During 2020, Italgas thoroughly executed the policies indicated in its Sustainability Plan, while achieving significant results in the three areas, Environment, Social and Governance. The Economic Value generated by Italgas in 2020 exceeded €2.10bn, an improvement of 3.4% compared to 2019. Of this Economic Value generated, €1.56bn were distributed to stakeholders.
Gas leakage rate at minimum levels: 0.1%
In 2020 Italgas Group’s gas leakages amounted to 8.46 million Sm3. The gas leakage rate, calculated as the ratio of natural gas dispersion and gas transported, is therefore at minimum levels, around 0.1%.
Sharp decrease in energy intensity: -5.4%
Compared to 2019, the Italgas Group’s energy intensity, calculated as the ratio of total energy consumption and gas transported, decreased by 5.4%. Italgas operations have therefore become even more productive and efficient.
Inspecting over 95% of the network of Italgas Reti
In 2020, Italgas succeeded in inspecting more than 95% of the pipelines of Italgas Reti and almost 92% of the pipelines of Toscana Energia, detecting any leaking gas emissions through the Picarro Surveyor. Since 2018, Italgas has been using this technology, which represents the state-of-the-art in network monitoring and allows for a significant reduction in leakages. On an annual basis, the percentage of inspected networks over the total is thus higher than the standards set by the Regulator.
Investments in digitalization that support operations
Italgas continued its investments aimed at optimising grid’s management and maintenance, in both the gas and water business.
Progress in Sardinia’s methanization project
On the island, Italgas is building the country’s most advanced grid: a ‘digital native’ network, equipped with integrated sensors and already designed to accommodate fibre-optic cables. With the construction of additional 334km the digital native distribution networks has reached a total of more than 806 km of the around 1,100 km to be constructed overall.
More than 20,000 hours of training on digitization topics
The digital transformation of Italgas, which will make it the first utility in the world with a fully digitalized network, includes reskilling people. All Italgas employees are now provided with at least one mobile device and can work by managing data in very flexible conditions. Such an achievement made it possible to face lockdowns while maintaining a high level of productivity.
The share of women in the workforce increased to 15.1%
Italgas’ commitment to gender equality continues to translate into substantial changes. At the end of 2020, there were 600 women out of a total of 3,985 employees, accounting for 15.1% of the Company’s total workforce (vs. 14.1% in 2019). This is the result of a long-standing effort, as demonstrated by the fact that almost 45% of the 500 young people hired in the last four years in the technical/operational areas (engineering, design, investments, technical offices, and plants) are women.
Staff empowerment and safety focus
Italgas pays great attention to the skill development of its people, especially considering the strong generational change taking place. For this reason, the Company has designed specific paths depending on the technical area and the role of each employee. Safety took center stage in 2020, especially in view of the implications of the ongoing Covid-19 pandemic, with the aim of protecting people’s health to the greatest possible extent.
Presence of sustainability KPIs in CEO and top management remuneration schemes
Both the short-term incentives and the long-term monetary incentives of top management are based on specific sustainability targets. Over time, the weight of ESG objectives in determining incentives has increased. Main KPIs include: the injury frequency index, gas leakage rate, diversity and inclusion, as well as Italgas’ annual inclusion in the most important sustainability indices.
In the Board of Directors, the majority of members are independent
Including the Chairman, today 67% of Directors (six out of a total of nine) qualify as independent both pursuant to the Consolidated Finance Act and the Italian Stock Exchange’s Corporate Governance Code in force from 1 January 2021.
Publication of the first Integrated Annual Report
For the 2020 Financial Year, Italgas prepared the first Integrated Annual Report in its history – a single document that contains the Group’s financial and non-financial results.
An ever more comprehensive Enterprise Risk Management system
ESG and climate change risks have been included in the ERM model, to better reflect the new priorities of the context in which Italgas operates as well as the strategic orientation of the Company.
In 2020, Italgas generated value for €2,106.7mn (+3.94% compared to 2019). Of this, €550.5mn have been kept in Italgas.
The remaining €1,556.3mn were distributed to:
- Suppliers, for products and services purchased
- Employees, in the form of salaries, wages, charges, severance pay and personnel service costs
- Shareholders, as dividends
- The public administration, for direct and indirect taxes and duties
- Lenders, for interest on debt
- The community, mainly as contributions to the health sector in support of the Covid emergency.