Case study: How Omega creates economic value for its stakeholders
Omega is the largest generator of Brazilian renewable energy, with an installed generation capacity of 1,869 MW in wind and solar energy and small hydro power plants. Omega has been working tirelessly for the causes of 100% Renewable Energy and Sustainable Energy, creating long-term value for each and every one of its stakeholders. Tweet This!
This case study is based on the 2021 Annual Report by Omega, prepared in accordance with the GRI Standards, that can be found at this link. Through all case studies we aim to demonstrate what CSR/ ESG/ sustainability reporting done responsibly means. Essentially, it means: a) identifying a company’s most important impacts on the environment, economy and society, and b) measuring, managing and changing.
Abstract
In 2021, the economic value distributed among Omega’s stakeholders reached R$ 1,285.8 million. In order to create economic value for its stakeholders Omega took action to:
- create economic value for employees
- create economic value for the government
- create economic value for financiers/third parties
- create economic value for shareholders
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With this case study you will see:
- Which are the most important impacts (material issues) Omega has identified;
- How Omega proceeded with stakeholder engagement, and
- What actions were taken by Omega to create economic value for its stakeholders
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What are the material issues the company has identified?
In its 2021 Annual Report Omega identified a range of material issues, such as ethics, integrity and compliance, innovation and business resilience, attracting, developing and retaining employees, energy efficiency, socio-environmental responsibility. Among these, creating economic value for its stakeholders stands out as a key material issue for Omega.
Stakeholder engagement in accordance with the GRI Standards
The Global Reporting Initiative (GRI) defines the Principle of Stakeholder Inclusiveness when identifying material issues (or a company’s most important impacts) as follows:
Stakeholders must be consulted in the process of identifying a company’s most important impacts and their reasonable expectations and interests must be taken into account. This is an important cornerstone for CSR / sustainability reporting done responsibly.
Key stakeholder groups Omega engages with:
| Stakeholder Group | Method of engagement |
| Clients
| · Customer relationship chat service · Telephone interactions · Email, social media and commercial meetings · Customer service · Customer help desk · Events · Confidential Hotline |
| Communities
| · In-person interaction · Telephone interaction · WhatsApp messaging and discussion forums (Eg. Diálogos project – MA) |
| Suppliers and business partners | · Meetings and conference calls with suppliers · Ombudsman channel · Supplier service channel · Events · Confidential Hotline and Unsafe Conditions Reporting Channel |
| Government, regulators and Environmental agencies | · Strategic, political, institutional and technical meetings · Working groups and events · Advocacy through trade associations |
| Media | · Email · Responses to media queries and requests for interviews · with Omega Energia executives and information about Omega’s business and operations |
| Investors and financiers | · Telephone interaction · IR email messages · IR website · General meetings · Virtual meetings · Conferences · Webinars · Roadshows · Earnings calls · Online surveys |
| Trade associations | · Discussion forums · Meetings · Letters · Telephone interaction · Participation in public hearings and publication of technical papers |
| The Omega Energia Team/ Co-entrepreneurs | · Internal communications (Workplace, Teams) · Workshops · Mentoring · Online surveys · Events · Service channel for Omega’s team · Confidential Hotline and Unsafe Conditions Reporting Channel |
How stakeholder engagement was made to identify material issues
To identify and prioritise material topics Omega engaged with its stakeholders through online questionnaires and interviews.
What actions were taken by Omega to create economic value for its stakeholders?
In its 2021 Annual Report Omega reports that it took the following actions for creating economic value for its stakeholders:
- Creating economic value for employees
- In 2021, Omega paid R$ 39.2 million in employee costs.
- Creating economic value for the government
- In 2021, Omega paid R$ 206.5 million to the government.
- Creating economic value for financiers/third parties
- In 2021, Omega paid R$ 743.1 million to financiers/third parties.
- Creating economic value for shareholders
- In 2021, Omega paid R$ 296.9 million to shareholders.
Which GRI Standards and corresponding Sustainable Development Goals (SDGs) have been addressed?
The GRI Standard addressed in this case is: Disclosure 201-1 Direct economic value generated and distributed
Disclosure 201-1 Direct economic value generated and distributed corresponds to:
- Sustainable Development Goal (SDG) 8: Decent Work and Economic Growth
- Targets: 8.1, 8.2
- Sustainable Development Goal (SDG) 9: Industry, Innovation and Infrastructure
- Targets: 9.1, 9.4, 9.5
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References:
This case study is based on published information by Omega, located at the link below. For the sake of readability, we did not use brackets or ellipses. However, we made sure that the extra or missing words did not change the report’s meaning. If you would like to quote these written sources from the original please revert to the following link:
https://omega-public-assets.s3.sa-east-1.amazonaws.com/documentos/Sustainability+Report+2021.pdf
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