Orsted
ESRS disclosure: ESRS S3 \ DR S3-4
Tags Tree
- Provide a detailed account of the actions your organization has taken, plans to take, or is currently undertaking to prevent or mitigate material negative impacts on affected communities. Include approaches to managing material risks and pursuing material opportunities related to these communities, as well as the effectiveness of these actions.
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Question Id: S3-4_01
Overall, our 'Code of conduct for business partners' and policies on human rights and stakeholder engagement describe our approach to:
- respecting Indigenous Peoples, minorities, and other vulnerable groups in line with international law and standards as described in the UN Declaration on the Rights of Indigenous Peoples, including the principles of FPIC
- respecting land rights of legitimate tenure rights holders as set out in the UN Voluntary Guidelines on the Responsible Governance of Tenure of Land, Fisheries and Forests
- ensuring the safety and protection of defenders of human rights, the environment, or Indigenous Peoples
- mandating that our business partners take measures to protect environmental and human rights defenders and other interested parties who lawfully exercise their freedom of speech.
We engage in early and ongoing dialogue with local communities and Indigenous Peoples by hosting e.g. consultation sessions, attending community meetings, and conducting surveys. This approach helps us gather insights to better understand their external perspectives on our projects and the local impacts. We aim to build an approach based on transparent communication, co-creation of mitigation measures, and on ensuring that feedback is integrated into project planning and execution.
Through our policies, we commit to provide and enable remedies for potential human rights impacts by implementing accessible grievance mechanisms that allow affected individuals and communities to report concerns or violations, ensuring these channels are user-friendly, confidential, and culturally appropriate. Upon receiving a grievance, we must promptly investigate the issue and engage with the affected parties to gather information and consider their perspectives.
If human rights impacts are identified, we strive to take immediate action and provide appropriate remedies, which may include compensation, restoration of rights, or preventive measures. We also invest in training of our employees and business partners to raise awareness of human rights issues, e.g. related to bullying and discrimination.
Report Date: 4Q2024Relevance: 90%
- Has the undertaking taken action to provide or enable a remedy concerning an actual material impact on affected communities? If so, describe the actions taken and their effectiveness.
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Question Id: S3-4_02
Our approach to managing our negative impacts on affected communities and our processes for identifying what is needed and appropriate to respond to these impacts help us to avoid, mitigate, and remedy negative impacts while creating lasting positive impacts for these communities.
To effectively remediate material negative impacts, including those that may affect Indigenous rights or disrupt local livelihoods within our value chain or operations, we engage directly with impacted communities, listen to their concerns, and provide appropriate remedies to support their well-being and resilience. We continuously work to strengthen our processes for providing or contributing to appropriate remediation to affected communities where we have identified that we have caused or contributed to a negative impact.
We work closely with materially affected communities to monitor issues raised and addressed while also assessing the effectiveness of these grievance channels. We currently assess the effectiveness of our mechanisms and communication channels through our ongoing dialogue with local stakeholders.
Report Date: 4Q2024Relevance: 85%
- What additional actions or initiatives does your company have in place with the primary purpose of delivering positive impacts for affected communities, in accordance with Disclosure Requirement S3-4, which addresses taking action on material impacts, managing material risks, and pursuing material opportunities related to affected communities?
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Question Id: S3-4_03
Local people and businesses have a vital role to play in the growth of the renewable energy industry. In the US, we developed a workforce development programme that has provided 335 union workers in New York, Rhode Island, and Connecticut with the credentials necessary to work offshore.
The training programme finalised in 2024 and was delivered in part at the National Offshore Wind Training Center (NOWTC), to which we have committed to give a USD 10 million founding grant. The programme includes a three-part medical evaluation, helicopter underwater escape training, and Global Wind Organisation Basic Safety Training, each of which are critical for workers to safely carry out work in the offshore environment.
Providing worker safety training is part of Ørsted’s first-of-its-kind National Offshore Wind Agreement with North America’s Building Trades Unions, and the programme shows our ongoing efforts to equip local workers with key skills to pursue careers in New York’s growing offshore wind industry.
Community benefit funds To create a positive impact in local communities, we support initiatives that generate local employment, provide educational opportunities, and drive enhancements to public infrastructure.
Report Date: 4Q2024Relevance: 85%
- Provide a detailed account of the methods employed to track and assess the effectiveness of actions and initiatives aimed at delivering intended outcomes for affected communities, in accordance with Disclosure Requirement S3-4 concerning material impacts, risk management, and opportunity pursuit related to affected communities.
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Question Id: S3-4_04
We work closely with materially affected communities to monitor issues raised and addressed while also assessing the effectiveness of these grievance channels. We currently assess the effectiveness of our mechanisms and communication channels through our ongoing dialogue with local stakeholders.
We want to further improve our processes of assessing the effectiveness of these efforts and are working to establish a global methodology for aggregating community feedback and grievance management. This will allow us to systematically track and monitor the effectiveness of our efforts. Specifically, we aim to implement a standardised process for receiving, addressing, resolving, and providing remedies to affected communities when necessary. We plan to pilot a grievance reporting channel for a select supplier to collect workers’ grievances via a digital solution by 2025.
Report Date: 4Q2024Relevance: 85%
- Provide a detailed description of the processes your organization employs to determine necessary and appropriate actions in response to specific actual or potential material negative impacts on affected communities.
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Question Id: S3-4_05
Our approach to managing our negative impacts on affected communities and our processes for identifying what is needed and appropriate to respond to these impacts help us to avoid, mitigate, and remedy negative impacts while creating lasting positive impacts for these communities.
To effectively remediate material negative impacts, including those that may affect Indigenous rights or disrupt local livelihoods within our value chain or operations, we engage directly with impacted communities, listen to their concerns, and provide appropriate remedies to support their well-being and resilience. We continuously work to strengthen our processes for providing or contributing to appropriate remediation to affected communities where we have identified that we have caused or contributed to a negative impact.
Report Date: 4Q2024Relevance: 80%
- Provide a comprehensive description of your approach to addressing specific material negative impacts on affected communities. Include details on actions related to your practices in land acquisition, planning, construction, operation, or closure. Additionally, indicate whether broader industry collaboration or joint efforts with other relevant parties are necessary.
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Question Id: S3-4_06
In 2024, we laid the foundation for many of the initiatives currently in progress for managing our negative impact and risks associated with failing to respect Indigenous Peoples’ rights and ensuring FPIC in our own operations. We began by developing a global guidance for social and human rights impact assessments, which will allow us to proactively manage these risks and impacts before the construction of new projects.
Furthermore, we finalised our internal guidelines for free, prior, and informed consent (FPIC), a framework designed to ensure respectful and transparent engagement with Indigenous communities. These guidelines guarantee that we secure consent from Indigenous communities before initiating projects that might impact their lands or cultural heritage.
Going forward, we will be conducting specific assessments on how projects might affect Indigenous communities. This will involve engaging with these communities early in the planning phase to ensure that their needs and concerns are adequately addressed.
Report Date: 4Q2024Relevance: 85%
- Provide a detailed description of the measures your organization has implemented to ensure that processes are in place to provide or enable remedies in the event of material negative impacts on affected communities. Include an evaluation of the availability and effectiveness of these processes in their implementation and outcomes.
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Question Id: S3-4_07
We work closely with materially affected communities to monitor issues raised and addressed while also assessing the effectiveness of these grievance channels. We currently assess the effectiveness of our mechanisms and communication channels through our ongoing dialogue with local stakeholders.
We want to further improve our processes of assessing the effectiveness of these efforts and are working to establish a global methodology for aggregating community feedback and grievance management. This will allow us to systematically track and monitor the effectiveness of our efforts. Specifically, we aim to implement a standardised process for receiving, addressing, resolving, and providing remedies to affected communities when necessary. We plan to pilot a grievance reporting channel for a select supplier to collect workers’ grievances via a digital solution by 2025.
Report Date: 4Q2024Relevance: 80%
- Provide a detailed account of the actions currently planned or being implemented to mitigate material risks associated with your company's impacts and dependencies on affected communities. Additionally, elucidate the methods employed to monitor and evaluate the effectiveness of these actions in practice.
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Question Id: S3-4_08
In 2024, we laid the foundation for many of the initiatives currently in progress for managing our negative impact and risks associated with failing to respect Indigenous Peoples’ rights and ensuring FPIC in our own operations. We began by developing a global guidance for social and human rights impact assessments, which will allow us to proactively manage these risks and impacts before the construction of new projects.
Furthermore, we finalised our internal guidelines for free, prior, and informed consent (FPIC), a framework designed to ensure respectful and transparent engagement with Indigenous communities. These guidelines guarantee that we secure consent from Indigenous communities before initiating projects that might impact their lands or cultural heritage.
Going forward, we will be conducting specific assessments on how projects might affect Indigenous communities. This will involve engaging with these communities early in the planning phase to ensure that their needs and concerns are adequately addressed.
Report Date: 4Q2024Relevance: 85%
- What actions are currently planned or in progress to pursue material opportunities concerning affected communities?
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Question Id: S3-4_09
In 2024, we laid the foundation for many of the initiatives currently in progress for managing our negative impact and risks associated with failing to respect Indigenous Peoples’ rights and ensuring FPIC in our own operations. We began by developing a global guidance for social and human rights impact assessments, which will allow us to proactively manage these risks and impacts before the construction of new projects.
Furthermore, we finalised our internal guidelines for free, prior, and informed consent (FPIC), a framework designed to ensure respectful and transparent engagement with Indigenous communities. These guidelines guarantee that we secure consent from Indigenous communities before initiating projects that might impact their lands or cultural heritage.
Going forward, we will be conducting specific assessments on how projects might affect Indigenous communities. This will involve engaging with these communities early in the planning phase to ensure that their needs and concerns are adequately addressed.
Report Date: 4Q2024Relevance: 85%
- Does the undertaking disclose whether and how it ensures that its own practices do not cause or contribute to material negative impacts on affected communities? This includes detailing actions taken to avoid such impacts, particularly in areas such as planning, land acquisition, exploitation, finance, extraction or production of raw materials, use of natural resources, and management of environmental impacts. Additionally, does the disclosure address the approach taken when tensions arise between preventing or mitigating material negative impacts and other business pressures?
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Question Id: S3-4_10
In 2024, we laid the foundation for many of the initiatives currently in progress for managing our negative impact and risks associated with failing to respect Indigenous Peoples’ rights and ensuring FPIC in our own operations. We began by developing a global guidance for social and human rights impact assessments, which will allow us to proactively manage these risks and impacts before the construction of new projects.
Furthermore, we finalised our internal guidelines for free, prior, and informed consent (FPIC), a framework designed to ensure respectful and transparent engagement with Indigenous communities. These guidelines guarantee that we secure consent from Indigenous communities before initiating projects that might impact their lands or cultural heritage.
Going forward, we will be conducting specific assessments on how projects might affect Indigenous communities. This will involve engaging with these communities early in the planning phase to ensure that their needs and concerns are adequately addressed.
Report Date: 4Q2024Relevance: 85%