Jóna Bjarnadóttir, EVP Community and Environment, Landsvirkjun, writes.
This week, Landsvirkjun became the first company in Iceland to receive the highest possible score for climate performance and transparency in disclosure, from CDP, the global disclosure system.
Landsvirkjun’s placement on CDP’s prestigious A List in 2022 means that the Company is a leader in climate performance globally, and a member of a small group of companies that are at the forefront in environmental matters. In 2022, nearly 19,000 companies disclosed their climate performance to CDP, and of those companies only 283, or 1.5% received the score A, or the highest possible score. Receiving this excellent score is a recognition for Landsvirkjun’s emphasis in climate- and environmental issues in its operations for years.
Never have climate- and environmental issues placed a larger importance in companies’ operations. How they tackle the effect of climate change can make all difference for their operations and prospects.
Globally, Landsvirkjun’s carbon footprint is one of lowest known. However, that fact is not enough to make the Company a leader in environmental issues, according to CDP methodology, as information on emissions is only part of the scoring criteria. CDP score assesses an entity’s governance, the business model and management of funds, climate related risk-control, climate targets and their progress.
The verification awarded by CDP is a recognition that Landsvirkjun is one of the global leaders when it comes to awareness about climate change and its consequences, implementing systematic mitigating measures to minimise emissions from its operations and the value chain, and maximising the Company’s contribution to the fight against climate change. CDP’s verification reflects employees’ and the executive team’s vision and passion for environmental issues, responsible governance, and dependable processes.
Prioritising Climate Issues
Excellence is a result of constant work and the aspiration to achieve success. Landsvirkjun prioritised climate issues in all facets of its operation. The Company has adjusted its infrastructure to a changed climate, emissions have been put under control, Iceland’s climate obligations are supported, and participation in the international fight against climate change is active. Decade’s long experience in environmental management has shown that risk analysis is always the first step. Landsvirkjun’s policy and business model reflect the expertise on climate change, as well as best practices when preparing and planning a sustainable world, powered by renewable energy. The Company has carefully revised its emissions, it has set ambitious targets to reduce emissions, and works tirelessly in meeting the targets. The climate change emphasis reaches further than the value chain, and it is an important part of our communication with stakeholders, authorities, general public, customers, lenders, suppliers, or service providers.
Companies Must Find Their Own Way
There is no single and correct path to take to become a leading company in climate issues. For Landsvirkjun it vital to look at how a company generates income and spends resources, there in lies the core for adapting to climate change and implementing mitigating measures.
A company that does not tend to climate issues, will not necessarily be in business in the future. Risk analysis and consequent measures are an important part of responsible management. By starting at the beginning, the order of priority will become clearer and implemented measures more decisive. Measures which are prominent in current affairs are not necessarily the best solution, as it is vital to scrutinise which measures are best suited for different operations.
We all play a role in reacting to the crisis in climate issues. Someone once said that all good things happen slowly, but we live in times that plead for quick response and decisive measures, which reduce greenhouse gas emissions.
We must all do our part. We can learn from each other and adapt our methods, measures and solutions. By improving processes from one day to the next, minimal climate change and sustainable development can be reached. A future that is built on sustainable world powered by renewable energy is a future that has a place for every one of us, and that is a worthy effort.