Renault

No leading practices were identified for this company.

No leading practices were identified for this company.

No leading practices were identified for this company.

Renault has a detailed strategy to influence its suppliers to reduce their greenhouse gas (GHG) emissions. The company’s supplier engagement programmes currently cover 97% of its total procurement spend at the group level. Renault requires suppliers to publicly report their GHG emissions as outlined in its CSR Guidelines for Suppliers. Further, Renault has mapped its direct purchases through the CDP Supply Chain Program, providing a foundation for expanding its supplier engagement. From 2025, Renault’s partnerships with Verkor and Envision will enable the local production of batteries in France, to support the company with sustainable sourcing for its production plants.

Renault has set targets to reduce its downstream scope 3 emissions from the use of sold vehicles by 20% by 2025 and 35% by 2030, compared to 2019. These targets are aligned with the company’s 1.5°C pathway. Renault’s downstream scope 3 emissions intensity has decreased by 11.83% over the last five years. The company has set targets to reduce the carbon dioxide equivalent emissions per kilogram (CO2e/kg) emissions in the parts and materials supply chain by 30%, and in the batteries supply chain by 35%, both by 2030 compared to 2019 levels. The company can improve its disclosure by providing a more detailed account of which materials and parts are included in the target.

Renault has conducted a scenario analysis to test its low-carbon transition plan, taking into consideration three scenarios, including a low-carbon economy scenario. However, the company can improve on this by defining the scope of its scenario analysis and expressing the results in quantitative terms. Renault is among the few companies in the benchmark to have set an internal carbon pricing mechanism and integrated it into financial projections. However, there is no clear evidence that the carbon price value is aligned with a 1.5°C scenario.

Renault reports a 22.6% share of capital expenditure (CapEx) in low-carbon and mitigation technologies in 2023. However, the company does not disclose its planned low-carbon CapEx share for upcoming years. Further, the company reports a research and development (R&D) expenditure of USD 2.32 billion in 2023, but it does not disclose the proportion of its R&D expenditure spent on non-mature and low-carbon technologies. The company should improve its disclosure and strengthen its ambition to align with its 1.5°C pathway, which requires 67% of automobile sales in 2030 to consist of low-carbon vehicles.

Renault has co-innovation partnerships with suppliers focused on R&D for fuel and vehicle efficiency. The company’s Ultra Green project, which aims to reduce CO2e emissions by 90% compared to a standard vehicle, is an example of this effort. However, Renault does not have a process to monitor and review the climate policy positions of its trade associations and industry organisations. Establishing such processes will enhance the company’s credibility in aligning its activities with its climate goals.

The company commits to engaging in social dialogue with workers and unions. It also discloses the steps it takes to engage with identified stakeholders as part of its approach to supporting a just transition. However, no evidence was found of the categories of stakeholders the company engages with on a just transition and the depth and frequency of social dialogue and engagement. No evidence was found of the company undertaking low-carbon transition planning to mitigate the social impacts of the transition on workers, affected stakeholders and its business relationships. Additionally, no evidence was found to demonstrate the company’s engagement in social dialogue and with stakeholders in its just transition planning. 

The company discloses the measures it takes to ensure that green and decent jobs embed equality of opportunity for women and vulnerable groups. The company also created the ReKnow University to support the transformation of mobility professions. However, it is unclear whether these actions are helping to provide access to green and decent jobs to workers and affected stakeholders. In addition, no relevant disclosure was found of the company’s assessment of employment dislocation risks.  The company discloses the actions it takes to provide reskilling and upskilling opportunities for workers and affected stakeholders. For instance, with ReKnow University, open to the entire sector, 15,000 Renault Group employees and 4,500 students and suppliers will be trained by 2025 in the future skills needed by the automotive industry. However, no relevant disclosure was found of the company embedding equality of opportunity for women and vulnerable groups in these actions. Furthermore, no evidence was found of the company having a process for identifying skills gaps for workers and affected stakeholders or a public commitment to help workers displaced by the transition to reskill or upskill.  

No relevant disclosure was found to show if the company identifies impacts of the low-carbon transition on social protection for workers and affected stakeholders, nor how it contributes to social protection. Additionally, no evidence was found that the company expects its business relationships to contribute to the social protection of their workers and affected stakeholders.  No relevant disclosure was found to show how the company identifies any misalignment of its lobbying activities with policies and regulations that support the just transition, nor of the measures it takes to address misalignment. Furthermore, no evidence was found that the company lobbies for policies and regulations for green and decent job creation; retention, education and reskilling; and social protection for workers. 

The company commits to respecting human rights and the ILO fundamental rights at work; however, it does not commit to respecting all four rights the ILO has declared to be fundamental rights at work. While the company discloses an assessment of human rights risks, it does not publicly disclose the results of the assessment, i.e. its salient human rights risks. The company describes its global system to take action to prevent, mitigate or remediate salient human rights issues in its own operations, but it does not describe how its global system applies to its supply chain. No evidence was found of the company disclosing examples of its engagement with stakeholders whose human rights may be or have been affected by its activities in the last two years. The company does, however, have a grievance mechanism available to workers and external stakeholders. 

The company commits to ensuring worker health and safety and gender equality, and it discloses some information on collective bargaining and workforce diversity fundamentals. However, the company can strengthen its disclosure on these subjects, as well as on its living wage and working hours practices. 

The company commits to personal data protection, and it demonstrates anti-bribery and anti-corruption policies, responsible tax practices and responsible lobbying and political engagement. However, the company can strengthen its disclosure on these subjects, including its political engagement approach and public tax strategy.