The scope and principles of the report

Description of the report

The Annual Report contains general information about Sponda’s financial, social and environmental operations between 1 January and 31 December 2015, unless otherwise indicated.

Scope of reporting

Sponda reports on its corporate responsibility according to the guidelines of the Global Reporting Initiative (GRI) G4 Core reporting guidelines. Additionally, the GRI G4’s Construction and Real Estate Sector Disclosures reporting guideline has been applied in reporting. In particular the CRE indicators related to the real estate sector are reported on where applicable.

In addition to the GRI G4 reporting guidelines, certain portions of the report also comply with the European Public Real Estate Association’s EPRA recommendations (EPRA Best Practices Recommendations on Sustainability reporting, 2014), separately indicated in the GRI index. Sponda’s Consolidated Financial Statements are compiled according to the IFRS (International Financial Reporting Standards). This report meets the UN Global Compact reporting requirements.

Assurance

Selected information in Finnish about energy and emissions has been assured by an independent third party, PricewaterhouseCoopers Oy, and congruence between the Finnish and English versions has been checked. The assured information is identified in the GRI Content Index. The Independent Assurance Report is available in the Annual Report in the section Operations and results.

Structure of the report

Sponda’s corporate responsibility reporting for 2015 follows the GRI G4 reporting guidelines. Additionally, the principles and perspective of Integrated Reporting (IR) have been applied in reporting. Information pertaining to corporate responsibility operations is provided in the following sections:

  • The Strategy section discusses the strategic significance of responsibility for Sponda.
  • Sponda’s approach to corporate responsibility is described in the Spondability section.
  • Responsibility targets and actions in 2015 section describes Sponda’s responsibility priorities as well as the results and measures taken by Sponda in 2015 in the area of corporate responsibility.
  • A chart showing the correspondence between the GRI G4 aspects defined as material, GRI guidelines, and Sponda’s reporting can be found in the GRI index.
  • Reporting boundaries corresponding to material aspects of corporate responsibility are presented in a separate table.

Scope of the report and data collection

The figures that appear in the report are based on the figures of Sponda’s operations in Finland, unless otherwise indicated. Figures for the company’s subsidiaries are mentioned separately. Unless otherwise indicated, there have been no changes in the scope or method of calculation of the reporting principles.

There is a certain degree of annual variability in Sponda’s property holdings due to sales and purchases, which affects the comparability of the annual environmental figures.

Calculation principles for environmental reporting

The calculation of environmental indicators takes into account Sponda’s properties located in Finland. The figures cover all Sponda-owned properties for which the responsibility for maintenance lies with the property owner. The figures also include 14 per cent of the properties that Sponda owns partially, or for which the responsibility for maintenance lies with the tenant (properties leased cold).

Russian operations are reported separately for the indicators that include them. For Russia, electricity and water consumption data is reported for two office properties.

There is a certain degree of annual variability in Sponda’s property holdings due to sales and purchases, which affects the comparability of the annual environmental figures. For this reason, the comparable energy consumption has been reported separately.

The energy consumption of Sponda’s properties consists of purchased energy. The company has no energy production of its own. Carbon dioxide emissions caused by purchased energy also constitute the majority of the total greenhouse gas emissions reported.

Energy consumption monitoring extends to all properties for which Sponda is responsible for energy purchasing. A total of 136 of Sponda’s fully or partially owned properties were subject to energy consumption monitoring in 2015, representing 89 per cent of Sponda’s property portfolio. Of these, 121 properties are subject to hourly monitoring, while consumption at 15 properties is monitored by means of manual meter reading. Cooling is monitored separately for those properties that use district cooling. If cooling is performed by compressors, it is included in the electricity consumption.

The unit used in monitoring the consumption of purchased energy is the MWh. Total energy consumption is also reported in GJ using the conversion rate 1 MWh = 3.6 GJ (Source: IEA, International Energy Agency). In specific consumption information, data on gross floor area (GFAm2) corresponds to consumption data. Properties that were sold or bought, properties that were covered by consumption monitoring only for part of the year and properties under renovation are not included in the calculations on specific consumption. Energy consumption is divided by the number of Sponda’s properties excluding sold properties and properties included under property development. The figures presented by segments do not include properties of Property Development.

Water consumption monitoring extended to 126 of Sponda’s fully or partially owned properties in 2015, representing 83 per cent of Sponda’s property portfolio. Of these, 116 properties are subject to hourly monitoring, while consumption at 10 properties is monitored by means of manual meter reading.

Information on waste covers all properties for which the responsibility to arrange waste management lies with a Sponda-owned property or mutual real estate company. At the end of 2015, waste monitoring covered 74 per cent of the properties owned by Sponda in Finland. Waste covered in tenants’ own waste management agreements is not included in the reporting. The reported information on waste is based on waste volumes reported by waste management service providers.

CO2 emissions and the use of renewable energy sources have been estimated using publicly available information provided by energy companies on the specific emissions of energy production and the energy source distribution of energy production. For the sake of comparison, Sponda’s total CO2 emissions are also reported using Finland’s country-specific factor for electricity production, which is based on the most recent average electricity and district heating emission factors for Finland, published by Motiva Oy. The calculation of CO2 emissions for 2015 is based on emission factors reported by energy companies in 2014. For heating, CO2 emissions are calculated based on normalised (weather-adjusted) heating consumption. For district heating, municipality-specific emission factors have been used. Data for other reported years has been calculated using the actual emission factor for each year. At present, Sponda does not report on greenhouse gas emissions other than carbon dioxide, or their global warming potential. The amount of guarantees of orgin, 1.6 per cent out of emissions rising from electricity use in 2015, is reduced the CO2-emissions.

With respect to indirect greenhouse gas emissions (scope 3), Sponda reports on carbon dioxide emissions from waste management, business air travel and leased cars. The waste management emission calculations are based on the GHG protocol and they cover 99 per cent of the waste management Sponda is responsible for, including both waste transportation and treatment. Emissions from business air travel are based on flight miles and the emission factors reported by airlines. The emissions from leased cars are based on Sponda’s emissions data on leased cars and kilometres driven per year. Indirect greenhouse gas emissions are reported at the company level.

Earlier reports

The previous corporate responsibility report was published as a part of Sponda’s annual report in February 2015. Sponda reports on its progress in terms of responsibility each year.

Sponda’s corporate responsibility report also serves as a Communication on Progress (COP) report on the implementation of the UN Global Compact principles. In the 2015 report, Sponda has expanded its reporting from the previous year; for example, by including new indicators that help Sponda measure its progress with respect to compliance with the principles.

Sponda’s material aspects and GRI G4 boundary table

GRI G4 Aspect Material Aspect of Sponda’s corporate responsibility  Aspect Boundary
(Materiality assessment 2014) (G4 - 20-21)
Economic responsibility    
Economic performance Economic value generated for stakeholders Sponda
Indirect Economic Impacts Property locations Sponda and Society
Environmental responsibility
Energy Energy efficiency of properties Sponda and Customers
Water Water consumption at properties Sponda and Customers
Emissions Greenhouse gas emissions and renewable energy Sponda and Customers
Effluents and Waste Sorting and recovery of property waste Sponda and Customers
Products and Services Energy and environmental efficiency, Property locations Sponda, Customers and Partners
Supplier Environmental Assessment Purchasing management and responsible purchasing Partners and Subcontractors
Social responsibility
Labour practices and decent work
Employment Wellbeing of employees Sponda
Occupational Health and Safety Safety of personnel Sponda
Training and Education Improving professional expertise Sponda
Diversity and Equal Opportunity Equal and non-discriminatory treatment of employees Sponda
Equal Remuneration for Women and Men Equal and non-discriminatory treatment of employees Sponda
Supplier Assessment for Labour Practices Purchasing management and responsible purchasing Partners and Subcontractors
Human rights
Non-discrimination Equal and non-discriminatory treatment of employees Sponda
Society
Anti-corruption Business principles Sponda
Supplier Assessment for Impacts on Society Purchasing management and responsible purchasing Partners and Subcontractors
Product responsibility
Customer Health and Safety Enhancing the customer experience Sponda and Customers
Product and Service Labelling Enhancing the customer experience, Environmental certification of properties Sponda and Customers