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Sustainability report 2024

E2 Pollution

ESRS 2 SBM-3

Material impacts, risks and opportunities (IROs) 
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Pollution of air
Impact materiality Upstream value chain Negative impact Time horizon
  • Fine dust is a byproduct of the extraction of raw materials and their subsequent processing and transport. This byproduct primarily affects materials such as iron, steel, aluminum, plastics, and electronics.
  • During the manufacturing process of materials used in our products, harmful pollutants are produced that can easily evaporate and become airborne:
    • During the production of aluminum, sulfur oxides (SOx) are released
    • During the manufacturing process of plastics, two primary byproducts are produced: volatile organic compounds (VOCs) and nitrogen oxides (NOx)
    • During the mining of copper for electronics SOx is released
    • Rare earths, lithium, and other raw materials that are expensive to extract are used in the production of batteries
Long-term
Downstream value chain Negative impact Time horizon
  • The transportation and use of our products (e.g., machines) generates particulate matter. Our manufacturing partner adheres to high exhaust emission standards, and the requirements have become increasingly stringent in recent years
  • As is the case with the majority of construction machinery currently in operation, this equipment emits sulfur oxides (SOx) and nitrogen oxides (NOx) as a result of its diesel engine
Long-term
Positive impact Time horizon
  • The expansion of our product range and the sale of electrically powered machines can play a key role in counteracting air pollution. Each new generation of combustion engine-powered construction machinery exhibits reduced emissions and fuel consumption
Long-term
Pollution of water
Impact materiality Upstream value chain Negative impact Time horizon
  • Extraction of raw materials can result in wastewater with high concentrations of heavy metals and other toxic chemicals, such as sulfuric acid, cyanide, mercury, and arsenic. This can lead to acidification
Long-term

The assessment of material impacts, risks and opportunities related to environmental pollution was carried out on the basis of Zeppelin's business activities, but not in relation to all individual sites. The process and the relevant stakeholders are outlined in ESRS 2.

Management of impacts, risks and opportunities

Policies

ESRS 2 MDR-P, E2-1

As part of its sustainability strategy, the Zeppelin Group is committed to preserving and protecting biodiversity and ensuring high air and water quality. This commitment is made to safeguard people's livelihoods and thus the long-term success of the company and the basis for ecologically responsible business practices. For Zeppelin, sustainable corporate management means, among other things, using the planet's natural resources responsibly and promoting social justice along the entire value chain. The EU Biodiversity Strategy, which aims to restore biodiversity by 2030, is also a central element of the initiative. The Zeppelin Group is therefore committed to this:

The voluntary commitment, target definition, and measures are contained in the Group-wide process description "Biodiversity and air and water pollution control." This description is available to all employees via the intranet (CSR department).

Zeppelin's strategy for environmental stewardship involves implementing the "avoid - minimize - restore" approach across all operational areas to safeguard biodiversity and ensure the integrity of air and water resources. This means that any potentially serious negative impact should ideally be avoided from the outset, as ecosystems interact with each other in complex ways and any measure can interfere with and possibly disrupt natural systems.

Figure 16: Approach to protecting biodiversity and keeping air and water clean
Figure 16: Approach to protecting biodiversity and keeping air and water clean

It is also our objective to prevent emergency situations from arising, thereby avoiding adverse environmental and health effects, as well as other material damage. The respective management is responsible for providing the necessary personnel, organizational, and technical requirements for correct conduct in the event of an emergency. Emergency management is a process that can be broken down into the following key steps. Depending on the company, there may be additional steps that need to be taken.

Figure 17 : Emergency management
Figure 17 : Emergency management

If avoidance cannot be prevented, the aim is to minimize the potential negative impacts and, if necessary, to remedy any damage that has occurred through restoration measures. Compensatory measures are the final option for eliminating negative impacts, and Zeppelin does not currently utilize them.

Actions

ESRS 2 MDR-A, E2-2

Zeppelin is currently implementing measures to prevent and minimize environmental pollution in its own business area. In line with the environmental management system (ISO 14001), a number of site-specific environmental protection measures have been implemented, including the transition to biodegradable cleaning agents, behavior-related training initiatives, and the adoption of reusable containers and systems. Our service portfolio also includes services to prevent environmental pollution, such as carrying out oil diagnostics to detect imminent damage or leaks, minimizing wear and tear, etc. As part of the materiality analysis, which was extended to the upstream and downstream value chain for the first time, Zeppelin has identified impacts that are being addressed with the following action plan. These measures are based on the "Avoid" remedy level and aim to prevent air and water pollution and the associated emissions along the upstream and downstream value chain, to the greatest extent possible. The measures listed are not associated with significant capital expenditures or increases in operating expenditures.

Actions related to pollution
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Goal Key action Expected results/ Contribution to target achievement Scope Time horizon Remedial measures (if relevant)
Prevent and reduce air pollution (upstream)
  • Supplier Code of Conduct:
    Cooperation with qualified suppliers to promote and restore environmental protection and air pollution control
  • Sensitization of suppliers
  • Compliance with the Code of Conduct by suppliers
Group Permanent Not relevant
Prevent and reduce air pollution (downstream)
  • Measures to reduce negative impacts, such as awareness-raising measures
  • Raising awareness among customers and service providers
Group Permanent Not relevant
Prevent and reduce water pollution (upstream)
  • Supplier Code of Conduct:
    Cooperation with qualified suppliers to promote and restore environmental protection and air pollution control
  • Sensitization of suppliers
  • Compliance with the Code of Conduct by suppliers
Group Permanent Not relevant

Progress 2024

Cleanup, Dushanbe, Tajikistan
Cleanup, Garching, Germany
Cleanup Day, Genk, Belgium
Cleanup Day, Garching, Germany
Cleanup Day, Garching, Germany
Cleanup Day, Kajetany, Poland
Cleanup Day, Friedrichshafen, Germany
Cleanup Day, Friedrichshafen, Germany
Cleanup Day, Friedrichshafen, Germany

Targets and metrics

ESRS 2 MDR-T, E2-3

For the first time, the 2024 double materiality assessment identified environmental pollution in the upstream and downstream value chain as material. The Zeppelin Group has not yet defined any targets in this area, nor have any metrics been collected.

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ESRS-Index