SNAM Sustainable Paths – 2015 Report on Corporate Social Responsibility

		Reference Document	Page reference/notes	External Assurance page
Strategy and Analysis
G4-1	Sustainability strategy	SR	Sustainable Capitals
G4-2	Risk and opportunity impacts	AR	Elements of uncertainty and risk management Methods of managing the main risks
Organizational profile
G4-3	Name of the organization	SR	Cover	✓
G4-4	Brand, products and services	SR	The Snam Group in 2015 Operating and financial results Developing services to improve the market Snam’s commitment to quality of service	✓
G4-5	Location of general headquarters		The company headquarters is San Donato Milanese	✓
G4-6	Local market presence, included significative impacts concerning products, activities, services and relationships	SR	The Snam Group in 2015 European Network National Network	✓
G4-7	Ownership structure	SR	The Snam Group in 2015	✓
G4-8	Markets served	SR	The Snam Group in 2015	✓
G4-9	Size of the organization	SR	The Snam Group in 2015	✓
G4-10	Total number of employees, broken down by type of contract, by sex and geographic area	SR	Material issues and business capital initiatives How human capital contributes to change Data and Performance Indicators	✓
G4-11	Total number of employees covered by collective labor agreements	National collective labour agreements (CCNL) apply to all Snam workers (the Energy and Petroleum Industry Agreement for the transportation, storage and regasification segments, and the Gas and Water Agreement for distribution). Snam guarantees all workers the right to freely express their thoughts, join associations and engage in union activities. At the end of 2015, 49.5% of employees were members of a trade union.		✓
G4-12	Supply chain description (n. supplier, volumes e procurement markets)	SR	Supply chain	✓
G4-13	Significant changes during the reporting period regarding the organization’s size, structure, ownership, or its supply chain	SR	The Snam Group in 2015 Supply chain	✓
G4-14	Explanation of any method of application of the prudence principle or approach	AR	Elements of uncertainty and risk management
G4-15	Signing and adoption of codes of conduct, principles and charters developed by external organizations	AR	Governance and the conduct of company activities
G4-16	Participation in trade associations	Website	Technological and regional partnerships
Identified material aspects and boundary
G4-17	List all entities included in the organization’s consolidated financial statements and those not covered by the report	SR	Note on methodology	✓
G4-18	Process for defining the report content and the Aspect Boundaries and how the organization has implemented the Reporting Principles for defining report content	SR	Our commitment to material issues Note on methodology	✓
G4-19	List all material aspects identified	SR	Our commitment to material issues	✓
G4-20	For each material aspect, report the aspect Boundary within the organization	SR	Note on methodology	✓
G4-21	For each material aspect, report the aspect Boundary outside the organization	SR	Note on methodology	✓
G4-22	Report effect of any restatements of information provided in previous reports, and the reasons	There are no significant modifications		✓
G4-23	Significant changes from previous reporting periods	SR	Note on methodology	✓
Stakeholder engagement
G4-24	List of stakeholders with which the Company interacts	SR	Stakeholders engagement policy	✓
G4-25	Principles for identifying stakeholders	SR	Stakeholders engagement policy
G4-26	Approach adopted for the activity of involving stakeholders	SR	Stakeholders engagement policy Customer satisfaction
G4-27	Results of involvement	SR	Our commitment to material issues Customer satisfaction
Report profile
G4-28	Period of reference of the document	SR	Note on methodology	✓
G4-29	Last report published	SR	Note on methodology	✓
G4-30	Frequency of reporting	SR	Note on methodology	✓
G4-31	Contacts	SR	Note on methodology	✓
G4-32	Report the in accordance options and table of G4 content	SR	Note on methodology	✓
G4-33	Policies and practices on independent auditing	SR	Note on methodology	✓
Governance
G4-34	Governance structure, including committees of the highest governance body	CGR	Snam’s corporate governance system
G4-35	Process for delegating authority from the highest governance body to senior executives and other employees about economic, environmental and social topic.	SR	Our commitment to material issues
G4-36	Executive-level position about sustainability topics and whether post holders report directly to the highest governance body	CGR	Meetings of the Board of Directors
G4-37	Process for consultation between stakeholder and the highest governance on economic, environmental and social topic and feedback processes.	SR	Our commitment to material issues
G4-38	Composition of the highest governance body and its committees	CGR	Appointment, composition and term of office Compensation Committee Appointments Committee Control and Risk Committee
G4-39	Combined chair and executive officer	Snam President is not executive
G4-40	Nomination and selection of highest governance body and the criteria used for selecting highest governance body	CGR	Meetings of the Board of Directors Appointment, composition and term of office
G4-41	Conflicts of interests	CGR	Maximum accumulation
G4-42	Roles of the highest governance body in developing, approving and updating strategies and policies on sustainability topic.	CGR	Meetings of the Board of Directors
G4-43	Measures to develop highest governance body knowledge on economic, environmental and social topics.	CGR	Board induction sessions
G4-44	Processes for evaluating highest governance body’s performance of economic, environmental and social topics.	CGR	Meetings of the Board of Directors
G4-45	Role of highest governance body to identify impact areas, risks and opportunities about sustainability topic.	AR	Risk oversight and the control system
G4-46	Role of highest governance body in review of risk management on sustainability topic.	AR	Risk oversight and the control system
G4-47	Frequency of the highest governance body’s review of economic, environmental and social impacts, risks, and opportunities.	AR	Elements of uncertainty and risk management Methods of managing the main risks Control activities
G4-48	The highest committee or position that formally reviews and approves the organization’s sustainability report and ensures that all material Aspects are covered.	SR	Note on methodology
G4-49	Process for communicating critical concerns to the highest governance body	CGR	Internal control and risk management system
G4-50	Nature and total number of critical concerns that were communicated to the highest governance body and the mechanisms used to address and resolve them.	AR	Control activities
G4-51	Remuneration policies for the highest governance body and senior executives and how performance criteria in the remuneration policy are related to the highest governance body’s and senior executives’ economic, environmental and social performances.	RR	Implementation of 2015 remuneration policies
G4-52	The process for determining remuneration and whether remuneration consultants are Involved and if they are independent.	RR	Snam’s Remuneration Committee
G4-53	Stakeholder engagement on remuneration process	Compensation policy has been submitted to the agreement of shareholders in the occasion of the annual shareholders meeting. This year 97.08% of attendees has agreed with the policy. This positive trend has been going on since 2012, when shareholders have been consulted for the first time, with an average score of 97.4%. With this result, Snam is among the best company of FTSE MIB and of one the best practice of the industry.
G4-54	The ratio of the annual total compensation for the organization’s highest-paid individual to the median annual total compensation for all employees in each country of significant operations		Confidential
G4-55	The ratio of percentage increase in annual total compensation for the organization’s highest-paid individual to the median percentage increase in annual total compensation for all employees in each country of significant operations.		Confidential
Ethics and Integrity
G4-56	Mission, values and Code of Conduct	SR	Anti-corruption	✓
G4-57	The internal and external mechanisms for seeking advice on ethical and lawful behavior (helpline,etc.)		Whistleblowing
G4-58	Processes for reporting concerns about unethical or unlawful behavior and for encouraging ethical behavior (hotlines, etc.)		Whistleblowing

Material aspects		Reference Document	Page reference/notes	Omissions	External Assurance page
CATEGORY: ECONOMIC
Economic Performance
DMA		SR	The Snam Group in 2015 Capitals that create shared value Our commitment to material issues The development of manufactured capital A more efficient energy market
EC1	Economic value generated and distributed directly	SR	Allocation of added value		✓
EC2	Economic and financial implications associated with climate change	SR	Emissions Trading		✓
EC3	Coverage of obligations assumed at the time of defining the pension plan (benefit plan obligations)		In 2015 Snam has fulfilled social contributions in compliance with by applicable law
EC4	Significant financial assistance received from government		Absent
Procurement practices
DMA		SR	Our commitment to material issues Supply chain
EC9	Policies, practices, and percentage of expenses concentrated on local suppliers	SR	Supply chain		✓

Material aspects		Reference Document	Page reference/notes	Omissions	External Assurance page
CATEGORY: ENVIROMENTAL
Energy
DMA		SR	Our commitment to material issues Energy consumption Performance indicators
EN3	Direct and indirect energy consumption broken down by primaryenergy source	SR	Energy consumption		✓
EN4	Energy consumption outside of the organization			No data available. Snam is considering how to implement reporting
EN5	Energy Intensity	SR	Data and Performance Indicators
EN6	Energy saving	SR	Performance indicators		✓
EN7	Reductions in energy requirements of products and services	SR	Performance indicators
Biodiversity
DMA		SR	Our commitment to material issues Sustainable use of natural capital Biodiversity
EN11	Size of land owned, leased or managed in protected areas (or adjacent to protected areas) or in areas with high biodiversity outside of protected areas	SR	Biodiversity
EN12	Description of the major impacts of activities, products and services on the biodiversity of protected areas or of areas with high biodiversity outside	SR	Sustainable use of natural capital Biodiversity		✓
EN13	Protected or restored habitats	SR	Sustainable use of natural capital Biodiversity		✓
EN14	Number of protected species that have their habitat in the organisation’s areas of operation, broken down by level of risk of extinction			not applicable
Emissions
DMA		SR	Our commitment to material issues Climate protection Emissions Trading Air protection
EN15	Total direct greenhouse gas emissions by weight (scope I)	SR	Climate protection		✓
EN16	Total indirect greenhouse gas emissions by weight (scope II)	SR	Climate protection		✓
EN17	Other indirect greenhouse gas emissions by weight (scope III)	SR	Climate protection		✓
EN18	Carbon intensity	SR	Data and Performance Indicators
EN19	Initiatives to reduce greenhouse gas emissions and results achieved	SR	Climate protection		✓
EN20	Emissions of Ozone-Depleting substances (ODS)	SR	Absent
EN21	NOx, SOx and other significant emissions into the air broken down by type and weight	SR	Air protection		✓
Overall
DMA		SR	Our commitment to material issues Sustainable use of natural capital
EN31	Expenses and investments in environmental protection, broken down by type	SR	Sustainable use of natural capital		✓
Suppliers Enviromental Assessment
DMA		SR	Our commitment to material issues Supply chain
EN32	Percentage of new suppliers that were screened using environmental criteria	SR	Supply chain		✓
EN33	Significant actual and potential l negative environment impacts in the supply chain and actions taken	SR	Supply chain		✓

Material aspects		Reference Document	Page reference/notes	Omissions	External Assurance page
CATEGORY: SOCIAL
LABOR PRACTICES AND DECENT WORK
Employement
DMA		SR	Our commitment to material issues How human capital contributes to change
LA1	Total number and rates of new employee hires and turnover by age group, gender and region	SR	How human capital contributes to change		✓
LA2	Benefits provided to full-time employees that are not provided to temporary or part-time employees, by significant locations of operation		There are no significant modification
LA3	Return to work and retention rates after parental leave, by gender	SR	Human capital open to everyone’s contribution		✓
Labor/Management Relation
DMA		SR	Our commitment to material issues How human capital contributes to change
LA4	Minimum notice periods regarding operational changes, including whether these are specified in collective agreements		The provisions of the national collective labour agreements are applied (see G4:11)
Occupational Health and Safety
DMA			Our commitment to material issues Keeping our human capital safe
LA5	Percentage of total workforce represented in formal joint management-worker health and safety committees that help monitor and advise on occupational health and safety programs		Worker representation is ensured through ref. T.U. Legislative Decree No. 81/2008 and the national agreements
LA6	Type of injury and rates of injury, occupational diseases, lost days, and absenteeism, and total number of workrelated fatalities, by region and by gender	SR	Keeping our human capital safe Wellbeing among personnel, which is also good for the company		✓
LA7	Workers with high incidence or high risk of disseases related to their occupation	SR	Keeping our human capital safe
LA8	Health and safety topics covered in formal agreements with trade unions		Worker representation is ensured through ref. T.U. Legislative Decree No. 81/2008 and the national agreements
Training and education
DMA		SR	Our commitment to material issues Keeping our human capital safe Teaching new skills and professional capabilities Transparency of Performance Management Human capital open to everyone’s contribution
LA9	Average hours of training per year per employee by gender, and by employee category	SR	Keeping our human capital safe Teaching new skills and professional capabilities		✓
LA10	Programs for skills management and lifelong learning that support the continued employability of employees and assist them in managing career endings	SR	Teaching new skills and professional capabilities
LA11	Percentage of employees receiving regular performance and career development reviews, by gender and by employee category	SR	Transparency of Performance Management Targets assigned to sustainability issues		✓
Suppliers assessment for labor practices
DMA		SR	Our commitment to material issues How human capital contributes to change
LA14	Percentage of new suppliers that were screened using labor practices criteria	SR	Supply chain		✓
LA15	Significant actual and potential negative impact for labor practices in the supply chain and actions taken	SR	Supply chain		✓
Labor Practices Grievance Mechanisms
DMA		SR	Our commitment to material issues How human capital contributes to change
LA16	Number of grievances about labor practices filed, addressed, and resolved through formal grievance mechanisms	SR	Industrial relations

Material aspects		Reference Document	Page reference/notes	Omissions	External Assurance page
CATEGORY: SOCIAL
SOCIETY
Supplier human rights assessment
DMA		SR	Our commitment to material issues How human capital contributes to change
HR10	Percentage of new suppliers that were screened using human rights criteria	SR	Supply chain		✓
HR11	Significant actual and potential negative human rights impacts in the supply chain and actions taken	SR	Supply chain		✓
Local communities
DMA		SR	Our commitment to material issues Responsible management of natural capital Sustainable use of natural capital
SO1	Nature, objective and effectiveness of programmes and/or practices for evaluating and managing impact on a given community, including activity	SR	Sustainable use of natural capital
SO2	Commencement, operation and decommissioning phases	SR	Sustainable use of natural capital
Anti-Corruption
DMA		SR	Our commitment to material issues Anti-corruption Supply chain
SO3	Percentage of business units analysed for corruption risk	SR, AR	Anti-corruption Supply chain Elements of uncertainty and risk management Methods of managing the main risks		✓
SO4	Percentage of employees with anti-corruption training	SR	Teaching new skills and professional capabilities		✓
SO5	Actions taken in response to incidents of corruption	AR	Control activities
Compliance
DMA		CGR	Complete document
SO8	Total legal actions regarding unfair competition, anti-trust and monopolistic practices and respective judgments	AR	Disputes and other measures

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