The Committee assists the Downer Board in its oversight of Downer’s compliance with its health, safety, environment, climate change and sustainability commitments. The committee oversees the development and implementation of relevant management systems, and monitoring of performance including climate change and sustainability. The effectiveness of these systems is monitored through internal and third-party audit programs.
Briefing papers and performance reports are provided to the ZH Committee each quarter. Meetings are attended by the Chief Sustainability Officer and Group General Manager of Environment, Sustainability and Reporting to discuss sustainability and climate-related information, strategy, greenhouse gas emissions performance, and management response. Decision-making and endorsements provided by the ZH Committee include:
Downer's Audit and Risk Committee (ARC) and Tender Risk Evaluation Committee (TREC) are responsible for providing oversight of Downer’s risk profile, policies and management, and external reporting. The TREC is responsible for risk management in tender and execution of contracts. The ARC is responsible for ensuring that the Executive Leadership Team has implemented a structured and comprehensive risk management system across Downer. In line with this, the ARC Charter explicitly addresses risks including operational, environmental, sustainability, climate-related change, compliance, strategic, ethical conduct, reputation or brand, technological, product or service quality, and human capital. Formal updates to the ARC occur on a bi-monthly basis.
Growing and enhancing sustainability performance is part of Downer’s Short-Term Incentive program and remuneration framework for Downer Executives, which emphasises our commitment to customers, employees, regulators and communities. Our Board sets robust performance targets, which are supported by the Short-Term Incentive program.
For safety, health and wellbeing, these targets are:
Other performance requirements and metrics will also be decided in collaboration with our customers and delivery partners to meet specific project arrangements and programs. These are captured in our safety management plans, and through our project delivery methodologies.
For environment, the performance targets are:
Downer has also committed to emissions reduction targets which are tracked and internally reported on a monthly basis. In addition, Downer’s Sustainability Linked Loan Key Performance Indicators include greenhouse gas emissions reductions targets and social sustainability measures of Indigenous Cultural Awareness and Mental Health First Aid training.