Sustainability Performance 2021

Accelerating towards a circular wind industry Achieving carbon neutrality was an important milestone for our company. However, it was just the first step towards thinking and acting sustainably in everything we do. Recently, we readied the first prototype of a recyclable wind turbine blade under the ZEBRA (Zero wastE Blade ReseArch) project along with our industry partners. The 62m blade is built using a unique thermo- plastic resin that has valuable recycling properties and we are now looking forward to testing the technology further. We also committed to support a blade-recycling project in Spain launched by utility Endesa and partners PreZero España, Recic- lalia Composite, by supplying surplus glass fiber generated dur- ing blade manufacturing at our Ponferrada and Castellón facilli- ties. To summarize, carbon neutrality was our first step and now we are moving towards reducing carbon footprint in the upstream through initiatives like Zero Waste Blades by 2030 and in the downstream through blade recycling projects. These achievements underscore how we are actively contribut- ing to the development of a circular wind industry and collabo- rating with partners to make 100% recyclable wind turbines in future, addressing the issue of waste generation and inefficient use of raw materials. Backed by exceptional advances in tech- nology, our efforts to make a fully sustainable product and turning waste into a resource will deliver exceptional value for our stakeholders and further strengthen our commitment to power a cleaner planet and future for us all. various training, and development programs, activities promot- ing diversity, inclusion, and equality as well as employee engagement exercises. We also joined forces with our peers in the industry, GE Renew- able Energy, Ørsted, Owens Corning, Siemens Gamesa Renew- able Energy, and spearheaded the Windclusion Alliance announced in Copenhagen in November 2021, to ensure that the rapidly expanding wind industry is seen as an attractive sector for job seekers, to nurture a diverse and inclusive talent pipeline for the industry to achieve its urgent climate goals. As a carbon neutral business, we continue to focus on optimizing use of natural resources and improve existing blade designs to facilitate more recycled materials. Through lean and continuous improvement projects, we have aimed at reducing material con- sumption, while at the same time the portion of recycled waste from our plants have risen to 41% in 2021 compared with 27% in 2020. These outcomes have enabled us to further green our operations and in turn deliver more value for our customers. A significant step was taken in 2021 to further boost our sustain- ability efforts when we committed to producing Zero Waste Blades by 2030, to address an important challenge the industry is facing - to reduce the carbon footprint of its products. It means we aim to send no excess manufacturing materials and packaging to landfill and incineration without energy recovery by 2030. As a manufacturing company it is important to realize that producing waste for us is inevitable. But we can reuse, repurpose, or recycle all the waste from our blades thus setting up a circular economy and create a framework for recovering the value from waste. 4 | LM WIND POWER SUSTAINABILITY PERFORMANCE 2021