EDF / 2019 Universal registration document

3. Non-financial performance

EDF, a company committed to a just and fair transition

Human rights 3.3.1.1.2

At the Corporate level, the “human rights” aspect is systematically taken into account in screening of projects presented to the Group Commitments Committee, as well as to the International Division’s Commitments Committees, by identifying project risks (local communities, working conditions, security forces, foreign workers). In terms of non-fuel purchases in 2019, within the scope covered by the Group Purchasing Division, 1,700 suppliers with a volume of business of more than €400,000 received a self-assessment questionnaire on themes of corporate responsibility; 815 of them were checked and assessed. In addition, 35 external audits were carried out, with a specific focus on human rights issues; The Group Purchasing Division’s CSR risk mapping was reworked to take account of the feedback from 2018. It now includes a “human rights” risk assessment per purchasing segment. Regarding fuels, the supply of coal is covered by the Bettercoal  (1) code of conduct, that of uranium is the subject of mine audits and that of gas and oil for plants in France’s overseas departments was the subject of human rights risk mapping, as part of the vigilance plan; The “human rights in business” e-learning module developed with the association “Entreprises pour les droits de l’homme” ( i.e. businesses for human rights), of which EDF is a founding member, has been updated to include the duty of care and is available to all employees. This e-learning module was completed by 78 employees in 2019; a second e-learning module targeting the supply chain “human rights” risk, more specifically focused on purchasers, was released at the end of 2019. Performance indicators are monitored at the Group level, based on Cap 2030, via the Health & Safety Policy (LTIR see sections 3.4.1 and 3.3.1.4), CSRG no. 2, social climate analyses (Let’s Talk Energy programme, employee commitment surveys) and supplier relations (evaluations, supplier focus survey). Energy poverty (CSRG no. 3) 3.3.1.1.3 EDF’s commitment EDF’s commitment consists in providing 100% of vulnerable populations with information and support solutions in terms of energy consumption and access to rights (CSRG no. 3). Various problems due to access to energy are complex and keeps intensifying in most developed countries, in terms of the number of households concerned or the severity of the impacts encountered. Vulnerability varies according to geographical location, income, and size and type of accommodation, as well as the type of energy used. The aim of the European Energy Poverty Observatory, set up by the EC, is to collect data, facilitate sharing of good practice, and establish dialogue. In these very different national contexts in regulatory, economic, political, and competitive terms, the EDF group is committed to the fight against energy poverty alongside public and social organisations and associations. In France, the French National Energy Poverty Observatory, of which EDF is a partner, published its indicator  (2) , revealing that 3.3 million households were in a situation of energy poverty. In the United Kingdom, the indicator published by the public authorities  (3) showed the country had 2.5 households in a situation of energy poverty. In Italy, there is currently neither a definition nor an indicator relating to energy poverty. A study financed by the Italian government  (4) published in 2019 proposed an energy poverty measurement methodology. In Belgium, there is no definition of energy poverty. However, the authorities are paying close attention to the issue, and special measures, which vary from region to region, have been taken to support people with a low income. Above all, the Group acts to ensure that an electricity bill is not an additional aggravating factor for its most vulnerable customers and gives priority to supporting them. EDF’s action includes research programmes, innovation and the implementation of practical solutions, consisting of enhanced support for public measures and EDF group-specific actions.

One of the EDF group’s fundamental goals is to endeavour to respect and ensure respect for human rights in all its activities and wherever it operates. Human rights include social components (e.g. labour or health and safety rights), societal aspects (e.g. community rights or safe services), and ethical matters (e.g. respect for people, and the fight against discrimination and corruption). As a consequence, human rights risks are covered in detail in several chapters of the URD, and certain issues examined in this section refer to other sections. EDF promotes international human rights law by recognising the ILO’s fundamental conventions, which guarantee fundamental labour principles and rights, and the fight against discrimination. EDF has been committed to the United Nations Global Compact since 2001 and has published a Communication On Progress (COP) at “Advanced” level every year since 2012. The Group complies with the UN guiding principles on human rights as well as the OECD Guidelines for Multinational Enterprises. Since 2001, EDF has adhered to the UN Global Compact, a programme that requires companies to adopt a socially-responsible attitude. The Group also complies with the Declaration of the Rights of the Child, the Convention on the Elimination of All Forms of Discrimination Against Women, the OECD Convention on Combating Bribery of Foreign Public Officials in International Business Transactions, and the United Nations Convention against Corruption. In 2018, EDF signed a new global agreement on the Group’s corporate social responsibility with two international trade union federations (IndustriAll and ISP) and the EDF group’s own trade unions. This agreement automatically applies to all the Group’s employees and effectively reflects its commitment to “make upholding human rights a prerequisite to all its business activities, and not to tolerate any violation of these rights whatsoever, whether during the course of its business, or by its suppliers, subcontractors and partners”. It confirms that, in the event of conflicting standards with applicable laws in countries in which it operates, the EDF group undertakes to apply the most protective human rights provisions. A collective bargaining agreement was signed in China with the EDF Trade Union Committee elected in China with the aim of improving working conditions and terms of employment, as well as social dialogue. The EDF group and the signatories to the global agreement are committed to promoting all of the legal texts to which the agreement refers amongst its subcontractors and suppliers. By virtue of the ILO conventions, the agreement particularly affirms that the EDF group is committed to: guaranteeing freedom of association and the principles of collective bargaining ■ (Conv. 87 and 98); abolishing forced and compulsory labour (Conv. 29 and 105); ■ prohibiting child labour and the exploitation of children (Conv. 138 and 182); ■ fighting against discrimination (Conv. 100, 111 and 135). ■ In June 2019, EDF’s Chairman signed a call to action urging businesses to respect human rights alongside 35 other CEOs in the CEO Guide to Human Rights published by the World Business Council for Sustainable Development (WBCSD). In this guide, he states: “As a group with strong and global international operations, EDF group has the willingness and the responsibility to preserve human dignity and make offering decent jobs the norm.” The Sustainable Development policy states that the Group endeavours to “make upholding human rights a prerequisite to all its business activities, and not to tolerate any violation of these rights whatsoever, whether during the course of its business, or by its suppliers”. It also states that special attention must be paid to social dialogue and respect for fundamental freedoms, vulnerable groups (children, indigenous peoples), training of security forces and compliance with EDF group commitments by suppliers, sub-contractors and partners, particularly in industrial projects.

(2) French National Energy Poverty Observatory 2019 dashboard (Energy poverty quantification indicators). (3) National Statistics Fuel poverty detailed tables 2019. (4) “The socio-demographic and geographical dimensions of fuel poverty in Italy”, RSE S.p.A and the Ministry of Economic Development. (1) On Bettercoal, see section 3.3.3.2.2 “Responsible purchasing”, uranium and coal supply chain; The Bettercoal code of conduct is available on https://bettercoal.org/.

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EDF | Universal registration document 2019

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