Climate change impacts the costs, revenues, and reputation of the company. Therefore, it plays a fundamental role in shaping our strategy. This is why we have publicly committed to achieving Net-zero for our operations by 2030.

In terms of energy and carbon management, we adhere to the principles outlined in our Energy, Carbon, and Climate Change Management Policy:

• Create value for the business while also generating value for society.
• Improve the energy efficiency of equipment, facilities, fleet, and product design in a continuous performance improvement context.
• Provide information and resources to achieve set objectives and goals.
• Adhere to the current legal and regulatory framework and other commitments that the company subscribes to.

Carbon footprint

The environmental impact of CTT is primarily reflected in emissions of air pollutants, primarily greenhouse gases (GHGs). These emissions are primarily due to our own transportation and subcontracted transportation, which are responsible for nearly all of our carbon footprint (scopes 1, 2, and 3).

Since 2015, the fact that we purchase 100% green electricity for all our consumption has significantly reduced annual emissions in scope 2, contributing to reducing the overall carbon footprint of the company and achieving the adopted goals for carbon emission reduction, both absolute and specific.

Indirect emissions associated with subcontracted transportation (scope 3) continue to represent the majority of emissions. Direct emissions resulting from fuel consumption (scope 1) and indirect emissions from air mail and parcel transportation (scope 3) follow.

Taking into account direct carbon emissions (scope 1) and indirect emissions (scope 2), in 2022, every postal item transported corresponded to a carbon emission of 16.6 g of CO2. You can find more details about our performance in each of these parameters in our Integrated Report.

Fleet

The subcontracted fleet of CTT Express and CTT Express in Spain has also started to incorporate the use of electric vehicles in distribution. It marks the beginning of an upward trajectory.

We have also been investing in and implementing dynamic route computing systems, which enhance route optimization and the energy efficiency associated with the mail and parcel transportation and distribution activities. Learn more about our Sustainable Mobility policy.

We do our part in an international effort.

We subscribe to and actively participate in various carbon management programs and indices, both at the national and international levels. Our energy management strategy aims to contribute to keeping the global average temperature increase below 2°C, in response to the challenge set by the Climate Convention. But we've gone even further: as members of the "Business Ambition for 1.5°C" initiative of the United Nations Global Compact, we have aligned our strategies with the global goal of keeping the planet's average temperature increase below that threshold.

Furthermore, we are part of the group of companies with ambitious carbon emission reduction targets approved by the Science-Based Target Initiative (SBTi). We have committed to reducing absolute emissions by 30% by 2025 compared to 2013 and reducing emissions per letter or parcel by 20% over the same period.

Highlighting our performance, we have been recognized with top ratings on a global scale in the two sustainability ratings we participate in: the Carbon Disclosure Project (CDP) with the highest level (A) and the Sustainability Measurement and Management System (SMMS) of the International Post Corporation (IPC), where we ranked 5th out of 21 postal operators worldwide.