Society

One green step ahead – together

In the future, Verdo wants to play an even greater socially relevant role in the areas in which we operate through commitment, knowledge sharing and financial support.

Verdo succeeds when we develop new solutions together with customers and design infrastructure and urban solutions as a local, innovative partner.

Verdo CEO Jakob Flyvbjerg Christensen has an ambition. An ambition to involve local communities in the business to a much greater extent than in the past.

In 2020, Verdo focused on running its regulatory and commercial business, and these efforts will continue at full steam in the coming years supported by the new strategy. But it is a balancing act as the regulatory business places a special responsibility and obligation on us, while the commercial business obviously needs to be profitable and create value. So the question is whether Verdo exists to make money or whether it exists for the benefit of the local community, among other things. Jakob Flyvbjerg Christensen has no doubt:

“Verdo must be a cornerstone of the local community. We’re now so much more than a utility company focusing on critical infrastructure. We believe that the Verdo Group can make an increasingly positive difference to our local communities by contributing to the green transformation, securing local infrastructure, developing urban and business communities and making Verdo an even more attractive place to work.”

Giving back DKK 3 million to the community This requires that Verdo increasingly views itself as an active and committed player in the local communities in which we operate – a process that will be accelerated in 2021. As a utility company, our roots are in the production and distribution of heat, water and electricity. Over time, however, we have expanded our growing business to include other areas of activity – areas that build on the expertise we have acquired over the years as a utility company.

We want to make a difference with our new, purpose-driven ambition. And although we invested heavily in the Group’s portfolio during 2020, we still gave back more than DKK 3 million to the community in the form of sponsorships. Add to this our investments and other activities in the local communities, where we play a major role.

Verdo’s sponsorships reflect our values and our responsibility to the local community we are part of. We have

We believe that the Verdo Group can make an increasingly positive difference to our local communities by contributing to the green transformation, securing local infrastructure, developing urban and business communities and making Verdo an even more attractive place to work.

Jakob Flyvbjerg Christensen, CEO, Verdo

step ahead – together

As part of our social contract, we devote a portion of our profits to promoting business and urban development, innovation projects and local community development.

First, we focus on developing our portfolio – then we give back to the community through three investment pools

We reinvest most of our operating profits in the development of the Group’s portfolio Business promotion and urban development in Randers and Herning

Innovation projects to promote the transition to sustainable critical infrastructure

Development of social and cultural cohesion in society

strong Randers roots, which benefits sports and cultural institutions such as Randers FC, Randers HK, Værket, Randers Regnskov and most recently Randers Teater.

Proud sponsor of Randers FC Verdo has been a loyal main sponsor of Randers FC since the club was founded in 2003, and in 2020 we renewed our sponsorship agreement for another three years. The agreement is a crucial boost to the club, which had a good year, but suffered financially as a result of COVID-19.

“In terms of leisure opportunities, top-level football is important to Randers as it brings the city together. Moreover, top-level football provides increased opportunities for the local business community, and we want to be part of this development,” says CEO Jakob Flyvbjerg Christensen.

“Verdo is very proud to have been involved from the beginning. We have a very good working relationship with Verdo, and together we’re exploring ideas on how we can expand our cooperation for the benefit of everyone in the city,” says Henrik Jørgensen, CEO, Randers FC.

Cooperation based on traditions and shared values Verdo also wants to maintain a significant presence in Herning and support local initiatives through sponsorships, among other things. So far, this has resulted in sponsorship agreements with the handball club HC Midtjylland and the ice hockey club Herning Blue Fox. The sponsorships allow us to build and maintain a close relationship and a good local knowledge of our business partners and customers in Herning and the surrounding area. When Verdo took over the heat supply and street lighting operations in Herning in autumn 2019, we also teamed up with the area’s oldest ice hockey club Herning Blue Fox, which has been around since 1947. This means, among other things, that Verdo’s logo adorns the ice hockey stars’ familiar navy blue apparel. But Verdo and Herning Blue Fox have many other shared values which cannot be showcased through ads on sports apparel. As a sports club, Blue Fox is moving more and more towards a green transformation of which Verdo is a clear proponent in many areas. “As a culture bearer in Danish ice hockey, we want to be frontrunners in the green transformation of professional sport. We want to take responsibility for the future through representatives from the world of sport and develop Blue Fox as a responsible, enterprising and sustainable sports club. The hockey rink makes ice hockey an energy-intensive sport, and one of our key priorities is to make the most of the energy we use. Our goal is to ensure optimum use and reuse of energy, water and heat. We also want to be first movers in biodiversity at a sports facility and make our parking areas a hub for Verdo charging stations for electric vehicles in the future,” explains Blue Fox

CEO Torben Skovsgaard. Verdo wants to play an active role in Herning, especially when it comes to the green transformation. Going green therefore fits perfectly with this ambition as it further strengthens the ties between Verdo and Herning Blue Fox. “Verdo wants to play an active role as a value-creating partner in the green transformation and sustainable development of Herning as a city and a community in close cooperation with local businesses and associations. To do this, we provide green, safe and inexpensive heat and energy-efficient street lighting as well as supporting the roll-out of our charging stations for electric vehicles,” says Brian Seeberg, Division Director, Verdo.

Greener vehicles in the future Sustainable energy is at the heart of Verdo. The implementation of various initiatives and measures to support sustainable development is therefore a natural part of our contribution to the local communities. In 2020, we decided to take a step towards a greener vehicle fleet. As advocates of green energy and providers of sustainable solutions, we need to take a critical look at ourselves and identify opportunities for going even greener in a financially responsible way. That is why we are now embarking on a process to replace our vehicle fleet in the years to come.

In recent months, Verdo’s procurement department, along with selected mobile staff, have tested several electric and plug-in hybrid vehicles. With our fleet of more than 200 vehicles, the switch will take place continuously as existing vehicles need to be replaced due to age etc. Once the switch is complete, we will have reduced CO2 emissions by 70% compared to now.

Expanded biomass certification Another way to support the green transformation is to use sustainable biomass. For many years, we have stayed abreast of the development and the increased demands that customers, authorities and politicians place on biomass. As a result, we are already one step ahead and well placed to meet the legislative requirements for sustainable biomass announced by the Danish government.

We recently expanded our Sustainable Biomass Programme (SBP) certification and are now a certified SBP Biomass Producer. Although we already hold several certifications, we must be willing to embrace the responsibilities and opportunities offered by the increased demands that are being placed on us. Among other things, we do this by giving our customers added peace of mind by offering certified products which not only benefit our customers but also society and the environment.

Promoting local development

• We support the sustainable development of water, heat and electricity supply as well as fibre-optic and technical infrastructure. • We create an attractive foundation for a rich and growing business community. • We develop and share knowledge and support projects that promote a sustainable transformation. • We take active responsibility for providing traineeships and apprenticeships. • We support the local community through sponsorships and donations. Supporting local businesses

In spring 2020, we decided to immediately pay all our Danish suppliers in order to help particularly small and medium-sized enterprises which were hit hard financially by the COVID-19-related lockdown. The initiative, which continued until halfway through the year, saw us transferring around DKK 60 million to our suppliers during this period. We were very pleased to be able to support our business partners through difficult times like this. In Denmark, the Verdo Group has not received any COVID-19-related assistance or aid packages.

Supporting local associations

In 2020, Hornbæk Idræt & Kulturcenter near Randers inaugurated its new artificial grass field with LED lighting. Verdo supported the project with a donation, which is a tangible example of our commitment to the local community. The new artificial grass field is a boost to the town’s leisure facilities and helps to attract and retain families with children and many other citizens. This is good for families, for the local community and for the development of Randers. Our sponsorship helped to make the project happen, and in doing so we have come full circle on our promise to give back to our customers.