MERLIN Properties Annual Report 2020 / English

62 | Annual Report | 2020 MERLIN considers sustainability (in its three ESG aspects: environment, social and governance) as a key aspect of the Company’s strategy. Taking into account its activity as a diversified Company, and a leader in the Iberian Peninsula, it defines four strategic cornerstones on which its ESG strategy is based: • Sustainable assets: to guarantee the maximum levels of sustainability during the operation of its assets, MERLIN promotes the implementation of energy saving measures (ESMs) at its assets and the installation of photovoltaic panels to generate renewable energy (for self- consumption or to be fed into the grid). The Company further hopes to provide 100% renewable electrical energy to all its assets. • Sustainable construction: the comprehensive refurbishments carried out at MERLIN assets within the framework of its value creation plans integrate sustainability is a key aspect, especially with regard to energy consumption. • Sustainable mobility: through specific initiatives in its main asset categories, MERLIN aims to promote a modern urban mobility model that is low in emissions and encourages the use of electric vehicles and zero emission mobility alternatives. • Scoring: MERLIN has a high proportion of certified assets with regard to sustainable construction (LEED and BREEAM), Environmental Management Systems (ISO 14001 and 50001), and has obtained other certifications of particular relevance in the sector (AIS, AEO). It has also demonstrated its extensive efforts in ESG thanks to the high scores obtained in quality seals such as GRESB and CDP, and EPRA’s recognition of its CSR report. MERLIN PROPERTIES’ ESG STRATEGY Data in like for like terms (1) Data in absolute terms Data 2020 Change 2019-2020 Data 2020 Change 2019-2020 Energy consumption in GJ 277,900 (18.0%) 388,595 (19.3%) Greenhouse gas emissions (tCO 2 eq) 14,295 (21.7%) 19,600 (25.0%) Water collection (m 3 ) 358,767 (39.9%) 495,673 (40.3%) Waste (ton) 1,492 (26.5%) 4,996 (31.2%) % of the portfolio (in GAV) LEED, BREEAM certified (2) - (3) - (3) 81% +6 % Main indicators for the year (1) The term Like for like groups assets that have been in operation in the MERLIN portfolio over the last three years (from 1 January 2018 to 31 December 2020) without any relevant changes. (2) Taking into account only those assets from the offices, shopping centers and logistics portfolios in operation, as well as the following WIP assets: Castellana 85, Plaza Pablo Ruiz Picasso, Arturo Soria 343, A2-Azuqueca II and A2-Cabanillas Park I G. Excluding the Barcelona ZAL Port assets, the assets from the Net Leases portfolio, non-core assets, and the remaining WIP assets. (3) Given the characteristics of this indicator, it is only reported on in absolute terms.