Almost €35 million invested in projects benefiting local communities in the areas where the Enel Group companies are present with their activities. That was the amount achieved in 2014, a touchstone for the company's contribution to the development and social and economic growth of the areas and communities in which it operates with various projects, ranging from the extension of infrastructure to educational and training programmes, from initiatives aimed at social inclusion to projects that support the cultural life of the local community.
The Creating Shared Value model that Enel is implementing along the entire value chain of its business directly results in the constructive relationship that has been established with communities and people of cities and areas where the Group operates. And Enel has also adopted a method to quantify in economic terms this commitment which characterises its presence in all the 31 countries of the world in which it is present.
The London Benchmarking Group (LBG) method, devised by a work team in which more than 100 international companies participate, is a measurement model that makes it possible to clearly determine and classify the company's contribution to the development of communities in which it is present. In particular, according to the LBG standard, expenses for contributions for communities may be divided in:
- Charitable donations: these are pro bono contributions that create no obligations for the recipients except to use the donation for beneficial ends and for non-profit associations. For Enel this category includes all cash and in-kind donations, including philanthropic and charitable activities;
- Investments in the community: medium to long term involvement in projects to support communities, also in partnership with local organizations, aimed at addressing significant issues both for the local area and for the Company. This category includes, for example, projects linked to a broader strategy to benefit the community, such as ENabling ELectricity, or specific initiatives dedicated to communities located near power plants;
- Commercial initiatives with a social impact: contributions to activities related to the core business, in which the Company promotes its own brand and corporate identity. Examples of these initiatives are sponsorships and marketing campaigns which include benefits for the community or contributions to charitable causes.
Enel's total contribution to the communities where it operates in 2014 stood at 70.7 million euro. Of these, the largest portion of 49.5 percent was used for 'investments in communities', 44 percent for 'commercial initiatives with a social impact' and 6.4 percent for charitable donations. These numbers show the Group's approach to achieving a sustainable development model that is the result of a commitment also shared with shareholders, communities and individuals, together with whom it is engaged in building the common good.