Sustainability Day

Sustainability Plan 2019 - 2023

Milano, 02.07.2019

VALUE GROWTH SUSTAINABILITY DIVIDENDSVALUE FROM ASSET

QUALITY, DIVERSIFICATION, AND

SYNERGIES

DISCIPLINED GROWTH OPEN TO SECTOR

DYNAMICS

FOCUS ON

AS A KEY PILLAR

A2A SUSTAINABILITY STRATEGYA2A AND THE UNITED NATIONS SDGs

A2A is committed to create sustainablevalue in the medium-term (SustainabilityPlan) as well as in the long one(Sustainability Policy). The Plan and thePolicy have been inspired by the UnitedNations’ 17 Sustainable DevelopmentGoals @ 2030

SUSTAINABILITY PLAN

Piano Industriale 2015-2019

Piano di

Sostenibilità 2014

SDG vs

VALUE CHAIN

GOALS and TARGETS -

2030

ACTION and ENABLING DRIVERS -

2023

2030 10/17 GOALS

SUSTAINABILITY POLICYA2A developed a path to define the 2030commitments and short-medium term actions,identifying quantitative and measurable KPIs

2

THE FOUR STRATEGIC PILLARS

CIRCULAR ECONOMY

DECARBONIZATIONSMARTNESS IN

NETWORKS AND SERVICES

PEOPLEINNOVATION

Sustainably manage waste during its life cycle

Contribute to achieving national and EU targets for the reduction

of greenhouse gas emissions

Increasing grid reliability through technological

innovation

Actively contribute to the welfare of the community and the improvement of

working conditions

A2A SUSTAINABILITY POLICY

3

4

A2A ESG PLAN PATH BY BUSINESS UNIT

SUSTAINABILITY EMBEDDED IN THE STRATEGIC PLAN

GENERATION MARKET WASTE NETWORKS

• Shift to a traditional governance model and set up of the Sustainability and Territory Committee

• 100% executives with sustainability MBOs (10% weight for the CEO/Managing Director)

• A2A adopts a prudent risk policy, whose purpose is to further develop and integrate risk management into the business process

% sorted collection

New recycling plants

Project on reduction/ reuse/recycle

Water network losses

Treated waste water

Digital users

# LED lighting points

EV charging stations

Contact centre quality

Smart bins Smart meter

Service interruption

Smart grid

GOVERNANCE

CO2 emissions reduction Energy efficiency projects

Green energy sold to Mass Market

Low-impact vehicles DH users

Dispersed heat recovery and DH non-fossil sources

Smart city projects

Banco dell’Energia

Roadwork siteinspections

Reduction of the accident rate

Environmental education

CIRCULAR ECONOMY

DECARBONIZATION

SMART GRID AND SERVICES

PEOPLE INNOVATION

E

S

G

Integration of Sustainability Plan and Financial BP @2023 in line with 2030 sustainability goals

4

5

NEW PLANTS FOR MATERIAL RECOVERY

SEPARATE WASTE COLLECTION

SECONDARY RECOVERY FUEL

INVESTMENTS IN WATER CYCLE

CIRCULAR ECONOMYSustainably manage waste during its life cycle

SUSTAINABILITY PLAN 2019-23

CIRCULAR ECONOMY

A2A waste treatment capacity for material recovery (Kt)

SRF produced by Group plants (Kt)

143.000

Separate waste collection (%)

Milan Other municipalities served

Linear water losses (m3/km/days)Group average

,

5

6

RENEWABLES EFFICIENCY IN THE END USE DISTRICT HEATING SUSTAINABLE MOBILITY

DECARBONIZATIONContribute to achieving national and EU targets for the reduction of greenhouse gas emissions

Installed photovoltaic capacity (MW)

CO2 avoided thanks to energyefficiency in end use: industrialESCO activities - cumulative value (t)

CO2 avoided thanks to theextension of district heating(t/year)

Low environmental impact wastecollection vehicles (Euro6 vehicles,methane gas, electric) - (% of total)

,, ,

, ,

,,

,

SUSTAINABILITY PLAN 2019-23

DECARBONIZATION

6

7

SMARTNESS IN NETWORKS AND SERVICESIncreasing grid reliability through technological innovation

SMART CITIESSMART GRID DIGITAL QUALITY

Smart City services activated - cumulative value (n.)

Investments in Smart Grids(M€) - cumulative value

Energy customers registered with the bollet@mail service (n.)

CSI for Call Center A2A Energia

NA

TIO

NA

L A

VER

AG

E

NA

TIO

NA

L A

VER

AG

E

,

,,

95.7

93.2

98.1

92.3

n.a.

SUSTAINABILITY PLAN 2019-23

SMARTNESS IN NETWORKS AND SERVICES

Exceed the National Average

7

8

727

HEALTH & SAFETY

RESPONSIBLE PROCUREMENT

EQUAL OPPORTUNITIESSTAKEHOLDER ENGAGEMENT

PEOPLE INNOVATIONActively contribute to the welfare of the community and the improvement of working conditions

Weighted accident rate(frequency indicator*severityindicator)

Women in positions of responsibility (% of total managers)

Structured engagement workshopscarried out - cumulative value

n.a.

26.10

17.00

SUSTAINABILITY PLAN 2019-23

PEOPLE INNOVATION

Number of inspections carriedout on road worksites

1,682To maintain1,500/year

8