SUSTAINABILITY
RISKS AND OPPORTUNITIES
- Sustainability Management
- Climate Action
- UN Sustainable Development Goals
- Environmental Management System
- Social Impact
- Governance
- Sustainable Supply Chain
The impact of sustainability on the company's business continuity also creates various risks and opportunities within its sphere of influence. Developing precautionary mechanisms by predicting the risks that threaten the sustainability of our business, as well as managing and monitoring the objectives associated with the actions taken, form the basis of our management approach to this process. Galata Wind, within the framework of its priorities, not only meets the expectations of its stakeholders, but also strives to create opportunities for the development of the local community in the regions where it operates.
Material Focus Area | Risk | Opportunity | Risk Mitigation and Prevention Actions | Actions to Seize Opportunities |
Environmental Focus | ||||
Biodiversity and Ecosystem | Renewable energy generation impacts biodiversity throughout its life cycle. From the construction of solar panels to the shutdown of wind turbines, many risks can be cited. Although most of these impacts are accepted as positive effects, it is important to properly evaluate the environmental analysis of the production sites and the negative impacts on the ecosystem, and to take the necessary precautions. | The impact of renewable energy generation on biodiversity and the ecosystem can be viewed in two ways. While climate change is one of the most important drivers of biodiversity decline, biodiversity loss also has negative implications for the climate crisis. One of the most effective ways to mitigate the devastating effects of climate change and reduce human-caused carbon emissions to net zero by 2050 is to increase renewable energy generation. |
| Renewable energy combinations have the potential to provide three-quarters of the energy we need for electrification to replace fossil fuels, primarily from wind and solar. For this reason, Galata Wind is committed to never investing in fossil resources. |
Waste Management | When it comes to the life cycle of renewable energy, a planned and systematic management process for waste disposal is required. Renewable energy generation, such as solar and wind, while cleaner than fossil fuels in terms of waste generation, may also require the use of resources that can pollute the environment and impact human health, and requires a strategic process management in waste management. | Waste generated from the development and use of renewable energy infrastructure is rich in resources and contains rare earths and other valuable materials such as steel, copper and glass. According to the European Environment Agency, 95% of these materials are recyclable. |
| Galata Wind has been generating renewable energy with the latest technology products since 2012. Waste Management Systems are also managed in accordance with this technological infrastructure. However, the objectives of the strategies and action plans for life cycle and circular economy will be established and announced only in 2023. The systematic management of processes and the audit of the waste management structure within the scope of ISO 14001 audits are ensured on a regular basis. |
Carbon Reduction | Recent developments regarding climate change and rising carbon dioxide (CO2) emissions worldwide show that, despite the increasing share of renewable energies in primary energy supply, all countries will have to significantly step up their efforts to decarbonize the energy sector in the future. | The electricity sector is considered the first sector to decarbonize compared to other sectors. This makes the decarbonization of the electricity sector more urgent, with options to link sectors where the share of heating and buildings, transport and industry will increase in the future. Therefore, the growth of the renewable energy sector seems to be a priority for Decarbonization. |
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Climate Change | Energy consumption is the focus both as part of the problem and as part of the solution to climate change. Energy derived from fossil fuels for heating and electricity generation is now considered the largest source of emissions (accounting for more than 75 percent of global greenhouse gas emissions and about 90 percent of all CO2 emissions). It also causes natural resources such as mineral resources to fluctuate seasonally and production targets to be subject to risks due to changing performance factors as a result of climate change. | About 80 percent of the world's population lives in countries that are net importers of fossil fuels-that's about 6 billion people dependent on fossil fuels from other countries, making them vulnerable to geopolitical shocks and crises. On the other hand, renewable energy sources are available in all countries, and their potential has not yet been fully realized. The International Renewable Energy Agency (IRENA) estimates that 90 percent of the world's electricity can and should come from renewable sources by 2050. Renewable energy sources offer a way out of dependence on imports by allowing countries to diversify their economies and protect them from the unpredictable price volatility of fossil fuels, while promoting inclusive economic growth, new jobs, and poverty alleviation. |
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Resource Usage | Increasing the use of renewable resources as well as natural resources is one of the priorities of sustainability. Not only reducing carbon emissions, but also using all natural resources efficiently is a priority to protect the dwindling natural resources of the planet we live on. | The efficient use of natural resources is a factor that promotes the optimization of processes, efficient resource management and awareness. In addition, the efficient use of resources enables Galata Wind to strategically manage areas such as reuse and recycling. |
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100% Renewable Energy Transition Target | It allows institutions to set concrete goals for the transition to renewable energy, to manage their operations with sustainable processes in the medium and long term, and to disclose their expectations and commitments in accordance with global or national climate goals. However, due to factors such as the prevalence of fossil fuel energy, production costs, etc., there are many factors that make it necessary to extend the transition to 100% renewable energy in the long term. In addition, technological progress in the renewable energy sector is slower compared to other sectors. | Decarbonization is an essential prerequisite for a climate-safe future. In addition to moving away from fossil fuels, which are a major source of emissions, it is also important to transform the way companies supply energy. Switching to renewable energy gives them a competitive advantage and allows them to reduce their fuel supply and costs by reducing the risks caused by fossil fuel use, increase their share value and improve their reputation by meeting shareholders' and investors' sustainability expectations. |
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Social Focus | ||||
Occupational Health and Safety | The dangers faced by renewable energy workers are often universal problems experienced by people in similar business sectors. However, clean energy alternatives such as wind energy carry certain risks that increase the safety risk for operators and technicians. The renewable energy sector is also not immune to workplace health and safety threats. | The renewable energy sector is poised to surpass oil, coal, and natural gas production in the coming years. As the generation and use of solar, wind and hydroelectric power increases, the industry will continue to grow and create more jobs for people around the world. Therefore, it is very important to create a safety culture to ensure a healthy and happy work environment for our employees. All kinds of developments, training and learning related to Occupational Health and Safety have a positive impact on employee retention. But they also represent a financial value, as they have a positive impact on the company's business continuity. |
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Business Ethics and Compliance | In the global energy sector, corporate responsibility to improve compliance, transparency and integrity is becoming increasingly important. Strict regulations and expectations for legal, environmental, and social compliance are an important part of the energy sector agenda. Rational management of compliance risks promotes accountability and creates business value. For this reason, the sector in which we operate must establish effective business ethics and compliance policies and embed ethical behaviors into the daily practices that shape the way we do business. | This focus area, which includes the policies and procedures of companies to meet the expectations of their stakeholders by complying with all ethical rules, also includes benefits such as transparency, accountability, audit and progress that keep the company away from many legal problems by ensuring compliance with laws and regulations. Galata Wind continues its activities by applying all the ethical principles and policies of Doğan Holding, whose subsidiary it has been since its establishment, in its business processes. |
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Human rights | As a company operating in the renewable energy sector, we aim to grow by maintaining a business relationship based on the trust of our stakeholders with business partners that respect human rights and are responsible. For this reason, we continue to work to incorporate diversity into all of our strategic decisions, to work with the local community to ensure a fair transition to green energy, and to play an active role in efforts to create a livable world for future generations. As in any sector, we review our processes and create our business plans with this in mind to prevent any practices that violate human rights in the regions where we operate, starting with our employees. | As an indispensable element, human rights are effectively taken into account in all of our company's business processes. We are committed to continuing this strategy, with policies and procedures that do not allow business relationships or practices that would undermine the trust of our stakeholders. We will continue to play an active role in developments in this area by adopting new regulations that meet stakeholder expectations and increase our responsiveness to human rights, which have become a critical issue for our industry. |
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Employee Turnover and Intermediate Staff | Our strategic priorities in this area include increasing our company's commitment to skilled jobs in the renewable energy sector and contributing by monitoring the development and performance of the trained workforce profile. Our strategic action plans include training technical professionals, who are among our industry's top priorities, training them to international standards and supporting their development to meet the demands of the ever-evolving industry. | It is known that the high level of commitment of trained employees to the company is a factor that has a positive impact on both financial and non-financial indicators of the company. In addition, the continuous cooperation with universities and the alignment of the potential employee profile in the industry with our company are among the factors that create opportunities in the field of human resources. |
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Diversity, Equality, Inclusion | Diversity, equality and inclusion, which are among the fundamental principles of human rights, are not only among the priorities of Galata Wind, but also of Doğan Holding, of which we are a subsidiary, and among the expectations of our company. In this direction, issues such as making necessary business plans by forecasting our risks, increasing the percentage of female employees and managers, and supporting the professional development of female employees, of which there are very few in our industry, are among Galata Wind's priority areas. | The fact that the principles of diversity, equality and inclusion are fully established in our company and that continuous progress in this area means that all expectations of all stakeholders are met also contributes to a positive change in the company's culture and development. As a signatory to the United Nations Global Compact, our company is also committed to fulfilling its obligation in this regard. |
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Anti-Corruption | The risk of combating bribery and corruption is an important risk in the renewable energy sector, as in any other sector. The risk addressed in this context should be considered in ethical processes, compliance mechanisms, and supply chain management, and should be part of risk management and audit processes. | Implementing advanced monitoring and control mechanisms and strategies, supported by all stakeholders in the fight against corruption, helps the company reduce its compliance risks, secure the trust of stakeholders, differentiate itself from its competitors, and facilitate access to funding by meeting the criteria required by donors. |
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Employee Development and Training | Important risk issues include attracting qualified employees and increasing their retention, which has become even more evident with the long-term pandemic and telecommuting in all economies. The issue of employee development and training is therefore becoming a particularly important issue for sectors such as renewable energy, where specific technical know-how and experience are crucial elements. It is estimated that global installed capacity in solar and wind energy will quadruple from 2021 to 2030. This huge increase also shows that there will be significant difficulties in meeting the demand for qualified employees and that companies will have to take preventive measures quickly. | It is a fact that increasing the retention of qualified employees is a factor that both reduces employee turnover and brings the company to the attention of potential employees and reduces the company's training costs. To take advantage of these opportunities, one of the strategic expectations is that the company monitors and regulates the training and development of existing employees according to the needs of the sector with new policies, and often consults the opinions of employees, which contain valuable feedback on the subject. |
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Local Community and Infrastructure Investments | Companies operating in the renewable energy sector can add value in the regions where they operate and also provide opportunities for the company by better managing the risks and opportunities arising from a wide range of stakeholders and adopting sustainable practices. In this context, impact assessment studies are of great importance. | It can be ensured that renewable energy sector impact assessments are comprehensively planned and assessment criteria are developed based on global standards, that companies can turn foreseeable risks into benefits with stakeholder engagement strategies, and that all parties can implement projects with the potential infrastructure investments and local community support. |
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Rights of Disadvantaged Groups | The equitable distribution of renewable energy and ensuring that people from all sectors of society have access to this resource at affordable prices are not only related to human rights, but also directly related to disadvantaged societies that are directly affected by climate change. This element, which is one of the most important sustainable development goals, should be considered and managed as an effective risk factor for all energy companies operating in rural areas. | Equal access to clean and renewable energy will be an important development measure in economic and financial terms. In order to rapidly realize this requirement, it is necessary to create long-term, reliable, and sustainable solutions, encourage investment, and enact the necessary laws and regulations that will enable the transition from fossil fuels to renewable energy sources. The most fundamental way to ensure that the disadvantaged societies most vulnerable to the impacts of climate change have easy and economical access to clean and renewable energy is to support clean energy production. |
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Economic and Management Focus | ||||
Innovation and Digital Transformation | The renewable energy sector, which is one of the sectors of the digital transformation era, must be one of the actors of this transformation and change. In the dynamically growing solar and wind energy sectors, there are key challenges that require being part of the digital transformation, such as storing energy and securing the supply chain. In the 21st century, referred to as the new energy economy, it has become a necessity to use digital technology to solve problems and make innovation the main axis of business strategies. | Planning the digital processes of all operational and strategic goals, incorporating them into productivity studies, encouraging employees to think innovatively, and creating flexible structures that can adapt to technological developments are among the most important elements that make companies fit for the future, and companies with the ability to adapt quickly to developments in this area are attractive to both investors and companies. |
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Corporate Governance and Transparency | The renewable energy sector plays a critical role in global efforts to combat climate change. However, governance difficulties and lack of transparency are among the important factors hindering the sector's growth. Corporate governance and transparency in the renewable energy sector are among the most important expectations of stakeholders as the financial world increasingly seeks sustainability and transparency with concrete targets is seen as a financial value in economies. | Corporate governance and transparency are seen as priorities by all investors as they provide opportunities for risk management and value creation for all stakeholders. Efforts by international standards and financiers to improve corporate governance and transparency are encouraging private sector investment, particularly in emerging markets. Investors are increasingly trusting companies that have a proven track record of managing their environmental and social risks and are focused on continuously improving their sustainability performance. |
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Supply chain management | Managing the supply chain based on sustainability criteria and completing processes through audits that include these criteria are among the priority sustainability issues. In line with the new laws enacted in Europe, the reflection on the new developments that recognize the assessment of the situation in the supply chain as a legal obligation in many sectors, including the energy sector, will quickly have its impact in the sector and will be part of the expectations of investors. | It is clear that corporate sustainability cannot be achieved only by implementing their own strategies and policies. Reducing sustainability risks in each link of the value chain ensures the company's business continuity and also meets the expectations of a key stakeholder. |
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Cyber Security and Information Security | The renewable energy sector is becoming increasingly important as countries seek to move away from the use of fossil fuels. However, this rapid growth of the sector should be managed with cyber and information security in mind, otherwise there is a risk that all kinds of security breaches in the sector's lifecycle, from power plants to smart meters, will pose major risks. | Increasing power generation from renewable energy sources around the world means that renewable energy facilities are increasingly viewed as critical infrastructure. To mitigate these risks, renewable energy companies must develop a clear understanding of cybersecurity vulnerabilities, plan the necessary steps to mitigate risks, and evolve their cybersecurity approach in line with the cyber threat environment. |
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Integrated and Reliable Energy Systems | We know that the goal of being carbon neutral challenges the reliability of integrated energy systems. Therefore, a comprehensive risk assessment of IES projects is among the most important expectations of investors. | Integrated and reliable energy systems contain elements that will create opportunities for the future of the renewable energy sector. However, in this process, the design, operation and planning of the systems should be analyzed considering the multiple benefits and minimizing the risks of these complex structures. |
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Public Incentives and Regulations | The fact that renewable energy regulations and incentives in developing countries lag behind those in developed countries poses a risk to sector players in Turkey. However, high expectations for listed companies and performance expectations that go beyond laws and regulations mean that companies have broad visions and follow global developments well and in a timely manner. | Strategies and commitments aligned with global standards and codes pave the way for international incentives and enable the company to achieve its growth targets in less time. |
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Local Employment | In seeking a solution to the employment gap in the renewable energy sector, which is expected to grow rapidly in the coming years in terms of both investment and employment, there should be coordination with relevant stakeholders. It is said that 14 million new employment opportunities are foreseen in the energy sector by 2030. In this regard, the renewable energy sector should make preparations and collaborate on new solutions to contribute to local employment in the regions where it operates. | We know that contributing to local employment means being part of indirect economic development. Moreover, it is considered an issue that makes an important and positive contribution to "social license" in the regions where we operate. |
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Sustainable Finance | Renewable energy generation, or green energy, is directly related to the United Nations Sustainable Development Goals. Moreover, the use of fossil fuels is not only an environmental problem, but also represents an economic problem for societies and economies. It is a priority to create the necessary structures to promote the production of renewable energy by public entities and to integrate into the sector the developments that meet the expectations of international investors. | Renewable energy companies that are able to integrate sustainability management processes into the company's management mechanisms have access to sustainable finance. The necessary precautions and structural changes should be made in this direction. |
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