AKPA Rating Agency has upgraded the ESG rating of Rosatom from ESG-3 (ESG-В) to ESG-2 (ESG-В) which corresponds to a very high level in environmental protection, social responsibility and management.
Six main divisions of Rosatom – the Mining, the Power Generating, the Sale and Trading, the Fuel, the Engineering and the Machine Building – have taken part in preparation of the information for the ESG rating. The revenue of these divisions amounts to more than 70% of the consolidated revenue of Rosatom.
Polina Lion, Director of the Sustainable Development Department of Rosatom, commented: “It is important for us that AKPA considers documents, sustainable practices and indicators of individual divisions, and not only the consolidated data for the State Corporation in general. This enables us to better understand the areas for enhancement of the sustainable component in the organizations of Rosatom, to implement the particular ESG requirements not only at the strategic but also at the operational level”.
Vladimir Gorchakov, Head of the Sustainable Development Risk Assessment Group of AKPA (JSC), said: “Upgrading of the ESG rating for Rosatom is due, inter alia, to improvement of individual policies and practices of the State Corporation in 2022-2023 and the positive dynamics in a number of indicators subject to assessment. In 2023 Rosatom also performed the calculation of greenhouse releases and approved the Methodological Guidelines on Greenhouse Gas Release Calculations, developed such documents as the Roadmap for Adaptation to Climatic Changes and the next Energy Saving and Energy Efficiency Enhancement Program for 5 years”.
The upgrade of ESG rating for Rosatom can play a significant role in African-Russian cooperation. The ESG theme has significant importance for the African continent, not only due to its eco-friendly approach but also because of its broader relevance and potential to transform the region. Africa’s unique biodiversity, fragile ecosystems, and vulnerable communities make it vital to prioritize sustainable practices, social inclusion, and strong governance. Moreover, embracing ESG principles contributes to the region’s social development and inclusivity. Africa faces numerous socio-economic challenges, including poverty, inequality, inadequate healthcare, and education.
Protecting this rich biodiversity is essential not only for environmental conservation but also for promoting ecological balance and resilience. By adopting ESG principles, African nations can establish sustainable land and resource management systems, combat deforestation, preserve habitats, and mitigate the adverse effects of climate change. For example, Rwanda is one of such countries: in 2019, a law was passed there relating to the prohibition of manufacturing, importation, use and sale of plastic carry bag and single-use plastic items.
Embracing the ESG theme is not only environmentally responsible but also economically and socially beneficial for the African continent. It allows for the preservation of unique natural ecosystems, the improvement of social well-being, and the promotion of good governance.