Saudi Electricity Company Achieves A 43% Boost In ESG Rating By S&P

The Saudi Electricity Company (SEC) has seen a notable 43% improvement in its 2024 Environmental, Social, and Governance (ESG) rating, as reported by Standard & Poor's (S&P). SEC's score rose from 35 to 50, showcasing the company's dedication to sustainability and alignment with the Kingdom's energy sector objectives.

This progress underscores the support from the Kingdom's leadership in enhancing operational efficiency, service quality, reducing environmental impact, and cutting carbon emissions. SEC has embedded sustainability principles into its operations through various environmental, social, and governance initiatives.

SEC has committed to achieving net-zero emissions by 2050. The company prioritizes community engagement and transparency in its governance practices. As a significant player in the Kingdom's energy strategy, SEC contributes substantially to the goal of attaining a 50/50 energy mix by 2030—comprising 50% renewable energy and 50% high-efficiency natural gas-powered plants—under the Ministry of Energy's supervision.

The company also emphasizes social responsibility through community programs and localizing the electricity sector workforce. SEC's strategy focuses on environmental protection, social responsibility, and maintaining high governance standards across its operations. This approach aligns with both national and international priorities.

SEC's sustainability efforts adhere to recognized global standards and the Kingdom's ESG guidelines issued by the Saudi Exchange (Tadawul). The company meets investor disclosure expectations while continuously refining its environmental and social standards based on its ESG rating to ensure alignment with top sustainability benchmarks.

Details on SEC's sustainability initiatives and efforts are available in its Sustainability Report at: (https://www.se.com.sa/-/media/sec/Investors/Sustainability-Reports/Sustainability-_Report_2023_EN.ashx).

With inputs from SPA