EDP continues to be among the world's most sustainable electricity companies in the Dow Jones index
EDP is once again recognised as one of the world's leading electricity companies in the area of sustainability, consolidating this position in the Dow Jones Best-in-Class Indices, where it has also been the only Portuguese company in the index for 17 consecutive years. The group is also in the Top 5% of S&P's 2025 Global Sustainability Yearbook.
S&P Global Sustainable1 once again recognises EDP as one of the most sustainable electric companies in the world, among the 264 electricity utility companies from different geographies. In addition to its prominent position in the Dow Jones Best-in-Class Index, it also continues to be the Portuguese company that has been part of the global benchmark index in the area of sustainability for the longest time. This recognition reflects EDP's sustained leadership position over the last 17 years.
This year, among the more than 7,600 companies evaluated, EDP has once again included in the S&P Sustainability Yearbook, which honours companies with the best sustainability practices in each sector. In 2025, the company will return to the ranking which, since 2022, has distinguished companies whose revenues from coal-fired power generation represent less than 5%, as well as recognising companies with a positive impact on leading sustainable development. It includes only 780 companies distributed across 62 industries.
In this edition of the Dow Jones indices, EDP was honoured as 'Best in Class' with the maximum score of 100 points in five of the 23 criteria – one more than the previous year – thus confirming its good practices in areas as diverse as: transparency and reporting, business ethics, human rights, customer relations and market opportunities. The analysis of the 23 criteria, carried out with the Corporate Sustainability Assessment (CSA) methodology of S&P Global Sustainable1, determines whether or not companies are included in the Dow Jones index.
Under the transparency and reporting indicator, EDP was highlighted for its Integrated Annual Report 2023, which presents short-term operational objectives and ambitious long-term ones aligned with the company's strategy. This report was also recognised by the World Business Council for Sustainable Development, as one of the best 10 reports among the 181 analysed for the 3rdconsecutive year. Under the market opportunities indicator, the company demonstrates its commitment to sustainability by offering a diversified portfolio of solutions, like smart meters. Also under relationship with customers, it was recognised for a consistent improvement in EDP customer satisfaction over the last three years.
Under the ethics criteria, EDP has reinforced its performance with several initiatives, notably a Code of Ethics and the transparent reporting of infractions, complemented by training and awareness actions and a Speak Up channel, for dialogue with stakeholders. Additionally, in human rights, the group presents good results, as a result of the identification, prevention and monitoring of risks, in line with the United Nations Guiding Principles on human and labour rights.
"EDP's leadership position in the Dow Jones Best-in-Class Indices recognises our commitment to sustainable development, decarbonization and the fight against climate change. By being part of this global index for 17 years and the European index for 15 years, we signal to the market that we follow sustainable practices that contribute to accelerating the energy transition. We see the good historical performance against ESG criteria as a competitive advantage for the company, namely in the identification and management of risks and opportunities in our business," said Rui Teixeira, EDP's financial director.
Resource management and risks in the spotlight
EDP was also honoured for its improved performance under the criteria for waste and pollutants, water and risk and crisis management. Under the waste and pollutants indicator, the circular economy strategy, complemented by initiatives such as digitalisation and resource enhancement adopted by the company, has resulted in the continuous reduction of waste over the last four years. With regard to water, EDP has set a goal of reducing consumption by 78% by 2025, and has already achieved 88% of this reduction in 2023. Under risk and crisis management, the company continuously invests in improving processes that ensure rigorous risk assessment and support decision-making.
For 17 consecutive years, EDP has been the only Portuguese company included in the world index. As a leader in the energy transition, EDP continues to invest in renewable energies and new energy efficiency solutions that contribute to decarbonisation.
Being a member of the Dow Jones Best-in-Class World and Europe indices, and part of S&P's Sustainability Yearbook 2025, as a result of good sustainability practices reflects the ongoing challenge of changing the paradigm of the electricity sector since 2006, developing a culture of innovation and contributing to the fight against climate change - a strategy that is materialised through EDP's Climate Transition Plan. These actions are underpinned by innovation, through which EDP promotes the use of clean technologies, increases energy efficiency and disseminates knowledge inside and outside the company, as well as by sustainable financing. In line with its net-zero objective, EDP has already exceeded its target of achieving 60% of its financing from renewable sources by 2026, along its decarbonisation path.
Proof that EDP is actively contributing to accelerating this transition is the fact that, in 2005, about 80% of its electricity production came from fossil fuels, while currently 95% of all energy produced by the company comes from renewable sources. The company maintains ambitious sustainability goals, including the commitment to have fully renewable energy production and to achieving carbon neutrality by 2040, involving its entire value chain.
These sustainability indices are a global benchmark that help the market evaluate the performance of the main listed companies based on social, environmental, economic and governance criteria. Created in 1999, the Dow Jones Best-in-Class Index was the first benchmarking of non-financial performance for listed companies globally. For the 2024 edition, 3550 companies were analysed to be part of the Dow Jones Best-in-Class indexes. EDP is one of eight electricity utility companies included in the Dow Jones Best-in-Class World and one of five in the Dow Jones Best-in-Class Europe.