MERLIN Properties Annual Report 2022

82 | Annual report | 2022 The Group’s roadmap calls for more circularity among contractors in the development and refurbishment processes and, therefore, the Group plans to include these criteria in the evaluation of the bids submitted in tender processes. With regard to biodiversity in developments and refurbishments, MERLIN studies the ecological value of the environment and proposes measures to preserve it, with priority given to native plant species in landscaped areas around our assets, avoiding exotic species. Likewise, although implicit in its expansion strategy, the Group avoids deforestation in its developments and refurbishments by acquiring land in urban settings or with previous uses. MERLIN is therefore committed to ensuring that: • 100% of developed/refurbished assets have sustainable construction certification. • 100% of critical suppliers will be evaluated on ESG aspects in 2023. MERLIN has made progress in living up to these commitments by obtaining LEED or BREEAM certification for all developments and refurbishments. MANAGEMENT OF PROPERTIES IN OPERATION • Monitor the environmental performance of each asset throughout the chain of command and establish specific action plans on a quarterly basis. • Approve an investment plan for the installation of equipment (lighting, temperature, etc.) that improves asset performance. • Include green clauses to encourage energy efficiency in the tenant’s operations. • In line with its sustainability roadmap, MERLIN continues to install photovoltaic panels on assets in its strategic portfolios (offices, shopping centres and logistics assets) as part of the Project SUN, through which it aims to position itself as an essential player in the energy transition as the largest developer of self-generated energy in its sector. Significant efforts have been made this year in implementing the project, having carried out 19 projects representing 10.9 MW additional MW in the year and implying a total capacity installed of 11.9 MW. The new facilities include 10 office assets, 5 logistics assets and 4 shopping centres. Following the completion of Phase I of the Sun Project, the peak installed capacity is expected to be 39.8 MW. • Likewise, 100% of MERLIN’s assets under operational control consume renewable electricity with a guarantee of origin certificate. • In an effort to improve the circularity of its assets, MERLIN implements different initiatives to optimise the use of materials, reduce waste generation and manage the generated waste more efficiently. All assets (offices and shopping centres) therefore have waste sorting systems. MERLIN’s main objective in the operation of its assets is having 100% of assets with photovoltaic panels installed (1) . (1) This commitment applies to those assets where installation is feasible based on the technical and/or structural characteristics of the assets.