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Read Our Report gasnetworks.ie Sustainability 2019 in Action Sustainability in Action 2019 01 Table of Contents A Message from Our Managing Director 02 Who We Are 04 Our History 06 Strategic Framework 08 Factors Influencing Value Creation 11 Business Model 12 Our 2019 Highlights 14 Our 2019 Sustainability Highlights 15 Our Sustainability Strategy 18 Vision 2050 20 Materiality Assessment 22 United Nations’ Sustainable Development Goals 23 Environment 25 Enhancing Biodiversity 26 Water Use 28 Reducing Waste 28 Climate Change 28 Compressed Natural Gas (CNG) 28 Renewable Gas 30 Carbon Performance 31 Climate Action 32 Sustainable Procurement 33 Social 35 Business Working Responsibly Mark 36 Community 37 Accessibility 37 Education 39 Employability 40 Workplace 41 Marketplace 44 Economic 53 Investing in Our Future 54 Innovation 55 Appendix 61 Global Reporting Initiative Index 61 02 Gas Networks Ireland A Message from Our Managing Director Welcome to Gas Networks Ireland’s 2019 sustainability report, Sustainability in Action. Our sustainability strategy has three key pillars – Environment, Social and Economic; and is aligned with the United Nations’ Sustainable Development Goals. This report outlines our progress in implementing the principles of sustainable development across all aspects of our operations throughout 2019. Denis O’Sullivan Sustainability in Action 2019 03 At Gas Networks Ireland we connect over 705,000 Cashel premises and progressed the development businesses and homes to one of the most modern of another seven public and private CNG stations and safe gas networks in the world. In doing this, ensuring that Ireland’s HGV and bus operators we are mindful of our sustainability responsibilities can choose a cleaner fuel alternative. Additionally, and aim to contribute to the protection of the we signed a Memorandum of Understanding with environment while supporting the social and global energy company, Equinor, which will facilitate economic development of the communities we cooperation on assessing the potential for Ireland operate in, as well as the wider economy. to benefit from Carbon Capture & Storage (CCS), bringing Ireland to the centre of Europe’s large-scale We are proud to be one of only 34 companies in decarbonisation. Ireland to hold the Business Working Responsibly Mark for our responsible and sustainable business Sustainability at Gas Networks Ireland supports practices. We are committed to ensuring that our employees in the workplace and positively sustainability is at the forefront of everything we impacts the communities in which we operate, do and to helping Ireland to reduce its carbon while contributing to Ireland’s economy. In 2019 we emissions. supported social inclusion initiatives in communities across Ireland and supported our economy by Natural gas emits 40% less CO2 than coal and 22% making a total dividend payment of €139m to the less than oil, however our vision is to significantly Exchequer. reduce emissions and have a carbon neutral gas network. We invest time and resources into I want to acknowledge the on-going hard work maintaining our infrastructure, future proofing and dedication of the Gas Networks Ireland team Ireland’s gas network so that it can be used to in delivering our sustainability initiatives during transport zero carbon fuel such as renewable gas 2019. I am very grateful for everyone’s ongoing and hydrogen in the least cost, least disruptive way. commitment as we work towards our shared goals. We believe that our Sustainability in Action We’ve already started on this journey. strategy will continue to improve our business in a sustainable and responsible way, particularly now In October 2019, together with our parent company as we navigate new ways of working through the Ervia, we published Vision 2050 – A Net Zero unprecedented COVID-19 pandemic. Carbon Gas Network for Ireland. Vision 2050 plots a roadmap to a carbon neutral gas network, supporting emissions reductions across every sector of the Irish economy. By transporting renewable gases such as biomethane and hydrogen Denis O’Sullivan through Ireland’s existing gas network, combined Managing Director, Gas Networks Ireland with developing innovative technologies, we will play a critical role in transforming Ireland’s energy economy and maintain the vital balance between sustainability, security and affordability. In 2019, locally produced renewable gas was successfully injected into the gas network for the first time at a purpose built injection facility in Cush Co. Kildare. We also progressed the rollout of Ireland’s fast-fill Compressed Natural Gas (CNG) network with the completion of a station at Circle K’s 04 Gas Networks Ireland Who We Are Gas Networks Ireland owns and operates the natural gas network in Ireland. Our gas network is one of the most modern and safest in the world, comprising 14,521km of gas pipelines including two sub-sea interconnectors. The safe, reliable transportation of natural gas and the delivery of a consistently excellent, cost-effective service that benefits all our customers is what we do. We connect 705,868 homes and businesses to a safe, efficient and secure supply of natural gas every day. As guardians of this €2.7bn asset, owned by the people of Ireland, we aim to deliver our services in a sustainable manner. The gas network plays a critical role delivering 31% of the country’s primary energy needs, as well as generating on average 51% of Ireland’s electricity. When the wind doesn’t blow and the sun doesn’t shine to generate electricity, gas is the ever reliable power behind Ireland. At times, gas generates up to 80% of all electricity used. It is planned that by 2030 70% of electricity will be produced from renewable sources. The system will continue to rely on natural gas-powered generation to provide the capacity to support the development of renewables in Ireland. Our strategy, Vision 2050, explains how we can achieve a carbon neutral gas network by 2050. We also began realising our ambition to convert agricultural and food waste into a carbon- neutral source of energy. Locally produced renewable gas was successfully injected into the gas network for the first time at Ireland’s only purpose- built injection facility in Cush, Co. Kildare. The planning application for a second gas injection facility, in Mitchelstown, Co. Cork, was submitted to Cork County Council and a decision is expected in Autumn of 2020. Sustainability in Action 2019 05 otland Moffat oeraine eattok err t Terreges Baymoney imaady Twynhom AI Baymena irkcudbright Strabane Antrim Brighouse Bay Magherafet ookstown arrickfergus Omagh oaisand elast Dungannon urgan ortadown raigaon Enniskien orrib as Fied Armagh Banbridge ellanao Tuykenney Derryin Newry ough Egish Baina ootehi rossmoina Dundak Ise of Man arrickmacross astebar Baiieborough ingscourt Interconnector 2 irginia Westort aremorris es Drogheda Naan Interconnector 1 Bainrobe Baymahon Muingar Goranston Trim Tuam Athone Headford oughshinny Enfield icock Bainasoe roserous ln Galwa Tuamore Naas raughwe idare Bray Tynagh ortarington Bessington oughrea ort Monasterein Baymore Eustace icuen ortaoise Wickow s Rathdrum Athy Ennis Nenagh Sixmiebridge arow Arkow Baina Bayragget Shannon ikenny erk Aughinish Askeaton Tierary Town ashe reat Isand ahir arrickonSuir istowe hareie eord Mitchestown onme aterord Ardfinnan Tramore Maow Beiew Fermoy ort ork Macroom Bandon Whitegate Baineen insae Inch Termina insae Head as Fied Decommissioned May 2020 Seen Heads as Fied ] Existing ieines ieines Owned by Others Interconnection oints Entry oint Renewabe as Entry oint Decommissioned Entry oint 06 Gas Networks Ireland Our History 2020 marks 44 years since the establishment of Ireland’s first national gas utility in 1976. The story of natural gas in Ireland The natural gas we use today is millions of years old. However, we have only been able to access and use it relatively recently. Britain was the first country to commercialise natural gas around the year 1810. Gas was used primarily for street lamps and was produced from coal in local gasworks. After World War II technological advancements allowed for the construction of reliable pipelines. Exploration ships began searching for oil off the south coast of Ireland in the late 1960s. In 1971 one ship, the Glomar North Sea, failed to find oil, but instead discovered Ireland’s first indigenous reserve of natural gas. An exploration rig was installed and it took two years to establish that the find was commercially viable. First Waterford Gas Works Staff 1887 First Dublin Gas Transport Fleet – 1930s First gas street lamp Sustainability in Action 2019 07 1970s 1990s The Gas Act (1976) established Bord Gáis In 1990 Bord Gáis Éireann grew to 905 Éireann as the State Gas Development staff members. The sale of natural gas Agency. The new semi-state replaced a appliances increased by 50% in 1990 and series of private sector small towns-based gas sales to the industrial/commercial gas companies. sector increased by 15%. Soon after (1992) ྲ Cork Gas Company work commenced on the first subsea ྲ Alliance & Dublin Consumers Gas interconnector. A major compressor Company station was under construction in south- ྲ Limerick Gas Company west Scotland to increase the supply of gas ྲ Kilkenny Gas Company to Ireland by 50%. By the end of the 90s ྲ Clonmel Gas Company natural gas was within reach of 550,000 homes in Ireland. Natural gas was first brought ashore to Ireland in 1978 through a sub-sea pipeline at Inch in Co. Cork. By the end of 1978 Bord Gáis Éireann had 32 staff members. 1980s By the early 1980s Bord Gáis Éireann had 99 staff members. In 1983 a gas pipeline from Cork to Dublin was completed. Onshore construction work continued to serve customers in Cork City. The Dublin Gas Company received its first natural gas supplies and began converting 120,000 customers to natural gas from towns gas. Customers in Limerick, Clonmel and Kilkenny were converted from towns gas to natural gas and the Cork and Dublin Gas Companies were fully acquired by Bord Gáis Éireann.
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