JCDecaux SA (Euronext Paris: DEC), the number one outdoor advertising company worldwide, has unveiled its ESG strategy for the next eight years, ahead of world Environment Day. This aims to support the circular economy, promote outdoor advertising as a catalyst for ecological and social transition and work towards the decarbonisation of the economy and society. This aligns with the French National Low-Carbon Strategy, through the Climate & Resilience law provisions for more sustainable public procurement, the Green Pact for Europe and the United Nations' Sustainable Development Goals (SDG).
Since 1964, JCDecaux has championed a virtuous model to design, install and maintain infrastructure (bus shelters, self-cleaning public toilets, self-service bicycles, etc.) in public spaces and transport areas. These valuable and innovative services are financed by brand advertising. In line with the company’s goal to sustainably improve the quality of life for people wherever they live, work and travel - JCDecaux places social requirements and environmental quality at the heart of its business solutions.
This extended commitment by JCDecaux in favour of the environment and the public interest realises its full potential, at a time when throughout the world, new public orders based around sustainability are accelerators of the ecological transition and our economic recovery.
Jean-Charles Decaux, Chairman of the Executive Board and Co-Chief Executive Officer of JCDecaux, said: “The recognition of our sustainable development approach by extra-financial rating agencies are proof-points of the excellence of our environmental, social and governance practices with JCDecaux included in the Carbon Disclosure Project's (CDP) "A List" and achieving a "Gold" rating from EcoVadis. This underscores the importance that we place upon transparency for all our stakeholders.”
Jean-François Decaux, Co-Chief Executive Officer of JCDecaux, said: “ESG is part of our DNA and is shown through everything we do. Almost 40% of our revenue is eligible under the European Union's Green Taxonomy, which classifies activities according to their contribution to the ecological transition and this reaches 55% if we take into account our activities in Public transport, which though not eligible, nevertheless contributes to the ecological transition.”
The new ESG 2030 strategic roadmap is based on the materiality analysis that began in 2013, the definition of our strategic priorities in 2014 and the prioritisation of the expectations of our stakeholders.
Sustainable development is a key factor in driving the Group’s innovation and competitiveness as shown by the range of public utility furniture and services developed since our earliest days. Our teams are committed to promoting low-impact products and solutions across their lifecycle, embedding eco-design throughout our business. A tool for measuring the environmental footprint of sustainable innovation is underway and will be unveiled by 2025.
With a highly visible presence in public spaces, JCDecaux Media practices and promotes responsible outdoor advertising. With a daily audience of more than 850 million people worldwide, the Group sets the highest standards in Out-of-Home media to promote and display responsible advertising campaigns. We will implement a Code of Ethics for Out-Of-Home display in 100% of the countries where we operate by the end of 2022, safeguard our digital furniture and facilitate public interest communication serving the United Nations' 2030 Agenda.
Like France, with its contribution to carbon neutrality for all its activities from end-2021, JCDecaux is rolling out an ambitious climate strategy aligned with the Paris Agreement for all the Group’s activities, enabling action on our entire emissions’ scope from 2023. As part of this approach, 100% of the Group's electricity consumption will be covered by green electricity by the end of 2022. As our digital transformation increases and our media continues to grow, the Group pledges to reduce by 5% its carbon emissions relating to the electricity consumption of its furniture in absolute value by 2030 (vs. 2019) and by 10% based on consumption per advertising m² by 2030 (vs. 2019).
JCDecaux pledges to curb its other environmental impacts through targeted actions in the areas of waste management, water consumption and protection of biodiversity. As JCDecaux street furniture and vehicles are cleaned using rainwater and our ongoing maintenance extends their lifespan, the Group is committed to zero landfill for all waste generated in countries with appropriate facilities by 2035. Reuse, recycling and even incineration with or without energy recovery will be prioritised.
As a family-owned company, JCDecaux's priority is to be a responsible employer. We respect fundamental social values, provide an exemplary health and safety culture and promote employee development, diversity and inclusion. The Group aims, more specifically, to reduce the accident frequency rate by 25% by 2030 (vs. 2019). JCDecaux is also committed to having 40% female representation on its executive management committees by 2027 (vs. 33% in 2021). Reaching these targets will involve assisting the Group’s suppliers to implement even more responsible practices. The Group intends to pursue exemplary business practices, through the continued application of its ethical charter defined in 2001. This will help fight against corruption, improve the environmental and social footprint of its suppliers and strengthen personal data protection. From 2023, 30% of sustainable development criteria will be integrated into supplier qualification and evaluation policies. By 2025, 100% of JCDecaux's European subsidiaries will be assessed on the management and use of personal data.
Shared with internal teams through a ESG communications plan, the strategy will be monitored and guaranteed by sponsors via an annual commitment plan in all relevant company business units. To reinforce this ESG strategy everywhere we operate, the share of ESG criteria in the variable remuneration of members of the Executive Board and operational managers, introduced in 2017, will be increased from 10% to 15% in 2022. The support of JCDecaux's external stakeholders is at the heart of this strategic ambition, to create ever more sustainable and inclusive places to live.
|Jean-Charles Decaux and Jean-François Decaux, Co-Chief Executive Officers of JCDecaux, said:
“JCDecaux's strategic ESG roadmap towards 2030 is an inspirational model that combines economic performance, environmental and social responsibility, ethical business conduct and employee development. JCDecaux works with its various stakeholders and is committed to supporting those involved in public and private procurement so that this can become a powerful and effective impact for sustainable development.”