Slide 1: Sustainability: We Care. We Dare. We Act.
Sustainability: We Care. We Dare. We Act. Dr. Ilham Kadri CHAIR OF THE DATE EXECUTIVE COMMITTEE & CEO DECEMBER 1ST, 2021
Slide 2: Our Holistic approach to sustainability
PEOPLE Our Holistic approach to sustainability PLANET PROFIT
Slide 3: PLANET
PLANET We walk the talk
Slide 4: Making meaningful progress on the climate
Making meaningful progress on the climate 2018 2019 2020 Progress 2030 baseline over 2 years targets Align GHG emissions with Paris Agreement and SBTi 12.6* Mt 12.0 Mt 10.1 Mt -20% Reduce by 30% CLIMATE -8% structural (-2.5%/yr) Phase out coal wherever renewable alternatives exist 33 PJ 32 PJ 27 PJ
Slide 5: NEW ambition of carbon neutrality before 2050
NEW ambition of carbon Our commitments neutrality[1] before 2050 Paris Mt CO2 Agreement 14 Actuals Feb 2020 12 2014-18 ~-1% p.a. 2018-20 Solvay ~-4% p.a.[3] trend 10 ONE P before lanet 8 We SBTi ll Science-Based Targets be 6 low initiative 2°C Sep 2020 4 So lv of ay So ou 1. da tsid So 5° 2 lva C As
Slide 6: Tangible plans to achieve energy transition
Tangible plans to achieve energy transition 1 on-site solar farm (NL) 2020 zero carbon 1 site wind power power 2 sites (IL) Waste-To-Energy (Fl) 2020 project (FR) 2023 Batteries (CA) 2020 2024 1 site supplied with RENEWABLE 2 biomass green steam (Korea) Coal to gas projects (FR) 2 biomass projects 2
Slide 7: Solvay's path towards carbon neutrality
Solvay’s path towards carbon neutrality 12.6* Mt CO2 2018 2030 2040 < 2050 baseline 5.8 Energy transition Wide diversity of solutions 1.6 Process emissions Electrification, Process Innovation 2.2 and Technology development 1.9 Hard-to-abate Carbon 1.1 Responsible Offsets neutrality page 7 * Adjusted
Slide 8: Exiting coal: we are on the way
Exiting coal: we are on the way Local and circular solution to our energy supply First plant exiting coal Rheinberg, Germany -4% Group Total GHG emissions page 8
Slide 9: Exiting coal: we are on the way
Exiting coal: we are on the way Clean, Local, Affordable and Compelling Returns Creation of an SPV[1] Dombasle Energie, France -2% Group Total GHG emissions page 9 [1] SPV: Special Purpose Vehicle
Slide 10: More to come… decarbonization of Scope 3
More to come… decarbonization of Scope 3 Will announce SBTi targets by Autumn 2022 page 10
Slide 11: Engaging with suppliers to drive change
>250 executives >130 companies First Solvay Supplier Day >500 Engaging with People on a collaborative platform suppliers to drive change 300 People participate to 5 ESG workshops page 11
Slide 12: Improving the standard of living for Guar farmers by leveraging blockchain
Improving the standard of living for Guar farmers by leveraging blockchain Customer Cooperative Guar producers Supply Payment 2000 25% x2 Chain Flow Flow (& Bonus) Farmers using women Farmers Blockchain revenues page 12
Slide 13: Pascal Chalvon Demersay
Pascal Chalvon Demersay CHIEF SUSTAINABILITY & GOVERNMENT AFFAIRS OFFICER page 13
Slide 14: Helping customers to decarbonize
250,000 solar panels Offsetting 80,000 tons of CO2 Solvay Jasper Solar Farm Member of Apple's Supplier Clean Helping customers Energy Program to decarbonize 100% Green electricity on 17 sites in US page 14
Slide 15: The future is circular. Not linear
The future is circular. Not linear Shift to renewable & recycled raw materials sourcing Use of recycled Use of renewable raw materials raw materials Close the loop in Circular design Ecosystem with our Solvay strategy for life span customers to boost extension Circular sales Partnership Ellen Mac Ar
Slide 16: 2021: a year of great progress
2021: a year of great progress Partnership Partnership Waste as a along the with raw material value chain customers Natural Vanillin, using rice Using End-of-life Batteries TECHSYN tire husk to produce as a source of metals and technology platform bio-based products materials page 16
Slide 17: Three superior growth platforms
Three superior growth platforms GLOBAL TRENDS Thermo- Green Batteries plastic Hydrogen Composites Represents a multi-billion Euros growth opportunity page 17
Slide 18: Managing our sites responsibly
Managing our sites responsibly page 18
Slide 19: We are regenerating our habitat
We are regenerating our habitat CEFIC award in the category “Ecosystem preservation” Gold Certificate of the Wildlife The emperor dragonfly Habitat Council (WHC) from the cuchia quarry, Quarry Les Petons, granted to Paulina site Torrelavega, Spain Charleroi, Belgium Paulinia, Brazil page 19
Slide 20: Every drop of water counts
Every drop of water counts A 13% water intake reduction per ton of product produce between 2017-2019, Paulina, Brazil Reduction of freshwater consumption by 17% between Freshwater consumption 2021 and 2019 representing in cooling towers to be 5.3Mm3/y in reduced by 50% in Devnya, Bulgaria Tavaux, Fr
Slide 21: Every factory will be a Star Factory
Every factory will be a Star Factory Mapping >100 operations to our Solvay ONE Planet ambitions Environmental Social People Digital & & Analytics / Governance (ESG) Capabilities Technology This Steering performance Evolving our culture Working as part of an ecosystem with one single integrated towar
Slide 22: Enhancing sustainability in Rosignano
Enhancing sustainability in Rosignano 20% €40M reduction freshwater spent in 2018 on a high-efficiency intake in the past cogeneration power plant that allowed decade Solvay to cut emissions by 40% in the past two years while producing the same amount of steam 2.4Mm3 Converted power well water replac
Slide 23: Soda Ash in Rosignano
Soda Ash in Rosignano Soda ash is produced with natural materials and used mainly in the production of glass + + Limestone Salt Brine Water Post-production disposal method is aligned with best available techniques and in compliance with regulations Dikes Pipes Open /Settling (released Channel offsho
Slide 24: Innovation serves industry's unmet needs
Innovation serves industry’s unmet needs Focus on Elimination Global innovation in the U.S. Ambition Developed U.S. operations are Limited number of fluorosurfactant-based non-fluorosurfactant non-fluorosurfactant process aids are used in Spinetta, Italy technologies: as of July 2021 Ambition to become
Slide 25: PEOPLE
PEOPLE Humanity matters to us Starting with our people page 25
Slide 26: Hervé Tiberghien
Hervé Tiberghien CHIEF PEOPLE OFFICER page 26
Slide 27: Safety remains essential
Safety remains essential Safety Excellence (LST, Safety Days, etc.) Progressing Towards Everyone Leaving Work Unharmed 500 Solvay Life Saving Each and Every Day Rules introduced People/Culture - Creating Safety 400 Number of RII’s* Transformation - Driving ownership into sites 300 High Severity Pote
Slide 28: We Care and we Dare
We Care and we Dare 2-4 days for Solvay €15 million eligible Teleworking Solidarity donations employees Fund +14 750 16 weeks participants co-parental leave Solvay Care regardless Citizen Day 491 of sexual Program Local actions orientation registered Code of Business +121 Integrity participating sit
Slide 29: Nathalie van Ypersele
Nathalie van Ypersele CHIEF OF DIVERSITY, EQUITY AND INCLUSION OFFICER GENERAL MANAGER, COMMUNICATION page 29
Slide 30: Dignity? Yes!
Dignity? Yes! Actions launched Diversity Equity Inclusion Gender parity by 2030 Pay Equality Index in 2022 Inclusion Index First global index of Disability Shortlist for key roles of 50% of 1st Inclusive application under represented groups Leadership workshop +7 Employee Resource 400 women followin
Slide 31: Nicolas Boël
Nicolas Boël CHAIRMAN OF THE BOARD OF DIRECTORS page 31
Slide 32: Governance - Doing the right thing
Governance - Doing the right thing 5 committees ESG Committee initiated April 1 2 3 4 5 2021 Audit Finance Compensation Nomination ESG First decision has been Carbon Neutrality 14 9 7 6 10 Non executive Independent Nationalities Women Meetings members directors page 32
Slide 33: The next steps
Intention to align incentive plan with: ESG Key financial Targets metrics (beyond 10%) The next Employee Share steps program validated by the Board
Slide 34: PROFIT
PROFIT Delivering sustainable value page 34
Slide 35: Emerging stronger
Emerging stronger FCF Free Conversion Cash Flow 39% Last 12 months € 2.3 bn From low 20s ~5 yrs ago Since 2019 Net Debt and Cost Pensions Savings -€ 2.4 bn € 350m Since 2019 Since 2020 page 35
Slide 36: We Care, We Dare, We Act.
We Care, We Dare, We Act. G R O W v CLIMATE RESOURCES BETTER LIFE Our business strategy (Nov. ‘19) Our sustainability roadmap by 2030 (Feb. ‘20) Roadmap to reach Supplier Diversity, New Employe Star carbon neutrality Engagement Equity, ESG Share Factory Carbon price increase Program Inclusion commit
Slide 37: Q&A Session Panel members
Q&A Session Panel members ● Ilham Kadri - Chair of the Executive Committee & CEO ● Karim Hajjar - Chief Financial Officer ● Pascal Chalvon Demersay - Chief Sustainability & Government Affairs Officer ● Lynn De Proft - Chief Procurement Officer ● Nathalie Van Ypersele: Chief of Diversity, Equity and Inc
Slide 38: Thank you.
Thank you. S SOLVAY | Progress beyond Y¥fno wl % solvay.com
Slide 39: Forenote
Forenote This presentation may contain forward-looking information. Forward-looking statements describe expectations, plans, strategies, goals, future events or intentions. The achievement of forward-looking statements contained in this presentation is subject to risks and uncertainties relating to