Petrol Group Sustainability Report 2022

Video presentation of the Sustainability Report

Petrol Group Sustainability Report 2022

The story of its green transition - with high targets, numerous challenges, and unknowns, but at the same time, with great commitment, is being written by the Petrol Group in the context of a great global story. Our words are backed up by financial, social, and environmental figures disclosed herein.

Petrol together with its employees also writes small human stories. These are small but persuasive steps taken by Petrol's sustainability ambassadors, whose daily conduct in various areas contributes to

a better today and a greener tomorrow. This serves as proof that we believe in our values and translate them into practice. Every day and everywhere.

Contents

6

On sustainability reporting

61

Our approach to stakeholder

116

Soil protection against pollution

167

A family-friendly company

engagement

119

Noise emissions in the environment

168

Relations with suppliers

7

Key highlights

62

Materiality matrix

120

Water management

170

Supplier evaluation

122

Use of water for our own activity

171

Paperless business

7

Governance footprint

64

Environmental aspect

124

Water cycle management for the

171

Outreaching to suppliers

8

The financial footprint of the

market

171

Suppliers of food products

Petrol Group in Slovenia

68

Management of the natural

126

Use of treated and re-used and cooled

172

Customer relations

9

The social footprint of the Petrol

environment

water in industry

174

New brand identity

Group in Slovenia

68

Petrol for its own activity

128

Waste water management

175

Brand power

10

Environmental footprint of the

69

Petrol for the market

131

Biodiversity

177

Final customer satisfaction

Petrol Group in Slovenia

70

Strategic commitments to the

133

Urban beekeeping

179

Commercial customer satisfaction

12

Economic footprint of the Petrol

natural environment

133

Restoration of Slovenian forests

180

Communicating with customers

Group

71

Quality management

134

Diligent management

183

Protection of personal data

16

Environmentally sustainable economic

72

Environmental permits

of resources

183

Certificates of conformity of products

activities and sustainable investments

72

Environmental management system

137

Packaging materials

183

Product labelling

73

Responsible care programme

139

Steps towards more sustainable

184

Claims

17

Governance aspect

73

Impact assessment

packaging and the circular loop

184

Offer upgrade

73

Security system

141

Waste management

185

Responsibility towards the social

18

Keynote address of the President

74

Climate change management

environment

of the Board

78

Carbon footprint

144

Social aspect

187

Sponsorships and donations

24

About the Petrol Group

82

Energy management

189

Corporate volunteering

29

Brief presentation of our activity

85

Fuels for transport

148

Our employees are the

190

Events for the external public

30

Key targets of the business strategy

87

Sustainable energy mix

ambassadors of the company

190

The Petrol Research Panel

until 2025

91

Energy sources for heating and

151

Employee structure

191

Participation in R&D projects

33

Review of the progress made towards

cooling

154

Employee turnover

192

The promise held by sustainable

achieving Sustainable Development

92

Energy generation from RES

154

Annual appraisals

advertising

Goals by 2025

97

Energy renovation of facilities

154

Collective (company) agreement

192

Negative impacts of activities on local

42

Contributing to the United Nations

99

Achieving energy savings for final

155

Ensuring adequate remuneration of

communities

Global Sustainable Development

customers

employees

Goals by 2030

101

Optimisation of district heating

155

Prevention of discrimination and

193

Key to abbreviation

45

Involvement in associations,

systems

respect for human rights at the

organisations and initiatives

103

Energy renovation of public lighting

workplace

194

Reporting indicators

46

Awards and recognitions

104

Transport and distribution

156

Social dialogue

in accordance with GRI

47

Sustainable management

106

Involvement in European low-carbon

156

Communicating with employees

standards

52

Company culture and business

society transition projects

157

Education and training

conduct policies

108

Pollution prevention

161

Occupational health and safety

208

Task Force on Climate-related

57

Key risks and risk

111

Emissions to air

165

Organisational climate

Financial Disclosures (TCFD)

management

115

Safe use of chemicals

166

Internal communications

6

Key highlights

Governance aspect

Environmental aspect

Social aspect

Reporting indicators in accordance with GRI standards

Task Force on Climate-related Financial Disclosures

On sustainability reporting

The Petrol Group manages sustainable development in a strategic manner under the responsibility of its senior management. Sustainability reporting also forms part of our strategic approach to sustainability. Abbreviated sustainability-related disclosures are published in the annual reports of the Petrol Group, and, since 2012, the Group has also been bi-annually publishing stand-alone sustainability reports, in which our sustainable strategic approaches, achievements, challenges, targets, actions and various programs and projects are presented in depth. This Sustainability Report is the sixth in a row. The reporting has been produced by complying with GRI standards. For the first time, we have tracked areas that include environmental, social, and governance (ESG) aspects, as defined in the draft European sustainability reporting standards (ESRS), which are at the stage of adoption. Reporting elements subject to TCFD have also been included - for each sub- area pertaining to environmental, social and governance (ESG) aspects, key policies of the Petrol Group, targets, metrics and actions aimed at achieving our targets, as well as control and management of the individual sub-area, have been specified. In doing so, we are gradually preparing for reporting in compliance with the Corporate Sustainability Reporting Directive or the CSRD introducing uniform ESRS reporting standards.

The first part of the Sustainability Report discloses the business conduct segment, including, inter alia, our approach to the sustainable and climate management of the parent company Petrol, d.d., Ljubljana, as well as key risks and opportunities, where our approach to placing environmental/climate risks in a comprehensive risk management of the Petrol Group is specified.

The company area is divided into four substantive sections: its own employees, value chain, customers and final customers, and local communities.

Our environmental impact is expressed in two aspects - our own activity and our offer for the market. In the introductory part of the environmental area, our strategic commitments to the natural environment are disclosed, followed by content subject to the areas defined in the ESRS: climate change, pollution, water and marine resources, biodiversity, and use of resources.

All essential departments of the areas included in the Sustainability Report were involved in drawing up the definition of reporting areas and content. Reporting is carried out under the guidance of transparency, clarity, and data reliability. Currently managed data and the key organisational and other changes in the last two years, i.e. since the previous sustainability reporting, are presented.

The senior management supervises the management of sustainable development in the Petrol Group, at the executive level the sustainable development methodology is managed by the organisational unit Sustainable Development, Quality, and Safety (TRKV). Ms. Marta Svoljšak Jerman, PhD, Director of the TRKV, is the administrator of the sustainable development methodology and sustainable development reporting, the manager of the sustainability report drawing-up project, is Ms. Alenka Ott Šaponia, Msc, Head of Sustainable Development.

international brands EU brands

7

Key highlights

Governance aspect

Environmental aspect

Social aspect

Reporting indicators in accordance with GRI standards

Task Force on Climate-related Financial Disclosures

Governance footprint

2022: 73.5

2021: 72.5

Average rating of suppliers

Petrol Group's policies and practices follow ten principles

of the United Nations Global Compact

Petrol Group brands:

38

11

around 100 Slovenian brands

some national brands in Croatia, Serbia, Bosnia and Herzegovina, Montenegro, and North Macedonia

EUR 698 million is the total

estimated amount of investments of the Petrol Group in the 2021-2025 strategic period,

out of which 35% in energy transition.

Protection of whistleblowers or

0 reprisals

business compliance

fulfilment of contractual obligations, including timely payment

More than 4,000 suppliers

have been asked to carry out a self- assessment Sustainable development

Evaluation of 468 key suppliers in 2021 and 2022

8

Key highlights

Governance aspect

Environmental aspect

Social aspect

Reporting indicators in accordance with GRI standards

Task Force on Climate-related Financial Disclosures

The financial footprint of the

Petrol Group in Slovenia

2,059,939,178 EUR

all duties in 2021 and 2022 amount to in total:

2021 EUR 987,691,337

2022 EUR 1,072,247,841

Excise duties

CO2 tax

VAT, customs, import

EE, CHP and RES

duties

contributions

2021

EUR 549,396,833

2021

EUR 71,389,663

2021

EUR 284,318,681

2021

EUR 25,750,956

2022

EUR 573,050,927

2022

EUR 50,241,503

2022

EUR 388,594,850

2022

EUR 21,566,509

Membership fees

Duties on benefits to

Corporate

NUSZ - ground exploitation

natural persons

income tax

fee, water contributions

2021

EUR 21,688,156

2021

EUR 10,068,324

2021

EUR 19,353,638

2021

EUR 2,482,622

2022

EUR 16,094,403

2022

EUR 10,992,710

2022

EUR 4,556,211

2022

EUR 2,526,694

Financial Services Tax

Environmental taxes

Transshipment fees

Donations and sponsor-

ships of the Petrol Group

2021 EUR 276,681

2022

EUR 1,085,978

2021

EUR 342,657

2021

EUR 1,013,996

2021

EUR 1,581,268

2022

EUR 340,288

2022

EUR 1,403,602

2022

EUR 1,788,066

Other

Total

Data on levied taxes and duties for companies in the

2021

EUR 27,862

2021

EUR 987,691,337

Petrol Group established in Slovenia are included:

2022

EUR 66,100

2022

EUR 1,072,247,841

Petrol d.d., Petrol GEO, Petrol Skladiščenje, IGES,

Total: EUR 2,059,939,178

mBills, Ekoen, Ekoen GG, Ekoen S.

9

Key highlights

Governance aspect

Environmental aspect

Social aspect

Reporting indicators in accordance with GRI standards

Task Force on Climate-related Financial Disclosures

The social footprint of the

Petrol Group in Slovenia

2022: 6,224

2021: 6,237

Number of employees (including employees at managed service stations) in the Petrol Group as at the last day of the year

2022: 190

2021: 15

Number of managers participating in competence development programs in the Petrol Group

9%

2022 and 2021: 35

better consumer experience of Petrol

Number of internal certified coaches

customers in 2022 compared to 2021

in Petrol d.d., Ljubljana

2022: 121,876 2021: 87,900

> 2/3

Total number of hours of education and train-

e-invoices for des-

ing of Petrol Group employees

ignated purchases

Number of sustainability ambassadors

10%

among Petrol Group employees:

40 ambassadors in Slovenia

The value of the

contract must

5 ambassadors in Croatia

be allocated by

sponsored sports

2 ambassadors in Bosnia and Herzegovina

parties to ESG

projects

1 ambassador in Serbia

1 ambassador in Montenegro

10

Key highlights

Governance aspect

Environmental aspect

Social aspect

Reporting indicators in accordance with GRI standards

Task Force on Climate-related Financial Disclosures

Environmental footprint of the Petrol Group in Slovenia

Carbon footprint of Petrol d.d., Ljubljana (excl. EiOR)

2022: 18,775.733 t of CO2 eq

2021: 21,697.056 t of CO2 eq

Taxonomy-aligned investments

More than 54% of gross capital expenditure More than EUR 30 million

Number of service stations as at the last day of the year

2022: 594

2021: 593

Reduction of CO2 emissions due to the use of biofuels, LPG, and electricity in transport

2022: 112,465 t of CO2 eq

2021: 182,135 t of CO2 eq

Q Max fuels

Total installed capacity

2022: EQTM (European Quality Trade-

of RES power plants

mark) certificate awarded by the Euro-

2022 and 2021: 69 MW

pean Organisation for Quality (EOQ)

Energy produced from RES

E-mobility

Small-scale photovoltaic power plants

2022: 417 e-charging stations

2022: 2,837 MWh

2021: 296 e-charging stations

2021: 2,907 MWh

Managed vehicle fleets

Environmental savings:

2022: 1,314 t of CO2

Number of e-vehicles for own use and

2021: 1,346 t of CO2

for the market

2022: 106

Small-scale hydro

2021: 93

2022: 21,419 MWh

2021: 28,351 MWh

Environmental savings:

2022: 45 t of CO2

Environmental savings:

2021: 45 t of CO2

2022: 10,067 t of CO2

2021: 13,325 t of CO2

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Disclaimer

PETROL dd published this content on 02 November 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 13 November 2023 14:39:59 UTC.