“Caring for a green economy is not solely the duty of manufacturers and large-scale industry. Our company’s policy is founded on the assumption that all types of business are conducted at the expense of the natural environment. Reducing the undesirable environmental impact of insurance activity is a matter of the same priority for us as improving our offering to clients. We are elated that our staff members have developmental opportunities in the Group where we involve them in environmental protection activities. Our company employs modern technologies for responsible and economical consumption of all resources and raw materials required in our work. In a company as large as PZU, water, electricity and paper can be consumed reasonably with favorable environmental effects and contribute to eco-choices in the place of work.”
The plan is to reduce the consumption of heat in PZU and PZU Życie by 2% by 2020.
The PZU Group’s responsible approach to business means translating it into a more ecological approach, i.e. one that reduces the adverse impact on nature to the maximum degree. Environmental protection has been elevated to a strategic ranking. The pertinent clauses have been inserted into the PZU Group’s corporate social responsibility strategy for 2018–2020 and the updated PZU Group’s strategy for 2017–2020 entitled “The New PZU – More Than Insurance”.
Implementing suitable procedures and governance systems will allow the PZU Group to meet all the ecological legal and formal requirements. In its activities, however, the Group goes beyond the mandatory regulations. The specially appointed Management Board Environmental Protection Plenipotentiary looks after consistency in environmental protection management in the PZU Group.
The PZU Group’s standard “Green PZU” was enacted in November 2018 as a follow-up to the Group’s strategic decisions. Even though there were no formal environmental protection policies in place in the other Group companies at the end of 2018, they did in the course of their activities pay attention to minimizing their adverse impact on nature.
Nearly all of the companies in the health area have implemented in their selected medical centers and been certified under the ISO 9001:2015 quality management system. In addition, Polmedic and Artimed, a PZU Zdrowie branch, have implemented and been certified under the PN-ISO/IEC 27001:2014 management system. Polmedic has also been certified under the 14001:2015 environmental management system and the OHSAS 18001:2007 occupational health and safety management system. PZU and PZU Życie introduced internal regulations related to real estate management.
PZU and PZU Życie were fully compliant both in 2018 and 20191 with the prevailing environmental protection regulations. The same is true in the health area (especially when it comes to managing hazardous medical waste) as in the Pekao Group, Alior Bank Group, international companies and most of the Polish companies.
Minimizing the adverse environmental impact is one of the areas of the Pekao Group’s binding Code of Conduct and Alior Bank’s Code of Ethics. In these documents the entities declare they will protect natural resources and prevent pollution. Employees will find information in these documents to encourage them to care for the natural environment.
The persons responsible for real estate administration and management in PZU and PZU Życie do their utmost to demarcate the directions for activities to exert the smallest possible adverse impact on nature. In their day-to-day work the employees of the Real Estate Department and of the Administration Department undertake comprehensive activities to curtail the quantum of pollution and reduce the consumption of natural resources in companies. Achieving the stated objectives is possible owing to the support of employees in their daily eco-choices in the place of work.
In pursuit of the objectives of the “Green PZU” standard developed in 2018, the Real Estate Department at PZU and PZU Życie carries on with initiatives aimed at reducing adverse environmental impact, such as:
In its day-to-day operations, the Real Estate Department undertakes a number of initiatives intended to ensure conscious management of its environmental impact, aiming to reduce the volume of pollutants released into the environment and lessen the consumption of natural resources. In 2019, activities were continued with a view to curtailing the consumption of utilities, conducting rational waste management, installing air conditioning devices with an ecological refrigerants, preferring environmental and social aspects when choosing space for rent, running educational campaigns among employees in terms of pro-environmental behaviors.
As a result of the Real Estate Department’s pro-environmental activities, the volume of municipal waste collected separately improved by 10% and the consumption of utilities decreased. More than 70 persons were involved in the conduct of educational campaigns.
Installation of air conditioning devices using a new, environmentally friendly refrigerant R32
In 2018, the Real Estate Department began the purchase and installation of the first split air conditioners with the power input of up to 5 kW with the refrigerant R32 – predominantly in technical rooms such as server rooms where continuous operation of cooling equipment is required. The installation was performed to satisfy the current needs related to replacement of damaged devices with new ones and delivery to newly created rooms. By the end of 2018, 36 split air conditioners were installed. In 2019, 32 air conditioners with the refrigerant R32 were installed. In 2020, old air conditioners are scheduled to be replaced with new ones fitted with the refrigerant R32 in other PZU and PZU Życie facilities. The refrigerant R32 has a lower (675) GWP (greenhouse effect potential) compared to the most commonly used R410A (GWP of 2088). Thanks to the new technology, the volume of the refrigerants in the devices may be reduced significantly (by approx. 30%), thereby curtailing the potential emission of greenhouse gases into the atmosphere.
In 2019, PZU saved 20,745 GJ of heat energy2 due to thermal modernization of buildings, replacement of worn-out heating boilers and reduced demand for thermal power. Moreover, 3,557 GJ3 of electricity was saved thanks to the installation of power compensating devices, reduction of contracted power in abandoned buildings, verification of adjustment of temperature settings in server rooms, installation of LED lighting and replacement of external signage lighting with LEDs. In turn, PZU Życie saved 7,886 GJ of heat energy4.
|Natural gas [GJ]||194,494||179,858|
|Heating oil [GJ]6||24,621||18,475|
|Total consumption [GJ]||219,115||198,334|
2 Data on the consumption of municipal heat, natural gas and heating oil
3 The base for calculating the quantum of saved energy was consumption in 2018
4 Data on the consumption of municipal heat, natural gas and heating oil
5 The data for the Alior Bank Group are presented solely for Alior Bank on account of the limited accessibility of these data in the other Group companies and at the same time they are of minor significance. For the Pekao Group, the data are for selected companies only due to the availability of data.
6 Heating oil correction factor: 36.636 GJ/m3. Conversion factor [t/m3]: 0.86
|Total consumption [GJ]||723,767||674,281|
|Natural gas [GJ]7||24,362||20,992||10,601||9,052|
|Heating oil [GJ]8||5,800||4,452||869||632|
|Total consumption [GJ]||30,162||25,444||11,470||9,684|
7 A ratio of 11 was used to calculate 1 kWh of energy generated from 1 m3 of natural gas.
8 Heating oil correction factor: 36.636 GJ/m3. Conversion factor [t/m3]: 0.86
|Total consumption [GJ]||136,509||116,925||49,123||42,995|
|Total energy consumption (GJ)||942,883||872,614|
|Total energy consumption (GJ)||166,671||142,368||60,594||52,679|
With a view to providing information to the fullest possible extent on our impact on the environment and climate and responding to the growing requirements and expectations of our stakeholders, investors and analysts in this respect, the PZU Group for the first time publishes information on direct and indirect greenhouse gas emissions, broken down into scopes 1, 2 and 3.
Scope 1 (direct greenhouse gas emissions) means direct emissions caused by the combustion of fuels in stationary or mobile sources owned or supervised by the company, emissions resulting from technological processes and escaping refrigerants.
Scope 2 (electricity indirect GHG emissions) is defined as indirect GHG emissions arising from the consumption of imported (purchased or supplied from outside) electricity, heat, process steam and cooling, which in practice are generated at the place of production of these utilities).
Scope 3 (other indirect GHG emissions) means other indirect emissions arising across the value chain, for instance during the production of raw materials or semi-finished products, waste management, transportation of raw materials and products, business trips or use of products by end users.
Total direct GHG emissions (Scope 1)
|PZU Group||PZU||PZU Życie||Other companies||PZU Group||PZU||PZU Życie||Other companies|
Total direct scope 1 emissions in the PZU Group reached 30.5 thousand tons of CO2e compared to 31.4 thousand tons of CO2e in 2018. The decrease resulted primarily from lower emissions caused by refrigerants leaks in PZU and PZU Życie. In 2018 and 2019, PZU and PZU Życie began installing air conditioning devices containing new environmentally friendly refrigerant R32 which has a third of the GWP (greenhouse effect potential) compared to standard refrigerants. In 2020, old air conditioners are scheduled to be replaced with new ones fitted with the refrigerant R32 in other PZU and PZU Życie facilities. The consumption of natural gas and heating oil by the PZU Group decreased as a result of a mild winter. The consumption of diesel fuel also decreased, while gasoline consumption increased.
Electricity indirect GHG emissions (Scope 2)
|PZU Group||PZU||PZU Życie||Other companies||PZU Group||PZU||PZU Życie||Other companies|
|Electricity location - based||92,426||12,343||3,320||76,763||88,184||11,506||3,276||73,402|
Energy indirect scope 2 emissions reached 113.9 thousand tons of CO2e in 2019 compared to 122.1 thousand tons of CO2e in 2018. The decrease was mainly due to lower heat consumption in the PZU Group, partly due to a milder winter. In 2020, a further decrease in the carbon footprint is scheduled, also in scope 2. PZU and PZU Życie intend to purchase electricity generated from renewable energy sources in 2020. They will receive a certificate from the electricity supplier confirming that the purchased electricity has been generated from renewable sources.
The PZU and PZU Życie constitute 37% of the total greenhouse gas emissions of the PZU Group in the scope of 1 and 22% in the scope of 2. The difference is mainly due to the different characteristics of the industries in which the PZU Group operates and the various efficiency and value of consumption of individual raw materials (especially natural gas) and energy (in particular electricity).
Other indirect GHG emissions (Scope 3)
|PZU Group||PZU||PZU Życie||Other companies||PZU Group||PZU||PZU Życie||Other companies|
|Fuel- and energy-related emissions not included in scope 1 or scope 2||22,944||3,977||1,130||17,836||21,043||3,685||1,147||16,211|
|Purchased goods and services (paper, tap water, wastewater treatment)||1,736||202||99||1,434||1,711||191||109||1,411|
|Waste generated in operations||2||1||1||-||2||1||1||-|
|Business travels (plane, train, taxi)||255||192||63||-||252||195||56||-|
Other indirect GHG emissions (scope 3) emissions in categories 1, 3, 5 and 6 (listed in the table above) by the PZU Group reached 23 thousand tons of CO2e compared to 24.9 thousand tons in 2018 (-7.7% y/y). The decrease occurred predominantly in emissions related to energy and fuels in the value chain and was chiefly due to a decrease in electricity consumption. In the future, the scope of reporting is expected to cover more categories provided for in the standard and more PZU Group companies.
GHG emissions per consolidated assets and the number of employees are presented below.
GHG emissions intensity
|Number of emplyees||41,742||41,042|
|Emissions (scope 1, 2) per employee (Mg CO2e / employee||3.7||3.5|
|Emissions (scope 1, 2) per 1 million of consolidated assets (Mg CO2e / 1 million of consolidated assets)||0.47||0.42|
Due to the fact that scope 3 was calculated mainly for PZU and PZU Życie, they were not presented in the form of emission intensity per consolidated assets and employees of the Group.
All calculations were made in accordance with the international GHG Protocol Corporate Accounting and Reporting Standard. 2018 was selected as the base year against which the PZU Group will compare its annual emissions in subsequent years.
For the calculation of GHG emissions for fuels, electricity (consumed in Poland) and heat (consumed in Poland), emission indicators or data from the National Centre for Emissions Management were used. The emission factors for electricity consumed in foreign companies were obtained from data published by the International Energy Agency, while those for heat energy were obtained from the DEFRA (the UK Government’s Department of the Environment, Food and Rural Affairs) database. For scope 2 emissions calculated according to the location-based method, average emission factors for the respective countries were used. The emission factors for energy in the scope of WTT (well to tank) (scope 3) business trips, purchased raw materials and services, waste management and GWP for refrigerants were obtained from the DEFRA database. No biogenic greenhouse gas emissions were identified.
The greenhouse gas described in the emission factors for fuels, electricity and heat in Poland is CO2. The other factors included CO2, CH4 and N2O emissions as well as refrigerants. The GHG emissions released by each company was consolidated at the PZU Group level according to the operational control approach.
Electrical energy saving (PZU and PZU Życie)
Heat savings (PZU and PZU Życie)
Reduced consumption of plastics
The Group companies are gradually moving away from the consumption of potable water supplied to PZU branches in 1 gallon plastic bottles towards dispensers connected to the municipal water supply system. An agreement was signed for the lease of 460 water dispensers connected to the municipal network. Both in office spaces and in client service outlets, these dispensers were welcome by employees. In 2020, a tender will be held for the lease of more (approx. 740) dispensers connected to the municipal network (in PZU and PZU Życie).
The contract for the other dispensers currently maintained by EDEN (1 gallon plastic bottles) will expire in June 2021. After the exchange process is completed in 2022, there will be no more 1 gallon plastic bottles in PZU.
Furthermore, since 1 October 2019, during meetings held in the Konstruktorska Business Center and the Tower, water for meetings served by an external catering company has come in reusable glass decanters, and in the PZU Tower paper cups were introduced in place of plastic cups in common areas.
Planned reduction in the number of water dispensers and 1 gallon bottles
|Year (end)||Number of distributors using 1 gallon plastic bottles||Number of plastic bottles||Reduction|
Properties “Turning Green”
In order to achieve a significant reduction in the consumption of water, faucet aerators are being installed in restrooms and employee amenity areas. Faucet aerators (tips attached to the end of a faucet) visually increase the stream of water by mixing it with air, which process results in a reduced consumption of water. In 2018, faucets in the head office buildings and in office buildings with more than 10 users were fitted with faucet aerators. In total, over 1,000 such devices were installed. In 2019, additional 1,296 faucet aerators were installed. The installation of aerators will also be continued in 2020. In 2019, water coNsumption in PZU and PZU Życie decreased by a total of 1,033 m3.
The PZU Group undertakes numerous initiatives aimed at reducing the consumption of raw materials in the company’s current operations. The consumption of raw materials, both for the entire Group and separately for PZU and PZU Życie is presented in the table next.
|Diesel fuel [t]||1,578||1,539|
|Diesel fuel [t]||19||7||17||0|
|Water [m3]||404 488||411 978|
|Water [m3]||55 527||52 522||22 488||24 459|
In the Sales Support Department of PZU’s Ukrainian company, electronic document circulation has been implemented with the use of electronic digital signatures for service provision reports issued by insurance intermediaries. Because the process of handling service provision reports has not yet been fully covered by the electronic document circulation system, the final results will be presented in 2020.
In turn, in PZU Ukraine’s Insurance Products Department introduced the DMS e-policy at DTP on 1 July 2019. This has eliminated the need to print insurance agreements (in duplicate) and reduces the costs of logistics and storage of paper documents.
Reduced consumption of paper
|Year||Paper in tons||Reduction1|
1The ordered quantity of paper depends on the volume of sales of PZU products. 80% of paper is used by sales units. The introduction of new products for sale, such as Employee Capital. Schemes (ECSs), generates additional demand for paper by PZU Życie
|Purchases of train tickets||Total quantity||Savings potential|
|2019||11,429||more than 11 thousand sheets annually|
Environmentally friendly initiatives in 2019
Water Day: 22 March
“We cannot afford to waste water” was the year’s Water Day slogan.
In 2019, the Administration Department was the main initiator, organizer and sponsor of awards for the Water Day, celebrated on 22 March. From March 18, an informational and educational campaign for employees was run on PZU24. Catchy slogans and information on the new form of water distribution were prepared. Interesting facts related to environmental protection were presented throughout the week and a quiz and environmental workshops for employees were organized during which food packaging methods alternative to aluminum foil and plastic foil were demonstrated, such as packaging based on recycled materials, allowing the user to save resources, including water, and removing the need for disposable packaging materials.
Earth Hour: 30 March
At 8:30 p.m., all lights were switched off for 60 minutes in selected buildings of the PZU Group (Tower, Opole – Ozimska, Gdańsk – Targ Drzewny, Łódź – Zamenhofa, Dąbrowa Górnicza – Królowej Jadwigi).
Earth Day – 22 April
Bottom-up environmental initiatives of PZU employees as part of PZU’s employee volunteerism program
Environmental education of employees through campaigns promoting environmentally friendly behaviors
In 2019, the following educational campaigns were continued:
Reduced use of printers
As a result of analyses and arrangements with users, the number of printers/multi-purpose devices in PZU entities was reduced by 150. Accordingly, the number of printers in use declined from 4,750 at the end of 2018 to approximately 4,600 at the end of 2019 (in PZU and PZU Życie).
All new printing devices are equipped with an automatic two-sided printing (duplex) module – wherever the specific nature of work permits two-sided printing, it is set as the default printing option.
The PZU Group is concerned about the natural environment not only in Poland. An environmentally friendly approach to doing business has been adopted by all foreign members of the Group.
In Lithuania, Lietuvos Draudimas has in place a formalized environmental policy. Information on environmental protection matters is published in its annual reports and CSR reports. All buildings of the Lithuanian company are monitored for the consumption of utilities, waste sorting has been introduced and in order to gradually reduce CO2 emissions, the car fleet is supplemented with hybrid cars. Environmental educational campaigns are also conducted.
PZU’s Lithuanian company Lietuva Gyvybes Draudimas has identified directions and initiatives addressing environmental challenges in its CSR strategy, approved in 2019. The company monitors its consumption of utilities – in 2019, its consumption of water declined (by 5%) as did the consumption of electricity and heating (by 20%). The company strives to reduce pollution caused by its car fleet. A hybrid vehicle has been purchased. The purchase of another one is planned in 2020. The educational campaign on waste sorting is continued.
The Latvian company Balta has installed economical lighting and sunblinds. The company intends to reduce its consumption of utilities, water and electricity and is also involved in the recycling of old electronics and paper sorting. The management board is working on the adoption of an environmental policy.
The Estonian branch of Lietuvos Draudimas reduced its water and electricity consumption by 1%. Moreover, the lighting system in the head office building in Tallinn has been changed to LED lighting.
1 No penalties were imposed on them for failure to comply with environmental protection regulations.