Vattenfall 2016 Materiality analysis (PDF 1 KB)
Ensure the right prioritizations
Materiality issues are defined to ensure the right prioritizations in all decisions. Materiality is a basis for prioritizations in the business strategy and among all stakeholder expectations. Vattenfall must understand and act on Materiality to identify business opportunities and to avoid future impairments. Vattenfall has in the past picked up signals from stakeholders on which way to go – but not fully understood the implications and acted quickly enough.
The major conclusions from the 2016 materiality analysis carried out during May to September is that Vattenfall's strategic direction is in line with stakeholder expectations but that trust and credibility is low. Stakeholders need evidence like milestones and concrete actions in line with the strategic direction. Vattenfall is also expected to create new partnerships and to attract the right talent to develop opportunities and solve challenges. The importance of Vattenfall's local presence and impact was highlighted throughout the dialogues.
The most important aspects are "Reduce impact on climate", with the sub lines "Reduce fossil" and "Sustainable investments" (including "Increase Renewables" and "Invest in innovation"), "Sustainable customer solutions", "Openness, transparency, and cooperation", and "Nuclear waste management".
Extra attention is needed on the aspects "Invest in innovation", "Openness, transparency, and cooperation", "Respecting Human Rights", and "Engaging with Local Communities" as they are more stressed than earlier in the 2016 result.
In the 2013 materiality analysis the external stakeholders' recommendation was to focus on "Transform portfolio", "Customers solutions" and "Resource Efficiency". Stakeholders would then have liked to see more focus on future technologies.
Stakeholders whished in 2013 to receive information on Vattenfall's sustainability performance online and wanted to inform themselves by reading the combined annual and sustainability report in PDF format.
1195 people from all stakeholder groups on Vattenfall's main markets took part in the 2016 survey of which about 80% was external and the rest internal. Consumer panels where held in Sweden, Finland, Germany and the Netherlands. Interviews were conducted in Sweden, Germany and the Netherlands. Social media surveys in in Sweden, Finland, Germany, the Netherlands, the UK, Denmark. Extended surveys in Sweden, Germany and the Netherlands and a panel in Almedalen, Sweden.
An open survey using social media1) was introduced for 2016 and in that survey expressions like "coal", "sustainable/sustainability", and "responsibility" were more frequent compared to the outcome from the consumer panels.
The country specific topics for 2016 are
- in Germany; "Reducing CO2 (including "Increasing Renewables" and "Reducing Fossil Dependency")"
- in Sweden; "Ensuring Occupational Health, Safety and Wellbeing"
- in the Netherlands; "Contributing to Energy Efficiency through our solutions" and
- in Finland; "Flexible and stable Grid Infrastructure for future needs" and "Fair and Ethical Business Practices".
Country specific topics are ranked higher per country than in general.
The general activities based on the materiality analysis includes reflections and integration of the findings into Vattenfall's key direction setting projects/activities. The result will be broken down and major aspects and matching SDGs (UN's Sustainable Development Goals) will be transformed into targets and KPIs.
Specific and immediate actions are already ongoing and the stakeholder dialogue will of course continue and dialogues coupled to Vattenfall's supply chain has been intensified both with suppliers, NGOs, governmental bodies and local communities
1) Facebook, Vattenfall Group on Twitter, Vattenfall Sverige on Twitter