Europe’s energy sector is undergoing a major transformation towards sustainable solutions. The European Commission has been continuously increasing and accelerating ambitious targets for faster decarbonization, renewable energy development, and increasing energy efficiency, while at the same time envisaging their massive financial support from national governments. The current objectives and specific instruments are set out in the European Green Deal and fundamentally affect the business environment in many sectors besides the energy sector.The current business concept of CEZ Group and the CEZ Group’s strategy anticipate these trends. We aim to maximize the business opportunities associated with the modernization, digitalization, and decarbonization of the energy sector in the EU.
CEZ Group is one of the leading economic entities in the Czech Republic; furthermore, it operates in Western, Central, and South-Eastern Europe.
The main subject of CEZ business endeavors is generation, distribution, trading, and sale of electricity and heat; trading and sale of natural gas; provision of comprehensive energy services from the new energy sector, and coal mining. CEZ Group is one of the ten largest energy companies in Europe.
*Total number of customers of electricity and gas in the Czech Republic in 2022.
CEZ Group’s mission is to provide safe, reliable, and positive energy to its customers and society as a whole.
In the Czech Republic, CEZ Group companies also produce and distribute electricity and heat, trade in electricity and other commodities, and extract coal. The production portfolio consists of nuclear, water, photovoltaic, wind, coal, and gas sources. Furthermore, to its customers such as households, firms, cities, and towns, CEZ Group offers facilities for the production and storage of electricity and provides comprehensive ESCO energy services, for example, in conjunction with savings. Moreover, CEZ Group also focuses on innovation, being a shareholder in a number of cleantech companies in modern power engineering, and its subsidiaries heavily invest in scientific projects and R&D.
CEZ Group’s vision is to bring innovations for addressing energy needs and help improve the quality of life.
In its business endeavors, CEZ Group follows strict ethical standards, including a responsible approach in respect of its employees, the company, as well as the environment. CEZ Group is focused on its commitment to corporate responsibility. As part of its business activities, CEZ Group endorses the principles of sustainable development, supports energy efficiency, promotes new technologies, and creates an environment for the professional growth of its employees. Its corporate culture is focused on safety, steady growth in internal efficiency, and support for innovation in order to increase the CEZ Group value.
The current strategy was defined in 2019 in line with the Company’s updated business concept. In May 2021, as part of its accelerated strategy VISION 2030—Clean Energy of Tomorrow, CEZ Group defined strategic objectives for 2030 taking into account the EU’s decarbonization vision. At that time, we set specific ambitions in the area of social responsibility and sustainable development to maximize shareholder value.
The activities of associations are typically aimed at promoting the interests of members and improving the quality of the profession. The objectives supported include education, research, or representation of the profession in the public and international field. Such activities are very useful and are fully in line with legislation. However, in addition to its undeniable benefits, membership of associations also has its risks. Particularly in those groups which bring together representatives of competing companies. Like the notorious cartel agreements between competitors, decisions by associations encouraging members to coordinate their market behavior are prohibited by law. In particular, the most serious offenses are the coordination of prices of goods and services, the disaggregation of markets, including agreements to manipulate public procurement, and the restriction of generation volumes.
CEZ Group is committed to transparent and effective sustainability and ESG governance. In July 2021, we established an ESG Office led by the Chief Sustainability Officer (CSO), Michaela Chaloupková. The CSO reports directly to the CEO, Daniel Beneš. They are both sustainability leaders in CEZ Group. ESG Office is responsible for everyday sustainability agenda, non-financial reporting, coordination of ESG initiatives, and management of ESG working groups. ESG management uses the Centralized-coordination-decentralized-implementation model.
Chief Executive Officer and Chairman
of the Board of Directors of ČEZ, a. s.
ESG Strategic Steering Committee
Board of Directors, CSO
selected top management
ESG Executive Steering Committee
CSO, division representatives, managers of ESG Initiatives
and ESG Working Groups
The SSC is the highest level of ESG management. The rights and responsibilities of the SSC are set out in the ESG Strategic Steering Committee Charter. The SSC determines CEZ Group’s sustainability strategy and monitors the progress of ESG initiatives and working groups. The SSC also monitors the fulfillment of targets set in VISION 2030—Clean Energy of Tomorrow.
The ESG Sponsor and the Chairman of the SSC is Daniel Beneš, CEO and Chairman of the Board of Directors. The ESG Executive Sponsor and the Vice-Chairwoman of the SSC is the CSO, Michaela Chaloupková. Other members of the SSC are the members of the Board of Directors, the Strategy Director, the Communication and Marketing Director, the Legal Affairs Director, and the Audit and Compliance Director.
The ESC is the managerial and operational level of governance and coordination of the ESG agenda. The Chairwoman of the ESC is Michaela Chaloupková, CSO. Its members are representatives of all Divisions and key departments in terms of ESG management.
ESG Initiatives are projects led by teams managed within one division to implement ESG objectives approved by the SSC across the CEZ Group. The ESG initiatives are headed by managers appointed by the initiative sponsors.
ESG Working Groups are cross-divisional management teams that implement ESG objectives approved by the SSC across the CEZ Group. The ESG Working Groups are headed by leaders appointed by the Chairwoman of the ESC.
The ESG office of CEZ Group consists of two sections: reporting and programs. One of the main responsibilities of the reporting section is to collect data for the CEZ Group Sustainability Report, which is a primary source of non-financial information for our stakeholders. The program section works on the implementation of ESG goals within CEZ Group and communicates with stakeholders, rating agencies, and organizations and initiatives related to sustainability and ESG.
The ESG office collaborates with other departments and companies of CEZ Group. One of the aims of the ESG office is to improve CEZ Group’s ESG rating so that the company ranks among the top 20% companies in ESG rating.
The main task of the Programmes Unit is to communicate with stakeholders, in particular the rating agencies, and to seek new ESG targets. These ESG targets are then implemented through ESG initiatives and working groups in cooperation with individual departments across CEZ Group.
Specialist of the environmental programs – expert
Specialist ESG CEZ Group - Social
Specialist ESG CEZ Group - Governance
Specialist of the stakeholder dialogue – expert
The main task of the Reporting Unit is to collect data and, based on this data, to produce a Sustainability Report, the main purpose of which is to provide information to key stakeholders, whether they are investors, banks, insurance companies, communities where we operate or employees.
We have been publishing non-financial data in the Sustainability Report since 2016.
The Sustainability Report is one of the main documents against which rating agencies assess us. To improve our rating, the report will need to be more comprehensive and reflect ESG criteria. At the same time, we cannot just report on the results we have achieved, but will need to clearly describe our ambitions for the future in each ESG area.
Specialist ESG Taxonomy CEZ Group – expert
Specialist ESG Reporting CEZ Group
Specialist ESG Reporting CEZ Group
Specialist ESG Reporting CEZ Group