The Improvement Plans, indicated below, identify the actions taken and the future objectives set to achieve Iren Group Business Plan results for each of the strategic pillars on which the Plan is structured.
Growth and creation of value
Economic development and value for local areas | Competitiveness on the market
| Actions carried out in 2020 |
Future objectives |
| 685.2 million Euro in investments |
3.7 billion Euro in investments by 2025 |
| 235 million Euro in profits |
~350 million Euro in profits by 2025 |
| 0.095 Euro dividend distributed |
+8% annual dividend growth over the time span of the Plan |
| 20 online roadshows with institutional investors and financial analysts and intensified contacts with ESG investors |
Further increase in contacts with institutional investors in new financial markets and with ESG investors |
| Renewal of some sections of the Group’s website and creation of specific areas concerning Group strategy and risk management to improve financial communication to investors |
Continuous improvement of financial communication: redesign of the Investors section of the Group’s website |
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Sustainable finance:
- new medium/long-term loans totalling 875 million Euro, consisting mainly of a 10-year public bond issue, including 300 million Euro in Green format
- new medium- and long-term credit lines for 80 million Euro with the Council of Europe Development Bank and for 100 million Euro with a new EIB “Green Energy Loan”
- agreement renewal of the bond issue programme up to a maximum amount of 4 billion
- Euromarket-based bond issues to reduce the cost of debt and have liquidity available well in advance to cover maturitiesliability management
- operations to reduce the cost of debt with early repayment of loans for 5 million
- Europositive annual review by the DNV GL agency and issue of periodic reviews in favour of investors
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Sustainable finance:
- coverage of financial requirements to support the investments with a balanced relationship between short and medium/long term funds and focus on principles of Sustainable Finance
- optimising the debt portfolio with liability management activities aimed at reducing the cost of debt and the early management of maturities
- respect of the commitments undertaken to benefit Socially Responsible Investors (SRIs) and defined in Iren’s Sustainable Financing Framework
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| Confirmation from the Fitch rating agency of the public Investment Grade rating of BBB for Iren and its bond issues |
Maintenance of the Investment Grade rating |
Sustainable use of resources
Sustainable use of water resources
| Actions carried out in 2020 |
Future objectives |
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Reduction in water withdrawals from the environment for drinking water distribution:
- 33.3% water network leaks
- -3% of water withdrawals per resident/day in traditional areas compared to 2019
- 56% of water network divided into districts
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Reduction in water withdrawals from the environment for drinking water distribution:
- network leaks at 29% by 2025
- -4.9% of water withdrawals per resident/day in traditional areas by 2025 compared to 2019
- 81% of water network divided into districts by 2025
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Qualitative and quantitative improvement of the wastewater treatment capacity:
- +3.3% increase in wastewater treatment capacity of the plants (PE) compared to 2019
- pollutant reduction in treated water: 93.4% BOD, 90.2% COD and 93.3% SST
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Qualitative and quantitative improvement of the wastewater treatment capacity:
- +16% increase in wastewater treatment capacity of the plants (PE) by 2025 compared to 2019
- pollutant reduction in treated water: >94% BOD, >90% COD and >93% SST
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Decarbonisation | Emissions | Energy efficiency, renewable sources and district heating | Resilient cities
| Actions carried out in 2020 |
Future objectives |
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Reduction of emissions:
- +4.6% CO2 emissions avoided through waste recovery compared to 2019
- -5.6% CO2 scope 2 emissions compared to 2019
- repowering and redevelopment works on the hydroelectric plants of Chiomonte and Susa
- investments in renewable and photovoltaic sources
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Reduction of emissions:
- 43% CO2 emissions avoided through waste recovery by 2025 compared to 2019
- -35% of CO2 scope 2 emissions by 2025 compared to 2019
- -4% carbon intensity of energy production plants by 2025 compared to 2019
- investments in mini hydro, photovoltaic and renewable sources sectors and renewal of existing concessions
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Increase in heat accumulation volumes:
- 16,600 cubic metres of accumulation
- systems launch of authorisation procedure for new accumulation systems
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Increase in heat accumulation volumes:
- 26,000 cubic metres of heat accumulation capacity by 2025
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Energy efficiency:
- +1% TOE saved compared to 2019
- over 71,000 TOE saved by Iren Plus and Iren Smart Solutions products/services
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Energy efficiency:
- +27% TOE saved by 2025 compared to 2019
- more than 208,000 TOE saved by Iren Plus and Iren Smart Solutions products/services by 2025
- additional flexibility of heating systems to guarantee greater efficiency and respond to future challenges of the electricity market
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Circular economy: management, sorted waste collection and reuse of waste
| Actions carried out in 2020 |
Future objectives |
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Sorted waste collection and reduction:
- growth in sorted waste collection to 69.3%
- design of 3 new collection centres (PR and RE)
- extension of home collection with eco-islands for about 25,000 residents
- expansion of “pay-as-you-throw” collection systems for waste management services to 3 municipalities (Quattro Castella, Ameglia, Luni)
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Sorted waste collection:
- growth in sorted waste collection to 73.6% by 20253 new collection centres (provinces of PR and RE) by 2021
- extension of home collection with eco-islands for about 140,000 residents
- expansion of “pay-as-you-throw” collection systems for waste management services to 9 municipalities (provinces of Parma, Piacenza, Reggio Emilia and La Spezia) by 2021
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Increase in waste recovery:
- 492,000 tons of waste to be recovered in Group plants
- authorisation of 3 plants for the treatment of organic waste with biomethane production (Reggio Emilia, Santhià and Cairo Montenotte)
- start of construction works on the paper and plastic treatment and recovery plant at Borgaro and PAI in Parma
- request for a permit to build an MBT in Genoa
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Increase in waste recovery:
- 1,630,000 tons of waste to be recovered in Group plants by 2025
- construction works on 3 treatment plants for organic waste with production of 35 million m3 of biomethane by 2025 (Reggio Emilia, Santhià and Cairo Montenotte)
- construction works on the paper and plastic treatment and recovery plants at Borgaro and PAI in Parma
- Genoa MBT construction
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Innovation and smart cities | Resilient cities
| Actions carried out in 2020 |
Future objectives |
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+1.9% of district heated volumes compared to 2019
Completion of the work on the district heating network and Turin waste-to-energy plant for connection to the Grugliasco network
Extension and development of the district heating network in Turin and Piacenza
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+16% of heated volumes by 2025 compared to 2019 |
| Go-live of the Just Iren project (digital transformation of the entire waste chain: technical and commercial chain, customer management, planning, design, service and plant management) in Turin |
Go-live of the Just Iren project (digital transformation of the entire waste chain: technical and commercial chain, customer management, planning, design, service and plant management) in the Emilia region by 2021 |
| 19% of eco-friendly vehicles in the Group’s fleet |
35% of eco-vehicles in the Group’s fleet by 2025 |
| 8.4% of green electricity sold on the total sold to end customers |
25% of green electricity sold on the total sold to end customers by 2025 |
Efficient and reliable services | Resilient cities
| Actions carried out in 2020 |
Future objectives |
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Improvement of the security level of the gas network:
- inspection of 98.8% of the entire gas network
- commissioning of 13.66 km of network for the renovation of obsolete sections
- search for leaks and replacement of electronic meters
- 98.7% of emergency calls with on-site arrival times within 60 minutes
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Improvement of the security level of the gas network:
- 100% inspection of the entire gas network under management
- upgrading of the gas network to replace the most obsolete sections (cast iron and steel pipelines)
- continuation of searches for leaks and replacement of electronic meters
- maintenance of levels achieved on % of emergency calls with on-site arrival time within 60 minutes
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Responsible management of business segments
| Actions carried out in 2020 |
Future objectives |
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Reduction of impacts of electricity substations:
- verification of electromagnetic fields (EMF) on new or reconditioned substationssafety measures for EMFs at electricity distribution plants
- 41 new and 59 reconditioned substations and about 100 safety checks
- decommissioning and disposal of 16 pieces of equipment containing PCB-contaminated oil
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Reduction of impacts of electricity substations:
- prosecution of the design and construction of the new MV/LV substations and EMF safety checks
- decommissioning and disposal of additional equipment containing PCB/PCT-contaminated oil
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Implementation of the QSA certified system:
- QSA certification for ReCos, Acam Acque and Acam Ambiente
- integration of the documentation of the Certified Systems of Iren Mercato and Iren Ambiente by extension of the perimeter
- ISO 9001 certification for Iren Energia with extension to the Turbigo and Tusciano plants
- renewal of certifications and transition to ISO 45001 for Group companies
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Implementation of the environmental organisational model:
- ISO 45001 certification for Iren Energia and Iren Smart Solutions
- extension of Iren Ambiente’s ISO 14001 and 45001 certifications to AMA, Gheo Suolo e Ambiente and Sereco plants
- acquisition and maintenance of EMAS registrations for the Gheo Suolo e Ambiente and Sereco plants
- drafting and publication of Group procedures relating to the monitoring and control of environmental compliance and environmental emergency management
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Customers and Communities
Service levels, offered customer focus and changes in customer expectations | Internal and external communication
| Actions carried out in 2020 |
Future objectives |
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Optimisation of market position:
- +3.4% retail customers compared to 2019
- national television, digital and newspaper campaigns on new offers
- consolidation of the social media project and new campaigns to support the sale of commodities, Iren Plus and IrenGO products
- digital events dedicated to electric mobility, energy efficiency and regulatory aspects related to the 110% bonus
- consolidation of partnerships for the scooter (Turin) and electric scooter sharing service (Rome)
- evolution of IrenGO App for expansion of public recharging points
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Optimisation of market position:
- +32% retail customers by 2025 compared to 2019
- minimise churn rate, increase the sale of extra-commodity and e-mobility products and services in areas of traditional presence
- strengthen brand awareness in the commodity and extra-commodity segments throughout Italy
- promote the brand and range through digital events and communication campaigns
- strengthen and expand IrenGO’s presence in the traditional areas involved in sustainable mobility projects
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Expansion of channels:
- restyling and opening of new exhibition corners
- restyling of the exhibition spaces in Sanremo and new space at Green Pea (Turin)
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Expansion of channels:
- development of new sales channels
- restyling and modernisation of Iren spaces
- replacement of physical touchpoints in Iren spaces and stores
- new stores dedicated to commodity offers
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Digital evolution of the customer experience:
- continuation of the data lake marketing project, with advanced analytics to support marketing and business analysis activities
- strengthening of digital services with the new IrenYou and IrenPay Apps
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Digital evolution of the customer experience:
- conclusion of the data lake project for an improved level of service, optimisation of management costs and monitoring of key indicators in real time
- creation of “customer journey” to interact with customers with the most suitable proposals and channels
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Improving the customer experience:
- optimization of customer management processes through dedicated structures and a team for continuous training of operators, monitoring and control of service levels
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Improving the customer experience:
- involvement of the customer in the different phases of the commercial relationship with targeted and bidirectional communications
- improvement of contact management performance and waiting times
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Loyalty programmes:
- enrichment of the portfolio of agreements, benefits and rewards for customers of the IrenConTe
- loyalty programmemonitoring of the service levels through videos on digital channels
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Loyalty programmes:
- launch of the new Be Iren loyalty programme and development of content for customer engagement
- voucher caring to personalize the customer experience in the choice of prize
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Development of the range of products and services:
- differentiation of supply by local areas
- “Iren Plus” offer (Superbonus energy efficiency)
- light mobility offer with incentive formulas
- sale of e-bikes and scooters with state bonus
- long-term lease of electric vehicles for domestic and corporate customers
- expansion of the network of agents for the sale of Iren Plus products
- launch of the payment order service for Iren customers and enablement of payments for water service customers
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Development of the range of products and services:
- expansion of range with new products/services offered through partnerships
- 110% Superbonus offer and 65% and 50% Ecobonus for the whole range of Iren Green Plus products (thermal coat)
- ad hoc offers for new areas growth in payment order service operations
- customer information service for better management of energy expenditure and optimisation of financial flows
- continuation of the digitalisation and personalisation of products and services and strengthening of brand reputation also in the digital payments sector
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E-mobility services:
- partnership for the construction and maintenance of the recharging units in Turin and Parma and launch of the authorisation procedures for the installation in Genoa and La Spezia
- consolidation of the range of recharging infrastructures and light mobility vehicles for companies
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E-mobility services:
- completion of the network of recharging units in Turin and start of installations in Genoa and La Spezia
- market analysis and segmentation to better target electric mobility service offerings
- commercial launch of the mobile App
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Sustainable management of the supply chain
| Actions carried out in 2020 |
Future objectives |
| Implementation of the Procurement Portal: definition of the project for the creation of the e-catalogue |
Implementation of the Procurement Portal: re-engineering of the Supplier Register |
| 38% of suppliers on the Group Register involved in the annual survey on sustainability and business ethics profiles |
Growing involvement of suppliers on the Group’s Register in the annual survey on sustainability and business ethics profiles |
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Supplier monitoring:
- vendor remediation through the cancellation of longstanding inactive suppliers even after reminders
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Supplier monitoring:
- assessment of supplier suitability with regard to Group standards (balance sheet indices, quality of tender proposals, performance ratings) and possible exclusion of suppliers that do not meet the required standards
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Environmental education
| Actions carried out in 2020 |
Future objectives |
| Strengthening networks in the local areas to provide educational responses adapted to the Covid-19 emergency |
Overall redefinition of the Eduiren offer for schools, families and citizens |
| Design of educational offers 0-99 years old on sustainability topics accessible via web |
Reorganization of the use and narration of the Group’s plants both online and with visits |
Development of local communities | Dialogue with Public Authorities | Internal and external communication
| Actions carried out in 2020 |
Future objectives |
| Growth in participatory planning with stakeholders for the sustainability of local areas: 12 projects carried out by the 5 Iren Local Committees |
Development of new participatory planning with stakeholders for the sustainability of the local areas |
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Dissemination of Irencollabora.it platform: 1,780 profiles registered on Irencollabora.it, +17% compared to 2019, thanks to the initiatives carried out in 2020
Restructuring of Irencollabora.it platform to facilitate participatory planning with local communities
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New initiatives for the dissemination of the Irencollabora.it platform as a participatory planning tool |
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Integration of sustainability objectives and targets in the Business Plan to 2025 presented in 2020
Regional roadshow (in streaming) for the presentation of the Business Plan
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Updating of the integrated Strategic Plan |
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Streaming presentation of the study “The value of the multicircle economy for the development of the country”, carried out by The European House Ambrosetti on the model developed by Iren Group and its impact on the local areas
Events, information and awareness-raising campaigns aimed at residents on: correct disposal of disposable gloves and masks, correct waste collection and fight against illegal waste dumping, circular economy, waste collection services and new collection centres, saving and conscious use of water resources, energy saving and urban redevelopment
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Strengthening of communication and information channels addressed to residents in the perspective of multicircle economy
Consolidation of communications relating to the Group’s plant assets serving communities
Continuation and strengthening of communication related to extensions or new environmental programmes, with particular attention to the start-up of new circular economy plants
Group events in the local areas and their development also in response to regional needs
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People
Occupational health and safety
| Actions carried out in 2020 |
Future objectives |
| Establishment of working groups to monitor cross-cutting topics (PPE, G.AM.MA. application development, surveillance, chemicals, operational controls) |
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| Computerisation of the safety system: development of the G.AM.MA. application for the management of the safety and health of every Group employee through the implementation of training requirements and mobile accessibility |
Computerisation of the safety system: development of the G.AM.MA. application for the computerised management of accidents |
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Improving business monitoring:
- issue of Group procedures for the uniform management of operational controls
- revision of DUVRI management procedures and updating of Group accident procedures
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Improving business monitoring:
- regular meetings with lines and companies
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Employment, development of human resources and welfare | Industrial Relations | Diversity and inclusion
| Actions carried out in 2020 |
Future objectives |
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Gender diversity:
- +62% hours of training aimed at female staff compared to 2019
- 22.8% female executives and managers
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Gender diversity:
- further increase in training hours for female staff
- increase in the % of female hires (>23% by 2021)
- 25% female executives and managers by 2025
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| Continuation of demographic rebalancing: exit incentive of employees who have accrued the right to a “Q100” pension in 2020, and new recruitment of young people (mainly under 35) |
Continuation of demographic rebalancing: implementation of the plan to encourage the exit of employees who have accrued the right to a “Q100” pension in 2021, and new recruitment of young people (mainly under 35) |
| Smart working: extension to 3,166 employees (also in response to the Covid-19 health emergency) |
Smart working: consolidation of the number of resources to which the smart work option is offered on a permanent basis (70% of non-operational staff) and signing of a new trade union agreement |
| Launch of the integrated platform for organisational, management, selection and performance processes |
Implementation of development and compensation processes in the integrated platform |
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Development and enhancement of skills:
- completion of the new skills assessment system through mapping of “core” knowledge and skills in all company sectors, association of skills/role/resource and start of assessments (over 6,300 assessed)
- +29.6% hours of training per capita within the traditional boundary compared to 2019
- 88% of staff involved in training activities
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Development and enhancement of skills:
- definition of individual two-year development plans on core competencies
- +27% hours of training per capita within the traditional boundary by 2025 compared to 2019
- 95% of staff involved in training activities by 2025
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| Leadership development: definition and implementation of Iren Group’s Leadership model and start of the assessment and development of skills for executives and senior managers (121 resources involved) |
Extension of the course on the new leadership model to all company management (350 resources by 2023) |
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Increased uptake of supplementary healthcare (72% of company population by 2021, 90% by 2025) |
