as full time equivalent

Chart 16 - Training Hours in 2015

1


Since July 2015 the Group launched the

EPS’ Academy, the in-house training and

management school supporting the

corporate strategy and business with

weekly meetings and courses. The EPS’

Academy aims to promote the

development of employees and their

ability to come up with effective problem

solutions. In 2017, EPS decided to extend

training for safety supervisors, on

firefighting and first aid to all the

employees deployed in construction

sites, in order to ensure effective

supervision and efficient management of

emergencies everywhere.


Special and practical courses of the EPS’

Academy are also under evaluation and

will be implemented in close collaboration

with our workforce, particularly for training

and information towards employees on

environmental protection. The Group will

also take into account measures to help

prevent and reduce psychological stress

on its employees.

3.6 Equal opportunities for the EPS’

people

The Group considers the skills and

ambitions of its people as a valuable

resource and is committed to creating a

working environment that guarantees

equal opportunities and values the results

of its employees. The Human Resources

department pays particular attention to

ensuring equal opportunity and non-

discrimination for each recruitment. Only

skills, experience, qualifications and the

personality of the candidates are taken

into account in the election process for

new employees. The diversity in terms of

profiles, culture, age and gender within

the Group constitutes a decisive strength

and one of the most important assets.

The Group also promotes gender equality

in hiring and employment, offering

equivalent career paths to men and

women as well as equivalent

compensation and promotions. The

company ensures equal access to

training and is committed in improving the

work-life balance of its people, increasing

employee awareness and communication

with colleagues at all levels. All EPS’

women and men, regardless of marital

status, qualify for maternity and paternity

leave as per local legislation.

Furthermore, as a sign of particular

respect and support towards maternity,

the Group guarantees number 3 months

of work-at-home to pregnant women to be

utilized one-off in full, or on a non-

consecutive basis, at full discretion of the

employee.


As globalization and other global trends

advance, we will expand the place of

women and foreign national employees in

the workforce, especially in executive

posts. We will endeavour in our effort to

create a work environment where each

employee can demonstrate his or her

talents to the greatest extent possible. As

EPS becomes an ever larger company, it

is essential for our growth and

competitiveness that we express the

value of the diversity of our workforce in

all its forms.

3.7 International Labour Organization

compliance

The Group promotes and implements

business ethics and respect for human

rights and the fundamental conventions

of the International Labour Organization

Declaration (“ILO”). The Group confirms

its commitment on the compliance with

the ILO Declaration on fundamental

Principles and Rights at Work. We

support and uphold the freedom of

association and the effective recognition

of the right to collective bargaining. All

Group staff are employed in countries

2


with favourable labour legislation. EPS

does not operate with Group’s employees

in countries subject to risks with respect

to noncompliance with international

labour conventions. The Group respects

the convention for the abolishment of

child labour since all employees are of

legal age at the time of their recruitment.


We aspire to build community-type

labour-management collaboration that

helps our global competitiveness, enrich

the lives of our employees, and contribute

to social development through

sustainable performance.

We believe in a horizontal relation

between labour and management, not the

vertical one that has often defined the

dynamics between trade unions and

management. We seek to establish a

labour management collaboration

underpinned by mutual respect and

equality.

The Group has therefore put in place a

unique model for collaboration that

facilitates interactive participation and

cooperation in three different dimensions,

interlinked with labour-management

collaboration, namely, (i) corporate

management, (ii) field operation and (iii)

collective bargaining. The direction of

cooperation between labour and

management is defined as follows:

- to enhance the value of the

company and the employees

through transparent and open

management;

- to maximize productivity through

strong teamwork and innovation

in the field operation dimension;

and

- to establish a business-oriented

labour-management

collaboration on the basis of

rational industrial practices and a

productive negotiation culture in

the collective bargaining

dimension.

3


4. OUR RESPONSIBILITY TO

ENVIRONMENT: OUR BUSINESS

STRATEGY

Energy and climate represent two of the

toughest challenges of this century. The

International Energy Agency (IEA) has

calculated that global energy demand will

increase 1.4 times between 2012 and

2040.

The renewables market is now

consolidating, also thanks to the

investments in two major areas of

expansion in the world, such as Latin

America and Far East (particularly China

and Japan), where solar and wind power

can be the quickest and most convenient

answer to the emerging demands of

energy.

The green revolution has started, and a

100 percent renewable energy system no

longer seems to be a utopia.

In 2015 the twenty-first United Nations

Conference on Climate Change (COP21)

in Paris sent a clear message:

greenhouse gas emissions must be

remarkably reduced, in order to limit

global warming to two degrees.

Unlike other companies, which have to

develop a climate strategy aimed at

mitigating their own impact on climate

change, we at EPS contribute with our

business not only to reduce our effects on

the environment to the minimum, but also

to unlock the energy transition on a global

scale. We aim to establish ourselves as

one of the world’s foremost eco-

companies.

In other terms, regardless the policies

implemented and outlined below, the

main aspect to be considered is that EPS

has the environment at the centre stage

of its business strategy.

This has led the Group to be:

- listed in the 100 Cleantech

businesses worldwide published

by the Cleantech Group

- awarded as Worldwide

Technology Pioneer by the World

Economic Forum.

- awarded with the first prize in the

Venture 4i in Grenoble and in the

Italian Venture Forum 2014

- selected as a “growing success

story” for the Tech Tour Growth

Forum in Geneva and Lausanne

- selected in June 2015 as one of

the top companies worldwide to

participate at the “Future of

Electricity Workshop 2015” of the

World Economic Forum in New

Delhi (India).

- receive in the context of the

European Project Horizon 2020,

the official “Seal of Excellence”,

the certificate delivered by

European Commission, signed by

Carlos Moedas, Commissioner of

Research, Science and

Innovation, certifying the

excellence in terms of real market

potential, technology, quality of

the team, efficiency of

implementation and business

plan.

4.1 Our environmental policy, our

investments

EPS’ goal is to definitely enable

renewables as a 24/7 clean, reliable,

affordable power source. We develop,

provide and integrate environmentally

conscious solutions which contribute to

the reduction of the environmental impact

of the electricity generation, trading,

distribution, storage and use.

4


Our strategic emphasis on accelerating

green resources growth as our primary

value proposition seeks to leverage

energy storage as the bridge to a lower-

carbon economy and demonstrates our

commitment to the climate change

challenge.

The Group’s environmental policy

comprises three main areas:

• Technologies: at a technological level

we contribute to the provision of

stable power supply and to mitigate

climate change through low-carbon

energy solutions;

• Manufacturing: as regards to our

processes we pursue high efficient

manufacturing to reduce the

environmental impact in production

activities by a more effective control

not only on our processes but also on

our assets and equipment part of the

processes;

• Basic activities: we rely on people’s

personal and professional sense of

responsibility for basic activities

which could help reduce our

consumption of resources, waste

production and polluting emissions on

a daily basis.

The Group makes every effort to minimize

its environmental impacts: our HSEQ

Manager ensures we always operate in

compliance with applicable legislation.

Our actions aim to protect health and

well-being of our people and

communities, while contributing to socio-

economic improvements and maintaining

the financial stability of our business. To

that extent, we consult with communities

throughout the life cycle of projects and

operations and develop plans to manage

any related impacts.

We consider environmental protection an

essential part of sustainable development

in all projects, throughout the lifecycle of

our systems and in all contexts in which

we operate.

Just as we target with our business

strategy a mitigation of climate change

and resource and energy efficiency for

clients through our products portfolio,

we’re also working to manage and reduce

the impact of our own operations, from

the R&D activities down to all stages of

the energy value chain.

Outstanding operational management:

• contributes to reducing costs as it

increases efficiency;

• allows for product and process

innovation;

• is a requirement for the company’s

license to operate; and

• reduces business risks.

Each year the Group has been compliant

with the requirements of the ISO 14001

certification. More specifically, it has

adopted an environmental policy that:

1. identifies the environmental aspects

of its activities, products and services

within the defined scope of the

environmental management system

that it can control and those that it can

influence, taking into account planned

or new developments - either new or

modified; and

2. determines those aspects that have

or can have significant impacts on the

environment

EPS also performed a dedicated context

analysis, identifying the expectations of

its stakeholders on environmental issues

and the environmental factors related to

the context in which EPS operates, and

evaluating which of these, considering

the business of the group, may lead to

potential risks or improvement

opportunities.

5


EPS has identified the following benefits

from the implementation of these

standards:

• controlling potential risk factors

affecting the impact of products on

the environment;

• reducing the risk of confusion,

deterioration, contamination and

error; and

• paying greater vigilance by personnel

in the performance of their activities.

The Group has also obtained without

reserves the ISO 9001 certification, for

the fulfilment of the specific requirements

for a quality management system where

an organization:

• needs to demonstrate its ability to

consistently provide products that

meets customer and applicable

statutory and regulatory

requirements, and

• aims to enhance customer

satisfaction through the effective

application of the system, including

processes for continuous

improvement and the assurance of

conformity to customer and

applicable statutory and regulatory

requirements.

• Wants to improve its ability to perform

as expected by partner, supplier,

customer and stakeholders

Finally, safety and environmental risk

mitigation are also the subject matter of

the CE, CSA and UL certification of all

EPS products.


The Group’s goal is zero environmental

accidents. To achieve it, efficient systems,

stable processes and a focused program

of work with risk assessments, routines

and advanced technology are mandatory.

One of the goals for 2018 would be to

evaluate the environmental aspects that

impact the design and production cycle of

our solutions (from the receipt of raw

materials to the batteries disposals in

order to implement even more

environmental friendly and greener

solutions. In the upcoming years, EPS’

environmental work will become even

more systematic.

4.2 Circular economy: pollution and waste

management

To compete successfully in the digital

age, organizations need to identify

appropriate responses that balance the

needs for economic development, job

creation, energy storage and supply with

greenhouse gas emission reductions and

better waste and pollution management.

As a technologically advanced and

pioneering company, we recognize that

we have a particular responsibility and

opportunities to contribute finding the

right solutions also at this level.

We have our own routines to ensure that

waste is handled correctly and safety and

has started negotiations to collaborate

with a specialized supplier which will

manage all the processes of hazardous

waste.

EPS is a paperless company, and we

encourage the use of:

• Portable Document Format (PDF): to

create, display and interact with

electronic documents and forms;

• Databases: to capture data for

prefilling and processing documents;

• Workflow platforms: to route

information, documents and direct

process flow;

• Digital signature solutions: to digitally

sign documents (used by end-users);

• Cloud applications: to receive

submitted data, store documents and

manage document rights.

6


To minimize the use of paper we imposed

a maximum of copies (printed or

photocopied) per month. All the paper

used for printing and package is recycled

paper.

EPS has also limited the usage of

“plastic” within its sites, which imposes

use of washable domestic utensils and

cutlery for all the employees and staff,

while plastic utensils are used only for

guests.

Regardless the fact that our Hybrid

Storage Solutions are completely clean

and manufacturing and testing protocols

entail just oxygen and hydrogen

emissions (reason for which we have no

financial provisions for environmental

risks), EPS pays particular attention to

measures to prevent environmental risks

and pollution, in particular to the choice of

techniques and materials. To further

reduce the impacts of its activities and

test on its products the Group takes great

measures on preventing technological

and chemical hazards. The hydrogen

produced during the tests is stored and

recycled for further use during other tests,

while the pure oxygen is released back in

the atmosphere.

To achieve the objective of final waste

volume reduction, programs are being

implemented in all of the Group’s

premises to:

• minimize and control waste

generation at the source;

• promote sorting by providing bins for

separate waste collection or by

creating in-house waste sorting

centres;

• recycle materials and reuse waste by

selecting the most suitable methods;

and

• improve the processing and

packaging of non-reusable waste.


During 2017, in order to identify the

proper measures to be implemented for

the containment of the noise pollution, the

effective noise emissions of all

manufacturing plants was evaluated and

measured: the results are much lower

than the thresholds imposed by the

acoustic zoning of the municipalities of

our premises, making not necessary any

particular actions.

In 2018 EPS will deeper investigate the

end-life of its plants, focusing on the

dismantling possibilities, especially of

batteries. Despite the fact that our

manufacturing process does entail

neither particular noise nor air, water or

soil emission, in order to improve the

health and wellness management

process for our workforce, in 2018 the

Group will make further investments to

embed leading industry practices on

noise pollution reduction within our

premises.

4.3 The significant posts of greenhouse

gas emissions generated by the

company’s activities, in particular

through the use of the goods and

services it produces

The Group’s energy storage solutions, ,

allow a reduction in the quantities of

energy produced by renewable sources,

which would otherwise be curtailed, and

represents lost income for the grid,

estimated to reach more than US$ 30

billion at international level by 2023.

Our systems promote also a more direct

participation of consumers at the level of

use and in the management of their

consumption (management of demand).

Energy storage should permit cost

savings by allowing electricity producers

and suppliers to avoid purchasing

electricity at peak prices and buying (or

producing) it when it is cheaper,

regardless of the moment when it will be

used. The recourse to energy storage in

7


order to smooth load peaks, i.e.

smoothing hourly production, represents

a potential market estimated in a range of

US$ 10-25 billion per year by 2025.

Devices that permit the storage of excess

electricity, derived from renewable energy

sources during periods of strong

production and weak demand (e.g. at

night) and returned to the grid when

demand increases (around midday) this

avoids a slowdown in conventional plants

at night, and in this way permits a

reduction in production costs and CO2

emissions.

Most commonly and cost effectively, all

facilities and premises adopted energy-

efficient LED lighting solutions, which will

help reduce the consumption of electricity

and the energy-related CO2 emissions.

Through measures such as energy-

efficient manufacturing and power

equipment in all the premises of the

Group we optimised the lighting system

passing from a need of 12kW to only

4.6kW.

To achieve enduring operational

excellence, the Group has realized a

photovoltaic part of a micro-grid system

implemented in the premises of Delebio

to cover all the energy needs of testing

activities of the systems there

manufactured through the electricity

produced by solar panels on the roof.

Other activities included optimizing

heating and cooling processes within

offices and facilities, investments in more

efficient equipment, encouraging

sustainable mobility of the employees, by

train, car-sharing and less polluting

means of transport.

Our activities do not monitor specifically

raw material consumption as the

manufacturing process is mainly an

assembly of raw materials produced by

third parties such like chemical, industrial

and electronics companies. It is part of

our future goals to implement a more

detailed monitoring of the gas and energy

consumption in order to define possible

areas of reduction and improvement.

4.4 Climate change

An important target of the European

energy policy is the reduction of the

greenhouse gas emissions. Unfavourable

climate conditions, such as storms and

floods nowadays affect business

continuity, in a disruptive way. To meet the

high demand of solutions to ensure

energy efficiency and autonomy, we at

EPS have developed a full range of

products and services which solve

different issues in the field of business

continuity for telecommunication, energy

and railway companies.

The energy supply of the future must

become more climate-friendly, more

efficient and more intelligent. Innovative

technologies, products and systems at all

stages of the energy value chain are

essential for achieving this objective. The

stages range from extraction of raw

materials, through electricity generation,

trading, distribution and storage of

energy, to the use of energy.

Although climate change is not directly

affecting our business, the EPS’ top

priority is climate protection.

The Group’s aim is to tackle this issue by

further expanding renewable energies,

both in mature economies and in

emerging countries, and to contribute to

replacing older and polluting power

plants, which generate high levels of

emissions, with new and high-efficient

plants. We’re playing a key role in

structuring the energy transition so as to

solicit and enable a carbon-neutral

electricity supply, while at the same time

being in a position to make provision for

future energy needs with a high quality of

backup power supply over the long term.

Climate protection also plays an

important role in the debate going on in

8


the public domain. Our stakeholders,

mainly customers, institutions and

politicians expect us to support the

accomplishment of ambitious targets and

to deliver a consistent approach directed

towards the reduction of greenhouse gas

emissions.

Our operations require energy which

gives rise to the carbon dioxide

emissions, directly or indirectly. To reduce

greenhouse gas emissions, the Group

decided to introduce a hybrid corporate

fleet and will also evaluate the

introduction of electrical vehicles for the

urban business trips.


To help reducing the greenhouse gas

emissions linked to the business trips of

our workforce within the sites of the

Group, we will introduce a multisite video-

conference system. The Group will also

introduce a specific “green procurement”

in other words the sourcing of products

and services which are more

environment-friendly than others, such as

recycled/reused materials for the

premises’ stationery and similar.

27


5. OUR RESPONSIBILITY TO SOCIETY

5.1 Territorial, economic and social impact

in terms of employment

In pursuing its corporate goals, the Group

is committed to contributing to the

development of territories in which it

operates by generating employment and

income to local communities. This

commitment is realized through

collaboration in various projects with

governments and local stakeholders,

local content promotion, projects for local

communities and with the preventive and

inclusive stakeholders.

As our business continues to grow, we

are creating more jobs and welcoming

more individuals to the EPS family. To

cultivate the economic opportunities that

build mutually beneficial relationships in

the communities where we operate, our

manufacturing site and premises

prioritize hiring colleagues from the local

areas, as detailed in Section 3.

5.2 Innovation as local development

driver, partnering with Universities

In pursuing its corporate goals, EPS is

committed to contributing to the

development of territories in which we

operate. This commitment is realized

through collaboration in various projects

with governments and local stakeholders,

local content promotion, projects for local

communities and with the preventive and

inclusive stakeholders.

The Group has built through the years a

consolidated presence in many Italian

areas and has consistently built long-term

relationships based on projects with

national and regional authorities aimed

also at sustainable development.

In its pursuit for excellence, EPS has had

a strong and everlasting relationship with

the Polytechnic of Turin right from the

start. The Group implemented an

agreement with the Polytechnic of Turin,

to support the design of the HyESS

platform: Finite Element Method (FEM)

and Computational Fluid Dynamic (CFD)

analyses have been performed on main

components together with Reliability,

Availability, Maintainability, Safety

(RAMS) analyses of the overall

architecture.

In 2017 the Group has built with

Polytechnic of Turin a successful

proposal, named “REMOTE -Remote

area Energy supply with Multiple Options

for integrated hydrogen-based

Technologies” in the frame of the Horizon

2020 programme (H2020-JTI-FCH-2017-

1). The project was awarded in December

2017 and focuses the demonstration of

Hybrid Energy Storage Systems supplied

by renewables in four isolated micro-grid

or off-grid remote areas to be

implemented starting from 1st January

2018. The Group will develop three of the

four microgrids. The Group together with

Polytechnic of Turin has built up an

international consortium characterized by

partners that are leading players in

sustainable energy, such as Enel Green

Power in Rome (Italy), Ballard Europe in

Hobro (Denmark), Hydrogenics Europe in

Westerlo (Belgium), Powidian in

Chambray-lès-Tours (France), Horizon in

Serres (Greece), IRIS in Torino (Italy),

TronderEnergy in Trondheim (Norway),

SINTEF in Trondheim (Norway), Centre

for Research and Technology Hellas in

Thermi Thessaloniki (Greece).

The Group had a collaboration with the

Istituto Superiore Mario Boella (ISMB) in

Torino – a research and innovation center

operating in the ICT domain - for the web-

based remote-control development of the

Hybrid Energy Storage System

(“HyESS”).

In order to reinforce local partnerships

already in place with the companies

Mavel LTD and Eltek Plast S.p.A. and join

the network and active research centers

in the Valle d’Aosta Region, EPS

28


requested in 2016 to the local

administration an establishment, with the

aim to maintain local premises in the

region.

In view of the Healthcode project, started

in September 2015 whose aim is to

implement an advanced monitoring and

diagnostic tool based on Electrochemical

Impedance Spectroscopy (EIS) for μ-

CHP and backup PEM fuel cell systems,

the Group is part of a consortium

characterized by partners with a wide

experience in the industry and research

fields, such as Ballard Europe in Hobro

(Denmark), EIFER Europaisches Institut

fur Energieforschung EDF-KIT Ewiv in

Karlsrhue (Germany), Università degli

Studi di Salerno (Italy), University of

Aalborg (Denmark), Torino E-District

Consorzio (Italy), FCLAB of Université de

Franche-Comté in Belfort (France),

Vitamib in Grenoble (France).

Over time we extended the dialogue to

another leading Italian University: the

Polytechnic of Milan, where Giuseppe

Artizzu, Director of Global and Energy

Strategy at EPS is visiting professor and

board member of the Master Course on

RIDEF (Renewables, Decentralization,

Efficiency and Sustainability). At the end

of 2015 and beginning 2016 we

deepened this relationship even more

with the strategic acquisition of a

participation in MCM, a center of

excellence, participated by the

Polytechnic of Milan. MCM is specialized

in the development, design and supply of

digital control and static energy

conversion systems which can be used

as critical components in various

applications, always with the aim of

achieving energy savings. The main

component of MCM technology is the

Universal Digital Control System that

provides an advanced interface to the

public grid for Distributed Generation

systems, suitable for all sources, such as

wind, photovoltaic, gas micro

cogeneration and mini hydroelectricity

plants. This relationship is further

strengthened by Daniele Rosati, who is

the Group Vice President Engineering

and is visiting professor at Polytechnic of

Milan where he teaches at the main

course of Power Plants Electricity for

engineers at the last year. He is also

visiting professor at the University of

Pavia at the course of Energy

Conversion, Renewables, Microgrid and

Energy Storage, thus permitting the

building of a constant dialogue with other

universities.

The evolving energy market scenario is

imposing a strong continuous innovation

path. Studying and developing new

innovative microgrid and distributed

generation control technologies will be

crucial to address the different market

opportunities that will arise from time to

time, and pivotal for unlocking the energy

transition. With this goal, EPS identified

the major technological challenges for

incoming years:

• Optimisation Algorithms and Control

Predictive functions for Next

Generation Microgrids;

• Distributed Smart Storage for behind-

the-meter grid services;

• Distributed Smart Generation to

transform consumers in prosumers

with energy at a lower cost;

• Virtual Power Plants to achieve a

radical transformation;

• Vehicle-to-the-Grid to transform a car

into a revenue generating asset;

• Fast Charging to speed up EVs

penetration.

EPS decided to gather all the research

and development activities linked to these

challenges in the “PROPHET”

(PRedictive OPmitization for Heading to

the Energy Transition) project.

29


Born from the long-lasting cooperation

between EPS and the Politecnico di

Milano, its primary objective is the

improvement of Power Optimization On

Line (POOL) control logics and

algorithms for islanded and grid

connected multi-DERs microgrids. Such

an optimization platform should be

suitable for the rest of the technological

challenges as well, in order to allow EPS

deploying a single and flexible

technological solution.

Within PROPHET framework EPS will

design and build an experimental

innovative rig at Politecnico di Milano’s

premises, which includes a multi-DERs

microgrid supplying heat and electricity

and an EV charging station. This facility is

expected to be used for the validation of

the optimization platform and for furtherly

develop EPS solutions and know-how.

Project PROPHET will have a primarily

scientific focus therefore it is expected to

be articulated as follows.

Research activities, intended as:

• Theoretical analyses and

comparative studies with respect to

alternative optimization methods;

• Analytical formulation of the solution,

in order to be flexible with respect to

the different possible applications;

• Unit and system testing considering

specifically designed models, derived

from literature or depicting the

microgrid setup. Such a project stage

should not involve real HW since it is

intended only for validating the base

algorithm;

• The peculiar activities of each work

package;

Technology bridging:

• Feasibility study about the porting of

the algorithm on the EPS control

platform;

• Basic porting and testing on the rig

and/or with Hardware In the Loop

(HIL) simulator or OPC interfaced

power system tool. This project stage

should be articulated with unit and

system testings and it is expected to

be carried out by executive PhDs.

The combined usage of the rig and

HIL, or OPC interfaced power system

tool, could give opportunity to validate

the developed controller on a larger

scale, so in presence of more signals

or more complex scenarios than the

rig, but showing at the same time a

practical outcome of the results;

• Recommendations for

industrialization;

Dissemination, patenting and external

training activities:

• Any technically relevant algorithm

that could offer market/technological

advantages to EPS and that it could

be replicated by the competitors

should be evaluated for a potential

patenting process;

• The PhD students and PoliMi staff are

expected to disseminate their

outcome through publications,

possibly at international level on

highly ranked journals, in order to give

visibility to their work and to

PROPHET project;

• Further activities related to the

dissemination of project outcome

(e.g. poster sessions or tours with

project partners) or aiming to train the

EPS staff or external lab guests

should be intended as part of the

scope of work.

The experience acquired from the rig

operation and the control software

developed throughout the project will

enrich EPS know-how. On the other hand,

Politecnico di Milano will have a chance

to further expand the research

capabilities in the field of system

30


optimization and microgrid control, and

the possibility to count on a fundamental

experimental feedback on the

optimization models, deriving from the

actual operation of the experimental rig.

5.3 Sponsorships and charities

EPS contributes to associations

intervening in the areas of solidarity and

childhood, by providing financial

assistance to support their projects.

The Group since 2015 has decided to

replace the amount usually planned for

the Christmas corporate gifts with a

donation to the Paideia Foundation on

2015 and on 2016 with donations to the

associations Hakuna Matata (founded in

2010 and is responsible for providing

appropriate support to the education and

growth of the central Tanzanian children)

and Theodora Onlus (founded in 1995

and whose mission is to bring a smile to

hospitalized children with the visit of

Dottor Sogni). In 2017 the Group has

implemented, together with Theodora

Onlus, the EPS Lean Running Program

which targets for all the employees a one

year training for the foot race, developed

gradually over different distances, in

order to support the promotion of a

healthy lifestyle and a balanced diet. The

EPS Lean Running is a growth project

that aims: to promote the race as a team

building moment, understand the

importance and the added value of a

flexible mindset, lean and able to adapt

quickly to any change and promote a

better quality of life through physical

activity. The project has been led by Silvio

Omodeo and has been structured in order

to further support the Theodora Onlus

activities.

5.4 Enduring partnership and

stakeholders

The Group business relies on effective

and sustainable supply chains to meet the

evolving needs of our customers. As we

do with all of our stakeholders, we strive

to create relationships with suppliers that

are built on a foundation of integrity,

respect and mutual benefit.

We seek the most responsible and cost-

effective ways to secure goods and

services from our suppliers. In particular

we emphasize relationships with entities

near our operations to the extent they

meet our requirements. By supporting

local suppliers, EPS benefits from

proximity and security of supply,

contributes to local economies and helps

attract additional investment to the

community.

5.5 A supply chain engaged in Social and

Environmental Responsibility

EPS’ business relies on effective and

sustainable supply chains and

partnerships’ agreements to meet the

evolving needs of our customers on the

technical, energy and economic front. As

we do with all our stakeholders, we strive

to create relations with suppliers,

providers and business partners that are

built on a foundation of integrity, respect

and mutual benefit. The Group is

committed to build sound partnerships

with suppliers through fair-trading in

compliance with procurement-related

laws and regulations.

Our extremely innovative activity often

requires exclusive components, products

and supply which in most cases are

customized for our special needs or

provided by a unique partner. However,

regardless of challenges, we’ve been

selecting our technology providers paying

a particular attention on their reputation in

terms of social responsibility and

operational excellence. The procurement

department, in close collaboration with

Engineering, Innovation, Technology and

R&D has selected suppliers based on

various Total Cost of Ownership (TCO)

targets, combining economic

31


performance with environmental

responsibility: a) at the main components

level the technical characteristics are

defined by the engineering department,

b) all the phases of the supplier

management are conducted by the

Project Manager (“PM”) in charge of that

specific project, c) the whole project team

is involved during the tests phases at the

suppliers facilities, and d) all the

subcontractor are required to share their

quality control plan of their activities and

the supplier management is done directly

by the PM and Site Manager (“SM”). We

work continually to improve the supply

chain with a strong focus on its sourcing,

sustainability, traceability and

transparency. To reduce risks linked to

the procurement, the Group has been

working both at an engineering and

market investigation levels on a variety

reduction program, to ensure the

sustainability of our purchasing. A

5.6 Fair trade practices

As the globalization of markets continues

apace, national borders liquefy and lose

their relevance for trade in energy

sources. Companies like EPS are

therefore being challenged by their

stakeholders to exert influence on their

suppliers through their procurement

policy on both an international and local

level.

Purchases principally consist of raw

materials and semi-finished products,

such as the components of fuel cells,

which are then assembled and integrated

into the Group’s systems, of Self’s

electrolytic cell and of the electronic

components.

The Group is committed to build sound

partnerships with suppliers through fair-

trading in compliance with procurement-

related laws and regulations.

The Group is committed to the highest

standards of ethics, honesty, openness,

and accountability. In the course of our

business activities, we fully endorse all

applicable anti-bribery, fraud, corruption,

and money-laundering legislation, taking

a zero-tolerance approach to any form of

corruption or fraud from either our own

staff or those acting on our behalf.

The Company and its Compliance Office

(Organismo di Vigilanza) provide ongoing

bribery awareness training to employees

and have developed proportionate

procedures across all its areas of

operations to ensure that bribery and

corruption risks are minimized and

eliminated where possible.

This commitment is reflected in the key

principles contained within the Ethical

Code and Anti-Fraud and Corruption

Code of Conduct approved by the Group,

which we expect all our staff and those

acting on our behalf to understand and

comply with. We train our employees with

session and communications on how to

apply the Code’s principals. Before

working with suppliers, we conduct

assessment in order to determine the

degree of bribery and corruption risk

posed. This helps the EPS Group put

mitigation plans in place when needed.

We also check suppliers once the

agreements are in place.

Partners agree to and undertake to fulfil

any provision of the Ethic Code and Anti-

Fraud and Corruption Code of Conduct

approved by the Group and therefore

agree, inter alia, to behave in the full

respect of business, corporate and

professional ethics, preventing the EPS

from any relationship, agreement or role

that may negatively affect our reputation,

values and commitments. Our Code of

Conduct explicitly prohibits engaging in

bribery and corruption in any form.

Our Ethic Code applies to all employees,

officers and directors. We expect and

encourage our contractors and their

employees to act in a way that is

consistent with our Code and we take

32


appropriate actions where we believe

they have not met our expectations on

their contractual obligations.

We make all payments to the partners in

compliance with any applicable anti-

money laundering regulation from time to

time.

Furthermore, the shares of Electro Power

Systems S.A. are listed on the regulated

market of Euronext in Paris. In this

context, compliance by the Partner with

rules applicable to stock transactions and

the holding and use of material non-public

information it may receive in the course of

its activities under this Agreement is

crucial for the Company. Such rules

mainly stem from Articles 621-2 to 622-2

of the General Regulation of the French

Autorité des Marchés Financiers (AMF)

and Articles L. 465-1 et seq. of the French

Monetary and Financial Code.

In 2016 the Group introduced an anti-

corruption compliance plan to which all

suppliers and partners will be asked to

adhere. We have incorporated CSR

criteria in our purchasing processes and

decisions, such as occupational health

and safety, consideration of human rights,

respect of labour and environment.

Specific sustainability criteria are

envisaged in terms of the approval

procedures, procurement choices,

contractual clauses and means of

checking the work of suppliers.


We will incorporate CSR criteria in our

purchasing processes and decisions,

such as occupational health and safety,

consideration of human rights, respect of

labour and environment. For the

upcoming years, the Group plans to

create a Best Technology Provider Award

to reward and provide further visibility to

the most strategic partners.

The Group is introducing a procurement

policy which entrusts tender contracts for

works, services and supplies in

compliance with the legislation in force

and the principles of cost-effectiveness,

correctness, competition, and

advertising, using procedures which

guarantee participating businesses the

utmost transparency, objectivity and

equality of treatment.

5.7 Other measures taken in favor of human

rights

We at EPS have set respect for human

rights as the most important principle for

conducting sound business activities.

Wherever the EPS Group operates in the

world, the company applies the same

high standards and principles of conduct.

Respect, diversity, integrity, ethics, safety

and sustainability — the elements that

make up the EPS’ corporate culture

foundation — are taken into account by

employees during their meetings with

customers and colleagues around the

globe.

The Group complies with all applicable

laws and regulations concerning human

rights in each country and region,

understands international standards, and

respect human rights, and shall not

condone any use of either child labour or

forced labour.


We will keep upholding human rights as

one of our management principles and we

will promote awareness about our

commitment to protect human rights

throughout the Group with specific

workshops in the EPS’ Academy.

33


6. METHODOLOGY NOTE

This CSR Report provides a detailed

presentation of Group corporate social

and environmental responsibility priorities

and practices. It describes the current and

future challenges faced by the Group in

this area, the strategic approaches

adopted in response and progress

achieved in meeting its objectives. This

report is drawn up in accordance with

CSR reporting requirements applicable in

France (L.225-102-1 and R.225-105-1 of

the French Commercial Code). It

provides a tool for measuring

employment-related and societal

impacts, governance and environmental

performances.

This report was reviewed for compliance

by the independent third-party, BDO

France – Léger & associés.

6.1 Reporting boundaries and indicators

selection criteria

The reporting boundary for employment,

social and environmental indicators is

comprised of the subsidiaries controlled

by the Group as at 31 December 2017.

These subsidiaries are consolidated

according to the full consolidation

method.

The reporting boundary for employment

indicators for fiscal 2017 coincides with

the Group’s structure for consolidation

(cf. paragraph 3.7 of the Consolidated

Financial Statements).

The following indicators concern only the

workforce located in Italy due to the

immateriality of information reported by

other entities of the Group (Electro Power

Systems Inc. and Electro Power Systems

India Private Ltd.), essentially because of

either the non-operational activities or the

exclusive focus on business

development:

• occupational accidents

• absenteeism

• training and the organization of

dialogue between employees and

management

• equal opportunity employment

Analysis of employment-related,

environmental and social impacts relating

to Group activities made it possible to

define relevant indicators in accordance

with requirements resulting from the

Grenelle II Environmental Law (article

225). Certain information not falling within

the scope of the Group’s activity or its

environmental and societal priorities due

to its operating method and structure was

not considered pertinent and on that basis

included in the reporting boundary just in

the “Future challenges and approaches”

section, or, with reference to the following

information, excluded from this report and

its reporting boundary:

• water consumption and supply in relation to local constraints;

• land use;

• climate change;

• biodiversity;

• impacts on neighboring or local populations;

• actions against food waste.

6.2 Indicators criteria

Below are the methods for calculating

• Total absenteeism = B / (A+B).

Sickness absenteeism = C / (A+B).

Where:

A = Number of hours effectively worked

by all Employees with contracts, including

training

B = Number of hours of absence (sick

leave, occupational diseases, maternity

leave, accidents in the work place and/or

travel-to-work accidents or any other

absence not provided for by contract or

social shock absorbers schemes)

34


C = Number of days of sick leave

(excluding occupational diseases,

maternity leave, accidents in the work

place and/or travel-to-work accidents)

• Headcount: full and part-time

employees on fixed-term, permanent,

temporary and professional training

contracts, and permanent advisors

(“Employees”), as well as management

(including Chairman, Executive board

members and members of the Executive

Committee), and partners dedicated to

the business development (which have

been contracted through business

partnership agreements), in force as at 31

December 2017. Temporary personnel is

not included in this data. When reference

is made to “at the date of this report”, the

data includes Employees of EPS and

Employees of Elvi Energy and MCM and

their partners as at the date hereof.

• Training: the percentage of persons

trained in relation to the total Italian

workforce at 31 December 2017.

• Workforce by social professional

category: as the same classification

for management versus non-

management employees does not

exist in certain countries,

management refers exclusively to

chairman, executive and active

members of the board.

Total Recordable Incident Rate (TRIR): is

a commonly used indicator that measures

how many OSHA recordable incidents a

company has per number of hours

worked

TRIR = (# of Recordable Injuries *

200,000) / # hours worked.

• Lost Time Injury Frequency Rate

(LTIFR): is the number of lost time injuries

occurring in a workplace per 1 million

man-hours worked.

LTIFR = (# of Lost Time Injuries *

1,000,000) / # hours wo

35


7. CONCORDANCE TABLE

To facilitate the reading of the CSR report, the following concordance table provides cross-

references to the main categories of information required by French law (Grenelle II Environmental

Law and article R. 225-105.1 of the French Commercial Code):

Grenelle II Environmental Law (article R. 225-105.1 of the French Commercial Code)

ENVIRONMENTAL INFORMATION

Environmental policy

Organization of the company to take into account environmental concerns. Environmental evaluation and

verification approaches

4 / 4.1

Training and information towards employees on environmental protection 3.5

Budget dedicated to environmental protection and environmental risk mitigation 4.1

Financial provisions for environmental risks 4.2

Circular Economy

Prevention, reduction and fixing of air/water/soil emissions 4.2

Prevention, recycling and cutting waste 4.2

Noise pollution and others types of pollution 4.2

The significant posts of greenhouse gas emissions generated by the company’s activities, in

particular through the use of the goods and services it produces

Water consumption 4.3

Water supply considering local resources 4.3

Consumption of raw materials 4.3

Measures taken to improve the efficiency of raw materials use 4.3

Energy consumption 4.3

Measures to improve energy efficiency and better use renewable energies 4.3

Land use 6.1

Climate change

Greenhouse gas emissions 4.4

Measures to adapt to climate change 4.4

Biodiversity preservation

SOCIAL INFORMATION

Employment

Total workforce 3.1.1

Workforce broken down by gender 3.1.1

Workforce broken down by age bracket 3.1.1

Workforce broken down by region 3.1.1

Hires 3.1.2

Redundancies 3.1.2

36


Compensations 3.1.5 / 3.1.6

Evolution of compensation 3.1.6

Organization of work

Organization of work time 3.2.1

Absenteeism 3.2.2

Labor relations

Organization of social dialogue 3.3.

Outcome of the collective agreements 3.3.

Occupational health & safety

Health and safety conditions at work 3.4

Outcome of the collective agreements signed with trade unions regarding occupational health and safety 3.3

Frequency and seriousness of incidents 3.4

Occupational diseases 3.4

Training

Policies implemented regarding training 3.5

Total number of training hours 3.5

Equal treatment

Measures promoting gender equality 3.6

Measures promoting the employment and integration of people with disabilities 3.6

Policy against discrimination 3.6

Promotion and respect for the clauses of ILO conventions

Respect for the right to organize and collective bargaining 3.7

Abolition of discrimination in employment and occupation 3.7

Abolition of forced or compulsory labor Abolition of child labor 3.7

INFORMATION REGARDING COMMUNITY AND SOCIAL INVOLVEMENT PROMOTING

SUSTAINABLE DEVELOPMENT

Regional, economic and social impact created by the activity of the company

Regarding employment and local development 5.1 / 5.2

Impact on local and neighbouring communities 6.1

Actions against food waste N.A.

Stakeholder relationship

Conditions of the dialogue with the persons and organizations 5.2

Philanthropic actions and community involvement 5.3

Subcontracting and suppliers

Integration of the social and environmental issues within the sourcing policy 5.5

Importance of subcontracting and integration of CSR in the relationships with suppliers and subcontractors 5.5

Fair operating practices

Actions implemented to prevent any kind of corruption 5.6

Measures implemented to promote consumer health and safety 5.6 / 3.4

37


Other actions promoting human rights 5.7 / 5.3

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