Carbon footprint of the PZU Group

The PZU Group was not subject to the European Emissions Trading Scheme in 2024, hence it has no such emissions in its scope 1. As of the reporting date, the PZU Group had no information regarding circumstances that would significantly affect greenhouse gas emissions. The PZU Group did not use external calculation tools to calculate emissions for scopes 1 and 2.

When calculating Scope 2 emissions, due to the sharing of space in some properties for own operations with other entities, including those outside the PZU Group, proportional estimates of consumption were made and rounded to the nearest significant value. Estimation of Scope 1 and Scope 2 emissions was also made for selected properties in the absence of consumption information covering the entire year 2024 for them. Consolidated data provided by some of the PZU Group’s subsidiaries, including their aggregate consumptions, were also used to calculate Scope 1 and Scope 2 emissions.

Under scope 2, the PZU Group is taking steps to decarbonize its electricity sources. The main elements used by the Group are:

• GO contracts (guarantees of origin) covering just under 44% of the electricity consumed;
• own renewable sources (photovoltaics) covering about 2% of the electricity consumed;
• PPA (Power Purchase Agreement) contracts covering <1% of the electricity consumed.

For Scope 3, emissions related to insurance, investment, credit, and leasing activities were deemed material and were grouped into a single key category:

• Category 15 (Emissions from financial investments) – emissions resulting from held bonds, stocks, investment funds, project finance, sold insurance policies, and granted loans.

Due to the lack of significant CO₂e emissions, the remaining Scope 3 categories were considered insignificant and not included in the statement. PZU Group intends to monitor the materiality of the remaining categories and, if found material, include them in the statement in future years.

To ensure full transparency, the table below presents the activities covered by the Scope 3, Category 15 CO₂e emission calculations across different value chain elements.

In calculating Scope 3 emissions, the PZU Group relied on primary data for 50% of emissions. In order to present a consistent value for all entities, emissions that were assigned a PCAF quality score (“PCAF score”) of 1 or 2 were considered to be derived from primary data.

The PZU Group’s CO₂e emissions were calculated in accordance with the methodology covering the calculation of Scope 3 emissions, developed at the PZU Group level. Individual subsidiaries of the PZU Group, for their own reporting or publication purposes, may have used methodologies containing minor methodological differences. Therefore, once the approach to calculations at the PZU Group level has been made consistent, the disclosures of presented results, may differ between publications.