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ENERGY CONSUMPTION AND CO2 EMISSIONS

In addition to heating, air conditioning, lighting, and computer equipment, Moncler’s energy consumption is mainly related to the production activities at its site in Romania.
In 2017, 100% of the energy purchased in Italy came from renewable sources.
During the year, the Group also assessed the environmental impact of its employees’ business travel. Based on a number of employees accounting for 53% of the total workforce, travel by air, train, and car in 2017 generated approximately 1,490 tonnes of CO2 emissions.
In order to reduce the carbon footprint of the Company’s car fleet, low environmental impact cars will be introduced during 2018.

 

 

INITIATIVES TO MITIGATE ENERGY CONSUMPTION AND CO2 EMISSIONS
In addition to the major goals achieved in 2017 as described above, including ISO 14001 certification of the Environmental Management System (EMS) at the production site in Romania and the use in Italy of 100% green energy, the Group is currently implementing several initiatives across its shops and offices, and at the production site in Romania, to reduce energy consumption and CO2 emissions.

They range from gradually replacing traditional lighting systems with LED lights, to using green ICT technologies, identifying new methods to use energy more efficiently, and mitigating the environmental impact of employees’ business travel.
With regard to improving the efficiency of lighting systems, thanks to the investments made in 2017, to date, 93%5 of stores worldwide (100% in the United States and over 97% in Europe) are equipped with Light-Emitting Diode lights. Latest-generation LED technology delivers high-quality lighting and about 50-70% in energy savings compared to the former lighting systems, with less residual heat. In terms of environmental impact, LED lights have an average life of five years, versus the six months of traditional light bulbs, and are made almost entirely of recyclable materials. In 2017, Moncler invested about 710,000 euros to replace traditional lighting systems with LED lights.
Further steps towards energy reduction in 2017 were also made during the project to renovate the corporate headquarters in Trebaseleghe (Padua, Italy), where an entire area was already equipped with more efficient lighting systems, using LED lamps, and with insulation systems ensuring greater energy efficiency.

In order to develop a better understanding of the initiatives that could feasibly reduce the environmental impact of stores, Moncler is also engaged in assessing sustainability requirements in the store design process. Indeed, in addition to style, aesthetics, sophistication, and practicality, the Company is paying more and more attention to sustainability aspects in the design and realization of its stores. While it is fundamental that stores feature good lighting, layout, climate control, and functionality, the Group is aware that these aspects need to be managed as soundly as possible to limit their impact on the environment. Moncler relies on the market’s best specialists to design its stores, choosing to work with companies offering innovative solutions that also take account of environmental protection.

The Company is also committed to minimising the environmental impact of its Information and Communication Technology (ICT) systems, by implementing increasingly efficient and innovative solutions and thus providing all offices with guidelines for the purchase of green ICT equipment. Moreover, Moncler leverages the potential offered by new technologies that favour remote communication, including the most innovative video conferencing and telepresence systems, which reduce the impact of business travel on both the environment and people’s quality of life.
To date, Moncler has 18 conference rooms equipped with modern video conferencing or telepresence technology, 4 more compared to 2016, thanks to the set-up of new facilities at the offices in Shanghai, Hong Kong, New York, and Trebaseleghe.

In 2017, these systems theoretically prevented over 19 million kilometres of business travel, estimated to be equal to approximately 2,900 tonnes of CO2 equivalent6.
Moncler is also careful when it comes to the selection of eco-efficient ICT components and equipment. The Group mainly uses multi-functional devices that print, copy, and scan all-in-one, which reduces energy consumption and simplifies maintenance.
Existing devices are progressively being replaced with lower energy consumption units. Over the years, the Group has been replacing all hardware components and monitors in Italy with new Energy Star-certified devices. Energy Star is a voluntary energy efficiency programme, one of the most well-known worldwide.

Developed jointly by the United States’ Environmental Protection Agency and Department of Energy, Energy Star was devised to reduce costs and help protect the environment through the adoption of energy-efficient products and practices. Products carrying the Energy Star label guarantee excellent energy performance.
In recent years, the Group has also continued to reduce, replace, consolidate, and virtualise its servers, which has led to considerable benefits in terms of energy consumption and related CO2 emissions.

In particular, the extension of virtualisation technologies led to smaller, low-consumption servers, designed to both minimise the amount of energy required to cool the machines, and optimise the use of space and overall performance. In 2017, the virtual infrastructure used by the Moncler Group reached 305 virtual servers (50 more than in 2016, with 45 at the corporate virtual centre and 5 at the virtual centre of the logistics hub in Piacenza). Finally, the server room at the production site in Bacau (Romania) was re-engineered by installing an IBM PureFlex Blade host with new data storage, which allowed the virtualisation (and elimination) of all physical servers present.

1 The 2016 data includes direct consumption in Italy and Romania only, which accounted for about 82% of the total cost of natural gas. Increased consumption in 2017 is due to the broader scope of reporting, which was extended globally, covering 100% of the total cost of natural gas (except for cases in which data is managed by the host department stores).

2 The 2016 and 2017 monitoring of consumption and emissions includes the car eets in Italy and Romania (accounting for about 100% of the Company eet). The 2015 data is not available (N/A).

3 The 2016 and 2017 increase in indirect consumption compared to 2015 is due to the progressive and signi cant expansion
of the scope, which in 2017 covered the entire Group.

4 The coef cients used to calculate emissions were published by: DEFRA (Department for Environment, Food & Rural Affairs) in 2015, and by the Department for Business, Energy & Industrial Strategy (BEIS) in 2017. The calculation of CO2eq (which includes CH4, NO2, HFC, PFC, and SF6 emissions when present) was carried out in accordance with the indications of the Global Warming Potential guide, which is based on the latest scienti c studies of the Intergovernmental Panel on Climate Change (IPCC): IPCC Fourth Assessment Report, (AR4).

5 Excluding the 14 shop-in-shops in which lighting is provided by the host department stores, where Moncler cannot take action.

6 The reduction in emissions achieved by using video/telepresence conferencing technologies was estimated by:
— taking into consideration only video/teleconference calls lasting more than 20 minutes
— assuming an average number of four participants in each video/teleconference call
— estimating the ights avoided per each international video/teleconference call. CO2 estimates were calculated on the basis of the distance in kilometres between the cities linked via video/teleconferencing, assuming two people ying in economy class
— estimating the road trips (by diesel-powered car) avoided per each national video/teleconference call. CO2 estimates were calculated on the basis of the distance in kilometres between the cities linked via video/teleconferencing
— considering only one calling point and one receiving point for calls involving more than two countries (e.g., Italy, Japan, and the United States)
— calculating the emissions saved based on the coef cients provided by the Department for Business, Energy & Industrial Strategy (BEIS).

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