2023 UNIVERSAL REGISTRATION DOCUMENT

3.1.1.3 Monitoring performance

Environmental reporting scope and coverage

To monitor VINCI’s environmental performance, the environmental reporting system uses the same software as the Group’s financial and workforce-related reporting systems and is based on the standards of the Global Reporting Initiative’s Sustainability Reporting Guidelines, which have been applied to the Group’s activities (see the cross-reference table, pages 409 to 410), as well as the recommendations from the Task Force on Climate related Financial Disclosures (TCFD) (see the cross-reference table, page 411), and the Sustainability Accounting Standards Board (SASB) (see the cross-reference table, page 412).

In 2023, the initial recommendations from the Taskforce on Nature-related Financial Disclosures (TNFD) were also taken into consideration (see the cross-reference table, page 411). Covering nearly all of the Group’s companies, the system uses around 60 quantitative indicators for measuring performance against key environmental parameters, such as greenhouse gas emissions, consumption of resources (materials, energy, water, etc.), circular economy initiatives, environmental certification and environmental incidents. Environmental reporting is prepared using updated methodological guidebooks and procedures that are available on the Group’s intranet. In addition to this central reporting system, each business line uses its own management indicators. Section 5 of this chapter, “Note on the methods used in workforce-related, social and environmental reporting”, pages 291 to 295, covers the key points.

VINCI has submitted its environmental information for review by its Statutory Auditors since 2002. Environmental data is presented in compliance with Article 225 of France’s Grenelle II Environment Act and additional provisions set forth mainly in application of the law on the energy transition for green growth (Article 173) and the law on combating food waste. It also meets the requirements of Order 2017-1180 of 19 July 2017 and Decree 2017-1265 of 9 August 2017, which transposed the European directive on disclosure of non-financial information by certain large undertakings and groups into French law.

The environmental reporting scope is the same as for the financial reporting scope, with some exceptions (see “Note on the methods used in workforce related, social and environmental reporting”, page 291). Cobra IS, which joined the Group in December 2021, was included in VINCI’s environmental reporting in 2023. At the end of 2023, environmental reporting covered 99% of total revenue.

Environmental reporting coverage ^(*) , excluding acquisitions in 2023

Environmental impact analysis

As part of the 2021 Environment Awards, VINCI developed a multi-criteria impact analysis methodology to measure the reduction or avoidance of emissions associated with each of the solutions and estimate their potential impact over three years (until 2023), in order to deploy the solutions that contribute the most to the Group’s environmental ambition (see paragraph 3.1.4.1, “Employee engagement around environmental solutions and actions”, page 230). The idea is to accelerate the scale-up of environmental solutions and inform certain Group decisions by evaluating short-term outcomes depending on assumptions relating to economic implementation. The methodology draws on a simplified life cycle analysis and uses specific quantitative indicators to measure a solution’s impact and assess its contribution to VINCI’s environmental ambition. It also takes into account the scale of implementation within the Group and with customers. A scientific committee made up of environmentalists, scientists and financial experts helped in developing this approach. Data is collected on reduced or avoided CO₂ emissions, tonnes of recovered materials, or cubic metres of water saved compared to a benchmark scenario. Five of the solutions analysed were subjected to a critical review in 2023.

3.1.2 EU Taxonomy of environmentally sustainable activities

Building on the European Commission’s action plan on financing sustainable growth launched in 2018, Regulation (EU) 2020/852 of 18 June 2020, known as the Taxonomy Regulation, establishes a framework to facilitate sustainable investment with the aim of creating a “green list” of environmentally sustainable economic activities. To comply with this regulation, the Group is required to disclose, for the 2023 financial year, the proportion of its Taxonomy-eligible activities that are aligned, in terms of their revenue, capital expenditure (CapEx) and operating expenditure (OpEx), to the first two environmental objectives (climate change mitigation and climate change adaptation) and the proportion of activities that are eligible for the EU Taxonomy’s four other objectives (sustainable use and protection of water and marine resources, transition to a circular economy, pollution prevention and control, and protection and restoration of biodiversity and ecosystems).

To qualify as sustainable, an activity must contribute substantially to one of the six environmental objectives shown below, “do no significant harm” to the other five objectives (DNSH principle) and meet minimum safeguards in the following areas: human rights (including labour and consumer rights), bribery and corruption, taxation and fair competition. The Taxonomy Regulation has been supplemented by four delegated acts which were approved between 2021 and 2023, specifying the technical screening criteria for the six objectives and the content, methodology and presentation of information to be disclosed.