Sustainable Business (ESG++)

Beyond Corporate ESG

Stellae Energy adopts UN Sustainable Development Goals (SDG) as its core business principles

Goal 1. End poverty in all its forms everywhere

More than 700 million people — or 10 per cent of the global population — still live in extreme poverty, which means they are surviving on less than $1.90 a day. Experts predict these figures will continue to rise as a result of the COVID-19 crisis alongside the ongoing impacts of conflicts and climate change. Improving the lives of the poorest and most vulnerable — ensuring no one is left behind — is an overarching theme of the Sustainable Development Goals (SDGs) and the primary focus of Goal 1: No Poverty. In order to achieve the vision set out in the SDGs, the fundamental issue of poverty must be addressed.

Poverty is about more than a lack of income. It has a range of different socioeconomic dimensions, including: the ability to access services and social protection measures and to express opinions and choice; the power to negotiate; and social status, decent work and opportunities. Poverty is also the root cause of many human rights and labour rights violations. For example, child labour, forced labour and human trafficking are each deeply connected to poverty.

Under the UN Guiding Principles on Business and Human Rights, companies have a responsibility to respect human rights and labour rights in accordance with international standards which includes identifying and avoiding practices that perpetuate poverty traps. A company can do this by conducting human rights due diligence to identify, prevent, mitigate and account for how they address actual and potential human rights and labour rights impacts in their own operations and supply chains.

Addressing poverty is a complex process that should involve dialogue and collaboration amongst companies and with stakeholders. We are committed to respecting human rights and fundamental principles and rights at work by leveraging our supply chains and taking collective action to address decent work deficits. We would like to develop strategies with communities to reduce working poverty and re-think supply chains to transform them into engines of sustainable growth.

Goal 2. End hunger, achieve food security and improved nutrition and promote sustainable agriculture

The 2030 Agenda for Sustainable Development was adopted in a world where food insecurity and hunger present an enormous global challenge. The world’s population is expected to grow to nine billion by 2050 and demand on global food systems intensifies every day. However, transforming our food and agriculture systems to make them sustainable, resilient and inclusive will deliver access to healthy and nutritious foods, help create livelihoods for small-scale producers and processors, and help protect ecosystems and combat climate change. In this context, business has become a critical partner in designing and delivering effective, scalable and practical solutions for food security and sustainable agriculture. Every actor along the agriculture supply chain, including farmers, producers, traders, retailers, investors and consumers has a critical role to play to establish sustainable food systems that advance food security, protect the environment and ensure economic opportunity. The vision of a world without hunger is ambitious. And it cannot be achieved in isolation. Food security and sustainable agriculture call for all businesses, large or small, to conduct responsible business and for responsible action and leadership from all actors in society.

Stelllae has adopted following UN Food and Agriculture Business Principles as far as they are applicable in renewable energy context

  1. Aim for Food Security, Health and Nutrition
    We would support food and agriculture systems that optimise production and minimize waste, to provide nutrition and promote health for all people through innovative energy solutions.
  2. Be Environmentally Responsible
    Stellae would should protect and enhance the environment through deployment of green energy solutions globally. In cases where Hydrocarbon based energy is part of solution, significant efforts will be made to reduce GHGs.
  3. Ensure Economic Viability and Share Value
    Stellae will create, deliver and share value across including with the local communities.
  4. Respect Human Rights, Create Decent Work and Help Communities To Thrive
    Businesses should respect the rights of local communities, workers and consumers. They should improve livelihoods, promote and provide equal opportunities.
  5. Encourage Good Governance and Accountability
    Stellae Energy will also behave legally and responsibly by respecting land and natural resource rights, avoiding corruption, being transparent about activities and recognizing their impacts.
  6. Promote Access and Transfer of Knowledge, Skills and Technology
    Stelae promotes access to information, knowledge and skills for more sustainable energy systems.

Goal 3. Ensure healthy lives and promote well-being for all at all ages

The world has achieved significant gains in maternal, newborn and child health and well-being since the launch of Every Woman Every Child a decade ago.

More than 1 billion children were vaccinated
Maternal deaths declined by 35% since 2000, with the most significant declines occurring from 2010
85% of pregnant women living with HIV have received effective treatment for the prevention of mother-to-child transmission of the virus, up from 45% in 2010
Under-5 deaths reached an all-time recorded low, with 122 countries already achieving the SDG goals for under-5 mortality
Coverage of immunization, and skilled birth attendance and access to safe drinking water reached over 80%
25 million child marriages have been prevented since 2010
More than 1 billion children have been vaccinated

Stellae is committed to working with the communities to improve overall health infrastructure, sanitation and access to clean water through availability of clean and sustainable energy sources.

Goal 4. Ensure inclusive and equitable quality education and promote lifelong learning opportunities for all

We are in a global learning crisis.
More than 57 million children of primary school age are still out of school.3 Fifty per cent reside in conflict-affected areas.4 Over 69 million adolescents are not attending primary or secondary school.5 For the past three years, these numbers have hardly decreased, and in some countries, progress has stalled or reversed. Children, youth and adults still confront discrimination to ac- cess quality learning opportunities despite international affirmation of the right to education.

Even when children and youth go to school, often they are not learning. Two hundred and fifty million children of primary school age cannot read or write; some (130 million of them) even after spending four years in school.6 About 774 million adults – two-thirds of whom are women – can- not read or write.

The situation is worse in conflict-affected countries. Many children have their education inter- rupted by conflict and emergency and never return to school. Lack of educational opportunities undermine broader economic development and social stability.8

There is tremendous potential for the private sector to contribute to improving education around the world. If we fail to act, we face deepening inequalities and the untapped potential of millions to drive our collective future. The population of 15 to 24 year olds is now over one billion in the developing world, roughly one-sixth of the world’s population.9 Confronted with limited investments in quality education, we face a reality of the largest population in history without the skills, knowledge or attitudes to engage positively in society.

Stellae through its energy projects commits to improving access to education and learning quality for children, youth and adults: In this regard it will fully commit to developing and strengthening local work forces as soon as practically possible in the operations. Technology and knowledge transfer is critical for human development and Stellae would like to play a critical role transferring know how to countries and communities where its operations are based.

Goal 5. Achieve gender equality and empower all women and girls

Discriminatory laws and legal gaps continue to prevent women from fully enjoying their human rights. According to data for 2020 from 95 countries and territories, more than half lacked quotas for women in the national parliament; 83 per cent included budgetary commitments to implement legislation addressing violence against women, although 63 per cent continued to lack rape laws based on the principle of consent; more than 90 per cent prohibited discrimination in employment on the basis of gender, yet almost half continued to restrict women from working in certain jobs or industries; and almost one quarter did not grant women equal rights to men for entering into marriage and initiating divorce proceedings.

By 2019, women accounted for nearly 39 per cent of the global labour force, but held only 28.3 per cent of managerial positions, a rise of 3 percentage points since 2000. The disproportionate impact of the pandemic on women in the workforce, and female entrepreneurs in particular, threatens to roll back the little progress made in reducing the global gender gap in managerial positions.

In Stellae we believe your gender should not define or limit the
choices you make about what you study, where you work, your career ambitions
and how you care for others. Our HR policies cater for the imbalance and ensure we are not limiting opportunities for women in our workforce.

Goal 6. Ensure availability and sustainable management of water and sanitation for all

Billions of people worldwide still live without safely managed drinking-water, sanitation and hygiene services, which are critical for protecting human health and containing the spread of the COVID-19 virus. Over the past century, global water use has increased at more than twice the rate of population growth. In addition to water stress, countries and territories are facing growing challenges linked to water pollution, degraded water-related ecosystems, water scarcity caused by climate change, and a lack of cooperation on transboundary waters. The world is not on track to achieve Goal 6. A dramatic acceleration is needed in the current rates of progress and in integrated and holistic approaches to water management.

Between 2000 and 2020, the global population using safely managed drinking water and sanitation services increased by 2 billion and 2.4 billion, respectively. Despite the progress, 2 billion people lacked safely managed drinking-water services, 3.6 billion safely managed sanitation services and 2.3 billion basic hygiene services in 2020. One in three people worldwide still lack basic handwashing facilities with soap and water at home, leaving them especially vulnerable to the COVID-19 virus.

In 2020, 129 countries and territories were not on track to meet the target for implementing integrated water resources management by 2030, which includes financing and intersectoral coordination mechanisms, basin management and monitoring. The rate of implementation needs to double globally. In many countries and territories, the COVID-19 pandemic has led to wider stakeholder engagement in water resources management through online consultations.

Freshwater ecosystems and the multitude of resources that they provide are changing dramatically. One fifth of the world’s river basins are experiencing rapid increases or decreases in surface water area. This unprecedented situation is compounded by pollution in large lakes and the persistent loss and degradation of wetlands and freshwater biodiversity. Between 1970 and 2015, the total area of inland and marine or coastal wetlands declined by approximately 35 per cent, three times the rate of forest loss. Existing efforts to protect and restore water-related ecosystems must be scaled up and accelerated urgently.

In Stellae we believe the without adequate power, clean water and improved sanitation can be a challenge, we are ready to play our part by providing combined modular scalable units for power, water treatment, and sanitation treatment. This is available as Turnkey/EPCI to Leasing to Reimbursable EaaS (Energy as a Service).

Goal 7. Ensure access to affordable, reliable, sustainable and modern energy for all

Energy poverty is the largest limiting factor to economic growth in the world. Around 4 billion people lack enough electricity to enjoy a life with better living standards and economic opportunities. Poor electrical access is present in both the developing and underdeveloped world.

IEA reports that Sub-Saharan Africa currently has the lowest electrification access rate in the world with ~50% of Sub-Saharan Africa’s population do not have access to electricity and even this “access” is significantly below world averages. The population of Africa will double in the coming decades and they will need better, cleaner energy sources.

Remote Indigenous and Extractive Industry communities in Canada and Australia rely on Diesel power generation with very expensive fuel transportation and storage costs combined with significant GHG emissions

Many Remote and Extractive Industry communities across South America, Middle East, and Asia have shortages of power or unreliable power with Conventional Power Generation with high costs and emissions.

In Stellae we believe that access to electricity is particularly crucial to human development as electricity is indispensable for certain basic activities, such as lighting, refrigeration/cooling, and communications, and cannot easily be replaced by other forms of energy. Use of energy is important in improving people’s standard of living including access to clean water and improved sanitation. As parts of the world are taking advantage of the Internet and Digital technologies and tools, many of these other communities need electricity to access the same benefits for education, business, and commerce.

Goal 8. Promote sustained, inclusive and sustainable economic growth, full and productive employment and decent work for all

Following average growth of about 2 per cent from 2014 to 2018, global real GDP per capita increased by only 1.3 per cent in 2019 and is estimated to have declined by 5.3 per cent in 2020 owing to the pandemic. Global real GDP per capita is projected to increase again by 3.6 per cent in 2021 and 2.6 per cent in 2022.

The real GDP of the least developed countries increased by 4.8 per cent in 2019 and is estimated to have fallen by 1.3 per cent in 2020 because of the disruption caused by the pandemic.

Before the onset of the pandemic, informal employment accounted for 60.2 per cent of global employment, equivalent to 2 billion people with informal jobs characterized by a lack of basic protection, including social protection coverage. More than three quarters, 1.6 billion informal workers, were significantly affected by the pandemic-related lockdown measures or were working in the sectors hardest hit.

They are at high risk of falling into poverty and will experience greater challenges in regaining their livelihoods during the recovery.

Stellae through its green energy projects commits to improving lives of local populations, bringing in knowledge and knowhow, training local work force and paying fair wages. We wish to promote sustained, inclusive and sustainable economic growth, full and productive employment and decent work for all through green energy revolution.

Goal 9. Build resilient infrastructure, promote inclusive and sustainable industrialisation and foster innovation

According to data from 2018 and 2019 on the 25 countries and territories in Africa, Asia, South America, Central Asia and the Middle East for which the Rural Access Index of the World Bank was updated using a spatial method, almost 300 million out of 520 million rural dwellers still lack reliable access to roads.

Growth in maritime freight volumes and global container port traffic weakened in 2019, expanding at the marginal rates of 0.5 and 2 per cent, respectively, compared to 2018. As a result of the COVID-19 pandemic, the volume of international maritime freight is expected to have fallen by 4.1 per cent and global container port traffic by 2.1 per cent in 2020.

The pandemic affected manufacturing by disrupting global value chains and restricting the movement of people and goods, resulting in a significant drop of 8.4 per cent in manufacturing production in 2020. The global share of manufacturing value added in GDP fell from 16.5 per cent in 2019 to 15.9 per cent in 2020.

Manufacturing in the least developed countries is expected to have grown by a negligible 1.2 per cent in 2020, compared to 8.7 per cent in 2019, helping the least developed countries to increase their share of manufacturing value added to 12.8 per cent in 2020 from 10.1 per cent in 2010. However, the growth rate is too slow to meet the target of doubling the share of industry in GDP by 2030. Manufacturing value added per capita in 2020 was only $135 in the least developed countries, compared to $4,194 in Europe and Northern America.

Fostering Innovation with inclusive industrialisation is in the company DNA. We have committed in all our Government engagements on creating opportunities for all stakeholders and act in the best interests of communities, local partners and financing stakeholders at the time.

Goal 10. Reduce inequality within and among countries

Globally, in 2019, 54 per cent of the 111 Governments with data reported having instituted a comprehensive set of policy measures to facilitate orderly, safe, regular and responsible migration and mobility of people, which means that they have reported having policy measures in place for at least 80 per cent of the subcategories that make up the six policy domains of this indicator. The degree to which the policy measures were reported, however, varies widely across policy domains, with most countries and territories reporting measures for cooperation and partnerships and for safe, orderly and regular migration, and fewest countries and territories reporting measures for migrant rights and for socioeconomic well-being.

From 2017 to 2020, the proportion of products exported by the least developed countries and developing countries that receive duty-free treatment has remained unchanged at 66 and 52 per cent, respectively.

In 2019, total resource flows for development to developing countries from Development Assistance Committee donors, multilateral agencies and other key providers amounted to $400 billion, of which $164 billion was ODA.

The average global cost of sending a $200 remittance decreased from 9.3 per cent in 2011 to 6.5 per cent in 2020, bringing it closer to the international target of 5 per cent. The average annual decrease was 0.31 percentage points.

Technology transfer will play a significant role in reducing inequality. Developing countries can and should insist on proper resource allocation and capacity development of big infrastructure projects such as Energy and Infrastructure.

Goal 11. Make cities and human settlements inclusive, safe, resilient and sustainable

The number of slum dwellers has continued to grow over the years, exceeding 1 billion in 2018. Slum dwellers are most prevalent in the three regions of Eastern and South-Eastern Asia (370 million), sub-Saharan Africa (238 million) and Central and Southern Asia (226 million).

According to data from 2019 for 610 cities in 95 countries and territories, about half of the urban population has convenient access to public transport, defined as living within a walking distance of 500 metres to low-capacity transport systems, such as buses or trams, and 1,000 metres to high-capacity systems, such as trains and ferries. As a result of the COVID-19 response measures imposed in countries and territories throughout 2020, access to public transport in cities worldwide was significantly disrupted, from partial closures and reduced capacities to total closure of networks.

We believe in inclusive development and progress for masses rather than just few. Future should be brighter for all who have capacity and willing to do the hard work to achieve a sustainable, inclusive community.

Goal 12. Ensure sustainable consumption and production patterns

For decades, scientists have been explaining the ways in which humanity is driving the three planetary crises of climate, biodiversity and pollution, all of which are linked to unsustainable production and consumption. Changes in consumption and production patterns can help to promote the decoupling of economic growth and human well-being from resource use and environmental impact. They can also trigger the transformations envisaged in global commitments on biodiversity, the climate, and sustainable development in general. The COVID-19 pandemic provides a window of opportunity for exploring more inclusive and equitable development models that are underpinned by sustainable consumption and production.

Data indicate a rise of almost 40 per cent in the global material footprint per capita, from 8.8 metric tons in 2000 to 12.2 metric tons in 2017. Similarly, domestic material consumption per capita increased by more than 40 per cent, from 8.7 metric tons in 2000 to 12.2 metric tons in 2017.

In 2019, the amount of e-waste generated was 7.3 kg per capita, with only 1.7 kg per capita documented to be managed in an environmentally sustainable manner. E-waste generation is expected to grow by 0.16 kg per capita annually to reach 9 kg per capita in 2030. The annual rate of growth in e-waste recycling over the past decade was 0.05 kg per capita, which will need to increase more than tenfold if all e-waste is to be recycled by 2030.

Fossil fuel subsidies declined in 2019 to $431.6 billion as a result of lower fuel prices, reversing the upward trend from 2017 to 2018. Fossil fuel subsidies are expected to fall sharply owing to the collapse in demand caused by COVID-19 mitigation efforts and the oil price shock experienced in 2020.

One major component of a sustainable future is responsible energy, production, efficiency and consumption. Stellae is offering low GHG, green and hybrid solutions to contribute meaningfully towards such a future.

Goal 13. Take urgent action to combat climate change and its impacts

Atmospheric concentrations of the major greenhouse gases continued to increase despite the temporary reduction in emissions in 2020 related to measures taken in response to the COVID-19 pandemic. The six years from 2015 to 2020 are likely to be the warmest on record. Climate change is making the achievement of many Goals less likely. To limit global warming to 1.5°C above pre-industrial levels in accordance with the Paris Agreement, the world would need to achieve net zero carbon dioxide emissions by around 2050.

According to scientists, global emissions should be cut to 45 per cent below 2010 levels by 2030 in order to limit global warming to 1.5°C above pre -industrial levels. Emissions from developed countries were approximately 6.2 per cent lower in 2019 than in 2010, while emissions from 70 developing countries rose by 14.4 per cent in 2014.

Stellae is providing solutions for multiple industries, sectors and nations in reduction of greenhouse gases through introduction of intermittent renewable energy such Solar and Wind, persistent green energy in the form of Geothermal, reduction of Carbon Dioxide with CCS, new fuels and storage in the form of Hydrogen production and storage, and replacement of Diesel generated powers in remote off grid locations with the introduction of Standalone Power Systems (SPS).

Goal 14. Conserve and sustainably use the oceans, seas and marine resources for sustainable development

More than 3 billion people rely on the oceans for their livelihoods, and more than 80 per cent of world merchandise trade by volume is carried by sea. The oceans, seas and marine resources are under constant threat from pollution, warming and acidification that are disrupting marine ecosystems and the communities they support. These changes have long-term repercussions that require the world to urgently scale up the protection of marine environments, investment in ocean science, support for small-scale fishery communities, and the sustainable management of the oceans.

While efforts to reduce nutrient inputs into coastal zones are showing success in some regions, algal blooms indicate that coastal eutrophication continues to be a challenge. Globally, anomalies of chlorophyll-a (the pigment responsible for photosynthesis in all plants and algae) in national exclusive economic zones decreased by 20 per cent from 2018 to 2020.

Ocean acidification is caused by the absorption of atmospheric carbon dioxide by the ocean, resulting in a decreasing pH and threatening marine organisms and ocean-based services. A limited set of long-term observation sites in the open ocean have observed a continuous decline in pH over the past 20 to 30 years.

In Stellae we believe reduction of GHGs in all forms through introduction of Green and Hybrid energy solutions, we believe our proposals will contribute, on a small scale, towards improving pH in the coming decades

Goal 15. Protect, restore and promote sustainable use of terrestrial ecosystems, sustainably manage forests, combat desertification, and halt and reverse land degradation and halt biodiversity loss

Deforestation and forest degradation, continued biodiversity loss and the ongoing degradation of ecosystems are having profound consequences for human well-being and survival. The world fell short on 2020 targets to halt biodiversity loss. The COVID-19 pandemic has shown that, by threatening biodiversity, humanity threatens its own survival. While great efforts are being made to expand sustainable forest management, increase coverage of key biodiversity areas and sign up t o legislation and treaties for protecting biodiversity and ecosystems, much more needs to be done to put the health of the planet at the centre of all plans and policies.

Data based on satellite imagery reveal that green coverage (forests, grasslands, croplands and wetlands) of the world’s mountains remained steady at about 73 per cent between 2000 and 2018. Green cover tends to be greater in mountain areas that are less than 2,500 metres above sea level. However, mountain green cover varies considerably across geographical regions, ranging from 100 per cent in Oceania to 68 per cent in Northern Africa and Western Asia.

Globally, the risk of species extinction has increased by about 10 per cent over the past three decades. The Red List Index, which ranges from a value of 1 to indicate no risk of extinction to a value of 0 to indicate the extinction of all species, decreased from 0.81 in 1993 to 0.73 in 2021.

Community based solutions which consider Biodiversity objectives during development of facilities minimising industrial footprint is the future in Green Energy. Stellae will engage local communities prior to any project development to ensure this is fully considered and implemented.

Goal 16. Promote peaceful and inclusive societies for sustainable development, provide access to justice for all and build effective, accountable and inclusive institutions at all levels

The world is still a long way from achieving the goal of building peaceful, just and inclusive societies, with millions of people living in fragile and conflict-affected States. At the end of 2019, 79.5 million people had been forcibly displaced worldwide, equivalent to 1 per cent of the global population. The COVID-19 pandemic has exposed inequalities and discrimination and has tested, weakened, and in some cases shattered rights and protection systems in countries and territories.

Data from more than 120 countries and territories indicate that people living in low-income countries and territories are those most exposed to bribery. According to the latest data available for the period from 2011 to 2020, the average prevalence of bribery in low-income countries and territories is 37.6 per cent, compared to 7.2 per cent in high-income countries and territories.

Establishment-level data from 145 countries and territories surveyed between 2006 and 2020 indicate that almost one business in six around the world is subject to requests from public officials for bribe payments.

Stellae strictly abide by the principles of global antibribery law and ensures all its dealings with the Government and Communities is conducted in a transparent manner. Our unique business model of community inclusivity ensures that we legitimate rewards and benefits of development are spread in the society rather than concentrate in the hands of the few.

Goal 17. Strengthen the means of implementation and revitalize the global partnership for sustainable development

With multilateral and global partnerships already challenged by scarce financial resources, trade tensions, technological obstacles and a lack of data, the COVID-19 pandemic has administered an unprecedented shock to the global system. In addition, there is severe pressure on FDI, which is expected to fall by 40 per cent. The fiscal impacts of the pandemic are leading to debt distress in countries and territories and limiting their fiscal and policy space for critical investments in recovery (including accessing vaccines), climate change and the Goals, which threatens to pro long recovery periods. The pandemic has focused attention on the crucial role of global partnerships. The interconnected global economy requires a global response to ensure that all countries and territories, in particular developing countries, can address the compounding and parallel health, economic and environmental crises in order to recover better.

As of 2019, across approximately 130 economies, government revenue, including taxes, social contributions and grants, accounts for approximately 33 per cent of GDP on average. In addition, the average overall tax burden or revenue in the form of taxes is 25 per cent of GDP in advanced economies and 17 per cent of GDP in emerging market and developing economies. The average proportion of gover nment expenditure funded by taxes is 67 per cent in advanced economies and 62 per cent in emerging market and developing economies.

In Stellae we believe in technology transfer, local capacity building and fiscally responsible practices to ensure a fair share of benefits of any energy project is reaped at local and national levels. This is include emphasis on local partnerships, supply chains, contractors and developing skills in the community. Retraining work forces with new technology and transfer of skill and expertise wherever possible.