LM_Sustainability_Report_2022

People and society Carbon neutrality Circularity LM Wind Power Sustainability Performance 2022 Introduction What is a Life Cycle Assessment? Cradle -to-grave analysis technique to assess environmental impacts associated with all stages of a product or process’ life Raw materials Inbound transport Manufacturing Outbound transport Installation Operations & maintenance End of life Inputs Raw materials Energy Water Outputs Emissions Waste By-products Environmental impacts Global Warming Potential (GWP) Depletion of natural resources Depletion of natural resources Ecotoxicity Human toxicity Eutrophication LCA of a typical glass blade + = Cradle -to -grave Cradle -to -gate Transport Inbound Transport Transport Frames Electricity Blade Mold Other Gelcoat Adhesives Plastics Packaging Steel Pol Res Glass Fib Manufacturing Raw materials Life cycle assessment We influence the sustainability of our products by integrating life cycle thinking into our blade design processes. Materials Together, with other leading companies, we strive to optimize the use of natural resources throughout the lifetime of a blade, aiming to give these resources a new life within a cir- cular economy. As a blade m nufacturer, our position in the value chain enables us to influence the emissions that occur upstream, before a blade is installed on a wind turbine. It is a fact that more than 70% of emissions from the life cycle of a blade occur during resource extraction. Therefore, to improve the overall sustainability of our products, we need to effec- tively engage with our supply chain partners. When it comes to our own emissions, we ensure compliance with legal & other obligations and maintain effective control over the release of air (pollutant) emissions by a mix of designing our facilities control & minimize the emissions, and implementing strict operating procedures. On top of that rel- evant records are accurately document and meticulously file to facilitate verification and auditing processes. Recycled content LM Wind Power is committed to limiting to the minimum the use of balsa wood, and whenever it is not possible to eliminate it, source it from responsible sources. The balsa we still need to source comes from global suppliers who have provided strong evidence for sustainable sourcing policy or FSC certifi- cations. In 2014, we introduced PET as an alternative to balsa, and since then we have progressively transitioned from balsa wood to PET. Currently, around 95% of our blades use mainly PET. We also aim to have a substantial volume of the PET from a recycled source, keeping in mind the overall carbon foot- print optimization that includes both material extraction and 31