Telefónica´s ESG KPIs 2022

The Telefónica´s ESG KPIs 2022 report has been prepared for informational and illustrative purposes. It contains forward-looking statements and information related to the Group. Telefónica presents its Main ESG objectives and indicators in terms of the environment, circular economy, digital inclusion, human capital, diversity and inclusion, and professional development. For instance, Telefónica has set a goal to achieve net zero emissions by 2040 globally, including the value chain.

This report also shows Telefónica’s contribution to GDP and employment in various countries, as well as its investment in R&D. For example, in 2022, Telefónica’s total contribution to GDP was 45,978 million euros and its total contribution to employment was 1,074,440 people.

As for the synthesis of this data report, here are some key points:

• In 2022, Telefónica reduced its scope 1+2 emissions by 80% and its scope 3 emissions by 32%.
• 82% of the electricity used in its own facilities was renewable.
• We recycled 98% of their waste and reused or refurbished 86% of customer equipment.
• In 2022, Telefónica ranked first in the Digital Inclusion Index.
• The company provided digital skills to over 1.3 million people in 2022.
• 31% of the company’s directors were women and 18% of the Executive Committee members were women.
• Telefónica invested 3,721 million euros in R&D+I in 2022.

Every product we offer adheres to both international standards and the local laws of each market in which we conduct business.

As a Company we are firmly convinced that we want to move towards a more respectful world, which is why we act on three fundamental pillars: Environment, Society and Government (ESG).

Environment

Telefónica is committed to reducing its environmental impact and contributing to a more sustainable future. We focus on four main areas: Energy and Climate Change, Circular Economy, and Digital Solutions for the Green Transition. We aim to reduce our CO2 emissions, increase their energy efficiency, and promote the circular economy by reducing waste and promoting recycling. Additionally, our goal is to use digital solutions to aid in the green transition, such as smart energy management systems and digital tools for environmental monitoring.

Social

Telefónica aims to contribute to the socio-economic development of the regions in which they operate, ensuring that no one is left behind. We focus on four main areas: Human Capital, Digital Inclusion and Human Rights, Sustainable Innovation and Contribution and Impact on Communities. We aim to develop our human capital, promote digital inclusion and human rights, drive sustainable innovation, and make a positive impact on the communities we serve.

Governance

Telefónica is dedicated to setting a standard in governance through its actions and policies. We focus on four main areas: Privacy and Security, Ethics and Corporate Governance and Supply Chain. We aim to protect customer data, uphold high standards of business ethics, ensure sustainability in our supply chain, and manage any adverse impacts of our operations. We also have the intention to maintain a high level of corporate governance, including a diverse and independent board of directors.

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