Policy, Management System and Management Programs:
WDP has developed a set of documents specifying the Company’s vision, strategy, policies on sustainability. WDP’s sustainability framework is structured to address sustainable development goals (SDGs) and covers material issues such as sustainable employment practices (organizational culture, attraction of talents, employee development, health and safety, corporate culture), and sustainable management (energy efficiency, digitalization, good governance). WPD developed last year an Environmental, social and governance (ESG) action plan based on WDP’s sustainability framework, which specifies actions for each material ESG topic. In particular, the company intends to reduce the environmental footprint of its properties through investments into development of environmentally friendly and energy-efficient properties with the overall ambition to achieve CO2 neutrality.
Sustainability considerations are integrated into operational procedures and processes for new development, refurbishment, renovation and facility management. The WDP’s vision is to develop qualitative and sustainable logistic and semi-industrial property with long-term stable return over the property lifetime (> 25 years).
The company has developed its own building standard, which provides specifications on structural, engineering features and utilities (electricity, heating, fire prevention, sanitary premises and etc.), as well as energy efficient options for a building design.
The company has a management system and the relevant procedures in place, to identify risks and manage issues related to energy efficiency, water conservation, land acquisition. The company continues improving its management system, in particular in the area of health and safety, environmental and security (HSES) aspects. HSES considerations are integrated as regular topic at projects’ meetings and a project development reporting format. WDP has launched the initiative “Are we OK with contracting” and developed HSE guideline for its contractors aimed to improve E&S risks management of their contracted workforce.
Assessment of Environmental & Social Impacts and Risks
Assessment of E&S risks is an inherent part of the Company’s business operations. Prior to acquisition of any property or purchase of a land plot WDP provides review and analysis of an investment opportunity. Due diligence process is conducted by qualified consultants and their scope of work among others includes, legal due diligence (historical ownership and property rights, litigations, confirmation from the authorities on land use status) screening of any environmental issues (environmental reports, past land use and presence of sources of potential land contamination such as oil tanks, chemical storages, asbestos); land use limitations (historical monuments, archaeological sites, natural protected areas). Detailed soil investigation is conducted, if there is a risk of any historical land contamination. After a property acquisition refurbishment, replacement of engineering utilities and installation of energy efficient equipment is conducted if needed as per the company building standard and tenants needs.
In accordance with the Romanian regulations WDP’s property development projects are not eligible for the full scale environmental and social impact assessment (ESIA), but environmental mitigation measures are inherent part of a technical design. The company follows legal EU and national requirements for design, renovation and construction, including the specifications defined by the municipal authorities and the national building code and requirements of environmental, sanitary and fire safety authorities. The development and legal teams are responsible for obtaining all construction and operational permits, including environmental authorization and fire safety permit. Integral part of such permits are terms for water supply, sewage, electricity, solid waste management, life and fire safety, etc. Environmental and social management plans as a part of construction management plan are developed by a construction contractor, these plans typically include proper stormwater management, dust/ noise control and waste management practices.
Organizational Capacity and Competency
WDP has in-house professionals experienced in real estate development and engages qualified design, architect, construction contractors and consultants to ensure its property’s design and development in compliance with legislative requirements and own building standard.
At WDP’s head office there is a sustainability team responsible for development and implementation of company-wide policies, strategic documents, as wells as proper reporting on sustainability matters. In addition, a sustainability engineer based at HQ works on energy efficiency and renewable energy projects and initiatives portfolio wide. WDP working on revision of its renumeration policy to link ESG targets with employee’s compensation.
In Romania a technical director has overall responsibility for E&S performance of development projects and existing assets, who is supported by the relevant project managers, facility managers and a health and safety engineer, who is outsourced. Project managers together with the legal team are responsible for obtaining of a building’s permits and all authorizations starting from its construction to commencement, including construction permit, building permit, environmental, fire safety and sanitary authorization. In Romania WDP contracts a specialized facility management company (Rustler) to provide routine operation and maintenance of buildings’ utilities and equipment, including implementation of energy efficiency measures, utility management, conducting of fire safety and emergency drills. Internal facility managers are responsible for supervision of outsourced company and communication and collaboration with tenants. Other non-core activities, such as equipment maintenance are outsourced to specialized companies, those have contractual obligations to manage labor, environmental, health and safety issues, train staff and provide personnel protective equipment.
Housekeeping rules are included into a lease agreement with WDP’s tenants and tenants are responsible for holding all environmental and social authorizations related to their operations (air emissions, waste management, health and safety, and etc.), if needed.
Monitoring & Reporting:
The Company has processes and established reporting lines in place to collect, analyze and report data and E&S related information. Sustainability issues, those identified as material by the company’s ESG framework are disclosed to external stakeholders in the sustainability section of the Annual Report. For the last three years WDP has been maintaining a “gold” certificate from European Public Real Estate association (EPRA), that confirms compliance with ESRA Sustainability Best Practices Recommendations.
The Group has recently established a formal ESG strategy and roadmap. The progress is measured and discussed four times per year by the Management Committee and once per year by the Supervisory Board.
At the operational side in Romania the facility management company (Rustler) provides regular property maintenance reports, which includes information on equipment maintenance and other works performed, inspection results, incidents and other information. Currently WDP works on digitalization and developing an internal communication platform to enable efficient data management for all the assets and tenants.
Energy efficiency is identified as one of the material sustainability topics for WDP. Last year WDP engaged with nanoGrid, a specialized company in energy control and installed an energy monitoring system, which can optimize a resource consumption (electricity, water, gas). Installation of the hardware in all buildings was completed and currently the company collects the data base on the energy consumption, which will be followed by optimization of energy consumption in cooperation with tenants.
Emergency Preparedness and Response
The company’s properties have developed emergency preparedness and evacuation plans, that includes responsibilities in the event of emergencies, emergency notification system, actions to be undertaken by emergency teams and other employees.
