Ferrovial

No leading practices were identified for the company in the governance and strategy area.

Water
Ferrovial has a target to reduce its water consumption by 20% by 2030 and reports progress against it. The company also reports how much water is withdrawn for its own operations in water-stressed areas.

Solid and air pollution
The company discloses the proportion of hazardous waste treated to reduce pollution compared to total waste, the hazardous waste diverted from disposal and the waste directed to disposal.

No leading practices were identified for the company in the social inclusion and community impact area.

Sustainability strategy and accountability
While Ferrovial conducts a biennial material study, it does not disclose group-wide targets on key sustainability topics for the most material parts of its value chain according to the SBTN materiality table. the company also has an opportunity to link performance criteria in senior executives’ remuneration policies to targets and objectives which cover nature, including biodiversity, and social issues. Furthermore, it does not disclose whether its highest governance body has expertise regarding nature-related topics.

Stakeholder engagement
While Ferrovial discloses some examples of its stakeholder engagement, the company does not disclose an overview of the issues raised during its stakeholder engagement activities nor its process for engaging with stakeholder groups beyond its materiality assessment.

Lobbying
While Ferrovial discloses some trade associations of which it is a member, it does not disclose a complete list covering all geographies. The company also does not disclose a clear and detailed framework for assessing alignment of its trade associations with nature-positive policies. As a result, the company does not report (potential) misalignment between the lobbying activities of its trade associations and nature-positive policies.

Impact and dependencies assessment
While Ferrovial states it has developed a methodology and an internal tool for calculating the natural capital debt, no further evidence that the company assesses its impacts on nature, including biodiversity, within its own operations could be found in the public domain. Similarly, the company does not disclose any such assessment in its supply chain. Furthermore, no evidence that the company assesses its dependencies on nature within its own operations or its upstream business relationships could be found in the public domain.

Key areas and species
While Ferrovial states it worked on 5 projects subject to Environmental Impact Statement in 2021, no further evidence that the company discloses the locations that are in or adjacent to areas important to biodiversity within its own operations or the locations of its suppliers could be found in the public domain. The company discloses a catalogue of its biodiversity initiatives for both the flore and the fauna but no evidence that the company discloses a list of species existing in or adjacent to its own locations or the locations of its suppliers could be found in the public domain. Furthermore, Ferrovial does not disclose the status according to national and international conservation lists of species identified in its own locations.

Ecosystem conversion and restoration
Ferrovial does not disclose a commitment to ensure zero conversion nor does it disclose time-bound targets to achieve conversion-free supply chains. However, the company has a commitment to minimise ecosystem conversion and to restoring ecosystems. The company discloses details and outcomes of ecosystem restoration projects in areas affected by its own operations or by its suppliers. The company also discloses ecosystem restoration efforts beyond areas affected by its own operations or suppliers, such as compensation or offset mechanisms.

Resource exploitation and circularity

Ferrovial discloses its inputs according to an international standard. However, it only discloses its use of fuel for its material footprint and could provide more details on the different types of inputs it uses. The company also does not report quantitatively on its group-wide circularity performance. While the company discloses activities to improve soil health, it has an opportunity to set a target to improve soil health in its production or sourcing practices.

Water
Ferrovial has an opportunity to engage with its suppliers to reduce water withdrawal. While the company reports a decrease in water pollution, it does not disclose its processes for managing and monitoring discharge water quality nor does it regularly report on water pollution. The company has an opportunity to disclose targets to reduce water pollution. While the company tackles access to water and sanitation through specific projects, it does not translate into a commitment to respect the right to water. Furthermore, the company does not disclose its processes for implementing preventive and corrective action plans for identified specific risks to the right to water and sanitation in its own operations.

Solid and air pollution
The company is reducing the production of hazardous waste. While Ferrovial reports regularly on air quality parameters of emissions of harmful air pollutants, it has a strong opportunity to report time-bound targets to reduce air pollutants across the most material parts of its value chain.

GHG emissions
Ferrovial has a time-bound target to reduce its scope 1 and 2 emissions and reports progress against it. The company’s targets are aligned with a 2°C trajectory. Ferrovial also has a time-bound target to reduce its scope 3 emissions and reports progress against it.

Invasive species
While Ferrovial recognises invasive species as a cause of biodiversity loss, no evidence that the company identifies the activities that could lead to the introduction of IAS in its own operations could be found in the public domain. No evidence was found that the company identifies the activities that could lead to the introduction of IAS in its value chain.

Safe, healthy, clean environment
Ferrovial does not disclose a commitment to respecting local communities’ right to a safe, clean, healthy and sustainable environment. Furthermore, no evidence that the company tracks its actual or potential negative impacts on the health of local communities was found. While the company states it has “zero tolerance” towards the commission of criminal acts, no evidence that the company has a commitment to zero tolerance for acts of violence, threats, intimidation or judicial harassment committed against land and environmental rights defenders could be found in the public domain.

Indigenous Peoples’ and land rights
While Ferrovial mentions Indigenous Peoples’ rights, it has an opportunity to report a commitment to respect their rights which references the relevant part(s) of ILO Convention No. 169 on Indigenous and Tribal Peoples or the UN Declaration on the Rights of Indigenous Peoples. The company also does not disclose its processes for identifying and recognising the rights of Indigenous Peoples when activities in its own operations may impact their rights, nor does it describe how it obtains Indigenous Peoples’ free, prior and informed consent. Furthermore, Ferrovial has a strong opportunity to disclose a commitment to respect ownership and use of land and natural resources and related legitimate tenure rights, as set out in the relevant part(s) of the VGGTs or the IFC Performance Standards. No evidence was found that the company requires its business relationships to have a process to identify legitimate tenure rightsholders, paying particular attention to vulnerable or marginalised tenure rightsholders, and to negotiate with them to provide adequate compensation.

While the company discloses that it conducts due diligence in general, it has an opportunity to specify that it conducts human rights due diligence that includes a process for identifying human rights risks and impacts through its business relationships. No evidence that the company describes its process for assessing its human rights risks and discloses what it considers to be its salient human rights issues was found. No evidence was found that the company has a global system to act on its salient human rights issues. While the company discloses the categories of stakeholders it engages with generally on sustainability issues, it is not clear if these stakeholders are those whose human rights have been or may be affected by its activities. No evidence that the company provides examples of its engagement with stakeholders whose human rights have been or may be affected by its activities was found.

The company has a publicly available policy statement which shows it is committed to respecting the health and safety of workers. The company has a publicly available policy statement which shows it expects its suppliers to commit to respecting the health and safety of their workers. The company discloses a time-bound target for paying all workers a living wage/ that it has achieved paying all workers a living wage. No evidence that the company describes how it determines a living wage for the regions where it operates was found. No evidence that the company describes how it works to support the payment of a living wage by its suppliers was found. The company discloses the proportion of its total direct operations workforce covered by collective bargaining agreements. No evidence that the company describes how it works to support the practices of its suppliers in relation to freedom of association and collective bargaining was found.

The company discloses a global tax strategy. No evidence that the company describes the process for identifying its bribery and corruption risks and impacts in specific locations or activities covering its own operations was found. The company includes anti-bribery and anti-corruption clauses in its contracts with direct business relationships. In a public policy statement, the company discloses its approach to lobbying and political engagement. No evidence that the company has a publicly available policy statement that specifies that it does not make political contributions was found.