Metinvest Group, an international vertically integrated group of mining and metallurgical companies (hereinafter – “Metinvest”, “Group” or “Metinvest Group”), has published the Sustainable Development Report for 2019 in accordance with international standards of non-financial reporting and the best global transparency practices and accountability.
The Group’s seventh report was published in Ukrainian and English. Starting with the 2019 report, Metinvest will publish sustainability reports annually, not every two years, as it used to be. The document demonstrates the Group’s progress in achieving sustainable development goals and reveals plans for the future.
Sustainable Development Report – 2019
The report was prepared on the basis of the international non-financial reporting standard GRI (Global Reporting Initiative), as well as taking into account the recommendations of the Council for Sustainable Development Accounting Standards (Sustainability Accounting Standards Board). Every year Metinvest strives to improve the quality of the report and expand the quantity and depth of what is disclosed, providing stakeholders with the most complete and up-to-date information about the Group’s performance in the field of sustainable development, as well as its economic, social and environmental impact.
contributing to the achievement of the UN Sustainable Development Goals
Metinvest Group is a member of the UN Global Compact and contributes to the achievement of the UN Sustainable Development Goals. In 2019, Metinvest continued to implement the best HR practices and health and safety standards, create a sustainable infrastructure in the cities of presence, improve operational efficiency, and modernize equipment in accordance with the requirements of high environmental standards. These tasks are aimed at achieving the priority goals of sustainable development of the Group.
Effective corporate governance
Metinvest strives to make its business even more open and transparent for its stakeholders. The Group continues to work to improve its sustainable corporate governance system.
Sustainalytics praised the Group’s corporate governance and business ethics standards when conducting a comprehensive assessment of the performance in the field of environment, social policy and corporate governance (ESG). In addition, the agency noted the successes of Metinvest in the field of human capital management, labor protection and industrial safety, as well as in interaction with local communities. In the ESG rating, Metinvest was ranked ninth among 140 global steel companies at the time of the assessment.
Last year Metinvest increased spending on environmental protection by USD 384 million, which is 46% more than in 2018. Environmental modernization projects at the enterprises in Mariupol, Kryvyi Rih and Zaporozhye have resulted in lower emissions, increased energy efficiency and more rational use of resources, in line with the Group’s desire to support the fight against global climate change.
In particular, in 2019, Metinvest’s enterprises reduced their greenhouse gas (CO2) emissions by 10% compared to 2018 by 9% and 10%, respectively, and by 22% improved energy efficiency.
Occupational Health and Safety
in 2019 Metinvest invested USD 102 million in a health and safety initiative. The Group has developed and implemented a new five-year roadmap to further improve the health and safety management system and achieve the main goal of zero injuries. The first results of such initiatives are quite convincing: in 2019 Metinvest achieved the lowest injury rate in the history of the Group – 0.790. In addition, the Group was the first among Ukrainian companies to receive the prestigious international certificate in the field of occupational safety and health Vision Zero (“Zero Injury”).
In addition to ensuring safe working conditions, employee training and development remains an important part of the HR strategy, as people are the Group’s top priority. In 2019, Metinvest invested about USD 6 million in this area.
In addition ensuring a safe working environment, training and development of employees remains an important part of the personnel management strategy, because people are the main priority Groups. In 2019 Metinvest invested about USD 6 million in this area.
To increase the attractiveness of professions in metallurgy and mining among young people, the Group has expanded its cooperation with specialized universities and provided an internship program at its enterprises to almost three thousand students.
development of cities of presence
Metinvest systematically invests in the development of