Orsted
ESRS disclosure: ESRS S3 \ DR S3-1 \ Paragraph AR 11
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- Provide a detailed account of the methods and channels used to communicate your policies to relevant individuals, groups, or entities. This includes those expected to implement the policies, such as employees, contractors, and suppliers, as well as those with a vested interest in their execution, like workers and investors. Include any communication tools utilized, such as flyers, newsletters, dedicated websites, social media, face-to-face interactions, or representatives. Additionally, describe any measures taken to ensure accessibility and comprehension of the policies, such as translations or graphic depictions, and explain how potential barriers to dissemination are identified and addressed.
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Question Id: S3-1_09
To facilitate our ability to address negative impacts on affected communities, we often employ community liaison officers who engage with local stakeholders to gather feedback and address grievances related to our projects, particularly during the planning and execution phases. We use various methods and channels to collect community input, including hosting informational town halls and open forums, telephone lines, emails, and social media as well as designated drop-off boxes in locations to allow residents to submit concerns anonymously.
Additionally, our Whistleblower Hotline enables individuals in affected communities to report any inappropriate or illegal conduct confidentially.
Report Date: 4Q2024Relevance: 50%
- Identify and disclose any material risks and opportunities that arise from impacts and dependencies on affected communities, specifying which of these pertain to particular groups within those communities, as opposed to the broader community, in accordance with ESRS 2 SBM-3.
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Question Id: S3.SBM-3_08
We have identified three key material financial risks in our operations that arise from our interactions with and dependencies on affected communities. First, local community resistance to renewable energy projects – if not proactively addressed – may lead to delays in project timelines, increased costs from operational disruptions, potential legal costs from community lawsuits, and political or reputational risks. This risk is especially significant for communities in industrialised or rural areas that depend on the same natural resources, such as land or water, or infrastructure that our operations may impact. For instance, for wind or solar projects, disputes over reduced access to land or sea space or environmental concerns, including biodiversity impacts, can hinder progress. Second, increasing requirements for local content and social impact in tender processes present a risk, as meeting these expectations requires significant engagement and resources to ensure local communities benefit from our projects. Third, securing the free, prior, and informed consent (FPIC) of Indigenous communities presents a risk, particularly in regions like the US and Australia, where Indigenous Peoples maintain strong cultural and ownership ties to their lands. Failure to ensure consent through an adequate FPIC process – due to insufficient engagement by authorities, business partners, or previous stakeholders – can result in project delays, added costs, and strained relationships that may limit future opportunities in these areas.
Report Date: 4Q2024Relevance: 90%