Embedding
Biodiversity into business decisions
December 8, 2020 - Online event
Agenda
CLIMATE
RESOURCES
BETTER LIFE
1. Who we are - Solvay -
2. How biodiversity measurement informed our Sustainability ambition
3. Biodiversity embedded into business decision : the example of
innovation
Biodiversity assessment & Business Decisions - December 2020
Solvay Today
page 3
We are a science company whose technologies bring benefits to many aspects of daily life.
Our innovative solutions contribute to safer, cleaner, and more sustainable products found in homes, food and consumer goods, planes, cars, batteries, smart devices, health care applications, water and air purification systems.
Our Group seeks to create sustainable shared value for all, notably through its Solvay One Planet plan crafted around three pillars: protecting the climate, preserving resources and fostering better life.
Biodiversity assessment & Business Decisions - December 2020 Underlying net
sales
€10.2
bnUnderlying EBITDA
€2.3
bnCountries
64
Sites across the globe
115
Net sales sustainable
solutions
53 % 24,100
Employees
*2019 figures
Biodiversity assessment & Business Decisions - December 2020
Solvay One Planet is part of our Strategy
page 4
HOW WHAT
Our Purpose
We bond people, ideas and elements to reinvent progress
Our Vision
Sustainable shared value
for all
Our Strategy
Solvay One Planet
Sustainability goals
Our Solutions
We align our technologies to customer and societal needs on markets where we are uniquely positioned
to make a difference and a profit at the same time
Automotive & Aerospace Mineral resources & Environment
Healthcare & Consumer Goods Agro, Feed & Food
Electronics Building Industrial applications
Our Organization
and Culture
Our new common operating model helps us work more
efficiently and effectively together
Changing our behaviors to be more “customer-
obsessed”
WHY
G R O W
Growth Resilience Optimization Win
Biodiversity assessment & Business Decisions - December 2020
Biodiversity assessment & Business Decisions - December 2020
2030 Solvay One Planet goals
page 5 Fight against climate crisis
CLIMATE
Embed
circular business
RESOURCES
Improve quality of life
BETTER LIFE
Align greenhouse
gas emissions withParis Agreement
Reduce by 26% (-2%/y)Phase out coal
Achieve 100%
Reduce
negative pressure on biodiversity
30% reductionIncrease Sustainable Solutions revenues
Achieve 65% vs 50%
Increase circularity
Achieve 15% vs 7%
Reduce
non-recoverable industrial waste
30% reductionSafety is a priority
Aim for zero accident
Accelerate Inclusion
& Diversity
Parity in 2035 vs 24%
for mid & senior management
Extend maternity leave time and open it to co-parents
16 weeks regardless of the gender in 2021
Reduce intake of freshwater
25%
reduction
Biodiversity is part our top 10 commitments for sustainable shared value
Key for the functioning of ecosystems and so the basis of Humankind existence
BIODIVERSITY CRISIS
1 Million of species (out of 8) at extinction risk*
Customers(rising expectations - see on the left)
Governments (Intense agenda, see below)
Communities (local stakeholders protection))
Employees (walk the talk - purpose)
Investors(new investment criteria to come)
Corporate Initiatives(CDC Biodiversity, WBCD,...)
A HOT RISING TOPIC
OUR TARGET
OUR ECOSYSTEM
A HIGH POLITICAL AGENDA
OUR PRESSURES
BIOLOGICAL DIVERSITY ALLOWS
*IPBES
Natural regulation (Oceans acidification, Amazon
rainforest, carbon cycle...) Natural risks reduction
CLIMATE RESOURCES BETTER LIFE
Freshwater Food Raw Materials
Pollinisation
Clean Air Better Health Sustainable Living
condition
40%
of the global economy is based on the ecosystem
service*
*United Nations
2019
1/4
of CO2 emissions is absorb by oceans*
*GIEC
50%
of our prescription medicines come from
plant extract / biodiversity*
* World Bank
BIODIVERSITY - DIVERSITY OF LIFE
As example:
*IPBES
To better know local stakes
We performed a risk analysis for all Solvay locations worldwide
Crunching the numbers to ramp up biodiversity protection
To gain expertise
We joined international cross-sectorial, action-oriented business coalitions on biodiversity
To assess our pressures
We provided a reliable status of Solvay’s pressures on biodiversity in the value chain
Joining global initiatives
CDC Biodiversité CSR Europe
Results
- Business Case with CDC Biodiversité
- Training on Global Biodiversity Score
- Global Group footprint
- Breakdown by Business family - Local Risk
matrix - Priorities
identified
Assessing pressures through the value chain Identifying risks at local level,
on site
For all products
Based on Life cycle analysis For all sites
Based on protected areas
Assessing footprint across the
value chain
Biodiversity assessment & Business Decisions - December 2020
The pressure model on biodiversity
• Based on Life Cycle Assessment and Eco Profiles of our products
portfolio
• Providing a reliable status of Solvay’s pressures on biodiversity
PRINCIPLES
Biodiversity assessment & Business Decisions - December 2020
We identified 4 main pressures
• The 4 main pressures represent 90%+
• Breakdown provided by Business
• Then, ability to define and deploy action plan
RESULTS
Internal Assessment based on LCAs of all our Products Portfolio
ESG Webinar 2020
Our new
commitment for
Biodiversity
page 10
Reduce
negative pressure on biodiversity
-30 %
BY 2030
Recognized as smart approach
ACHIEVE
Biodiversity assessment & Business Decisions - December 2020
Biodiversity embedded into business decisions: example of innovation
page 11
Biodiversity assessment & Business Decisions - December 2020
Challenges
Sustainability concern, mitigation plan to be considered
Solutions
Better sustainability contribution to our customers combined with favorable balance between value and environmental impact
(Neutral)
Operationsvulnerability
Very High Risk High Risk Medium
Risk Low Risk Very Low
Risk
Market Alignment
Challenge Exposed Neutral Aligned Star
Their environmental manufacturing footprint and correlated risks and opportunities
Quantitative assessmentby 19 impact indicators
How in their applications they bring benefits or faces challenges from a market perspective
Qualitative assessment by authoritative questions on social and environmental topics
Sustainable Portfolio Management
How does it work?
page 12
Biodiversity assessment & Business Decisions - December 2020
IDEAS
Solvay Innovation Process
SPM in the phase gate project management
OPPORTUNITIES PROJECTS
Develop Ideas to Proof
Concept From Proof of Concept to
Value for Solvay
Screening Incubation
SPM Fast Track
SPM Full
Opportunity Bank Process
M ARKET D RI V EN
Prepare Kickoff Project Kickoff
page 13
