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TMK discusses with experts the introduction of ESG best practices into manufacturing

During a discussion session themed the Introduction of ESG Practices into Business: from Environmental Innovation to New Leadership Skills, TMK talked about best practice in sustainability. The event was organized as part of the ECOTECH-LEADER 2021 National Environmental Technology Award (with TMK acting as its strategic partner), and was hosted at TMK’s R&D facility in the Skolkovo Innovation Center.

The session brought together major steelmakers, relevant committees of the Russian Chamber of Commerce and Industry, industry unions and associations. Participants in the event discussed the current state and future of ecological modernization of Russian businesses, development of ESG standards, achievement of sustainable development goals, changes in the external business environment and within organizations associated with the green agenda, regulatory support for the transformation of Russian companies, and approaches to responsible investing.

TMK presented its vision for the ESG agenda evolution based on first-hand experience. Since its inception, the Company has embedded sustainability across its operations, investing in environmental performance, as well as occupational safety, helping its people grow and promoting the development of its regions of operation. The Company pays particular attention to the environmental agenda: over the last 15 years, TMK’s facilities have undergone major technical and technological modernization enabling them to halve their emissions and wastewater discharge. The Company has embarked on a greenhouse gas reduction program which will enable a further 8% reduction of its carbon footprint by end-2023. In addition, we are working on our Greenhouse Gas Reduction Strategy to 2030, which provides for all production processes to undergo an environmental audit.

“TMK is committed to minimizing the environmental impact of its production operations. We make steel using electric arc furnaces, which ensures the smallest carbon footprint compared to other smelting methods. Continuous casting method is leveraged to reduce energy consumption in production, enabling significant resource savings. In addition, the share of recirculating water supply at our plants reaches 96%. Key mills have been equipped with gas cleaning and pollutant capture systems, and we further enhance the performance of our purification equipment,” said Igor Pyshmintsev, head of TMK’s R&D facility.

“We see ESG as an opportunity to outline avenues for future development over the next 20 years. Following the Company’s recent expansion, we are currently updating our environmental, social and corporate ESG goals, combining best practices from various production sites. These efforts are guided, among other things, by the UN Sustainable Development Goals,” said Denis Papin, TMK’s Head of ESG.

“The ESG agenda is becoming increasingly relevant in Russia. Recently, we have seen a gradual increase in ESG adoption among Russian businesses. The more actively companies address environmental issues and try to reduce damage to the environment, the more likely they are to be assigned a high ESG score. In our turn, we are pleased to see such enterprises among the nominees and winners of the ECOTECH-LEADER 2021 award,” said Vitaly Rasnitsyn, Chairman of the Organizing Committee of ECOTECH-LEADER 2021 National Award.

The discussion session also comprised open presentations by nominees of ECOTECH-LEADER 2021 award spanning 22 categories and recognizing achievements in developing, introducing and promoting the best available technology in environmental protection and management.