Moscow – PJSC PhosAgro (Moscow Exchange, LSE: PHOR) (“PhosAgro”, the “Company”), one of the world’s leading vertically integrated phosphate-based fertilizer producers, hereby announces that the CDP (Carbon Disclosure Project), one of the largest and most authoritative studies of companies in terms of climate responsibility metrics, has upgraded PhosAgro’s rating.
PhosAgro presented its climate reporting for the second time. According to the results of the annual assessment of reporting on measures to fight climate change, the Company’s CDP rating was raised from C to B- (on an A–F scale, where A is the best possible score). The improvement is associated with ongoing work on the implementation of the Company’s climate strategy, which includes development and analysis of climate scenarios, a climate risk assessment, emissions reduction targets and a low-carbon transition plan, as well as improved non-financial disclosure.
More than 9,600 organisations, 800 cities and over 120 countries and regions around the world submit reports to the CDP on climate change mitigation. The number of reports is increasing every year, making the CDP one of the most representative and most respected ratings in the area of sustainable development.
In its CDP reporting, a company discloses information on greenhouse gas emissions, on its initiatives to reduce greenhouse gas emissions and on its corporate governance system as it relates to combating climate change. The rating pays special attention to this last element.
Irina Bokova, an independent member of PhosAgro’s Board of Directors and Chair of the Company’s Sustainable Development Committee, said: “Combating climate change is an integral part of our day-to-day operations. We appreciate recognition of our achievements; at the same time, we are aware of the responsibility that we accept along with that recognition. There is still a lot to be done; we plan to reduce greenhouse gas emissions together with our suppliers, for which we are developing a system of ‘green procurement’. The investment programme aimed at modernisation and production efficiency is being developed with the Company’s environmental footprint in mind, and this will enable the Company to reduce its direct greenhouse gas emissions. However, we see climate change from a broader perspective, and we are developing solutions for the entire chain from factory to farm and from farm to fork. This approach – cooperation with farmers and with science – improves the sustainability of the entire production and consumption system, and guarantees high-quality, safe and sustainable – from the point of view of climate – products on our tables.”
PhosAgro CEO Andrey Guryev said: “the environmental aspects of the Company’s operations and the fight against climate change are very important components of decision-making. We have achieved a great deal this year this year, and we revised our list of the UN Sustainable Development Goals; SDG 13 (climate action) is now among the goals that we are working hard to support. In the context of the Company’s Strategy to 2025, PhosAgro has set ambitious goals; our potential and our capabilities have enabled us to achieve excellent results in terms of improving our operations as they relate to sustainable development and in terms of ensuring to our planet’s food security.”
Earlier this year, the UN reaffirmed PhosAgro’s status as a Global Compact LEAD company, a status limited to only 41 companies worldwide. In addition, Sustainalytics improved the Company’s ESG rating from 43.5 to 26.9, which is one of the highest ESG risk management ratings assigned by the agency to the largest Russian companies and global fertilizer producers. Another authoritative sustainability agency, MSCI ESG Research, upgraded PhosAgro’s rating to BBB in August 2020.