The results of the materiality exercise allowed defining the most relevant issues for our organization’s management.
No. | Subject | Description |
1 | Energy transition and low-carbon development | Prioritization of investments in projects for generation using renewable and non-conventional renewable energy sources, and the development of strategies and initiatives that contribute to accelerating energy transition and low carbon development. |
2 | Shared Prosperity | Building conditions of well-being, progress and economic development in the communities of GEB and its subsidiaries’ areas of operations through the operations, infrastructure and services provided and the social investment programs implemented. |
3 | Environmental Performance | Define and implement strategies to protect biodiversity and prevent, mitigate and correct and/or offset environmental impacts caused by the activities of GEB and its subsidiaries. Additionally, it includes the efficient and responsible use of materials and natural resources, and managing energy, water, waste and air quality with a circular focus, framed in the context of the Group's activities. |
4 | Innovation and digital transformation | Digital transformation and innovation management, including the implementation of new technologies to create or enhance the organization’s products, services or processes. |
5 | Economic Performance | Economic performance, financial stability and sustainable growth. |
6 | Operational excellence and service quality | Managing the operation and assets to ensure the availability, continuity and quality of service. |
7 | Risk Management | Integrated risk management, including processes to identify and assess risks, and to respond to emerging risks and crises (includes management of COVID-19). |
8 | Ethics and Transparency | Encourage integrity and ethical and transparent behavior in the organization to strengthen the trust of all stakeholders. Includes regulatory compliance with applicable law in the countries where the Group operates. |
9 | Climate Change | Identifying, assessing and managing risks and opportunities caused by climate change and implementing strategies that contribute to adaptation and mitigation. |
10 | Corporate Governance | Implementing mechanisms for decision-making that generate profitability, competitiveness, transparency, trust and sustainability for all the Group’s companies, through a robust Corporate governance. |
11 | Occupational safety, health and well-being | Managing employee and contractor safety and health, including prevention of injuries and illnesses caused by work conditions, as well as promoting the well-being of the employees. |
12 | Human resource management | Managing company employees, including attraction and retention of talent, and training and development processes. |
13 | Responsible supply chain management | Responsible supply chain management, relations and training of suppliers and contractors, including registration, categorization, assessment, selection and qualification of suppliers and contractors. |
14 | Customer experience
| Managing customers with the purpose of ensuring their satisfaction and high levels of service. |
15 | Cybersecurity and information security | Proper management and handling of information security, prevention of cyber-attacks, privacy protection and confidentiality of stakeholder data. |
16 | Human Rights | Fulfillment of commitments and implementation of mechanisms to care for, prevent, mitigate and protect the Human Rights of GEB's stakeholders and value chain. Includes the management of diversity and inclusion. |
17 | Brand protection and reputation | Implementing activities geared to protect the brand value and managing risks to the reputation. |
Material issues for creating business value
Of the identified material issues, innovation and digital transformation; well-being and occupational health and safety; and climate change can have a high impact on GEB's business and the generation of long-term value. These three topics are integral to our corporate strategy and act as catalysts in achieving our higher purpose and vision for 2030.
Innovation and digital transformation | Occupational health, safety and well-being | Climate change |
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Impact on costs | Impact on costs | Impact on risks |
Innovation and digital transformation | Occupational safety, health and well-being | Climate change |
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Innovation and digital transformation | Occupational safety, health and well-being | Climate change |
By 2025:
| The objective is to realize the "Zero Accidents Vision," beginning with fatal accidents and achieving significant reductions in lost-time work accidents:
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Material Issues for External Stakeholders
In the final quarter of 2021, we updated the materiality analysis, adopting a dual materiality approach. This means considering both the positive and negative impacts issues may have on society, the environment, and the company's long-term value creation, competitiveness, or business continuity.
As a part of the materiality update process, 10 external stakeholders were consulted through surveys, focus groups, and interviews. Each group evaluated GEB's potential material issues based on:
• Significant (both positive and negative) social, environmental, economic, and governance impacts of GEB and its subsidiaries.
• Critical social, environmental, economic, and governance risks/challenges facing GEB and its subsidiaries currently and in the long term.
• Main opportunities (social, environmental, economic, and governance) identified in the context that would amplify the positive impacts of GEB and its subsidiaries.
From this process, two of the most pertinent issues for external stakeholders were identified: "Shared Prosperity" and "Energy Transition and Low Carbon Development".
At its core, shared prosperity pursues the concurrent enhancement of prosperity and societal well-being at a local level, parallel to the growth of the Group.
Impact: positive
Stakeholders: environment, society, consumers or end-users and other stakeholders (supply chain, suppliers, contractors, etc)
Topic relevance on external stakeholders |
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Impact valuation methodology |
The SROI (Social return on investments) methodology is used to measure the impact of the shared prosperity initiatives of Grupo Energía Bogotá.
Methodology:
SROI process:
Impacts assessed: Positive impacts such as changes in household welfare, reduction in academic failure and dropout rates, differential salary, improvement in academic performance, increased marginal land productivity, perception of security, utility of beneficiaries, costs reduction, increase in human capital benefits, reductions in mortality and morbidity, among others, are assessed via the SROI (Social Return on Investment) methodology.
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Impact valuation results | Output | Results |
2022 Figures:
| The SROI allows us to assess the value generated to society for each dollar invested in social prosperity initiatives. In 2022, the Group generated a net social benefit of USD 23,450,915. This translates into an approximate SROI of 2.7. |
The Group's corporate strategy is predicated upon leading the energy transition in its operating territories, thereby creating value for its diverse stakeholders.
Impact: positive
Stakeholders: environment, society, consumers or end-users and other stakeholders (supply chain, suppliers, contractors, etc)
Topic relevance on external stakeholders |
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Impact valuation methodology | Through our own measurements and the Social Progress Index, calculated by Centrum University and Cálidda, we evaluate the impact of natural gas on well-being, health, the environment, and air quality.
The social progress index takes into account three dimensions: basic human needs, fundamentals of well-being and opportunities. 12 components are evaluated: nutrition and health, water and basic sanitation, housing, personal security, access to knowledge, access to information and communications, health and welfare, environmental sustainability, personal rights, personal freedom and choice, tolerance and inclusion, access to higher education. The results are presented on a scale from 0 to 100. | |
Impact valuation results | Output | Results |
Figures from the Subsidiary Cálidda:
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The natural gas supplied by Cálidda in Peru contributes to several benefits:
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