Corporate Transparency Wins Award for Pirelli
Pirelli has been recognized as a leader on the “Climate Disclosure Leadership Index Italy 2014” (CDLI), an index which evaluates the completeness of a company’s strategy against climate change and the transparency of its communication to stakeholders. Pirelli scored 99/100. They are a leader in the completeness of their strategy in the fight against climae change, and transparency in communication.
The result was announced today in Milan during the presentation of the CDP Italy 100 Climate Change Report 2014, prepared by SDA-Bocconi with the support of IMQ, and focused on the ways in which the 100 biggest listed Italian companies face and manage climate change. Pirelli’s commitment to investors and stakeholders in the challenging area of climate change can be seen in its integration of environmental sustainability targets – both for products and processes – into the Group’s Industrial Plan. Pirelli has set itself the goal of reducing rolling resistance by 40% for its car tires, by 20% in the truck segment and by 10% in motorcycles by 2020 compared with 2007. By the same deadline, 2020, Pirelli plans to reduce specific CO2 emissions by 15% and the specific consumption of energy in its factories by 18% compared with 2009.
Pirelli has also taken special care to reuse production scraps and used tyres. The disposal protocol calls for recycling used F1 tires, which will be used to generate new raw material for other tires or generate power. This is particularly important, because, according to the Rubber Manufacturers Association, improperly handled scrap tires can be a threat to the environment. Tires exposed to the elements can hold water and be a breeding space for mosquitoes that carry disease. Tire piles can be set on fire through arson or accident. These fires are difficult to put out, and produce heavy smoke and toxic run off to waterways. Tire piles can also harbor other vermin, such as rats and snakes.
Pirelli’s main global commitments in the area of Climate Change includes CDP Supply Chain, a program which in 2014 involved over 120 strategic suppliers in the quantification of benefits in financial, reputational and risk management terms stemming from the correct management of its CO2 emissions.
Pirelli has further underwritten, in the context of the Prince of Wales’s Corporate Leaders Group, the “Trillion Ton Communiqué”, a program-document for the reduction of global emissions with the aim of keeping the earth’s temperature rise within a 2° C limit. Pirelli also subscribed to “Road to Paris 2015”, an international initiative which aims to promote the cooperation between the public and private sectors in order to find shared solutions and policies to deal with climate change. The initiative resulted in Pirelli’s signing of the international agreement on climate change (“Paris Declaration”) which will be underwritten during the next worldwide meeting of the UNFCCC which will take place in the French capital in 2015.
CDP is an international, not-for-profit organization providing the only global system for companies and cities to measure, disclose, manage and share vital environmental information. CDP works with market forces, including 767 institutional investors with assets of US$92 trillion, to motivate companies to disclose their impacts on the environment and natural resources and take action to reduce them. CDP now holds the largest collection globally of primary climate change, water and forest risk commodities information and puts these insights at the heart of strategic business, investment and policy decisions. For more information www.cdp.net.