Alturki Holding aligns with Saudi Arabia’s commitment to the Paris Agreement under the United Nations Framework Convention on Climate Change, which the country signed on November 3rd, 2016. In addition, and coinciding with the United Nations Sustainable Development Goals, the United Nations Global Compact, the Global Reporting Initiative, and the Saudi Vision 2030, we fully understand that we cannot claim to be a sustainable organization without demonstrating our responsibility towards the environment.
The building and construction material industry makes up the majority of our portfolio and generates a significant environmental footprint if not managed consciously. Therefore, our subsidiaries have policies, regulations, systems, and procedures to monitor and manage their environmental impact. Their focus differs depending on the environmental area in which they have the most significant risk or impact, be it water, emissions, input materials, or waste.
As of 2019, and as a component of our Sustainability Integration Roadmap, we have begun assessing the investment decisions of Alturki Holding based on environmental, social, and governance performance. The Investment Opportunity ESG Risk Assessment Guideline includes metrics that will guide the decision-making process and ensure that all investment decisions go through the screening process. This process will help us augment our portfolio while exercising environmental stewardship practices. As we begin our sustainability reporting journey, we invited specific subsidiaries to report on their environmental performance in this report. Other subsidiaries will be added to the scope of environmental reporting starting next year as data becomes available.
The total energy consumption of Alturki and subsidiaries’ operations is represented by fuel and electricity consumption across various projects.
Alturki has a strong commitment towards tracking the Carbon Footprint of the Group and reducing the amount of Greenhouse Gases emissions in the atmosphere by implementing new technologies and invest in renewable sources of energy. In 2019 we managed to reduce our total emissions by a promising 30% compared to the previous year. At Alturki we recognize the importance of the Climate Crisis both from a human and a business perspective and we strive to reduce our impact on the environment.
Saudi Arabia faces dangerous levels of water scarcity and stress. A 2018 report published by UN-Water titled “Progress on Level of Water Stress” depicts a detailed analysis postulating that “32 countries are experiencing water stress of between 25 and 70 percent; 22 countries are above 70 percent and are considered to be seriously stressed; in 15 countries, this figure rises to above 100 percent, and of these, four have water stress above 1,000 percent.
Our subsidiaries monitor their consumption of input materials and use only what is necessary to avoid additional costs and waste. The below table shows the top input material used per subsidiary. The consumption levels fluctuate depending on project needs, but also on the introduction of monitoring processes and systems that help accurately calculating what is required.
Our subsidiaries monitor their waste materials and volumes to keep track of their efficiency and production. The below table shows the waste disposed of by each subsidiary, most of which is handled by specialized agencies. General waste, however, is disposed of in mixed landfills.
Saudi Readymix has launched Khobar’s Green Factory that is a highly technological and environmentally-friendly concrete factory.