EDP remains one of the most sustainable utilities worldwide on the Dow Jones index
With a record number of companies participating in the Dow Jones Sustainability index this year, EDP was once again ranked as one of the most sustainable integrated utilities in the world. It is also the only Portuguese company listed in the index for 13 years in a row.
The Dow Jones Sustainability Index (DJSI) has once again recognized EDP as one of the companies with the best sustainability practices in the world. Besides being the only Portuguese company listed on this index for 13 years in a row, EDP has obtained a final score of 88 points (out of 100), which makes it one of the two best integrated utilities in the world.
Several indicators have contributed to the company's excellent ranking, including its environmental performance - scoring 94 points (one more than in 2019), EDP has ranked second in this category. The company has also improved its corporate governance performance, scoring five more points than last year, and maintained its good economic and social scores.
EDP has also been recognized as 'Best in Class' in 10 out of 27 criteria - one more compared to the previous year -, thus confirming its good practices in areas such as climate action strategy, water resource risk management, social and environmental reporting, supply chain management, citizenship, stakeholder engagement, and human rights.
“This new recognition by the DJSI as one of the most sustainable utilities in the world shows that EDP remains committed to sustainable development and tackling climate change. It also encourages us to continue improving our environmental, social and corporate governance practices, the performance of which has once again been rewarded this year,” said EDP interim CEO Miguel Stilwell de Andrade. “As a leader in the energy transition process, EDP remains committed to renewable energies and to new energy efficiency solutions that contribute to decarbonization. And in such a decisive moment as this, haunted as it is by the climatic emergency and the impact of a global pandemic, this commitment is all the more relevant in order to guarantee the protection of the environment and the creation of value for our stakeholders and future generations,” he said.
The Dow Jones Sustainability Index - one of the most important sustainability indices worldwide - was created in 1999 as the first non-financial performance benchmark for publicly traded companies around the world. This year's edition - to which 3,467 S&P Global Broad Market Index companies were invited - saw 19% more entries than last year. In the end, 324 companies were selected to be listed on the DJS World index; 16 are utilities, eight are electric utilities, and EDP is one of them. At the European level, the DJS Europe index selected 149 companies, four of which are electric utilities - including EDP.
"We congratulate EDP for being listed on the DJSI,” says Manjit Jus, Global Head for ESG Research and Data at S&P Global. “This distinction reflects the fact that we are sustainability leaders in our industry. With a record number of companies participating in the 2020 Corporate Sustainability Evaluation and more stringent rules for being listed in the index this year, it rewards the company's ongoing commitment to people and the planet."
In addition to economic and financial indicators, this index assesses criteria such as transparency, corporate management, investor relations, socio-environmental responsibility, and management quality. The fact that EDP has once again been listed in the Dow Jones Sustainability Indices is a recognition of the company's commitment to sustainable development, which translates into a focus on good Corporate Governance practices, the adoption of a strategy for expanding renewable energies, and the implementation of more efficient production technologies.