The 
value of
connected 
energy
C O R P O R A T E  
R E S P O N S I B I L I T Y  
R E P O R T
2 0 1 6

C O R P O R A T E 
R E S P O N S I B I L I T Y 
R E P O R T
2 0 1 6

TABLE OF
CONTENTS
To get detailed information,  
click on the symbol and access 
additional information about
the Company that may be  
of interest to you.
KEY PERFORMANCE 
INDICATORS
Red Eléctrica at a glance: our 
performance during 2016.
p 9
ABOUT 
THIS REPORT
Report profile.
p 2
The year in review,  
a comprehensive  
assessment of 2016.
p 4
LETTER FROM 
THE CHAIRMAN 
AND THE CHIEF 
EXECUTIVE OFFICER
THE COMPANY
Group Structure / Activities  
/ Management Structure.
p 10
Strategic Plan / Scenario  
/ Essential and cross-cutting 
strategies.
p 19
Governance of the Red Eléctrica  
Group / General Shareholders’ 
Meeting / Board of Directors / Risk 
management / Integrity Model.
p 29
Red Eléctrica's commitment 
to sustainability / Stakeholder 
management.
p 63
STRATEGY
CORPORATE 
GOVERNANCE
MANAGEMENT 
APPROACH
01
02
03
04
Community ties / Participation  
in organisations and associations 
/ Tax transparency. 
p 145
Stable and quality employment 
/ Diversity and inclusion / Talent 
management / Dialogue and 
transparency / Social dialogue  
/ The healthy workplace.
p 109
Quality and security of the electricity 
supply / Grid development / System 
Operation / Energy efficiency and 
innovation.
p 79
Evolution of results / Financial 
strategy / Shareholder return.
p 101
SUSTAINABLE 
ENERGY
CREATION 
OF VALUE
EMPLOYEES
SOCIETY
05
06
07
08
Environmental commitment  
/ Integration into the  
environment / Socio-economic 
environment / Biodiversity / Climate 
change / Effluents and waste.
p 178
Materiality Analysis / GRI-G4  
index / External Assurance  
Report / Independent Review 
Report of the Greenhouse Gas 
Inventory / Annual Executive 
Report on the Management of the 
Code of Ethics 2016 / Independent 
Auditor's Report on the System 
of Internal Control over Financial 
Reporting / Executive Summary 
of the Internal Audit.  
p 218
Shareholders and investors 
/ Clients, market agents and 
regulatory bodies / Suppliers  
and The Media.
p 162
DIALOGUE WITH 
STAKEHOLDERS
THE
ENVIRONMENT
ANNEXES
09
10

www.ree.es
2
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
Corporate Responsibility Report 2016
contents defined in the latest 
version of the GRI G4 guide 
have been followed for the third 
consecutive year. The report also 
includes additional applicable 
information that is required in the 
Electric Utilities Sector Supplement. 
With this, Red Eléctrica believes 
that the Corporate Responsibility 
Report for 2016 has been prepared 
in accordance with G4 at its 
comprehensive level. / G4-32
In addition, this report complies 
with Red Eléctrica's commitment 
to respond to the compliance 
and progress of the Company in 
implementing the ten principles of 
the United Nations Global Compact. 
It also responds to Recommendation 
55 of the Code of Good Governance 
of Listed Companies.
With the aim of continuing to offer 
our various stakeholders a complete 
and extensive information on the 
Company's ability to create value, 
Red Eléctrica includes in this report 
aspects defined by the International 
Integrated Reporting Council (IIRC) 
for the drafting of comprehensive 
reports, which seeks to improve the 
content of future editions.
The content of this report is 
supplemented with the following 
information, corresponding  
to the 2016 fiscal year, and which  
is made available to the public by 
Red Eléctrica:
• Corporate Governance Report and 
the Consolidated Annual Accounts 
Report of the Red Eléctrica Group, 
which include the management 
report of the Group’s business.
• A wide range of content on the 
corporate website (www.ree.es).
Additionally, Red Eléctrica de España, 
founding member of the Spanish 
Network of the UN Global Compact, 
annually presents a Progress Report 
where the main activities undertaken 
in relation to the Ten Principles are 
set out. This information is available 
on the website of the Spanish 
Network of the UN Global Compact 
(www.pactomundial.org) and on the 
website of the Global Compact  
(www.unglobalcompact.org). 
The Report of Red Eléctrica de 
España has, from the outset of the 
programme, qualified for the ‘Global 
Compact Advanced Level’, which 
is granted to companies that have 
implemented and communicated 
best practices related to the 
integration of the Ten Principles  
into their management practices.
Materiality and 
stakeholder participation 
/ G4-23 / G4-27
According to the principles and 
essential contents of the GRI G4 
guide, this report focuses mainly  
on those issues identified as 
relevant in the materiality analysis 
carried out by the Company in 2014, 
the drafting process and results  
of which are shown in the annex 
to this report.
Sustainability context
This corporate responsibility  
report aims to provide transparent, 
reliable and balanced information 
on the economic, social and 
environmental matters identified as 
the most relevant for Red Eléctrica 
in 2016. Similarly, this report also 
describes the annual progress made 
by the Company regarding corporate 
governance, human rights, ethics 
and the fight against corruption. 
/ G4-28
Red Eléctrica has published  
this report annually since 2002, 
and since 2003, the report has 
been prepared following the Global 
Reporting Initiative (GRI) Guidelines 
for drafting sustainability reports. 
/ G4-29 / G4-30
For the drafting of this report, 
corresponding to the 2016 fiscal 
year, the essential principles and 
ABOUT 
THIS REPORT
ABOUT THIS 
REPORT

www.ree.es
3
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
Corporate Responsibility Report 2016
through Red Eléctrica de España, 
S.A.U. (REE) which represents 
92% of the Group’s consolidated 
revenue. For the moment, it has 
not been considered relevant to 
provide detailed information of the 
remaining activities broken down by 
business segment or geographical 
area and that jointly represent just 
8% of consolidated revenue.
However, of note is that all 
companies that make up the 
Red Eléctrica Group are subject 
to and comply with the policies, 
comprehensive risk management, 
information on corporate 
governance, the integrity model, the 
consolidated economic and financial 
data, specific employment KPIs, as 
well as the tax contribution set out 
in this report. The structure of the 
companies in the Red Eléctrica Group 
are detailed in the Consolidated 
Annual Accounts Report and in the 
‘Company’ chapter of this report.
Throughout 2016, the Company 
has worked on the design of the 
Sustainability Model of the Red 
Eléctrica Group. The Model, which will 
be approved in 2017, will encompass 
the entire Group, defining priorities 
and objectives common to all 
business activities and geographical 
areas in which the Group operates.
In order to assess the evolution  
of Red Eléctrica's performance over 
time, the report provides data from 
previous years. Regarding previous 
reports, no relevant information 
has been reformulated, although 
it is possible that data has been 
updated or that the calculation 
formula for a specific indicator has 
changed, in which case the changes 
are indicated in the corresponding 
section. Also, during the period 
covered by this report there have 
been no significant changes in the 
size and structure of the Company.
Verification / G4-33 
To verify the reliability of 
information, Red Eléctrica has 
submitted this report to external 
verification by PwC with a limited 
level of assurance. As a result of the 
verification process, an Independent 
Review Report is drafted which 
includes the objectives and scope 
of the process as well as the 
verification procedures used and 
the conclusions reached. This report 
is included in the annex to this 
document.
Consultations / G4-31
Red Eléctrica welcomes opinion 
on this report. Please send us your 
comments and suggestions through 
the Dígame Service:
http:/www.ree.es
E-mail: digame@ree.es
Telephone: +34 91 7286215
The active participation of the 
stakeholders in the materiality 
process was decisive for the 
prioritisation of the relevant issues. 
In this regard, it should be noted 
that stakeholders identified ethics 
and transparency, commitment to 
society and governance practices 
as key issues, coinciding with 
those issues defined as having 
the greatest influence on business 
success.
Coverage
/ G4-13 / G4-17 / G4-22
This report includes complete 
information regarding the 
management approach, actions  
and financial results of the  
core activities of the Group:  
the electricity business in Spain 
The Company has worked on the 
Sustainability Model during 2016,  
which will be approved in 2017 and 
applicable throughout the Group.
ABOUT THIS 
REPORT

www.ree.es
4
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
In order to undertake this 
commitment, in 2016, the Company 
has continued to execute the 2015-
2020 Electricity Infrastructure Plan 
in Spain, whose deployment allows 
it to maintain an important rate 
of investment in the transmission 
grid. This Plan is mainly designed 
to improve and strengthen grid 
meshing, to execute interconnection 
projects between electricity systems 
and the need to guarantee security 
of supply and grid reliability.
In this fiscal year, 674 km of new 
line and 61 new substation bays 
have been commissioned, increasing 
transformer capacity up to 600 MVA, 
which represents a total investment 
of 398.5 million euros in the Spanish 
transmission grid.
For yet another year, Red Eléctrica 
has continued to carry out its 
responsibility to ensure the proper 
functioning of the electricity system 
with the vision of making European 
energy targets and sustainability 
goals viable. The aim is to achieve 
an energy model based on security 
of supply, sustainability and 
competitiveness, while at the same 
time helping to mitigate the effects 
of climate change.
LETTER FROM THE CHAIRMAN  
AND THE CHIEF EXECUTIVE OFFICER  / G4-1
JOSÉ FOLGADO
Chairman 
of Red Eléctrica 
Corporación
JUAN 
LASALA
Chief 
Executive 
Officer
Corporate Responsibility Report 2016
LETTER FROM 
THE CHAIRMAN 
AND THE CHIEF 
EXECUTIVE OFFICER

www.ree.es
5
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
of the priority aspects in order 
to achieve a more efficient and 
sustainable electricity system.  
To this end, in 2016, preliminary 
work has continued regarding three 
new interconnection projects:  
one through the Bay of Biscay 
and two trans-Pyrenean 
interconnections through Navarra 
and Aragón. The undertaking of 
these projects, with an expected 
exchange capacity of 8 GW,  
is geared towards the challenge  
of achieving a 15% interconnection 
capacity in 2030 with respect to the 
installed capacity in our country.
On the other hand, the Company 
has continued ensuring the security 
and quality of the electricity supply, 
making it compatible with the 
maximum integration of renewable 
energies. In this regard, the work 
of the Control Centre of Renewable 
Energies has contributed to the fact 
that 40.8% of the energy integrated 
into the peninsular system came 
from renewable sources, which  
is 3.9 percent points higher than in 
2015, with the consequent decrease 
in CO2 emissions from electricity 
generation.
Regarding service quality indicators 
of the facilities, in 2016, it is worth 
noting the highly satisfactory values 
registered in relation to the reliability 
and availability of the transmission 
grid, both for the peninsular grid 
and for the grids of the Balearic 
Islands and Canary Islands systems, 
highlighting the effectiveness of the 
maintenance programmes and works 
undertaken by the Company.
Activities that expand 
the business base
Red Eléctrica, in addition to 
continuing to consolidate its role 
as sole transmission agent and 
system operator and to channel 
One of the most important 
milestones has been the 
commissioning of the Majorca-Ibiza 
double link, which has brought to 
an end the electrical isolation of 
Ibiza, in addition to saving costs for 
the system and reducing polluting 
emissions in the Balearic Islands. 
This link consolidates the process 
for the integration of the Balearic 
Islands electricity system with that  
of both the Spanish Peninsula and 
the European systems.
In addition, the Company has 
continued to work with the objective 
of increasing the energy exchange 
capacity with Europe, which is one 
For yet another year, the 
Company has been able to 
demonstrate stable growth and 
has continued to generate value 
for shareholders. Remuneration 
in the form of dividends has 
increased by 7% compared  
to 2015.
674
km
61 new 
substation
bays
LINE
COMMISSIONED 
IN 2016
OF NEW 
LINE
Corporate Responsibility Report 2016
LETTER FROM 
THE CHAIRMAN 
AND THE CHIEF 
EXECUTIVE OFFICER

www.ree.es
6
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
For its part, the subsidiary 
REINTEL has become the 
telecommunications infrastructure 
operator of reference in Spain,  
as a result of having the largest  
dark fibre optic network in the 
country, following the acquisition 
of the fibre network formerly 
belonging to the railway network.
In addition, the technological 
potential of the Company is 
emphasised with the Soria-Chira 
pumped-storage power station 
project in Gran Canaria; an energy 
storage facility, conceived as a 
system operation tool to improve 
the sustainability of the new Canary 
Islands energy model. In 2016,  
the first steps were taken regarding 
this project with the launching  
of its permitting and public 
information process.
Efficiency and 
the creation of value 
With a focus on value creation,  
for yet another year the Company 
has been able to show steady 
growth, as reflected in the sound 
financial results obtained, which 
continue to generate value for 
shareholders. Revenue reached 
1,932.3 million euros compared to 
1,938.9 million euros in 2015 and 
the EBITDA margin stood at 76.9%. 
Profit for the year was 636.9 million 
euros, 5.1% up on the previous year, 
and shareholder remuneration in the 
form of dividends increased by 7% 
compared to 2015, in accordance 
with that set out in the 2014-2019 
Strategic Plan.
Progress made in 
Corporate Responsibility
During 2016, Red Eléctrica  
has worked on the design 
of a sustainability model for all 
the companies of the Group in 
order to give a better response to 
stakeholders, to improve efficiency 
and to showcase the performance 
of the Company regarding 
sustainability. The targets set in 
the United Nations Sustainable 
Development Goals have been 
considered in the definition  
of the model which is scheduled  
for implementation in 2017.
Regarding the course of action 
related to the improvement of 
sustainability, noteworthy is the 
approval of a new innovation 
strategy, focused on four vectors: 
digitalisation, people, sustainability 
its efforts towards higher levels of 
efficiency through the improvement 
of operating margins, has continued 
to move forward with other actions 
aimed at creating a wider business 
base as an alternative growth  
model for the Group.
At an international level, steps  
have been focused on strengthening 
the Company’s presence in Latin 
America, through the progress made 
in the execution of the two new 
projects awarded last year in Peru, 
as well as the Mejillones-Cardones 
project in Chile, derived from the 
acquisition of 50% of the Chilean 
company TEN. During 2016, TEN  
has made investments totalling  
379 million dollars, and our 
companies in Peru have made 
investments totalling 19.6 million 
dollars.
636.9
m€
+5.1%
Compared
to 2015
FINANCIAL 
RESULTS
NET 
PROFIT
INNOVATION 
STRATEGY
In 2016, a new 
innovation strategy 
was approved, focused 
on the creation of  
an innovation culture 
that will serve as  
a lever for Company 
growth.
€
Corporate Responsibility Report 2016
LETTER FROM 
THE CHAIRMAN 
AND THE CHIEF 
EXECUTIVE OFFICER

www.ree.es
7
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
2015, reaching a total 21.8%. The 
percentage of women on the Board 
of Directors stood at 36.4%, ranking 
above the IBEX 35 average of 15.6% 
in 2015.
As part of the employee value 
propositions, significant is the 
promotion of health, safety and 
well-being, including the work-
life balance, which Red Eléctrica 
manages through numerous 
initiatives encompassed within  
a healthy workplace model.
One of the relevant aspects 
of this model is the prevention of 
occupational health and safety risks, 
where the Company has recorded an 
improvement in the main indicators 
with a significant reduction in the 
accident rates of both its employees 
and third-party personnel. The 
increased number of training hours 
given in this field, with 22.4% more 
than in 2015, has had an influence 
on this improvement.
From a point of view of responsibility 
within the socio-environmental 
scope, Red Eléctrica has oriented  
its actions with the vision of 
creating shared value with society, 
promoting actions and investments 
and technology, and whose objective 
is the creation of an innovation 
culture that serves as a lever  
for growth and value creation.
In 2016, the Company  
consolidated its presence in 
the main sustainability indexes,  
of note being the rating obtained  
in the Dow Jones indexes, in which 
the overall score was improved, 
in addition to being ranked leader 
in the 'Electric Utilities' sector in 
nine areas. Similarly, as a result 
of the initiatives carried out with 
suppliers, the Company has been 
distinguished as 'Top Performer'  
for its responsible integration of 
social factors and environmental 
aspects in the supply chain, being 
ranked among the 20 leading 
companies worldwide.
Among the actions that have 
allowed progress to be made in 
corporate responsibility, noteworthy 
are those achieved in the field of 
gender equality and opportunities. 
The percentage of women in the 
workforce stood at 23.7%, compared 
to 23.1% in 2015. Contributing  
to this was the fact that 55% of the 
new hires in 2016 were women. In 
addition, the percentage of women 
in managerial positions has further 
increased with 8% more than in 
+8%
Compared 
to 2015
MANAGEMENT
POSITIONS
2016
SUSTAINABILITY 
MODEL 
In 2016, a sustainability 
model was designed 
for the entire Group, 
which has been defined 
taking into account the 
targets established 
in the United 
Nations Sustainable 
Development Goals.
Red Eléctrica has consolidated 
its presence in the main 
sustainability indexes. 
Noteworthy was the score 
obtained in the Dow Jones 
indexes, in which it has improved 
the overall score, in addition 
to leading the 'Electric Utilities' 
sector in nine areas.
WOMEN
21.8
%
Corporate Responsibility Report 2016
LETTER FROM 
THE CHAIRMAN 
AND THE CHIEF 
EXECUTIVE OFFICER

www.ree.es
8
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
of a specific action plan aimed at 
promoting activities that contribute 
to the sustainability of the energy 
model, such as the integration of 
renewable energies, the introduction 
of energy efficiency measures or the 
promotion of electric mobility. Among 
them, of note, is the commitment 
to reduce the carbon footprint with 
the objective for 2020 of reducing 
or offsetting 21% of the Company’s 
emissions compared to 2010.
Lastly, the Company has continued 
to incorporate new practices  
in good governance. In this regard,  
the criteria for communication 
with shareholders, investors and 
proxy advisors approved by the 
Board of Directors has been made 
public in order to maintain an open 
and transparent relationship with 
these stakeholders. In addition,  
it is important to highlight the new 
Regulatory Compliance System that 
the Company is implementing, so 
that the organisation can properly 
respect the obligations established 
and the commitments assumed, 
developing a proactive culture 
towards the management of risk 
regarding non-compliance.
Therefore, giving continuity to 
the Awareness Plan on ethics 
management that has been in place 
for several years, a Plan for raising 
awareness and disseminating 
information about the Compliance 
System has been launched and this 
will continue throughout 2017.
In addition, the transition process 
for the full separation of powers 
and the transfer of functions 
between the positions of Chairman 
of the Board of Directors and that 
of CEO culminated at the General 
Shareholders' Meeting of 2016, 
which represents an improvement 
in the corporate governance 
structure of the Company.
All these achievements have  
been made possible thanks to the 
effort, motivation and responsibility 
of a team of 1,773 highly-qualified 
professionals, the commitment of 
the Board of Directors to supervision 
and control and the full trust placed 
in the Company by our shareholders.
aligned with its business objectives 
that, at the same time as generating 
value for the Company, impact 
positively on society.
For this reason, the Company, in 
addition to undertaking a neutral 
and sustainable management of the 
transmission grid, looking for routes 
for lines that generate the least 
environmental impact and promoting 
actions to protect biodiversity, 
promotes the participation of society 
and institutions in the process, 
through dialogue and ongoing 
collaboration. Similarly, its projects 
within the territory are accompanied 
with collaboration programmes 
that reflect the Company’s social 
commitment and pursues the 
sustainable development of the 
communities in which it is present.
On the other hand, Red Eléctrica, 
aware of the effects arising from 
global warming, maintains a firm 
commitment in the fight against 
climate change; a responsibility that 
translates into the implementation 
SHARED  
VALUE
Commitment to the 
socio-environmental 
scope is undertaken 
with the vision  
of creating shared 
value with society.
of the
Company's 
emissions
compared  
to 2010 
2020
EMISSIONS
TARGET
21
%
REDUCTION OR 
OFFSETTING
OF 
Corporate Responsibility Report 2016
LETTER FROM 
THE CHAIRMAN 
AND THE CHIEF 
EXECUTIVE OFFICER

www.ree.es
9
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
KEY PERFORMANCE   
INDICATORS 2016  / G4-9
WOMEN 
ON THE 
BOARD
36.4 %
-5.6pp
INDEPENDENT 
BOARD MEMBERS 
58.3%
REDUCED BOARD 
12 members
ATTENDANCE AT THE 
SHAREHOLDERS’ MEETING 
60.5%
+3.2pp
N/C
N/C
QUALITY OF  
SERVICE OF THE
PENNINSULAR GRID
98.32% grid availability 
SUBSTATIONS
5,489 substation bays
CIRCUIT OF LINE  
43,664 km
+1.6%
INTEGRATION 
OF RENEWABLES 
40.8 %
of demand
+3.9pp
+1.1%
+0.4%
NET 
PROFIT 
636.9m€
EBITDA 
1,486.0m€
NET REVENUE  
1,932.3m€
DISTRIBUTION 
OF DIVIDENDS 
0.8587 
€/share
-0.3%
+1.9%
+5.1%
+7%
FINANC IAL DATA 
LOCAL 
SUPPLIERS 
91% of purchases
SHAREHOLDER 
INFORMATION OFFICE
1,027 enquiries attended to
INVESTMENT 
IN THE COMMUNITY
6.4m€
SOCIAL
-1.5%
-8.1%
-7.0pp
CLIENT 
SATISFACTION 
8.3 
out of 10
N/C
The figures shown in small coloured circles 
reflect the variation compared to 2015 
N/C: no change. pp: percentage points
More information 
on these indicators is 
provided throughout 
this report. 
TRAINING
82
hrs/employee
EM P LOYEES
ACCIDENT FREQUENCY 
INDEX
2.43
WOMEN IN THE 
WORKFORCE
23.7%
WORKFORCE
1,682 people
-0.9%
+0.6pp
-46.2%
-18%
LINES MARKED WITH 
BIRD-SAVING DEVICES
3,040 km
RESTORATION 
OF HABITATS 
(REE Forest)
1.8m€
ENVIRONMENTAL 
MANAGEMENT 
EXPENDITURE
22.6m€
ENVIRONMENTAL 
PROGRAMME 
87% fulfilment
+3.0pp
+28.6%
+3.1%
-0.4%
ENVIRONMENTAL
BU SINESS
GOOD 
GOVERNANCE
KEY PERFORMANCE 
INDICATORS 
Corporate Responsibility Report 2016

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
THE COMPANY 
01
01 T H E  
C O M P A N Y 
C O N N E C T E D  T O 
A  S E C U R E  A N D 
S U S T A I N A B L E 
E N E R G Y  F U T U R E

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
11
THE COMPANY 
01
Corporate Responsibility Report 2016
Red Eléctrica,  
a TSO of reference.
Red Eléctrica is the  
sole transmission agent 
and operator (TSO) of the 
Spanish electricity system. 
The Company carries out 
this responsibility with 
transparency, neutrality, 
independence and 
economic efficiency,  
with the aim of providing 
the highest quality 
electricity service for 
society as a whole. 
MISSION
Red Eléctrica, as TSO  
of the Spanish electricity 
system, has the mission  
of guaranteeing the correct 
functioning of the system, 
ensuring the continuity and 
security of the electricity 
supply at all times. 
Additionally, it is responsible 
for the transmission of  
high-voltage electricity;  
and it builds, maintains  
and operates the facilities  
of the transmission grid.
VISION
The goal is to be one of 
the leading companies 
in the transmission 
of electricity and the 
operation of high-
voltage electricity grids, 
recognised for offering 
for providing a quality 
service of the highest 
standards, implementing 
ethical and responsible 
management, maintaining 
a firm commitment to 
sustainable development 
and generating value for  
all our stakeholders.
VALUES
Responsibility
Respect
Reliability
Environmental 
awareness
Leadership  
and creativity
A complete picture of the Company in the 'About us' 
section of the corporate website.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
12
THE COMPANY 
01
Corporate Responsibility Report 2016
A group with a ‘holding’ 
structure / G4-3 / G4-7 / G4-17 
With the objective of reinforcing  
the separation and transparency of 
the regulated activities in Spain from 
the rest of the Group’s activities, 
the organisational structure of the 
Company was transformed into 
a holding structure in 2008.
STRUCTURE 
OF THE RED 
ELÉCTRICA GROUP
Investment in electricity transmission infrastructure internationally 
is channelled through different subsidiaries integrated into Red Eléctrica 
Internacional (REI). In Peru, REI manages the following companies: 
REDESUR, Red Eléctrica Andina (REA) and Transmisora Eléctrica del 
Sur 3, companies wholly owned by REI. In turn, REDESUR controls 
Transmisora Eléctrica del Sur and Transmisora Eléctrica del Sur 2.  
In Chile, REI manages Red Eléctrica Chile, a company wholly owned 
by REI. This subsidiary, in turn, has acquired 50% of the share capital 
of Transmisora Eléctrica del Norte (TEN), owned by the Chilean company 
EC-L (belonging to the Engie group).
RED ELÉCTRICA DE ESPAÑA  
owns 50% of the share capital  
of INELFE, a company created  
jointly with its French counterpart, 
RTE, for the development  
of interconnections with France.
Electricity  
system operator  
and transmission 
agent activity 
International 
electricity activity 
RED
ELÉCTRICA 
INTERNACIONAL
Energy storage 
activity in the 
Canary Islands
REINCAN
Telecommunications 
Activity
REINTEL
Risk reinsurance  
and financing activity
REE FINANCE
REE FINANCIACIONES
and REDCOR
92%
of revenue
8%
of revenue
R E D  E L É C T R I C A  C O R P O R A C I Ó N
ELECTRICITY 
ACTIV ITY IN 
SPA IN
100
%
100
%
100
%
100
%
100
%
WORKFORCE OF 
THE GROUP / AS AT 31.12.16
Red Eléctrica Corporación	
7
Red Eléctrica de España	
1,675
Red Eléctrica Internacional	
9
REINTEL	
11
REINCAN	
4
RE CHILE	
1
REDESUR	
 17
TESUR	
2
TESUR2	
8
REA	
42
REDCOR	
1
Total 	
1,773
Note: The data shown regarding total workforce 
does not coincide with the sum of all the 
companies of the Group due to the fact that 
three employees belong simultaneously to the 
staff of more than one company.
/
In the Consolidated Annual Accounts Report.
OTH E R 
ACTI VI TI E S

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
13
THE COMPANY 
01
Corporate Responsibility Report 2016
ELECTRICITY 
CONTROL 
CENTRES
Responsible for  
the 24/7 operation  
of the peninsular 
and non-peninsular 
electricity systems.
and reliable transmission grid  
in order to contribute to the progress 
of society. The efficient performance 
of these functions positions the 
Company as one of the benchmark 
Transmission System Operators  
in the international arena. 
Red Eléctrica owns the entire 
Spanish high-voltage electricity 
transmission grid and, through 
its electricity control centres, 
operates both the peninsular 
electricity system as well as the 
non-peninsular systems, 24 hours  
a day, 365 days a year. Furthermore, 
it is a world reference in the safe 
integration of renewable energy 
into the electricity system.
Red Eléctrica de España is  
the company that carries out the 
Group's core activity. Its mission  
is to guarantee the security 
and continuity of the Spanish 
electricity supply at all times,  
and to manage the development  
and maintenance of a meshed  
ELECTRICITY ACTIVITY   
IN SPAIN  / G4-4 / G4-6 / G4-8
LINES
IN SERVICE 
IN 2016
43,000
km
MORE THAN
Red Eléctrica is a TSO (Transmission System 
Operator) of international reference in the 
efficient management of the electricity supply 
and in the maintenance of a meshed and 
reliable transmission grid.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
14
THE COMPANY 
01
Corporate Responsibility Report 2016
(1)
Red Eléctrica,  
through its 
transmission  
grid, evacuates  
the electricity 
generated by the 
power-generating 
stations. 
(2)
Next, it transports  
the electricity, 
transformed into 
high-voltage, from 
the power-generating 
stations to the 
distribution networks.
(3)
Subsequently,  
it delivers the 
electricity, transformed 
into lower voltage 
levels, to the 
distribution companies 
who then deliver it to 
the final consumer.
(4)
For this process to 
work, Red Eléctrica 
must operate the 
system maintaining 
the constant balance 
between generation 
and consumption, 
due to the fact that 
electrical energy 
cannot be stored  
in large quantities.
(5)
To do this, Red 
Eléctrica forecasts  
the electricity 
consumption that is 
going to be demanded 
nationwide throughout 
the day. Power stations 
then use this forecast 
to schedule their 
production.
(6)
Red Eléctrica, through 
its Electricity Control 
Centre (CECOEL), 
is responsible for 
maintaining the 
balance between 
the scheduled 
production and the 
energy demanded  
at each moment.  
And, as demand 
varies, it sends the 
appropriate orders  
to the power stations 
to adjust their 
production.
What we do
Domestic 
consumption
Industrial 
and services 
sector 
consumption
Power-generating stations 
(4 / 5 / 6) 
Electricity control  
centre (Cecoel) 
and control centre  
of renewable energies 
(Cecre)
(2) Transmission substation
(1) Electricity line  
(3) 
Transmission/
distribution 
substation
ELECTRICITY TRANSMISSION
SYSTEM OPERATION
E L E C T R I C I T Y  T R A N S M I S S I O N 
A C T I V I T Y
S Y S T E M  O P E R A T I O N  A C T I V I T Y

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
15
THE COMPANY 
01
Corporate Responsibility Report 2016
Red Eléctrica 
acquires 50%
of the share 
capital of TEN 
(Transmisora
Eléctrica  
del Norte)
INVESTMENT 
IN CHILE
Similarly, through the subsidiary 
Red Eléctrica Chile, the Company 
has entered into the electricity 
transmission business of Chile,  
with the acquisition, in December 
2015, of 50% of the share capital 
of the company Transmisora 
Eléctrica del Norte (TEN). This 
company is responsible for the 
construction and commercial 
management and operation of the 
Mejillones-Cardones interconnection 
line, which will link the north and 
central electricity subsystems  
of Chile, and which has represented 
an investment of 832 million dollars.
With these actions, Red Eléctrica 
Internacional has increased 
its business standing in two 
geographical areas with a common 
border as is the case with northern 
Chile and southern Peru.
International activity
For the Company, the development 
of International business is  
a natural growth path which is 
centred mainly on the construction, 
management and operation of 
transmission grids outside Spain, 
currently in Peru and Chile.  
To boost this business, Red Eléctrica, 
through Red Eléctrica Internacional, 
analyses corporate acquisitions  
and frequently participates in 
tenders for concession contracts. 
The objective is to invest in low-risk 
countries with stable regulatory 
environments, ensuring noteworthy 
participation in the shareholding 
structure and an involvement in 
the management of the companies 
in which it has a shareholding.
Red Eléctrica Internacional,  
which in turn is made up of the 
subsidiaries (REDESUR, Red Eléctrica 
Andina, Transmisora Eléctrica del 
Sur, Transmisora Eléctrica del Sur 
2, Transmisora Eléctrica del Sur 3 
and Red Eléctrica Chile), has been 
present in South America for more 
than 15 years, where it manages 
transmission grids while maintaining 
excellent rates of availability  
of the facilities and a seamless 
collaboration with all stakeholders.
 
During 2016, the Company  
continued to consolidate its 
presence in Peru through the 
progress made in the construction 
of the Azángaro-Juliaca-Puno and 
Montalvo-Los Héroes 220 kV lines, 
representing an overall investment  
of 110 million dollars.
OTHER  
ACTIVITIES  / G4-13
In the 'About us' section  
of the corporate website.
ELECTRICITY
TRANSMISSION
BUSINESS

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
16
THE COMPANY 
01
Corporate Responsibility Report 2016
REINTEL
manages a network  
of 33,000 km of  
dark fibre optical 
cable and 230 sites 
and technical spaces. 
HAS A PERMANENT 
CLIENT HELPDESK 
AND MONITORING 
CENTRE THAT
GUARANTEES
THE
QUALITY
And availability  
of the service 
(24/7)
REINTEL
Given the importance of the 
correct functioning of the grid  
for our clients, REINTEL prioritises 
excellence in all its operations 
and backs innovation and the 
continuous improvement of its 
infrastructures. One of its main 
priorities is to guarantee high levels 
of quality of service and availability 
of the network, for which it has  
a permanent client helpdesk and 
monitoring centre (24/7) that 
controls and monitors the state  
of the entire network and deals  
with the incidents and the 
scheduled work of the clients,  
in order to offer a service which 
is both reliable and of maximum 
quality.
The Company's experience in 
the telecommunications market 
began in 1997 and, since then,  
it has been the supplier of reference 
for the main agents of the sector. 
Therefore, it has a solid client 
base that includes the main 
telecommunications operators  
with a presence in Spain.
Telecommunications 
activity
The Group's telecommunications 
business is carried out 
through the subsidiary Red 
Eléctrica Infraestructuras de 
Telecomunicación (REINTEL).  
Its main activity is the leasing  
of an extensive dark fibre optic 
backbone network and of sites  
and technical spaces for the 
housing of the telecommunications 
equipment of its clients.
At present, REINTEL is the neutral 
provider of telecommunications 
infrastructure of reference in  
Spain, owing to the fact that it  
has the largest dark fibre network 
with the best quality. In this 
regard, the Company operates  
and manages a fibre optic network 
comprised of more than 33,000 km 
of cables deployed throughout the 
electricity transmission grid and the 
railway network, which guarantees 
access to the network which is both 
transparent and on equal terms 
for clients and agents in the 
sector. It is a robust, redundant 
and meshed telecommunications 
network, which is not only 
connected to the systems on 
the Spanish islands, but also has 
international access.
REINTEL is the neutral
provider of telecommunications
infrastructure of reference  
in Spain.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
17
THE COMPANY 
01
Corporate Responsibility Report 2016
REINCAN
Subsidiary created 
in the Canary 
Islands in 2015 
for the promotion 
of energy storage 
projects that enable 
a greater integration 
of renewables on 
the islands.
320
m€
INVESTMENT
A project 
declared to be 
of strategic 
interest by the 
Government 
of the Canary 
Islands
SORIA-CHIRA
POWER STATION
This energy storage power  
station, which has an investment 
of 320 million euros, will enable  
a greater development and use  
of renewable energy on the island, 
therefore it represents an essential 
element to progress towards the 
sustainability of the new energy 
model in the Canary Islands,  
which is safer, more efficient  
and environmentally friendlier.
Energy storage activity  
in the Canary Islands
In 2015, Red Eléctrica 
Infraestructuras en Canarias 
(REINCAN) was created with the 
aim of promoting energy storage 
projects on the Canary Islands that 
can act as tools for the system 
operator so as to guarantee the 
electricity supply on the islands,  
as well as to improve system 
security and optimise the 
integration of renewable energy.
In 2016, initial progress was made 
in this activity with the start of 
the permitting process and the 
public information period for 
the construction project for the 
pumped-storage power station 
between the reservoirs of Soria  
and Chira in Gran Canaria, following 
the declaration of strategic interest 
of the project by the Governing 
Council of the Canary Islands. 
The 200 MW Soria-Chira pumped-storage  
power station is a key facility to improve  
the sustainability of the electricity system  
on the Canary Islands.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
18
THE COMPANY 
01
Corporate Responsibility Report 2016
MANAGEMENT   
STRUCTURE  / G4-34
Corporate Director  
of Resources
Ángel Luis 
Mahou Fernández
Chief Financial  
Officer
María Teresa Quirós 
Álvarez
Corporate Director 
of Business 
Diversification
Roberto García Merino
General Manager 
of Transmission 
Division
Eva Pagán Díaz
General Manager of 
System Operation 
Division
Miguel Duvison García
José Folgado Blanco
C H A I R M A N
Juan Lasala Bernad
C H I E F  E X E C U T I V E  O F F I C E R
General Counsel  
and Secretary of the 
Board of Directors
Rafael García de Diego
Corporate Director of 
Sustainability, Innovation and 
Institutional Coordination
Ana Cuevas Tello
Assistant Corporate 
Director to the CEO
Francisco Ruiz 
Jiménez
Manager of Internal Audit and 
Control Risk Management Area
Carlos Méndez Trelles

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
STRATEGY
02
02
 
S T R A T E G Y
C O N N E C T E D  T O 
T H E  D E V E L O P M E N T 
O F  T H E  T S O  R O L E , 
M A X I M I S I N G 
E F F I C I E N C Y  A N D 
E X P A N D I N G  T H E 
B U S I N E S S  B A S E

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
20
STRATEGY
02
Corporate Responsibility Report 2016
The Strategic Plan 2014-2019 
continues to be based on the execution of our  
role as TSO in Spain, but doing so by strengthening 
efficiency criteria in order to adapt the Company to 
the new regulatory environment and a more restrictive 
remuneration policy, and providing greater scope  
for expanding the business base as an alternative  
path for growth and the creation of value.
E S S E N T I A L  S T R A T E G I E S
C R O S S - C U T T I N G  S T R A T E G I E S
Innovation
People
Excellence
Strategic plan  
The Plan establishes three essential 
strategies, which define the actions 
to be undertaken, and three  
cross-cutting strategies, which 
address the action criteria for 
the implementation of the Plan.
Expanding 
the 
business 
base
Efficiency
Development  
of the TSO role

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
21
STRATEGY
02
Corporate Responsibility Report 2016
stabilised. In the end, the so-
called ‘Brexit’ has not prevented 
the Eurozone from maintaining, 
during 2016, the moderate 
pace of economic growth of 
the previous two years, with an 
estimated increase in its annual 
GDP of 1.7%. Uncertainty remains 
as to the actual consequences 
of Brexit going forward, due to 
the negotiation process which is 
currently underway to establish 
the new trade relations framework 
between the United Kingdom  
and the EU.
On the other hand, in November  
the victory of the Republican 
candidate Donald Trump in the  
US presidential elections was 
received with concern by the 
markets, in view of the possible 
impact on the world economy  
due to the measures announced  
by the candidate during the 
election campaign regarding  
a shift towards a more 
protectionist trade policy and 
the reordering of the geopolitical 
strategy of the first world 
power. However, given that the 
elections were held very late in 
the year, the outcome has had no 
significant impact on the major 
macroeconomic aggregates for 
2016. The world economy, which  
is expected to grow by 3.1%, 
Economic scenario 
2016 will be remembered for two 
unexpected election results, whose 
future consequences for the global 
economy are still subject to great 
uncertainty and which initially 
brought fears of a significant 
negative economic impact in the 
short term, which in the end  
did not materialise.
Thus, in June, a referendum 
was held and the United Kingdom  
voted to leave the EU, although  
this caused initial turbulence  
in financial markets these later 
Regulatory, economic 
and energy SCENARIO
MAINTAINS
THE MODERATE
PACE
1.7
%
GDP
EUROZONE
2016
In 2016, two unexpected  
election results occurred  
(BREXIT and Trump's victory), 
whose future consequences 
for the global economy are still 
subject to great uncertainty.
GROWTH 
OUTLOOK
Global growth  
estimated at 3.1%  
and 1.6% in the  
US economy. 
of economic 
growth of 
the previous 
two years
€

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
22
STRATEGY
02
Corporate Responsibility Report 2016
performance of the Spanish 
economy has occurred in a 
political context that was unique 
and unprecedented in Spain, 
marked by the political stalemate 
stemming from the failure to 
reach an agreement to form a 
new government after the general 
elections held in December 2015, 
which forced a repeat of the 
elections in June and left Spain 
with an interim government  
in office for ten months.
Domestic demand for yet another 
year has been the driver of growth 
in 2016, although its contribution 
has been somewhat lower than 
in 2015, and has been offset by 
an increased foreign contribution. 
This solid growth, which domestic 
demand has been registering 
since 2014, has contributed 
greatly to the continuous 
improvement in net job creation, 
which maintained its upward 
trend in 2016, closing the year 
with 413,900 jobs more than the 
previous year. This represented  
an increase of 2.3% in the number 
of employed persons, which 
in turn reduced unemployment  
to 18.6% in December 2016,  
below 20% for the first time 
since 2010.
After three consecutive years  
of sustained growth in a complex 
national and international 
political scenario, it seems that 
the Spanish economy is steadily 
moving in the right direction, 
driven by an underlying base  
of fundamental factors that help 
stave off the uncertainty that 
may arise from relevant events  
that could significantly derail  
the progress made.
and US economic growth, which  
is expected to be at 1.6%, were 
also not adversely affected 
as both values are like those 
predicted before the election.
The stabilisation of the price  
of oil at around US $45 per barrel 
during 2016 has been one of 
the determining factors that has 
enabled world economy growth  
to be maintained, and in particular 
in emerging countries, the main 
consumers of this commodity,  
as well as the countries with high 
dependence on crude oil, as is  
the case with Spain.
Hence, Gross Domestic Product 
(GDP) growth for the 4th quarter  
of 2016, published by the Spanish 
Institute of Statistics in January 
2017, establishes the growth of 
the Spanish economy at 3.2% 
for 2016 surpassing once again 
the forecasts that had been 
formulated for this year and 
consolidating the recovery trend 
that began in 2014. This good 
Domestic demand, boosted  
by net job creation, has been 
the driver of growth in the 
Spanish economy in 2016.
Exceeds 
forecast and
consolidates the 
recovery trend
A GROWTH OF
3.2
%
ECONOMIC
GROWTH
2016
€

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
23
STRATEGY
02
Corporate Responsibility Report 2016
is less energy intensive, which 
contributes substantially to the 
implementation of energy saving 
and efficiency measures that are 
consistent with the objectives 
of Spanish and European energy 
policy in order to achieve a 
sustainable energy model and 
fight against climate change.
Within the framework of the firm 
commitment of the European 
Union to the energy targets 
and the fight against climate 
change, at the end of November 
2016 the European Commission 
published, under the generic title 
‘Clean Energy for All Europeans’, 
a new proposal for legislative 
development, which has been 
colloquially referred to as the 
‘Winter Package’. This proposal 
is made up of a new Community 
Directive on electricity, which 
will replace the current Directive 
2009/72/EC and its corresponding 
regulatory developments.
The Winter Package is part of 
the European Union's goal of 
leading the transition towards 
clean energy. In February 2015, 
the first step was the publication 
of the non-legislative package of 
the ‘Energy Union’, which defined 
a new strategic framework 
for achieving EU energy policy 
targets. These targets include a 
commitment to reduce emissions 
by 40% by the year 2030, which 
is aligned with the leadership 
role regarding efforts to slow 
down global warming by reducing 
emissions; a role conferred on 
the Member States at the 21st 
Conference of the Parties which 
was held in Paris in December 
2015 and whose agreements 
came into force one year later,  
on 4 December 2016.
In this way, once the Winter 
Package is approved, after an 
administrative process that 
could take up to two years, 
it will become the normative 
support required to achieve a 
transition towards clean energy 
in accordance with the principles 
Energy scenario
For the first time since the 
economic crisis, electricity 
consumption in Spain grew,  
in 2016, for the second 
consecutive year, registering  
an increase in demand of 0.7%. 
Demand, per sector, after having 
factored in seasonal and working 
patterns, was barely 0.1% higher 
than in 2015, despite the good 
performance of the economy.  
This fact accentuates the 
progressive loss of correlation 
between economic activity and 
electricity demand. This is a 
true reflection of the transition 
towards a production model that 
In 2016, electricity
consumption in Spain grew  
for the second consecutive 
year following the economic 
crisis, registering an increase 
in demand of 0.7%.
EUROPEAN 
COMMISSION 
PROPOSAL FOR 
LEGISLATIVE 
DEVELOPMENT 
40
%
of emissions
by 2030
WINTER 
PACKAGE 
AMONG ITS 
TARGETS:
REDUCTION OF

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
24
STRATEGY
02
Corporate Responsibility Report 2016
More on regulatory aspects in the Annual  
Accounts Report.
Regulatory scenario
Spain’s energy regulation, which 
is fully aligned with the objectives 
of the Community's energy policy, 
has barely progressed in 2016, 
due to the political stalemate 
which, following the general 
elections of December 2015, did 
not allow a new government to 
be formed until November 2016. 
Within this context, among the 
few regulations passed during the 
year of note was the approval in 
December of Royal Decree-Law 
7/2016, which establishes several 
amendments to Law 24/2013, of 
the electricity sector. The purpose 
of these changes is, on the one 
hand, to establish a new regime 
for the financing of a social 
electricity tariff (Bono social)  
- a discount on the electricity bill 
for certain consumers considered 
to be at risk - the cost of which  
is to be borne by electricity 
providers and, on the other 
hand, to introduce Law 24/2013 
on the general principles that 
provide coverage to a subsequent 
regulatory development of new 
measures aimed at protecting 
the most vulnerable consumers  
of electricity.
of the EU energy policy. To this 
effect, also included are legislative 
proposals concerning energy 
efficiency, renewable energies,  
the design of the electricity 
market, the security of electricity 
supply and the governance 
regulations of the Energy Union.
Furthermore, in its communication 
regarding the publication of the 
Winter Package, the Commission 
highlighted that the transition 
towards clean energy is, in itself, 
a thriving economic sector. It is 
estimated that in 2015 it attracted 
an overall investment of more than 
300 billion euros and has a growth 
potential that the European Union 
aims to stimulate by mobilising 
public and private investment 
estimated at 177 billion euros 
per year from 2021 onwards.  
It is estimated that over the next 
decade it could generate GDP 
growth of up to 1% and create 
900,000 new jobs.
Spanish energy regulation  
in 2016 has focused on 
measures for the protection  
of the most vulnerable 
consumers.
OUTLOOK 
REGARDING 
CLEAN ENERGY
The European Union 
estimates public and 
private investment 
at 177 billion euros 
per year from 2021 
onwards.
€
REPRESENTS
A BOOMING
ECONOMIC
SECTOR
300,000
MILLION
EUROS
in investment
in 2015
TRANSITION
 TO
CLEAN ENERGY

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
25
STRATEGY
02
Corporate Responsibility Report 2016
Some of the most relevant  
actions associated with the degree 
of accomplishment of each strategy 
are set out below, although in the 
various chapters of this report, the 
actions carried out in 2016 are 
described in greater detail.
Red Eléctrica's main activity  
is linked to its status as the sole 
transmission agent and operator 
of the Spanish electricity system. 
Therefore, the main strategy of 
the Company is based on the 
development of an increasingly 
meshed and robust transmission 
grid that is better interconnected, 
and in its contribution, as a key 
element in the functioning of the 
electricity system. This enables 
the challenge of sustainable 
development to be a reality through 
the integration of renewable energy 
and promoting projects aimed at 
energy efficiency and innovation.
In the period 2014-2016, highly 
important actions were taken that 
contributed to the deployment of 
the essential and cross-cutting 
strategies defined in the  
2014-2019 Strategic Plan. 
ESSENTIAL 
STRATEGIES
Execution of the  
Plan in the 2014-2016 period 
• Approval of the new regulatory framework 
that guarantees the stability of the electricity 
transmission activity and promotes the 
efficiency and availability of the grid.
• Approval of the Energy Planning by  
the Council of Ministers: Electricity 
transmission grid development plan 
2015-2020.
• Holding of the first auctions for the  
provision of the interruptibility service. 
• Commissioning of the Puebla de Guzmán-
Portuguese border line, which has made 
it possible to increase the interconnection 
capacity between Spain and Portugal and 
provide greater operational security.
• Bringing into commercial operation of 
the interconnection with France through 
the eastern Pyrenees; a project that 
represented a huge technological challenge 
and that doubles the exchange capacity 
with the European system.
• Commissioning of the Majorca-Ibiza 
interconnection to strengthen the 
electricity integration of the Balearic 
Islands and guarantee the reliability  
of the supply.
• Commissioning of more than 1,600 
km of new line and more than 300 new 
substation bays in the period 2014-2016.
• Incorporation into the entity called 
CORESO (COoRdination of Electricity 
System Operators) the coordinating body 
for regional security, composed of several 
European TSOs, to promote greater and 
improved coordination between operators 
in order to maintain the security of the 
European electricity system.
INTERCONNECTION
IN THE BALEARIC 
ISLANDS
Greater reliability 
of supply
ELECTRICAL
INTEGRATION
COMMISSIONING
IN 2016 OF THE
MAJORCA
-IBIZA 
2014-2016 
PERIOD	
Commissioning 
of more than 
1,600 km of new 
line and over 300 
substation bays.
Development of the TSO role

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
26
STRATEGY
02
Corporate Responsibility Report 2016
improvement at an operational  
and process level. Achieving greater 
efficiency will help to mitigate the 
impact of the lower profitability 
of new investments in accordance 
with the new remuneration model, 
generating value through the 
improvement of operating margins.
Execution of the  
Plan in the 2014-2016 period 
• Optimisation of financing through the 
repurchase of bonds.
• Refinancing REDESUR through a bond 
issue in Peru.
• Defining a framework for relations 
between the companies of the Group 
and the different management areas 
of Red Eléctrica de España to act as the 
Efficiency
The Company has started a process 
for the analysis and revision of 
processes, seeking to improve 
current levels of efficiency. This 
approach requires the promotion 
of a corporate management and 
culture focused mainly on the 
optimisation of construction and 
maintenance activities, which 
have the greatest economic and 
financial impact, and the continuous 
foundations on which to build the  
pillars for growth and the diversification 
of the Company.
• Identification of efficiency levers 
to improve margins.
• Containment of operating and structural 
costs.
The current economic and energy 
context brings with it a lower growth 
scenario from the Company’s main 
activity, which means having to 
consider expanding the business 
base, both in Spain as well as 
internationally, in order to drive 
growth in the coming years. This 
strategy includes the development 
of regulated activities other than 
current and non-regulated activities 
in the field of telecommunications 
and infrastructure management, 
as well as expansion in other 
geographical areas.
Execution of the  
Plan in the 2014-2016 period 
• Commissioning of the Tintaya-Socabaya 
line in Peru in May 2014.
• Transfer and commercial operation and 
management of the ADIF dark fibre optic 
network for a period of 20 years, making 
Red Eléctrica the neutral operator of 
reference for fibre optic networks in Spain.
• Creation of Red Eléctrica Infraestructuras 
de Telecomunicación (REINTEL) wholly 
owned by Red Eléctrica Corporación.
• Signing of the agreement for the transfer 
of the Soria-Chira pumped-storage power 
station project. The permitting process  
for the project began in 2016.
• Creation of Red Eléctrica Infraestructuras 
en Canarias (REINCAN), the new subsidiary 
wholly owned by Red Eléctrica Corporación, 
which will manage the construction of 
facilities for energy storage on the Canary 
Islands.
• Concession contract awarded to Red 
Eléctrica Internacional for the 220 kV 
Azángaro-Juliaca-Puno line in Peru.
• Corporate restructuring of the subsidiaries 
in Peru.
• Acquisition of 50% of the share capital 
of Transmisora Eléctrica del Norte (TEN), 
to participate in the construction and 
commercial operation of the Mejillones-
Cardones line in Chile.
• Awarding of the concession contract  
for the Montalvo-Los Héroes line in Peru.
• Progress made in the construction  
of the facilities associated with the 
Peruvian and Chilean concession 
contracts, with the TEN project being 
the most relevant and whose 
commissioning is foreseen in 2017.
Expansion of the business base

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
27
STRATEGY
02
Corporate Responsibility Report 2016
Execution of the  
Plan in the 2014-2016 period 
• Development of various R&D+i projects 
aimed at improving system efficiency, 
the integration of renewables and energy 
storage, noteworthy among which are the 
following:
• - Installation of a flywheel in Lanzarote.
• - Installation of a large-scale energy 
storage battery in the Carmona 
substation (ALMACENA project).
• - Implementation of the PRICE project 
for the deployment of demand-side 
management measures.
• - Completion of the ESP-Líder project 
(re-directing of power flows) of the 
INNPACTO programme.
Execution of the  
Plan in the 2014-2016 period 
• Design of a comprehensive talent 
management model with the aim of 
standardising training and development 
systems and knowledge management.
• Creation of Bench Strength and the 
promotion of quality of the associated 
programmes, in collaboration with 
prestigious business schools. 
• Development of European projects:  
BEST PATHS (integration of massive 
amounts of renewable energy) and 
MIGRATE (improvement of the behaviour 
of the electricity system with high 
penetration of devices based on power 
electronics).
• Approval of a new innovation strategy 
focused mainly on four vectors: 
digitalisation, people, sustainability and 
technology.
• Obtaining the 2016 PDU 'Transfer 
Technology Award' awarded by EPRI  
in the field of research for the analysis 
of the integration and impact of energy 
storage in electricity systems.
• Implementation of the LIDERAT training 
programme for the management team.
• Definition of criteria and metrics regarding 
functional and geographical mobility. 
• Publication of the first Healthy Workplace 
Annual Report.
Innovation 
Innovation as a strategy implies 
a cultural change, which is not 
limited only to the activity of R&D+i. 
Therefore, innovation is presented 
with a greater scope, being an 
integral part of the operational 
process and boosting technological 
development as a lever for growth 
that will make it possible to respond 
to the great challenges of the future.
People
Red Eléctrica is committed to a 
healthy workplace that is conducive 
to the organisation of work and 
well-being of employees, enabling 
the optimisation of resources and 
boosting talent in order to face the 
challenges of the Company.
 
CROSS-CUTTING 
STRATEGIES
NEW
INNOVATION
STRATEGY
2016
FOCUSED ON
DIGITALISATION,
PEOPLE,
SUSTAINABILITY,
TECHNOLOGY
FOUR
VECTORS:

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
28
STRATEGY
02
Corporate Responsibility Report 2016
• Implementation of the LBG (London 
Benchmarking Group) methodology 
to measure the Company's social 
contribution.
• Completion of the process of separation 
of the executive functions and duties 
corresponding to the CEO, from those  
of control and supervision corresponding  
to the Chairman.
• Obtaining +700 points in the evaluation 
of the EFQM model, a level that few 
companies in Europe have.
• Consolidation in the DOW JONES Global 
and European sustainability indexes.
• Obtaining the 'Top Performer' recognition 
in the sustainability assessment carried 
out by Vigeo Eiris.
• Incorporation into the carbon footprint 
registry.
Excellence
At an excellence level, the 
objective of the Strategic Plan 
is that the Company maintain 
its current benchmark position, 
while strengthening the active 
management of corporate reputation 
and brand and the communication 
with stakeholders, maintaining  
the goal of consolidating itself as 
a sustainable company, through  
an ethical and committed 
management to society and 
developing an approach based 
on excellence and corporate 
responsibility.
Execution of the  
Plan in the 2014-2016 period
• Approval of the Company's first Corporate 
Governance Policy.
• European environmental award  
for the Company in the special category  
of Business and Biodiversity.
• Sustainable mobility plan.
• Approval of the Climate Change Action 
Plan for the period 2015-2020.
≥200
    bp
EBITDA 
MARGIN
in 2019
E FFIC IENCY 2014-2019
• EBITDA 
Margin   
2016:
• Control of  
operational costs
76.9%
3.5 X
NET 
DEBT / 
EBITDA
average
F I N A N C I AL STR U CTU R E  20 14 -20 1 9
3.5 x
2014
2015
2016
5-6%
7%
EPS
CAGR
DPS
CAGR
G R OW T H 20 14 -20 1 9
• EPS growth  
6.4% CAGR 14-16 (1) 
• DPS 7% CAGR 
14-16
(1) Calculated using 2013 as the base year.
4,575
M€
C O N S O L I DAT E D 
AC T I V I T I E S
N E W 
AC T I V I T I E S
INV E STMENT 2014-2019
3,575
M€
€
49%  
Investment 
made to date
33%  
Made to date
  Made to date      
  Pending 
  Earmarked      
S T R A T E G I C  P L A N  U P D A T E
A C H I E V E M E N T S  2 0 1 4 - 2 0 1 6 
1,000
M€

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
CORPORATE 
GOVERNANCE
03
03 C O R P O R A T E  
G O V E R N A N C E
C O N N E C T E D 
T O  E T H I C S , 
I N T E G R I T Y , 
T R A N S P A R E N C Y 
A N D  G O O D 
G O V E R N A N C E

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
30
CORPORATE 
GOVERNANCE
03
Corporate Responsibility Report 2016
G OV E R N A N C E  STR UCT UR E  
O F  T H E  C O M PANY
* As at 31 December 2016 there was one post 
vacant for an independent director. 
58.3%
36.4%
11
1
7
3
CHIEF EXECUTIVE 
OFFICER
INDEPENDENT 
DIRECTORS*
EXTERNAL 
NOMINEE DIRECTORS
CHAIRMAN
APPOINTMENTS AND 
REMUNERATION COMMITTEE*
CHAIRWOMAN
Female lead 
independent director
AUDIT 
COMMITTEE
CHAIRMAN
Independent 
director 
INDEPENDENT 
DIRECTORS
80%
INDEPENDENT 
DIRECTORS
60%
GENERAL 
SHAREHOLDERS’ 
MEETING
B O A R D  O F  D I R E C T O R S  /  A S  A T  3 1  D E C E M B E R  2 0 1 6
G4-34 / G4-38

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
31
CORPORATE 
GOVERNANCE
03
Corporate Responsibility Report 2016
IN 2016
Publication on 
the website of an 
interactive version 
of the corporate 
governance story  
of the Company 
since it went public.
By the 
prestigious 
publication 
‘Ethical 
Boardroom 
Magazine’
RECOGNITION
2016
This is made possible not only by 
complying with the applicable legal 
regulations and the most widespread 
national and international 
recommendations on the subject 
but also by voluntarily implementing 
a series of measures and initiatives 
targeted at the core of the most 
important issues regarding good 
governance of the Company, and 
which are of most concern and are 
demanded by shareholders, investors 
and the markets.
From the outset, Red Eléctrica 
has maintained a constant and 
firm commitment to adopting best 
corporate governance practices. 
GOOD GOVERNANCE 
OF THE COMPANY
• Culmination of the process for the 
separation of the positions of Chairman 
of the Board and Chief Executive  
Officer (CEO).
• Publication on the website of an 
interactive version of the corporate 
governance story of the Company since  
it went public.
• Approval of the criteria for 
communication with shareholders, 
institutional investors and proxy advisors, 
in order to promote their commitment 
to these through open, transparent and 
sustainable dialogue.
• Recognition as the best European Utility 
in Corporate Governance in 2016, by the 
prestigious English publication ‘Ethical 
Boardroom Magazine’.
• Red Eléctrica is included again in the Dow 
Jones Sustainability Index (DJSI), with 
a high score in the section on Corporate 
Governance.
Noteworthy actions in 2016
• Dissemination and communication 
actions for our stakeholders on corporate 
governance matters.
• Modification of the Regulations of 
the Board of Directors following the 
separation of the positions of Chairman 
and Chief Executive Officer to incorporate 
the most recent recommendations in 
corporate governance.
• Implementation of the new Compliance 
System.
• Updating of the Comprehensive Risk 
Management Policy.
• Code of Ethics.
• Corporate By-laws.
• Regulations of the General Shareholders’ 
Meeting.
• Regulations of the Board of Directors.
• Internal Code of Conduct on the Securities 
Market.
• Procedure on proxies, voting and 
information by remote means at the 
General Shareholders’ Meeting.
• Operating Rules of the Shareholder 
Electronic Forum.
• Succession Plan for the Chairman of the 
Company.
• Corporate Governance Policy.
• Criteria for communication with 
shareholders, institutional investors  
and proxy advisors.
Internal rules of 
governance / 31 December 2016
CORPORATE 
GOVERNANCE
EUROPEAN
UTILITY
WITH THE
BEST

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
32
CORPORATE 
GOVERNANCE
03
Corporate Responsibility Report 2016
vis-a-vis all other electricity sector 
activities and agents.  
In this regard, the following limits 
were established:
• Any individual or legal entity may 
hold shares in the Company, 
provided that the sum of their 
direct and indirect interests in the 
Company’s capital does not exceed 
5% of the capital and they do  
not hold more than 3% of the 
voting rights.
• Parties that engage in activities 
in the electricity sector, and those 
individuals or legal entities that 
directly or indirectly hold more 
than 5% of its capital, may not 
exercise more than 1% of the 
voting rights in the Company.
• The special regime for the State 
Industrial Holding Company (SEPI) 
is maintained, whereby it must 
hold at least ten percent (10%)  
of the share capital in all cases.
In 2016, the equity of the 
Company was comprised of a 20% 
shareholding owned by SEPI, with 
the remaining 80% being free float.
As at 31 December 2016, the 
Company's share capital was 
comprised of 541,080,000 fully 
subscribed and paid-up shares 
belonging to a single class and 
series, each with a par value  
of 0.5 euros, represented by book 
entries and listed on the four 
Spanish stock exchanges.
The entry into force of Law 17/2007, 
of 4 July, introduced a series of 
legal limitations on participation 
and voting rights applicable to 
the Company's shareholders, 
with the aim of guaranteeing the 
independence of the Company 
CORPORATE 
SHAREHOLDING STRUCTURE
IN 2016
The shareholding 
structure of the 
Company was 20% 
owned by SEPI and 
80% was free float.
4
NEW 
SHARES
Changing its 
nominal value 
from 2 euros  
to 0.5 euros per 
share 
STOCK SPLIT 
IN 2016
SHAREHOLDER 
STRUCTURE
%
Foreign 
Institutions  
Spanish 
Institutions
Minority 
Shareholders
SEPI:
State-Owned Industrial 
Holding Company
66
4
10
20
FOR EACH 
OLD ONE

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
33
CORPORATE 
GOVERNANCE
03
Corporate Responsibility Report 2016
• No minimum number of shares 
required to attend the Meeting.
• Representation by proxy at the 
Meeting by any person, without 
having to be a shareholder.
• Separate voting on each matter 
submitted for approval at the 
Meeting.
• External audit of the management 
processes of the General 
Shareholders’ Meeting.
• Vote certification.
Transparency and participation
The Company pays special 
attention to the right to information, 
as reflected in Article 15 of 
the Corporate By-laws and in 
the Regulations of the General 
Shareholders’ Meeting, which 
also facilitates the maximum 
participation of shareholders.  
Some of the key mechanisms are:
• Implementation of the electronic 
voting system at the General 
Shareholders’ Meeting since 2005.
• Section on the corporate website 
with complete information 
regarding the General Shareholders’ 
Meeting.
• Live broadcast of the Meeting 
via Internet, with simultaneous 
translation in English and sign 
language in Spanish.
• Shareholders’ Electronic Forum.
 
• Dissemination via social networks.
• Shareholders and investors office.
General Shareholders’ 
Meeting
The General Shareholders’  
Meeting represents all shareholders 
and exercises the duties assigned 
to it as the governance body of 
the Company. The rules on the 
organisation and functioning of the 
General Shareholders’ Meeting are 
set out in the Corporate By-laws 
(Articles 11 through 18 inclusive) 
and in the Regulations of the 
General Shareholders’ Meeting.
Guarantees and rights 
of attendance
These are regulated in Red 
Eléctrica’s Corporate By-laws and 
in the Regulations of the General 
Shareholders’ Meeting. The most 
relevant aspects related to the rights 
of attendance, proxy and the right  
to information are the following:
OF VOTES IN 
FAVOUR OF THE 
APPROVAL OF 
AGREEMENTS
90.5
%
In the Annual 
Ordinary 
General 
Shareholders’ 
Meeting 2016
AVERAGE 
PERCENTAGE 
OF VOTES 
In the 'General Shareholders' Meeting' 
subsection of the 'Corporate Governance' 
section of the corporate website.
% over share capital.
Percentage of 
attendees at the 
Ordinary General 
Shareholders' 
Meeting 
%
2016
2015
2014
2013
2012
60.5
57.3
56.1
57.6
61.9
The Company pays special attention 
to the right to information and 
shareholder participation via 
the corporate website and the 
implementation of electronic voting.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
34
CORPORATE 
GOVERNANCE
03
Corporate Responsibility Report 2016
The responsibilities of the Board  
of Directors can be summarised 
as follows:
• Approval of the general policies 
and strategies of the Company  
and the Group, with a special 
mention for the risk management 
control policy.
• Decisions on the appointment  
of senior-level directors, 
remuneration of board members, 
financial reporting, strategic 
investments (except those 
that correspond to the General 
Meeting), the creation or 
participation in special purpose 
entities or those registered 
in tax havens and authorisation  
of related-party transactions.
• Annual assessment of the quality 
and efficiency of the Board and the 
performance of its Committees.
Balance of powers
Red Eléctrica establishes  
in its Corporate Governance  
Policy the essential guideline 
to preserve an adequate balance 
and proportionality in the powers 
inherent to the Board of Directors’ 
structure and composition,  
by adopting the necessary 
measures to enable action with 
unity of purpose and impartiality, 
pursuing the Company's interests 
and those of its shareholders,  
as well as the sustainability 
of the Company.
Board of directors 
/ G4-38
The Board of Directors administers, 
manages and represents the 
Company, without prejudice to the 
powers that correspond to the 
General Shareholders’ Meeting. 
It carries out its duties and 
responsibilities according to the 
rules of organisation and operation 
contained in the Corporate By-laws 
and the Regulations of the Board.
WOMEN
36.4
%
Out of a total  
of 12 members
BOARD 
OF DIRECTORS
R E D U C E D  A N D 
B A L A N C E D  B O A R D
D I V E R S I T Y 
O N  T H E  B O A R D
* As at 31 December 2016 there was a post 
vacant for an independent director.
12 
MEMBERS
1 Chairman
1 Executive board member
7 External independent directors 
3 External nominee directors
36.4
%
IBEX 35 AVERAGE: 15.6% 
(CNMV. 2015 data)
FEMALE BOARD 
MEMBERS
5.6% less compared to 2015

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
35
CORPORATE 
GOVERNANCE
03
Corporate Responsibility Report 2016
In order to complete the process  
for the separation of powers,  
a transition phase was established 
which culminated at the Annual 
Ordinary General Shareholders’ 
Meeting in 2016, with the full 
separation of the duties of the 
Chairman of the Board and the 
Chief Executive Officer. As of said 
Meeting, the Chairman of the Board 
of Directors has been attributed 
exclusively the responsibilities 
inherent to said position.
Until the Annual Ordinary General 
Shareholders’ Meeting 2016, the 
Chairman maintained his executive 
powers, focusing his efforts on 
managing, supporting and fostering 
the transfer of executive powers 
to the new CEO in order for said 
transfer to take place in a rational 
and organised manner during the 
transition phase. Therefore, the CEO 
took on executive duties as of the 
date of his appointment.
Moreover, the figure of the lead 
independent director created in 
2013 has remained unchanged.  
This figure, along with the 
responsibilities assigned to it, 
is recognised by shareholders 
and proxy advisors as an effective 
corporate governance practice.  
Separation of the positions
of Chairman of the Board of 
Directors and Chief Executive 
Officer (CEO) / G4-39
Responding to the commitment 
undertaken by the Company’s 
Chairman at the General 
Shareholders’ Meeting held in 
April 2012, and its commitment 
to best international practices in 
corporate governance, the Board 
of Directors of Red Eléctrica 
submitted the separation of the 
positions of Chairman of the 
Board and CEO of the Company, 
as well as the appointment of 
Juan Lasala Bernad as executive 
board member, for approval by the 
General Shareholders' Meeting at 
its extraordinary session, held on 
17 July 2015 and convened solely 
for this purpose. Both proposals 
received a favourable vote of 99% 
of shareholders, with an attendance 
figure of 58%. The Board of 
Directors at its meeting on 28 July 
2015, appointed Juan Lasala Bernad 
as the new CEO of the Company. 
The separation of powers 
responds to the commitment 
undertaken by the Chairman 
and best international 
practices regarding 
corporate governance 
matters.
SEPARATION  
OF POWERS
The separation of 
functions between the 
Chairman of the Board of 
Directors and that of CEO 
culminated at the General 
Shareholders' Meeting 
of 2016 with the full 
separation of powers. 
RECOGNISED BY 
SHAREHOLDERS 
AND PROXY 
ADVISORS
SINCE
2013
As a figure 
of efficient 
corporate 
governance
LEAD 
INDEPENDENT
DIRECTOR

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
36
CORPORATE 
GOVERNANCE
03
Corporate Responsibility Report 2016
GENERAL COUNSEL 
AND SECRETARY 
OF THE BOARD
CHAIRMAN  
José 
Folgado 
Blanco
EXTERNAL NOMINEE 
DIRECTORS (SEPI)
Fernando 
Fernández 
Méndez 
de Andés
Member of 
the Audit 
Committee
Santiago 
Lanzuela 
Marina
Member  
of the Audit 
Committee
José Ángel  
Partearroyo 
Martín
Member of the 
Appointments and 
Remuneration 
Committee
Rafael García  
de Diego 
Non-Board 
Director
Mª Ángeles  
Amador  
Millán
Member of the 
Appointments  
and Remuneration 
Committee
Carmen Gómez  
de Barreda Tous  
De Monsalve
Chairwoman of 
the Appointments 
and Remuneration 
Committee and 
Independent Lead 
Director
Socorro 
Fernández Larrea
Member of the Appointments and 
Remuneration Committee 
José Luis Feito  
Higueruela
Chairman  
of the Audit 
Committee
Antonio 
Gómez Ciria
Member  
of the Audit 
Committee
María José  
García Beato
Member  
of the Audit 
Committee 
CHIEF EXECUTIVE OFFICER
Juan
Lasala 
Bernad
EXTERNAL INDEPENDENT 
DIRECTORS*
B O A R D  O F  D I R E C T O R S  /  A S  A T  3 1  D E C E M B E R  2 0 1 6
* As at 31 December 2016 there was one post vacant for an independent director.
More about the structure and composition of the Board  
of Directors in the Annual Corporate Governance report 2016  
in the 'Corporate Governance' section of the corporate website.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
37
CORPORATE 
GOVERNANCE
03
Corporate Responsibility Report 2016
Appointments and 
remuneration committee
This Committee has powers 
assigned to it regarding the 
appointment and removal of board 
members and senior executives, 
their remuneration, the fulfilment 
of their duties as administrators  
and their respect for the principles 
and rules of corporate governance 
and the Corporate Responsibility 
Policy. In addition, on an annual 
basis, it prepares a specific 
report on gender diversity that is 
submitted to the Board for approval. 
During 2016, the Appointments  
and Remuneration Committee 
held 13 meetings, with three (3) 
absences having been registered.
Delegation of economic, 
social and environmental 
matters 
/ G4-35 / G4-36 / G4-42
The policy of the Board is to delegate 
the general management of the 
Company and of Red Eléctrica  
de España, S.A.U., to the executive 
bodies and the management team 
of the Company and of Red Eléctrica 
de España, S.A.U., and focuses its 
activity on the general supervision 
and approval of the essential 
guidelines for action. 
On this basis, the Office of the  
Chief Financial Officer is conferred 
overall responsibility for economic 
matters, while responsibilities 
regarding social and environmental 
issues are distributed between  
the Assistant Corporate Director 
to the CEO and the areas responsible 
for Corporate Resources, Corporate 
Management of Sustainability, 
Innovation and Institutional 
Coordination.
Audit committee
The Audit Committee is assigned, 
among other functions, those  
of providing support to the Board  
in its role as monitor of the 
process for the drafting of financial 
information, internal control of the 
Company and independence of the 
external auditor. It also monitors 
compliance with the legal provisions 
and internal regulations and those 
relating to the shareholders 
of the Company, along with those 
powers which the Board of 
Directors expressly attributes  
to said Committee.
During 2016, the Committee held 
11 meetings, with no absences 
or delegation of powers by its 
members having been registered.
On an annual basis, the 
Appointments and Remuneration 
Committee prepares a report 
regarding gender diversity  
that is submitted to the Board 
for approval.
BOARD 
OF DIRECTORS
AUDIT 
COMMITTEE 
APPOINTMENTS 
AND 
REMUNERATION 
COMMITTEE
11
MEETINGS
13
MEETINGS

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
38
CORPORATE 
GOVERNANCE
03
Corporate Responsibility Report 2016
Company’s shareholding, as well  
as the most relevant proxy advisors 
and other stakeholders, in order 
to improve its relationship with 
them, increase commitment and 
strengthen their trust, without 
negeclting the guarantees and 
equal treatment enjoyed by other 
shareholders.
Similarly, in application of this 
principle, Red Eléctrica undertakes 
the commitment to provide its 
shareholders homogeneous and 
systematised information to show 
that environmental, social and 
good corporate governance targets 
are part of the Company's social 
interest.
Besides the direct communication 
channels indicated in the 
'Transparency and Participation' 
section of this report, and detailed 
in the Annual Corporate Governance 
Report and in the Regulations of the 
Board (Articles 39-44), the highest 
governance body has access  
to other consultation mechanisms 
with stakeholders among which  
the following are noteworthy:
• Consultation and grievance system 
of the Code of Ethics.
• Social representation/committees.	
• Stakeholder satisfaction reports.
• DÍGAME Service.
During 2016, there have not been 
any relevant issues stemming 
from the management reports  
of such channels that required 
their submission to the Board.
The directors of these divisions are 
part of the Executive Committee, 
chaired by the Chief Executive 
Officer, as well as the Management 
Committee, headed by the 
Company’s Chairman, which ensure 
direct dialogue with the Board of 
Directors. In addition, they report 
periodically to the Board to provide 
information on matters within the 
scope of their responsibilities.
Dialogue between 
stakeholders 
and the highest 
governance body 
/ G4-37 / G4-49 / G4-50
One of the principles underlying 
the Corporate Governance  
Policy of Red Eléctrica and that 
serves as a benchmark for the 
performance of the Company in 
its relations with its stakeholders 
is: to consolidate, develop and 
nurture symmetrical mechanisms 
of dialogue and engagement 
with shareholders, investors 
and key stakeholders to improve 
relationships, increase commitment 
and strengthen their confidence.
In application of this principle, Red 
Eléctrica strives to fulfil the demands 
of institutional shareholders, given 
their noteworthy presence in the 
PROVIDE 
HOMOGENOUS AND 
SYSTEMATISED 
INFORMATION
WITH
STAKEHOLDERS
And foster dialogue 
between the Company 
and shareholders  
and investors
CONSULTATION
MECHANISMS
Approval of the criteria for communication  
with shareholders and institutional investors 
and proxy advisors, to promote open, 
transparent and sustainable dialogue.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
39
CORPORATE 
GOVERNANCE
03
Corporate Responsibility Report 2016
considers, at all times, any 
competences, experience, 
professionalism, suitability, 
gender, impartiality, knowledge, 
qualities, abilities and availability 
of the members of the Board of 
Directors; a process in which the 
Appointments and Remuneration 
Committee plays a relevant role.
The appointment and removal  
of directors and the ratification, 
where appropriate, of the 
appointments by co-optation, 
corresponds to the General 
Shareholders’ Meeting. 
Conflicts of interest / G4-41
Regarding the Board members, 
Article 32 of the Regulations of 
the Board establishes the possible 
conflicts of interest and the 
procedures to be followed in such 
conflicts. Furthermore, the Annual 
Corporate Governance Report 2016 
details the mechanisms put in 
place to detect and resolve possible 
conflicts of interest between Red 
Eléctrica and its Board members, 
management team and relevant 
shareholders.
Assessment of 
the competencies and 
performance of the board
/ G4-43 / G4-44
For years now, Red Eléctrica has 
been applying the principle of 
conducting an annual assessment 
of the functioning and performance 
of the Board of Directors, the 
Chairman of the Board, the Chief 
Executive Officer of the Company 
and the Board’s Committees, 
ensuring that support is received 
from independent external 
advisors. The process is carried 
out under the management of the 
Appointments and Remuneration 
Committee in coordination with the 
lead independent director, and a 
summary of its main conclusions 
is voluntarily included in the Annual 
Corporate Governance Report.
Selection of board 
members / G4-40
The system used for the selection, 
appointment and re-election 
of members of the Board of 
Directors is expressly governed 
by the Corporate By-laws and the 
Regulations of the Board.
Red Eléctrica applies the principle 
set out in its Corporate Governance 
Policy approved in December 2014 
in order to ensure that appropriate 
procedures exist to select Board 
members, guaranteeing  
a reasonable balance and diversity 
within the Board of Directors in 
order to adequately perform its 
duties and responsibilities.
To this end, when evaluating 
candidates participating in the 
selection process, the procedure 
BOARD MEMBER 
ASSESSMENT
Carried out annually 
with the support of 
independent external 
advisors. Conclusions 
are published in the 
Annual Corporate 
Governance Report.
The selection of board 
members is undertaken 
guaranteeing the balance 
and diversity within the 
Board of Directors.
REGULATES THE 
DUTY OF AVOIDING 
SITUATIONS 
WITH A POSSIBLE 
CONFLICT 
OF INTEREST
ARTICLE32
And the action 
guidelines to be 
followed when faced 
with such conflicts
BOARD 
REGULATIONS

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
40
CORPORATE 
GOVERNANCE
03
Corporate Responsibility Report 2016
relevant information is published, 
such as the minutes of the 
meeting held by the Board and its 
Committees, as well as corporate 
information of interest regarding 
economic, social and environmental 
matters.
Remuneration
of the board 
/ G4-51 / G4-52 / G4-53
The Company applies the principle  
of maintaining a remuneration 
policy for the Board of Directors 
based on the principles of 
moderation, relationship with  
its effective dedication, alignment 
between the strategies and long-
term interests of the Company, 
its shareholders and other 
stakeholders, including performance 
incentives whose monetary value 
would, in no way, have an influence 
on the independence of the  
board member.
To do this, the Company carries 
out comparative analyses with 
other comparable companies and 
permanent contact is maintained 
with its shareholders and proxy 
advisors. As a result of this 
analysis and the market study 
carried out by the Company, with 
the support of an international 
consultant, in 2014 a new 
remuneration structure was 
established that replaced the 
variable remuneration part with 
that of fixed remuneration, with 
the variable component of the 
remuneration of the external 
board members being completely 
removed. Only the remuneration  
of the executive board director also 
includes variable remuneration 
elements linked and aligned with 
the short and long-term objectives 
of the Company. The remuneration 
of the Board was approved by 
a large majority at the General 
Shareholders' Meeting of 2016.
In terms of knowledge development, 
Article 26 of the Regulations of 
the Board of Directors of Red 
Eléctrica establishes that the 
Company will have an information 
programme that quickly provides 
new board members with adequate 
knowledge about the Company and 
its corporate governance rules, 
and shall also offer programmes 
for board members to update their 
knowledge when circumstances 
deem it appropriate.
Periodically, internal information 
programmes on national and 
international trends in Corporate 
Governance may be established.
One of the tools that has 
contributed to increasing the 
efficiency of the Board and its 
Committees has been the Intranet 
tool for Board members, in which 
REMUNERATION 
STRUCTURE
As of 2014 the 
remuneration of 
external board 
members no longer 
includes variable 
components.
BOARD MEMBER
INTRANET
The remuneration policy of the Board of Directors 
is based on the principle of moderation and 
includes performance incentives whose monetary 
value would, in no way, have an influence on the 
independence of the board member.
Regarding corporate, 
economic, social 
and environmental 
aspects
RELEVANT 
INFORMATION
PUBLISHES

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
41
CORPORATE 
GOVERNANCE
03
Corporate Responsibility Report 2016
independence of criteria to vote 
individually and separately on 
each of the agreements, of a 
diverse nature, which correspond 
to the competence of the General 
Shareholders' Meeting. 
Principles of the 
remuneration policy
The Remuneration Policy of board 
members, approved by the Annual 
Ordinary General Shareholders’ 
Meeting held on 15 April 2015, 
amended in the Meeting held 
on 15 April 2016, is based on 
the following general principles:
• Balance and moderation.
• Alignment with practices demanded 
by shareholders and investors.
• Transparency.
• Voluntary submission of any 
decision regarding remuneration 
of board members for approval at 
the General Shareholders’ Meeting.
Noteworthy aspects 
of Board Remuneration
Since 2010, Red Eléctrica 
has voluntarily submitted the 
Annual Report on Remuneration 
of board members and, since 
2007, the annual remuneration 
of the Board of Directors, to the 
approval of the Ordinary General 
Shareholders' Meeting, as separate 
and independent items on the 
Agenda of the General Meeting. 
Therefore, proposals and reports 
on these matters are submitted to 
shareholders for approval, with the 
decision being binding.
In 2016, this same course of 
action was continued and both 
the remuneration of the Board of 
Directors for 2016 and the Annual 
Report on Remuneration of board 
members were submitted to the 
shareholders' approval (binding 
vote) as separate and independent 
items of the Agenda of the 
Ordinary General Shareholders' 
Meeting. In this way, Red Eléctrica 
Corporación SA has continued to 
align itself with the best practices 
of corporate governance, which 
aim to provide shareholders 
with sufficient autonomy and 
SHAREHOLDERS'  
VOTE
The Company  
aims to provide 
shareholders with 
autonomy and 
independence of 
criteria to vote 
individually and 
separately on each 
agreement.
ANNUAL 
REMUNERATION
REPORT
Any decision regarding 
the remuneration of board 
members is voluntarily 
submitted for approval  
at the General Shareholders’ 
Meeting.
SUBMITTED 
TO THE 
SHAREHOLDERS'
APPROVAL
SINCE
2010
By means  
of a binding vote

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
42
CORPORATE 
GOVERNANCE
03
Corporate Responsibility Report 2016
components of fixed (short-term) 
and variable (annual and long-
term) remuneration reflecting 
adequate risk-taking combined  
with the achievement of defined 
objectives linked to the creation 
of sustainable value.
• Alignment with the remuneration 
established by comparable 
companies.
Regarding the remuneration  
of the non-executive board 
members, the following principles 
have been established as per their 
status as members of the Board 
Directors:
• Related to effective dedication.
• Linked to the responsibility and  
the development of their duties  
as board members.
• Absence of variable remuneration 
components in the interest of 
their total independence from the 
remuneration of executive board 
members and the management 
team.
• Performance incentives whose 
monetary value would, in no 
way, have an influence on the 
independence of the board 
member.
It should be noted that from 
2015, Red Eléctrica Corporación 
has incorporated ESG criteria 
(Environmental, Social and 
Good Corporate Governance)  
for the calculation of the variable 
remuneration of the CEO and the 
senior management team.
Regarding the remuneration of the 
CEO, the following principles have 
been established:
• Alignment of the CEO’s 
remuneration policy with the 
Company’s strategy.
• Maintaining a reasonable  
balance between the various 
EXECUTIVE BOARD 
DIRECTOR AND 
DIRECTORS'
REMUNERATION
Detailed information regarding the 
remuneration of the Board can be found  
in the Annual Report on remuneration  
of board members and in the remuneration 
policy of the Board of Directors for 2016. 
Said information is available in the 
Corporate Governance section of the 
corporate website and in the sub-section 
related to the General Shareholders' 
Meeting to be held in March 2017.
The remuneration 
of the CEO reflects the 
combination between the 
assumption of risks and  
the achievement of set  
goals, linked to the creation 
of sustainable value.
Relating 
to corporate, 
economic, social 
and environmental 
matters
INCORPORATES
CRITERIA
ESG

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
43
CORPORATE 
GOVERNANCE
03
Corporate Responsibility Report 2016
the Management Committee 
respectively, which are based on 
the Comprehensive Framework 
for Corporate Risk Management 
COSO II (Committee of Sponsoring 
Organisations of the Treadway 
Commission).  
The Comprehensive Risk 
Management Policy and the General 
Procedure for Comprehensive Risk 
Management and Control have  
been updated in November 2016.  
In addition, the Comprehensive Risk 
Management System conforms 
to the ISO 31000 standard on 
principles and guidelines on risk 
management.
Comprehensive risk 
management policy
The Comprehensive Risk 
Management Policy identifies the 
different risk categories, defines 
the risk level that the Company 
considers acceptable and sets out 
the action guidelines to manage and 
mitigate said risks. The Policy for 
the control and management of tax 
risks is integrated into this policy, 
incorporating action guidelines  
for the management and mitigation 
of these types of risks.
The Red Eléctrica Group has a 
Comprehensive Risk Management 
System established whose objective 
is to ensure that the risks, which 
could affect the strategies and 
objectives of the Group, are 
systematically identified, analysed, 
assessed, managed and controlled 
with uniform criteria and within 
the established risk limits, so as 
to facilitate the fulfilment of the 
Group’s strategies and objectives.
This system has a Comprehensive 
Risk Management Policy and 
a General Procedure for the 
comprehensive control and 
management of risks, approved 
by the Board of Directors and 
RISK 
MANAGEMENT  / G4-14
IN 2016
The Comprehensive 
Risk Management 
Policy and the 
General Procedure 
for Comprehensive 
Risk Management 
and Control have 
been updated.
COMPREHENSIVE 
RISK MANAGEMENT
SYSTEM
The Comprehensive Risk Management Policy 
identifies the risk categories, defines the acceptable 
risk level and sets out the action guidelines  
to manage and mitigate said risks.
Regarding 
principles and 
guidelines 
on risk 
management
CONFORMS 
TO THE
STANDARD
ISO
31000

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
44
CORPORATE 
GOVERNANCE
03
Corporate Responsibility Report 2016
This policy is fully aligned with  
the Strategic Plan of the Group and 
is available on the corporate website  
in the 'Corporate Governance' 
section.
Procedure for the 
comprehensive
management 
and control of risks 
This procedure regulates the 
process for the identification, 
analysis, assessment, valuation  
and management of significant  
risks which the Group faces. 
Said procedure establishes the 
purpose, responsibilities, activities 
and tasks associated to the 
Comprehensive Risk Management 
System.
their management takes them  
into account, and is carried out 
within the established acceptable 
risk levels.
Organisational 
structure
The Risk Policy and Procedure 
define the different responsibilities 
of the governing bodies and those 
of each of the organisational 
units, as well as defining the flow 
of information and the activities 
to be undertaken by the various 
bodies (see organisational chart).
The risk management system  
is comprehensive, to the extent 
that all units of the Group 
and the different governing 
bodies participate in it, within 
a systematised management 
process, in accordance with the 
guidelines and criteria established 
in the Procedure and Policy for 
comprehensive risk management 
and control.
ON THE  
CORPORATE 
WEBSITE
The Comprehensive 
Risk Management  
Policy is included  
in the 'Corporate 
Governance' section. 
RISK MANAGEMENT
AND CONTROL 
PROCEDURE 
The Risk Management 
System is comprehensive, 
to the extent that all  
units of the Group and the 
different governing bodies 
participate in it.
Determines the 
object and  
the activity of the 
Comprehensive 
Risk Management 
System
THE PROCESS FOR 
THE IDENTIFICATION, 
ANALYSIS, 
ASSESSMENT, 
CONTROL 
MANAGEMENT OF 
RELEVANT RISKS
REGULATES
This process is undertaken in 
order to ensure that different 
levels of responsibility of the 
Group understand and appreciate 
the risks that threaten the Group’s 
strategies and objectives, and that

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
45
CORPORATE 
GOVERNANCE
03
Corporate Responsibility Report 2016
R I S K  M A N A G E M E N T  O R G A N I S A T I O N I A L  D I A G R A M  / G4-45 / G4-46 / G4-47
• Approve the Comprehensive  
Risk Management Policy of the Group.
• Approve the criteria of the acceptable 
risk level.
• Periodic monitoring of the efficiency  
of the comprehensive risk management 
system.
• Identify and report to the Internal Audit 
and Risk Control Area on the appearance  
of new significant risks, or relevant 
changes in risks already identified, 
that may affect the activities, processes 
and projects managed.
• Evaluate significant risks with the  
support of the Internal Audit and Risk 
Control Area and manage such risks.
• Manage the activities, processes and 
projects in accordance with the acceptable 
risk level set. Design and execute, if 
deemed necessary, action plans to take 
the risks to the corresponding acceptable 
level, maintaining them at said level. Carry 
out said management in accordance with 
principles and guidelines established in the 
Comprehensive Risk Management Policy.
• Monitoring of the significant risk map.
• Ensure the adequate control and 
monitoring of the management of risks 
and action plans for their mitigation.
• Support organisational units of the Group 
in the implementation of the procedure 
for the comprehensive management and 
control of risks.
• Control that risks are managed within  
the acceptable risk level set and in 
accordance with the principles and 
guidelines set out in the Comprehensive 
Risk Management Policy.
• Monitor the Group’s risk level and the 
evolution of the Group’s risks.
• Ensure information on risks flows to  
the bodies responsible for their control 
and from these to the units responsible 
for the management of the corresponding 
processes or projects.
GUIDELINES
INFORMATION
I n t e r n a l  A u d i t 
a n d  R i s k  C o n t ro l  A re a
B o a rd  
o f D i re c t o rs
A u d i t  C o m m i t t e e
M a n a g e m e n t 
C o m m i t t e e
O rg a n i s a t i o n a l  u n i ts 
re s p o n s i b l e  fo r  
p ro c e s s e s  o r p ro j e c t s

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
46
CORPORATE 
GOVERNANCE
03
Corporate Responsibility Report 2016
• Reputation: degree of impact on 
the reputation (geographical scope, 
duration and reparability).
• Economic loss: impact on 
the income statement before 
Corporate Tax.
For each of these four elements, 
the Red Eléctrica Group has 
defined a table with five levels  
of effect or impact. In the case 
of electricity supply and economic 
loss, assessment is quantitative 
(MWh and euros), while in the case 
of essential strategies and reputation  
it is qualitative.
The combination of these two 
parameters in the probability 
and impact matrix automatically 
determines the risk level, this may  
be low, medium or high.
Acceptable risk 
at an individual level
The individual acceptable level 
defined by the Red Eléctrica Group 
only considers admissible those 
risks whose assessment, according 
to the aforementioned matrix, is 
considered of low level. According 
to the risk policy, any risk that 
exceeds this acceptable level, shall 
be the target of actions to achieve 
said value, in as far as the risk be 
manageable, and the costs 
of the measures for its mitigation 
be justifiable, owing to the possible 
impact that the materialisation  
of the risk may have on the Group.
Acceptable risk 
at an overall level
In 2016, the Board of Directors 
approved the determination of the 
overall level of acceptable risk that 
the Group is willing to assume for 
each of the four types of impacts 
previously mentioned, and that 
are contemplated within the 
Comprehensive Risk Management 
System.
As general criteria for the 
management of risks, the overall 
aggregate level of risk of the 
Group, determined as a result of 
the statistical aggregation of the 
individual risks, shall not exceed this 
acceptable risk at an overall level.
Management system / G4-2
The risk management system  
of the Red Eléctrica Group defines 
a methodology for determining the 
level of acceptable risk. This level  
of acceptable risk is established both 
at an individual level, for each risk, 
and globally.
Risk assessment is performed based 
on two parameters: the probability of 
the risk occurring and the impact on 
the Company should it materialise. 
The probability of occurrence is 
classified into five levels defined by 
means of intervals. As for the impact, 
risks are assessed in terms of the 
effect their materialisation can have 
on four key business elements:
• Electricity supply: measured by 
the Energy Not Supplied (ENS) that 
would result in the possible event 
taking place.
• Achievement of the essential 
strategies: degree of impact on 
the achievement of the essential 
strategies.
RISK 
ASSESSMENT
Probability of risk 
occurring
Impact its 
materialisation  
can have
TWO
PARAMETERS
RISK  
ANALYSIS
In this fiscal period 
a risk analysis 
methodology 
was developed 
regarding project 
management.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
47
CORPORATE 
GOVERNANCE
03
Corporate Responsibility Report 2016
Moreover, the processes of the 
Group have been designed to 
incorporate elements to mitigate 
or reduce the related risks. These 
processes have been integrated  
into management systems 
structured according to 
international standards (ISO 
9001, ISO 14001 and OHSAS 
18001, among others), which are 
submitted to systematic design 
and compliance adaptation 
audits (internal and external), 
and incorporate control aspects 
corresponding to the objectives 
to be met.
In addition, Red Eléctrica has 
contingency plans that regulate 
the various crisis situations that 
could occur in the case of electrical 
incidents (to guarantee security 
of supply), or non-electrical 
incidents that may impact upon the 
environment, people, the operational 
aspects of the Company, the 
availability of its systems, business 
results, or any other events that 
could have an impact on the 
Company's reputation.
Red Eléctrica also has available  
an action guide for the management 
of cyber-incidents, that establishes 
the criteria and guidelines for the 
management of any incident related 
to cybersecurity regardless of the 
environment in which it occurs.
In a supplementary manner, 
Red Eléctrica has a System 
of Internal Control over Financial 
Reporting (ICFR), with the aim  
of obtaining efficiency and security 
in the processes for the drafting  
of economic and financial 
information of the Company, 
adopting international best 
practices.
Response and 
monitoring plans
In the process of identification, 
analysis, assessment and control 
of risks, referred to previously, the 
actions required to reduce the 
degree of risk to an acceptable level 
are established.
For the monitoring of risks, the 
current risk management system 
includes the monitoring of over 500 
action plans that seek to reduce 
the level of risk, and more than 300 
indicators to monitor their progress. 
The Internal Audit and Risk Control 
Area reviews, together with the 
management units, the evolution 
and effect of the Action plans 
previously established to reduce 
risk. This is done on a half-yearly 
basis for high-level risks and others 
of particular relevance, annually for 
other risks and on and ad-hoc basis 
for other specific risks.
MANAGEMENT  
OF CYBER INCIDENTS
Red Eléctrica has an action 
guide for the management 
of incidents that affect 
cybersecurity.
OVER500
ACTION
PLANS
And more than 
300 indicators 
to monitor 
their progress
MONITORING 
OF RISKS
Red Eléctrica has specific  
action plans and other 
mechanisms to mitigate  
or reduce risk levels.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
48
CORPORATE 
GOVERNANCE
03
Corporate Responsibility Report 2016
and conditions in which it must 
undertake its principal activities.  
In this context, due to their 
importance and specificity, it is 
important to highlight the following 
risks: the regulatory and operational 
risks, as well as others which are 
common to the undertaking of 
economic and business activities.
Risk structure 
/ G4-2
The principal business of  
the Red Eléctrica Group is the 
transmission of electricity  
and operation of the electricity 
system in Spain. Said activities  
are regulated in as far as they  
are critical to the security and 
continuity of the electricity  
supply and are carried out on  
an exclusive basis.
This classification as a regulated 
activity affects both the setting 
of revenues and the environment 
REGULATORY RISKS
Risks derived from possible changes  
to the legal framework regulating the 
activity, which could affect its revenues 
and/or costs, either directly or through  
the introduction of new requirements 
and conditions for the carrying out 
of this activity.
• Regulation as Spanish TSO.
• Other regulation: tax and environmental 
regulation. Tax Risks are included in this 
category. 
OPERATIONAL RISKS
Risks caused by the failure of processes, 
personnel, equipment or internal systems, 
or due to external events. The criticality 
of the functions performed by the Red 
Eléctrica Group could lead to these risks 
having widespread social and economic 
relevance.
• Operational: that may affect the proper 
functioning of the transmission grid and 
the operation of the electricity system.
• Comprehensive corporate security: 
security of facilities and cybersecurity.
• Environmental and related to people: 
respect for the natural environment and 
the special relevance of occupational 
health and safety in the activities 
undertaken by people.
• Other operational risks: that may affect 
other processes of the Group such as 
criminal risk.
Risk types of the Red Eléctrica Group
FINANCIAL AND  
COUNTERPARTY RISKS
Financial risk, market risk and those  
related to the non-fulfilment of 
counterparties of their contractual 
obligations:
• Increased cost of equipment and raw 
materials.
• Increased interest rates and changes  
in exchange rates.
• Conditions of access to financial markets.
• Coverage of accidents. 
OTHER RISKS
Risks arising from the relevance of other 
businesses conducted by the Red Eléctrica 
Group:
• Risks associated with the 
telecommunications business relating  
to the management and operation 
of the dark fibre network.
• Risks from foreign business related to 
the activities carried out by the Company 
through its subsidiaries abroad.
RISK STRUCTURE 2016
%
Electricity system operational risks
Other operational risks
Comprehensive corporate security
Financial and counterparty
TSO regulation
Environmental and related  
to people
Other regulation
Telecommunications business
Foreign business
31
23
14
11
8
6
3
3
1

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
49
CORPORATE 
GOVERNANCE
03
Corporate Responsibility Report 2016
Materialised risks 
in 2016
The facilities of the transmission 
grid are exposed, permanently,  
to operational events that might 
affect the continuity and security  
of the electricity supply.
During 2016, there were events 
whose consequences represented 
power outages of minor importance. 
In general, these events were 
caused by third parties and  
by extreme weather conditions.
Given these events, the control 
systems worked properly, as 
evidenced by the peninsular 
transmission grid availability 
rate which in 2016 was 98.32% 
(provisional figure, pending audit),  
a value greater than that obtained 
in 2015 (97.92%).
The Company also has insurance 
policies that limit the potential 
impact of these events on the 
income statement.
OBJECTIVES  
2016
Improvement of  
the mechanisms for the 
communication of new risks 
and relevant events.
Development of the risk 
analysis methodology in the 
management of projects.
Adaptation of risk 
management processes  
to the requirements of the 
new versions of the ISO 
9001 and 14001 standards.
RESULTS 
2016
Approval by the Board  
of Directors of the Group's 
overall acceptable risk 
level.
A methodology has 
been developed for the 
analysis of risks in the 
management of projects.
Development of a 
methodology that adapts 
the identification and 
evaluation of the risks 
of the processes to the 
requirements established 
by ISO 9001 and 14001.
Improvements in 
the statistical and 
probabilistic study of 
historical events that 
have taken place in the 
transmission grid.
CHALLENGES  
2017
Identify lines of improvement 
regarding best practices 
in the short, medium and 
long term for Red Eléctrica’s 
Comprehensive Risk 
Management System.
Evolution and improvement 
of integrated risk reporting.
Improvements in the 
methodology of risk 
identification and 
assessment.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
50
CORPORATE 
GOVERNANCE
03
Corporate Responsibility Report 2016
Risk of changes in the electricity  
system regulation
Other regulatory risks
Risks related to power outages  
and the evacuation of generation
Risks associated with 
the operation of the system
• Risk of regulatory changes occurring 
that could have a negative impact on the 
activities related to transmission and 
system operation.
• Tax risks.
• Changes in environmental regulation.
• Risk of a breakdown/fault occurring 
in the facilities that may significantly 
impact on the electricity system,  
causing power outages on the Spanish 
peninsula or the islands.
• Human errors in the coordination  
or configuration of equipment.
• Malfunction of telecommunications.
• Failure of computer systems that support 
the activity.
• Dialogue with the Regulator.
• Presentation of proposals to the Regulator.
• Adherence to the Code of Good Tax Practices.
• Setting up of the tax strategy of the Red Eléctrica Group.
• Incorporation of Tax Risk Policy into the Comprehensive Risk Management  
Policy of the Group.
• Adaptation to the legislation related to climate change.
• Emergency equipment and procedures.
• Periodic inspections of equipment and systems.
• Preventive and predictive maintenance programmes.
• Renovation and improvement plans for facilities.
• Improvement of grid meshing and increase in the construction of facilities to deal  
with the Electricity Infrastructures Plan approved by the Government.
• Contracting insurance policies to cover possible damages that can be derived  
from an incident.
• Contingency plans.
• Strengthening of the transmission grid in certain areas where the situation is precarious.
• Power service restoration plans.
• Plan for the renovation and improvement of facilities.
• Improvement of the telecommunication systems.
• Implementation of security mechanisms in the IT information systems used.
• Ongoing training of operators.
• Contingency plans.
Continued on the following page
Main risks of the Red Eléctrica Group at present / G4-45
RISK 
DESCRIPTION
MAIN MANAGEMENT ASPECTS
REGULATORY RISKS AS TSO
OTHER REGULATORY RISKS
OPERATIONAL RISKS OF THE ELECTRICITY SYSTEM

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
51
CORPORATE 
GOVERNANCE
03
Corporate Responsibility Report 2016
Risks that may affect  
the security of facilities
• Impact on security in facilities 
(substations, control centres, buildings, 
etc.) such as vandalism, sabotage, theft, 
terrorism, etc.
• Security systems in facilities.
• Service for the permanent monitoring of facilities.
• Contact with the Spanish Security Forces (National Police and Guardia Civil).
• Comprehensive Corporate Security Management Model.
• Consultation and collaboration with the CNPIC (National Centre for Critical  
Infrastructure Protection).
• Operator Security Plan (OSP) and Specific Protection Plans (SPP).
Continued on the following page
Main risks of the Red Eléctrica Group at present / G4-45 / continued from the previous page
COMPREHENSIVE CORPORATE SECURITY RISKS
Risks related to cybersecurity
• Non-availability of systems.
• Unauthorised access to specific  
IT applications.
• Firewalls and anti-intrusion systems.
• Antivirus systems.
• Increase in the security of access requirements.
• Mechanisms for the detection of incidents.
• Software updates.
• Hacking simulations.
• Training and awareness programmes.
• Comprehensive Corporate Security Management Model.
• Consultation and collaboration with the CNPIC (National Centre for Critical Infrastructure 
Protection).
• Development of the Operator Security Plan (OSP) and Specific Protection Plans (SPP).
• Action guide in the event of cyber incidents.
Risks of impact 
on the environment
• Impact on flora.
• Impact on fauna.
• Contamination of soil.
• Impact on archaeological heritage.
• Risk of fires.
• Application of strict environmental criteria in all phases of planning, development  
and maintenance of facilities.
• Environmental supervision of construction works.
• Biodiversity strategy and actions.
• Development of research projects and fire prevention plans.
• Projects for birdlife conservation.
• Environmental training courses for field staff.
• Environmental awareness of suppliers.
• Environmental supervision of construction works.
• Implementation of Environmental Work Certification.
• Establishment of collaboration agreements in the field of environmental protection  
with the various Regional Governments.
• Fire protection plans.
• Contingency plans.
• Internal environmental audits.
RISKS ASSOCIATED TO THE ENVIRONMENT AND THE HEALTH AND SAFETY OF PEOPLE
RISK 
DESCRIPTION
MAIN MANAGEMENT ASPECTS

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
52
CORPORATE 
GOVERNANCE
03
Corporate Responsibility Report 2016
Risks derived from  
climate change  
/ G4-EC2
• Reduction in rainfall. 
• Increase in temperatures. 
• Changes in wind currents. 
• Impacts on structural elements due  
to wind, ice, electrical discharges 
(lightning) etc.
• Alteration in the properties of the 
conductors.
• Erosion around the foundations of the 
towers and the towers themselves.
• Climate change strategy.
• Voluntary Agreement for the comprehensive management of SF6 in the electricity industry, 
between the Ministry of Agriculture, Food and Environment, equipment manufacturers 
(AFBEL), UNESA, REE and waste management companies.
• Internal audits of the SF6 management process.
• Development of system operation tools (CECRE).
• Construction of new transmission lines for the evacuation of renewable energy.
• Strengthening of international interconnections.
• Development of demand-side management initiatives (interruptibility service, measures  
to achieve a more efficient consumption profile, and initiatives for the implementation  
of the electric vehicle).
• Development of research and innovation projects: new technologies and technical solutions 
for efficient system management, new tools for emergency situations, smart demand-side 
management, energy storage.
Continued on the following page
RISKS ASSOCIATED TO THE ENVIRONMENT AND THE HEALTH AND SAFETY OF PEOPLE / continued
Risks related to management  
and employees
• Lack of motivation and competencies  
of staff to reach the Company objectives.
• Fraud and corruption.
• Workplace accident rate.
• Adaptation of occupational health  
and safety risk prevention.
• Development programmes for experts and directors.
• Work-life balance policy and implementation of a management system.
• Hiring of young employees with potential.
• Maintenance and improvement of the structured risk prevention system in accordance  
with the OHSAS 18001 standard.
• EFR1000 certification and internal audits.
• Implementation of the Code of Ethics, the grievance system and audits.
• Application of the staff appraisal system.
• Technical Procedures for the organisation of safety.
• General procedure for accident management and incidents.
• Operational Group regarding Prevention.
Other operational risks
• Failure of the processes associated  
with certain activities of the Group such 
as engineering, construction, procurement, 
human resources, etc.
• Controls implemented in each process.
• Specific action plans.
• Contingency plans.
OTHER OPERATIONAL RISKS
Main risks of the Red Eléctrica Group at present / G4-45 / continued from the previous page
RISK 
DESCRIPTION
MAIN MANAGEMENT ASPECTS

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
53
CORPORATE 
GOVERNANCE
03
Corporate Responsibility Report 2016
Risk of increased costs of equipment  
and raw materials
• The control of the price of equipment 
and raw materials is a key part of the 
management of the construction and 
maintenance activities.
• Promote competition.
• Increase normalisation and standardisation.
• Drafting of turnkey contracts.
• Use of hedging mechanisms.
Continued on the following page
FINANCIAL AND COUNTERPARTY RISKS
Risk of increase 
in the interest rates
Unfavourable variations  
in exchange rates
Inadequate coverage 
when facing claims
• Variations in interest rates that may 
detract from that contemplated in the 
Strategic Plans of the Company.
• Although the part of the business 
managed in non-euro currencies is not 
very significant, unfavourable variations 
in exchange rates may have a negative 
impact.
• Insufficient coverage when faced with  
a significant increase in claims made 
against the Company.
• Loss of solvency of the reinsurance 
company.
• Periodic reviews of the interest rates and their impact on the accounts.
• Maintenance of the fixed/variable percentages of the financial structure.
• Development of a financial risk policy and mechanisms for its management and control.
• Establishing hedging mechanisms for transactions performed in non-euro currencies.
• Development of a Financial Risk Policy and mechanisms for its management and control.
• Provisioning.
• Ongoing monitoring of the level of claims.
• Reinsurance risk.
Risks that can affect  
the business
• Operational and business risks  
related to the telecommunications 
business.
• Monitoring the quality of service provided.
• Monitoring the portfolio of clients.
RISKS OF THE TELECOMMUNICATIONS BUSINESS 
MANAGEMENT
Main risks of the Red Eléctrica Group at present / G4-45 / continued from the previous page
RISK 
DESCRIPTION
MAIN MANAGEMENT ASPECTS
RISK 
DESCRIPTION

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
54
CORPORATE 
GOVERNANCE
03
Corporate Responsibility Report 2016
Risks to foreign subsidiaries
• Regulatory and operational risks  
of foreign subsidiaries.
• Maintaining good relationships with agencies and organisations where the subsidiaries  
are located.
• High-quality standards in the services offered.
• Monitoring of regulatory developments and economic evolution.
• Monitoring of the projects undertaken by subsidiaries.
RISKS OF BUSINESS ABROAD
MANAGEMENT
Uncertainty in the development of the 
european regulatory framework
• Regulatory changes with an impact  
on the activities of Red Eléctrica.
• Active participation in ENTSO-E.
• Increased role in international forums.
• Communication with the European regulator.
RISKS THAT MAY EMERGE IN THE FUTURE
POTENTIAL IMPACT ON THE BUSINESS
ACTION PLAN
Major environmental and social 
demands in projects
Increase in uncertainty regarding 
international policy
Changes in the electricity model 
due to the appearance of new 
technologies
• Delays or increased costs in the execution 
of projects.
• Worsening of the situation regarding  
markets and international relations.
• Cost to adapt to the changes.
• Communication plan for the environmental and social activity.
• Maintain relationships with relevant institutions.
• Development of business diversification activities in countries and regions with  
political and economic stability.
• Efficiency action contemplated in the Group's Strategic Plan.
• Approval of the innovation strategy of the Group.
Main risks of the Red Eléctrica Group at present / G4-45 / continued from the previous page
 
RISK 
RISK 
DESCRIPTION

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
55
CORPORATE 
GOVERNANCE
03
Corporate Responsibility Report 2016
corporate values and performance 
criteria that must be undertaken by 
all persons within the Company in 
the execution of their professional 
activities.
In addition, the Company is 
developing a new Regulatory 
Compliance System aligned with 
best practices in this area, in order 
for the organisation to adequately 
respect the obligations established 
and the commitments undertaken 
and thus develop a proactive 
culture towards the management  
of risk regarding non-compliance. 
In order to give continuity to the 
Ethics Management Awareness  
Plan that has been underway 
since 2014, an awareness and 
dissemination plan regarding 
the compliance system has been 
launched that is expected to last 
throughout 2017.
Code of Ethics
The Code of Ethics of the Red 
Eléctrica Group aims to provide 
an ethical guide for managers and 
employees of the companies of the 
Group, setting out the values and 
commitments that should govern 
the performance of their activity 
within the Company.
The current edition of the Code of 
Ethics of the Red Eléctrica Group 
was approved by the Board of 
Directors on 28 May 2013 with 
Red Eléctrica considers ethics, 
integrity and transparency as 
fundamental pillars for the good 
functioning of the business.  
This involves acting with the 
utmost integrity in the fulfilment 
of the obligations and duties 
entrusted to the Company, as well 
as in the relationships with and 
commitments to its stakeholders.
To do this, Red Eléctrica has a set 
of rules of conduct that establish 
INTEGRITY MODEL OF
THE RED ELÉCTRICA GROUP  / G4-DMA / G4-56 / G4-57
COMPLIANCE 
SYSTEM
An Awareness Plan 
is underway for 
its dissemination.  
The Plan will continue 
throughout 2017.
PROFESSIONAL
ETHICS
GUIDE
FOR 
ADMINISTRATORS 
AND EMPLOYEES
Sets out the values  
and commitments  
that should govern 
their activity
RED ELÉCTRICA'S
CODE OF ETHICS
Code of Ethics
Criminal  
Risk  
Prevention  
Programme
Guide for the  
Prevention 
of Corruption 
Supplier Code  
of Conduct
I N T E G R I T Y  M O D E L

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
56
CORPORATE 
GOVERNANCE
03
Corporate Responsibility Report 2016
Manager. These sessions have  
the participation of the Ethics 
Manager and Stakeholder 
Ombudsman of Red Eléctrica.
From the outset of the awareness-
raising plan in November 2014, and 
until its conclusion in June 2016,  
25 awareness sessions were 
held, with a total of 1,589 people 
attending, representing 89.8%  
of the workforce.
In this process of bringing 
the values and commitments set 
out in the Code of Ethics closer 
to its staff, the ‘Red Eléctrica’s 
Values’ initiative was approved  
as a leadership objective and was 
carried out in 2016. The aim of 
this initiative was to communicate 
Company values among employees 
and generate internal debate 
regarding its application within each 
unit, taking into consideration the 
singularities of each of the units. 
This communication and debate 
process has involved all employees 
and has had the involvement of 
those responsible for the various 
units of the Company. In these 
sessions, the current values were 
presented and those, which were 
considered most relevant in the 
opinion of its employees of each 
unit, were debated and the possible 
areas for improvement were also 
discussed. / G4-SO4
the aim of taking on board the 
requirements of stakeholders 
and the recommendations of the 
international organisations of 
repute in this field, among which 
the following are noteworthy: 
United Nations Organisation, the 
European Union, the Organisation 
for Economic Cooperation and 
Development and international 
organisations such as Transparency 
International or the ÉTNOR 
Foundation, amongst others.
Awareness-raising 
actions
Under the Ethics Management 
Awareness Plan, approved 
by the Company's Corporate 
Responsibility Committee (currently 
the Sustainability Management 
Committee), a set of forums was 
developed during the 2014-2016 
period in all work centres of the 
companies of the Group, with 
the aim of improving knowledge 
regarding the ethics management 
system, reflecting on the values 
and commitments acquired by the 
organisation, and highlighting the 
role and functions of the Ethics 
'REE VALUES' 
PROJECT
The aim is to 
communicate 
Company values and 
generate internal 
debate regarding  
its application. 
HELD WITH 
THE ETHICS 
MANAGER
25
SESSIONS
With 89.8%  
of the workforce 
attending
ETHICS 
MANAGEMENT
SYSTEM
The approval of the current 
Code of Ethics by the Board 
of Directors in 2013 responds  
to requirements made  
by stakeholders and  
to the recommendations 
of international organisations  
of repute in this field.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
57
CORPORATE 
GOVERNANCE
03
Corporate Responsibility Report 2016
or services required by the 
Company, whether they are carried 
out directly or through other 
companies.
Ethics manager 
To ensure the awareness, application 
and enforcement of the Code  
of Ethics, Red Eléctrica appointed 
Rafael Garcia de Diego, General 
Counsel and Secretary of the Board 
of Directors, as Ethics Manager 
and Stakeholder Ombudsman.  
The responsibilities and duties of the 
Ethics Manager are the following:
• Resolve enquiries and advise 
all stakeholders regarding any 
doubts in relation to the values  
and commitments contained  
in the Code of Ethics.
• Establish proceedings regarding 
grievances through the verification 
and investigation of the business 
conduct of those employees or 
organisational units reported.
• Develop action plans to resolve the 
grievances reported and submit 
them for approval by the Chairman 
of the Red Eléctrica Group or the 
Chairperson of the Audit Committee 
if it affects any member of the 
Management Committee.
• Keep an updated record on the 
process (enquiries, grievances, 
administrative proceedings and 
communications with interested 
parties).
• Keep claimant abreast on the 
status and resolution of enquiries 
or grievances, when required.
• Draft a periodic report on the 
review of the reporting system  
and propose actions to improve 
the management system.
• Maintain at all times the 
confidentiality of the claimant, 
unless legally required to disclose 
this information.
• Carry out the functions 
assigned under the principles 
of independence, rigour and 
fairness.
Supplier code of conduct 
Red Eléctrica has a specific code  
of conduct for its suppliers in which 
stresses the requirement to comply 
with the respect for human rights, 
equality and the integration of 
people with disabilities and supplier 
compliance with the requirements 
regarding the environment and 
occupational health and safety  
in the procurement of products 
RESPECT
FOR HUMAN 
RIGHTS
Affects 
both direct 
and indirect 
suppliers
SUPPLIER CODE 
OF CONDUCT
The Ethics 
Manager is 
the figure 
responsible for 
safeguarding 
knowledge 
on and the 
application  
of the Code 
of Ethics under 
the principles of 
independence, 
rigour and 
impartiality.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
58
CORPORATE 
GOVERNANCE
03
Corporate Responsibility Report 2016
from external stakeholders who are 
not aware of the whistle-blowing 
channel. This service will transfer  
to the Ethics Manager the 
requests received, preserving  
their confidentiality.
In 2016, 29 enquiries were received 
by the Ethics Manager through  
the whistle-blowing channel,  
with a maximum resolution period 
of 10 days. 
Consultations received have referred 
to the following areas of business 
conduct:
• Responsible monitoring of the 
management of suppliers.
• Safeguarding of information and 
data.
• Limitation on the acceptance  
of gifts, loans or invitations.
• Rational use of energy and basic 
resources.
• Respect, integrity, accountability 
and transparency within the 
organisation.
In 2016, three grievances were 
received regarding compliance with 
the Code of Ethics, two of which 
were resolved during the year and 
the third is currently being resolved 
by implementing an action plan 
proposed by the Ethics Manager. 
A more accurate account of these 
grievances can be found in the 
Annual Executive Report on the 
Management of the Code of Ethics 
published in the annex to this report. 
Whistle-blowing channel 
/ G4-DMA / G4-57 / G4-58 
/ G4-HR12 / G4-LA16  
/ G4-SO5 / G4-SO11
To promote the application of  
the Code of Ethics, Red Eléctrica 
has a whistle-blowing channel, 
available on the corporate website, 
through which enquiries, grievances 
or suggestions can be conveyed  
to the Ethics Manager. This channel 
has been audited and guarantees 
the confidentiality of those using 
this channel.
In addition, Red Eléctrica has 
another channel for reporting  
non-compliance, grievances, 
enquiries and suggestions 
regarding ethical matters through 
its Stakeholder Attention Centre 
DÍGAME, in order to provide a 
reporting channel for requests 
DÍGAME  
SERVICE
Enables requests 
from external 
stakeholders 
related to the Code 
of Ethics, and its 
application, to be 
communicated to 
the Ethics Manager.
GUARANTEEING 
CONFIDENTIALITY
AUDITED
CHANNEL
For communicating 
enquiries, grievances 
or suggestions
WHISTLE-BLOWING
CHANNEL
29 enquiries were received by the 
Ethics Manager in 2016 through  
Red Eléctrica's whistle-blowing 
channel, with a maximum resolution 
period of 10 days.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
59
CORPORATE 
GOVERNANCE
03
Corporate Responsibility Report 2016
to ensure it is adequately updated 
and implemented. In addition, 
it regularly reports to the Audit 
Committee on the actions taken, 
improvements proposed, updates 
thereto, measures agreed as well as 
any other aspect considered relevant 
in the performance of its duties. 
 
 This body is composed of the 
following members:
• The Ethics Manager.
• A representative from the Internal 
Audit and Risk Control Department.
• A representative from the 
Organisation and Human 
Resources Planning Department.
• A representative from the Legal 
Department.
The Internal Audit and Risk 
Control Department, responsible 
for monitoring compliance of 
the control measures regarding 
criminal risk, reports to this body. 
Additionally, the Legal Department, 
and the Organisation and Human 
Resources Planning Department 
also report to this body.
Also, the Ethics Manager informs 
the Control and Monitoring Body 
Criminal risk prevention  
Red Eléctrica has a Criminal Risk 
Prevention Programme that aims 
to identify the rules, procedures  
and tools established within the 
Group to avoid any breach of legal 
regulations that carry criminal 
implications applicable to the 
Company and its staff, and to adapt 
it to the new regulatory environment. 
Therefore, in addition to the already 
existing risk control exercised by 
the Red Eléctrica Group, the scope 
now incorporates the management 
and prevention of criminal risks that 
could affect the Company according 
to its activity and business sector, 
pursuant to the Spanish Penal Code.
This programme, approved by 
the Board of Directors of the Red 
Eléctrica Group at its meeting on 
24 November 2011, has a control 
body that monitors its compliance 
and undertakes specific measures 
CRIMINAL 
RISK 
PREVENTION
• Launch of the new Legal Compliance 
System. 
• Launch of the compliance map.
• Reporting model and relationship 
between the Compliance Unit and the 
functional areas and governing bodies  
of the Company.
Noteworthy actions 2016 
• Criminal Risk Prevention Audit.
• Maximum score (100 out of 100 points) 
in the Ethics / Compliance / Corruption 
and Bribery section of the Dow Jones 
Sustainability Index 2016.
Red Eléctrica 
has obtained 
the maximum 
score, 100 out 
of 100, in the 
Code of Ethics, 
Compliance, 
Corruption 
and Bribery 
section of the 
Dow Jones 
Sustainability 
Index 2016.
IT HAS 
A CONTROL 
BODY AND 
PROGRAMME
SINCE
2011
Objective: prevent 
any breach of 
legal regulations 
that carry criminal 
implications

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
60
CORPORATE 
GOVERNANCE
03
Corporate Responsibility Report 2016
out corporate values and business 
behaviour contained in the Code 
of Ethics related to the main 
manifestations of corruption.  
All persons of the Red Eléctrica 
Group are obliged to know and 
accept the contents of this 
guide and review their behaviour 
based on the principles, 
commitments and controls 
established. / G4-SO4
In addition to the aforementioned, 
and of special relevance, are the 
processes considered susceptible  
to the risk of corruption and  
fraud which are regularly monitored 
through internal audits using the 
risk prevention programmes for 
fraud and criminal risk prevention 
as a basis, and in which specific 
controls regarding these risks  
are incorporated.
In 2016, 100% of the management 
areas of Red Eléctrica de España 
have been assessed regarding the 
various risks related to corruption; 
no risks were identified in said 
audits. / G4-SO3 / G4-SO5
Additionally, the processes of 
Red Eléctrica are integrated into 
structured systems in compliance 
with the international benchmark 
standards (ISO 9001, ISO 14001 
and OHSAS 18001) and their design 
includes controls to mitigate or 
reduce the main risks associated 
thereto. 
In addition to these processes,  
the Company has an Internal  
Control over Financial Reporting 
(ICFR) system in place, which 
includes controls over the risks 
regarding the inappropriate use  
of assets and intentional errors  
about grievances received, that 
may have a possible criminal law 
implication. This body guarantees 
the confidentiality of all information 
received, in the same way as the 
Ethics Manager does.
In 2016, the Ethics Manager 
received no grievances regarding 
infringements related to criminal 
risks and none of the companies  
of the Group has been investigated 
or convicted of infringements 
related to the criminal risks  
of the organisation.
Prevention of corruption
/ G4-DMA
The Code of Ethics and the 
corresponding management system 
for queries and grievances, in 
which aspects related to the fight 
against corruption are included, 
are an effective mechanism for the 
detection and handling of possible 
cases of corruption and fraud. 
Governance bodies, employees 
and suppliers of Red Eléctrica 
accept the Code of Ethics and, 
where applicable, the organisation’s 
Supplier Code of Conduct.
In addition, the Board of Directors 
approved the Guide for the 
Prevention of Corruption that sets 
OF THE 
MANAGEMENT 
AREAS OF 
RED ELÉCTRICA
IN100
%
No risks were 
identified in said 
audits
CORRUPTION
ASSESSMENT
The Guide for the Prevention of Corruption 
sets out the corporate values ​and business 
behaviour contained in the Code of Ethics 
related to corruption.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
61
CORPORATE 
GOVERNANCE
03
Corporate Responsibility Report 2016
guidelines regarding business 
conduct established in its Code of 
Ethics. In addition, the Company's 
Corporate Responsibility Policy 
establishes the promotion and 
respect of Human Rights as one of 
the basic principles and guidelines, 
ensuring freedom of association, 
the right to collective bargaining, 
non-existence of child labour, 
elimination of forced or compulsory 
labour and any other practice that 
implies an infringement of individual 
or collective dignity.
Red Eléctrica makes the whistle-
blowing channel available to its 
stakeholders as a formal mechanism 
for responding to queries, enquiries 
and grievances related to Human 
Rights. In 2016, no grievances have 
been filed, addressed, or resolved 
through the formal grievance 
mechanisms on human rights.  
/ G4-HR12
The Company, as a founding partner 
of the Spanish Global Compact 
network, has continued to lead 
human rights actions, highlighting 
its active role in the design of an 
online tool for the implementation  
of the UN Guiding Principles  
on Business and Human Rights  
in the Spanish business fabric.
in the financial statements), whose 
independent assurance report is 
included in the annex to this Report. 
In 2016, in accordance with the 
guidelines on business conduct 
contained in the Code of Ethics,  
in which the contribution to political 
parties or organisations is prohibited, 
no donations, grants or loans to 
political parties have been provided 
on behalf of the Group.
 
Human rights 
/ G4-DMA
Red Eléctrica defines an explicit 
commitment to Human Rights 
in its corporate values and its 
RED ELÉCTRICA 
OBTAINED 
THE EVALUATION OF 
EFFICIENT 
MANAGEMENT
REGARDING
HUMAN RIGHTS 
MATTERS
2016
According to the 
application of this 
organisation
SPANISH 
GLOBAL COMPACT
NETWORK
Red Eléctrica defines an explicit 
commitment to Human Rights 
in its corporate values ​and in 
the business conduct guidelines 
established in its Code of 
Ethics and in the Corporate 
Responsibility Policy.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
62
CORPORATE 
GOVERNANCE
03
Corporate Responsibility Report 2016
which identified a low risk level  
for Red Eléctrica in all categories 
of Human Rights, aims to serve as 
a roadmap for the Company in the 
implementation of a management 
model focused on protecting, 
respecting and repairing Human 
Rights at all levels within the 
Company.
It should be noted that in order 
for the corporate responsibility 
management system to be  
assured, this entails auditing  
all work centres in four-year 
cycles. Thus, in 2016, external 
audits were carried out by  
AENOR at the Head offices,  
in the operation centre  
in Gran Canaria, and in the East 
and the Canary Islands regional 
offices, representing 25% of  
the total work centres. / G4-HR9
In 2016, Red Eléctrica began 
working on the design of a new 
human rights management 
model that systematises the  
review of the Company's policies 
and commitments and the due 
diligence process in this area  
to ensure adequate coverage  
of its activity. Throughout 2017, 
progress will continue on the 
design and implementation 
of this model, which will involve 
all those units that, due to 
the responsibility incumbent 
on them, are strategic for its 
implementation.
In addition, in order to extend  
the principles of corporate 
responsibility throughout the  
supply chain, Red Eléctrica’s 
Supplier Code of Conduct 
establishes the duty of this 
stakeholder group to respect 
the principles of the Universal 
Declaration on Human Rights  
and the conventions that develop  
it, as well as the recommendations 
of the International Labour 
Organisation regarding the rights  
of workers in the performance 
of their activities. With the 
acceptance of the General 
Conditions of Contract, included  
in all purchase orders, the 
supplier agrees to comply with  
the provisions of the Supplier  
Code of Conduct, and this can  
be verified by conducting  
social audits.
In 2016, in order to achieve the 
adequate adoption of the Guiding 
Principles, Red Eléctrica reviewed 
the analysis of the Company's 
current management in this 
area using the IT application 
of the Spanish Network of the 
Global Compact. Red Eléctrica 
was awarded the ‘efficient 
management’ rating. The analysis, 
ESTABLISHES THE 
DUTY OF 
RESPECTING
THE PRINCIPLES 
OF THE UNIVERSAL 
DECLARATION 
ON HUMAN 
RIGHTS
Supplier actions 
can be verified 
through the 
carrying out 
of social audits
SUPPLIER CODE
OF CONDUCT
The human 
rights 
management 
model 
systematises 
the review  
of the Human 
Rights policies 
and involves  
all those 
units that  
are strategic 
for its 
undertaking.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
MANAGEMENT 
APPROACH
04
04 M A N A G E M E N T 
A P P R O A C H
C O N N E C T E D 
T O  E X C E L L E N C E  A N D 
S U S T A I N A B I L I T Y
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
MANAGEMENT 
APPROACH
04

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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64
MANAGEMENT 
APPROACH
04
Corporate Responsibility Report 2016
1. STRATEGIC  
PLAN 
Defines excellence and corporate  
responsibility as one of its cross-cutting 
strategies, in order to consolidate the Company 
as a sustainable company.
Approved by the Board of Directors
2. CORPORATE 
RESPONSIBILITY POLICY 
Establishes the principles and guidelines  
regarding corporate responsibility, gearing  
the business activities towards a sustainable 
business management model and focusing  
on the creation of value.
Approved by the Board of Directors
4. CORPORATE 
RESPONSIBILITY 
PROGRAMME
Encompasses the most relevant projects 
carried out by the Company within  
the corporate responsibility scope.
Approved by the Sustainability 
Management Committee
96% fulfilment of the 2016 annual programme
COR NE R STONE S  OF  T H E  CORPORATE  
R E S P ONS I BI L I T Y M ANAG E M ENT SYSTEM 
S u s t a i n a b i l i t y ,  e t h i c s 
a n d  r e s p o n s i b i l i t y
CORPORATE RESPONSIBILITY
PROGRAMME
Fulfilment linked  
to a management goal
5. MONITORING 
AND EVALUATION
Definition of the tools that  
allow the assessment and supervision 
of the implementation 
and execution of the Corporate 
Responsibility Plan.
Dashboard  
Internal and external audits
3. CORPORATE 
RESPONSIBILITY 
PLAN
Sets out the commitments undertaken by the 
Company and establishes the action framework 
regarding corporate responsibility and defines  
the courses of action for the next three years. 
Approved by the Appointments  
and Remunerations Committee

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Corporate Responsibility Report 2016
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
MANAGEMENT 
APPROACH
04
Red Eléctrica´s 2014-2019  
Strategic Plan establishes 
management based on best 
practices in corporate responsibility 
as a key action for the Company. 
In carrying out this strategy,  
Red Eléctrica acts in a responsible 
manner and is committed to  
its stakeholders and to society 
in general.  
The management 
of corporate 
responsibility 
Red Eléctrica´s commitment  
to sustainable development  
is reflected in the principles and 
guidelines defined in its Corporate 
Responsibility Policy and is 
materialised through a multi-year 
plan that defines the medium-term 
framework for action regarding 
corporate responsibility.
The Corporate Responsibility  
Plan 2014-2016 is structured 
into five management areas. 
Each one of these areas is 
deployed across specific courses 
of action that involve all areas 
of the Company for its effective 
implementation.
Red Eléctrica maintains  
a commitment to sustainability  
by creating shared value for all  
its stakeholders in the execution  
of its activities, through the 
design and implementation 
of a management system based 
on guidelines for responsible action.
In this regard, at Red Eléctrica, 
corporate responsibility is part 
of our business culture and a key 
tool for the creation of shared 
value in carrying out our mission 
as an operator and as the sole 
transmission agent of the Spanish 
electricity system.
Red Eléctrica´s commitment
to sustainability
OF 
OVERALL
FULFILMENT
IN 2016
96
%
A management 
objective with 
impact on the 
remuneration of 
the workforce 
has been in place 
since 2015
CORPORATE 
RESPONSIBILITY
PROGRAMME
The Corporate Responsibility Policy reflects the 
commitment to sustainable development through 
a multi-year plan that defines the framework  
for action in the medium term.

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Corporate Responsibility Report 2016
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
MANAGEMENT 
APPROACH
04
degree of overall fulfilment of the 
programme was 96%. It is worth 
noting that from 2015, fulfilment of 
this programme is a management 
goal that has an impact on staff 
remuneration.
Monitoring and evaluation 
The corporate responsibility 
management system of Red 
Eléctrica is systematically  
evaluated with tools that determine 
the degree of compliance with 
the commitments undertaken 
and the progress made towards 
the goals defined.
In this regard, the Company has 
a set of corporate responsibility 
indicators that reflect the 
main management indicators.  
Similarly, Red Eléctrica´s corporate 
responsibility management system 
has received the certification 
of the international standard 
IQNet SR10 (Social Responsibility 
Management System) whose 
correct implementation is assessed 
annually by external auditors. In 
2016, the requirements to renew 
this certification were met.
Based on these courses of action, 
each year Red Eléctrica defines 
its corporate responsibility 
programme by means of projects 
that contribute substantially and 
strategically to furthering the 
objectives established in said 
Plan. At the close of 2016, the 
Renewed
in 2016
following
external audit
by AENOR
INTERNATIONAL
CERTIFICATION
A R E A S  O F  A C T I O N  O F 
C o r p o r a t e  R e s p o n s i b i l i t y
Environment
Employees
Society 
Our  
business 
Suppliers
Opinion 
generators
Social 
environment
Regulatory 
bodies
Business 
sector
Clients  
and agents  
of the sector
Shareholders 
and investors
Employees
Corporate 
governance 
and 
ethics
Monitoring and
evaluation
The 2014-2016 Corporate 
Responsibility Plan involves 
all areas of the Company 
in order for its effective 
implementation.
SR10
ON
CORPORATE
RESPONSIBILITY
MANAGEMENT

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Corporate Responsibility Report 2016
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
MANAGEMENT 
APPROACH
04
SUSTAINABILITY 
MANAGEMENT 
COMMITTEE
Ensures fulfilment  
of objectives 
and goals on 
sustainability 
matters, promoting 
internal awareness.
OBJECTIVE:  
ESTABLISH A 
In sustainability 
matters for all 
companies of the 
Group
SUSTAINABILITY
MODEL
field by all the companies  
of the Group, in order to give 
a better response to its 
stakeholders, increase efficiency 
and showcase the Group´s 
commitment and performance  
in sustainability. It is foreseen 
that the Model will be approved 
in 2017, along with its 
implementation and deployment 
through specific multi-year plans 
for the companies in the Group.
Organisational 
structure
With the creation of the area 
for the Corporate Management 
of Sustainability, Innovation and 
Institutional Coordination, Red 
Eléctrica has reinforced the 
involvement of the highest levels  
of decision making in the Company. 
Similarly, the Company has involved 
all areas of the organisation in the 
implementation, supervision and 
monitoring of the commitments 
made regarding corporate 
responsibility.
In 2016, Red Eléctrica revised  
the composition and functions  
of the Sustainability Management 
Committee (formerly the Corporate 
Responsibility Committee) in order 
to adapt it to the reorganisation 
process the Company undertook 
at the end of 2015.
In addition, the management system 
is periodically submitted to internal 
audits. The executive report included 
in the annex to this document 
details the results of the most recent 
audit, corresponding to 2016.
Sustainability model 
of the Red Eléctrica Group
Throughout the year, the Company 
has worked on the design of the 
Sustainability Model of the Red 
Eléctrica Group with a horizon  
of 2030. Its objective is to  
establish a common framework 
for sustainability that combines 
all the actions carried out in this 
The creation of the Corporate Management 
of Sustainability, Innovation and Institutional 
Coordination department reinforces the  
involvement of the highest levels of decision  
making and all organisational areas in corporate 
responsibility matters.
COMMON 
FRAMEWORK

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Corporate Responsibility Report 2016
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
MANAGEMENT 
APPROACH
04
APPROVAL
SUPERVISION
IMPLEMENTATION
B o a rd  o f D i re c t o rs
Ap p o i n t m en t s  a n d  
Rem u n era t i o n  Co m m i t t ee
S u s t a i n a b i l i t y M a n a g e m e n t 
C o m m i t t e e
• Approve the Corporate Responsibility policy.
• Propose and promote the Corporate Responsibility policy.
• Monitor the implementation of the policy and periodically assess progress and results.
• Approve an annual management report on corporate responsibility, escalated  
to the Board.
• Propose the principles and guidelines of corporate responsibility.
• Guarantee the establishment of a management system and promote certifications 
that ensure its efficient implementation.
• Promote internal awareness.
• Guarantee the analysis and assessment of the requirements of stakeholders  
within the Company’s strategies.
• Support the definition of the Sustainability Model and encourage its 
implementation.
• Ensure the fulfilment of objectives and targets regarding sustainability matters.
• Ensure the development and ongoing improvement of systems, structures,  
plans and projects of the management system.
• Advise the Company on matters related to corporate responsibility.
• Define and design the activities and structural elements of the management model.
• Design and monitor the corporate responsibility plans and programmes.
• Collaborate in the implementation of the corporate responsibility management 
model and support the integration and participation of internal and external 
collaborators.
• Develop its activities and projects in accordance with the corporate responsibility 
principles and guidelines.
O r g a n i s a t i o n a l  s c h e m e  o f  C o r p o r a t e  R e s p o n s i b i l i t y  m a n a g e m e n t
Area for the Corporate 
Management of Sustainability, 
Innovation and Institutional 
Coordination 
O rg a n i s a t i o n a l  u n i t s
Duties and responsibilities
MONITORING 
AND 
ASSESSMENT

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Corporate Responsibility Report 2016
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
MANAGEMENT 
APPROACH
04
for the supply chain as a focus 
of critical attention in corporate 
responsibility; and the area 
of communication, to help build 
a corporate culture of sustainability.
In addition, the Sustainability 
Management Committee has 
widened the scope of its functions 
and responsibility over that  
of the former committee, 
in order to drive the design and 
deployment of the Sustainability 
Model. In 2016, the Sustainability 
Management Committee held 
six sessions, with an average 
attendance rate of 86%. 
The quest
for excellence
Red Eléctrica´s commitment 
to excellence in management 
is shown in its policy of excellence 
and quality and is one of the  
cross-cutting strategies in 
the Company´s strategic plan.  
In this regard, since 1999 Red 
Eléctrica has had the EFQM 
(European Foundation for Quality 
Management) model of excellence 
management implemented. In 2016, 
the Company retained the European 
Seal of Excellence 500+, which was 
renewed in 2015, with a score of 
over 700 points, consolidating Red 
Eléctrica among the leading  
Spanish and European companies.
 
The excellence management 
system is founded upon a process-
based management approach.  
In 2016, risk management has 
been introduced at a process level, 
broadening the scope of corporate 
management. Also, the 2016-2017 
Excellence Plan has been prepared, 
which contains 46 improvement 
measures based on the excellence 
assessment report drafted in 2015.
Similarly, since 2000 Red Eléctrica 
has had a certified system that 
encompasses all processes in  
the organisation. In 2016, the fifth 
integrated audit of all the certified 
corporate management systems 
was conducted.
The new composition of the 
Sustainability Management 
Committee represents all the 
areas of corporate responsibility 
management: economic, social  
and environmental. A new feature 
worth noting is the incorporation 
of the Business Diversification 
area, aimed at guaranteeing the 
involvement of all the companies 
of the Group; the area responsible 
MEASURES46
IMPROVEMENT
Based on the 
2015 Excellence
Assessment
Report
2016-2017
EXCELLENCE
PLAN
The Company 
retained the 
European
Seal of 
Excellence  
500+, renewed 
in 2015, with 
a score of over 
700 points, 
ranking it  
among the 
leading 
European 
companies.

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Corporate Responsibility Report 2016
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
MANAGEMENT 
APPROACH
04
score and leading the electric 
utilities sector in nine areas of 
sustainability.
In the economic dimension,  
Red Eléctrica renewed 
its leadership in ethics 
management and compliance. 
In the environmental dimension, 
noteworthy is that the Company 
obtained a maximum score in 
five of the six criteria, bringing 
to the forefront the Company´s 
firm commitment to the fight 
against climate change, and to 
the conservation of the natural 
environment. Regarding the 
social dimension, Red Eléctrica 
positioned itself as the industry 
leader. The index positively 
acknowledged the Company´s 
work in stakeholder management, 
the creation of shared value in 
the territory where its facilities 
are located and the development 
of initiatives that underscore Red 
Eléctrica´s long-term commitment 
to its employees through talent 
management and measures that 
promote and protect their health, 
well-being and security.
 
As a result of this, Red Eléctrica 
has received the ‘Silver Class’ 
distinction in ‘The Sustainability 
Yearbook 2017’ from RobecoSAM.
Presence 
in sustainability indexes
Red Eléctrica is included in  
the main sustainability indexes, 
which select companies with a 
distinguished performance in the 
ethical, social and environmental 
aspects of corporate governance. 
These indexes are an important 
incentive for companies,  
as investors increasingly find 
an advantage in these types  
of companies.
In 2016, Red Eléctrica consolidated 
its presence in the Dow Jones 
Sustainability World and Dow 
Jones Sustainability Europe 
Indexes, improving its overall 
Red Eléctrica’s main recognitions regarding 
sustainability
Red Eléctrica’s rating in the 
DJSI World 2016
/
88
97
47
87
94
58
97
97
55
Red 
Eléctrica
Sector 
leader
Sector 
average
Red 
Eléctrica
Sector 
leader
Sector 
average
Red 
Eléctrica
Sector 
leader
Sector 
average
Red 
Eléctrica
Sector 
leader
Sector 
average
90
91
52
OV E R A L L S C O R E
E n v i r o n m e n ta l d i m e n s i o n
E c o n o m i c  d i m e n s i o n
S o c i a l d i m e n s i o n
In 'The Sustainability
Yearbook 2017'
from RobecoSAM 
SUSTAINABILITY
RECOGNITIONS
RED ELÉCTRICA
WAS AWARDED THE
‘Silver 
Class’
DISTINCTION

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Corporate Responsibility Report 2016
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
MANAGEMENT 
APPROACH
04
Commitment to external 
initiatives / G4-15
Red Eléctrica is a member  
of and voluntarily participates 
2 003 .  Gl o b a l  Rep o rt i n g 
In i t i a t i ve 
Since 2003, Red Eléctrica has drafted its 
Corporate Responsibility Report in accordance  
to the guidelines and principles set out in the 
GRI Sustainability Reporting Guidelines.
20 0 7.  C a r i n g  for C l i ma t e
Red Eléctrica signed up to this initiative 
promoted by the United Nations for 
business leadership on climate change. 
20 0 8.  C a r b on 
D i s cl os u re  P roj e ct
Red Eléctrica annually provides 
information on its strategy, 
practices, performance and 
objectives in the fight against 
climate change.
20 1 2.  B u s i n e s s 
N e t w or k  for  
a  S oci e t y Fre e 
of G e n d e r- b a s e d 
V i ol e n ce  
Red Eléctrica signed up to this 
network, promoted by the Spanish 
Ministry of Health, Social Services 
and Equality, which seeks to move 
to the construction of a society free 
of gender-based violence.
2 01 3 .  S p a n i s h  B u s i n e s s 
a n d  B i od i ve rs i t y 
In i t i a t i ve  ( I EEB)
Red Eléctrica is part of this initiative, 
promoted by the Spanish Ministry of 
Agriculture, Food and Environment, aimed 
at the inclusion of biodiversity conservation 
and management in the business  
strategies of companies. 
2 01 5 .  Co d e o f Go o d 
Ta x  Pra c t i c es 
Red Eléctrica’s adoption of this 
entails the obligation to reflect  
its effective fulfilment in the annual 
Corporate Governance Report.
2015 .  Spanis h  
Green Growth G ro u p 
Red Eléctrica is committed to the 
development of an economically, 
socially and environmentally 
sustainable model with the signing  
of the Barcelona Declaration. 
2002.  P r inc i p l es  
of the United  Na t i o n s  
Global Comp a c t 
Red Eléctrica has a formal commitment to the 
Ten Principles of the UN Global Compact regarding 
Human Rights, Workers’ Rights, the Environment 
and the fight against corruption. 
in different initiatives that strengthen 
its commitment to corporate 
responsibility, among which the 
following are noteworthy:
  Global initiatives       
  Environmental initiatives       
  Social initiatives       
  Ethics and Good Governance initiatives

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Corporate Responsibility Report 2016
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
MANAGEMENT 
APPROACH
04
such, increase the Company´s 
contribution to achieving the United 
Nations’ 2030 Agenda.
The process of designing the 
Group's Sustainability Model, which 
will be implemented throughout 
2017, has considered the targets  
set by the Sustainable Development  
Goals, in order to define priorities 
for the Company in terms of 
sustainability that make a notable 
contribution to achieving the SDG’s. 
Sustainable 
development goals
(SDG’S)
The United Nations’ 2030 Agenda 
established 17 global goals, 
divided into a total of 169 targets 
that seek to unite efforts in 
achieving sustainable development. 
For the first time, the business 
community has been asked to play 
a main role this transformation,  
as a key agent in achieving inclusive 
economic growth based on equal 
opportunities, environmental 
protection and prosperity for all.
Red Eléctrica, as operator and 
sole transmission agent of the 
Spanish electricity system, holds 
a key position in the energy sector 
and, as a company committed 
to sustainability, collaborates 
actively in developing a sustainable 
energy future. In this regard, 
the activity of Red Eléctrica de 
España contributes to attaining 
the goals regarding energy, 
innovation and infrastructures, 
and climate change (objectives 7, 
9 and 13). It should be pointed out 
that the corporate responsibility 
commitments undertaken by 
Red Eléctrica de España, and the 
actions derived from the same, are 
also aligned with other Sustainable 
Development Goals and as 
UNITED  
NATIONS' 2030  
AGENDA
Establishes 17 global  
goals in sustainable 
development matters, 
broken down into  
169 targets.
Red Eléctrica 
CONTRIBUTES 
TO  
MEETING THE 
GOALS: ENERGY, 
INNOVATION AND 
INFRASTRUCTURE, 
CLIMATE CHANGE
And it also aligns 
the remaining
Goals within 
its commitments
CONTRIBUTION TO
THE UNITED 
NATIONS SDGs
Red Eléctrica contributes mainly to the achievement of the energy, innovation  
and infrastructure and climate change goals (Goals 7, 9 and 13).

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Corporate Responsibility Report 2016
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
MANAGEMENT 
APPROACH
04
IDENTIFICATION 
OF STAKEHOLDER 
GROUPS
Obtained based on 
the analysis of the 
interactions between the 
processes and activities 
of the Company and its 
environment.
the Company to respond to their 
needs and expectations.
Stakeholder 
management model
Red Eléctrica´s stakeholder 
management model, designed and 
implemented in 2004 and revised 
in 2012, includes the identification 
and prioritisation of stakeholder 
groups, as well as the definition 
of the framework of relationships 
and the evaluation of the same, 
according to the requirements 
of the benchmark norms and 
Red Eléctrica operates under  
a model of sustainable business 
management, focused on creating 
value for its stakeholders. The 
Corporate Responsibility Policy 
contains the Company´s formal 
commitment to establishing 
long-term relationships based 
on trust and ongoing dialogue 
with stakeholders, strengthening 
relationship models that allow 
STAKEHOLDERS  / G4-25
CREATED IN 2004
AND REVISED 
IN 2012
Defines and 
assesses 
the relationship 
framework
MANAGEMENT
MODEL
standards in this area, such  
as AA1000, IQNet SR10,  
ISO26000 or GRI.
Red Eléctrica understands  
that its stakeholders are all 
those groups affected by the 
services or activities of the 
Group and whose opinions and 
decisions have an influence on 
the Company’s financial results, 
or on its reputation. In this regard, 
Red Eléctrica has an advanced 
and mature system of process 
STAKEHOLDER 
GROUPS
IDENTIFIES 
AND 
PRIORITISES
In 2016, Red Eléctrica obtained a maximum 
score (100 points out of 100) in the 
criteria of the Dow Jones Sustainability  
Index, which evaluates a company's 
commitment and performance with  
respect to its stakeholders.

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Corporate Responsibility Report 2016
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
MANAGEMENT 
APPROACH
04
Lastly, Red Eléctrica’s stakeholder 
management model has internal 
and external tools for evaluating 
performance and identifying areas 
for improvement, such as internal 
and external audits, pursuant to the 
specific requirements set out in the 
IQNet SR10 and ISO9001 standards.
 
Main actions in 2016
Among the actions taken in 
2016 within the framework of the 
stakeholder management system, 
noteworthy is the analysis of 
Red Eléctrica’s existing alliances, 
linking them to the Company´s 
Strategic Plan and to stakeholders. 
Once the alliance concept had 
been clearly defined for Red 
Eléctrica, and the existing alliances 
were classified and analysed, 
this work served as a point of 
departure for the identification 
of opportunities in the quest for 
the creation of shared value with 
our stakeholders.  
Similarly, in 2016 Red Eléctrica 
held training sessions for project 
managers, in order to improve and 
systematise the management of 
stakeholders within the Project 
Management process, according 
to the criteria of the ISO 21500 
standard.
management, by which the 
identification and segmentation  
of stakeholder groups is done, 
mainly through analysis of  
the interrelationships between  
the processes and activities 
of the Company and its 
environment.
The prioritisation of the stakeholder 
groups is established according 
to their degree of influence  
in achieving the Company´s 
strategic objectives, and according 
to the importance or effect of  
the impact of the organisation 
on the stakeholder groups.
In this context, Red Eléctrica 
defines the framework of 
relationships, establishing the 
type of relationship with each 
stakeholder group, from the 
transmission of information  
to the development of strategic 
alliances. For each relationship 
category, the Company defines  
the most appropriate channels, 
among which noteworthy are  
the satisfaction surveys and  
the DÍGAME service, due to their 
cross-cutting nature across  
all the stakeholder groups.
IN 2016 
Red Eléctrica  
held training 
sessions for  
project managers, 
to improve and
systematise the 
management  
of stakeholders.
 in achieving 
strategic 
objectives
ACCORDING 
to their  
According to the 
importance of
the impact of the 
organisation
on stakeholders
PRIORITISATION
OF STAKEHOLDER
GROUPS
Among the actions  
encompassed in the  
stakeholder management 
system, noteworthy is the 
analysis of Red Eléctrica’s  
existing alliances, linking 
them to the Strategic Plan 
and to stakeholders.
DEGREE
OF INFLUENCE

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75
Corporate Responsibility Report 2016
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
MANAGEMENT 
APPROACH
04
SINCE 2008
The Dígame service
manages enquiries 
and grievances 
made by external 
stakeholder groups.
ENQUIRIES 
MANAGED
2,901
In 2016
DÍGAME
SERVICE
Furthermore, the future 
Sustainability Model of the Group, 
designed throughout 2016, has led 
to a new update of the stakeholder 
management model and extending 
its compliance to the whole of the 
Red Eléctrica Group; its approval 
and implementation will take 
place in 2017. It is worth noting 
that the active involvement and 
participation of the stakeholders  
in the process of designing this 
model has been essential in 
defining its key elements.
DÍGAME Service
/ G4-DMA
The DÍGAME service has 
guaranteed, since 2008, the 
professional management  
of all enquiries (claims, requests 
or grievances) from external 
stakeholders, by making various 
communication channels available 
(phone, e-mail and online web 
form). This service is staffed 
by personnel from the Juan  
XXIII Roncalli Foundation,  
an organisation that works with 
people with some type of disability.
‘DÍGAME’ SERVICE 
(2,901 enquiries managed in 2016)
%
	 Social environment	
36.9 %
	 Investors and shareholders 	
33.7 %
	 Clients 	
12.9 %
	 Business sectors and  
	
associations 	
9.9 %
	 Suppliers and  
	
technology providers 	
5.5 %
	 Public administration  
	
and regulators 	
0.8 %
	 Opinion generators  	
0.2 %
By grievance type 
Impact of facilities	
	
30
Electricity system metering 	
	
3
Other	
	
2
Total	
	
35
Claimant by stakeholder group 
Social environment 	
	
31
Business sector/Professional associations	 	
2
Other	
	
2
Total	
	
35
Note: An applicable grievance is understood as that which corresponds to the duties and responsibilities 
of Red Eléctrica. Of the 35 applicable grievances in 2016, 27 have been considered applicable (accepted 
by Red Eléctrica, as a result of considering the arguments presented as valid and reasonable for their 
acceptance, complete or partial). These include environmental grievances (see indicator GRI G4-EN34).  
80% of grievances that are applicable have been closed, whereas the rest are currently in process.  
In 2016, all grievances reported in 2015 and that were pending resolution, were closed (8 grievances).
APPLICABLE GRIEVANCES MANAGED 
THROUGH THE ‘DÍGAME’ SERVICE IN 2016
/ G4-SO11
Nº

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Corporate Responsibility Report 2016
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
MANAGEMENT 
APPROACH
04
IN 2016 
satisfaction surveys 
were conducted among 
NGOs and foundations, 
educational centres, 
R&D+i centres, 
environmental groups 
and external clients.
to the stakeholders and seeking 
their approval on the improvement 
actions. / G4-45
During 2016, satisfaction surveys 
were conducted among the 
following external stakeholder 
groups: NGOs and foundations, 
educational centres, R&D+i 
centres, environmental groups 
OUT OF 108.2
Of all 
stakeholder 
groups 
analysed
SATISFACTION 
OF STAKEHOLDER 
GROUPS
Satisfaction surveys
Satisfaction surveys allow the 
Company to perform a quantitative 
and qualitative analysis of the 
demands and needs of the 
stakeholders. These surveys are 
conducted periodically, generally 
every two years, by an external 
consultant to guarantee the 
confidentiality and validity  
of the process. / G4-26 / G4-27
The evaluation and analysis 
of the needs contained in the 
satisfaction surveys led to the 
drafting of an improvement 
action plan and the subsequent 
monitoring of compliance with 
said actions. The monitoring of the 
plan includes sending the results 
	
2012	
2013	
2014	
2015	
2016
Overall satisfaction 	
 8.2	
8.2	
8.2	
8.4	
8.2
Satisfaction of the quality of services	
 7.9	
7.9	
7.7	
7.9	
8.0
Reputation  	
 8.5	
8.5	
8.4	
8.6	
8.6
Ethical business conduct	
 8.1	
8.1	
8.1	
8.3	
8.4
Management of Corporate Responsibility  	
 7.6	
7.6	
7.7	
7.6	
7.7
Dialogue with stakeholders  	
 7.9	
7.8	
7.9	
8.0	
8.0
Note: value range (0-10).
GLOBAL INDICATORS 
OF THE STAKEHOLDER 
PERCEPTION SURVEYS
/
and external clients. In the 
internal environment, surveys 
were conducted to evaluate the 
management of IT services, 
sustainable mobility, internal 
communication, and occupational 
health and safety. The overall 
satisfaction of all the stakeholder 
groups analysed during 2016  
was 8.2 out of 10.
The evaluation and analysis of the needs 
contained in the satisfaction surveys lead  
to the drafting of an improvement action plan 
and the subsequent monitoring of compliance 
with said actions.
AVERAGE 
OVERALL SCORE

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Corporate Responsibility Report 2016
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
MANAGEMENT 
APPROACH
04
• Creating value. 
• Good governance and risk control. 
• Fluid and transparent dialogue. 
• Security, quality and continuity of service. 
• Independence and transparency. 
• Effective solutions to challenges. 
• Fulfilment of the Transmission Grid planning. 
• Leadership and innovation. 
• Efficient management 
• Dialogue, impartiality and transparency. 
• Stable employment and equal opportunity.
• Work-life balance.
• Professional development and recognition.
• Ensuring occupational health and safety.
• Freedom of association and dialogue with management.
• Ethical and responsible conduct.
• Shareholders’ office.
• E-mail for shareholders/investors.
• Shareholders’ Electronic Forum / Web Page.
• Road Shows and meetings.
• Satisfaction surveys.
• Corporate reports.
• Periodic work meetings.
• Institutional meetings.
• Periodic information.
• Handling of requests for information.
• Public Web and Market Agent’s Web (e-sios).
• Periodic technical publications.
• Telephone help desk service.
• Specific e-mail addresses.
• 'DÍGAME' Service.
• Satisfaction surveys.
• Committees and Technical working groups.
• Communication forums.
• Channel for enquiries and grievances regarding the Code of Ethics.
• Corporate portal miRED 2.0.
• Employee self-service site.
• Employee telephone help desk.
• Working climate survey and services satisfaction survey.
• Communication plan and induction and integration programme.
• Work, social and leisure communities.
• Bulletin boards and information screens
• Social representation committees/panels.
• Appraisal interview.
STAKEHOLDER GROUPS
MAIN COMMITMENTS
MAIN CHANNELS OF COMMUNICATION
Employees
Clients
Regulatory  
bodies 
Investors / 
shareholders
Continued on the next page
Our commitments to stakeholder groups / G4-24

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Corporate Responsibility Report 2016
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
MANAGEMENT 
APPROACH
04
• Compliance with contractual obligations. 
• Ethics and transparency. 
• Collaboration to generate mutual benefits. 
• Transparency on actions carried out and their impact. 
• Territorial planning and community involvement. 
• Safety and security of facilities and the electricity supply. 
• Ethical business practices. 
• Protection of the natural environment. 
• Information transparency. 
• Efficiency in the management of enquiries and requests. 
• Fluid, transparent and close-knit dialogue. 
• Exchange of best practices. 
• Channel for enquiries and grievances regarding the Supplier Code of Conduct.
• Specific supplier help desk. ASA (Procurement Help Desk).
• Specific area on the corporate website.
• Associations and working groups.
• Meetings and training days.
• Satisfaction surveys.
• Tenders published via DOUE and BOE.
• Informative bulletin regarding construction.
• 'DÍGAME' Service.
• Satisfaction surveys.
• Attention channel on grid planning and development processes.
• Periodic meetings.
• Dissemination of information on the electricity system.
• Corporate reports.
• Informative brochures.
• Visits to facilities.
• Statistics of the electricity system.
• ‘Entrelíneas’ blog.
• E-mail / Website.
• Road Shows and meetings.
• Satisfaction surveys.
• Reports, press releases, training days, social networks, etc.
• Corporate reports.
• ‘Entrelíneas’ blog.
• Participation in technical committees, working groups (national and 
international).
Suppliers
Social  
environment
Opinion 
generators
Business 
sectors/
professional 
associations
Our commitments to stakeholder groups / G4-24 / continued from previous page
STAKEHOLDER GROUPS
MAIN COMMITMENTS
MAIN CHANNELS OF COMMUNICATION

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
05
SUSTAINABLE 
ENERGY
05 S U S T A I N A B L E 
E N E R G Y
C O N N E C T E D  T O 
T H E  P R O V I S I O N
O F  A  S E C U R E 
A N D  E F F I C I E N T 
E L E C T R I C I T Y 
S E R V I C E  O F 
T H E  H I G H E S T 
Q U A L I T Y

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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80
05
SUSTAINABLE 
ENERGY
Corporate Responsibility Report 2016
COR NE R STONE S  FOR  AC HIEV ING  
S USTAI NABL E  E NE RGY
T h e  v a l u e  o f  a  s e c u r e , 
e f f i c i e n t  a n d  s u s t a i n a b l e 
e n e r g y  s u p p l y 
INTEGRATION OF
RENEWABLES
The safe integration of renewable energies 
to contribute to the reduction of air pollutant 
emissions, and to reduce Spain’s dependence  
on foreign energy.
40.8% of the electricity demand covered  
with renewable energies
SUSTAINABLE 
DEVELOPMENT OF THE 
TRANSMISSION GRID
Construction of new facilities in order  
to increase transmission capacity, strengthen 
grid meshing and facilitate connections 
between electricity systems.
674 km of new lines and 61 new  
substations bays
TECHNOLOGICAL 
INNOVATION
Incorporation of new innovative technologies  
in order to increase the security, 
efficiency and sustainability of the  
electricity system.
76 R&D+i projects
8.6 m€ in investment
INTERCONNECTIONS 
BETWEEN SYSTEMS
Strengthening of interconnections to improve 
the security of supply, achieve a greater 
integration of renewables and reduce costs  
for the electricity system as a whole.
Commissioning of the Majorca-Ibiza  
double link 
ENERGY  
EFFICIENCY
Development of initiatives aimed at achieving 
a more efficient management of the 
electricity system in the fields of demand-side 
management, energy storage, smart grids.
Carrying out projects for the improvement  
of system efficiency (PERFILA, ALMACENA,…)
43,664
km
OF LINES IN SERVICE

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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81
05
SUSTAINABLE 
ENERGY
Corporate Responsibility Report 2016
For this reason, all our actions  
are aimed in some way at realising 
the commitment of the European 
Union to the energy targets and 
the fight against climate change. 
In this regard, noteworthy is the 
legislative proposal announced 
in 2016, known as the 'Winter 
Package', for achieving clean 
energy for all European citizens. 
This regulatory proposal is a 
further step in the transition, 
started in 2015, towards clean 
energy with the definition of the 
European Union's strategy on 
the 'Energy Union'. A strategy 
broken down into five closely 
related dimensions, the ultimate 
goal of which is to boost energy 
security, sustainability and the 
competitiveness of the energy 
market.
Red Eléctrica, as transmission 
agent and operator of the 
Spanish electricity system, is 
responsible for helping to make 
the objectives of the energy policy 
viable in regard to providing a 
secure, efficient and sustainable 
electricity supply. 
QUALITY AND SECURITY  
OF SUPPLY  / G4-DMA
Included 
in the EU's 
commitment 
against climate 
change
LEGISLATIVE 
PROPOSAL 2016
In the 'Activities' section of the 
corporate website.
1. Reduce energy dependence and increase energy solidarity.
2. Achieve a fully integrated European energy market.
3. Foster energy efficiency as a means to moderate demand.
4. Decarbonise the economy.
5. Increase research, innovation and competitiveness.
Dimensions of the strategy on the 'Energy Union’
The objective of the European Union's strategy 
on the 'Energy Union' is to boost energy security, 
sustainability and the competitiveness of the 
energy market.
FOR 
ACHIEVING 
CLEAN 
ENERGY
WINTER
PACKAGE

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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82
05
SUSTAINABLE 
ENERGY
Corporate Responsibility Report 2016
ELECTRICITY 
INFRASTRUCTURE 
PLANNING 
Approved in October 
2015 for a period of six 
years and is binding in 
nature for Red Eléctrica.
out, prioritising among them  
those alternatives that allow 
a better use of the existing grid.  
As a new development, the  
planning also includes an 
annex, non-binding, for those 
infrastructures deemed necessary 
with a horizon for post-2020, so 
that it can begin its administrative 
permitting process. 
A fundamental aspect of this 
planning is the development  
of the interconnections between 
electricity systems: international 
interconnections, links between 
island systems and connections 
between the Peninsula and  
non-peninsular electricity  
systems.
In this scope, the Spain-France 
interconnection is noteworthy  
for its great influence on the 
quality and security of the Spanish 
system, and the integration 
of renewable energies in the  
Iberian Peninsula. In addition,  
the need to increase the capacity 
of this interconnection is one of 
the priorities for the European 
Commission in the field of 
electricity, with a view to achieving 
the energy targets that allow access 
to sustainable, competitive energy 
under safe conditions.
In this regard, to improve the  
Spain-France interconnection,  
a phase shifter for the 220 kV 
Arkale-Argia line (planned for 2017) 
is included in the 2015-2020 
horizon. Nevertheless, the set of 
actions that will allow a significant 
increase in exchange capacity 
is set out for beyond 2020 due 
to the great magnitude of the 
following projects: a submarine 
interconnection in direct current 
through the Bay of Biscay and 
two interconnections through 
the Pyrenees, one via Navarra and 
another via Aragón. Regarding  
the interconnection with Portugal, 
a project is included in the area 
of Galicia between Fontefría and 
Vilafría for 2017.
Sustainable development 
of the transmission grid
Electricity infrastructure
planning / EU10
The current infrastructure  
planning, approved by the Council 
of Ministers in October 2015, 
covers a period of 6 years and  
is binding in nature for Red 
Eléctrica.
 
This planning includes the 
projects for new transmission 
grid infrastructures necessary to 
guarantee the electricity supply 
nationwide, considering the 
aspects of economic efficiency 
and sustainability of the electricity 
system. In addition, physical, 
technological and environmental 
feasibility has been taken into 
account in the analyses carried 
C O R N E R S T O N E S  O F  T H E
T R A N S M I S S I O N  G R I D  P L A N N I N G  ( 2 0 1 5 - 2 0 2 0 )
Security of 
supply
Economic 
efficiency
Environmental 
sustainability
In the 
development of 
new electricity 
infrastructure
THE 2015-2020
PLANNING
TOTAL 
ESTIMATED
INVESTMENT
4,554
m€
€

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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05
SUSTAINABLE 
ENERGY
Corporate Responsibility Report 2016
PLANNING
includes eight new links 
between islands for  
the 2015-2020 period: 
five in the Balearic 
Islands and three in 
the Canary Islands; 
In addition to a link 
between the Spanish 
Peninsula and Ceuta.
Increase 
in exchange 
capacity
INFRASTRUCTURE 
PLANNING 
2015-2020
On the other hand, this planning 
includes, on an indicative basis, 
both the electricity consumption 
forecast in the 2015-2020 
planning period as well as the 
demand coverage analysis,  
which assesses whether the 
forecasted generation allows this 
demand forecast to be met. In 
this regard, the structure of the 
generation mix will continue the 
transformation registered in recent 
years, increasing the predominance 
of both renewable energy and 
natural gas, in comparison 
to coal and nuclear energy, with  
a significant improvement in the 
associated efficiency, in terms 
of primary energy.
Regarding the reliability of the 
coverage of the peninsular 
demand, a minimum coverage ratio 
of 1.1 (calculated as the quotient 
between the net power available 
in the system and the forecasted 
peak average hourly demand) is 
adopted as a figure that adequately 
guarantees the coverage of  
the demand of the system in an 
extreme situation, considering  
the main uncertainties such  
as the variability of renewable 
generation. Under these 
assumptions, planning does  
not foresee the need for additional 
power to cover the peak demand 
in the 2015-2020 horizon.
Construction of the
transmission grid / EU4
In 2016, investment in the 
transmission grid has basically 
addressed the resolution of 
technical constraints, grid 
meshing, the execution of unique 
international interconnection 
projects and submarine 
interconnections between islands, 
and the need to guarantee the 
security of supply and the reliability 
of the grid. 
As for the interconnections 
between island systems, eleven 
new links between islands are 
included that will allow the 
connection of isolated systems, 
or the strengthening of existing 
connections, which will represent 
an increase in the security of 
supply and the reduction of 
generation costs. Of the links 
indicated, eight correspond to 
the period 2015-2020: five in the 
Balearic Islands (of which, the two 
links between Majorca and Ibiza) 
have already been commissioned 
and three in the Canary Islands.
Finally, with regard to the 
Peninsula's interconnections 
with non-peninsular electricity 
systems, a link with Ceuta is 
planned for 2020 and a second 
link with Majorca post-2020. Both 
facilities will reduce generation 
costs and significantly improve the 
guarantee of supply in the systems 
of Ceuta and the Balearic Islands.
INTERCONNECTIONS 
WITH FRANCE AND 
PORTUGAL
NEW
2016
2015
2014
2013
2012
398.5
410.7
492.6
564.2
671.6
INVESTMENT IN 
THE TRANSMISSION 
GRID
m€

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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05
SUSTAINABLE 
ENERGY
Corporate Responsibility Report 2016
ASTURIAS-GALICIA 
AXIS
The 163 km 
Boimente-Pesoz line 
was incorporated in 
2016 into the axis 
connection between 
northern Galicia and 
western Asturias. 
OF NEW 
ELECTRICITY 
LINE
674
km
61 new 
substation 
bays
GRID 
CONSTRUCTION 
2016
Connection actions
∫ Grid development associated 
with the high-speed rail network 
programme.
∫ Support for the distribution and 
new demand of large consumers, 
mainly industrial.
∫ Evacuation of conventional  
and renewable generation.
∫ Connection of energy storage 
facilities.
During 2016, the most significant 
structural actions undertaken 
regarding the development of the 
transmission grid were, by large 
axes, the following:
• Asturias-Galicia axis: the purpose 
of this axis is to guarantee the 
quality and security of supply, 
creating a 400 kV transmission 
infrastructure by incorporating 
361 km of line, 46 substation bays 
and 3 transformers. The main 
objective is to connect northern 
Galicia and western Asturias 
in order to meet the foreseen 
consumption in this area, and 
facilitate the evacuation of new 
generation in the upcoming 
years. This actions will complete 
the Cantabrian axis, so that 
areas of surplus, such as Galicia 
and Asturias, can evacuate 
their energy into regions with 
a deficit. Much of this axis was 
commissioned before 2011.  
In 2016, the 163 km Boimente-
Pesoz line was commissioned. 
• Aragón-Levante axis: This axis 
aims to resolve the technical 
constraints and allow the 
evacuation of wind energy from 
Aragón into Castellón. The axis 
links the Aragón Fuendetodos, 
Muniesa, Mesquita, Morella and 
Mudéjar substations by means  
of a network of 414 km of line,  
In this fiscal year, 674 km of  
new line and 61 new substation 
bays have been commissioned,  
and transformer capacity has  
also been increased by 600 MVA, 
with an overall investment  
in the transmission grid of 
398.5 million euros.
The actions by which the 
improvement of the transmission 
grid is carried out are classified 
into two types: structural and 
connection, which are triggered as 
a result of the following reasons:
Structural actions
∫ Resolution of technical constraints.
∫ Security of supply.
∫ Reliability.
∫ International connections, 
interconnections between islands 
and connections between the 
Peninsula and non-peninsular 
systems.
The major investments in the electricity 
transmission grid were earmarked  
for connecting the islands and for grid 
security and reliability.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
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SUSTAINABLE 
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TORREMENDO AXIS
Will strenthen the  
coastal axis between 
Murcia and Alicante 
whose demand has 
increased in recent years.
600
MVA
More in 2016
TRANSFORMER
CAPACITY
which numerous nuclei are  
fed, which has experienced 
a significant increase in demand 
in recent years. The strengthening 
of the axis will be undertaken 
through the existing San Miguel 
de Salinas substation, which 
already belongs to the axis, 
through the construction of the 
220 kV Torremendo-San Miguel 
de Salinas line and the 220/ 
400 kV Torremendo substation 
that will connect the coastal axis 
to the already existing 400 kV 
Nueva Escombreras-Rocamora 
line. In 2016, progress has been 
made on the construction of the 
axis through the commissioning 
of the Torremendo substation,  
the associated incoming/outgoing 
feeder lines and the Torremendo-
San Miguel de Salinas line. 
• Sabinal axis: The strengthening 
of this axis enables the security 
and guarantee of supply to be 
increased and the reliability  
of the electricity system of Gran 
Canaria to be improved. In 2016, 
the Sabinal substation and the 
associated incoming/outgoing 
feeder lines were commissioned.
• Interconnections with France: In 
2016, three new interconnections 
were designed with the objective 
of increasing the capacity  
of energy transmission with 
Europe through France:  
a submarine interconnection 
through the Bay of Biscay 
and two trans-Pyrenean 
interconnections Cantegrit-
Navarra and Marsillon-Aragón. 
All these actions have an 
expected commissioning date 
post-2020.
• Majorca-Ibiza interconnection: 
this link aims to eliminate the 
electrical isolation of Ibiza,  
in addition to saving costs 
for the system and promoting 
competition in electricity 
generation on the islands.  
In 2015, the first cable of the 
link was commissioned and  
in 2016 the second cable of  
the interconnection was also 
brought into service, helping  
to consolidate the process  
of electrical integration of the 
entire Balearic archipelago  
and its connection with the 
Peninsula.
31 substation bays and  
1 transformer. In 2016, the  
243 km Mezquita-Morella line 
was commissioned. 
• Godelleta axis: has the purpose 
of resolving 400 kV and  
220 kV technical constraints 
in the province of Valencia. The 
construction of the Godelleta 
substation and the associated 
incoming/outgoing feeder lines 
will facilitate the evacuation of 
generation from Aragón, while 
allowing a new point of support 
from the 400 kV grid to the  
220 kV grid that will feed the city 
of Valencia. In 2016, the Godelleta 
400/220 kV substation and two 
of the three associated incoming/
outgoing feeder lines that form 
this axis were commissioned.
• Torremendo axis: its objective 
is to resolve the lack of grid 
meshing at a 220 kV level in  
Murcia and Alicante, and thus  
to solve the risk of loss of supply. 
This infrastructure will strengthen 
the 220 kV coastal axis, which  
runs parallel to the coast, from

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
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SUSTAINABLE 
ENERGY
Corporate Responsibility Report 2016
OF LINE 
IN TOTAL
835
km
Peninsular 
system and 
non-peninsular 
systems
SUBMARINE 
CABLE
The connection activities  
carried out in 2016 include:  
the installation of two feeder 
bays in the Regoelle substation 
and one feeder bay in the Cristobal 
Colón substation, all of which  
are necessary for the evacuation  
of renewable generation.
In addition, work has continued on 
other relevant projects such as: 
the phase shifter in Arkale (Basque 
Country), the Campanario-Ayora 
line of 34.3 km and the Gavarrot 
substation of the Begues-Santboi 
line of 4.3 km.
Transmission grid 
maintenance
Red Eléctrica’s mission is to 
guarantee that the facilities of 
the transmission grid are always 
in optimum condition in terms 
of availability and reliability 
by establishing adequate 
implementation of responsible, 
efficient and safe maintenance 
policies. To do this, according  
to the strategic plan of the 
Company, a maintenance 
programme is established 
annually, which includes all the 
activities and resources necessary 
to guarantee the continuity of the 
electricity supply.
TRANSMISSION GRID KM OF LINE (1) 
Cumulative data as at 31 December 2016
/
	
Peninsula 	
Balearic Islands 	
Canary Islands	
Total
Overhead lines (km)	
39,757	
1,061	
1,080	
41,898
Submarine cable (km)	
265	
540	
30	
835
Underground cable (km)	
516	
171	
244	
930
Total	
40,538	
1,772	
1,354	
43,664
(1) Provisional data pending audit - in progress.
/
TRANSMISSION GRID 
(Peninsular and Non-peninsular)
/ EU4
	
2012	
2013	
2014	
2015	
2016
km of 400 kV line	
20,109	
20,639	
21,094	
21,184	
21,620
km of 220 kV line	
18,779	
19,053	
19,192	
19,386	
19,496
km of 150-132-110 kV line 	
272	
272	
272	
398	
523
km of <110 kV line	
2,014	
2,014	
2,014	
2,022	
2,025
Total km of line	
41,174	
41,978	
42,572	
42,989	
43,664
400 kV Substation bays	
1,319	
1,374	
1,394	
1,441	
1,458
220 kV Substation bays	
2,936	
3,026	
3,077	
3,124	
3,150
150-132-110 kV Substation bays	
52	
52	
52	
84	
90
<110 kV Substation bays	
743	
745	
769	
779	
791
Total substation bays	
5,050	
5,197	
5,292	
5,428	
5,489
Transformer capacity (MVA) (2)	
78,629	
81,289	
83,939	
84,544	
85,144
(1)	Provisional data pending audit - in progress.  
(2)	2016 solely includes the MVA transformer capacity declared in that year.
Cumulative data as at 31 December. 
(1)
The Majorca-Ibiza submarine link, 
completed in 2016 eliminates the 
electrical isolation of the islands 
of Ibiza and Formentera.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
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SUSTAINABLE 
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IMPLEMENTATION OF 
INTELLIGENT
MAINTENANCE
TECHNIQUES
monitoring the 
most relevant technical 
parameters of the 
facilities
TECHNOLOGICAL
INNOVATION
> The Inspection of electricity 
lines for their upkeeping by 
means of photogrammetric 
methods from images obtained 
from an aircraft.
> The design of tools for the 
optimisation of the treatment 
of vegetation and the use  
of unmanned drones for the 
inspection of overhead lines.
• In the scope of our commitment 
to excellence in the development 
of activities:
> Efficiency in facilities 
maintenance has been 
further improved through the 
implementation of intelligent 
maintenance techniques, 
monitoring and analysing 
the most relevant technical 
parameters of equipment 
and systems to ensure the 
reliability of the facilities.
> Continued operation of the 
24x7 shift for the permanent 
attention of external 
customers related to the 
telecommunications business.
• Within the commitment to 
sustainability, in order to increase 
the reliability and quality of our 
facilities:
> Thermographic inspections 
have been carried out in all 
facilities, as well as monthly 
visual inspections to ensure 
the good condition of the 
substations. In addition, 100% 
of underground lines have been 
inspected annually to ensure 
that there are no negative 
impacts on their environment.
During 2016, the most important 
actions have been the following:
• The establishment of 
cybersecurity tools to improve 
secure access to electronic 
equipment in the transmission 
grid has continued.
• In addition, several technological 
innovation projects have been 
undertaken:
> An analysis of the resilience 
of transmission infrastructures 
in order to evaluate the 
Company's ability to deal with 
unforeseen risks or situations 
in a dynamic, flexible and 
creative way, giving a positive 
response to phenomena that 
could seriously affect capacity 
of supply and the recovery 
of facilities.
> Installation of dual-purpose 
remote devices to control fires 
near electricity lines and also 
to act as an ultrasonic nesting 
deterrent. 
Within the maintenance activity, the 
action of adaptation of the integration 
of the assets acquired from the electric 
utility companies, especially those 
acquired in the island systems, is carried 
out, providing them with the quality 
standards established by the Company. 
At the close of 2016, 80% and 89% of 
the assets acquired in the Balearic Islands 
and Canary Islands systems respectively 
had been integrated. In addition, it has 
been established that the commissioning 
of the telecommunications fibre optic 
system for the Majorca-Ibiza submarine 
interconnection has substantially improved 
the telecommunications network of the 
Balearic Islands system.
MAR Project (Improvement of Grid Assets)

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
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SUSTAINABLE 
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AVAILABILITY
98.32
%
In the peninsular 
transmission grid
SERVICE 
QUALITY
This increase in these indicators 
is mainly associated with two 
incidents that took place on the 
island of Fuerteventura, which 
due to the grid topology of the 
area, have been of greater impact, 
with an energy not supplied of 
374.77 MWh, which represents,  
82% of the total of the ENS and  
AIT in the transmission grid  
of the Canary Islands. In any 
case, 2015-2020 transmission 
grid planning incorporates 
new developments aimed at 
minimising the impact of the 
potential disturbances in the 
transmission grid regarding the 
continuity of supply in the Canary 
Islands electricity system.
> A large number of towers have 
been replaced, both on the 
Peninsula and on the islands.
> Continuation of the long-
term plan for the installation/
replacement of composite 
insulation in overhead lines.
> Serious investment has 
been made to incorporate 
environmentally responsible 
coatings on the premises.
Service quality 
/ EU28 / EU29
The service quality indicators 
highlight for yet another year  
the high level of security and 
quality of supply provided  
by Red Eléctrica’s facilities, 
being well within the benchmark 
established in the current 
legislation. 
However, in the case of the 
transmission grid of the  
Canary Islands electricity 
system, a number of incidents 
have occurred which have led 
to an increase in the quality of 
service indicators associated 
with continuity of supply (Energy 
Not Supplied ENS and Average 
Interruption Time AIT).
QUALITY OF 
SERVICE INDICATORS 
/
	
2012	
2013	
2014	
2015	
2016
Peninsular grid
Grid availability (%)	
97.78	
98.20	
98.18	
97.92	
98.32
Energy Not Supplied (ENS) (MWh)	
113	
1,126	
204	
53	
67
Average Interruption Time (AIT) (minutes)	
0.238	
2.403	
0.441	
0.112	
0.141
Balearic Islands’ grid
Grid availability (%)	
98.07	
97.96	
98.00	
96.86	
96.92
Energy Not Supplied (ENS) (MWh)	
7	
80	
13	
29	
0.30
Average Interruption Time (AIT) (minutes)	
0.678	
7.366	
1.205	
2.662	
0.027
Canary Islands’ grid
Grid availability (%)	
98.91	
98.30	
98.37	
96.74	
98.09
Energy Not Supplied (ENS) (MWh)	
224	
72	
148	
150	
457
Average Interruption Time (AIT) (minutes)	
13.250	
4.380	
9.040	
9.078	
27.436
(*) The values for 2016 are pending external audit. As of 2012, the continuity of supply indicators 
includes the valuation of the impact of incidents that are subject to administrative proceedings 
currently underway.
(*)

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
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SUSTAINABLE 
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SERVICE 
RESTORATION 
PLANS
Specific actions 
regarding system 
operation to restore  
the electricity supply 
under safe conditions 
for the system.
SPECIFICALLY 
FOR CONTROL 
CENTRE 
EXPERTS
TRAINING
CENTRE
Conducts awareness 
campaigns and 
training courses 
on security
OPERATION
SCHOOL
These systems are set out in 
a series of policy documents 
governing actions in the case of 
operational emergencies. Their 
application in crisis situations 
are complemented through 
mobile response units capable 
of responding immediately in 
any area of the country, aimed 
at guaranteeing the quality and 
continuity of supply.
These actions are complemented 
with electricity system 
contingency action plans, called 
Service Restoration Plans, which 
detail the precise actions to be 
taken to restore the electricity 
supply, under safe conditions for 
the electricity system.
Similarly, the Company also has 
a dedicated training centre called 
the Operation School, where staff 
from the electricity control centres 
are trained by means of system 
restoration and service recovery 
simulations. It also carries out 
safety awareness campaigns 
for general dissemination and 
drafts specific training courses  
on security for certain employees.
Contingency management 
/ G4-DMA
Planning and response 
when faced with emergencies
and disasters
Red Eléctrica has in place systems 
and methodologies to efficiently 
manage the contingencies that 
may occur in the Company. 
Red Eléctrica has mobile  
response units capable  
of responding immediately 
in any area of the national  
territory.
On 15 November 2016, the system 
operators of Spain, Portugal and  
France jointly carried out a drill to 
restore the electricity service following 
a widespread blackout simulation in 
the south of France. The simulation has 
made it possible to validate the plans 
for service restoration of the peninsular 
electricity system, in addition to the 
joint support plans of the Spanish 
system with the Portuguese and French 
systems, as well as training the teams 
involved under highly exceptional 
situations.
In addition to the operators of Red 
Eléctrica de España (REE), Redes 
Energéticas Nacionais (REN), Portugal 
and Réseau de Transport d'Électricité 
(RTE) in France, operators from fifteen 
generation and distribution companies 
took part, such as the National Centre for 
Critical Infrastructure Protection (CNPIC), 
the Permanent Centre for Information 
and Coordination of the office of the 
Secretary of State for Security (CEPIC), 
and the state security forces. 
International simulation 
for the restoration 
of the electricity supply 
service

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
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SUSTAINABLE 
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Corporate Responsibility Report 2016
SECURITY  
PLAN
The Operator Security 
Plan establishes 
the guidelines to 
be followed by the 
Company for the 
protection of facilities.
PROTECTION 
OF CRITICAL 
INFRASTRUCTURE
Within the system of protection 
of critical infrastructures,  
the Secretary of State for 
Security has drafted instruction 
nº 5/2011, which establishes a 
communication protocol between 
electricity operators, state security 
forces and the office of the 
Secretary of State for Security,  
in the case of a terrorist incident 
in facilities classified as critical.
The drafting of the Specific 
Protection Plans for each of the 
critical facilities is made without 
prejudice to the mandatory 
compliance of that set out in 
the Technical Construction 
Code, approved by Royal Decree 
314/2006, of 17 March, Royal 
Decree 393/2007 of 23 March, 
which approves the Basic Rules 
for Self-Protection of the centres, 
facilities and premises dedicated 
to activities that can be focal 
points of emergency situations, 
or any other specific regulation 
applicable to the aforementioned. 
For this reason, and as an 
additional measure, the Corporate 
Security and Occupational 
Health and Safety department 
drafts other documents that 
complement the coverage of 
operational contingencies, and 
encompass the entire spectrum 
of possible contingencies such 
as those that affect people and / 
or the environment. These other 
regulations contemplate actions 
when faced with situations caused 
by pandemics, the evacuation 
of buildings and facilities of the 
Company, as well as self-protection 
plans for Company buildings, 
facilities and substations.
On 30 June 2014, at the request  
of the Secretary of State for 
Security, Red Eléctrica was 
designated Critical Operator 
according to procedure 1/2014, 
instructed by the National Centre 
for Critical Infrastructure Protection 
(CNPIC). As a result, and to comply 
with Law 8/2011 on Critical 
Infrastructure Protection and the 
regulations for its implementation, 
the Company undertook the 
creation of the plans required  
by said Law:
• Operator Security Plan (OSP), 
which sets the guidelines  
to be followed by the Company 
in the protection of these 
facilities.
• Specific Protection Plan (SPP), 
developed by the Company for 
each of the facilities designated 
by the Secretary of State for 
Security.
In 2014, Red Eléctrica was designated  
Critical Operator by the National Centre  
for Critical Infrastructure Protection (CNPIC).
RED ELÉCTRICA 
HAS SPECIFIC
PROTECTION
PLANS
In the case of 
serious incidents 
or emergency 
situations

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
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SUSTAINABLE 
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JOULE EFFECT
Key factor in  
energy losses in the 
transmission grid 
associated to current 
passing through 
conductors.
1.38
%
With respect 
to peninsular 
demand in 2016
ENERGY 
LOSSES 
IN THE GRID
Losses in the electricity 
transmission grid depend on the 
distance between generation points 
and consumption points (primarily), 
the generation mix, the size of the 
transmission grid, voltage levels, 
international exchanges and the 
behaviour of the demand (amount  
of energy demanded and shape  
of the demand curve).
Red Eléctrica works to improve 
aspects that depend on their 
management and that can have  
an influence in reducing these 
losses. Among them noteworthy  
are the following actions:
• Development and meshing  
of the transmission grid.
• Increase in the number  
of conductors per circuit.
• Use of technologies and systems 
with the best performance 
(conductors with lower resistance, 
efficient equipment ...).
• Maintaining facilities in the best 
conditions possible to ensure their 
good operation.
The first two measures seek  
to create parallel paths to circulate 
the same intensity, which reduces 
resistance and thereby the losses.
However, all these improvements 
have a remarkably little impact 
on the evolution of losses, with 
other aspects, not controlled by 
Red Eléctrica, having the greatest 
influence.
Transmission grid losses 
/ G4-DMA / EU12
The transmission of electricity 
inevitably entails a loss of energy  
in the grid. This means that in order 
to satisfy a given final consumption, 
it is necessary to have a higher 
level of generation. Therefore, 
losses in the transmission grid 
are the difference between the 
energy generated and the energy 
demanded for distribution.
There are several factors that 
generate losses: the Joule (1) 
effect, the corona effect and the 
own consumption of electricity 
substations which is required for 
their correct operation. Of these,  
the most important is undoubtedly 
the Joule effect associated with 
the flow of current through the 
conductors.
TRANSMISSION GRID LOSSES 
WITH RESPECT TO PENINSULAR DEMAND 
%
1.38
1.22
1.32
1.26
1.17
2016
2015
2014
2013
2012
(1) Joule effect: the effect whereby, 
when an electrical current flows 
through a conductor, part of the kinetic 
energy of electrons is transformed 
into heat which thereby raises the 
temperature of the conductor. 
Joule effect losses are proportional 
to the intensity flowing through the 
conductor and the resistance thereof, 
the greater the length of the line the 
greater this resistance is. In view 
of this, it can be understood that 
the losses are mainly related to the 
distance between points of generation 
and consumption.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
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RENEWABLE  
ENERGY
Has increased 
its share in the 
coverage of the 
peninsular demand 
by almost 4 
percentage points. 
PENINSULAR 
DEMAND 
2016
Company has little capacity to act 
in relation to the reduction of said 
losses.
Moreover, it is important to note 
that in the case of the Spanish 
electricity system, the increase 
in losses is closely related to 
the share of renewable energies 
in the generation mix. Typically, 
increases in hydro and wind 
generation are related to an 
increase in transmission distances 
(this type of generation is located 
far from consumption points).
Electricity system 
operation
For yet another year, the 
fundamental objective of the 
operation of the electricity system 
has been to guarantee the security 
and quality of the electricity supply, 
maximising the integration of 
renewable energies. Demand for 
peninsular electricity in 2016 has 
grown by 0.7% over the previous 
year. After factoring in the seasonal 
and working patterns, demand 
stands at the same level as  
in 2015.
During 2016, the share of 
renewable energies in the 
coverage of the peninsular 
demand represented 40.8%, which 
is 3.9 percent more than in 2015.
It is worth noting the significant 
contribution of wind power 
generation, whose contribution 
Losses are usually proportionate 
to the distance between points 
of generation and consumption 
– the greater the distance, the 
greater the losses. The structure 
of the electricity generation 
mix depends on the rules of the 
electricity market, regulated by 
an independent body. The role of 
Red Eléctrica as electricity system 
operator should be performed 
according to specific and 
mandatory operating procedures. 
According to these procedures, 
it is not possible to operate the 
electricity system based on the 
criteria for reducing losses, so the 
The increase 
in losses in 
the Spanish 
electricity 
system is 
linked to 
the share of 
renewable 
energies in the 
generation mix.
COVERAGE OF PENINSULAR DEMAND 
WITH RENEWABLES (1)
%
40.8
36.9
42.8
42.3
31.9
2016
2015
2014
2013
2012
(1) Renewables: hydro, wind, solar photovoltaic, solar thermal, other renewable and 50% of urban solid 
waste. Excludes pumped-storage generation.
+0.7%
Compared 
to 2015
246.7
TWh

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
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SUSTAINABLE 
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Corporate Responsibility Report 2016
and March, wind generation was 
the technology with the greatest 
contribution to the total energy 
production of the peninsular 
electricity system, reaching 26.7%, 
30% and 25%, respectively.
On the other hand, on 11 January, 
2016, a new all-time high  
of hourly energy was registered, 
reaching 17,390 MWh, and on 
12 February, 2016, there was  
a new all-time high of daily 
energy reaching 365,348 MWh. 
To achieve these maximum values 
and to make the operation of 
an electricity system possible  
with such a high penetration  
of renewable energies under 
safe conditions, the control  
and supervision work carried  
has reached 19%, which ranks 
this technology in second place, 
behind nuclear energy, in terms 
of share among the different 
types of energy in the coverage of 
demand. Also in January, February 
In October 2016, Red Eléctrica joined 
CORESO, the coordinating body 
for regional security, which already 
includes several European TSOs.
The increasing proportion of  
variable generation produced mainly  
by renewable energy and increased 
cross-border energy flows require  
greater coordination among European 
TSOs in order to maintain the 
high-quality standards of the 
electricity system.
In this regard, regional security 
coordinators are entities created  
by the TSOs with the objective of 
providing certain coordination services  
to maintain the security of the  
electricity system at all times.
CORESO (COoRdination 
of Electricity System 
Operators)
SHARE
 OF WIND 
POWER 
GENERATION19
%
Ranked in 
second place 
in demand 
coverage, 
behind nuclear 
energy
RENEWABLE
ENERGIES
0
20,000,000
40,000,000
60,000,000
80,000,000
CO 2 EMISSIONS ASSOCIATED TO GENERATION
OF ELECTRICITY ON THE PENINSULA
2016
2015
2014
2013
2012
  Coal	
  Combined cycle	
  Thermal renewable	
  Cogeneration	
  Waste
tCO2
COVERAGE OF PENINSULAR DEMAND 2016
%
(1) Excludes pumped-storage generation.
	 Nuclear	
22.2
	 Coal	
13.9
	 Combined cycle	
10.2
	 Cogeneración	
10.3
	 Waste	
1.2
	 Wind	
18.7
	 Hydro (1)	
14.1
	 Solar photovoltaic	
3
	 Solar thermoelectric	
2
	 Other renewable	
1.4
	 Importer balance
	
international energy exchanges	
3

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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94
05
SUSTAINABLE 
ENERGY
Corporate Responsibility Report 2016
SPANISH PENINSULA 
BALEARIC ISLANDS 
LINK
infrastructure, together with the 
link between the island of Majorca 
and the peninsular electricity 
system, represent a substantial 
improvement in the quality 
and security of the electricity 
supply for the Balearic Islands, 
as a whole, avoiding out-of-
range frequency deviations and 
power outages caused by loss 
generation.
In 2016, the energy transferred 
from the Peninsula covered  
21% of the demand of the 
Balearic Islands, reaching peaks 
that exceeded 30% of the hourly 
consumption. This has meant 
savings of 18% in the costs for 
the coverage of the Balearic 
Islands system and has avoided 
the emission of approximately 
350,000 tonnes of CO2 in the 
Balearic Islands territory.
In the Canary Islands electricity 
system, renewable generation 
- wind and photovoltaic - 
represented 8% of the total 
generation in 2016, reaching 
29% in Gran Canaria and 35%  
in La Palma throughout the year, 
particularly challenging values in 
small isolated electricity systems.
Similarly, the hydro/wind power 
station of Gorona del Viento 
has been operating regularly 
throughout 2016, increasing the 
integration of renewable energy 
in the El Hierro electricity system. 
Thus, 43% of the total annual 
generation of this system came 
from renewable energy sources 
and in 2016, for more than 500 
hours, this system was supplied 
with 100% renewable energy.
out by CECRE is fundamental.  
In this regard, CECRE continues  
to be a pioneering centre which  
is of reference worldwide. 
Regarding the Balearic Islands 
electricity system, the 132 kV 
double link between Majorca and 
Ibiza has been commissioned, 
which has made it possible 
to connect the two electricity 
systems of the Balearic 
archipelago, Majorca-Menorca 
and Ibiza-Formentera, to form 
a single electricity system. This 
21% of demand on the Balearic 
Islands has been covered  
by energy transferred through 
the link that joins the Spanish 
Peninsula with the Balearic 
Islands system.
REDUCED  
EMISSIONS
The Spanish 
Peninsula-Majorca 
link has avoided 
the emission of 
approximately 350,000 
tonnes of CO2 in the 
Balearic Islands in 2016.
18
%
IN THE 
COVERAGE 
COST OF THE 
BALEARIC 
ISLANDS 
SYSTEM
SAVING OF

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
95
05
SUSTAINABLE 
ENERGY
Corporate Responsibility Report 2016
EL HIERRO 
ELECTRICITY 
SYSTEM
stations, which serve as tools 
for system operation to improve 
the guarantee of supply, security 
of the system and integration 
of non-manageable renewable 
energy. It is also essential to 
develop new interconnections 
between islands that allow for 
mutual support between systems 
and improve grid meshing to 
provide alternative supply routes 
in case of incidents.
In this regard, the construction 
of the pumped-storage power 
station between the Soria and 
Chira reservoirs, whose permitting 
process began in 2016, is an 
essential tool to progress towards 
the sustainability of the new 
energy model in the Canary 
Islands, as it will make a greater 
development and use of renewable 
energies possible on the island  
of Gran Canaria.
Energy storage 
in the Canary Islands
In order to reduce the vulnerability 
due to peaks in demand, or when 
facing certain situations of lack  
of generation, in small and 
isolated electricity systems 
such as that of the Canary 
Islands, it is crucial to introduce 
energy storage systems, such 
as pumped-storage power 
Greater GUARANTEE of supply
The power station will have a turbine 
power of 200 MW (around 36% of the 
current peak of the island's actual 
demand), so it will increase the guarantee 
of the electricity supply in Gran Canaria.
Greater system SECURITY
The control capacity provided by this 
power station will make it possible to 
compensate for the variability of wind 
production foreseen on Gran Canaria and 
to maintain the frequency values stable, 
thus guaranteeing the security of the 
system.
Greater INTEGRATION 
of renewable energies
With this power station, Gran Canaria's 
electricity system will have an essential 
facility to take advantage of renewable 
energy surpluses and to integrate a 
greater amount of local energy and 
that energy which produces zero CO2 
emissions.
Greater ENERGY INDEPENDENCE
This facility will help reduce the costs  
of the Canary Islands electricity system 
by reducing the import of more expensive 
and polluting fossil fuels, which in turn 
lead to greater energy efficiency and a 
reduction in polluting emissions.
Benefits of the Soria-Chira pumped-storage  
power station for the electricity system 
of the Canary Islands
Pumped- 
storage power 
stations such  
as that of  
Soria-Chira 
allow energy 
storage and 
favour the 
integration  
of non-
manageable 
renewable 
energies.
THE SORIA-CHIRA  
pumped-storage 
power station will 
have a turbine power 
capacity of 200 MW 
and pumping power 
capacity of 220 MW.
500
HOURS
DURING 
MORE THAN
Supplied by 
100% renewable 
energy

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
96
05
SUSTAINABLE 
ENERGY
Corporate Responsibility Report 2016
INTERRUPTIBILITY
SERVICE
2017
IN THE  
RESIDENTIAL 
SECTOR,
Red Eléctrica promotes 
consumer involvement 
as a key player in the 
new energy model.
that have a global impact on  
all consumers in Spain are also 
carried out.
Active Citizen
The electricity system is in a 
phase of transition towards a new 
dynamic energy model in which the 
role of the citizen as a key player 
in the operation of the system 
is increasingly relevant. For this 
reason, Red Eléctrica promotes 
demand-side management 
initiatives aimed at making 
information available to the citizen 
about the situation of the system, 
or disseminating recommendations 
on best practices for an efficient 
consumption.
Red Eléctrica works actively on 
the promotion, development and 
dissemination of demand-side 
management initiatives as one  
of the tools necessary to improve 
the efficiency and sustainability  
of the electricity system. 
In this respect, demand-side 
management initiatives seek to 
contribute to the maintenance 
of the guarantee and security of 
supply by promoting the integration 
of renewable energy sources, 
reducing the polluting emissions 
and promoting the sustainable 
use of energy in order to achieve 
a greater efficiency for the entire 
electricity system.
Among these initiatives, 
noteworthy are, on one hand, 
those aimed at achieving a more 
balanced consumption profile  
and, on the other, those aimed  
at providing greater flexibility 
to the operation of the system.
Main actions
Demand-side management 
initiatives undertaken by Red 
Eléctrica seek to address demand, 
as a whole, carrying out specific 
actions for the residential 
sector and the industrial sector. 
Furthermore, other initiatives  
ENERGY  
EFFICIENCY  / G4-DMA
Demand-side management initiatives 
seek to achieve a balanced consumption 
profile and provide greater flexibility  
for system operation.
AWARDING 
OF
OF 
INTERRUPTIBLE 
RESOURCE FOR 
THE SYSTEM
2,975
MW

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
97
05
SUSTAINABLE 
ENERGY
Corporate Responsibility Report 2016
OF HOURLY 
INFORMATION
ANALYSIS
From a panel 
of consumers 
with smart 
meters installed
PERFILA 
PROJECT
14 and 17 November, 2016, which 
have resulted in the awarding  
of 2,975 MW of interruptible 
resource for the system during  
the following year.
Profiling Service
Currently, many of the households 
in Spain do not yet have smart 
meters and, therefore, do not have 
hourly measurements. However, 
because in the electricity market 
all energy is settled hourly, it is 
necessary to make an estimate 
on the hourly behaviour of 
those consumers that do not 
have smart meters installed for 
hourly metering. Said forecast is 
carried out through the so-called 
'settlement profiles', which Red 
Eléctrica drafts and which assign  
to each consumer a typical 
demand behaviour according  
to their contracted power and the 
voltage levels (access tariffs).
With the objective of improving the 
current profiling service and having 
a greater knowledge of the hourly 
consumption of households and 
a significant part of small shops 
and services, since 2013 Red 
Eléctrica has been spearheading 
the PERFILA project, which counts 
on the participation of the most 
important distribution companies. 
This project is based on the 
analysis of hourly information from 
a panel of consumers who already 
have smart meters installed. The 
information collated was already 
applied in the consumption profile 
proposals for 2015 and 2016 and  
is being applied in those for 2017.
One aspect of the new energy 
model that is materialising  
is self-consumption. Aware of 
this new reality, during 2016, Red 
Eléctrica has carried out forward 
planning and analysis studies to 
adapt the operation of the system 
and anticipate its impact. 
Interruptibility Service
This service is an industrial 
demand-side management tool 
provided by large consumers 
that provides a fast and efficient 
response to the needs of the 
electricity system at any given 
time. In this regard, the industrial 
consumers who provide this 
service reduce, at the request 
of the system operator, their 
consumption up to certain 
predetermined values.
In 2013, a new allocation 
mechanism was introduced for 
the demand-side management 
interruptibility service based on 
a competitive auction procedure. 
During 2016, Red Eléctrica,  
as administrator of the auctions, 
has managed the holding of these 
auctions for the allocation of the 
interruptible resource for the year 
2017. Specifically, large industry 
of the country has competed  
in auctions held between  
Red Eléctrica leads the  
PERFILA Project that seeks  
to introduce improvements  
in the profiling service through  
a panel of approximately  
20,000 consumers.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
98
05
SUSTAINABLE 
ENERGY
Corporate Responsibility Report 2016
ELECTRIC  
VEHICLE 
The efficient 
management of the 
electricity demand for 
the electric vehicle 
is an opportunity for 
the operation of the 
electricity system  
of the future.
recharging during the night-time 
valley hours, allowing it to become 
an ally that will provide greater 
flexibility and efficiency to the 
operation of the system.
Future outlook
Red Eléctrica will continue to 
respond to the challenges posed 
by the evolution of the electricity 
system through the promotion 
of demand-side management 
measures that allow greater 
flexibility in the supply of 
electricity and a paradigm shift 
where electricity is not just a 
product that is consumed, but 
that the actors of the system 
can associate this product with 
services demanded by the end 
users. Therefore, the Company 
will continue to drive actions via 
the 'Active Citizen' initiative that 
allow the consumer to assume 
a role not only as a main player, 
but as an active participant in the 
electricity sector.
In addition, another challenge 
to be addressed in the near 
future, is the incorporation of 
new flexibility measures in the 
service sector through demand 
aggregation. For this reason, 
during 2016 the foundations were 
laid for the creation, next year, of 
a forum where the key agents in 
the development of the figure of 
the aggregator can share both 
their vision and the barriers and 
opportunities that are identified 
in its development, and to 
consolidate a framework, related 
to the demand, that can provide 
services to the system through 
aggregation.
In addition, during 2016, work was 
undertaken on the management 
and use of hourly residential 
consumption information 
to identify average hourly 
consumption patterns in each 
type of household, with the idea 
of transmitting information about 
these patterns to consumers 
in the future, so that it serves as  
a reference when managing their 
consumption. 
Electric Vehicle 
The introduction of the electric 
vehicle promises to evolve the 
mobility models of our society, 
thanks to the possibility of 
The Almacena Project consists of the  
field installation, and subsequent 
operation, of an electrochemical energy 
storage system, specifically a lithium-ion 
prismatic battery with a power output 
of 1 MW and a storage capacity of at 
least 3 MWh in the Carmona substation 
(Seville). During 2016, the behaviour of 
this innovative system has been further 
analysed and a comparative analysis has 
been carried out with other electrochemical 
storage systems encompassed within  
a project with EPRI (Electric Power 
Research Institute of the United States), 
in order to enrich the experience acquired, 
both in its integration into the electricity 
system as well as in its operation and 
maintenance.
Almacena Project
T H E  R E C H A R G I N G 
S C H E D U L E 
O F  T H E  E L E C T R I C  V E H I C L E
6 h
12 h
18 h
24 h
0
Slow 
overnight 
recharging
Efficie n t 
syste m
In e fficien t 
syste m
Energy MW
Hours
Recharging 
during 
peak hours
POWER OF1
MW
Electrochemical 
electricity storage 
system
ALMACENA 
PROJECT

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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05
SUSTAINABLE 
ENERGY
Corporate Responsibility Report 2016
VECTOR 
COORDINATOR
Is the figure who 
channels, evaluates 
and supervises 
innovative ideas and 
proposals to later 
pass them on to the 
Innovation Committee.
23
PROPOSALS
PRESENTED
Three were 
chosen as 
winners by the 
Innovation 
Committee
MOST INNOVATIVE
INITIATIVE 
2016
and programmes of its vector, 
transferring information on the 
progress of the various actions 
to the Innovation Committee. 
These coordinators belong to 
different units of the organisation. 
As a first step in promoting the 
culture of innovation, an award 
has been created for the most 
innovative initiative of 2016.  
In this first edition, 23 proposals 
were presented, among which 
the Innovation Committee 
chose the following as winners: 
MoviMAN (Mobility Solution for 
the Maintenance of Facilities), 
CONBANK (System of electronic 
authorisation of payments and 
financial transactions from mobile 
devices) and PORCT (Forecast 
and Optimisation of Resources 
for the Control of Voltage). 
In 2016, Red Eléctrica approved 
a new innovation strategy with  
the purpose of boosting innovation 
as a lever for growth, cultural 
change and improvement of 
the Group's sustainability. 
This initiative aims to extend 
innovation to all areas of business 
activity, focusing mainly on four 
vectors: digitalisation, people, 
sustainability and technology.
In this new strategy, the figure  
of the vector coordinator,  
who channels innovative ideas  
and proposals, participates 
in their evaluation and supervises  
the execution of the plans 
TECHNOLOGICAL  
INNOVATION  / G4-DMA
2012
2013
2014
2015
2016
  R&D+i Expenditure (m€)       
  Nº of projects
(1) Includes the projects and actions of the four vectors defined in the innovation strategy.
14.23
7.64
8.28
66
76
76
56
9.62
8.58
R&D+i Expenditure
/
(1)
62
+ i

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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05
SUSTAINABLE 
ENERGY
Corporate Responsibility Report 2016
Similarly, Red Eléctrica has 
continued to undertake projects in 
the international arena, in particular 
those carried out under the 
framework of ENTSO-E. In 2016,  
the update of the 'R&D Roadmap 
2017-2026' was published. Also  
in 2016, the R&D Monitoring  
Report 2015 was published, 
a report evaluating the progress  
of the ENTSO-E R&D+i Plan from 
the analysis of the results of more 
than 70 innovation projects, with 
the noteworthy participation of 
European TSOs. Collaboration has 
also continued with the European 
Platform for Technology and 
Innovation in Electricity Grids (ETIP) 
within the SET Plan of the EU, in 
which Red Eléctrica is a member of 
the Governing Board as part of the 
representation of European TSOs.
National projects
• Monitoring of underground cables using DTS (Distributed 
Temperature Sensors). Completed in 2016.
• Inspection of electricity lines for their upkeeping by means  
of photogrammetric methods from images obtained from  
an aircraft. Completed in 2016.
• Monitoring and control system based on synchrophasor 
measurements installed on the islands of Lanzarote and 
Fuerteventura. Completed in 2016.
• Study of surges due to ferroresonance in high voltage grids. 
Completed in 2016.
• Use of drones to capture geographical information and to 
inspect electricity lines. Completed in 2016.
• Optical current sensor for the identification faults in the 
underground sections of the mixed lines. Completed in 2016.
• New forecasting tool for peninsular and non-peninsular  
demand. Completed in 2016.
• Automation of the drafting of technical drawings for substation 
plans in accordance with Civil works. Completed in 2016.
• Prototype to monitor real-time recharging points for electric 
vehicles in Palma de Mallorca. Completed in 2016.
• Development and approval of the technique for the recovery  
of Posidonia oceanica seagrass meadows, using seeds  
germinated in the laboratory and fragments of the species 
obtained due to natural fragmentation. Completed in 2016.
• Approval of the use of natural ester fluids as a refrigerant  
in standard power transformers. Completed in 2016.
• Methodology for the optimum management of the entire 
vegetation treatment cycle of the 'safety corridors’ of lines. 
In progress.  
• Methodology that allows the emptying of the oil pits 
of the high voltage transformers and its treatment in situ.  
Completed in 2016.
During 2016, Red Eléctrica has dedicated 8.6 million euros to innovation projects; projects that have had the participation of 280 employees 
dedicating a total of 39,926 hours. The most noteworthy projects that have been worked on in 2016 are listed below:
Projects related to national programmes 
• Design of a prototype to improve the stability of frequency and 
voltage in small isolated systems (AMCOS-Stability FACTS Project). 
In progress.
International projects
BEST PATHS 
Analysis to overcome the various technical barriers that the 
current pan-European electricity grid could encounter to safely and 
efficiently integrate reliable quantities of energy from renewable 
sources such as solar or offshore wind. Project coordinated by Red 
Eléctrica. In progress.
MIGRATE
Improved understanding of the behaviour of the electricity system 
with high penetration of devices based on electronic power 
(generators, loads, HVDC links, FACTS...). In progress.
Main R&D+i projects undertaken in 2016
The EPRI (Electric Power Research 
Institute), an organisation dedicated to 
research in the field of the electricity sector 
and involving many companies from around 
the world, has presented Red Eléctrica with 
one of its awards: the 2016 PDU 'Transfer 
Technology Award' for its collaboration in 
the analysis of the integration and impact 
of energy storage in electricity systems  
and, in particular, for the development  
of a model to maximise the integration 
of renewable energy in island systems. The 
awards will be presented in February 2017.
EPRI Award
In the 'Red 21' section of the corporate website.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
06
CREATION 
OF VALUE
06 C R E A T I O N
O F  V A L U E
C O N N E C T E D  T O 
S O L I D  G R O W T H 
A N D  A  C L E A R 
O R I E N T A T I O N 
T O W A R D S 
E F F I C I E N C Y 
A N D  F I N A N C I A L 
S O U N D N E S S

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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06
CREATION 
OF VALUE
Corporate Responsibility Report 2016
COR NE R STONE S  FOR  
T H E  CR E AT I ON OF  VALUE
F i n a n c i a l  s o u n d n e s s , 
s o l v e n c y  a n d  s o l i d  g r o w t h
SHAREHOLDER 
RETURN
Maximising returns for shareholders  
and investors, offering an attractive 
dividend yield, and contributing to the increase 
in the share price through efficient 
business management.
Dividend of €0.8587 per share  
(7% greater than in 2015)
FINANCIAL RESULTS
FINANCIAL
STRATEGY
A financial policy adapted to the new 
remuneration model, maintaining a diversified 
financial debt and a comfortable position  
of liquidity to cover upcoming maturities.
4,949.5m€ of Net Financial Debt  
(0.9% greater than in 2015)
SOUND 
RESULTS
Creation of value on an ongoing basis through 
the attainment of solid financial results.
1,486m€ of EBITDA (1.9% greater than in 2015)
m€
IN NET PROFIT
5.1 % greater than in 2015
636.9

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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06
CREATION 
OF VALUE
Corporate Responsibility Report 2016
in Spain that includes the assets 
commissioned in 2015. It includes 
further revenues such as those from 
the provision of telecommunications 
services, amounting to 86 million 
euros, and regulated incomes 
from system operation in the 
amount of 56.0 million euros, and 
revenues derived from international 
transmission activity, amounting  
to 19.8 million euros.
Gross operating profit (EBITDA) 
amounted to 1,486.0 million euros, 
showing growth of 1.9% year-on-
year. Profit for the year amounted  
to 636.9 million euros, a rise of 5.1% 
year-on-year. The effective tax rate 
stood at 24.9%, in line with the figure 
of 25% defined in the Corporate 
Income Tax Act 27/2014.
During 2016, Red Eléctrica  
managed to show stable growth.  
The Company achieved solid results 
and a significant strengthening 
of its core solvency ratios whilst 
maintaining a clear focus on 
operational efficiency and the 
permanent creation of value.
Net revenue for 2016 amounted  
to 1,932.3 million euros, compared 
to 1,938.9 million euros in the 
previous year. This figure includes 
the remuneration of the transmission 
EVOLUTION
OF RESULTS  / G4-DMA / G4-9
+1.9%
Compared 
to 2015
EBITDA 
2016
In 2016, Red Eléctrica has shown stable  
growth through solid results, the strengthening  
of its core solvency ratios, operational  
efficiency and the ongoing creation of value.
1,486
m€
In the Consolidated Annual Accounts.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
104
06
CREATION 
OF VALUE
Corporate Responsibility Report 2016
1,932.3
m€
Compared to 
1,938.9 million
euros in 2015
NET 
REVENUE 
2016
	
2014	
2015	
2016
Economic value generated (EVG)	
1,884.1	
1,992.2	
2,014.3
Net revenue 	
1,846.7	
1,938.9	
1,932.3
Other net profits and losses (1)	
37.4	
53.3	
81.9
Economic value distributed to stakeholders (EVD)	
-1,122.3	
-1,330.2	
-1,336.0
Employees: personnel costs	
-133.0	
-139.6	
-145.1
Company: Corporate Income Tax (2)	
-134.4	
-223.0	
-212.2
Investment in the community (3)	
-5.7	
-6.6	
-6.4
Suppliers: other operating expenses (4)	
-347.7	
-367.5	
-356.4
Shareholders: dividends (5)	
-405.8	
-434.2	
-464.6
Other Capital providers: net financial costs	
-148.0	
-159.3	
-151.3
Economic value retained (EVR)	
761.9	
662.1	
678.2
Reserves	
312.0	
172.5	
174.0
Amortisation and depreciation (6)	
449.8	
489.5	
504.2
Note: Data obtained from Consolidated Annual Accounts. (1) 	Includes: other operating income/net results obtained via equity method/results from divestment of non-current assets 
(divestitures)/capital subsidies and other subsidies, in accordance to that indicated in the Annual Consolidated Accounts/deferred incomes transferred to the fiscal year’s results/
works performed by the Company on its assets. In 2016, 6.9 million euros were received from official bodies for the construction of electricity facilities. Similarly, the Company has 
recognised deductions for investments in the Canary Islands for a total of 63.8 million euros. In 2016, 11.3 million euros were transferred to results corresponding to subsidies received 
by Red Eléctrica de España S.A.U. for the construction of electricity facilities of official organisms and deductions for investments. More information in note 12 of the Consolidated 
Annual Accounts / G4-EC4. (2) Costs due to Corporate Income Tax. (3) 	Investments in the community: data obtained by applying the LBG methodology and subsequently subject to 
external verification. (4) Procurements and other operating costs (excluding investments in the community). (5) Includes the interim dividend and complementary dividend. (6) Includes: 
Amortisation / Depreciations (includes mainly provisions for deterioration in asset value).
ECONOMIC VALUE GENERATED AND DISTRIBUTED (GROUP)
/ G4-EC1
m€
Investments undertaken  
by the Group in 2016  
amounted to 643.1 million  
euros, up 43.6% year-on-year.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
105
06
CREATION 
OF VALUE
Corporate Responsibility Report 2016
€
NET  
EQUITY
Has amounted
to 2,920.5 million 
euros, 5.8% greater
than in 2015. 
rates, 84% of the Group's net debt 
is at a fixed rate interest, while 
the remaining 16% is at a variable 
rate. The average cost of the 
Group's financial debt in 2016  
was 2.94%, compared to 3.20% 
in the previous year.
Lastly, the Net Equity of the Red 
Eléctrica Group reached 2,920.5 
million euros, a 5.8% rise on 2015-
year end. This growth is mainly 
due to the results from the period 
reduced by the corresponding 
distribution of dividends.
Operating cash flow after  
taxes was 1,146.9 million euros, 
a rise of 1.1% year-on-year.  
This item includes the increase  
of 16.7% undergone in the 
corporate income tax paid 
as a result of the application 
of Royal Decree Law 2/2016 
that increases the instalment 
payments of corporate tax.
Group investments in 2016 
amounted to 643.1 million euros, 
up 43.6% year-on-year. 398.5 
million euros of this amount  
was earmarked for the 
development of the national 
transmission grid, and 199.8 
million euros for the acquisition 
of 50% of the share capital of the 
Chilean company Transmisora 
Eléctrica del Norte (TEN). For 
its part, 50% of the investment 
by TEN in Chile to date has 
amounted to 273 million euros.
At the end of the 2016 fiscal year, 
96% of the Group's financial debt 
is long term. Regarding interest 
EARMARKED 
FOR THE SPANISH 
TRANSMISSION 
GRID 
398.5
m€
INVESTMENT
2016
2016
2015
2014
2013
2012
636.9
606.0
559.5
529.1
492.3
Net Profit
m€
	
2015	
2016	
Δ%
Revenue	
1,938.9	
1,932.3	
-0.3
Gross operating profit (EBITDA)	
1,458.4	
1,486.0	
1.9
Net operating profit (EBIT)	
989.0	
1,003.3	
1.4
Profit before tax	
829.7	
850.8	
2.5
Profit for the period	
606.0	
636.9	
5.1
Non-current assets	
9,156.5	
9,256.8	
1.1
Equity	
2,760.6	
2,920.5	
5.8
Net Financial Debt	
4,905.9	
4,949.5	
0.9
Operating cash flow after taxes	
1,134.9	
1,146.9	
1.1
Investments	
447.8	
643.1	
43.6
MAIN FINANCIAL 
INDICATORS
m€

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
106
06
CREATION 
OF VALUE
Corporate Responsibility Report 2016
to Spanish long-term government 
debt. Therefore, our financial 
debt is primarily long-term and 
referenced mainly at fixed rates. 
The financial strategy traditionally 
followed by Red Eléctrica is geared 
towards reflecting the nature of 
the business it carries out, whilst 
adapting to the legislation in force 
at each moment.
Transmission and operation  
of the electricity system are 
very capital-intensive activities, 
wherein investments mature  
over long periods. 
In addition, the remuneration  
of these assets is for periods 
of 40 years at rates linked 
FINANCIAL
STRATEGY
4,949
m€
96% long-term
84% at fixed-rate 
interest
NET 
FINANCIAL
DEBT
Red Eléctrica has been given a long-
term credit rating of 'A-' by Standard  
& Poor's with a stable outlook and  
a short-term rating of 'A-2'. Meanwhile, 
Fitch has given Red Eléctrica a long-
term rating of 'A-' with a stable outlook, 
and 'F1' in the short term.
Both rating agencies indicated the 
predictability and recurrent earnings 
as well as the soundness of its income 
statement.
Credit rating
F i x e d  VS .  
VA R I A B L E
S H O R T-T E R M
VS .  LO N G -T E R M
	 Fixed    	
84%
  Variable	
16%
	 Short-term	 4%
	 Long-term	 96%
Financial Debt Structure
%
Net Financial
Debt
m€
2016
2015
2014
2013
2012
4,949
4,906
5,409
4,541
4,873
Financial strategy information in the 'Shareholders 
and Investors' section of the corporate website.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
107
06
CREATION 
OF VALUE
Corporate Responsibility Report 2016
IN 2016
SHARES 
TRADED
Evolution of Red Eléctrica 
and the main STOCK MARKET indexes - 2016
%
-10.2
-7.0
-2.0
0.4
0.7
4.9
6.9
7.5
13.4
14.4
-15
-10
-5
0
5
10
15
20
MIB
REE
IBEX 35
Nikkei
Euro Stoxx 50
CAC 40
DAX
NASDAQ
Dow Jones
FTSE
1.32 times the 
Company's 
share capital
714.4
MILLION
SPLITTING  
OF SHARES
In a ratio of four  
new shares for each 
old one, changing its 
nominal value from 
€2 euros to €0.5 
per share.
Stock market performance
The 2016 fiscal year has been  
a year characterised by volatility 
and uncertainty. Political instability 
has been the main cause of tension 
in the markets, and the economy was 
marked by the directives of the US 
Federal Reserve, with the increase 
in rates, the stimulus adopted by  
the European Central Bank (ECB)  
and the recovery of oil prices.
Once again, the United States  
leads the rankings in the stock 
markets, achieving double-digit 
gains. Among the major US indexes, 
the Dow Jones has performed best 
closing with a 13% increase, followed 
by the S&P 500 which has risen  
10% and the Nasdaq which advanced 
over 7.5%. All this under the impact 
at the end of the year of the 
presidential elections and the entry 
into the White House of Donald 
Trump, which, contrary to what  
the markets thought, did not drive 
down stock market values.
For its part, the stock market 
performance in Europe has been 
more moderate. Noteworthy was 
the 14% increase of the FTSE 
100 in London, in the midst of the 
stir created by the Brexit that, as 
happened with the arrival of Trump 
and despite closing several sessions 
in the red in the summer months, 
has not meant huge setbacks 
in the medium term. The rest of 
the European markets closed 
with positive values, Paris (+5%), 
Frankfurt (+7%), except for the 
Italian stock market, which closed 
with losses (down 10%) given the 
weakness of its financial system, 
and the Spanish IBEX 35, which 
fell by 2% also marked by political 
instability that was not clarified 
until the end of the year with  
the formation of a government  
after a second election. 
SHAREHOLDER 
RETURN

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
108
06
CREATION 
OF VALUE
Corporate Responsibility Report 2016
J
F
M
A
M
J
J
A
S
O
N
D
  Nº of shares traded (in millions)       
  Stock price (in euros)
(1) Homogeneous values for 2016, taking as a reference the share value after the stock split  
performed on 11 July 2016 (at a ratio of four new shares for each old, changing its nominal value 
from €2 to €0.50 per share).
22
20
18
16
14
12
10
8
(€)
(Nº of shares 
traded)
7
6
5
4
3
2
1
0
Share price performance 
and daily volume (1)
€
	
2016
Share price (in €)	
 
   Maximum	
20.685
   Minimum	
16.255
   Year-end	
17.925
Market capitalisation at close of fiscal year (in €M) 	
9,698.9
Earnings per share (EPS) (in €)	
1.18
Share price/EPS (Nº of times)	
15.23
Dividend per share (in €)	
0.8587
(1) Homogeneous values for the entire year after the stock split.
MAIN STOCK MARKET 
INDICATORS -2016- (1)
/
PER SHARE
GROSS DIVIDEND
2016
+7%
Compared 
to 2015
€0.8587
Red Eléctrica’s share
2016 has been a challenging 
fiscal period for utilities. During  
the year, Red Eléctrica's share  
price dropped 7%, despite the 
favourable reception of the 
2014-2019 strategic plan, which 
is characterised by the setting  
of challenging objectives and  
a competitive dividend yield  
for shareholders.
As a notable milestone in the 
period, it should be highlighted 
that on 11 July, the new shares 
of the Company began to be 
traded after the splitting of shares 
was approved by the General 
Shareholders' Meeting and carried 
out in a 4:1 ratio, changing its 
nominal value from 2 euros to 0.5 
euros per share and maintaining 
the capital stock intact.
Throughout 2016, 714.4 million 
shares were traded, representing 
1.32 times the Company’s share 
capital. Purchases made in cash 
totalled 13,432 million euros, down 
28% on the previous year which 
totalled 18,537 million euros. 
Distribution of dividends
In 2016, the direct shareholder 
return in the form of dividends 
increased by 7% over the previous 
year. The gross dividend proposed 
at the General Shareholder’s 
Meeting with a charge to 2016 
profit, is €0.8587 per share. On 
5 January 2017, a gross interim 
dividend payout of €0.2382 per 
share was made, with €0.6205 
per share pending distribution,  
as part of a gross complementary 
dividend.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
07
EMPLOYEES
 
E M P L O Y E E S
C o n n e c t e d  t o 
e q u a l i t y ,  t a l e n t ,  
j o b  s e c u r i t y  
a n d  q u a l i t y 
e m p l o y m e n t
07
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
07
EMPLOYEES

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
110
Corporate Responsibility Report 2016
07
EMPLOYEES
STABLE AND QUALITY  
EMPLOYMENT
Our commitment: internal employability  
of people during their time as an employee 
as professionals through integration, 
development and mobility programmes.
99.8% permanent contracts
87.5% of new directors via internal promotion
HEALTHY  
WORKPLACE
Our objective is the continued and  
progressive improvement in the levels  
of occupational health and safety which  
is understood as physical, psychological  
and social well-being.
Improvement in accident rates of  
employees and third-party contractors
7,161 hours of occupational health and safety 
training 22.4% more than in 2015
TALENT 
MANAGEMENT
The training and development of Red Eléctrica's 
workforce is integrated under a global talent 
management model.
138,000 hours of training / G4-LA9
58% of training hours targeted at improving 
employability / G4-LA10
DIVERSITY AND EQUALITY
Increase in the number women in the workforce  
and in managerial positions, and the implementation 
of the action plan associated with the model  
for managing disability in the workplace.
23.7% of women in the workforce  
(23.1% in 2015) 21.8% of women in managerial 
positions (20.2% en 2015)
2.7% of people with a disability  
(2.5% in 2015 - includes people in the workforce  
and LGD agreements - Law on the Rights  
of People with Disabilities)
COR NE R STONE S  OF 
OUR  COM M I T M E NT TO E MPLOY EES
C o n s t a n t  b a c k i n g  f o r  a  
q u a l i f i e d ,  m o t i v a t e d  a n d  
c o m m i t t e d  t e a m
RESULTS 
OF THE OCCUPATIONAL
HEALTH AND SAFETY SURVEY
OUT OF 10
IN EMPLOYEE SATISFACTION
7.7
Employee participation: 62.2%

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
111
07
EMPLOYEES
Corporate Responsibility Report 2016
OF WORKFORCE
99.8
%
PERMANENT
CONTRACTS
Stability and quality  
of employment  / G4-DMA
climate. To achieve this, the director 
plan has been structured into four 
main courses of action:
• Strategic business partner.
• Excellence in human resources 
management.
• Talent management and 
development.
• Leadership in occupational health 
and safety: healthy workplace.
In 2016, Red Eléctrica has 
continued with the deployment of 
the Human Resources Director Plan 
which began in 2014, establishing 
actions and projects that favour 
its implementation at all levels 
of the Company. The purpose of 
this plan is to actively contribute 
to the objectives encompassed 
within the strategic plan of the 
organisation, within an environment 
of commitment and good social 
 Efficiency
Equal  
opportunities
Work-life  
balance 
 
 
Respect  
for diversity
 
Fair and  
personalised  
treatment for  
all professionals
P R I N C I P L E S  O F  T H E  H U M A N  R E S O U R C E S  
D I R E C T O R  P L A N
• Maximum score (100 points) in the Dow 
Jones Sustainability Index assessment in 
the Human Capital Development criteria. 
• 35th place in the 16th edition of the  
Merco Talento ranking. 
• 38th place in the Universum ranking of the 
most attractive companies to work for.
Recognitions 2016
DIRECTOR 
PLAN
Actively contributes 
to achieving the 
objectives set out 
in the Company's 
Strategic Plan 
regarding human 
resources matters.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
112
07
EMPLOYEES
Corporate Responsibility Report 2016
EMPLOYEES
-0.9%
Compared  
to 2015
WORKFORCE  
2016
In 2016, Red Eléctrica continued to 
strengthen its commitment to the 
expansion of the business base and 
the development of international 
business. At the end of the year, 5% 
of people were active in other areas, 
of which 4% are in Peru and Chile.
Our commitment to job stability 
is reflected in maintaining a high 
percentage of indefinite recruitment 
(99.8%), in boosting internal 
promotion (87.5% of appointments 
to managerial positions have been 
covered by internal promotion) and 
A stable,  
committed and highly  
qualified team
/ G4-LA1
At the end of 2016, the Red  
Eléctrica Group had a total  
workforce of 1,773 people, 1% 
more than in 2015. Red Eléctrica 
de España, responsible for the core 
activity of the Red Eléctrica Group, 
employs 95% of the total, which  
is equivalent to 1,682 professionals, 
with an average age of 45 years  
old and an average length of service 
of 16 years.
	
2014	
2015	
2016
Total workforce	
1,682 	
1,697 	
1,682 
Women (%)	
22.8	
23.1	
23.7
Men (%)	
77.2	
76.9	
76.3
Women in management positions (%)	
19.3	
20.2	
21.8
People with some type of disability (%) 	
0.7	
0.8	
0.8
Creation of net employment (Nº of job positions) 	
10	
15	
-15
Average age 	
43	
44	
45
Average length of service (years) 	
14	
15	
16
Undesired external turnover (%)	
0.9	
1.6	
2.0
Total turnover (%)	
1.2	
2.1	
2.8
Permanent contracts (%)	
99.3	
99.9	
99.8
(1) Scope of the data Red Eléctrica de España + Red Eléctrica Corporación.
KEY EMPLOYMENT INDICATORS (1) 
/ G4-10 / G4-LA1 / G4-LA12
/
EVOLUTION OF  
THE WORKFORCE 
Nº
1,682
1,697
1,682
1,672
1,646
2016
2015
2014
2013
2012
Data regarding Red Eléctrica de España  
+ Red Eléctrica Corporación.
WORKFORCE DISTRIBUTION BY  
AGE AND GENDER 2016
Nº
> Over 50
30 to 50
< Under 30
Data regarding Red Eléctrica de España + Red Eléctrica Corporación.
11
293
94
832
427
25
1,682
in the low overall external turnover 
(2.8%), mainly due to employees 
reaching retirement age, mainly 
the management team.
Undesired employee turnover stood 
at 2%, lower than the 5% target set 
for 2016.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
113
07
EMPLOYEES
Corporate Responsibility Report 2016
Remuneration 
alignment in
the various 
companies 
of the Group
REMUNERATION
MODEL
pension plans, life insurance, public 
transportation card, luncheon 
vouchers and childcare vouchers.
For the managerial personnel,  
a remuneration model has been 
implemented incorporating the 
special characteristics of Red 
Eléctrica and the principles 
of internal fairness and 
competitiveness. The annual 
variable remuneration takes into 
consideration the contribution 
to the achievement of individual 
objectives related to economic, 
efficiency, quality variables, 
and those of management 
(such as safety and corporate 
responsibility), and in recent years 
have incorporated objectives to 
strengthen leadership. 
Compensation and 
remuneration
The Red Eléctrica Group has a 
remuneration model that responds 
to the following universal principles:
• Internally fair and equitable and 
externally competitive.
• Coherence with the organisational 
and development model. 
• Offering opportunities for salary 
progression.
• Highlighting superior performance 
through recognition.
On this basis, Red Eléctrica’s 
remuneration model for employees in 
the collective bargaining agreement 
is composed of monetary elements: 
fixed remuneration, within broad 
salary bands, and a special bonus 
scheme that recognises outstanding 
contributions. Additionally, it 
provides benefits in kind (non 
-monetary), adapted to the personal 
circumstances and preferences 
of employees: health insurance, 
OBJECTIVE
Within this model, top management 
has a deferred variable whose 
purpose is to encourage maximum 
motivation and commitment to 
the achievement of the Company's 
strategic plan.
A specific model has also been 
defined for individuals who do 
not belong to the management 
team, but are voluntarily excluded 
from the Collective Bargaining 
Agreement, which grants them a 
differential treatment by providing 
them with a specific variable 
remuneration.
The remuneration of new employees 
is established depending on the 
training and experience provided 
under the previous schemes. These 
criteria are applied universally and 
equally to both men and women.
• Remuneration. A comparative market 
study has been carried out to analyse 
the competitiveness and fairness of 
the remuneration model applied in Red 
Eléctrica. In addition, the remuneration 
model has been updated for people who 
are excluded from the Collective Bargaining 
Agreement and that do not belong to the 
management team.
Key actions for 2016
• Alignment of the remuneration models 
in the different companies of the 
Group. Within the framework of the 
standardisation of human resources 
processes and policies in all the companies 
of the Group, the remuneration models of 
the different companies of the Group have 
been updated, taking into account the 
specific needs of each business, without 
overlooking the common principles. 
MANAGEMENT 
STAFF
It has a remuneration 
model based on 
internal fairness  
and competitiveness, 
and incorporates 
leadership objectives.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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07
EMPLOYEES
Corporate Responsibility Report 2016
that fosters diversity and allows 
barriers of gender, age and 
disability to be overcome.
Among the actions carried out 
in 2016, noteworthy was the 
implementation of action plans 
associated with the management 
model for workforce ageing 
(evolution of the comprehensive 
management for ageing of the 
workforce) and to the model 
for managing disability in the 
workplace, both approved in 2015.
Ethical behaviour, respect for 
diversity and equality are principles 
that are integrated into the 
corporate culture of Red Eléctrica 
and in the internal policies of the 
Company. In order to materialise the 
commitment to these principles, 
Red Eléctrica carries out various 
actions aimed at guaranteeing a 
free environment of discrimination 
Diversity 
and equality  / G4-DMA
CONTRACTS
2016
Red Eléctrica is committed to guaranteeing 
a discrimination-free workplace that fosters 
diversity and allows barriers of gender,  
age and disability to be overcome.
• Agreement to promote the balanced 
participation of women and men on 
boards of directors. 
• Collaboration Agreement to promote a 
more balanced participation of women and 
men in positions of high responsibility.
• Collaboration Agreement ‘Business 
Network for a Society Free of Gender-
based Violence’.
• Participation in the Promociona Project 
that promotes training and professional 
development as a strategy for access of 
women to managerial positions. 
Adherence to initiatives and agreements with the 
Spanish Ministry of Health, Social Services and Equality
• Equal Opportunities in employment.
• Promotion of women into positions  
of responsibility.
• Protection against gender-based violence.
• Protection against moral, sexual and 
gender-based harassment.
• Coexistence between generations and 
adapting to change.
• Inclusion of professionals with disabilities.
• Integration of people at risk of social 
exclusion.
Principles for action on 
diversity and equality
WOMEN
NEW
INCORPORATIONS
55
%
EQUALITY 
SEAL
Red Eléctrica de 
España maintains 
the Equality seal 
awarded by the 
Spanish Ministry 
of Health, Social 
Services and 
Equality.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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EMPLOYEES
Corporate Responsibility Report 2016
the year with a percentage of 23.7%, 
which is 1.5% more than in 2015, 
standing above the target of 23.5%. 
This was contributed by the fact 
that 55% of the new incorporations 
in 2016 were women.
Similarly, the number of women 
in managerial positions increased 
for yet another year, reaching at 
year end a value of 21.8%, (8.3% 
more than in 2015, also exceeding 
the target of 21% set for 2016).
Red Eléctrica offers realistic 
professional development 
opportunities for both men and 
women. In this regard,  
the actions carried out in favour  
of the professional development of 
women enabled 50% of the women 
who were promoted to managerial 
positions during 2016 to come from 
the Company’s Bank of Potential. 
As for the indicator that measures 
the equality of opportunities in 
promotion (men/women), in this year 
it stood at 1.04 surpassing the target 
of 1.20 set for 2016. 
Gender equality and  
equal opportunities  
/ G4-DMA
In order to promote equality, 
Red Eléctrica has had, since 
2009, a specific plan drawn up 
in conjunction with employees' 
representatives, which includes  
a set of actions aimed at promoting 
equality in all areas (selection, 
recruitment, promotion, training, 
remuneration, communication 
and awareness), as well as the 
monitoring of the indicators  
to measure the progress of the 
defined objectives.
During 2016, new progress 
has been made in the equality 
indicators. Thus, the number of  
women in the workforce ended  
+8%
Compared
to 2015
MANAGERIAL
POSITIONS
2016
2012
2013
2014
2015
2016
19.4
19.7
19.3
20.2
21.8
Evolution of  
women in  
managerial positions 
Target 2016: 21 %
%
2012
2013
2014
2015
2016
22.7
23.1
22.8
23.1
23.7
Evolution of  
women In the 
workforce 
Target 2016: 23.5 %
%
50% of the 
women who 
were promoted 
to managerial 
positions 
during 2016 
came from the 
Company’s 
Bank of 
Potential. 
WOMEN
21.8
%
GENDER 
EQUALITY 
INDICATOR
Measures equal 
opportunities in the 
promotion of men 
compared to women.  
1.04 was the value  
in 2016; 1 being the 
equilibrium value.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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07
EMPLOYEES
Corporate Responsibility Report 2016
Observatory, launched in 2015, and 
whose work will continue in 2017.
Inclusion of people  
with disabilities
During 2016, the action plan 
associated with the model 
for managing disability in the 
workplace, approved in 2015, 
has been initiated, focusing on 
actions that raise awareness and 
increase knowledge regarding 
disability among all employees, thus 
facilitating their inclusion in the 
organisation. Initiatives such as the 
‘Plan Familia’ or ‘Proyecto Unidos’, 
support the integration of people 
with disabilities into the workplace.
In order to develop the various 
actions included in the plan, 
ensure compliance with legal 
obligations in this area and work in 
favour of disability, Red Eléctrica 
counts on the collaboration of the 
Adecco Foundation, as well as 
with the full involvement of the 
Company’s management team. 
In 2016, two working groups were 
set up, consisting of directors 
and department heads, whose 
functions are: to safeguard the 
implementation of the model, to 
promote the incorporation of people 
with disabilities –both in staff and 
service companies– and, above 
all, to promote commitment and 
awareness in the application of the 
model at a global level.
In 2016, 2.7% of the equivalent 
employment of people with 
disabilities was achieved, an 
increase of 6.4% over the previous 
year. Of this percentage, 0.8% 
belongs to direct employment 
and the rest to LGD agreements 
(General Law on the Rights of 
People with Disabilities).
During 2016, Red Eléctrica has 
continued to work on several 
initiatives for the promotion of 
equality, among which the following 
are noteworthy:
• Internal campaigns to raise 
awareness and the drafting of a 
training course on equality, that 
will be accessible to all employees 
via the corporate intranet.
• Participation in the Promociona 
Project whose objective is to 
improve the access of women 
to senior managerial positions. 
The 4th Edition of this Project 
has included the incorporation 
of a female director of the 
Company, which adds to the 
three female company directors 
who participated in the previous 
edition.
• Collaboration in various forums 
and working groups on subjects 
such as the ‘Gender Tension Gap 
Study’ promoted by IE Business 
School, or the study of initiatives 
and good practices in gender 
equality, work-life balance and 
disability issues carried out 
jointly with ENAGAS and CLH. The 
experiences and results of these 
studies will also be incorporated 
into the Women's Leadership 
2.7
%
INCLUDES  
PEOPLE ON THE 
WORKFORCE  
AND LGD  
AGREEMENTS
+6.4%
Compared  
to 2015
PEOPLE WITH
SOME KIND OF
DISABILITY
Inclusion and awareness are the foundations  
of the action plan associated with the model  
for managing disability in the workplace.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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EMPLOYEES
Corporate Responsibility Report 2016
The  
‘Jobs For All’ 
programme, in 
collaboration 
with the 
Adecco 
Foundation, 
has generated 
6,367 jobs for 
people with 
disabilities or 
at risk of social 
exclusion 
during 2016.
Generation of Employment
The procurement of goods and services 
offered by Special Employment Centres 
for an amount of 385,000 euros and 
donations totalling 115,000 euros, 
equivalent to hiring 32 people with some 
form of disability, and to provide support 
for the 'Empleo Para Todos’ (‘Jobs For All’) 
programme of the Adecco Foundation, 
through which 6,367 jobs have been 
generated for people with some form of 
disability, or at risk of exclusion.
Training
Development of a training workshop for 
human resources experts involved in 
selection processes to improve their skills 
in the selection and hiring of people with 
disabilities. In addition, an online course 
has been made available to all employees 
to improve their knowledge and awareness 
of disability.
Plan Familia
Ten employees of Red Eléctrica are 
benefiting from this initiative through 
which family members with disabilities 
receive care and professional assistance to 
support their integration both socially and 
in the workplace.
Plan Aflora
Support for employees may qualify for 
the disability certificate by providing 
information and assistance with the 
application process to obtain it.
Proyecto Unidos
Collaboration on this Adecco Foundation 
project in which universities and companies 
bring together knowledge, resources and 
experience to accompany, guide and 
prepare college students with disabilities 
during their academic stage, and for their 
access to the labour market. In 2016, 36 
companies and 15 universities participated 
in this project and 19 university students 
with disabilities benefited from it.
Awareness Training Sessions
Geared towards instilling the Company’s 
commitment, as well as to inform and 
transfer the co-responsibility to all 
directors encourage all employees of the 
Company to take part in the project. With 
the presence of Gema Hassen Bey, an 
example of enthusiasm, motivation and 
the capability to overcome barriers.
Internal communication plan
Creation of a space on the Company's 
intranet: ‘RedDiversa’, in collaboration with 
the Adecco Foundation, which is dedicated 
to diversity. The videos and testimonials 
posted by employees of the Company 
seek to reach out to the Red Eléctrica 
workforce on topics related to diversity. It 
also initiates a process of internal dialogue 
to debate values and attitudes in the field 
of disability. 
Activities carried out in 2016 
Disability Culture
Continue training and awareness 
activities aimed at instilling the 
principles of diversity and inclusion, 
normalising disability and strengthening 
the Company's identity and values. 
Develop ‘RedDiversa’, the new space 
on the corporate website, which will 
communicate the different projects that 
are being carried out in this area.
Support for employees 
Plan Familia. Continue promoting care 
programme for employees or family 
members with disabilities. 
Promote corporate volunteering 
by promoting actions geared towards 
integration.
Include disability within a  
new Model for the Management  
of Diversity
Whose aim is to avoid any type of labelling 
that may imply barriers that impede talent 
and the development of people.
Development of the Age  
Management Model
Evolution of the Comprehensive Model 
for the Management of an Ageing 
Workforce approved in 2015 with the 
objective of achieving a more profitable 
and sustainable company, committed to 
diversity, that promotes intergenerational 
solidarity by harnessing the talent 
and knowledge obtained through the 
experience of employees.
Key objectives 2017

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
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07
EMPLOYEES
Corporate Responsibility Report 2016
Knowledge  
management and the 
leadership model
The transmission of key company 
knowledge and the involvement of 
senior managers are levers that 
promote learning and facilitate 
the necessary commitment that 
ensures the employability of people. 
Under the leadership model, during 
2016, the Bank of Potential and 
LideraT programmes have continued 
to pursue the development of 
competencies that define a flexible, 
agile and oriented style of leadership 
in the creation of collaborative and 
participatory environments.
Within the LideraT programme, 
actions aimed at the integration 
and transition of people who have 
come to occupy new or different 
management positions in Red 
Eléctrica have been implemented, 
which has facilitated changes in the 
organisational structure.
In addition, as part of the 
deployment of the Leadership Model 
in 2016, a development programme 
has been designed for the team of 
experts, which coordinates the work 
of functional teams.
Red Eléctrica has backed the 
development of a Global Talent 
Management Model aligned with 
the Company's strategy. This model, 
with a systemic approach where 
all processes are interdependent, 
includes the employment process 
(recruitment, selection and internal 
mobility), training (technical 
capacity and skills), development 
(programmes for professional 
growth) and the performance 
appraisal process, in addition to 
knowledge management and the 
leadership model.  
Talent  
managemenT  / G4-DMA / G4-LA10
BANK OF 
POTENTIAL
The LideraT programme has facilitated 
changes in the organisational structure 
through integration and transition 
actions of people who have changed 
their management positions.
OF NEW
HEADS OF 
DEPARTMENT 
77
%
Employees
included in the
Bank of 
Potential
programmes
INTERNAL  
PROMOTION
In 2016, 87.5% 
of appointments to
managerial positions
were covered via 
internal promotion.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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07
EMPLOYEES
Corporate Responsibility Report 2016
unit, which will serve as a pilot 
programme. The results obtained 
will introduce improvements in 
knowledge management.
Training and  
development 
A key element within the talent 
management model is the learning 
strategy that acts as a reference 
in the construction of training and 
development programmes. This 
strategy is based on principles, a 
methodology, a standard itinerary 
and an evolved system of training 
evaluation that culminates with the 
calculation of ROI.
The different training and 
development programmes are 
grouped into four areas: technical 
training, skills development, 
corporate training and training for 
specific groups. The methodology 
used in the training actions is 
based on the 70-20-10 model 
and incorporates important 
technological advances, with a 
virtual classroom, Aul@REE, for 
online training.
It should be noted that in 
2016, 87.5% of Red Eléctrica's 
appointments to managerial 
positions were covered through 
internal promotion. It is also 
worth noting that 77% of the new 
department heads came from 
the Company's Bank of Potential 
programmes.
With regard to knowledge 
management, in 2016 the 
deployment of the model approved 
the previous year has begun. 
The first step has been the 
constitution of a governing body 
that will facilitate the execution 
of the model. The first project 
has also been approved, within 
the Transmission Management 
IN THE  
LAST FIVE 
YEARS
10
%
After applying
the ROI in the 
training 
assessment
RETURN ON 
INVESTMENT
7 0 - 2 0 - 1 0  M o d e l
On-the-job 
learning 
(experience)
70%
Learning via other 
(exposure)
20%
Formal 
learning 
(education)
10%
3,431
3,984
3,756
3,153
3,506
2016
2015
2014
2013
2012
Investment in  
training per  
employee
€
82
100
74
57
71
2016
2015
2014
2013
2012
Average  
training hours  
per employee
Nº

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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07
EMPLOYEES
Corporate Responsibility Report 2016
EMPLOYABILITY
58% of the training 
hours, distributed 
across 273 courses, 
were aimed at 
promoting the 
employability of 
employees.
Internal training is a lever for 
the development and transfer 
of essential knowledge in Red 
Eléctrica. 6.7% of employees, 
experts with relevant knowledge 
in their respective areas, 
participate as internal trainers. 
Emphasis is given to the training 
of maintenance personnel to carry 
out local manoeuvre operation 
in substations, which has been 
carried out exclusively with 
internal trainers. 2,932 hours has 
been invested and this training is 
expected to be maintained over the 
next two years.
Also, worthy of note is the 
simulation for the restoration 
of the electricity system on 15 
November, 2016, which has among 
its objectives to contribute to the 
ongoing training of operators, from 
Red Eléctrica, REN-Portugal and 
RTE-France, as well as of the rest 
of the 17 participating companies, 
when faced with a widespread 
incident. To achieve this, the use 
of state-of-the-art technology, 
Operation Training Simulator (OTS), 
essential in the ongoing training  
of system operators, has been key.
Training assessment  
system
In 2016, the system for the 
assessment and measurement 
of training has been implemented  
up to a level where it can calculate 
the return on investment (ROI).  
The system includes different levels: 
training satisfaction, acquired 
and applicable knowledge and 
training impact, culminating in 
the calculation of overall ROI and 
per programme. The calculation 
In 2016, Red Eléctrica provided 
138,507 hours of training to 
employees of all professional levels, 
representing 82 hours of training 
and an investment of 3,431 euros 
per employee. 58% of the total 
training hours distributed across 
273 courses have been aimed 
at promoting the employability 
of employees in technical areas, 
languages, skills and abilities, not 
directly related to the functions of 
the job being performed. 
Per employee
EMPLOYEE
TRAINING
The training and development programme  
consists of four axes ranging from technical  
training to corporate training, including  
skills development and training targeted  
at specific groups.
82
HOURS

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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07
EMPLOYEES
Corporate Responsibility Report 2016
The new Campus represents an 
important advance with regard to the 
internal training centres established 
in the Company since 2004, when 
moving from a mainly technical 
approach to a comprehensive 
approach.
Similarly, it will provide new spaces 
that will improve the resources 
currently available and will rely 
on innovative methods, modern 
infrastructure and advanced 
technology.
For the design of the Campus, an 
analysis of the current situation 
has been made using the Corporate 
Learning Improvement Process 
(CLIP) of the EFMD (European 
Foundation for Management 
Development). The initial analysis 
has facilitated the development 
of a desired framework and the 
elaboration of an action plan to be 
implemented post-2017. The model 
is based on three fundamental 
pillars: innovation and culture, 
transformation, and strategy and 
leadership.
Evaluation and  
management of professional 
development  
/ G4-LA11
The evaluation model of Red 
Eléctrica is oriented to facilitate the 
development and professional career 
of employees, as well as to manage 
their performance in an efficient 
way. Since 2012, the opinion of the 
evaluators and those evaluated 
for the analysis and revision of the 
model has been collated.
estimated in 2016 has shown a 
progressive positive trend of 10% in 
the return on investment in training 
in the last five years.
Campus Red Eléctrica
In 2016, we have worked on the 
project for the Company’s new 
corporate university that will be 
called Campus Red Eléctrica, and 
which is due to be launched in early 
2017. The objective of this ambitious 
project is that Campus Red Eléctrica 
be the platform for the deployment 
of strategy, values and culture of the 
Red Eléctrica Group. A place where 
people can come together that 
fosters collaboration and innovation 
hence facilitating the fulfilment of 
business objectives through learning 
and knowledge management.
BASED ON
THREE PILLARS
A MODEL
Innovation  
and culture, 
transformation, 
and strategy and 
leadership
CAMPUS
RED ELÉCTRICA
• Passion for excellence and specialisation.
• Agile and adaptable to new business 
trends and requirements.
• Customer-centric.
• Universal, open and transversal.
• Influential and in constant dialogue  
with stakeholders.
• Promotes the desire to learn.
Campus Red Eléctrica: 
principles
Campus Red Eléctrica seeks to 
become the platform for the 
deployment of Company's strategy, 
values and culture.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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07
EMPLOYEES
Corporate Responsibility Report 2016
On the other hand, throughout 2016 
the new induction and integration 
programme for newly incorporated 
employees has been deployed, with 
a first edition where the figure of 
the coach has been elevated, a key 
element for development in this 
process. 
Collaboration with  
the educational sector  
/ G4-LA10
The practical training programme 
for young graduates is a firm 
commitment that Red Eléctrica 
maintains with society. The 
objective of this programme is 
to facilitate access to the labour 
market for qualified professionals. 
Throughout 2016, 124 people 
participated, of which 16 have 
been part of a special theoretical-
practical programme on the 
position of Electricity Control 
Centre Operator. This programme, 
which has been carried out in 
collaboration with university 
centres and internal experts of the 
Company, constitutes a valuable 
source of recruitment that will 
guarantee that new incorporations 
have the specific technical 
knowledge of Red Eléctrica's 
business.
Also during this year, three 
university students have carried 
out their external academic work 
experience in Red Eléctrica. 
In order to promote work experience 
for undergraduate vocational 
students, contact has been made 
with official organisations of the 
autonomous communities with the 
aim of designing and implementing 
a vocational training programme 
within the dual vocational training 
system, adapted to the needs of 
Red Eléctrica.
All employees of Red Eléctrica, 
management team and  
non-directors, are continuously 
evaluated on competences, 
commitment and contribution. 
Through the performance appraisal, 
the corresponding assessment is 
transmitted and improvements are 
agreed between collaborators and 
line managers.  
In Red Eléctrica, there are different 
levels of professional progression. 
According to the maturity, knowledge 
and work experience of each person, 
the system offers realistic options 
for development within a technical 
career and professional evolution. 
The functional mobility model 
facilitates development by boosting 
the versatility and employability 
of people. In 2016, 35 transversal 
mobility projects and 5 international 
mobility projects have been 
developed to exchange knowledge 
and experience with European 
companies in the sector. The first 
international mobility projects have 
also been carried out with companies 
of the Group in Peru and Chile.
124
COLLEGE
STUDENTS
Recent graduates
COLLABORATION
EDUCATIONAL
SECTOR
In 2016, 35 
cross-cutting 
mobility 
projects and  
5 international 
mobility 
projects were 
carried out 
to exchange 
knowledge and 
experience.
HAVE 
PARTICIPATED

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
123
07
EMPLOYEES
Corporate Responsibility Report 2016
Leadership model
• Deployment of the leadership model 
with the participation of 100% of 
managers to develop competencies, 
values and leadership styles, with 3,045 
hours of training across 167 sessions.
• In the last quarter of 2016, the third Bank 
of Potential for Experts was launched 
which will be developed in 2017 and 2018. 
• Development of the second edition of 
the Bank of Potential programme for 
department heads, as the main source of 
coverage of managerial positions in Red 
Eléctrica.
• A specific ALUMNI programme has 
been developed in order to facilitate 
a common environment for all people 
included in the Banks of Potential (for 
both experts and managerial staff), 
which helps to take advantage of the 
talent, experience and knowledge of all 
the participants.
Training and development
• 138,507 training hours were given in 
2016, resulting in an average of 82 hours 
per employee and an average investment 
per employee of 3,431 euros. 22.5% of the 
training hours have been carried out with 
in-house personnel. 
• Launch of eight training paths for 
skills that serve to improve the results 
of the evaluation of employees. 292 
people have been trained, with a mixed 
work methodology (face to face and 
virtual) encompassed within the Talent 
Management Model.
• Development of the second edition 
of the Bank of Experts programme, 
with 645 hours of training, to apply 
and disseminate knowledge in the 
working environment and to train other 
employees as internal trainers.
• 273 courses and more than 83,000 
hours of training aimed at promoting 
the employability of workers in technical 
areas, languages, skills and abilities not 
directly related to job functions.
• 377 hours of training in corporate 
responsibility and corporate values, 
including aspects regarding human 
rights, involving 66 people (experts, 
management team and new 
incorporations into the Company).
• Digitalisation of language training with 
more than 700 people in the new training 
programme in English and French, using 
2.0 technology.
• Commencement of advanced training in 
project management in accordance with 
ISO21500.
• Implementation, for the first time in  
a continuous way, of practical training  
in an electricity substation with real 
out-of-service facilities.
• Undertaking of authentic practical, in-
house, between control centre operators 
and future operators responsible for local 
manoeuvre operations.
• Design of the Corporate University model: 
CAMPUS Red Eléctrica as a platform for 
the deployment of the strategy, values 
and culture of the Red Eléctrica Group.
• 14 people have completed training 
in SF6. Between 2013 and 2016, 426 
people have completed this training, 
of which 396 have received the official 
accreditation that enables them to 
recover SF6 gas throughout the  
European Union. Certified according  
to RD 795/2010.
Evaluation and management of 
professional development
• Drafting of a communication plan aimed 
at strengthening the key elements of 
the evaluator's role, as well as to favour 
the development of the interviews of 
those evaluated. 
• Implementation of the evaluation in REA 
(Peru) following the criteria defined in 
the relational framework established 
with the subsidiaries in Latin America. 
Similarly, its implementation has been 
planned for 2017 in TEN (Chile).
• Ongoing evaluation of digital skills to 
support digital transformation.
• Consolidation of the multisource 
evaluation model for the management 
team.
• Revision of the internal mobility 
model with the aim of boosting the 
development of people, increasing their 
versatility to respond to business needs 
in the short and medium term.
Key actions and indicators for 2016 regarding talent management
INVESTMENT
IN TRAINING
€3,431
Per employee
TALENT
MANAGEMENT

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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07
EMPLOYEES
Corporate Responsibility Report 2016
• Within the leadership model, promote 
individualised development programmes 
that facilitate strategic vision and facilitate 
international networking.
• Consolidate the deployment of the 
knowledge management model.
• Promote technological innovation for 
the benefit of learning and professional 
development: design of simulators, new 
virtual courses, recording of sequences of 
technical operations for consultation. 
• Certify maintenance personnel in regional 
offices as Operators of Local Manoeuvre 
Operations in Substations.
• Implementation of the technological 
tool that allows the motivations and 
professional interests of the employees 
of Red Eléctrica to be known in order 
to facilitate their employability and to 
promote mobility.
• Deploy the internal functional mobility 
model as a lever for development and 
carry out monitoring for continuous 
improvement through the performance 
indicators.
• Implement the relational framework 
established for the companies of the 
Group in the field of talent management 
with subsidiaries in Latin America.
• Analyse the current performance 
appraisal system for its improvement 
and to allow an optimisation of 
communication between evaluators and 
those evaluated.
• Implement the new CAMPUS Red 
Eléctrica model. 
• Continue to promote collaboration 
with the educational sector, vocational 
training centres, universities and 
business schools.
• Promote corporate training in Equality, 
Work-life balance and Criminal Risks 
to publicise the practices and measures 
implemented in each of these areas.
• Consolidate the implementation of 
the Bank of Experts by deploying new 
actions and improvements detected by the 
participants themselves in synergy with 
the Knowledge Management Model.
• Continue with the Enlace Programme to 
facilitate communication and cohesion 
between technical staff from the control 
centres and maintenance areas.
Key Talent Management Objectives 2017
RED 
ELÉCTRICA
EMPLOYEES
OF ALL
Through ongoing 
performance
appraisals,
by competency, 
commitment and 
contribution
PERFORMANCE 
APPRAISAL
In 2017 a technological tool will 
be implemented that will allow 
the motivations and professional 
interests of the employees to 
be known and facilitate their 
employability and mobility.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
125
07
EMPLOYEES
Corporate Responsibility Report 2016
BREAKFAST  
WITH THE CEO
Informal sessions 
that encourage the 
CEO's contact with 
employees. In 2016,  
15 breakfasts 
were held with the 
participation of 168 
employees.
to the development of the Red 
Eléctrica Group, and develop the 
framework of criteria for internal 
communication actions in the 
different companies of the Group.
Dialogue tools  
and channels 
In the quest for ongoing dialogue 
in the organisation, one of the 
innovations of this year has been 
the breakfasts with the CEO, 
informal sessions that have allowed 
the chief executive to encourage 
greater contact with employees, 
to know first-hand the issues 
of Interest, as well as exchange 
information about the Company's 
activity. During 2016, 15 breakfasts 
were held in which 168 employees 
of the Company (both managers 
and non-managers) participated.
  
In addition, during this year 
the action plans derived from 
the 2015 climate survey have 
been monitored in order to 
work on improvement aspects 
and to consolidate identified 
strengths. In addition, an internal 
communication evaluation survey 
(involving 51.9% of Red Eléctrica 
employees) has been launched 
to learn about the opinions of 
employees regarding management, 
Red Eléctrica focuses and develops 
internal communication as a 
strategic element to share the 
mission and objectives, to involve 
the employees in the different 
projects and to improve the working 
climate thus increasing their pride 
of belonging.
During 2016, work has been 
carried out on the design of the 
internal communication model that 
supports the value that the internal 
communication must contribute 
Dialogue  
and transparency
Consolidates its
implementacion 
in 2016
COMMUNICATION
CHANNEL
Internal communication is a strategic  
element that contributes to sharing the 
Company's mission and objectives through  
the involvement of employees.
NEW
INTRANET
miRED

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
126
07
EMPLOYEES
Corporate Responsibility Report 2016
initiatives and channels of 
communication so as to detect 
areas for improvement that allow 
the communication needs of the 
whole staff to be addressed. 
Red Eléctrica continues to design 
communication plans to help the 
units disseminate their objectives 
and projects. Of particular note are 
the actions developed for: talent 
management, innovation, healthy 
workplace, corporate values, 
diversity, actions linked to the 
operation of the electricity system 
and maintenance of transmission 
facilities.
PARTICIPATION 
OF51.9
%
To improve
communication
to the workforce
as a whole
INTERNAL
COMMUNICATION
SURVEY
• Human Resources Road Show so that 
the employees can gain a greater 
understanding of the functions of this 
area. It additionally allows HR to gain 
first-hand knowledge regarding the doubts 
that the different areas may have, so as to 
provide a response that is both warm and 
with a human touch, and which responds 
adequately to the doubts raised.
• Evolve the internal communication model 
and enhance it as a tool of influence and  
as a strategic element for the management 
of people and working teams.
• Conducting of the new climate survey, 
with the objective in order to continue to 
be fully aware of the strengths and areas 
of improvement of the organisation.
• Launching the collaborative tools 
of the miRED intranet, which allow 
multidirectional communication and 
encourage participation.
• Development of cross-cutting and 
personalised communication plans that 
promote knowledge regarding all areas  
of the company and broaden the business 
vision.
• Broadening of activities of the social 
and cultural plan aimed at employee 
participation and integration, and 
awareness of issues of sectoral, social 
and environmental interest.
Key objectives 2017
• Implementation of the internal 
communication model that facilitates 
the effective planning and execution 
of communication actions within the 
Company.
• Breakfast with the CEO. 
• Consolidation of the new intranet   
as the main communication channel  
and as a collaborative space.
• Launch of the survey regarding internal 
communication. 
• Monitoring of action plans arising from 
the 2015 climate survey.
Key actions  
carried out in 2016 
Within the various internal 
communication channels, the 
new functionalities of the intranet 
made it possible to accelerate 
the dissemination of information, 
stimulate multidirectional 
communication and encourage 
the use of collaborative 
spaces, facilitating access to 
documentation and knowledge 
management.
The new functionalities  
of the intranet have been able  
to speed up information, enhance 
multidirectional communication 
and encourage the use of 
collaborative spaces.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
127
07
EMPLOYEES
Corporate Responsibility Report 2016
The Company maintains a 
fluid, accessible and flexible 
communication with the employees' 
representatives, which allows the 
dialogue between both parties to be 
carried out in an ongoing manner. 
During 2016, the various committees 
contemplated within the 10th 
Collective Bargaining Agreement, 
held a total of 18 meetings.
The Collective Bargaining Agreement 
covers the majority of the workforce, 
excluded from its scope are: the 
management team (6.98%) and 
employees who voluntarily and 
reversibly accept the proposal of 
Red Eléctrica de España guarantees 
its employees the right to union 
affiliation, association and collective 
bargaining within the framework 
of existing labour laws and the 
Collective Bargaining Agreement. 
In 2016, work has continued on 
the implementation of the 10th 
Collective Bargaining Agreement, 
which entered into force on 1 May 
2014 and will remain in force until 
31 December 2017, seeking the 
complete fulfilment of the principles 
that inspired it:
• Efficiency and productivity.
• Flexibility and sustainability.
Social  
dialogue  / G4-DMA / G4-LA4 / EU15
ANNUAL
WORKING
HOURS
1,690
According to
the 10th 
Collective
Agreement,
in force since 
1 May 2014
WORK
FLEXIBILITY
• Occupational Health and Safety 
Committee. / G4-LA8
• Committee for facilities personnel 
(transmission grid facilities).
• Training committee.
• Equality committee.
• Professional classification committee.
• Inter-work centre committee.
• Joint committee on monitoring and 
interpretation of the Collective Bargaining 
Agreement.
• Committee on social affairs.
• Geographical mobility committee.
Committees contemplated 
within the 10th Collective 
Bargaining Agreement
Red Eléctrica maintains a fluid and 
flexible communication with the 
Employees' Representatives as evidenced 
through the 18 meetings held in 2016.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
128
07
EMPLOYEES
Corporate Responsibility Report 2016
As a consequence, it has not been 
necessary to apply corrective 
measures within 2016.
Notification of organisational 
changes is carried out pursuant 
to current legislation. The 
organisational changes that 
entail the geographical mobility of 
employees are notified with thirty 
days' notice, to both the worker  
and the employees' representatives.  
In all cases, a consultation process 
is carried out.
As for substantial modifications to 
the employment contract, in the 
case of changes to an employee’s 
contract, these will be notified 
fifteen days in advance to both 
the affected worker and social 
representatives. If it concerns 
company-wide changes, a 
consultation period will be opened 
with legal representatives which 
may be replaced by a mediation or 
arbitration procedure.
Furthermore, the 10th Red Eléctrica 
Collective Bargaining Agreement 
includes specific work regimes, 
such as the special shift regime, 
or the special flexibility regime. In 
reference to the latter, legislation 
establishes different notification 
periods for the carrying out of work 
on non-working days or at night. 
In this regard, it is important to 
note that the agreement foresees 
penalties for the Company in the 
event of the cancellation of work 
scheduled for non-working days.
the management of the Company 
for exclusion from the Collective 
Bargaining Agreement (1.22%). 
However, social agreements are 
universally applicable. / G4-11
In 2016, 15 grievances (lawsuits 
filed against REE SAU) on labour 
practices received through formal 
mechanisms were managed. All of 
these grievances were addressed in 
the year, 10 are pending resolution, 
due to the corresponding appeals, 
and 5 have been resolved. / G4-LA16
Continuing with the positive  
trend of previous years, there have 
been no cases of discrimination  
in the Company during 2016.  
OF THE 
WORKFORCE
IS COVERED  
UN THE 
AGREEMENT
98.8
%
COLLECTIVE
AGREEMENT
Continuing with the positive  
trend of previous years, in 
2016 there were no cases of 
discrimination in the Company  
and no corrective actions  
were required.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
129
07
EMPLOYEES
Corporate Responsibility Report 2016
physical work environment, health 
resources, psychosocial work 
environment and community 
involvement.
In 2016, the Red Eléctrica Healthy 
Workplace Manual was published, 
offering specific information on 
all aspects of the model through 
practical electronic format files 
accessible from anywhere.
The third psychosocial risk 
assessment was carried out. The 
study consisted of an anonymous 
questionnaire in which 76% 
of people from Red Eléctrica 
participated, (whose results 
Red Eléctrica's commitment to 
occupational health and safety 
and well-being, including the 
work-life balance, is a priority 
and one of the essential pillars 
of our value propositions for 
our employees. Red Eléctrica's 
healthy workplace model revolves 
around four main principles: 
Occupational health and safety 
Red Eléctrica-healthy workplace  / G4-DMA
PARTICIPATION
76
%
In the third 
psychosocial 
risk assessment
HEALTHY 
WORKPLACE
R E D  E L É C T R I C A  H E A L T H Y  W O R K P L A C E  M O D E L
P r i n c i p l e s
Psychosocial work 
environment
Implement work 
management organisation 
tools and resources that 
promote the physical and 
psychosocial well-being of 
employees.
Health resources
Provide the workforce  
with tools to improve 
their state of physical and 
mental health, contributing 
to their well-being and 
quality of life.
Community  
involvement
Actions carried out by the 
Company that can impact 
on the improvement of 
the health and well-
being of their employees’ 
families and the 
communities in which 
their facilities are located.
Physical work  
environment
Provide the necessary 
means to perform the 
tasks associated to the job 
under the best health and 
safety conditions.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
130
07
EMPLOYEES
Corporate Responsibility Report 2016
employees from the head offices 
of the Company. The level of 
participation was 78%.
The promotion of health
Red Eléctrica annually carries 
out several campaigns regarding 
the promotion of health and the 
prevention of health risks. In 2016, 
actions aimed at promoting physical 
activity and sport as a healthy life 
habit, and as an important driver 
of healthy values have enabled  
Red Eléctrica to position itself as  
a benchmark company in this field. 
The Company obtained the ‘Runner-
up position’ at the NAOS Awards 
('Strategy for Nutrition, Physical 
Activity and Prevention of Obesity'), 
an initiative of the Spanish Ministry 
of Health and Consumer Affairs. 
Said award recognises the efforts 
made by the  Company in this field, 
and particularly for the project 
conducted in collaboration with the 
University of Castilla-La Mancha, 
which has allowed the impact 
of physical exercise on certain 
health factors and especially on 
cardiovascular risk to be analysed.
Similarly, in 2016, other actions have 
been developed to promote sports 
practice such as financial aid for 
sport, sports days, sporting events 
with European TSOs, as well as other 
solidarity actions (Heart race, ‘Action 
against hunger’ charity run, football 
tournament for breast cancer 
research). All these initiatives will 
mark the steps that Red Eléctrica  
will follow in the coming years.
improve by 19% compared to the 
2011 evaluation), and a qualitative 
analysis through 12 stress 
management workshops in 11 
work centres in which 158 people 
participated. This work has allowed 
the design of a psychosocial 
risk prevention plan that will be 
deployed over the next three years.
The occupational health and safety 
survey was also carried out in which 
62.2% of employees participated. 
The level of satisfaction is 7.7 out 
of 10. The conclusions will also be 
translated into a specific action plan. 
In addition, during this year we 
have worked on the alignment 
of the policies of the companies 
of the Red Eléctrica Group in 
matters of occupational health and 
safety. Nationally, all the activities 
carried out have an equal impact 
on all companies in the Group. 
Internationally, an analysis and a 
diagnosis of the situation of Peruvian 
companies of the Group has been 
carried out, and an action plan has 
been designed to implement the 
healthy workplace model. Similarly, 
following the same methodology 
as in the holding company, the 
psychosocial risk assessment was 
carried out and monitored with the 
physical presence of specialised 
SCORE 
GIVEN BY
EMPLOYEES7.7
Participation  
of 62% of 
employees
OCCUPATIONAL
HEALTH & SAFETY
SURVEY
The Company obtained the ‘Runner-up 
position’ at the NAOS Awards of the Spanish 
Ministry of Health and Consumer Affairs 
regarding Strategy for Nutrition, Physical 
Activity and Prevention of Obesity.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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07
EMPLOYEES
Corporate Responsibility Report 2016
health, but will also enable them 
to extend their working life within 
the Company, by allowing them  
to work in roles that are best suited  
to their physical capabilities. To this 
end, in 2016, the action plan for 
age management (evolution of the 
approved model) has been launched, 
which addresses several cross-
cutting objectives in which all areas 
of human resources are involved.
The first step has been to carry  
out a study of the Work Ability Index 
according to the methodology of 
the Finnish Health Institute, in 
which 85% of the workers asked 
participated voluntarily. This study 
will support the proposed changes 
in work organisation, in a way that 
is aligned with the needs of the 
business, in work positions in which 
age has an impact.
Physical work  
environment 
A priority for Red Eléctrica is the 
reduction of work-related accidents 
and the application of the process 
for the continual and progressive 
improvement of the occupational 
health and safety levels of its 
employees and of those employees 
of suppliers who collaborate or  
work on Company premises and  
in facilities.
In that regard, Red Eléctrica has 
a strategy and a plan of action  
for the prevention of occupational 
health and safety risks that 
promotes best practices in the field 
during the execution of works and 
In parallel, the Healthy Nutrition 
Campaign was launched in 
collaboration with SEDCA (Spanish 
Society of Dietetics and Food 
Sciences), with collective actions 
such as workshops and talks, as 
well as individual actions, such as 
consultations regarding nutrition.
In addition and on an ongoing 
basis, Red Eléctrica carries out 
preventive monitoring of the health 
of its workers through an in-house 
medical service, responsible 
for monitoring employee health 
through periodic medical 
examinations. Due to the preventive 
measures applied, no incidence 
or risk of certain occupational or 
work-related diseases has been 
identified. / G4-LA7
Age management
Encompassed within the healthy 
workplace model, in 2015 the 
comprehensive model for the 
management of an ageing workforce 
was approved, which will not only try 
to guarantee that workers age within 
the Company in the best possible 
The Action Plan for age 
management addresses the 
adaptation of advanced age 
workers to work positions  
that are best suited for them  
depending on age and health.
FREQUENCY
RATE42
%
OCCUPATIONAL 
RISK
PREVENTION
Compared 
to 2015
SEVERITY
RATE25
%
Compared 
to 2015

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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07
EMPLOYEES
Corporate Responsibility Report 2016
In this regard, in 2016, 13,038 
occupational health and safety 
inspections were carried out in 
works in facilities, which involved 
1,785 corrective actions, of which 
96% were resolved.
The measures taken in the 
Occupational Health and Safety 
Improvement Action Plan, the 
increase in the control of work 
through internal inspections and 
audits, as well as the tightening 
of controls regarding compliance 
with Occupational Health and 
Safety measures carried out on 
all stakeholders, has allowed a 
significant improvement in accident 
rates for both our own staff and 
that of our suppliers.
In 2016, there was an improvement 
in the main accident indicators 
for both Company employees and 
contractors. Regarding 2015, the 
frequency and severity indexes 
were reduced by 46.2% and 25% 
respectively in Red Eléctrica. 
Similarly, in the contracted 
companies the frequency index  
was reduced by 20% and the 
severity index by 90%.
activities in its facilities. Among the 
actions included in the action plan 
are follow-up meetings and analysis 
of results to reinforce the behaviours 
followed during the execution of 
works.
Another milestone in the action 
plan is geared towards conducting 
internal audits by occupational  
risk prevention experts in 
conjunction with construction or 
maintenance experts of activities 
underway.
In terms of risk prevention, the 
continual monitoring of work and 
activities of greater risk through 
safety inspection programmes is 
key to achieving the high levels  
of safety required by Red Eléctrica. 
2012
2013
2014
2015
2016
0.27
0.12
0.14
0.12
0.09
Employee  
Accident  
Severity Rate / G4-LA6 
Target 2016: 0.57
/
Employee  
Accident  
Frequency Rate / G4-LA6
Target 2016: 3.82
/
2012
2013
2014
2015
2016
5.34
2.49
2.82
4.52
2.43
The accident 
indicators, for 
both Company  
staff and 
contractors
registered 
significant 
improvements
compared  
to previous 
years.
HAVE BEEN 
CONDUCTED
13,038
INSPECTIONS
Which have 
resulted in
1,785 corrective
actions
OCCUPATIONAL 
HEALTH AND SAFETY
INSPECTIONS
INTERNAL  
AUDITS
Included as part of  
the occupational health 
and safety action plan 
and are conducted 
by occupational risk 
prevention experts 
in conjunction with 
construction or 
maintenance experts.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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complements the actions in this 
matter usually carried out by the 
Company. Within the framework 
of this programme, in 2016, 
measurements have been taken  
in 40 facilities.
Training and  
awareness / G4-LA9
Red Eléctrica considers training 
and awareness in the field of 
occupational health and safety 
risk prevention essential to 
reduce accidents and to preserve 
the health and safety of all its 
personnel. During 2016, there 
were 7,161 hours of occupational 
health and safety training with 
1,238 attendees. Of these hours, 
1,361 were earmarked for specific 
training in electrical risk. 
The health and safety of people 
is integrated into the culture of 
the Company, and represents 
a managerial objective for Red 
Eléctrica’s management. In 2016, 
2.5% of the occupational health 
and safety training hours were 
for the management team, which 
represents an increase of 500% in 
relation to the previous year.
Consultation and 
participation / G4-LA5 / G4-LA8
Red Eléctrica de España has an 
Occupational Health and Safety 
Committee whose composition  
and functions are set out in Chapter 
7 of the 10th Collective Bargaining 
Agreement.
This Committee is composed 
of equal representation from 
management and employees 
set up for regular and periodic 
consultation regarding the 
Company’s actions on the prevention 
of occupational risks. The Committee 
consists of six representatives 
nominated by the Company and six 
prevention delegates chosen from 
representatives of the workers, 
representing 100% of the employees.  
In addition, the Company’s Risk 
Prevention Service experts take part 
in the meetings of this Committee. 
During 2016 other actions have 
been carried out, among which the 
following should be highlighted:
• Completion of identification of and 
signage for confined spaces. All 
information is collected in the PRER 
application available to users. 
• Improvement of the control of 
access to substations by means 
of the Kérberos system, in order 
to allow automated access only 
to personnel who have previously 
been authorised in PRER by 
technical personnel from Red 
Eléctrica who are responsible for 
the facilities.
• As a consequence of the entry 
into force of R.D. 299/2016 of 
22 July on the protection of the 
occupational health and safety of 
workers regarding risks related 
to exposure to electromagnetic 
fields, a specific programme has 
been established to respond 
to this requirement, which 
OF HEALTH  
& SAFETY  
TRAINING
7,161
HOURS
With the 
participation of  
1,238 attendees
participated
OCCUPATIONAL 
HEALTH 
AND SAFETY 
RISK PREVENTION
7,161
5,850
7,988
3,627
9,173
2016
2015
2014
2013
2012
Training hours 
in occupational 
health  
and safety
Nº
OCCUPATIONAL  
HEALTH AND SAFETY 
COMMITTEE
Committee composed of 
equal representation from 
management and employees 
for the regular and periodic 
consultation on actions 
regarding occupational  
risk prevention matters.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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EMPLOYEES
Corporate Responsibility Report 2016
occupational health and safety 
programmes and their results in 
addition to monitoring security 
equipment and materials. The 
minutes of these meetings are 
available to all employees in a 
specific section of the corporate 
intranet, ‘miRED’. Also, this 
Committee is made aware of the 
results of internal and external 
audits conducted and the 
improvement actions implemented.
On the other hand, to encourage 
employee participation, a specific 
community in this field has been 
created on the corporate intranet 
through which consultations and 
suggestions regarding occupational 
health and safety can be made and 
any doubts resolved.
Occupational health and  
safety in the supply chain  
/ EU18
All suppliers who work in the 
facilities and work centres of Red 
Eléctrica are approved and qualified 
in occupational health and safety 
and, in the case of carrying out 
activities with risk, these activities 
are managed by the supplier’s 
works supervisors who have been 
previously qualified by the Red 
Eléctrica prevention service. Red 
Eléctrica has certified more than 
2,000 works supervisors and more 
than 400 worksite managers. 
In addition, Red Eléctrica randomly 
requests, from its suppliers, proof of 
the health and safety training of its 
employees. It also requests proof of 
Meetings are held on a quarterly 
basis (in accordance with Law 
31/95 on the prevention of 
occupational risks), but also may be 
held as and when requested by any 
of the parties concerned. In 2016, 
four meetings were held fulfilling 
the foreseen objectives.
During these meetings, monitoring 
is carried out on the following: all 
occupational health and safety 
activities, the new applicable 
legislation, the review of processes 
and internal regulations, and the 
analysis and monitoring of the 
CERTIFIED
2,000
WORKS
SUPERVISORS 
AND
400
WORKSITE
MANAGERS
Occupational 
health and  
safety in the 
supply chain
Accident Severity 
Rate-Red Eléctrica's 
contractors 
/ G4-LA6 / EU-17
/
2012
2013
2014
2015
2016
0.64
0.89
0.61
3.08
0.31
Accident frequency 
rate-Red Eléctrica's 
contractors  
/ G4-LA6 / EU-17
/
2012
2013
2014
2015
2016
18.26
17.99
15.61
12.84
10.22
Consultations 
and suggestions 
regarding 
occupational
health and 
safety can be 
made and any 
doubts resolved 
on the corporate 
intranet.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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EMPLOYEES
Corporate Responsibility Report 2016
of suppliers that carry out 
critical functions, such as works 
supervisors and worksite managers. 
In the processes of certifying 
both, proof of their training and 
experience is requested.
training in occupational health and 
safety for any new incorporations 
into the supplier database in the 
corporate occupational health 
and safety application (PRER). In 
addition, it certifies the personnel 
ON 
NUTRITION
MORE THAN
350
ENQUIRIES
Reinforced through
healthy eating 
workshops
HEALTH
PROMOTION
Health promotion
• Dissemination of the Healthy Workplace 
Manual.
• Launch of the third psychosocial risk 
assessment. 
• Evaluation of the labour training index in 
professional groups with risks associated 
with ageing.
• Medical and nursing consultations (1,258), 
medical examinations (1,092). Annual 
influenza vaccination campaign (210).
• Health campaigns aimed at promoting 
healthy eating habits and physical 
exercise. 
• Research study of personalised physical 
exercise programmes and evaluation of 
their impact on cardiovascular health.
• Promotion of physical activity as a healthy 
habit. 42.4% of the workforce benefits 
from financial aid in 42 sports groups. 
Sports days and inter-company sporting 
events.
• More than 350 personalised nutritional 
consultations, reinforced with healthy 
eating workshops and a cooking workshop.
• Personalised treatment and monitoring to 
help quit smoking, in collaboration with 
the Carlos III Hospital.
• Colon cancer prevention campaign for the 
over 50s, and detection of prostate cancer 
markers for men over 50 years of age.
• Reduction of 6.6% in the absenteeism 
rates linked to common illnesses.
Occupational health and safety
• 7,161 hours of health and safety training, 
22.4% more than in 2015.
• Identification of and signage for more 
than 1,500 confined spaces by the end of 
2016.
• Measurement of electromagnetic fields  
in 40 substations.
• Creation of a specific community in  
occupational health and safety on the 
corporate intranet.
• Execution of 22 Internal Prevention audits 
of different activities in Red Eléctrica’s 
facilities.
• Reduction of accident frequency and 
severity rates, in REE employees and 
contractors.
Milestones in occupational health and safety 2016
• Implementation of the measures 
contained in the action plan to improve 
occupational health and safety, aimed 
at implementing best practices in the 
field. The plan consists of three courses 
of action: preventive culture, training 
and skills of the personnel performing 
the work, and operational control of the 
activity performed.
• Improve training and skill requirements 
for the agents involved in the execution 
of works and activities in facilities.
• Establish actions aimed at improving the 
control and monitoring of the activity 
as a key element of safety regulations. 
Among others: meetings with contractors 
based on their results in prevention, 
internal audits by prevention experts 
and construction and maintenance of 
different activities. 
• Develop communication plans linked to 
raising awareness regarding occupational 
health and safety for all stakeholders.
• Develop a system for the control of 
access to facilities (Kerberos) to increase 
the information available in the 
Company, regarding personnel who work 
on overhead lines. 
• Continuation of personalised physical 
activity and health plans. 
• Continuation of the Healthy Nutrition 
Campaign in different work centres.
• Campaigns for the prevention of sleep 
disorders.
• Implementation of programmes 
to support workers preparing for 
retirement.
Challenges 2017
In the ‘Employees’ sub-section of the 
‘Sustainability’ section of the corporate website.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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EMPLOYEES
Corporate Responsibility Report 2016
The more than 60 work-life balance 
measures, actions and initiatives 
implemented by Red Eléctrica, 
which apply equally to all staff, 
regardless of the type of contract, 
are one of the fundamental axes 
that make up the management 
model. The 10th Collective 
Bargaining Agreement also 
represents a clear advance in this 
field as it complements or broadens 
the scope of existing measures. 
With all of these measures, Red 
Eléctrica aims to provide tools 
that will improve the well-being 
and quality of life of its employees, 
increase people's commitment and 
their pride of belonging. 
All measures are detailed in the 
guide ‘The work-life balance a 
benefit for all’, published on the 
Company intranet, accessible to all 
employees. The guide is structured 
in seven generic sections: 
• Flexitime.
• Authorised leave.
• Parenthood.
• Disability/family dependents.
• Social Benefits/benefits in kind.
• Services.
• Events and activities.
The perception of how the actions 
integrated into the work-life 
balance model reach the different 
groups and their impact has been 
evidenced through the working 
groups that, during 2016, have held 
sessions in various work centres. 
These sessions complement the 
psychosocial risks evaluation 
mentioned at the beginning  
of this chapter. 
The work-life balance   
/ G4-LA2
The work-life balance management 
model, based on the EFR 
standards, has changed and 
matured over the six years it has 
been implemented, and represents 
one of the main areas of action of 
the healthy workplace model within 
its psychosocial environment. 
This environment includes the 
organisation of work, institutional 
culture and attitudes, values, 
beliefs and practices that are 
exhibited daily in the organisation 
and affect the psychological and 
physical well-being of people. 
The action plan, called the 
Comprehensive Work-life Balance 
Plan, which identifies the objectives 
and needs to be covered, for the 
2014-2017 horizon, is focused 
on the development of actions 
that allow us to come closer to 
excellence in the management  
of the work-life balance.
MORE THAN
ADOPTED60
MEASURES
COMPREHENSIVE  
PLAN FOR  
THE WORK-LIFE  
BALANCE
All measures adopted regarding the  
work-life balance are detailed in the guide 
‘The work-life balance a benefit for all’, 
published on the Company intranet.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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EMPLOYEES
Corporate Responsibility Report 2016
OF  
CONSULTATIONS 
RESOLVED WITH 
SOLUTIONS  
ADAPTED TO 
NEEDS
50
%
Beyond what is 
established
in the Collective 
Agreement
WORK-LIFE  
BALANCE  
INTERLOCUTOR
• Banks of Potential development 
programme: training and awareness-
raising for the management of people 
through work-life balance.
• Knowledge analysis and qualitative 
evaluation of the model in different work 
centres. 
• Continuity of work-life balance measures 
related to health and well-being. 
• Dissemination of the model for managing 
disability in the workplace and measures 
aimed at employees with disabilities and 
their families: Red Diversa.
• Family support activities and services: 
takeaway service (dishes included in the 
corporate dining menu), non-school days 
(activities with children of employees on 
working days), urban summer camps.
• New impetus from local work-life balance 
partners to study the needs of other 
workplaces and groups.
• Increased consultation through the role 
of the work-life balance interlocutor 
supporting the interpretation of measures 
and facilitating individual solutions to 
personal circumstances. In 2016, 50% of 
the consultations have been resolved with 
solutions adapted to the needs, beyond 
what is established in the Collective 
Bargaining Agreement. 
• Elaboration of a training video aimed  
at the entire workforce.
• ‘School for Parents’: theoretical-practical 
kitchen workshop working on aspects of 
healthy eating for children.
Milestones for the work-life balance in 2016
• Incorporation of the Work-life Balance 
Management training video into the 
AulaRed virtual classroom.
• Development of the 3rd Comprehensive 
Work-life Balance Plan.
• Launching of a new survey on the 
knowledge, use and satisfaction of 
existing work-life balance measures.
• Continuation of activities: group sporting 
activities subsidised by the Company, non-
school days and urban summer camps for 
children of employees, children's parties, 
children's painting contest, leisure and 
environmental activities for the family.
Challenges 2017
As part of the work-life  
balance actions carried out in 
2016, new impetus was  
given to local work-life balance 
partners to study the needs  
of other work centres  
and groups.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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138
07. EMPLEADOS
07
EMPLOYEES
Corporate Responsibility Report 2016
INDICATORS
	
	
	
2014	
	
	
2015	
	
	
2016
	
Men	
Women	
Total 	
Men	
Women	
Total	
Men	
Women	
Total
Workforce (Nº of people)	
1,298	
384	
1,682	
1,305	
392	
1,697	
1,284	
398	
1,682
Employees with permanent contract (Nº)	
1,289	
383	
1,672	
1,304	
392	
1,696	
1,282	
397	
1,679
Employees with temporary contract (Nº)	
9	
1	
10	
1	
0	
1	
2	
1	
3
Permanent contracts (%) 	
99.3	
99.7	
99.4	
99.9	
100.0	
99.9	
99.8	
99.7	
99.8
Part-time contracts (Nº) 	
0	
0	
0	
0	
0	
0	
0	
0	
0
Workers from temporary employment agencies (Nº) (2)	
6	
4	
10	
13	
15	
28	
6	
9	
15
Interns (Nº) (2)	
20	
35	
55	
31	
26	
57	
35	
32	
67
(1) (1)	Data for Red Eléctrica de España SAU + REC. Total workforce of the Red Eléctrica Group is 1,773 people. 
(2) (2)	These workers are not included in the workforce count as they are not employees of Red Eléctrica.
Note: Red Eléctrica has no self-employed workers that are legally recognised. 
WORKFORCE DISTRIBUTION BY TYPE OF EMPLOYMENT, CONTRACT, REGION AND GENDER Spain (1)
/ G4-10
Nº
	
2014	
2015	
2016
	
Men	
Women	
Total
Employees included in the Collective Bargaining Agreement (%)	
98.99 	
98.79	
98.78
Employees excluded from the Collective Bargaining Agreement (%) (2)	
1.01	
1.21	
1.22
(1) Data for Red Eléctrica de España SAU.
(2) Employees who voluntarily and reversibly accept the proposal of the management of the Company to be excluded from the agreement.  
The management team was not taken into account in the overall calculation and represents 6.98% of the total workforce.
EMPLOYEES COVERED BY THE COLLECTIVE BARGAINING AGREEMENT Spain (1)
/ G4-11
%

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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139
07. EMPLEADOS
07
EMPLOYEES
Corporate Responsibility Report 2016
	
2014	
2015	
2016
	
Nº of new 	
Recruitment	
Nº of new 	
Recruitment	
Nº of new 	
Recruitment
	
recruitment	
rate (%)	
recruitment	
rate (%)	
recruitment	
rate (%)
	
M	
W	
Total 	
M	
W	
Total	
M	
W	
Total 	
M	
W	
Total	
M	
W	
Total	
M	
W	
Total
Less than 30	
10	
1	
11	
23.3	
6.7	
19.0	
10	
6	
16	
32.3	
54.5	
38.1	
4	
3	
7	
16.0	
27.3	
43.3
30 to 50	
12	
7	
19	
1.4	
2.3	
1.6	
23	
11	
34	
2.7	
3.7	
2.9	
11	
15	
26	
1.3	
5.1	
6.4
Over 50 	
0	
0	
0	
0.0	
0.0	
0.0	
0	
0	
0	
0.0	
0.0	
0.0	
0	
0	
0	
0.0	
0.0	
0.0
Total recruitment	
22	
8	
30	
1.7	
2.1	
1.8	
33	
17	
50	
2.5	
4.3	
2.9	
15	
18	
33	
1.2	
4.5	
5.7
(1) Data for Red Eléctrica de España SAU + REC.
M: Men / W: Women.
NEW RECRUITMENT BY AGE AND GENDER Spain (1)
/ G4-LA1
/
	
	
2014	
	
	
2015	
	
2016
	
	
Number of	
Turnover	
Number of	
Turnover	
Number of	
Turnover
	
	
people leaving	
rate (%) 	
people leaving	
rate (%) 	
people leaving	
rate (%) )
	
M	
W 	
M	
W	
M	
W 	
M	
W	
M	
W	
M	
W
Less than 30	
0	
0	
0.0	
0.0	
0	
0	
0.0	
0.0	
0	
1	
0.0	
9.1
30 to 50	
3	
8	
0.3	
2.7	
11	
8	
1.2	
2.6	
7	
8	
0.8	
2.7
Over 50 	
7	
2	
1.9	
3.1	
15	
1	
4.0	
1.5	
29	
3	
7.0	
3.7
Total turnover 	
10	
10	
0.8	
2.6	
26	
9	
2.0	
2.3	
36	
12	
2.8	
3.1
(1) Data for Red Eléctrica de España SAU + REC.
Note: Average length of service of those leaving: 21.11 years.
M: Men / W: Women.
EMPLOYEE TURNOVER BY AGE AND GENDER Spain (1)
/ G4-LA1
/

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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07. EMPLEADOS
07
EMPLOYEES
Corporate Responsibility Report 2016
	
	
2014	
	
2015	
	
2016
	
Men	
Women	
Men	
Women	
Men	
Women
Employees with the right to M/P leave (Nº)	
76	
38	
80	
40	
69	
26
Employees who have taken M/P leave (Nº) 	
76	
38	
80	
40	
69	
26
Reincorporations at the end of M/P leave (Nº) (2)	
76	
33	
80	
36	
69	
23
Employees with M/P leave who remain on the workforce (%) (3)	
100	
95	
100	
90	
100	
89
(1)	Data for Red Eléctrica de España SAU + REC. Total workforce of Red Eléctrica Group 1,773 people.
(2)	The difference between the number of reincorporations of women in relation to those who have enjoyed leave is due to 3 authorised leaves due to child care.
(3)	Employees who return to work after M/P leave and continued at work in the twelve months after their reincorporation. Data as at year end.
(4)	In the columns with the heading 'Women', also includes men who have exercised their right to take this leave.
MATERNITY/PATERNITY LEAVE RATES (M/P) Spain (1) 
/ G4-LA3
Nº
(4)
(4)
OCCUPATIONAL HEALTH AND SAFETY INDICATORS Spain (1)
/ G4-LA6
/
	
	
	
2014	
	
	
2015	
	
	
2016
	
Men	
Women	
Total 	
Men	
Women	
Total	
Men	
Women	
Total
Average workforce (Nº) 	
1,291	
385	
1,676	
1,313	
391	
1,704	
1,306	
398	
1,704
Hours worked (thousands)	
2,182	
651	
2,832	
2,214	
659	
2,873	
2,207	
673	
2,880
Accidents with sick leave (serious/minor) (Nº) 	
0/7	
0/1	
0/8	
0/8	
0/5	
0/13	
0/7	
0/0	
0/7
Fatal accidents (Nº) 	
0	
0	
0	
0	
0	
0	
0	
0	
0
Days lost due to accidents (Nº) (2)	
348	
35	
393	
202	
146	
348	
255	
0	
255
Accident frequency rate 	
3.21	
1.54	
2.82	
3.61	
7.58	
4.52	
3.17	
0.00	
2.43
Accident severity rate 	
0.16	
0.05	
0.14	
0.09	
0.22	
0.12	
0.12	
0.00	
0.09
Incidence rate  	
5.42	
2.60	
4.77	
6.09	
12.79	
7.63	
5.36	
0.00	
4.11
Absenteeism rate due to common illness (3)(a)	
1.61	
2.64	
1.84	
1.80	
3.19	
2.10	
1.87	
2.34	
1.98
Absenteeism rate due to occupational illness (b)	
-	
-	
-	
1.89	
3.30	
2.20	
1.95	
2.35	
2.05
(1)	Data for Red Eléctrica de España + REC + REI + REINTEL + REINCAN.  
(2)	The calculation is based on 6,000 working days per fatal accident and 4,500 for total permanent incapacity.
(3)	The calculation formula was amended as of 2014. Therefore, the data for 2015 and 2016 is not comparable with previous years.
Serious accident: Those classified as serious by each doctor that issued the sick leave certificate. Frequency rate: The number of work-related accidents with leave of absence per million hours worked. Accident severity rate: The number of work days lost 
due to work-related accidents + incapacity scale, per thousand hours worked. Incidence rate: The number of accidents with sick leave x 1,000 / average workforce. Absenteeism rate: (a) From 2014 the calculation formula is: days absent due to common TI 
(temporary incapacity) > 3 days + days absent TI <3 days / average headcount x 365 x 100 and (b) As of 2015 it also incorporates the total absence due to occupational illness: days absent due to common TI > 3 days + days absent TI <3 days + days absent 
due to AT + EP / average headcount x 365 x 100.
Note 1: The data for accident and absenteeism rates is provisional. Note 2: Days off work AT (excluding commuting) men: 255 / women: 0 / Total 255.  
Note 3: The register and reporting of accidents is done based on Spanish law and as set out in the Red Eléctrica management system, certified according to OHSAS 18001.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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07. EMPLEADOS
07
EMPLOYEES
Corporate Responsibility Report 2016
AVERAGE HOURS OF TRAINING BY PROFESSIONAL GROUP AND GENDER Spain (1)
/ G4-LA9
Nº
	
	
	
2014	
	
	
2015	
	
	
2016
	
Men	
Women	
Total 	
Men	
Women	
Total	
Men	
Women	
Total
Management team 	
64	
77	
66	
112	
163	
122	
110	
120	
112
Experts (G1+G2+G3)	
60	
85	
64	
95	
130	
101	
83	
90	
84
Administrative personnel (G4)	
13	
23	
20	
30	
54	
48	
23	
36	
32
Total 	
76	
73	
74	
86	
114	
100	
83	
79	
82
(1) Data for Red Eléctrica de España + REC + REI + REINTEL + REINCAN.
PERCENTAGE OF EMPLOYEES WHOSE PERFORMANCE AND  
PROFESSIONAL DEVELOPMENT IS APPRAISED PERIODICALLY Spain (1) 
/ G4-LA11
%
	
	
2014	
	
2015	
	
2016
	
Men	
Women	
Men	
Women	
Men	
Women
Employees with a performance appraisal (%)	
100	
100	
100	
100	
100	
100
(1) Data for Red Eléctrica de España SAU + REC.
COMPOSITION OF THE CORPORATE GOVERNANCE BODIES BY AGE 
/ G4-LA12
%
	
	
	
2016
	
< Under 30	
30-50	
> Over 50
Board of Directors  (1)	
0	
27.3	
72.7
Audit Committee 	
0	
0	
100
Appointments and Remuneration Committee  (1)	
0	
50	
50
(1) The Board of Directors is composed of 12 members, although at the end of 2016 there was a vacancy following the resignation of the external independent member Agustín Conde Bajén 
on 29 November 2016. Therefore, the calculations used for this indicator have used the number of existing Board members (11) at the end of 2016 and on the existing members (4) of the 
Appointments and Remuneration Committee at the end of 2016.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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142
07. EMPLEADOS
07
EMPLOYEES
Corporate Responsibility Report 2016
	
2014	
2015	
2016
	
M	
W	
Total 	
% W	
M	
W	
Total 	
% W	
M	
W	
Total	
% W
Board of Directors (1)	
6	
5	
11	
45.5	
7	
5	
12	
41.7	
7	
4	
11	
36.4
Audit Committee 	
2	
2	
4	
50.0	
4	
1	
5	
20.0	
4	
1	
5	
20.0
Appointments and Remuneration Committee (2)	
1	
3	
4	
75.0	
0	
4	
4	
100.0	
1	
3	
4	
75.0
(1) The Board of Directors is composed of 12 members, although at the end of 2016 there was a vacancy following the resignation of the external independent member Agustín Conde Bajén  
on 29 November 2016. Therefore, the calculations used for this indicator have used the number of existing Board members (11) at the end of 2016.
(2) 	This committee is composed of 5 members, although at the end of 2016 there was a vacancy following the resignation of the external independent member Agustín Conde Bajén  
on 29 November 2016. Therefore, the calculations used for this indicator have used the number of existing Board members on this committee (4) at the end of 2016.
M: Men / W: Women.
COMPOSITION OF THE CORPORATE GOVERNANCE BODIES
/ G4-LA12
Nº
	
2014	
2015	
2016
	
< Under 30	
30-50 	
> Over 50	
< Under 30	
30-50 	
> Over 50	
< Under 30	
30-50 	
> Over 50
	
M	
W	
M	
W	
M	
W	
M	
W	
M	
W	
M	
W	
M	
W	
M	
W	
M	
W
Management team	
0.0	
0.0	
72.1	
27.9	
89.7	
10.3	
0.0	
0.0	
69.6	
30.4	
88.9	
11.1	
0.0	
0.0	
69.4	
30.6	
87.7	
12.3
Experts (G1, G2, G3)	
75.4	
24.6	
78.1	
21.9	
92.9	
7.1	
73.8	
26.2	
77.5	
22.5	
91.6	
8.4	
69.4	
30.6	
76.9	
23.1	
90.8	
9.2
Administrative personnel (G4)	
0.0	
0.0	
19.1	 80.9	
33.3	
66.7	
0.0	
0.0	
17.9	
82.1	
32.3	
67.7	
0.0	
0.0	
18.4	
81.6	
28.2	
71.8
Total	
75.4	
24.6	
74.4	 25.6	
85.1	
14.9	
73.8	
26.2	
74.2	
25.8	
83.5	
16.5	
69.4	
30.6	
74.0	
26.0	
82.0	
18.0
(1) Data for Red Eléctrica de España SAU + REC.
M: Men / W: Women.
WORKFORCE DISTRIBUTION BY AGE, GENDER AND PROFESSIONAL GROUP Spain (1)
/ G4-LA12
%

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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07. EMPLEADOS
07
EMPLOYEES
Corporate Responsibility Report 2016
RATIO OF BASE SALARIES  
OF MEN COMPARED TO WOMEN
(men/women) Spain (1)
/ G4-LA13
/
	
2014	
2015	
2016
Management team	
 1.02	
1.01	
1.03
Experts (G1, G2, G3)	
 0.94	
0.94	
0.94
Administrative personnel (G4)	
 0.98	
1.01	
1.01
Total	
 1.02	
1.02	
1.01
(1) Data for Red Eléctrica de España SAU + REC.
	
In the next 5 years 	
In the following 5 years 
	
2017-2021	
2022-2026
Management team 	
1.3	
1.1
Experts (G1, G2, G3)	
5.3	
7.8
Administrative personnel (G4)	
0.2	
2.2
Total 	
6.8	
11.1
(1) Data for Red Eléctrica de España SAU (workforce 1,675).
Note 1. Considering retirement age as a sole requirement and estimating this as 65 years of age.
Note 2. In the first period (2017-2021), employees considered are those whose age is equal to or greater than 65.
EMPLOYEES WITH THE POSSIBILITY  
OF RETIREMENT IN THE NEXT  
5 OR 10 YEARS Spain (1)
/ EU-15
%
	
	
	
2014	
	
	
2015	
	
	
2016
	
Men	
Women	
Total 	
Men	
Women	
Total	
Men	
Women	
Total
Under 30	
43	
15	
58	
31	
11	
42	
25	
11	
36 
30-50	
884	
304	
1,188	
860	
299	
1,159	
832	
293	
1,125 
Over 50	
371	
65	
436	
414	
82	
496	
427	
94	
521 
Total	
       1,298	
 384	
1,682	
1,305	
392	
1,697	
1,284	
398	
1,682  
(1) Data for Red Eléctrica de España SAU + REC.
TOTAL NUMBER OF EMPLOYEES BROKEN DOWN BY AGE, GENDER AND REGION Spain (1)
/ G4-LA12
Nº

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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07. EMPLEADOS
07
EMPLOYEES
Corporate Responsibility Report 2016
	
2014	
2015	
2016
Average workforce (1)	
3,336	
2,950	
2,666
Hours worked (thousands)	
5,637	
4,986	
4,502
Accidents with sick leave (serious/minor) 	
4/88	
11/51	
0/46
Fatal accidents 	
0	
2	
0
Days lost due to accidents (2)	
3,437	
15,347	
1,402
Accident frequency rate 	
15.61	
12.84	
10.22
Accident severity rate 	
0.61	
3.08	
0.31
Incidence rate	
27.57	
21.69	
17.26
(1)	Based on hours worked, considering 1,690 hours per worker.
(2)	Calculation based on 6,000 working days per fatal accident and 4,500 for total permanent incapacity.
Serious accident: Those classified as serious by each doctor that issued the sick leave certificate. Frequency rate: The number of work-related accidents with leave  
of absence per million hours worked. Accident severity rate: The number of work days lost due to work-related accidents + incapacity scale, per thousand hours worked. 
Incidence rate: The number of accidents with sick leave x 1,000 / average workforce.
Note 1: Data regarding 2016 is provisional. Note 2: Regarding G4-10, no data is available broken down by type of work contract and regulatory regime.
OCCUPATIONAL HEALTH AND SAFETY INDICATORS REE contractors (1)
/ EU17 / G4-10 / G4-LA6
/

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
08
SOCIETY
 
S O C I E T Y
C o n n e c t e d 
t o  t h e 
c o m m i t m e n t 
T O  t h e  c r e a t i o n  
o f  s h a r e d  v a l u e
08

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
08
SOCIETY
Corporate Responsibility Report 2016
COMMUNITY
TIES
Development of relationships based  
on trust and ongoing dialogue  
to facilitate the implementation of projects  
in the territory.
68% of agreements reached   
with landowners are amicable
SOCIAL 
COMMITMENT
Undertaking projects and initiatives of  
a social, cultural, environmental, educational 
and corporate volunteering nature.
Over 250 social actions 
geared towards development  
of the communities
INVESTMENT IN  
THE COMMUNITY
Social contribution aimed at improving  
the well-being and progress of  
the communities in which the Company’s 
facilities are located.
€6.4 million  
contributed to society 
TAX 
TRANSPARENCY
Tax information transparency and tax 
contribution through the payment of taxes 
in the different countries in which the Red 
Eléctrica Group operates.
€681 million  
Total Tax Contribution
COR NE R STONE S  OF THE 
R E L AT I ONS H I P W I T H  SOC IETY
D i a l o g u e ,  c o l l a b o r a t i o n  
a n d  c r e a t i o n  o f  
s h a r e d  v a l u e
COLLABORATION WITH
LOCAL  
ADMINISTRATIONS
AGREEMENTS
COLLABORATION35
With Autonomous Communities  
and Local Councils

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
08
SOCIETY
Corporate Responsibility Report 2016
of various challenges such as 
those related to the United Nations 
Sustainable Development Goals,  
or those addressed in the European 
energy strategy 2020.
The creation of shared value in 
Red Eléctrica occurs both in the 
way it operates the electricity 
system (guaranteeing an 
efficient, secure and sustainable 
electricity supply to citizens and 
companies), as well as in the 
development and maintenance of 
transmission grid infrastructure. 
This activity generates a scenario 
of opportunities for the creation 
of shared value throughout 
the life cycle of the electricity 
infrastructure.
Additionally, the work of Red 
Eléctrica as transmission agent 
favours system operation and 
especially allows the integration 
of renewable energies to be 
maximised, through its Control 
Centre of Renewable Energies 
(CECRE), which in turn, makes 
it possible for the energy model 
to respond to society’s ongoing 
demand for it to be ever-more 
sustainable.
To achieve these objectives, 
the Company manages the 
transmission grid under the 
principles of neutrality and 
efficiency. It also manages grid 
access requests from the different 
agents that are involved in the 
electricity system under the same 
criteria, something that in itself 
is a process for the creation  
of shared value with society. 
Global vision in the  
creation of shared value
Red Eléctrica orients its 
commitment to the socio-
environmental setting towards 
the creation of shared value with 
society, promoting actions and 
investments aligned with its 
business objectives that, while 
generating value for the Company, 
positively impact on society and 
on the territory and its inhabitants. 
In turn, this is a contribution of 
the Company to the achievement 
Our commitment 
to society
BY DRIVING  
PROJECTS
WITH  
SOCIETY
that favour 
progress in the 
territories
SHARED 
VALUE
Red Eléctrica is committed  
to the creation of shared value  
as the guiding principle of its 
business activity.
SOCIAL 
COMMITMENT
The activity 
generated by the 
Company represents 
a scenario of 
opportunities for 
the creation of 
value throughout 
the life cycle of the 
infrastructure.

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
08
SOCIETY
Corporate Responsibility Report 2016
commitment and pursue the goal 
of contributing to the development 
of the communities in which its 
facilities are located.
Ties with the community 
/ G4-DMA / G4-SO1
Red Eléctrica carries out a program 
of actions that promotes institutional 
and social relations, seeking 
collaboration agreements in a 
transparent manner, disseminating 
information on the functioning of 
the electricity system and driving 
participation in projects and 
initiatives that promote social well-
being and progress in the territory.
In this regard, the Company 
promotes and maintains an 
ongoing relationship with the local 
communities in which its facilities 
are located, not only during the 
process of construction of new 
facilities but also throughout the 
entire life cycle of the facilities.  
Therefore, it has an organisational 
structure distributed nationwide 
that facilitates institutional 
communication and collaboration 
with government administrations 
and also public and private 
institutions. This open and 
participatory strategy aims 
to establish relationships based  
on trust and collaboration that: 
• Integrate the presence of 
the Company in the social, 
environmental and institutional 
fabric of the territories where the 
projects are implemented, through 
collaboration agreements.
• Explain and disseminate the  
need for the projects and provide 
an adequate level of response to 
the demand for information from 
communities where its facilities 
are located.
Respect for society, both 
environmental and social, is a 
basic principle of action for Red 
Eléctrica and is present throughout 
the development process for new 
infrastructure. On the one hand, 
seeking solutions that generate 
the least environmental impact 
and, on the other, promoting the 
participation of society in the 
process through consensus and 
ongoing collaboration. In this 
manner, the needs of society are 
resolved through in a consensual 
manner and, at the same time, the 
facilities respond to the needs of 
the electricity system. 
Finally, Red Eléctrica accompanies 
its projects in the territory with 
collaboration programmes that 
reflect the Company’s social 
In the development of new 
infrastructure, in addition to seeking 
the minimum environmental 
impact possible, REE promotes 
the participation of society in the 
implementation process.
SOCIAL  
COLLABORATION 
PROGRAMMES
RED ELÉCTRICA 
ACCOMPANIES  
ITS INVESTMENT 
PROJECTS WITH 
ACTIONS 
THAT CONTRIBUTE 
TO THE 
DEVELOPMENT OF  
THE COMMUNITIES

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
08
SOCIETY
Corporate Responsibility Report 2016
well as to promote dialogue that 
facilitates the carrying out of 
projects in a sustainable manner 
and with social acceptance. Thanks 
to this ongoing dialogue and the 
collaboration on projects for local 
development, Red Eléctrica has 
managed to sign collaboration 
agreements with 47% of the local 
councils affected by the facilities 
brought into service in 2016. 
Furthermore, noteworthy is the 
fact that amicable agreements 
were reached with 68% of the 
landowners affected by projects 
whose permitting process was 
completed in 2016.
• Maintain informative transparency  
and facilitate the maximum public 
participation.
• Balance the general interests of 
the territorial scope with the needs 
of the project to obtain social 
acceptance.
• Promote the maximum 
institutional and social consensus 
in the implementation of 
investment projects.
In 2016, noteworthy was the 
signing of 35 collaboration 
agreements with Autonomous 
Communities and local councils 
for carrying out projects aimed 
mainly at socio-economic, 
environmental, educational and 
cultural development. 
In the case of local councils, and 
in relation to the construction of 
new infrastructure, the Company 
fosters close-knit ties with 
communities to inform on the 
need for facilities and their role 
within the transmission grid, as 
Red Eléctrica accompanies 
its projects in the territory 
with collaboration projects 
that evidence its social 
commitment.
In 2015, Red Eléctrica designed a Social 
Responsibility Plan aimed at the 22 local 
councils in the municipalities of Teruel 
and Castellón which are crossed by the 
Mezquita-Morella and Mudéjar-Morella 
electricity lines.
This programme, which now has  
2 more local councils that were  
pending agreement, has represented  
an investment in the territory of 319,680 
euros for the carrying out of initiatives of  
a social, cultural and environmental nature.
In addition, in order to showcase the 
artistic, cultural and environmental wealth 
of the area, Red Eléctrica has published 
the book ‘Cuadernos de viaje. Por tierras 
de Teruel y Castellón', whose main theme 
is a tour of the 22 municipalities through 
which the infrastructures run, thus 
helping to strengthen the identity of 
these cities and towns.
Social Responsibility Plan associated  
with the Mezquita-Morella line
Associated to the 
Mezquita-Morella 
and the  
Mudéjar-Morella 
electricity lines
319,680 euros 
investment  
SOCIAL  
RESPONSIBILITY
PLAN
ALL
MUNICIPALITIES 
OF TERUEL AND 
CASTELLÓN

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
08
SOCIETY
Corporate Responsibility Report 2016
Investment in  
the community 
In the framework of the strategy 
of business development, Red 
Eléctrica provides and promotes 
social action as an essential 
element of its corporate 
responsibility policy, which is 
carried out through defined 
actions in collaboration with 
different institutions and public 
and private entities to respond  
to the demands for collaboration 
put forth by stakeholders. 
In 2016, the Company contributed 
6.4 million euros (1.09% of net 
profit) to the development or 
promotion of social initiatives;  
an amount obtained by applying 
the methodology of the LBG 
(London Benchmarking Group).
Social commitment 
Red Eléctrica’s social programme 
includes actions mainly aimed at 
the socio-economic development 
of the territory; conservation, 
protection and enhancement 
of the natural heritage of the 
municipalities; and disseminating 
knowledge of the electricity system.
In the field of socio-economic 
development of the territory, in 
2016, Red Eléctrica promoted and 
collaborated on over 250 initiatives, 
among which noteworthy are 
the projects for the construction 
or improvement of municipal 
infrastructure, collaboration on 
projects of social relevance with an 
impact on tourism, enhancement 
of the cultural wealth of the 
territories and projects for the 
restoration of emblematic 
buildings, among others.
T Y P E  O F  
C O N T R I B U T I O N
R E AS O N S  
F O R  AC T I O N
A R E A  
O F  AC T I O N
CONTRIBUTION 2016
% 6.4
m€
SOCIAL 
CONTRIBUTION 
2016 
EARMARKED FOR 
THE DEVELOPMENT 
OF SOCIAL 
INITIATIVES
Red Eléctrica, in collaboration with  
the Helsinki Foundation, has launched 
the ‘Jóvenes para Jóvenes’ Project 
(Youth for Youth). A pioneering initiative 
in the Canary Islands, through which 
about 30 university students will  
receive specific training in human  
rights education and the promotion  
of a future sustainable energy model. 
They will then go to educational centres 
to promote the respect and knowledge 
of these subjects among some 450 
secondary school students who are 
13-16 years of age.
‘Jóvenes para Jóvenes’ 
Project
	 Monetary	
75%
	 Time	
16%
	 Management  
	
costs	
9%
	 Social investment 	
52%
	 Initiative  
	
aligned with   
	
the business	
48%
	 Socio-economic  
	
development	
41%
	 Environment	
19%
	 Art and culture 	
5%
	 Social well-being 	
8%
	 Other	
2%
	 Education	
25%
59%
With an impact on 
the SDGs

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151
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
08
SOCIETY
Corporate Responsibility Report 2016
with universities and educational 
institutions, and collaboration 
for the delivery of workshops 
and lectures at universities, in 
which Red Eléctrica participates 
in disseminating information on 
issues related to grid management 
and electricity systems. 
In relation to the environmental 
actions, noteworthy is the ‘Red 
Eléctrica Forest’ project, an 
initiative that contributes to the 
fight against climate change 
through the planting of trees. 
This project, along with other 
environmental actions and 
In the field of knowledge 
dissemination, Red Eléctrica,  
as the sole transmission agent  
and operator of the Spanish 
electricity system, plays an active 
role in publicising how the  
Spanish electricity system works 
as a whole, as we are aware that 
a more informed society is better 
able to develop and maintain 
a sustainable energy model that 
effectively meets the energy  
needs of citizens.
Red Eléctrica also pays special 
attention to higher education 
and training in the area of energy 
and the environment. During 
2016, of note was the support 
for the training of 1,047 students 
in masters or specialisation 
courses of more than 28 schools 
and colleges through 49 visits to 
Company facilities. Also noteworthy 
are the 8 agreements signed 
The objective of the exhibition ‘A highway 
behind the wall socket’ is to explain 
the electricity supply process, from 
generation to consumption, showcasing 
the Company’s activities as TSO of 
the Spanish electricity system, and to 
raise public awareness about the need 
for an efficient and responsible energy 
consumption. And at the same time, the 
exhibition serves as a communication 
vehicle to enhance the understanding, 
by the public, of the need to develop 
electricity infrastructure, thereby 
facilitating its implementation in the 
territory. In this regard, in 2014 the 
exhibition was chosen by the Directorate 
General for Energy of the European 
Commission as one of the five best 
practices of the European TSOs to 
facilitate social acceptance of projects. 
During 2016, the exhibition was moved 
to Palma de Majorca after having been 
on show for more than one year at the 
Science and Technology Museum of 
Tarrasa, where it received 86,400 visits. 
This exhibition, which started its journey 
in 2010, has visited seven other Spanish 
cities receiving more than 365,000 
visitors.
‘A highway behind the wall socket’ exhibition 
During 2016, 151 visits were 
organised to the electricity 
control centres and to various 
infrastructure facilities of the 
transmission grid.
REE 
FOREST
Initiative that 
contributes to 
the fight against 
climate change 
through the 
planting of trees.
Of Master 
courses from 
more than 28 
schools and 
universities
TRAINING 
SUPPORT
THROUGH 
VISITS TO 
FACILITIES  
FOR
1,047
STUDENTS

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
08
SOCIETY
Corporate Responsibility Report 2016
nationwide, bringing the total 
number of visitors to Company 
facilities and control centres  
to 1,813.   
Similarly, the Company continues 
to contribute to the training of 
National Security Forces, as well as 
for the fire departments. In 2016, 
training sessions were organised 
in 9 provinces of six Autonomous 
Communities with the participation 
of 802 attendees. In total, more 
than 3,000 people have been 
trained as part of this programme 
since it was launched in 2012.
Corporate volunteering 
The promotion of volunteering 
is another of the cornerstones 
for action of the Corporate 
Responsibility Plan of the 
Company. In this regards, aware 
of the needs of our environment, 
several voluntary actions are carried 
out each year with the supportive 
participation of employees. To this 
end, EnREDando, the corporate 
volunteering group of Red Eléctrica, 
continued its vocation in 2016 to 
support social actions aimed at 
promoting and supporting the most 
disadvantaged groups, channelling 
their concerns and offering 
solidarity activities aligned with 
the objectives of the corporative 
volunteering programme:
• Contribute to improving the 
socio-environmental reality and 
the general interest of society 
in the local environment in which 
the Company is present, as well 
as responding to emergency 
situations.
projects in which the Company also 
collaborates, is discussed in more 
detail in the environmental chapter 
of this report.
Additionally, during 2016, 96 
institutional visits were organised 
to the CECOEL and CECRE electricity 
control centres, 6 to the control 
centres in the islands, and 49 
visits were arranged to different 
transmission grid facilities 
During 2016, in collaboration with the 
regional administrations, a plan was   
designed and implemented to 
disseminate the digital educational game 
‘entreREDes’ and to develop initiatives 
around it that facilitate knowledge 
regarding the electricity system among 
the students of secondary education. 
The game, designed by Red Eléctrica in 
collaboration with the Spanish Committee 
of the International Year of Light, the 
Sociedad Española de Óptica and the 
Spanish Illumination Committee, is aimed 
at 13-16 year-olds. They learn how the 
Spanish electricity system works while 
reviewing in a fun and dynamic way the 
contents of the Mathematics, Physics  
and Chemistry, Language and Literature, 
and Geography and History curriculum.
About 825 young people have 
participated in the competitions 
organised within the framework of the 
Forum of Young Talents of Catalonia,  
the Science Fair of Seville and the Science 
Week in Murcia.
REE in the classroom 
More than 3,000 members of  
National Security Forces have received 
specific training regarding electricity 
facilities since the programme was  
rolled out in 2012.
Visited the 
Company's 
facilities and its 
control centres
VISITS TO 
FACILITIES
2016
IN TOTAL
1,813
PEOPLE

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153
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
08
SOCIETY
Corporate Responsibility Report 2016
especially with NGOs and the 
communities in which the 
Company’s facilities are located.
• Become a vehicle that supports 
the development of people's 
talent and the enhancement of 
corporate values.
• Strengthen ties and dialogue 
with the Company's stakeholders, 
‘Companies’ Solidarity  
Day’ (DSE)
Red Eléctrica participated for the fourth 
consecutive year in the Solidarity Day 
of Companies. This initiative aims 
to promote and facilitate the social 
participation of companies through 
corporate volunteering as a powerful tool 
for social transformation. In this tenth 
edition of the DSE, volunteers of the 
Company dedicated one day to different 
groups of people at risk of social exclusion. 
In this regard, employees from the Madrid 
head offices shared breakfasts with 
people who have no resources and/or  
are homeless. Additionally, volunteers 
from the Seville office helped in a social 
soup kitchen.
Charity races
EnREDando has continued supporting 
several NGOs through sport activities and 
more specifically with the participation 
in charity races to raise funds for 
various causes, such as the Challenge 
Interempresas or the Popular Heart Race.
In the case of the Intercompany Challenge 
for Action against Hunger, Red Eléctrica 
employees ran in Madrid, Barcelona and 
Bilbao to fight child malnutrition.
The kilometres covered by Company 
volunteers translated into a total of 3,825 
days of therapeutic nutritional treatment 
received by children from disadvantaged 
populations. All the kilometres covered by 
the volunteer runners was converted into 
an economic amount that was donated  
to the Fundación Menudos Corazones.
'A Smile for Christmas'  
Campaign
Red Eléctrica has participated in the 
campaign of collecting toys ‘A Smile for 
Christmas’, that Cooperación Internacional 
carries out every year. This solidarity 
initiative aims to send a Christmas gift 
to thousands of children in situations 
of vulnerability throughout Spain. The 
generous response of the employees 
contributed to beat a record number 
which raised many smiles nationwide 
through the collaboration of social 
entities.
Main volunteering actions in 2016
CORPORATE 
VOLUNTEERING
MAIN
OBJECTIVE
And give response 
to emergency 
situations 
IMPROVE THE 
SOCIAL REALITY 
OF THE LOCAL 
ENVIRONMENT
EnREDando
Corporate volunteering 
group set up in 2005  
to respond to the needs, 
problems and social 
and environmental 
interests through 
the collaboration of 
employees in solidarity 
actions.
The promotion 
of employee 
volunteering 
through 
participation 
in solidarity 
activities is 
one of the 
cornerstones 
for action of 
the Corporate 
Responsibility 
Plan.

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154
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
08
SOCIETY
Corporate Responsibility Report 2016
challenges of the electricity 
system, corporate responsibility, 
social investment, innovation 
and technological development, 
among other things. Among them, 
noteworthy is its involvement  
in ENTSO-E, the Association 
of European TSOs.
Red Eléctrica is part of various 
organisations and entities with 
whom it exchanges knowledge 
and experience regarding the 
Participation in 
organisations and associations  / G4-16 
This association has continued in  
2016 with the work of developing 
network codes (Network Codes / Guide 
Lines), highlighting the coming into force 
of the codes related to the connection 
to networks (‘Requirements for 
Generators’, ‘Demand Connection’  
and 'HVDC') and the so-called 'Forwards 
Capacity Allocation'. In addition, the 
Guideline Transmission System Operation 
and the ‘Emergency and Restoration’ 
code have passed the committee 
stage and are pending scrutiny by the 
European Parliament and Council. Only 
the Electricity Balancing code is pending 
approval by the member states.
An important step in transparency  
is represented by the setting up of the 
Independent Advisory Council, a council 
that is created with the intention of 
better gathering the opinions of the 
interest groups. This council is made 
up of personalities from consumer 
associations, environmental NGOs, 
smart grids, market agents, the European 
Union and equipment manufacturers.
The Ten-Year Network Development Plan 
2016 (TYNDP 2016) has been completed 
and the work of TYNDP 2018 has begun 
with the collection of information and 
arguments that will justify the 2030  
and 2040 scenarios.
On the other hand, at the annual 
ENTSO-E conference ‘The Energy Union 
for You’, the visions, opinions and reality 
of the implementation of market design 
and the future of smart cities were 
compared, as well as the challenge of 
the implementation of infrastructures, 
regional collaboration and the answer  
to the question of what is the benefit 
of all this for the consumer.
ENTSO-E (European Network of Transmission  
System Operators for Electricity)
ENTSO-E
ASSOCIATION  
OF THE 
EUROPEAN  
TSOs
Facilitates the 
exchange of 
knowledge and 
experiences 
regarding the 
challenges of the 
electricity system
PARTICIPATION 
IN ORGANISATIONS

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155
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
08
SOCIETY
Corporate Responsibility Report 2016
In the ‘Sustainability’ section of the corporate website.
ENTSO-E (European Network  
of Transmission System Operators  
for Electricity)
Association that groups together the 
transmission agents and operators  
of electricity systems in Europe (TSOs), 
constituted according to the mandate  
of regulation EC 714/2009.
CIGRE (International Council  
on Large Electric Systems)
Organisation which groups together 
electricity companies, manufacturers of 
capital equipment and goods, engineering 
companies, universities and research 
centres from around the world with the aim 
of exchanging technical knowledge. Red 
Eléctrica holds the position of President  
and Secretary of the Spanish Committee 
and is also a member of the following 
research committees: High Voltage 
Equipment, Overhead Power Lines, HVDC 
and Power Electronics, Development and 
Economics of Power Systems, System 
Operation and Control, and Information 
Systems and Telecommunications. In 
2016, during the session held in Paris, 
Red Eléctrica collaborated in 13 of the 
28 articles presented by the National 
Committee of Spain. 
RGI (Renewable Grid Initiative)
Association of European TSOs and NGOs 
that promotes a network of efficient, 
sustainable, clean and socially acceptable 
European electricity infrastructure 
capable of integrating generation from 
decentralised renewable resources and  
on a large-scale.
GO 15 (Reliable and  
Sustainable Power Grids)
An international initiative which groups 
together the 19 largest Power Grid 
Operators in the world. In 2016, the 
National Energy Control Centre (CENACE)  
of Mexico was incorporated.
Med-TSO (Association of the TSOs  
of the Mediterranean basin) 
This association of the TSOs of the 
Mediterranean basin whose objective 
is to coordinate development plans as 
well as the operation of electricity grids 
in the countries of this region. During 
2016, the technical regulation for the 
regional market start-up was analysed, 
as well as the definition of the planning 
methodology, in order to respond to the 
commitments acquired with the EC within 
the "Mediterranean Project".
EASE (European association  
for the storage of energy)
European association that promotes 
energy storage as an essential tool to 
improve flexibility and provide services 
for the energy system with full respect 
to the EU’s climate and energy policies.
CORESO (COoRdination of Electricity 
System Operators) coordinating body  
for regional security. 
Organism whose main objective is to 
promote coordination between European 
operators to guarantee security of supply 
in electricity systems. This body has the 
functions of coordinating the programming 
of the operation in the systems of Western 
Europe, the analysis of the coverage of 
the region in the short and medium 
term; as well as the coordination of the 
calculation of the exchange capacity and 
the non-availabilities that can condition 
said capacity, for which it must build 
common network models based on the 
models supplied by each of the TSO 
members. 
European Foundation  
for Quality Management 
Non-profit foundation that defines  
a model of Quality and Excellence 
as a way for self-evaluation and 
determination of the processes of 
continuous improvement in private  
and public business environments.
International Corporate  
Governance Network
Investor-led organisation whose  
mission is to promote effective 
standards of corporate governance 
and investor management to advance 
in efficient markets and sustainable 
economies around the world, guided  
by the Global Governance Principles 
and the Global Principles of Global 
Accountability of ICGN.
International organisations
RED ELÉCTRICA 
COLLABORATED ON
13
ARTICLES
Of the 28 
presented by 
the National 
Committee  
of Spain
PARTICIPATION  
IN CIGRE
2016

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156
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
08
SOCIETY
Corporate Responsibility Report 2016
In the ‘Sustainability’ section 
of the corporate website.
Asociación Española para la Calidad 
[Spanish Association for Quality]
Association focused on raising awareness, 
training, qualification and certification  
of professionals of Spanish organisations, 
thereby promoting the culture of quality, 
sustainable management, brand value in 
services, knowledge management and other 
processes of social interest.
Asociación Española de Normalización 
y Certificación [Spanish Association for 
Standardisation and Certification]
Private entity whose activity contributes 
to improve the quality and competitiveness 
of companies, their products and services, 
through the development of technical 
standards and certifications.
Casa de América 
Entity for the execution of a variety  
of activities that contribute to closing 
the ties between Spain and the continent  
of America, especially with Latin America.
Club Excelencia en Gestión e Innovación 
[Excellence in Management and 
Innovation Club]
Non-profit business association  
to enhance the global competitiveness  
of organisations and professionals, through 
the values of excellence, providing its 
partners with an infrastructure to share 
knowledge, develop competencies and give 
visibility to their levels of excellence.
Club de Excelencia en Sostenibilidad 
[Sustainability Excellence Club]
Non-profit business association that seeks 
to promote sustainability by sharing and 
disseminating good practices.
Emisores españoles  
[Spanish Stock Issuers]
Association representing more than  
70% of the Spanish stock market and 75% 
of the IBEX 35 index for the promotion of 
measures that reinforce legal certainty in 
the issue of listed securities, participation 
in the development of a better national 
and European legal framework and the 
contribution to the development of high 
standards of corporate governance.
Forética
Association of companies and professionals 
of corporate social responsibility/
sustainability whose mission is to promote 
the integration of social, environmental and 
good governance aspects in the strategy 
and management of companies and 
organisations.
Foro de Integridad de Transparency 
International España [Integrity  
Forum of Transparency]
Reflection platform facilitated by 
Transparency International España for the 
improvement of compliance and ethical 
management in Spanish companies, which 
is structured through different working 
groups and periodic thematic sessions on 
business ethics.
Fundación Biodiversidad  
[Biodiversity Foundation]   
(promoted by the Ministry of Agriculture, 
Fisheries, Food and Environment)
That is formed by companies committed  
to sustainable development. Its objective is 
to position itself as a leader in responsible 
and innovative business management, 
committed to the integration of biodiversity 
conservation into its policies and strategies.
Fundación Chile-España 
[Chile-Spain Foundation]
Entity whose main objective is to increase 
the cultural, social, economic and artistic 
exchange between Chile and Spain. Red 
Eléctrica is part of the Board of Trustees. 
Fundación Energías sin Fronteras  
[Energy Without Borders Foundation]
Spanish foundation, whose mission is to 
extend and facilitate access to energy and 
drinkable water services, in a continuous 
fashion, to those who still do not have 
them or who receive them in non-suitable 
conditions.
Fundación Lealtad  
[Lealtad Foundation]
A pioneering non-profit organisation in 
Spain whose mission is to promote Spanish 
society’s confidence in NGOs. 
Fundación Perú-España  
[Peru-Spain Foundation]
Foundation whose main job is to drive 
and develop activities that promote the 
image and presence of Peru in Spain,  
in the economic, business, cultural and 
artistic, social, scientific and educational 
fields; as well as to strengthen the links 
between institutions and people of both 
countries. Red Eléctrica is part of the  
Board of Trustees. 
Fundación Seres [Seres Foundation]
Foundation whose mission is to promote 
the commitment of companies to the 
development of society. Red Eléctrica  
is part of the Board of Trustees.
National organisations
Fundación Víctimas del Terrorismo 
[Victims of Terrorism Foundation]
Entity whose objective is to promote 
democratic values, the defence of human 
rights and the freedom of citizens.
Fundación Voluntare 
[Voluntare Foundation]
A global corporate volunteering network that 
connects businesses with organisations in 
the third sector.
London Benchmarking Group (LBG)
Organisation made up of companies 
committed to promoting social action 
in business, using an internationally 
accepted methodology for the comparative 
assessment and measurement of 
commitment to society.
Real Instituto Elcano  
[Elcano Royal Institute]
Entity whose main task is to conduct 
international and strategic studies looking 
at the world from a Spanish, European and 
global perspective. Red Eléctrica is part  
of the Board of Trustees.
Red Española del Pacto Mundial 
[Spanish Network of the Global Compact]
Entity for the promotion of the 
implementation of the 10 Principles of the 
Global Compact. Red Eléctrica is a founding 
member of the Spanish Network of the 
Global Compact.

www.ree.es
157
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
08
SOCIETY
Corporate Responsibility Report 2016
greater transparency, the Company 
publishes its Total Tax Contribution, 
in order to highlight the economic 
and social function derived from the 
Group’s tax payments.
The tax strategy of Red Eléctrica 
Group, approved by the Board  
of Directors(1), is based on three 
core values: transparency, good 
governance and accountability.
Continuing with the good practice 
started in 2014, and with the aim 
to voluntarily offer tax information 
to the different stakeholders, with 
Tax  
transparency
Manage the tax affairs in a manner 
that is proactive, responsible with all 
stakeholders and which is transparent, 
in order to comply with tax laws and 
minimise reputational risk, making  
it compatible with protecting the  
share price.
The vision of  
the tax strategy
K E Y  D A T A  2 0 1 6
Total tax 
contribution
681m€
of value generated 
earmarked for tax 
payments 
44%
tax  
contribution 
compared  
to revenue 
35%
of the  
total tax  
contribution  
made in Spain 
98%
tax payments 
in the 
2013-2016 
period 
More than 
2,545m€
For taxes borne 
and collected in 
2016.
TAX 
CONTRIBUTION
681
m€
2013-2016  
PERIOD
More than  
2,545 million euros  
in tax payments.
(1) In session held on 30 June 2015.

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158
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
08
SOCIETY
Corporate Responsibility Report 2016
Total tax  
contribution
To calculate its Total Tax 
Contribution, the Red Eléctrica 
Group has followed PwC’s Total Tax 
Contribution (TTC) methodology, 
whose characteristics are:
• It measures the total impact 
derived from a company’s 
payment of tax.
• It reflects the total amount of all 
the taxes input (which represents 
an effective cost for the 
company) and collected (which 
are paid by other taxpayers as  
a result of the economic activity 
generated), at any level of the 
Public Administration.
• It includes all the tax 
payments made to the Public 
Administrations.
• It adapts to any tax regime in the 
world and it is simple to use, even 
for people with no knowledge  
of taxes.
TA X  B O R N E
Tax on profits, mainly Corporate Income 
Tax (1) represents 81 % of total taxes 
borne that have been paid to the various 
tax authorities, mostly to the Spanish  
tax authority.
(1) The Consolidated Annual Accounts provide detailed and specific information regarding the effective tax rate of 24.94%, accounting deductions, etc. 
(2) Understood as those indirect taxes equivalent to Spanish IVA (VAT), which taxes consumption.
TO TA L TA X  C O N T R I B U T I O N  2 0 1 6
Red Eléctrica’s Total Tax Contribution 
during 2016 amounted to 681 million 
euros, 238 million euros corresponding  
to tax borne and 443 million euros 
to taxes collected.
TA X  C O L L E C T E D
Of the total taxes collected during  
2016, the taxes on products and  
services stand out, fundamentally  
the Value-Added Tax (1) which accounts  
for 81 % of the total.
CORPORATE  
INCOME TAX
%
TOTAL TAX  
CONTRIBUTION
€
VALUE  
ADDED TAX
%
Total tax contribution of 681 million euros:  
238 million in taxes borne and 443 million  
in taxes collected.
of  
taxes  
borne
of  
taxes  
collected
81
%
81
%
681
m€
	 Collected (443m€)	
65%
	 Collected (238m€)	
35%

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
08
SOCIETY
Corporate Responsibility Report 2016
The Total Tax Contribution of the 
Red Eléctrica Group to the public 
administrations in all the countries in 
which it operates grew to 681 million 
euros in 2016, with the greatest 
contribution being made in Spain (98%).
TOTAL TAX  
CONTRIBUTION  
2016  
	
Spain	
Peru	
Chile	
Other	
Total
	
	
	
	
(UE)
Tax borne	
229	
4	
4	
1	
238
Tax collected	
439	
4	
-	
-	
443
Tax contribution	
668	
8	
4	
1	
681
G e o g r a p h i c a l  d i s t r i b u t i o n
m€
The revenue of the Red Eléctrica 
Group is mainly generated in  
Spain (97%).
	 Spain	
98%
	 Other	
2%
TOTAL TAX  
CONTRIBUTION
%

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
08
SOCIETY
Corporate Responsibility Report 2016
Tax contribution  
as a percentage  
of revenues
The comparison of Total Tax 
Contribution to total revenues 
is an indicator that shows the 
amount of the contribution made 
by Red Eléctrica in relation to the 
size of its business.
The ratio of Total Tax Contribution 
to total revenues is 35%, of which:
• 12% are taxes borne.
• 23% are taxes collected.
Weight of taxes  
on value distributed
Applying the Total Tax Contribution 
(TTC) methodology, the value 
distributed by the Red Eléctrica Group 
in 2016 would total 1,543 million 
euros, a figure which is composed  
of the sum of the following elements:
• Taxes (681 million euros): borne 
(238 million euros) and collected 
(443 million euros).
• After-tax profit or shareholder value 
(639 million euros).
• Net interest (151 million euros).
• Wages and salaries after taxes 
collected (72 million euros).
Of every 100 euros in value 
generated by the Red Eléctrica 
Group in 2016, 44 euros  
went to tax payments.
VALUE DISTRIBUTED 
2016
%
	 Inland Revenue Services     	 44%
	 Shareholders	
41%
	 Wages and salaries    	
10% 
	 Net interests 	
5%
TAX CONTRIBUTION  
2016
W I T H  R E S P E C T TO  R E V E N U E
%
35
	 taxes borne	
12%
	 taxes collected	
23%
35
%
Compared  
to the revenue 
figure of the 
Company
TOTAL  
TAX 
CONTRIBUTION

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
08
SOCIETY
Corporate Responsibility Report 2016
• The Company also has a specific 
Internal Control System for 
Financial Information (ICSFI), 
which includes tax data and 
processes, based on the COSO 
(Committee of Sponsoring 
Organizations of the Treadway 
Commission) methodology. 
These processes and systems 
are systematically subject to 
internal and external audits.
• The Red Eléctrica Group has 
adhered to the Code of Good Tax 
Practices adopted by the State 
Tax Administration Authority 
Tax responsibility
Regarding Red Eléctrica’s tax 
responsibility, noteworthy are the 
following aspects:
• Red Eléctrica is committed to 
complying with tax legislation  
and tax obligations in the 
countries in which it operates. 
• In the area of transfer pricing,  
Red Eléctrica operates on the 
principle of full competition. 
• Red Eléctrica's Code of Ethics 
and tax strategy sets out the 
commitment not to create 
companies to evade taxes in 
territories considered tax havens.
• Red Eléctrica has a Comprehensive  
Risk Management System that 
includes any relevant tax risks for 
the Group. The aspects regarding 
the Control and Management 
Policy of Tax Risks of the Red 
Eléctrica Group, approved 
by the Board of Directors (1), 
which are integrated into the 
Comprehensive Risk Management 
Policy, establish the specific 
guidelines for action for the 
management of said risks. 
under the Large Business Forum. 
Said undertaking took place in 
2015 (1), and is aligned with the 
principles and guidelines for 
action on tax matters established 
in the Tax Strategy of the Group.
The Red Eléctrica Group has  
adhered to the Code of Good  
Tax Practices adopted by the 
State Tax Administration  
Authority under the Large 
Business Forum.
(1) Board of Directors session held on 29 September 2015.
COMPREHENSIVE 
RISK  
POLICY
MANAGEMENT
Includes tax 
risks relevant  
to the Group
RISK 
MANAGEMENT
CODE OF ETHICS,  
TAX STRATEGY  
AND THE CODE  
OF GOOD TAX 
PRACTICES
Set out the commitment 
not to create companies 
to evade taxes in tax 
havens.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
DIALOGUE 
WITH 
STAKEHOLDERS
09
09 D I A L O G U E 
W I T H 
S T A K E H O L D E R S 
C o n n e c t e d  t o  o u r 
s t a k e h o l d e r s  t h r o u g h 
a  r e l a t i o n s h i p  b a s e d 
o n  t r a n s p a r e n c y 
a n d  t r u s t

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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DIALOGUE 
WITH 
STAKEHOLDERS
09
Corporate Responsibility Report 2016
SHAREHOLDERS 
AND INVESTORS
Transparent and fluid communication, 
facilitating relevant corporate information  
to meet the needs of these groups.
1,027 enquiries from stakeholders dealt with
546 meetings with analysts and investors
THE MEDIA
Dissemination of activities,  
projects and initiatives undertaken  
by the Company, with particular 
emphasis on its commitment  
to sustainability. 
64 press releases issued  
(33% regarding sustainability projects)
CLIENTS AND MARKET 
AGENTS
Compliance with legal requirements regarding 
communication and the publication of 
information, guaranteeing transparency, 
integrity and disclosure timelines. 
Client satisfaction: 8.3 out of 10
SUPPLIERS
Sustainable supply chain management model: 
transparency in management; integration 
of corporate responsibility criteria in the 
procurement strategy.
91% of purchases from suppliers with their 
head office in Spain, and 98% of our purchases 
made with European suppliers
COR NE R STONE S  FOR  DIA LOGUE  
W I T H  STAK E H OL DERS
Tr a n s p a r e n t ,  f l u i d 
a n d  c l o s e - k n i t  r e l a t i o n s h i p
CORPORATE  
WEBSITE
2016
MILLION
VISITS2.1
MORE THAN

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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WITH 
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Corporate Responsibility Report 2016
In 2016, 546 meetings were held: 
520 for variable income, 5 for 
fixed income, 12 for corporate 
governance and 9 with rating 
agencies. For yet another year, 
the Company has turned to major 
financial forums in the domestic 
markets, Europe, the United  
States, Asia and Australia, thus 
responding to our communication 
and transparency policy. Our aim  
is to continue with the clear goal of 
increasing the number of meetings 
with analysts and investors over 
the next few years.
Similarly, in our day-to-day quest 
to improve transparency and 
communication with shareholders 
and investors, the following actions 
were noteworthy in 2016:
• The Board of Directors, in its 
session held on 25 October 
2016, approved the 'Criteria 
for communication with 
shareholders, institutional 
investors and proxy advisors', 
which sets out the principles and 
guidelines on communication 
that the Company maintains with 
Red Eléctrica maintains a solid 
commitment to dialogue with 
all its stakeholders, particularly 
with shareholders and investors, 
facilitating them with the relevant 
corporate data to meet their 
information needs at each 
moment. This communication is 
transparent and fluid, which is key 
to achieving a trust relationship 
with them. 
Shareholders  
and investors 
520 FOR  
VARIABLE INCOME
546
HELD
MEETINGS WITH 
SHAREHOLDERS 
2016
In the ‘Shareholders and investors’ 
section of the corporate website
The aim of our communication  
policy with shareholders and investors  
is focused on maintaining transparent 
and fluid communication, making 
relevant corporate information  
available at all times.
5 for fixed income 
12 FOR  
CORPORATE 
GOVERNANCE
9 with rating 
agencies

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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STAKEHOLDERS
09
Corporate Responsibility Report 2016
the progress made each year 
in corporate governance, Red 
Eléctrica has published on its 
website an interactive section, 
highly visual and easy to consult, 
about the corporate governance 
story of the Company since its  
IPO in 1999.
This is a completely new practice  
in the business world, both 
nationally and internationally,  
which highlights the firm 
commitment of the Board of 
Directors with the implementation 
and continuous improvement 
of good governance within the 
organisation during these years.
In addition, a specific section 
on the corporate website for 
socially responsible investors has 
been made available in which all 
relevant information regarding the 
Company is published. The data 
published gives these investors 
access to information not only 
regarding ethical, social and 
environmental elements, but also 
the main performance indicators 
in these areas. These elements 
and indicators are considered 
necessary when making 
investment decisions, and this data 
is complementary to the traditional 
economic and financial criteria.
these stakeholders, guaranteeing 
the adequate exercising of their 
rights and interests and favouring 
the commitment and relationship 
with them, through an open, 
transparent and sustainable 
dialogue.
• On the other hand, in order 
to comply with our commitment 
to transparency, and to provide 
more information about the 
Company's track record and 
 
CORPORATE 
WEBSITE
Includes a specific 
informative section 
for the investor 
with ethical, social 
and environmental 
indicators.
INTERACTIVE 
SECTION OF THE 
CORPORATE
WEBSITE
Tells the story 
of the Group 
since it was 
floated in the 
stock market in 
1999
CORPORATE  
GOVERNANCE 
STORY
Main indicators
Nº
	
2014	
2015	
2016
Shareholders’ office (visits managed)	
1,105	
1,284	
875
Shareholder electronic forum – via phone
and email (consultations managed) 	
1,008	
1,118	
1,027
Meetings with analysts and institutional investors	
555	
542	
546
In 2016, the Board of  
Directors approved the  
‘Criteria for communication  
with shareholders,  
institutional investors and  
proxy advisors’.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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WITH 
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Corporate Responsibility Report 2016
Competition and the various 
public administration energy 
departments of the different 
Autonomous Communities).  
They are responsible for 
regulating, assessing its 
management and establishing 
remuneration for Red 
Eléctrica’s activity.
• Participating agents in the 
electricity market. These are  
all those market subjects  
(492 as at December 2016) 
which participate in the 
organised markets, or execute 
bilateral contracts with the 
physical delivery of energy. / EU3
• Operators of the interconnected 
electricity systems, electricity 
distribution companies, the 
market operator (OMIE), providers 
of system adjustment services 
and companies providing 
demand-side interruptibility 
management services.
• Other groups, requesters  
of local operation and 
maintenance services and those 
requesting adaptations of or 
changes to the routes of high-
voltage electricity lines.
Profile of Red Eléctrica’s 
Clients
These are those organisations  
or bodies with which Red Eléctrica 
establishes a relationship 
necessary for the supply of their 
services as the TSO of the Spanish 
electricity system and that can  
be grouped into the following 
broad categories:
• Regulatory bodies (Ministry  
of Energy, Tourism and  
Digital Agenda; National  
Commission of Markets and 
Clients, market agents  
and regulatory bodies
REGISTERED
492
As at December 
2016
PARTICIPATING  
MARKET AGENTS 
During 2016, no grievances were received  
from clients and market agents relating  
to ancillary services and the scheduling  
of international interconnections.
In the e-sois website.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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Corporate Responsibility Report 2016
The Company has the duty to 
publish the information on the 
results of the markets or system 
operation process, guaranteeing 
the confidentiality of the data 
provided by market participants. 
To do so, it has the operating 
procedure No.9 (P.O.9) ‘Exchange 
of Information with the System 
Operator’, which sets out the 
criteria for the aggregation and 
publishing of this information and 
the timeframes within which it 
should be made available to market 
agents and society in general. 
On request by the system operator, 
this operating procedure has 
been recently adapted to conform 
to the Transparency Regulation 
(EU) 543/2013 and Regulation 
(EU) 1227/2011 on Wholesale 
Energy Market Integrity and 
Transparency (REMIT) as well as to 
Royal Decree 413/2014 of 6 June 
regulating the activity of electricity 
production from renewable energy 
sources, cogeneration and waste 
approved by the State Directorate 
for Energy’s Resolution of 18 
December 2015.
Additionally, as system operator, 
the Company has a website for 
market participants, accessible 
via a digital certificate (http://
sujetos.esios.ree.es) and a public 
web e-sios (https://www.esios.ree.
es). Both channels, which undergo 
continual improvement, are key 
tools to ensure compliance with 
legal requirements regarding the 
communication and disclosure 
of information. The public e-sios 
website underwent a complete 
renovation in 2015 regarding its 
structure and content in order 
to present the information in a 
clearer, more modern and more 
educational manner. In this way, 
the Company strengthened its 
commitment to transparency 
Transparency, neutrality 
and independence 
as electricity system 
operator 
Red Eléctrica has a System 
Operator Code of Conduct 
which guarantees transparency, 
confidentiality, ethics and 
objectivity in its functions as 
operator of the electricity system. 
And, at the same time, it performs 
its business management under 
the principles of neutrality, 
independence and economic 
efficiency on which it bases its 
success as manager of the Spanish 
electricity system.
 
 
E-SIOS WEBSITE
for market  
subjects, accessed  
by means of a  
digital certificate.
PLATFORM FOR THE 
COMMUNICATION 
and publication of 
information with
RENEWED IN 
2015
MARKET
SUBJECTS 
 
to present 
information 
in a clearer, 
more modern 
and more 
educational 
manner
E-SIOS  
PUBLIC WEBSITE  
Red Eléctrica has a System 
Operator Code of Conduct 
which guarantees transparency, 
confidentiality, ethics and 
objectivity in its functions as 
operator of the electricity system.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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In addition, in application  
of the Commission Implementing 
Regulation (EU) 1348/2014 of the 
EC, of 17 December relating to the 
communication of data in virtue 
of article 8 (paragraphs 2 and 6) 
of Regulation (EU) 1227/2011 
of the European Parliament on 
Wholesale Energy Market Integrity 
and Transparency (REMIT), as of 
April 2016 Red Eléctrica reports 
to ACER the results of the explicit 
capacity auctions and the 
programme's in-use nominations 
of the capacities reported by the 
participants in said auctions.
On the other hand, as of 2014, 
Red Eléctrica includes among 
its publications the information 
related to the Voluntary Price  
for the Small Consumer (PVPC), 
in compliance with the regulations 
of Royal Decree 216/2014 of 28 
March, which establishes the 
methodology for calculating the 
voluntary price for the small 
consumer of electricity and the 
legal framework for contracting it.
Every two months, Red Eléctrica 
organises the CTSOSEI, the 
committee which provides 
market subjects and regulatory 
bodies with information about 
the operation of the electricity 
systems of the Iberian Peninsula 
and information on the 
electricity system adjustment 
services markets in Spain and 
Portugal, and on the energy 
exchanges made through the 
interconnections of the Iberian 
electricity systems. Additionally,  
the Company participates in,  
and spearheads in some cases, 
working groups that aim to 
increase communication and 
transparency, such as the Incident 
Analysis Group (GRAI).
Lastly, in 2016, the external 
assessments of the processes 
and results associated with 
the operation activity under  
the standard known as SSAE-16 
(Standards for Attestation 
Engagements) were conducted  
for the periods relating to 2014 
and 2015. 
regarding the full implementation 
of the internal energy market, 
coinciding with the coming 
into operation of the ENTSO-E 
Transparency Platform.
Red Eléctrica also manages the 
regional information platform of 
the IESOE region (www.iesoe.eu),  
in which the operators of the 
French, Portuguese, Moroccan 
and Spanish electricity systems 
centrally publish data on the 
capacity and use of electricity 
interconnections between these 
countries.
Also, as of January 2015,  
Red Eléctrica sends the  
ENTSO-E transparency platform 
(www.transparency.entsoe.eu), 
100% of the data regarding the 
presentation and publication 
of data on electricity markets 
(Transparency Regulation). In line 
with Article 5 of this Regulation,  
the procedure manual for the 
exchange of information via this 
platform was revised in 2016  
in order to improve the quality  
of the data published.
PVPC
The Voluntary 
Price for the Small 
Consumer has been 
included in the 
publications of the 
Group since 2014.
OF THE DATA
Red Eléctrica 
SENDS100
%
to the ENTSO-E 
platform for 
transparency
ELECTRICITY 
MARKETS

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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Satisfaction surveys
Red Eléctrica carries out 
satisfaction surveys every  
two years, directed to its clients  
and business agents. The survey 
conducted in 2016 has resulted  
in an overall average rating  
of 8.3 out of 10. Based on these 
results and on the analysis of the 
requirements and expectations 
collected, the 2017-2018 
Improvement Plan will be drawn 
up. The Improvement Plan and 
the final results obtained are 
notified to clients and business 
agents that take part in the survey. 
The previous survey, conducted 
in 2014, led to 34 actions being 
undertaken.
Management 
of incidents and 
grievances
Red Eléctrica manages grievances 
related to the services it offers 
and to the impact of its activities, 
according to clearly defined 
criteria, in order to assure that  
they are treated properly.
To this end, the e-sios website 
for market agents contains 
a ‘Grievances’ section, which 
allows online processing of 
grievances regarding the system 
adjustment services market 
and the international energy 
exchange schedule managed by 
the system operator. In addition, 
market agents can consult the 
status of their grievances and 
obtain information on how they 
are being dealt with. Red Eléctrica 
also publishes, on this website, 
periodic reports on incidents 
identified, the handling of  
the grievances received and 
the resolutions taken.
Main indicators
	
2014	
2015	
2016
Number of estimated grievances related to the ancillary services
market and the international energy exchange schedule	
2	
3	
0
Grievances per 1,000 GWh of energy managed in the ancillary services markets  	
0.09	
0.17	
0
Percentage of grievances resolved 	
100%	
100%	
-
/
	
2014	
2015	
2016
Overall satisfaction level	
8.1	
8.1	
8.3
Level of satisfaction of quality factors  	
7.8	
7.9	
8.0
Level of satisfaction of services provided 	
7.6	
7.7	
8.1
Customer attention 	
7.8	
7.7	
7.9
Evaluation of improvement actions undertaken as a result of the previous evaluation study 	
7.0	
6.6	
7.1
Note: The data in the table has been recalculated so that, for the first time ever, the results regarding the satisfaction of the services provided 
nationwide are shown in aggregate form.
SATISFACTION INDICATORS 
OF CLIENTS AND MARKET AGENTS (0-10)
/
SATISFACTION 
SURVEY
The satisfaction 
level of market 
agents and clients 
in 2016 was 8.3 
out of 10.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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ASA
Procurement  
Support and 
Helpdesk. 
Specific 
communication 
channel for 
suppliers.
location of purchases,  
91% of this amount has been 
awarded to suppliers with head 
offices in Spain and 98% 
of purchases were made within  
the European Union.
Description 
of the supply chain
/ G4-12
The supply chain is characterised 
by: 
• Centralised management.
• The existence of an independent 
unit for management of the 
stakeholder group of suppliers 
and associated processes.
• A supply chain with separated 
functions.
• Outsourced management of stock 
and distribution.
• Development of a specific 
communication channel for 
the supplier: ASA (Procurement 
Support and Helpdesk).
Red Eléctrica has a sustainable 
supply chain management model 
which is governed, amongst 
other things, by the guidelines 
of the Procurement Policy and 
the relationship framework 
established in the Supplier Code 
of Conduct, as an integral part 
of REE’s General Conditions  
of Contract.
In 2016, the Company managed 
its purchases of goods and 
services through 904 suppliers, 
for a total of 600.1 million euros. 
73% of this amount corresponds 
to services and civil works 
while the remaining 27% was 
for materials and equipment. 
Regarding the geographical 
Suppliers  / G4-DMA / G4-EC9
MANAGED 
THROUGH 
600.1
m€
904 suppliers
PURCHASING 
OF GOODS 
AND SERVICES
91% of Red Eléctrica's  
suppliers have their head offices 
in Spain, and 98% belong to EU 
countries.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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Transparency
• Maximum communication with the supplier 
throughout the entire process. The supplier  
is ‘listened to’.
• A supplier qualification process, on the corporate 
website, that is both transparent and accessible. 
• System-managed processes that are 
traceable, auditable and that are visible  
to top management.
Separation of functions
• Existence of a specific department 
for Suppliers.
• Whoever defines the need does not  
make the purchase.
• Whoever makes the purchases neither 
qualifies, nor certifies, nor pays,  
nor decides on the supplier.
• Whoever certifies does not pay.
Ethical management
• Processes defined under the principles 
of transparency, fairness and objectivity.
• Diverse communication channels that 
guarantee confidentiality: ASA (Procurement 
Support and Helpdesk), DÍGAME and the  
Ethics Manager. 
Strengthening ties with suppliers 
and subcontractors
• Transference of technical and corporate 
responsibility requirements.
• Information campaigns for suppliers and 
participation with them in working groups.
• Acceptance of the Supplier Code of Conduct.
• Social audits.
• Specific development plans resulting from 
continual monitoring.
• Medium-term and long-term purchasing 
strategy regarding suppliers that gives 
visibility to the Company’s business. 
Minimisation of risk
• Continuous verification of compliance with 
the business/technical/CSR requirements 
for qualification, selection, awarding, 
subcontracting, and continual monitoring  
of performance.
• Continuous search for an optimal supplier 
market.
• Law 31/2007
• REE Code of Ethics
• Supplier Code  
of Conduct
• Procurement Policy
• CR Policy
• Regulation
• REE Strategic Plan
• Strategic Plan  
of the Procurement 
Department
• Annual objectives  
and projects
• Our suppliers
• Evaluations/Audits
Transparency 
and the separation 
of functions within 
the management 
processes
Ethical  
management and 
strengthening ties 
with suppliers and 
subcontractors
Minimisation  
of the risk  
associated with  
the procurement 
processes
FRAMEWORK 
OF THE 
MODEL
PIL L ARS
LEVERS FOR 
ONGOING 
IMPROVEMENT
S U P P L Y  C H A I N  M A N A G E M E N T  M O D E L

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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OF THE TOTAL 
VOLUME OF 
PURCHASES
51
%
In 2016
TOP 20 
SUPPLIERS 
In line with previous years, 
there is still a concentration  
of purchases in a small number 
of suppliers, so that 20 suppliers 
(Top20) represent 51% of the total 
volume of purchase for 2016.
All our suppliers must meet  
the specific requirements  
not only business and technical, 
but also those associated with 
working conditions and ethical 
behaviour. This is verified at the 
outset (in the supplier qualification 
process) and subsequently  
on an ongoing basis (monitoring) 
as part of the Red Eléctrica-
Supplier relationship.
In addition, suppliers of 'critical' 
supplies, due to the impact they 
have on the Company's business, 
must meet more demanding 
requirements. The purchasing 
volume of these 'critical' supplies 
represented 79% of total purchases 
in 2016, these being funnelled 
through a total of 394 suppliers,  
in line with previous years.
In 2015, a new impact matrix 
regarding corporate responsibility 
was drafted that enabled the 
requirements demanded from our 
suppliers in this field to be identified 
in greater detail. In 2016, the testing 
phase of said requirements was 
conducted among our suppliers and 
this test has been fundamental in 
reaching consensus on how:
• adapt the requirements 
demanded from our suppliers 
to the realistic situation of our 
market and 
• disseminate and promote  
the improved performance 
of our suppliers in terms  
of sustainability.
The number of suppliers with 
which the Company formalised 
purchase orders in 2016 was 
904. Taking into account the 
authorised subcontracting, 1,017 
companies (subcontractors) who 
have performed work for the 
Company must be added to this 
number, so that the total number of 
companies that have worked within 
the framework of Red Eléctrica's 
contracts totalled 1,921. In this 
context, it should be noted that 
the average time for managing 
subcontracting requests was 1.5 
days compared to 2.1 days in 2015.
Impacts on ethics and working 
conditions
• Corruption and bribery.
• Appropriation and misuse of information.
• Discrimination/inequality.
• Violation of the fundamental rights  
of workers.
• Lack of ethics in remuneration.
• Impact on the well-being of the 
community.
• Legislative/regulatory non-compliance 
regarding social and work-related aspects.
Impacts on occupational  
health and safety
• Accidents in the workplace.
Categories of impacts identified in the matrix 
/ G4-EN33 / G4-LA15 / G4-HR11 / G4-SO10
• Occupational illnesses.
• Inadequate training/experience/
information.
• Legislative/regulatory non-compliance 
related to occupational health and safety.
Impacts on the environment
• Impact on biodiversity.
• Impacts on the soil and water.
• Climate change and air quality.
• Generation of non-hazardous waste.
• Generation of hazardous waste.
• Legislative/regulatory non-compliance 
related to environmental matters.
REPRESENT

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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• Greater transparency in 
communication with suppliers, 
where the following actions  
are noteworthy:
- The implementation of  
the LICITA platform, providing 
greater transparency to the 
bidding process and giving  
it more traceability.
- The guarantee that technical 
non-compliances shall be 
communicated in full to suppliers 
in a timely manner.
- The dissemination of the 
corporate model regarding 
supplier monitoring, as well  
as the decisions taken.
- The increase in the information 
communicated to the suppliers, 
during the bidding stage, 
regarding the criteria used  
in the awarding process.
• Greater control in the 
subcontracting process concerning 
the terms of payment to 
subcontractors, and an increase 
in the information regarding field 
verifications of work to approve 
payment.
• Analysis of the current criteria  
for the procurement of equipment 
and materials and the identification 
of weaknesses of the same, in order 
to define, develop and implement 
new and improved criteria.
• Promoting social audits to verify 
compliance with the Supplier Code 
of Conduct in cases where the 
manufacture of equipment and 
materials is carried out in countries 
where risks may exist.
Following a specific supply 
chain study conducted by the 
sustainability rating agency 
Vigeo Eiris, Red Eléctrica was 
distinguished as ‘Top Performer’ 
for the responsible integration  
of social and environmental 
factors in the supply chain, 
ranking among the 20 leading 
companies in the world. This 
recognition is as a result of both 
the new matrix project and the 
initiatives the Company has been 
promoting among its suppliers 
regarding sustainability. 
Efficiency 
in management 
In the area of efficiency in 
the management of processes,  
the following initiatives have been 
addressed:
• Optimisation of the corporate 
supplier database for all supplies 
purchased by the Company  
on a recurring basis.
LICITA  
PLATFORM 
Communication 
platform with suppliers 
which provides greater 
transparency to the 
bidding process 
and giving it more 
traceability.
LEADING  
COMPANIES20
In sustainability 
worldwide
TOP
PERFORMER 
Red Eléctrica was distinguished 
in 2016 as ‘Top Performer’  
for the responsible integration 
of social and environmental 
factors in the supply chain.
Red Eléctrica 
IS AMONG THE

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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Corporate Responsibility Report 2016
of supplies 
whose 
manufacturing 
process has 
a high impact
SUPPLIERS
40
SOCIAL AUDITS 
2016
Qualification of suppliers  
/ G4-DMA / G4-LA14 / G4-EN32  
/ G4-SO9 / G4-HR10
In 2016, the Company processed 
896 requests for qualification  
of supplies that have a significant 
impact on the Company. 
These requests correspond  
to 470 suppliers (who opt to more 
than one supply per supplier). 
These requests affected  
supplies that require different 
verifications depending on 
the corporate responsibility 
risk identified (environmental, 
occupational health and safety 
prevention, labour conditions  
and ethical behaviour).
• 21% (corresponding to 113 
suppliers) of purchase orders 
required specific verifications 
regarding occupational health  
and safety prevention.
• 57% (corresponding to 261 
suppliers) of purchase orders 
required specific verifications 
regarding the environment. 
• 100% of purchase orders were 
verified according to labour 
practices and Human Rights 
criteria.
Evaluation 
and social audits  
/ G4-LA15 / G4-EN33
/ G4-SO10 / G4-HR11
During 2016, the Company  
has conducted social audits  
on 40 suppliers. These audits, 
which aim to assess compliance 
with the Supplier Code of Conduct, 
focus on those supplies whose 
manufacturing process has  
a high impact on working 
conditions and ethical behaviour.
As a result of one of these  
audits, a supplier has been 
temporarily suspended from 
carrying out work for the Company 
until the incidents detected are 
resolved. In the remaining audits, 
in which aspects to be improved 
have been detected, actions have 
been established with the supplier 
concerned in order to correct or 
improve them. In addition, it should 
be noted that all our suppliers 
explicitly accept the Supplier  
Code of Conduct upon acceptance 
of the purchase order.
• Development of an ad hoc 
financial solvency index adapted 
to the needs of the Company, 
which allows it to determine, with 
greater precision, the financial 
capacity of a supplier thus 
mitigating the potential risks 
associated with the financial 
difficulties its suppliers may have.
• Definition and implementation 
of the contracting strategy for 
strategic services, integrating 
the planning of needs, demand 
aggregation, supplier market  
and service levels.
• Review of the Company’s 
General Conditions of Contract 
to adapt them to the current 
criteria regarding contracting, 
competition, regulation, cost, 
risk, supplier market and  
the environment.
• Optimisation of the procurement 
process for equipment and 
materials in terms of functions, 
tasks, organisation and systems.
• Progress in the implementation  
of the relational procurement 
model for non-regulated business 
(initially developed in 2015) 
identifying the needs to adapt 
systems, regulation and roles.
were 
conducted on
In working 
conditions and 
ethical behaviour

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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Corporate Responsibility Report 2016
WERE
FOCUSED ON
SUSTAINABILITY
PROJECTS
33
%
In 2016
PRESS 
RELEASES
THE MEDIA 
set out in the 2015-2020 
Strategic Plan, paying special 
attention to the importance of new 
infrastructure projects in order 
to guarantee the quality and 
security of supply in the Spanish 
electricity system as a whole 
and in the territories where they 
are installed. In this regard, 
noteworthy are the meetings  
that have been held with different 
regional media to explain the 
planned investments in their 
region for the coming years.
Following the path of previous 
years, in 2016 the information 
issued on matters related to 
sustainability has played a leading 
role, with special emphasis  
on the dissemination of all the 
projects implemented in the 
territory through corporate social 
responsibility agreements. A good 
example of the latter has been 
that associated with the Mezquita-
Morella electricity line.
In this regard, the information 
published about environmental 
projects, R&D+i, as well as about 
other initiatives related to human 
resources, social responsibility and 
good governance, have increased 
During 2016, information 
transparency has continued to 
be the basis of Red Eléctrica's 
relationship with the media. 
Thus, efforts have focused 
on training and informing not 
only on matters regarding the 
Company’s core activity (electricity 
transmission and operation of the 
electricity system) but also on the 
expansion of the business base 
in the areas of energy storage, 
telecommunications and in the 
international arena.
Communications on the regulated 
activity have focused on projects 
In 2016, the information issued on matters 
related to sustainability has played a 
leading role, with special emphasis on 
the dissemination of projects carried out 
in the territory through corporate social 
responsibility agreements.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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Corporate Responsibility Report 2016
NEW ARTICLES
In 2016107
Explains Red 
Eléctrica's 
activity 
focusing 
on social 
commitment 
and innovation
 ‘ENTRELÍNEAS’ 
BLOG 
Promotion of digital 
channels
Given the changing nature  
of communication and the media 
world, whose trend to go digital 
is evident, the decision was made 
to publish Company related news in 
the digital media, including opinion 
articles by Company’s executives, 
interviews and special reports.
Similarly, the use of the Company's 
digital channels, such as social 
networks, the on-line Press Room 
and, in particular, the Entrelíneas 
blog (http://entrelineas.ree.es/en) 
has gained special relevance. 
This informative space, which  
began its journey in July 2015,  
has become a useful tool to convey, 
in an educational and enjoyable 
way, the activity of Red Eléctrica, 
paying special attention to matters 
related to social commitment and 
innovation.
The 'Latest news' section of this 
blog, which reviews the latest 
events of relevance, both nationally 
and locally, has published 86 brand 
new articles in 2016. In the 'Tribune' 
section, 4 opinion pieces have been 
published prepared by Company 
directors. The 'Observatories' 
section, which offers an analysis 
of the true picture of current 
energy matters, human resources, 
corporate responsibility, the 
financial or environmental scenario, 
has had 6 pieces published. 
In addition, three short-length 
audio-visuals have been posted 
in the 'Videos' section. Finally, 
the 'Learn more' section, which 
provides information to provide both 
journalists and the general public an 
insight into the Company's activity, 
has had 5 articles posted.
compared to the previous year. 
Thus, 33% of the press releases 
issued and 77% of the information 
published via the Entrelíneas blog 
have focused on highlighting 
some of the sustainability projects 
carried out by the Company. In 
total, 246 media enquiries have 
been addressed regarding aspects 
directly or indirectly related to the 
Company's activity.
Among the issues related to the 
expansion of the business base, 
communication activity with the 
media has focused on explaining 
the new energy model for the 
Canary Islands. In order to be 
more economically efficient and 
more environmentally sustainable, 
this model is based on renewable 
energies and interconnections 
between islands.
In this regard, the dissemination  
of information regarding the 
Soria-Chira pumped storage 
hydropower station has been 
key, both through the issuance  
of a press release at the beginning 
of the public information process 
and with the published articles and 
requests for public information 
addressed on this matter.
In the ‘Entrelíneas’ blog.
Main indicators (information 
issued and published)
Nº
	
	
	
2014	
2015	
2016
Press Releases	
	
	
86	
79	
64
Press conferences and meetings  	
	
	
14	
23	
10
Interviews and statements  	
	
	
63	
69	
74
New content on the blog	
	
	
-	
64	
107

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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Corporate Responsibility Report 2016
VISITS
HAD
DURING 2016
2.1
MILLION
110
Million pages 
visited
CORPORATE 
WEBSITE
reports have also been published 
that form part of the different 
phases of the environmental 
processing of our projects for the 
construction of facilities and diverse 
materials have been published to 
present the construction project  
of the Soria-Chira pumped-storage 
power station in Gran Canaria  
to the general public. 
Regarding website traffic, the 
number of downloads of the various 
publications on the corporate 
website has once again surpassed 
two million downloads. In 2016, 
the corporate website had about 
2,100,000 visits and 110 million 
page views and is among the top 
ten websites of IBEX 35 companies 
according to the Webranking 
analysis conducted by the 
consultancy firm Comprend.
The corporate website is an 
interactive and informative space 
that contributes to reinforcing the 
Company's brand and increasing 
knowledge on its activities and 
maintaining a direct channel  
of contact with its stakeholders.
In 2016, of note was the Company's 
commitment to transparency 
with shareholders and investors 
fundamentally. In this regard,  
in addition to publishing several 
contents of interest for these 
groups, such as the publication of 
the criteria for communication with 
shareholders, institutional investors 
and proxy advisors, an interactive 
section was published that reflects 
the corporate governance story of 
the Company. On the other hand, 
CORPORATE 
WEBSITE
The corporate website is among  
the top ten websites of IBEX 35 
according to the Webranking 
analysis conducted by the 
consultancy firm Comprend.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
10
THE
ENVIRONMENT
10 T H E 
E N V I R O N M E N T
C o n n e c t e d  t o
t h e  p r o t e c t i o n  o f  t h e 
n a t u r a l  e n v i r o n m e n t
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
10
THE
ENVIRONMENT

COR NE R STONE S  OF  OUR  
E NVI R ONM E NTAL COM MITMENT
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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
10
THE
ENVIRONMENT
Corporate Responsibility Report 2016
M a x i m u m  r e s p e c t  f o r  
t h e  n a t u r a l  e n v i r o n m e n t  
a n d  i t s  p r o t e c t i o n
ENVIRONMENTAL  
EXPENDITURE
2016
MILLION
EUROS23
CLIMATE  
CHANGE 
Red Eléctrica contributes to the fight against 
climate change by providing solutions in the 
execution of its business activities, and through 
its commitment to the efficient use of energy.
40.8% of demand covered using  
renewable energies
 1,907 tonnes of CO2 avoided in 2016
BIODIVERSITY
Biodiversity conservation has always been an 
essential principle of our environmental policy 
and business strategy.
3,040 km of electricity lines marked with  
bird-saving devices (3% more than in 2015)
1.8 million euros of investment in the Red 
Eléctrica Forest initiative (2009-2016)
INTEGRATION INTO 
THE ENVIRONMENT
We make our facilities compatible with the 
environment, through dialogue with stakeholders 
and the implementation of preventive and 
corrective measures to minimise potential 
impacts on the environment.
Environmental assessment of all projects
Hábitat Project (2015-2020)
ENVIRONMENTAL 
MANAGEMENT
Red Eléctrica undertakes all its activities following 
strict environmental criteria in accordance with the 
principles adopted in its environmental policy.
ISO 14001 Certification and EMAS Register
87 % fulfilment of the 2016 environmental 
programme

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
10
THE
ENVIRONMENT
Corporate Responsibility Report 2016
In addition, Red Eléctrica is 
committed to a sustainable energy 
model, thus acquiring a specific 
commitment to climate change and 
energy efficiency.
Management system
In order to continuously improve 
its environmental performance 
and processes, Red Eléctrica has 
an environmental management 
system certified in accordance with 
ISO 14001 and which has been 
registered, since October 2001, under 
the Community Eco-management 
and Audit Scheme (EMAS). An 
environmental programme is defined 
annually that sets out the various 
objectives derived from the strategies 
of the Company and that establishes 
the specific actions required for its 
fulfilment. 
For 2017, in order to boost 
environmental activities, the decision 
has been taken to broaden the scope 
of the programme and therefore, the 
Environmental Plan 2017 has been 
drawn up and approved by senior 
management. This plan, which has 
a global scope and is transversal 
across the entire company, 
encompasses all the activities 
with an environmental component 
that will be undertaken throughout 
the year, including measures to 
improve the environment, objectives 
linked to legal requirements, 
environmental management activities, 
communication and innovation.
Organisational structure
Red Eléctrica's commitment to the 
environment, stems from senior 
management, who establish the 
environmental policy and implement 
the measures for compliance with 
environmental requirements, with 
Red Eléctrica undertakes all its 
activities taking into account 
environmental protection, in 
accordance with the principles 
set out in its environmental policy, 
among which are included the 
commitment to the prevention 
of pollution and the principle of 
precaution. / G4-14
The main environmental impacts 
of Red Eléctrica are those derived 
from the presence of facilities 
in the territory, therefore the 
Company works hard to make them 
compatible with the environment, 
considering their entire life cycle 
and paying particular attention to 
biodiversity conservation. 
Our environmental  
commitment  / G4-DMA
Three  
percentage 
points higher 
than in  
2015
ENVIRONMENTAL 
PROGRAMME
2016 
Evolution of the fulfilment of  
the environmental programme  
%
87
84
78
2016
2015
2014
FULFILMENT87
%

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
10
THE
ENVIRONMENT
Corporate Responsibility Report 2016
improvement measures. The 
remaining 19.67 million was allocated 
to environmental improvements 
associated with facilities in 
service, biodiversity protection and 
conservation projects, activities 
related to climate change and energy 
efficiency, communication, training, 
R&D+i projects and other expenses. 
Supply chain  
/ G4-DMA / G4-EN33
Red Eléctrica requires all those 
suppliers with a major environmental 
impact (providers of services that 
can generate direct impacts on 
the environment, and equipment 
suppliers whose manufacturing 
process is resource-intensive) to 
have an environmental management 
system that has been documented 
or certified by a third party.
In order to improve the environmental 
performance of the supply chain, 
since 2015 work has been underway 
to adjust the requirements that are 
requested from the various suppliers 
to the impacts (real or potential) of 
each supplier. In 2015, the impacts of 
each one of the services contracted 
were identified and in 2016, tests 
were conducted on a significant 
group of suppliers. These tests 
have allowed us to determine the 
baseline situation and adjust the 
specific requirements in each case.  
It is foreseen that the results of this 
project will be incorporated into the 
supplier qualification process in 2017.
The environmental requirements 
regarding training and specifications 
for the execution of work form part 
of the contractual documentation 
for those services where it has 
been identified as necessary. In 
the case of the activities with the 
greatest potential impact, such 
as construction, renovation of 
facilities and some maintenance 
activities, a part of the cost of the 
work is dependent on the result of 
the environmental certification of 
the work, which involves extensive 
monitoring of the established 
environmental requirements.
In addition, the Company has 
begun to assess the environmental 
performance of suppliers and 
whose result is taken into account 
in its overall assessment, but which 
may also be grounds for their 
disqualification. 
 
Moreover, since 2011 Red Eléctrica 
has worked on calculating the carbon 
footprint of all its suppliers.
the Chairman being the person 
who assumes the maximum 
environmental responsibility. 
The involvement of all organisational 
units and the commitment of the 
entire workforce are fundamental 
in environmental management. To 
provide technical support, there is 
a specific environment department 
which has 35 experts located at the 
head offices and in the territories 
where the facilities are located.
Environmental expenditure
Red Eléctrica allocates important 
financial resources for environmental 
protection. In 2016, a total of 22.65 
million euros was earmarked for 
environmental matters. Of this, 2.98 
million corresponded to activities 
associated with the implementation 
of new projects (investment): 
environmental impact studies, 
preventive and corrective measures, 
works supervision and environmental 
EUROS
EARMARKED FOR  
ENVIRONMENTAL 
MATTERS
22.6
MILLION
ENVIRONMENTAL
PROTECTION 
Environmental expenditure
M€
22.6 
22.7
22.4
2016
2015
2014

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
10
THE
ENVIRONMENT
Corporate Responsibility Report 2016
In addition, Red Eléctrica establishes 
the appropriate preventive and 
corrective measures to be applied 
when performing construction 
or maintenance work, in order 
to reduce, as far as possible, the 
potential impacts these activities 
may have on the territory.
The best tool to carry out the 
definition of the best Project 
and the appropriate preventive 
and corrective measures is the 
Environmental Impact Assessment 
procedure, which the majority of Red 
Eléctrica’s projects are submitted to 
by law.  However, when the law does 
not require a regulated procedure, 
the Company also conducts an 
assessment of an environmental 
nature and establishes a voluntary 
communication with the competent 
authorities. 
The principal measure for reducing 
and even avoiding the undesirable 
effects of Red Eléctrica’s facilities 
on the environment and in the 
local communities is the selection 
of their location. For this reason, 
the Company conducts a detailed 
study of the territory and works 
in coordination with the public 
administration and key stakeholders 
in the definition of the siting of 
substations and the routes the 
electricity lines will follow.
Integration of facilities   
into the environment  / G4-DMA
DEFINITION  
OF THE 
BEST
ALTERNATIVE
AND THE  
PREVENTIVE  
AND CORRECTIVE 
MEASURES FOR  
ALL PROJECTS
ENVIRONMENTAL 
ASSESSMENT
The definition of the siting of 
substations and the routes the 
electricity lines will follow is 
undertaken in coordination with 
the public administration and 
the key stakeholder groups.

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
10
THE
ENVIRONMENT
Corporate Responsibility Report 2016
the definition of new measures in 
cases where it may be deemed 
necessary. For facilities undergoing 
maintenance, the Company carries 
out periodic inspections to verify 
compliance with environmental 
standards and to identify the 
necessary improvement measures. 
Among the preventive and 
corrective measures applied, 
of note are the ones designed 
to protect habitats and species 
(measures to protect biodiversity) 
and those aimed at reducing 
To guarantee the implementation 
and effectiveness of the measures 
defined, programmes of environmental 
monitoring are undertaken. These 
are applied during the construction 
of the facilities and during their first 
years of functioning and facilitate 
potential effects on the 
socioeconomic environment. All 
these measures are described in 
detail in the following sections of 
this chapter.
Transmission  
grid planning 
(Drawn up by MINETUR)
Infrastructure 
proposal 
(Drawn up by REE)
Project  
design 
(New facilities and 
modifications)
Construction  
or modification 
of facilities
Maintenance
Environmental 
Feasibility Study:
• Analysis of all 
proposals from an 
environmental point 
of view.
• Only includes 
environmentally 
feasible projects.
Prior dialogue with 
stakeholders before defining 
the project (Autonomous 
Communities, local councils  
and NGOs). 
Environmental Impact 
Assessment.
1  Prior consultation with SGs.
2  Defining the alternative of  
least impact .
3  Public information.  
Submission of arguments  
by SGs.
4  Proposal for preventive and 
corrective measures.
5  Publication of results. 
Environmental authorisation.
Strategic 
environmental 
assessment of plans 
and programmes.
Public participation 
of stakeholder groups 
(SGs) through the 
submission of comments 
or arguments.
Implementation of 
preventive and corrective 
measures.
Environmental monitoring 
(monitoring of preventive 
and corrective measures). 
Monitoring the work of 
contractors regarding 
compliance with 
environmental requirements.
Environmental 
certification of works  
taking into account 
compliance with 
environmental requirements.
Environmental monitoring 
programmes in the initial 
years of operation of a 
facility.
Periodic inspections of 
facilities to verify compliance 
with standards and identify 
improvement measures.
Application of 
environmental 
improvement measures.
D E V E L O P M E N T  A N D  I M P L E M E N T A T I O N  P H A S E S 
F O R  T R A N S M I S S I O N  G R I D  I N F R A S T R U C T U R e  / G4-SO1

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
10
THE
ENVIRONMENT
Corporate Responsibility Report 2016
CONDITIONING 
FACTORS AFFECTING 
FACILITIES
The following four are 
considered:  the use 
of land not compatible 
with facilities; areas 
of high agricultural 
yields and agroforestry 
plantations, and 
landscape, touristic  
and cultural resources.
the free movement of the machinery 
necessary for its management. 
Social aspects are integrated 
into the environmental impact 
assessment carried out in the 
design phase of facilities. The main 
conditioning factors considered 
in this phase are: the use of land 
not compatible with the facilities; 
areas of high agricultural yields 
and agroforestry plantations, and 
landscape, touristic and cultural 
resources.
In addition to carefully defining the 
siting of facilities, preventive and 
corrective measures are defined 
that ensure the impacts both on the 
land and the activities carried out 
on the land, are kept to a minimum. 
These measures are similar to 
those used for the protection of 
habitats and flora. Noteworthy 
amongst these are the definition 
of adequate work techniques to 
minimise impacts on crops, and 
the restoration of the land and the 
elements affected by the works 
(paths, walls etc.). Sometimes 
improvement measures requested 
by the affected parties are added, 
which often involve the opening 
of forest tracks and paths and the 
making good of access routes.
 
The presence of electricity 
infrastructure in no case represents 
a significant alteration in the way 
of life of the communities affected. 
In the case of substations, these 
produce a total and irreversible 
occupation of land, however, in the 
case of electricity lines, land use is 
limited to the feet of the towers and 
the newly created accesses to the 
infrastructure. The land surface with 
overhead electricity lines is subject 
to a right of way easement during 
the useful life of the infrastructure. 
Livestock and agricultural activities 
are compatible with the lines, 
allowing all kinds of agricultural 
crops to be grown under them and 
Socio-economic  
environment  / G4-SO2
WITH A  
HELICOPTER
HOISTING OF
In 2016
PREVENTIVE
MEASURES
Social aspects are integrated  
into the environmental 
assessment which is performed 
during the design of facilities.
Among the preventive measures undertaken 
during 2016, of particular note is the use 
of a helicopter for the construction of 14 
towers during the improvement works on 
the 132kV Ciutadella-Mercadal line and for 
the hanging of the new 400 KV Bohimente-
Pesoz line. Among the accompanying 
measures, noteworthy are the restoration 
tasks being carried out on the Pino de 
los Sasos, in the municipality of Alcorisa 
(Teruel), which have consisted mainly of 
pruning dry branches and the elimination of 
mistletoe, which improve the conservation 
of this tree, which has been catalogued as 
a unique element of the landscape.   
Noteworthy  
actions during 2016
14
TOWERS

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LETTER FROM THE CHAIRMAN AND 
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KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
10
THE
ENVIRONMENT
Corporate Responsibility Report 2016
  
ACURED  
PROJECT
Knowledge regarding 
the noise generated 
in substations and an 
assessment of technical 
solutions to reduce noise.
carried out. In 2017, the execution and 
validation of some of these corrective 
measures (screens for transformers) 
will be carried out.
During 2016, noise reduction 
screens were installed at the Santa 
Ponsa substation (Majorca).
Blending facilities into  
the landscape
One of the main challenges 
regarding the integration 
of electricity transmission 
infrastructure into the environment 
is the ability to blend them into the 
landscape. In order to progress in 
this integration, it is essential to 
improve the tools for evaluating the 
visual impact of the facilities. For this 
reason, in recent years, Red Eléctrica 
has been promoting different 
projects in the field.
• Analysis methodology and landscape 
integration in the environmental 
impact studies for electricity lines.  
This methodology, which was put 
into effect in 2016, permits an 
evaluation of the landscape impact 
of future facilities and systematically 
integrates the landscape variable 
in decisions about the route to be 
taken of future lines or other matters 
such as the distribution and the 
height of the towers. During 2017, 
it is expected that this matter will 
be examined in greater depth and 
work will proceed on the criteria for 
defining the height and the type of 
towers for new projects.
• Landscape assessment system for 
Red Eléctrica’s facilities (existing 
facilities). (Between 2015 and 
2016, work was carried out on the 
definition of the system to be applied 
and its implementation as a pilot 
project in the province of León. 
Based on the results obtained, in 
2017 an adjustment will be made 
in the methodology, allowing it 
to be applied nationwide and to 
incorporate other social aspects 
of interest into the analysis. The 
Noise
In regard to substations, worth 
noting was the work carried out by 
Red Eléctrica to reduce noise levels 
produced by different elements 
that may cause inconvenience to 
neighbouring properties. In this line of 
work and to improve understanding 
of the nature of the noise generated, 
the ACURED R&D+i project was 
launched. Increased knowledge will 
allow the assessment of different 
technical solutions to reduce noise 
and promote its application in 
existing and future facilities. During 
2016, the phases of the preliminary 
study, evaluation, classification and 
prioritisation of sources of noise, 
and the proposal and simulation 
of corrective measures have been 
Will be 100% 
completed in 
2020
LANDSCAPE  
EVALUATION  
SYSTEM
SENSITIVE 
LINE
 SECTIONS
MAP OF 
FOR THE ENTIRE 
TRANSMISSION 
GRID
• Restoration of the areas affected by 
the works: adding topsoil, adaptation of 
embankments and temporary worksites, 
sowing and planting. Apart from the 
many measures that are habitually 
associated with the construction and 
modification of facilities, gardening 
work has been done in a recreational 
area affected by the maintenance of the 
safety corridor in the municipality of 
Valdaliga, Cantabria.
• Creation of vegetation screens and 
gardened areas: this year, work has been 
done at five substations: In addition, a 
vegetation screen has been erected near a 
section of the Camino Norte de Santiago 
(in the municipality of Lourenza) to 
obscure the electricity line from view.  
• Landscape integration of substation 
buildings by developing designs adjusted 
to the environment in which the 
substations are located. In 2016, the El 
Sabinal (Gran Canaria) substation was 
commissioned. Its design incorporates 
camouflage and harmonisation 
techniques, and it was built with 
materials compatible with the textures 
and colours of the area. 
Main measures regarding landscape integration in 2016

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
10
THE
ENVIRONMENT
Corporate Responsibility Report 2016
GEORED
Corporate geographical 
information system 
for preparing visibility 
maps for the analysis 
of impacts in specific 
cases through 3D 
simulations.
Protection of  
archaeological and 
ethnological heritage 
The protection of archaeological 
and ethnological heritage is an 
important factor in the design and 
construction of facilities. In 2014, 
work began on the ‘Arqueored’ 
project, which aims to provide 
a digital mapping of catalogued 
heritage for its consultation 
prior to the planning of works. In 
this way, potential impacts can 
be avoided and the necessary 
measures, where appropriate, can 
be provided in advance. Thanks 
to close collaboration with the 
relevant authorities, the project has 
progressed in a highly satisfactory 
manner and information is already 
available on all the Autonomous 
objective is to draw up a map of 
sensitive sections in the entire 
transmission grid (100% in 2020). 
Knowledge and study of each 
situation will make it possible to 
suggest possible measures related 
to the maintenance of the facilities or 
other improvement aspects.
• Visual impact analysis methodology 
for electricity lines. This permits 
the drafting of intervisibility maps 
and visual basins, and a view of 
existing or planned lines, through 
3D simulations, using the corporate 
geographical information system 
(GeoRed). This is a very useful tool 
for visual impact analysis applied 
to specific cases, which allows for 
comparisons between alternatives 
or for presentations to different 
stakeholder groups.  The system 
applied is innovative as it takes into 
account aspects that up to now had 
not been considered when drawing 
up visibility maps: screening of flora, 
the height of the observer, the part 
of the tower that is seen and the 
distances at which it is seen.
Apart from developing assessment 
tools, the Company continues to 
work on the application of different 
integration measures that facilitate 
the reduction of the impact of the 
facilities on the landscape. 
LINE WORKS
In19
5 
NEW  
SUBSTATIONS
ARCHAEOLOGICAL 
SUPERVISION
• Archaeological assessment of the  
Iberian archaeological site ‘Cañada de  
la Lengua’ (Almansa, Albacete). Action  
taken within the framework of the 
archaeological supervision of works  
for the 400 kV Campanario-Ayora  
line. An excavation was made of an 
agricultural installation with a surface 
area of 150 m2 approximately 2,200 years 
old, dating from the second or third 
century B.C. The complex contained  
a granary, storage rooms, a drying area 
and grain processing mills. Following 
the excavation and documentation 
process, the archaeological remains 
were protected by shoring them up and 
covering them. 
• Protective measures for Spanish Civil 
War trenches in Cabezo del Cerro, Cuevas 
de Almudén (Teruel). The existence of 
these trenches was discovered thanks to 
archaeological supervision. The area was 
cordoned off and a geotextile covering was 
placed on it, along with protection to avoid 
any effect from the machinery. After the 
work was completed, the entire surface 
was restored to its original condition.
Main actions in 2016 
A RQ U E O R E D
P R O J E C T
Digital Mapping
of archaeological
heritage
Currently with
data from all
A U T O N O M U S
C O M M U N I T I E S

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
10
THE
ENVIRONMENT
Corporate Responsibility Report 2016
Communities. In 2017, the second 
phase of this project will begin, 
which will consist of the in-situ 
revision and verification of all the 
information obtained.
  
On the other hand, before 
carrying out any earthworks, an 
archaeological survey is conducted 
whose intensity and scope are 
based on the likelihood of material 
of interest being present in the 
area. According to the results, the 
need for the continued presence 
of an archaeologist during the 
works is determined. During 2016, 
archaeological supervision took 
place during the construction 
of five new substations and 19 
works carried out on new and 
existing lines, with the permanent 
presence of an archaeologist at 
95% of the lines and 80% of the 
substations. Similarly, Red Eléctrica 
collaborates actively with the public 
administrations in the conservation 
of cultural heritage.
Electric and  
magnetic fields  
/ G4-DMA / G4-PR1 
Thanks to the criteria applied in 
the design of facilities, the levels of 
electric and magnetic fields (EMFs) 
stay below those recommended by 
the Council of the European Union 
(The Official Journal of the European 
Communities 1999/519/EC: 
exposure limit values for the general 
public in sites where they may 
remain for a period of time at 5kV/m 
for electric fields and 100μT for 
magnetic fields). The most important 
measures are the following:
• Construction of double circuits and 
transposition of phases in lines.
• Increasing the height of towers, 
thus increasing the safety 
distances.
• Establishing the minimum distance 
of electricity lines from population 
nuclei and isolated houses.
In order to verify compliance with 
the recommendation, Red Eléctrica 
has a tool that uses specific line 
parameters to accurately calculate 
the maximum EMF levels that said 
facilities can generate. This action 
is carried out when requested by 
stakeholders. In 2016, this was 
performed on 6 occasions and 
none of the cases exceeded the 
recommended limits.  
NONE  
EXCEEDED THE 
RECOMMENDED 
LEVELS
CALCULATED 
FOR6
CASES
By the  
European Union
EMF LEVELS  
2016
During 2016, 
there was 
no incident 
resulting from  
non-compliance 
with the 
European 
regulation 
regarding the 
levels of electric 
and magnetic 
fields.
 
CALCULATION  
TOOL
Allows the maximum 
EMF levels that can be 
produced by a facility to 
be calculated, based on 
certain parameters.

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
10
THE
ENVIRONMENT
Corporate Responsibility Report 2016
OF THE  
FACILITIES  
VALIDATED
100
%
Regarding EMF 
levels
REGULATORY  
COMPLIANCE
appropriate for each type of line 
configuration (defined by the 
following characteristics: voltage, 
geometry and amount of circuits) 
in locations with nearby buildings. 
As a result, a total of 21 measuring 
points in the Balearic Islands and 
27 in the Canary Islands have 
been checked, with all having 
values that are consistent with the 
recommendation. 
Therefore, at this time it can be 
considered that Red Eléctrica has 
evaluated and validated compliance 
with the regulation for 100% of its 
facilities. / G4-PR1
Red Eléctrica, on an exceptional 
basis, performs some 
measurements at the request 
of interested parties. In 2016, 
measurements were taken in two 
lines and one substation, with 
results being below those values 
recommended by the European 
Union in all cases. During 2016, 
there was no incident resulting 
from non-compliance with the 
regulation in this area. / G4-PR2
Moreover, Red Eléctrica considers 
it of utmost importance to remain 
abreast of all news generated on 
the topic, as well as to participate 
in various working groups and 
actively support research projects 
in this matter. Therefore, the 
Company has signed up to an 
international information service 
(ELF Gateway, which reports almost 
daily via email to its customers 
all the news appearing in the 
world) and maintains contact 
with different organisations and 
associations. 
In order to reflect the advances in 
the scientific community and the 
recent declarations of international 
organisations, Red Eléctrica has 
worked with UNESA in updating the 
publication 'Electric and magnetic 
fields of 50 HZ. Analysis of the 
current state of knowledge' that 
will be published on the corporate 
website in the upcoming future.
In the event of not having the 
necessary parameters for the 
calculation, in situ measurements 
are necessary. This is the case 
with some facilities acquired by 
the Company in 2010 in the island 
systems, for which during 2015 
and 2016 a measurement plan was 
carried out.
 
The main parameters influencing 
the field values that an electricity 
line can generate are intensity 
(in the case of magnetic fields), 
voltage (in the case electric fields) 
and the distance at which the 
measurement device is from the 
line when the measurement is 
taken. Additionally, there are other 
factors that have an influence, 
although to a lesser extent, such 
as the geometry of the line,  
or the amount of circuits. For this 
reason, in the definition of the 
plan, measurements were deemed 
Red Eléctrica actively  
participates in various working  
groups and supports research  
projects regarding electric  
and magnetic fields.
In the ‘Environmental’ subsection of the  
‘Sustainability’ section of the corporate website.

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
10
THE
ENVIRONMENT
Corporate Responsibility Report 2016
Red Eléctrica is part of the Spanish 
Business and Biodiversity Initiative 
(IEBB) promoted by the Ministry of 
Agriculture, Food and Environment. 
The commitment of Red Eléctrica to 
biodiversity has always been a key 
principle of its environmental policy 
and specifically, it becomes evident 
in its biodiversity strategy and in a 
specific action plan that covers all 
the Company’s activities.
Biodiversity  / G4-DMA
In the ‘Environmental’ subsection of the 
‘Sustainability’ section of the corporate website.
in the  
biodiversity 
criteria
100
OUT OF
100
In the Dow Jones 
Sustainability 
Index 2016  
assessment
maximum  
score 
OF RED ELÉCTRICA
Contribute and 
promote the  
development 
of applied research 
projects aimed 
at blending the 
transmission 
grid into the 
environment.
Establish  
mechanisms 
to ensure the 
protection and 
conservation of 
environmental 
values in the 
activities carried  
out by the Company, 
especially in 
sensitive natural 
environments.
Promote a  
communication 
and  
collaboration  
framework 
with stakeholders, 
increasing the 
visibility of 
the Company's 
commitment 
to biodiversity 
conservation. 
Integrate  
conservation  
and the sustainable 
use of biodiversity  
in the development  
of the transmission 
grid. 
C O R N E R S O N E S  O F  T H E  B I O D I V E R S I T Y  S T R A T E G Y

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
10
THE
ENVIRONMENT
Corporate Responsibility Report 2016
• Value and work on incorporating the concepts of 
net impact and mitigation hierarchy.
• Project for the mapping of bird flight paths: 
identify sensitivity areas, obtain risk maps, 
design a plan for the marking of electricity lines 
with bird-saving devices.
• Monitoring the interaction between lines  
and birds. Analysis of accident rates and 
assessing the effectiveness of different models 
of bird-saving devices. 
• Signing of agreements for the prevention of 
forest fires.
• Hábitat Project, phase 1 (2015-2017)
• Innovation (R&D+i Projects).
• Framework agreements regarding protection and 
other agreements on biodiversity protection.
• Agreements for the reforestation of degraded 
areas. The REE Forest.
• Participation in forums, development of 
informative material and the involvement of 
suppliers.
• New Project 2017.
• Risk map finalised and the marking plan  
for all the Autonomous Communities  
defined. 
• Fulfilment of the objective of the 2016  
line-marking plan. Marking of planned lines  
in the Balearic Islands and the Canary  
Islands.
• Eleven agreements currently in force.
• Obtaining mapping for 10 Autonomous 
Communities. Validation and qualification  
of conservation status in 5 of them.
• Project completed: experimental technique 
for the recovery of Posidonia oceanica 
seagrass meadows.
• 10 agreements with Autonomous Communities.
• Progress 2009-2016: Thirteen agreements 
signed.
• Participation in various forums related to 
biodiversity.
• Publication of two videos about birdlife.
• Tests with suppliers to know the impacts 
on biodiversity of the contracted services 
identified in 2014. 
Objective: incorporation of the new management 
approaches regarding biodiversity into the 
biodiversity management of the Company.
2017-2023 objective: fulfilment of the 
line-marking plan for all Autonomous 
Communities.
2020 objective: agreements signed with all the 
Autonomous Communities nationwide.
2017 objective: mapping, validation and 
qualification of conservation status for all 
Autonomous Communities. 
2020 objective: phases 2 and 3 of the project.
New project: Biotransporte: transmission lines 
as stepping stones for biodiversity. 
2015-2020 objective: agreements with all the 
Autonomous Communities.
2020 objective: one forest per year.
2017-2020 objective: participation in two 
events per year. Produce an annual publication.
2020 objective: Incorporate the criteria of 
protection and conservation of biodiversity  
in the selection of suppliers.
Design new approaches  
for biodiversity 
management 
Make facilities  
compatible
with birdlife
Make facilities  
compatible with 
forested areas
Make facilities 
compatible with
habitats of high 
ecological value
Collaborate with 
Autonomous Communities 
and other stakeholders on 
biodiversity matters  
Promote Red Eléctrica’s 
stance on biodiversity 
matters
Challenges
Actions
Progress
Objectives
Biodiversity challenges

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
10
THE
ENVIRONMENT
Corporate Responsibility Report 2016
  
 
IN 2016
Just 6% of the 
substations and 15%  
of lines were located  
in protected areas  
(Red Natura - Natura 
2000 Network).
On these occasions, Red Eléctrica 
implements all preventive and 
corrective measures required to 
minimise the possible impacts 
on habitats and species (impacts 
associated with construction work 
and the modification of facilities, 
impacts on birdlife as a result 
of collisions and fire hazards). 
In addition, these measures are 
complemented with environmental 
improvement actions to enhance 
biodiversity in those areas where 
facilities are located.
Red Eléctrica´s current facilities 
occupy only 0.08% of the Red 
Natura Española (Natura 2000 
Network). Of the total infrastructure, 
existing in 2016, only 15% of the 
lines and 6% of the substations  
are located in protected areas  
(Red Natura). 
Protection of  
habitats and species  
during works 
In works for the construction of lines 
or the modification of facilities, the 
main effects to be avoided are the 
alteration of the habitat of certain 
species of fauna and flora, and also 
the impact on vegetation due to 
the opening up of safety corridors, 
necessary to prevent fires in the 
operation of the line. / G4-EN12
Among the preventive and corrective 
measures applied, noteworthy are 
the following: 
• Detailed field studies on specific 
issues, such as impact reports for 
Red Natura and surveys to identify 
the presence of protected flora 
and fauna. 
• Introduction of modifications in 
the design of facilities to mitigate 
their effect on flora: compacting 
or increasing the height of towers, 
relocation of towers, modification 
of access roads etc. 
Electricity infrastructure 
and biodiversity
Red Eléctrica’s facilities are 
distributed nationwide, as the  
aim of the electricity transmission 
grid is to connect the points of 
energy generation with those  
of consumption. Avoiding areas  
rich in biodiversity is a priority 
criterion taken into account in  
the grid planning phase as well  
as in the definition of each project. 
However, considering that 25%  
of the area of Spain has some 
form of environmental protection, 
it is inevitable that in some cases 
infrastructure cross, or are located 
in protected areas or areas with 
species of interest.
OF RED 
NATURA 
ESPAÑOLA
OCCUPY 
ONLY 
0.08
%
RED ELÉCTRICA'S 
CURRENT 
FACILITIES
This project seeks to determine in detail 
the natural values present in the area 
of influence of the facilities of Red 
Eléctrica and their conservation status. 
The ultimate goal is to monitor the 
interaction of electricity transmission 
lines and natural habitats of Community 
interest, information that will be able to 
be used for the decision-making process 
regarding the operation and maintenance 
of facilities.
The first phase, which is expected to end 
in 2017, consists of the creation of a digital 
information system with all the data, 
obtained by working in collaboration with 
the different Autonomous Communities 
and experts in the field.
In later phases, work will be carried 
out on the design of plans or measures 
to promote the conservation of these 
habitats (2018-2020).
Hábitat Project  (2015-2020)

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LETTER FROM THE CHAIRMAN AND 
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KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
10
THE
ENVIRONMENT
Corporate Responsibility Report 2016
  
BIOLOGICAL 
STOPPAGES
Are carried out for 4 to 
6 months in all works 
during the breeding 
and nesting season so 
as to avoid impacts on 
various species.
• Construction of decanting 
pools and filters to prevent 
contamination of waterways.
• Signage and protection of habitats 
and species of ecological value to 
avoid them being damaged during 
the course of the work.
• Use of construction techniques 
that minimise earthworks and the 
occupation of land (reducing the 
opening up of access roads, the 
size of work sites and storage areas 
for materials): hoisting structures 
with a boom crane, hanging of 
line by hand, or carrying out works 
using a helicopter or a drone. 
• Transfer of species affected by  
the work to other areas. 
• Biological stoppages in 100% of the 
works during breeding or nesting 
periods to reduce impacts on the 
fauna that may be impacted. 
• Recovery of affected areas: 
restoration of slopes, sowing of 
seed and the planting of flora. 
• Accompanying measures and  
the development of specific 
projects to improve biodiversity  
in affected areas. 
AND A LINE 
MARKING 
PLAN FOR ALL 
AUTONOMOUS 
COMMUNITIES
FOR THE 
PROTECTION OF 
BIRDS
LINE  
MARKING 
2016
• Use of a helicopter to hoist 14 towers in 
the works to improve the 123 kV Ciutadella-
Mercadal line 
• Hanging of line by hand (10 spans), in areas 
located in priority habitat, for the 220kV 
Torremendo-San Miguel de Salinas line 
and 15 spans of the incoming and outgoing 
feeder lines of the Torremendo substation.  
• Biological stoppages of different duration 
(between 4 and 6 months) for 6 lines, 
to avoid impacts on different species, 
notably the Egyptian vulture, Golden eagle, 
Bonelli´s eagle, Booted eagle, Black kite, 
Honey buzzard, Marsh harrier, Grey eaglet, 
Royal owl, Dupont´s lark, Lesser kestrel, 
Little bustard, Pin-tailed sandgrouse, 
Black-bellied sandgrouse, Great bustard, 
Common crane and Sand martin.
• Removal of Sweet tabaiba (Euphorbia 
balsamifera) with its root ball intact, for 
subsequent use in the restoration works 
of the area of the incoming and outgoing 
feeder lines of the El Sabinal substation. 
• Transplanting of 25 Olive trees affected 
by a tower of the incoming and outgoing 
feeder lines of the Godelleta substation, 
for their subsequent use in the restoration 
of the area near this substation.
• Planting of different species to offset 
tree felling works: 200 Poplars in the 
municipality of Valtierra (Navarra), 
restoration of 25.9 hectares in Grandas 
de Salime and 16.9 hectares in Pesoz 
(Asturias), by planting 36,000 Pine trees, 
3,032 Chestnut trees, 3,563 Birch trees and 
1,469 Wild cherry trees. 
Specific measures for the protection  
of habitats and species 2016
Red Eléctrica applies  
construction techniques  
that minimise the impact on 
habitats and also restores  
areas that may have 
been affected.
RISK  
MAPS

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
10
THE
ENVIRONMENT
Corporate Responsibility Report 2016
lines' was completed; a project for 
which the Company has received 
various recognitions since it was 
rolled out in 2016.
Thanks to this project, 47 focal 
species (considered prone to 
collisions) have been identified 
and selected according to diverse 
criteria. The most complete and 
updated data on the presence and 
flight routes of these species has 
been reflected in a geographic 
information system.
With this information, sensitivity 
maps (areas where these species 
can be found and which should 
be kept in mind when defining 
new line routes) and risk maps 
(sensitive areas in which there 
are also factors that influence the 
probability of accidents occurring) 
have been prepared.
 
Based on the analysis of the risk 
maps, work is being carried out 
on a Multi-Year Line Marking 
Plan, in which priority is given to 
actions in the sections of the line 
with the greatest potential impact 
on birdlife. Work under this plan 
began in 2016, with lines being 
marked in the island systems; 
foreseen to be completed in 2023.
Minimising the  
risk of bird collisions 
The main effect on fauna by Red 
Eléctrica’s facilities is the risk 
of birds colliding with grounding 
cables that protect the lines from 
electrical discharges during storms. 
The main measure to reduce that 
risk is marking the grounding cables 
with devices that increase their 
visibility. / G4-EN12
In 2016, the project ‘Identification, 
characterisation and mapping of 
flight paths of birds that interact 
with high voltage transmission 
OF CRITICAL  
PRIORITY  
LINE MARKED  
UP TO 2016
217.7
km
MULTI-YEAR  
LINE MARKING 
PLAN
2012
2013
2014
2015
2016
  Km of line       
  % of the total lines
(1) Data for the Peninsula accumulated at the end of each year.
2,585
2,330
2,776
10.0%
10.6%
10.1%
8.6%
2,950
3,040
Marking of lines with 
bird flight diverters (1)
km
9.5%
Objective of the Plan: line marking 
on all the sections that have been 
designated as a priority for critical 
intervention (sensitive areas), a total  
of 738.5 km of lines. Line marking  
of the sensitive sections represents, for 
the transmission grid, a 25% reduction 
in the potential risk of collision.
Up to the end of 2016: 217.7 km 
of sensitive line had been marked 
(marking of these lines represent a 
15.2% reduction in the potential risk  
of collision).
Total length of sensitive lines pending 
line marking: 528.8 km (marking of 
these lines will represent the remaining 
10.2% reduction).
Multi-year line marking plan (2016-2023)
15%
reduction in  
the potential 
risk of collision

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
10
THE
ENVIRONMENT
Corporate Responsibility Report 2016
• Collaboration with SEO Birdlife 
on the drafting of the 3rd 
Atlas of birds in the breeding 
season in Spain (2014-2018). 
The information obtained will 
allow the data relevant to the 
identification, characterisation 
and mapping of routes and flight 
paths to be updated. 
Fire prevention
In order to minimise the risk 
of fire associated with the 
presence of transmission lines 
strict compliance with the 
safety distances between flora 
and facilities is critical. Red 
Eléctrica ensures this compliance 
through the proper design of the 
safety corridors and the actions 
of predictive and preventive 
maintenance, such as the annual 
inspection of all facilities and 
conducting periodic forestry work. 
The Company applies best practices 
in the design and maintenance of 
safety corridors, respecting shrubs 
and small size/slow growing tree 
species, minimising the actions on 
protected species and not using 
chemical treatment methods. 
In order to optimise the vegetation 
treatment tasks, the R&D+i Vegeta 
Project (2016-2017) was launched. 
During 2016, work was done on 
defining an algorithm that, based 
on the analysis of different variables 
(state of the vegetation, growth 
index, distance from the electricity 
line, legal requirements and other 
established criteria) allows felling 
works to be coordinated with 
greater efficiency. The project 
also includes making detailed 
inventories of the vegetation in the 
safety corridor below the overhead 
lines, making it possible to identify 
more precisely the compatible 
and incompatible species, thus 
Other relevant projects regarding 
the protection of birds in relation to 
collisions are:
• A specific methodology and 
protocol for the collection and 
analysis of data from bird collision 
accident rates with electricity 
transmission lines.
• Analysis of the effectiveness of 
blade-type bird flight diverters in 
different bird communities. Project 
carried out in collaboration with 
the Doñana Biological Station 
(CSIC) (2013-2018).
WITH GREATER 
EFFICIENCY. 
IDENTIFIES 
COMPATIBLE AND 
NON-COMPATIBLE 
SPECIES
ESTABLISHES THE 
FELLING 
SCHEDULE
Facilitates the 
application of 
environmental 
criteria in 
maintenance  
tasks
VEGETA 
PROJECT
The prevention of fires  
associated with transmission  
lines is achieved with the 
adequate design of the security 
corridors and by conducting 
predictive and preventive 
maintenance activities on facilities.

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
10
THE
ENVIRONMENT
Corporate Responsibility Report 2016
FIRE  
PREVENTION 
AGREEMENTS
11 agreements are 
currently in force 
between Red Eléctrica 
and the competent 
administrations, with 
a budget of 1.1 million 
euros every 5 years.
facilitating the application of 
environmental criteria to the 
maintenance work. So far, a pilot 
project has been carried out in 
one Autonomous Community and 
in 2017, a second pilot project 
will be undertaken in another 
community which has different 
characteristics in order to validate 
the methodology.
Also, noteworthy is the active 
and ongoing collaboration of Red 
Eléctrica with public administrations 
involved in forestry management.
Contribution  
to biodiversity  
conservation  
/ g4-en13
Red Eléctrica actively contributes 
to the conservation of biodiversity 
in Spain spearheading or 
participating in various projects 
and conducting dissemination 
activities and environmental 
training. The Company aims to 
carry out conservation projects  
in all autonomous communities.  
In 2016, it collaborated on 
projects related to biodiversity  
in ten autonomous communities. 
Most of these projects are linked 
to birdlife conservation, although 
work is also being carried out on 
other types of flora and fauna. 
Also relevant are the actions 
aimed at restoring degraded 
habitats, among which noteworthy 
is the 'REE Forest'. 
AUTONOMOUS
COMMUNITIES
IN 2016
IN10
Projects  
related to birdlife 
and other species
of flora and fauna
CONSERVATION 
PROJECTS
Red Eléctrica aims to sign agreements with 
the different competent administrations 
in forestry management. In these, issues 
are reflected related to the management 
of safety corridors where electricity lines 
run through and additionally it sets out 
other commitments related to firefighting. 
Currently, there are 11 agreements in 
force, with a budget of 1,100,000 euros 
associated every five years. 
Within the framework of these 
agreements, various actions were carried 
out in 2016:
• Supply of 39 individual sets of protective 
equipment for hired personnel (Navarra).
• Selective clearing of land for the 
prevention of fires (Navarra).
• Training and awareness actions: 
awareness campaign for school children, 
farmers and infrastructure maintenance 
contractors (Aragón), Head of Forest Fire 
Fighting course for staff of the Regional 
Government of Extremadura and Vizcaya, 
Forest fire prevention campaign to raise 
awareness among the tourism sector 
in the Balearic Islands, collaboration on 
the general informative campaign called 
‘El bosc vital’ in Valencia and the 3rd 
Working Days on forest fire prevention 
in Castilla La Mancha. It is interesting to 
note that within the framework of the 
latter, people took part in the first edition 
of the 'International Forest Fire Awards 
2016', whose objective is to promote 
research in this field. 
Collaboration agreements for the prevention  
and fighting of forest fires

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
10
THE
ENVIRONMENT
Corporate Responsibility Report 2016
1.79
MILLION 
EUROS  
INVESTED
750
ha
OF SURFACE 
AREA RECOVERED
REE 
FOREST
• Platforms for the Osprey (Pandion 
haliaetus) in Andalusia. (1)
• Reintroduction of the Bonelli's eagle 
(Hieraaetus fasciatus) in Majorca. (1)
• The actual impact of supplementary 
feeding on the spatial and reproductive 
ecology of the Bonelli's eagle  
(Hieraaetus fasciatus) in the Community 
of Valencia. (1)
• Monitoring, conservation and recovery of 
the population of the Spanish Imperial 
eagle (Aquila adalberti) in Doñana. (2) (3)
• Adaptation of the facilities of the 
Bearded Vulture (Gypaetus barbatus) in 
La Alfranca. (2)
• Foraging areas and movements of the 
Canarian Hubara (Chlamydotis undulata 
fuertaventurae). (2) (3)
(1) Vulnerable species according to the national 
catalogue of endangered species.
(2) Vulnerable species in danger of extinction 
according to the national catalogue of 
endangered species.
(3) Vulnerable species according to the IUCN  
Red List.
Conservation projects in connection  
with endangered species  / G4-EN14 
Posidonia oceanica is a marine  
plant endemic to the Mediterranean.  
It forms a habitat of priority interest,  
an essential ecosystem for many 
organisms to complete their lifecycle. 
Posidonia contributes to the control of 
water quality and the protection of the 
coastline, and also constitutes one  
of the main CO2 sinks in the sea.
The Posidonia seagrass meadows  
can be affected due to various reasons, 
among them, the construction works 
for submarine electricity cables. For this 
reason, Red Eléctrica decided to promote 
this project, in collaboration with the 
Mediterranean Institute of Advanced 
Studies (CESIC-IMEDEA), whose objective 
has been to define and develop the 
necessary actions to restore the  
Posidonia meadows. 
Main phases of the project:
- Review of previous studies, definition  
of the project and training of the team.  
- Non-invasive collection of Posidonia 
fragments and seeds.	
- Cultivation of fragments and seeds in  
an aquarium (laboratory).
- Sowing of seeds and planting of 
fragments on different substrates  
of the bays of Santa Ponsa (Majorca) 
and Talamanca (Ibiza).
- Monitoring of plantations (growth rates 
and degree of survival).
As a conclusion of the work, it has been 
possible to determine that the plantations 
are viable (survival rates around 50% have 
been obtained), so from this experience 
Experimental technique for the recovery of Posidonia oceanica  
seagrass meadows (2012-2016) R&D+i project / G4-EN13
it is planned to establish an open 
methodology for its use.
As a follow-up to this project, Red 
Eléctrica has decided to launch the project 
‘Red Eléctrica Marine Forest’, which will  
be developed in collaboration with the CSIC 
and the Balearic Islands Government and 
whose purpose is the actual restoration of 
2 hectares of Posidonia in a degraded area 
of the Bay of Pollensa (Balearic Islands), 
following the methodology resulting from 
the research carried out. This plantation 
will be a living laboratory in which to 
continue advancing in the knowledge  
of the species and its ecology.

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
10
THE
ENVIRONMENT
Corporate Responsibility Report 2016
of biodiversity. This initiative 
also seeks to contribute to the 
development of local economies 
by contracting work to companies 
or groups in the area, and also 
raise awareness and involve the 
local population and Company 
employees.  
Red Eléctrica  
Forest   
/ G4-EN13
Started in 2009 and of an ongoing 
nature, this project is twofold: 
to offset emissions from Red 
Eléctrica by planting trees and the 
recovery of degraded natural areas 
of public ‘common’ land, thus 
contributing to the conservation 
In the ‘Map of projects’ subsection of the ‘Sustainability’ section of the corporate website.
La Carballeda Forest (Zamora). 
Restoration of 55.68 hectares of land 
affected by forest fires in the municipality 
of Espadañedo by planting 104,830 
trees of different species: Pine (Pinus 
sylvestris), Birch (Betula alba), Wild cherry 
(Prunus avium), Mountain ash (Sorbus 
aucuparia), Oak (Quercus robur and 
Quercus petraea). Training workshops have 
been held for 153 schoolchildren from five 
schools in the area in addition to a forest 
tour, within the same programme created 
to work in the framework of the Puebla de 
Sanabria forest project ‘I plant my land’. 
Tremuzo Forest (Galicia). Restoration of 
40.87 hectares in the Tremuzo highland 
area (Concello de Outes) that had 
been affected by a devastating fire. A 
total of 59,693 native trees have been 
planted: Pines (Pinus pinaster), oaks 
(Quercus suber and Quercus robur), Birch 
(Betula celtibérica), Chestnut (Castanea 
x hybrida), Alders (Alnus glutinosa) 
and Holly (Ilex aquifolium), which 
complement the species that survived 
the fire (Wild willows and Pear trees). 
The rocky areas, in the highest parts, 
have been preserved in their natural 
state in order to favour open areas for the 
feeding of the fauna and thus contribute 
to the conservation of biodiversity.
The project has been completed with the 
putting up of different informative signs, 
including descriptive milestones for each 
of the species planted and signage for a 
burial structure, dating back about 4,000 
years, found in the area where the works 
were carried out.
Within the framework of the project, 
different workshops have been organised 
with a total of 120 students from the two 
schools in the area, who have also carried 
out the planting of 156 trees. In addition, 
an awareness training day was conducted 
in which 61 Red Eléctrica employees 
participated.
Firgas Forest (Gran Canaria). An agreement 
has been signed with the Island Council  
of Gran Canaria for the restoration of 16.96 
hectares in Parque Rural de Doramas in  
the municipality of Firgas.
Chajaña Forest (Tenerife). An agreement 
has been signed with the Island Council 
of Tenerife for the restoration of 26.97 
hectares in Parque Natural Corona Forestal 
in the municipality of Arico.
Relevant milestones in 2016
T h e  R e d  E l é c t r i c a  F o r e s t 
 
i n  f i g u r e s  ( 2 0 0 9 - 2 0 1 6 )
Tre e s  a n d  
s h r u b s  p l a n t e d
638,145 units
I nve s t m e n t
€1,795,914
Em i s s i o n s  
o f f s e t
183,483 t of CO2 eq.
S u r fa c e  a re a 
re c ove re d
761ha
Scheduled for 2017
Current REE Forests

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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THE
ENVIRONMENT
Corporate Responsibility Report 2016
towards a more sustainable 
energy model: the development of 
transmission infrastructure and 
the implementation of solutions 
for system operation aimed at 
integrating renewable energy 
represent major opportunities 
in sustainability and, at the 
same time, are essential to the 
achievement of the transition 
towards clean energy, whilst 
maintaining security of supply.
Therefore, although Red Eléctrica 
is not subject to regulations 
requiring reporting and the 
reduction (or possibly offsetting) 
of emissions associated with 
their activities, the Company 
decided to formalise its voluntary 
commitment to the fight against 
climate change by publishing in 
2011 a specific strategy that was 
reviewed and approved by the 
Chairman in May 2014.
In order to combat climate change, 
it is indispensable to adopt an 
energy model based on the 
electrification of the economy, the 
decarbonisation of the electricity 
sector and increased energy 
efficiency. 
Red Eléctrica as transmission 
agent and operator of the 
Spanish electricity system is 
a key player in the progress 
Climate 
change  / G4-DMA
RECOGNITIONS  
2016
Inclusion in the CDP 
Leadership Index (A list). 
The Company has been 
recognised as part of the 
group of leaders, for its 
efforts and actions to 
combat climate change.
DJSI	Maximum score 
in the Dow Jones 
Sustainability Index, in 
the criteria of Climate 
Strategy.
Integration 
of renewable 
energies.   
Backing for  
energy  
efficiency  
at all levels.
Reduction 
of Greenhouse  
Gas emissions.
Protection 
of forested  
areas. Fire 
prevention 
and promoting 
reforestation 
projects. 
Development 
of climate  
change  
adaptation 
projects.
Extending 
the commitment 
to stakeholders, 
mainly  
suppliers.
Red Eléctrica is a member  
of the Spanish Green  
Growth Group, an association 
whose goal is to promote 
public-private collaboration, 
in order to progress together 
in the decarbonisation of 
the economy, by working on 
aspects related to mitigating 
actions and the adaptation 
to climate change and to the 
circular economy.   
Red Eléctrica
C O R N E R S T O N E S  O F  
T H E  C L I M A T E  C H A N G E  S T R A T E G Y

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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THE
ENVIRONMENT
Corporate Responsibility Report 2016
renewable energy and the rail 
transport network.
Also included are all the projects 
to promote the maximum 
integration of renewable energy, 
such as optimising CECRE, 
improved tools for predicting 
renewable generation, the 
development of mechanisms 
for its participation in system 
ancillary services and the 
integration of energy storage 
systems. In addition, in this 
regard, all activities to contribute 
to the efficiency of the electricity 
system are contemplated, such 
as the different demand-side 
management measures and the 
development of research projects 
relating to smart grids and 
electric mobility.
Detailed information on these actions 
is described in the Sustainable 
Energy chapter of this report.
Reducing the  
carbon footprint
The Action Plan sets the reduction 
or compensation of 21% of the 
company emissions compared 
to 2010 as a general target for 
2020, in addition to other partial 
objectives. The activities are 
grouped into four broad areas: 
improved calculation of the carbon 
footprint, reduction of SF6 gas, 
greater efficiency in electricity 
consumption and reducing fuel 
consumption of fleet vehicles and 
the reduction of business trips. In 
this chapter, we describe these 
aspects in more detail.
Red Eléctrica is working on revising 
the objectives included in said plan, 
in order to adapt them to the new 
international situation (the Paris 
Agreement and the new European 
targets) and to internal changes 
(that affect the methodology for 
calculating emissions and different 
aspects of management). During 
2017, it is expected that an updated 
action plan will be approved and 
presented.
Climate change  
action plan
In May 2015, Red Eléctrica 
launched an Action Plan on 
climate change which included 
the targets to achieve in this 
area and the measures to be 
undertaken to reach these targets 
are established. The plan is divided 
into four main lines of work: 
Contribution to a  
sustainable energy model
Includes actions related to 
the activity of Red Eléctrica as 
operator and transmission agent 
of the electricity grid, and is 
necessary for the achievement 
of the European 20-20-20 
targets for the year 2020. In 
this regard, the construction 
of facilities is expected to help 
reducing emissions from the 
electricity system as a whole, such 
as electricity interconnections 
and the transmission facilities 
necessary for the evacuation of 
Red Eléctrica works on 
the review and update of the 
targets included in the Climate 
Change Action Plan.
CARBON 
FOOTPRINT
Found under the heading ‘Energy and climate 
change’ within the ‘Sustainable energy’ 
subsection of the ‘Sustainability’ section of the 
corporate website.
REDUCTION OR 
OFFSETTING 
OF 21
%
Of the 
Company's 
emissions in 
2020 compared 
to 2010

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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THE
ENVIRONMENT
Corporate Responsibility Report 2016
Adapting to  
climate change
Besides working on mitigation 
actions, Red Eléctrica is aware 
of the need to work in the field 
of adaptation to climate change. 
For this reason, it has identified 
and evaluated both the risks and 
opportunities arising from climate 
change and has begun to develop 
some actions derived from this 
analysis. 
Climate change risks  
and opportunities / G4-EC2
The climate change risks inherent 
to Red Eléctrica are integrated 
into the corporate risk map. The 
Corporate Governance chapter of 
this report, which details the risks 
inherent to the Company, provides 
information on the climate change 
risks and the main actions carried 
out by Red Eléctrica to manage 
them. Regarding opportunities, 
the fight to stop climate change 
implies a change in the energy 
model and the transmission 
model. Policies set at European 
level are clearly aimed at these 
purposes. The need to increase the 
share of renewable energy in the 
electricity system (connection of 
new facilities and the optimisation 
of their management), the 
improvements to be undertaken 
in order to increase the efficiency 
of the system, changes in mobility 
policies (boost to rail transport and 
development of electric vehicles) 
represent a clear need for new 
investment in the transmission 
grid (new lines, interconnections) 
and therefore, a clear business 
opportunity for the Company. 
Involvement  
of stakeholders
This covers a series of initiatives 
whose goal is to involve the 
stakeholders in Red Eléctrica´s 
commitment to combat climate 
change. To this end, different 
channels of collaboration with 
the administration have been 
established and actions are 
also being defined to extend the 
commitment to the Company´s 
suppliers. Different activities are 
also being carried out to make the 
public aware of and sensitive to 
this issue. It is worth noting that 
Red Eléctrica participates as a 
global partner in the ‘Community 
for the Climate’ initiative, 
which is driven by several local 
social entities, the Ministry of 
Agriculture and Fisheries, Food and 
Environment, the Spanish Green 
Growth Group and several NGOs, 
and whose goal is to promote 
climate-related actions in Spanish 
society.
CLIMATE  
ACTIONS IN 
THE SPANISH 
SOCIETY
Red Eléctrica 
jointly 
participates  
with the Ministry 
of Agriculture, 
the Spanish 
Green Growth 
Group and 
Various NGO's
COMMUNITY
FOR CLIMATE
Besides working on mitigation 
actions, Red Eléctrica is aware  
of the need to work in the field  
of adaptation to climate change. 
DRIVES

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LETTER FROM THE CHAIRMAN AND 
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KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
10
THE
ENVIRONMENT
Corporate Responsibility Report 2016
Control of sf6 emissions
The main direct emissions derived 
from Red Eléctrica’s activities are 
those of sulphur hexafluoride (SF6). 
This gas, despite its high potential 
for global warming, provides 
huge technical advantages. It is 
a nontoxic gas that allows a huge 
reduction in the distances to be 
maintained between the various 
elements of facilities which makes 
it possible to reduce the size of the 
installation and therefore better 
blend it into the landscape. 
The emissions of this gas are 
associated with small leaks from 
equipment, leakages due to 
handling the gas and those one-off 
accidents that may occur, which 
makes it very difficult to establish 
measures and reduction targets. 
However, for Red Eléctrica this is 
a priority issue and it has various 
courses of action underway 
aimed at improving knowledge 
about and control of the gas and 
the reduction of leaks. The most 
important courses of action are 
the following: 
• Improvement of the procedures 
for the control and identification 
of leaks, inventory and 
management of SF6 gas. In this 
regard, during 2016, Red Eléctrica 
has continued to improve the 
procedure for monitoring the gas 
and the calculation of annual 
emissions having incorporated 
this process into the Company's 
IT tools (this new procedure will 
be implemented during 2017). 
 
In addition, work has been done 
on defining new requirements 
for the handling of SF6 gas 
by suppliers and contractors 
and for the management of 
equipment at the end of its useful 
Emissions inventory  
/ G4-DMA
Red Eléctrica drafts its emissions 
inventory based on the 
methodology of the GHG Protocol. 
Since 2011, the Company has been 
working on expanding the inventory 
and improving the calculation 
processes. Since 2013, the 
inventory has been submitted to 
independent review in accordance 
with ISAE 3410. The Independent 
Assurance Report is included in the 
annex to the present report.
IMPROVEMENT 
OBJECTIVE  
IN 2016 
CONTEMPLATES 
THE FOLLOWING 
CRITERIA:
• Improvement 
in the monitoring 
calculation
• Requirements 
from suppliers
• Reduction in 
response times
MANAGEMENT OF
SF6 
In 2016, Red Eléctrica registered its  
emissions inventory in the Carbon 
Footprint Registry, offsetting and 
absorption projects of the Spanish  
Climate Change Office (MAPAMA). 
During 2016, the action  
guidelines when faced with SF6 
leaks have been revised in order  
to minimise breakdown and 
incident resolution times.

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
10
THE
ENVIRONMENT
Corporate Responsibility Report 2016
Additionally, Red Eléctrica works in 
collaboration with the government 
and other entities in the search 
for solutions aimed at controlling 
and reducing these emissions. 
During 2016, different meetings 
were held under the framework 
of the voluntary agreement 
signed in May 2015 between the 
Ministry of Agriculture, Food and 
Environment, manufacturers and 
suppliers of electrical equipment 
using SF6, transportation 
companies and electricity 
distribution companies and waste 
managers for this gas and the 
equipment containing it, for a 
comprehensive management of 
the use of SF6 in the electricity 
industry which is more respectful 
to the environment.
life. Criteria related to action 
guidelines regarding leakage 
have also been revised in order to 
minimise breakdown and incident 
resolution times to minimise 
emissions. The execution of all 
these works has been considered 
a priority managerial objective 
for the Company, reaching a 
compliance of 100% in 2016. 
• Provision of the most efficient 
equipment for the detection 
of leaks, the handling and 
measurement of SF6 
• Training of people involved in the 
handling of the gas. Red Eléctrica 
has two legally recognised 
training centres with a classroom 
for lectures and a workshop 
for experiments in which 426 
employees have been trained 
since 2013.
• Replacement of old equipment 
with equipment with lower 
leakage rates. 
• R&D+i projects related to the 
improvement in the management 
of gas. Collaboration with 
EPRI (2015-2020) and the 
development of a leak repair 
methodology for SF6 in GIS 
facilities (2016-2018).
HAVE RECEIVED 
TRAINING IN  
THE HANDLING 
OF SF6
426
EMPLOYEES
Since 2013
TRAINING  
CENTRES
Objective 2020:  
Avoid 1,500 t CO2 eq. per year.
Actions 2016:  
1,076 t of CO2 eq. avoided annually.
Actions 2015-2016:  
1,353 t CO2 eq. avoided annually. 
Note: The calculation of avoided emissions is carried out taking into account the theoretical 
leakage rates of the equipment, depending on their age.
Replacement of old equipment with equipment  
with a lower leakage rate
SF6 Emission  
rate 
%  o f  e m i s s i o n s  
o f  i n s ta l l e d  gas
%
The reference rate is 0.5 %, which is the 
maximum leakage rate for equipment in service 
established in the Voluntary Agreement for SF6 
management signed in 2015. This rate is set for 
the equipment commissioned from the date the 
agreement was signed, allowing greater leakage 
rates in previous equipment.
2015
2016
0.37
0.30
Evolution of SF6 
gas installed in  
Red Eléctrica  
kg
421,666
373,806
324,696
2016
2015
2014
The growth in installed gas is due to the 
commissioning of new facilities and the 
replacement of old equipment for equipment 
insulated with SF6. However, the large increase 
in 2016 is also associated with the updating of 
the inventory of SF6 gas insulated substations, 
which has made it possible to determine the 
amount of gas contained in them (which in 
previous years was estimated).

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
10
THE
ENVIRONMENT
Corporate Responsibility Report 2016
During 2016, a series of energy 
audits were carried out in 
compliance with RD 56/2016 on 
energy efficiency. As a result of 
these works, different efficiency 
measures have been identified 
related to climate control 
systems and lighting that will be 
Energy management system 
certified under ISO standard 50001 
in the buildings of the Head 
office.
• Efficiency measures in the 
construction of new buildings.  
In 2016, a new service and 
logistic depot building was built 
in the Torrente substation (Ibiza) 
that obtained a B energy rating.
• Efficiency measures in the 
refurbishment of existing 
buildings. In the last year, 
improvement measures have 
been implemented in the climate 
control, lighting and insulation 
systems in six work centres, 
which are estimated to represent 
a saving of 96,981 kWh per year.
Efficiency measures associated 
with the use of computer 
equipment: 
• Renewal of equipment and 
systems. 
• Implementation of policies for 
efficient use, with a target of 
reducing electricity consumption 
associated with this equipment 
by 60 % in the period 2012-2020. 
• In 2016, a renewal of equipment 
(laptops, desktops and monitors) 
was carried out that represents 
an estimated reduction in 
electricity consumption of 2,548 
kWh per year.
Reduction of electricity 
consumption in substations: 
selection of more efficient 
equipment and components and 
establishing efficient guidelines 
for use, with a special focus on 
auxiliary services: climate control in 
buildings housing control elements, 
substations and cabins and 
improvement of lighting systems.
Advances in the standardisation 
of new technologies and the 
rationalisation of the use of 
lighting in substations. Launching 
of the innovation project: ‘Study 
on the use of geo-cooling for 
gas-insulated facilities and cable 
galleries’ (R&D+i).
Awareness campaigns for 
employees and collaborators 
working in Company facilities.
Buildings
IT Systems
Substations
Awareness
implemented between 2017 and 
2018 and are estimated to bring 
savings of 183,800 kWh per year. 
One of the axes of the Company's 
climate change strategy is the 
commitment to energy efficiency at all 
levels. In order to make it visible, and 
to encourage employees to identify and 
drive projects that promote the efficient 
use of natural resources, the internal 
efficiency brand Red Eléctrica Eficiente 
has been created, which identifies all 
these projects.
Each year some of them are awarded for 
their contribution to the achievement 
of the different efficiency objectives. In 
the Fourth Edition of the Red Eléctrica 
Eficiente Awards, three awards were 
presented:
Sustainable Stock Project: reverse 
logistics project that allows the recovery 
of part of the value of equipment or 
materials not useful for the Company, 
through an auction system for reuse or 
valuation by third parties. 
Automatic Real-Time Management 
of the El Hierro Hydro-wind Power 
Station. The tool proposed in this project 
automates the real-time monitoring 
of wind power generation and the 
state of the power station, supporting 
the system operator and allowing the 
maximum integration of renewables 
under secure conditions. Thanks to 
this, new records of renewable energy 
integration were reached throughout the 
year, with periods of more than 70 hours 
of continuous demand coverage with 
100% renewable energy being registered. 
The total integrated renewable energy 
has gone from 19% in 2015 to 42% in the 
period January-November 2016.
REDCOM Project. Extension of the use 
of Microsoft's Lync communication tool 
in terms of the number of users and the 
use of features, with the benefits that 
this entails in improving communication 
and reducing trips.
Red Eléctrica eficiente
E F F I C I E N C Y  I N  E L E C T R I C I T Y  C O N S U M P T I O N

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
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ABOUT THIS REPORT
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THE
ENVIRONMENT
Corporate Responsibility Report 2016
in its 'Master' mode (the most 
demanding) received from AEGFA 
(Association of Fleet Managers) 
and IDAE (Institute for Energy 
Diversification and Saving) 
obtained by Red Eléctrica in 
2015. 
• Reduction of emissions 
associated with business 
trips: launch of a corporate 
fleet of 12 electric vehicles 
for trips during the working 
day; prioritisation of the use 
of efficient taxis (75% of the 
kilometres have been travelled 
in ECO taxis) and improvements 
in communication tools, in order 
to reduce the number of trips 
(video conferences and remote 
accessibility platforms). 
• Rationalisation of the use of 
private vehicles in the commute 
to workplaces: Improvements 
in the company bus service and 
shuttle services connecting 
the offices with different 
locations; redesigning routes 
and lengthening hours so as 
to provide a better service; 
inclusion of the transport pass 
in the employee options for 
payment in kind (16% of the 
employees have adopted this 
measure) and promoting the 
use of shared vehicles (53% 
of the employees are doing so 
regularly). 
• Efficient vehicles for executives: 
implementation of a fleet of 
electric and hybrid vehicles 
for the executive team, with 
recharging points at work 
centres.
Sustainable mobility
Red Eléctrica has for several 
years been working on optimising 
the trips made for executing its 
work and reducing the emissions 
associated with them. In 2014, it 
decided to give a greater impulse 
to this initiative, by approving 
a Sustainable Mobility Plan, 
with the goal of incorporating 
a new culture of mobility in the 
Company. Among the most 
important measures taken, the 
following are noteworthy: 
• Efficient vehicle management: a 
progressive improvement in the 
energy rating of the vehicles used 
and the optimisation of their use, 
through the CARs IT application 
(Agile, Responsible and Safe 
Driving System), which facilitates 
responsible driving and the use 
of efficient routes. Proof of this 
is the 'Green Fleet Accreditation' 
ENERGY 
RATING 
OF VEHICLES
• 30% reduction in emissions associated 
with the use of fleet vehicles (2010-2020). 
• 300 t of CO2 equivalent avoided each year 
on business trips as of 2020. 
• 200 t of CO2 equivalent avoided annually 
in the employee commute to work centres 
as of 2020.
Mobility  
targets 2020 
The Company is committed  
to the rationalisation of  
the use of private vehicles  
in the commute  
to workplaces.
77.65 % of fleet vehicles 
(including saloon cars, shared 
leasing vehicles, management 
vehicles, pool of electric 
vehicles, off-road, vans and  
car-derived vans) have an 
energy rating of A or B, or  
are electric.
If we exclude special  
purpose vehicles (off-road,  
vans and car-derived vans)  
this percentage reaches 98.5 %.

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
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Corporate Responsibility Report 2016
During 2016, work was completed 
on the planting of the La 
Carballeda Forest (Zamora), 
which is estimated will offset 
31,449 tonnes of CO2 and which, 
when added to the work already 
executed at Ejulve in 2015, will 
offset all of the direct emissions 
from 2015.
Additionally, the planting of 
59,693 trees in the Tremuzo 
Forest (Galicia) will offset 17,908 
tonnes of CO2, representing 57% 
of the direct emissions during 
2016, thereby meeting the goal 
of offsetting 20% of the direct 
emissions, as reflected in the 
climate change action plan. 
Moreover, for the fourth 
consecutive year the Company 
has offset a part of the emissions 
corresponding to employee 
commutes to their respective work 
centres, having purchased a total 
of 2,050 VCUs (Verified Carbon  
Unit) under the standard VCS 
(Verified Carbon Standard), which 
correspond to the emissions 
generated by all those workers 
who answered the mobility survey 
2016 (57.15% of the workforce). 
This purchase has been offset 
by supporting a project against 
a deforestation project in the 
Amazon rainforest - Peru:  
‘Madre de Dios Amazon REDD 
Project’, which contributes to  
the conservation of biodiversity  
in the area and the development  
of indigenous communities.
Offsetting  
emissions
Red Eléctrica has put into 
effect different alternatives for 
emissions reduction. However, 
given the nature of the emissions 
(the main direct emissions are 
diffuse) and the characteristics 
of the Company´s activities, in 
order to achieve greater progress 
in reducing the Company’s carbon 
footprint, it is important to work 
on offsetting measures. The main 
method of offsetting emissions is 
the execution of the Red Eléctrica 
Forest programme, described in 
the chapter on biodiversity.
  
TREMUZO  
FOREST
The planting of  
59,693 trees in this 
forest in Galicia has 
represented the 
offsetting of 57%  
of direct emissions  
in 2016.
OF TOTAL 
DIRECT 
EMISSIONS
20
%
Meeting  
the annual 
target of the 
Climate Change 
Action Plan
OFFSETTING 
EMISSIONS
Red Eléctrica offsets part  
of its emissions by supporting 
a deforestation project in the 
Amazonia rainforest of Peru.

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
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THE
ENVIRONMENT
Corporate Responsibility Report 2016
MANAGEMENT  
OF WASTE  
FROM WORKS
Red Eléctrica includes 
specific requirements 
in the contractual 
documentation for 
works, and reviews  
its compliance  
through on-site 
inspection of works.
identified and an R&D+i project has 
been launched, and some results 
have already been obtained.
However, and given the nature of 
the waste generating activities, 
it is very difficult to predict 
the evolution of the quantities 
generated and set quantitative 
reduction targets. Therefore, 
most of the efforts are aimed at 
finding better solutions for final 
The waste that Red Eléctrica 
generates is produced as a result 
of the following activities: 
• Preventive or corrective 
maintenance tasks: inspections, 
changing of parts, oil renewal, etc. 
• Actions against accidents: 
containment measures used in 
the case of leaks or spillages and 
cleaning work may lead to a large 
amount of associated waste. 
• Improvement of facilities: 
renewal of obsolete switchgear, 
improvement in accident 
prevention systems, among 
others. 
Red Eléctrica has established 
processes that help minimise the 
quantity and the hazardous risk 
level of waste generated, such as 
the in-situ regeneration of power 
transformer oil for its reuse and the 
avoidance of the need to deal with 
large quantities of oil as waste. In 
this line, the opportunity to reduce 
'water-oil mixture' waste has been 
Waste  
and EFFLUENTS  / G4-DMA
being 
minimisation 
and reuse the 
prevailing 
criteria
WASTE 
MANAGEMENT
The goal of the project is to develop 
a catalyst that allows, through the 
utilisation of a mobile plant, for 
the cleaning of the water from oil 
containment pits, so that it would only 
be necessary to manage, through an 
authorised waste management expert, 
part of their content (the oil) and not the 
entire amount (the water-oil mixture). 
The treated water could then be reused 
in the same pits, in order to maintain 
the level of water needed for them to 
function correctly. In this way, the waste 
to be managed and dealt with would be 
significantly reduced.
 
The project has been undertaken in 
two phases. In the first, experimental 
phase, the contents of different pits 
were analysed and characterised in a 
laboratory; in a second phase, practical 
treatment was carried out in situ at 
different substations. In both phases, 
very positive results were obtained, with 
very high performance (higher results 
with the more contaminated waste). 
In all cases, hazardous waste has been 
reduced by at least 90%.  
During 2017, work will continue on 
applying the conclusions of this work to 
the real management of Red Eléctrica’s 
facilities. 
Minimisation of waste resulting from the cleaning  
of transformer containment pits. R&D+i project
management, promoting good 
practice through training and 
awareness and seeking the best 
options among our suppliers.
The waste generated in 
construction activities is 
managed by contractors.  
For all works there, is a waste 
management plan which sets 
out the management to be 
carried out in each case, with the 
APPLICATION  
OF 
BEST
PRACTICES

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
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THE
ENVIRONMENT
Corporate Responsibility Report 2016
Protection against  
leaks and spillages
Red Eléctrica includes among 
its environmental risks the 
risk of contamination of soil or 
groundwater from leaks or spillages 
of oils, fuels and hazardous 
substances. For this reason, it has 
established numerous preventive 
and corrective measures to 
minimise these risks. 
On the one hand, proper 
maintenance of equipment is 
carried out and strict working 
procedures that reduce the number 
of incidents are established. On 
the other hand, it has adequate 
containment systems (especially 
relevant in the case of power 
transformers containing large 
amounts of oil) and response 
protocols when faced with possible 
events that result in a reduction of 
the severity of the consequences 
should accidents occur.
Apart from all these measures, the 
Company has decided to promote 
work intended to minimise, as 
much as possible, the risks from 
leaks and spillage of hazardous 
substances. To this end, during 
2015 and 2016, the ‘Evaluation 
of environmental risk and the 
identification of environmental 
liabilities at electricity substations’ 
project was carried out. The 
goal was to define the level of 
environmental risk associated 
with these substations and to 
classify the facilities in accordance 
with the same. The evaluation 
has centred mainly on those 
substations where there is 
equipment present with significant 
oil content. Besides evaluating 
the potential risk of impacting 
on the soil and water associated 
with the different elements of the 
substations, consideration has 
also been given to risks associated 
with activities habitually carried 
out, as well as those activities 
carried out adjacent to the sites, 
in addition to the environmental 
value of the surroundings and their 
vulnerability.
Once the facilities were classified, 
a proposal was made for actions, 
prioritised according to urgency, 
to reduce, control or completely 
eliminate the risks identified.
Red Eléctrica expects to continue 
working on improving the 
comprehensive management of 
this type of risk. In order to do so, 
in 2017 work will be carried out to 
evaluate the environmental risks 
related to cables with oil.
criteria of minimisation and reuse 
established as a priority (which is 
especially important for surplus 
excavation material). In addition, 
Red Eléctrica includes specific 
waste management requirements 
in the contractual documentation 
of works and reviews compliance 
through monitoring visits to works 
and via documentation control.
  
 
IN 2017
Assessment of 
the environmental  
risk of cables  
containing oil will  
be conducted.
MINIMISE  
THE RISKS OF 
LEAKS AND 
SPILLAGES OF 
HAZARDOUS 
SUBSTANCES
2015-2016
ENVIRONMENTAL  
RISK  
ASSESSMENT
ELECTRICITY 
SUBSTATIONS 
ObjeCtivE: 
This is a reverse logistics project that 
faithfully follows the 3R principle: reduce, 
re-utilise and recycle.
It consists of the sale of materials 
considered useless for their reuse, or 
their valuation as waste, through an 
auction system. The project permits 
the extension of the useful life of some 
materials and the total or partial recovery 
of their components or materials. 
In December 2015, the pilot project ended 
and it became a standard company 
practice due to it being considered very 
effective, given that successful solutions 
were found for 100% of the materials 
auctioned (which so far has represented 
4% of the total stock of Red Eléctrica). 
‘Sustainable Stock’  
Project

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208
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
10
THE
ENVIRONMENT
Corporate Responsibility Report 2016
Indicators
	
2014	
2015	
2016
Diesel	
 408,277	
400,096	
712,853
Petrol	
 -	
44	
49,768
Biodiesel 	
 -	
121	
0
LPG Autogas	
 	
33	
0
Diesel generator sets (1)	
4,100	
5,061	
3,452
(1) Corresponds to diesel refilled in the fuel tanks in 2016.
Note: Data from 2014 and 2015 only includes fleet vehicles owned by Red Eléctrica.  
Data for 2016 includes owned vehicles and shared leasing vehicles (including management vehicles). 
Fuel consumption
/ G4-EN3
L
	
2014	
2015	
2016
Fuel consumption	
 1.52 ∫10 13	
1.48 ∫10 13	
2.82 ∫10 13
Electricity consumption 	
 5.82 ∫10 13	
5.72 ∫10 13	
5.58 ∫10 13
(1) Total consumption data in joules, according to the criteria defined by GRI. 
1 kWh= 36 ∫105 joules; 1 litre of diesel fuel= 37 ∫106 joules; 1 litre of gasoline= 34 ∫106 joules,  
1 litre of gas oil= 37 ∫106 joules; 1 litre of biodiesel= 32.79 ∫106 joules; 1 litre of LPG= 25.7 ∫106 joules.
Summary of energy consumption (1)
/ G4-EN3
J
Electricity consumption 
/ G4-EN3
	
2014	
2015	
2016
Total	
 16,180,971	
15,900,041	
15,516,259
Note: Includes the consumption of the Head Office, the electricity control centres (centres that operate 24/7 and have a 
special energy consumption) and work centres (regional offices and maintenance centres).
Indirect energy consumption.  
Electricity
/ G4-EN3
/
	
2014	
2015	
2016
Transmission grid losses (MWh) (1)	
 3,187,000	
3,023,000	
3,441,000
Transmission grid losses (joules)	
 1.15 ∫10 16	
1.08 ∫10 16	
1.23 ∫10 16
(1) Losses in the electricity transmission grid are related to the location of generation points in relation to the 
consumption points (the greater the distance, the greater the losses), the amount of energy demanded during 
the year, the generation mix of the year (percentage of each generation technology in the total energy generated), 
international exchanges and the shape of the demand curve. Practically none of these factors are manageable by 
Red Eléctrica, making it very difficult to reduce losses. However, Red Eléctrica works to identify and improve those 
factors it can have an influence on. During 2016, the value of losses in the transmission grid increased compared to 
the previous year mainly due to the different distribution of generation in the Spanish peninsular system. 
kWh

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209
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
10
THE
ENVIRONMENT
Corporate Responsibility Report 2016
	
2014	
2015	
2016
Fuel consumption (litres) 	
 239,120	
238,240	
196,973
Fuel consumption (joules) 	
 8.85 ∫10 12	
8.82 ∫10 12	
7.29 ∫10 12
Note: In 2016, the calculation method has been adjusted (this is the reason for the decrease in emissions shown by the data).
1 litre of gas oil = 37 ∫106 joules
External energy consumption.  
Logistics
/ G4-EN4
/
	
kWh/annually	
joules/annually
Efficiency measures in work centres:    
improvements to insulation, climatization   
and lighting (1)	
 113,454	
4.08·10 11
IT efficiency measures:   
Renewal of desktop equipment, 	
 
laptops and monitors (1)	
 2,548	
9.17·10 9
(1) Estimated annual reductions resulting from the measures carried out in 2016  
(estimations obtained from equipment specifications and information based on energy  
audits regarding the implementation of measures).
Reductions in electricity  
consumption
/ G4-EN6
/
Energy intensity
/ G4-EN5
/
	
2014	
2015	
2016
Electricity consumption per employee   
in Head Office (kWh/employee) (1)	
 6,725	
7,126	
6,763
Transmission grid losses  
(MWh/MWh transported) (%) (2)	
 1.320	
1.219	
1.376
Average consumption of vehicles for logistical    
use (external) (litres/100 km) 	
 25.7	
26.6	
26.4
(1) 	The calculation takes into account all staff working at the Moraleja and Albatros work centres (employees of the 
Group, interns, employees from temporary staffing agencies and collaborators).
(2) Losses in the electricity transmission grid are related to the location of generation points in relation to the 
consumption points (the greater the distance, the greater the losses), the amount of energy demanded during 
the year, the generation mix of the year (percentage of each generation technology in the total energy generated), 
international exchanges and the shape of the demand curve. Practically none of these factors are manageable by 
Red Eléctrica, making it very difficult to reduce losses. However, Red Eléctrica works to identify and improve those 
factors it can have an influence on.
Total water withdrawal  
by source
/ G4-EN8
/
	
2014	
2015	
2016
Head Office (m3) (1) 	
 9,177	
9,018	
9,166
Other work centres (m3)	
 18,892	
18,232	
17,276
Total of all work centres (m3) (2)	
28,069	
27,250	
26,442
(1) Only the Head Office building in ‘La Moraleja’ is taken into account. 
(2) The data provided has a coverage of 99%, in terms of personnel (taking into account all personnel that work in the 
different work centres in Spain: employees of the Group, interns, employees from temporary staffing agencies and 
collaborators).
Note: The water consumed comes from: the municipal mains (62.18%), wells (34.6%), cisterns (3.23%). In the Northern 
regional office and in some work centres cisterns are available for the collection of rainwater for sanitary use, fire 
prevention and irrigation. In general, the cisterns do not have mechanisms to measure the water stored, so the actual % 
of utilisation of rainwater cannot be calculated. / G4-EN10

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210
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
10
THE
ENVIRONMENT
Corporate Responsibility Report 2016
Presence of facilities  
in Red Natura spaces
/ G4-EN11
	
2014	
2015	
2016
Km of line in Red Natura/total km of line (%)  	
 15.1	
15.0	
15.0
Number of substations in  
Red Natura/number of substations (%)	
 6.16	
5.96	
5.92
Surface area of facilities in  
Red Natura/total surface in Red Natura (%) (1)  	
 0.09	
0.08	
0.08
Red Natura (Natura 2000 Network) includes: SCI (Site of Community Importance) and SPA (Specially Protected Areas for birds). 
(1) Surface area occupied by lines and substations. The surface area of lines has been calculated assuming an occupation 
of 20 m on each side of the line. It is necessary to keep in mind that the occupation is overhead, there is only actual land 
occupation in the case of the towers. 
Note 1. For the calculation of the 2014 ratios, the base data published in July 2014 was used. In the case of the 2015 ratios, 
the base data published by MAGRAMA in February 2016 was used. For 2016, the base data published by MAGRAMA in January 
2017 was used. 
Note 2. The mapping of in-service facilities is improved and updated annually, whereby some variations in calculations not 
related to the increase or decrease in the number of facilities may result.
Most relevant impacts on protected spaces  (1)	
Effects on marine SCI of ‘Canal de Menorca’: Contamination of three coves and subsurface waters due to accidental oil leakage in the Majorca-
Menorca interconnection cable. Leakage due to accidental damage to cable caused by the anchor of a yacht and also through two accidental 
leaks. Affected area: between 1,200-1,600 m2 of seabed and a seawater surface area of between 2,200 and 2,600 m2. Measurements were 
taken for the containment of the spillage as well as for the cleaning up of the affected beaches and of the oil present on the surface of the 
water. In addition, various actions were carried out regarding water characterisation and the monitoring of potentially affected areas. 
Effects on the beach of ‘Cala Mesquida’ in the SCI and SPA of ‘Muntanyes d'Arta’ due to the leakage of a land section of the Majorca-Menorca  
interconnection cable. Affected area: 1,100 m2 of soil and 1,700 m2 of groundwater. Different characterisations of soils and water have been 
made to determine the extent and depth of the impact (pending final results). Emergency measures have been established to extract the  
contaminating product present in groundwater.
Most relevant impacts on vegetation	
Felling of Sweet Tabaibas (Euphorbia balsamifera) linked to the construction of the new electricity line. 
Felling of indigenous flora – 157 Aleppo pines (Pinus halepensis) and 2 date palm trees (Phoenix dactylifera) in protected   
spaces, due to the opening up of a forest safety corridor in the construction of two new electricity lines. 
(1) For more information on these incidents, please consult the / G4-EN24 indicator. 
Description of the most significant impacts on biodiversity
/ G4-EN12
/
Collisions of endangered species  
detected in 2016
/ G4-EN12
/
Species affected 	
Nº of birds affected 
Great Bustard (Otis tarda) (1)	
1
Little Bustard (Tetrax tetrax) (2) (3)	
1
Red Kite (Milvus milvus) (4)	
2
Black-bellied Sandgrouse (Pterocles orientalis) (3)	
8
Black stork (Ciconia nigra) (3)	
1
Canarian Egyptian Vulture (Neophron percnopterus majorensis) (4)	
       4 (5)
Houbara Bustard (Chlamydotis undulata) (1) (4)	
7
(1) Vulnerable species according to IUCN Red List. / G4-EN14
(2) Near-threatened species according to IUCN Red List. / G4-EN14
(3) Vulnerable species according to the National Catalogue of Endangered Species. / G4-EN14
(4) Near extinct species according to the National Catalogue of Endangered Species. / G4-EN14
(5) One of the Canarian Egyptian Vultures involved was only injured. 
Collisions are mainly detected during monitoring plans or specific studies. In 2016, a specific study was carried out in the 
Canary Islands (Study for the quantification of the impact of the electricity cables of the eastern islands of the Canary 
Islands on bird mortality), in collaboration with the Museum of Natural Sciences (CSIC) and GREFA.
/

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211
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
10
THE
ENVIRONMENT
Corporate Responsibility Report 2016
	
	
	
according to MAGRAMA	
Classification according 
Scientific name	
Common name	
(2016) (National Catalogue)	
to the IUCN red list
1. 	 Aquila adalberti	
Imperial Eagle	
In danger of extinction	
Vulnerable (VU)
2. 	 Hieraaetus fasciatus	
Bonelli's Eagle	
Vulnerable	
Least concern (LC)
3. 	 Pandion haliaetus	
Osprey	
Vulnerable	
Least concern (LC)
4. 	 Burhinus oedicnemus subspp.	
Stone-curlew	
Vulnerable	
Least concern (LC)
5. 	 Neophron percnopterus	
Griffon Vulture	
Vulnerable	
Endangered (E)
6. 	 Neophron percnopterus majorensis 	 Canarian Egyptian Vulture	
In danger of extinction	
Not evaluated (NE)
7. 	 Chersophilus duponti	
Dupont's Lark	
Vulnerable	
Near threatened (NT)
8. 	 Botaurus stellaris	
Eurasian Bittern	
In danger of extinction	
Least concern (LC)
9. 	 Otis tarda	
Great Bustard	
-	
Vulnerable (VU)
10. 	Chlamydotis undulata	
Houbara Bustard	
In danger of extinction	
Vulnerable (VU)
11. 	 Aegypius monachus	
Black Vulture	
Vulnerable	
Near threatened (NT)
12. 	 Marmaronetta angustirostris	
Marbled Duck	
In danger of extinction	
Vulnerable (VU)
13. 	 Ciconia nigra	
Black Stork	
Vulnerable	
Least concern (LC)
14. 	 Corvus corax canariensis	
Common Raven	
-	
Not Evaluated (NE) 
15. 	 Fulica cristata	
Crested Coot	
In danger of extinction	
Least concern (LC)
16. 	 Pterocles alchata	
Pin-tailed Sandgrouse	
Vulnerable	
Least concern (LC)
17. 	 Pterocles orientalis	
Black-bellied Sandgrouse	
Vulnerable	
Least concern (LC)
18. 	 Ardeola ralloides	
Squacco Heron	
Vulnerable	
Least concern (LC)
19. 	 Falco pelegrinoides	
Barbary Falcon	
In danger of extinction	
Least concern (LC)
20. 	Geronticus eremita	
Northern Bald Ibis	
-	
Critically endangered (CR)
21. 	 Oxyura leucocephala	
White-headed Duck 	
In danger of extinction	
Endangered (E)
22. 	Milvus milvus	
Red Kite	
In danger of extinction	
Least concern (LC)
23. 	Columba junoniae	
White-tailed Laurel Pigeon	
Vulnerable	
Near threatened (NT)
24. 	Lagopus muta	
Rock Ptarmigan 	
Vulnerable	
Least concern (LC)
25. 	Dendrocopos leucotos	
White-backed Woodpecker	
In danger of extinction 	
Least concern (LC)
26. 	Fringilla teydea subspp.	
Blue Chaffinch	
In danger of extinction (Tenerife) 	
Near threatened (NT) 
	
	
	
Vulnerable (Gran Canaria)
27. 	 Aythya nyroca	
Ferruginous Duck	
In danger of extinction	
Near threatened (NT)
28. 	Gypaetus barbatus	
The Bearded-Vulture	
In danger of extinction	
Near threatened (NT)
29. 	Tetrax tetrax	
Little Bustard	
Vulnerable	
Near threatened (NT) 
30. 	Tetrao urogallus cantabricus	
Cantabrian Capercaillie	
In danger of extinction	
Not Evaluated (NE)
31. 	 Tetrao urogallus aquitanicus	
Aquitanian Capercaillie	
Vulnerable	
Not Evaluated (NE)
Species included in the IUCN red list   
and the national conservation list whose habitats are located in areas affected  
by operations, broken down by the extinction risk level of the species
/ G4-EN14
/
The main risk on protected species due 
to the operations of Red Eléctrica arises 
from birds colliding with the electricity 
lines. Within the framework of the 
project ‘Identification, characterisation 
and mapping flight paths of birds that 
interact with high voltage transmission 
lines’ 2010-2014, allowed the species that 
are prone to colliding with Red Eléctrica’s 
lines to be identified (focal group, a total 
of 47 species) and whose habitats are 
located in areas where such lines exist. 
Of the 47 species identified, 31 have been 
considered threatened.
Classification

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
10
THE
ENVIRONMENT
Corporate Responsibility Report 2016
Direct Emissions (SCOPE 1)	
2014	
2015	
2016
SF6 (2) 	
 81,018	
31,651	
28,770
Air conditioning  	
 809	
840	
610
Fleet vehicles (3)  	
 1,094	
989	
1,898
Diesel generator sets   	
 204	
182	
222
Total direct emissions 	
83,125	
33,662	
31,500
(1) The calculation of emissions is performed from an operational control perspective. The information on the inventory 
scope and methodology is available on the REE website  
(http://www.ree.es/en/sustainability/sustainable-energy/energy-and-climate-change/our-carbon-footprint).  
The inventory was submitted to independent review in accordance with ISAE 3410.
(2) Taking GWP (Global Warming Potential) to 100 years: 22,800 (Source IPCC, Intergovernmental Panel on Climate Change: 
4th assessment report). The decrease in SF6 emissions post 2015 is linked to the change in the methodology used for its 
calculation. In 2014, the data was calculated based on the application of theoretical emission factors of the installed gas. 
As of 2015, the calculation is based on actual data regarding leakages. 
(3) Data for 2014 and 2015 only include emissions from Red Eléctrica-owned fleet vehicles. The data for 2016 includes those 
from vehicles owned and shared leasing (including management vehicles). 
Direct greenhouse     
gas emissions (t CO 2 equivalent) (1)
/ G4-EN15
tCO2
tCO2
Indirect (SCOPE 3)	
2014	
2015	
2016
Emissions associated with business travel (1) 	
 1,485	
2,517	
1,433
Emissions associated with the internal   
transportation of materials (2) 	
 641	
589	
494
Employee commuting   	
 3,468	
3,345	
3,574
Emissions associated with the value chain (3)   	
 175,389	
234,807	
223,275
(1) Corresponds to trips made by train, plane, privately owned or rental vehicles and taxi. This scope does not correspond 
to that of 2015, which also included the emissions derived from the use of shared leasing vehicles and management 
vehicles, which this year have been included in scope 1.  
(2) The calculation method was adjusted in 2016.
(3) 2014: information on suppliers that represent 95% of the volume of purchase orders. Carbon intensity in the value 
chain: 370 t CO2 / million euros.  
2015: data on 100% of purchase orders. Carbon intensity of the value chain: 424 t CO2 / million euros.  
2016: data on 100% of purchase orders. Carbon intensity of the value chain: 372 t CO2 / million euros.
Note: For the correct interpretation of the data it is necessary to take into account that carbon intensity depends on the 
type of purchase orders made during the year and there are products / services with different carbon intensity. That is 
why strict comparisons cannot be made between the different years. Of all the activities, the construction of facilities and 
equipment manufacturing are the most carbon intensive.
Other indirect emissions SCOPE 3       
(t CO 2 equivalent) (1)
/ G4-EN17
Indirect greenhouse gas emissions  
from the generation of energy 
(t CO 2 equivalent) (1)
/ G4-EN16
Indirect Emissions (SCOPE 2)	
2014	
2015	
2016
Electricity Consumption (2)  	
 3,867	
4,229	
1,664
Transmission grid losses (3) 	
 767,907	
804,118	
736,374
Total indirect emissions  	
771,774	
808,347	
738,038
(1) The calculation of emissions is performed from an operational control perspective. The information on the inventory 
scope and methodology is available on the REE website (http://www.ree.es/en/sustainability/sustainable-energy/
energy-and-climate-change/our-carbon-footprint). 
(2) Different emission factors are used depending on the electricity supply of each work centre. Until 2015, the average 
peninsular factor calculated by Red Eléctrica was used.   
(3) Losses in the electricity transmission grid are related to the location of generation points in relation to the 
consumption points (the greater the distance, the greater the losses), the amount of energy demanded during 
the year, the generation mix of the year (percentage of each generation technology in the total energy generated), 
international exchanges and the shape of the demand curve. Practically none of these factors are manageable by 
Red Eléctrica, making it very difficult to reduce losses. However, Red Eléctrica works to identify and improve those 
factors it can have an influence on (see sustainable energy section). In this case, similarly as in the case of emissions 
associated with electricity consumption, CO2 is not emitted during Red Eléctrica activities, as it takes place at  
the different points of power generation. To calculate the emission factor associated with losses in transmission,  
the emission factor calculated by Red Eléctrica, which is based on the annual peninsular electricity generation 
balance, is used. During 2016, emissions have been reduced due to the decline in the emission factor, mainly 
associated with increased hydroelectric power generation and a lower share of coal in the peninsular energy mix 
(emission factor in t CO2 / MWh: 0.266 in 2015 and 0.214 in 2016).
tCO2

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LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
10
THE
ENVIRONMENT
Corporate Responsibility Report 2016
	
2014	
2015	
2016
Emissions of SF6/SF6 installed (%) (1) 	
 	
0.37	
0.30
Emissions from fleet vehicles (kg CO2/ km) (2) 	
 	
0.27	
0.16
Emissions (1 and 2)/revenues  
(t CO2/million euros) (3)  	
 479	
462	
427 
Emissions/revenues (t CO2/million euros) (4)  	
 48.8	
20.8	
18.0
Emissions/energy transported (t CO2/GWh) (5)	
3.5	
3.4	
3.1
(1) The emission rate is calculated based on emissions data calculated according to actual data regarding leakage.  
No data from previous years is included as it is not comparable.
(2) All types of vehicles are included. The indicator litre/100 km is replaced by this new indicator as it is considered  
more appropriate to reflect all types of fleet vehicles (biodiesel and LPG vehicles are included).
(3) Emissions Scope 1 and 2 (includes transmission grid losses). 
(4) Emissions Scope 1 + electricity consumption emissions. REE considers it relevant to monitor this indicator,  
without including transmission grid losses (since it is not possible to act on them, as explained above).  
The reduction in the indicator is due to the decrease of Scope 1 emissions associated with the change in  
methodology in calculating SF6 emissions. 
(5) Emissions Scope 1 and 2 (including transmission grid losses). The total energy transported corresponds to  
the annual demand measured at power station busbars. 
Greenhouse gas emissions  
intensity
/ G4-EN18
/
Reduction of greenhouse  
gas emissions 
/ G4-EN19
/
Net savings (1)	
t CO2 eq
Savings in emissions due to efficiency measures related to fleet vehicles  	
 10
Savings in emissions due to efficiency measures related to management vehicles 	
 23
Savings in emissions due to the use of efficient taxis	
 5
Savings in emissions due to contracting an electricity supply   
with a guarantee of origin (2) 	
 1,869
Annual savings (3)	
t CO2 eq / year
Efficiency measures in work centres: improved insulation,   
climatization and lighting   	
 24
IT efficiency measures: Renewal of desktop equipment,   
laptops and monitors 	
 1
Reduction in SF6 emissions due to the replacement of old equipment   
with new ones with a lower leakage rate	
1,076
(1) Net savings compared to 2016 (measured or estimated).
(2) Electricity with guarantees of origin: 0 t CO2/kWh.
(3) Reductions associated with the measures implemented in 2016.

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214
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
10
THE
ENVIRONMENT
Corporate Responsibility Report 2016
Type of waste	
2014	
2015	
2016
Non-hazardous waste (kg) (1) 	
2,111,046	
1,857,536	
1,522,422
Hazardous waste (kg) (2) 	
 2,375,019	
1,183,925	
2,035,645
Waste management method (%) (3) 	
	Non-hazardous	
Hazardous
Composting/Regeneration/Recycling	
	
85	
46
Valuation 	
	
0	
40
Elimination (by any method)	
	
15	
14
(1) Metal waste not included as an adjustment is being made in the process of collecting and recording the information. 
This explains the difference of the data for 2014 and 2015 with those published in previous years. Waste vegetation is 
not included either because it cannot be quantified, most of it is incorporated into the land or given to landowners, as 
the most appropriate form of waste management. 
(2) There is a slight variation from the 2015 data published last year due to a change in the qualification of a waste product. 
The increase in the amount of waste produced is related to the increase in the remodelling and refurbishment works 
of facilities which have led to an increase in oil and water mixture waste (due to the cleaning of tanks), equipment with 
oil, (due to the renewal of power transformers) and gas in pressurised containers (due to works for the replacement of 
equipment containing SF6). 
(3) The management of the waste corresponds to the information provided by the contractor, or by the default procedure 
of the contractor responsible for the removal of waste.
Note 1. Red Eléctrica concluded its Plan of elimination / decontamination of transformers, equipment and oil with PCBs 
in 2010, however, there is still some old sealed equipment that can only be analysed at the end of its useful life. For this 
reason, waste continues to be generated from equipment contaminated with PCBs. In 2016, 10,479 kg were managed. 
Note 2. The treatment of used SF6 gas waste, which consists of the regeneration of the gas for its subsequent reuse, takes 
place outside of Spain. This means that 0.52% of the total hazardous waste was transported internationally. / G4-EN25
Total weight of waste according       
to type and treatment method
/ G4-EN23
/
Leaks and spillages 2016  (1) (2)  
/ G4-EN24
/
	
1	
2	
3	
4	
5
Fuel leaks and spillages in substations  	
 0	
1	
1	
0	
0
Oil leaks and spillages in substations	
 0	
0	
4	
0	
0
Oil leaks and spillages in lines (cables)	
 0	
0	
0	
5	
0
(1) Events classified as being of very little relevance as incidents are not included.
(2) Classification of accidents according to their severity on a scale of 1 to 5 (1 minor - 5 severe). There have been no 
minor accidents in 2016 and only one accident has been classified as minor. No spillage has been included in the 
organisation's financial statements. 
The following are significant and major accidents: 
(3) Significant accident: leakage of 1,491 litres of diesel fuel due to failure of the system which manages the transfer 
between the tank and the diesel generator set (occurred in the room where the equipment is located).
(4) Significant accidents: Three of them due to explosion of equipment with oil spillage of various amounts (50, 175 
and 838 kg) that dispersed affecting variable surfaces, within the respective substations. The fourth accident was 
caused by failure in a power transformer unit, releasing about 1,000 litres of oil around the containment pit.
(5) Major accidents:
      - Incident on the land section of the Majorca-Menorca link. The leakage of 9,000 litres of oil affected between  
1,200 and 1,600 m2 of soil and a surface area of about 2,200-2,600 m2 of groundwater. Red Eléctrica implemented 
different emergency measures and a procedure for the cleaning and recovery of the affected areas is being 
undertaken. 
      - Damage caused to the cable of the Majorca-Menorca submarine link by the anchor of a yacht. Discharge into the 
sea of between 18,000-20,000 litres of oil. Impact on several beaches and seawater (area located in Red Natura). 
The beaches were closed and cleaned and the oil present on the surface of the water was removed and various 
water characterisation was undertaken, as well as the supervision of the potentially affected areas. 
      - Leakage due to fault in the submarine cable of the Majorca-Menorca link resulting in the discharge of 300 litres  
of oil in Red Natura. The area has been cleaned.
      - Incident due to leakage in the land section of the Majorca-Menorca link resulting in the leakage of 3,620 litres 
of oil affecting the beach of ‘Cala Mesquida’ in Red Natura. (Impact: land 1,100 m2 and groundwater surface  
area 1,700 m2). Emergency measures have been established to clean up the oil. 
      - Damage caused by an anchor in the Tarifa-Fardioua submarine cable, resulting in an estimated oil leak of 33,400 
litres. The incident occurred in Moroccan waters so the actions have been coordinated by the Moroccan operator. 
(3)
(4)
(5)

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215
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
10
THE
ENVIRONMENT
Corporate Responsibility Report 2016
Sanctions and fines 
/ G4-EN29
/
	
	
2014	
	
2015	
	
2016
	
Nº of 	
Amount	
Nº of  	 Amount	
Nº of 	
Amount
	
cases	
(euros)	
cases	
(euros)	
cases	
(euros)
Fire risk (lack of maintenance of   
vegetation or the abandoning of material)	
1	
100	
2	
811	
1	
451
Unauthorised felling and pruning  	
2	
2,175	
1	
100	
2	
7,060
Obstruction of waterway / Unauthorised works in certain areas 	
2	
3,600
Opening up of a forest trail without authorisation	
1	
1,001	
1	
2,000
Use of a helicopter in a critical birdlife   
area without authorisation	
	
	
1	
1,000	
	
Crossing of a livestock route with an electricity   
line without authorisation	
	
	
1*	
30,051*
Incorrect waste management	
	
	
1*	
2,500*
Total	
6	
6,876	
7*	
36,462*	
3	
7,511
(*) Data updated in 2016 after resolution of two cases opened in 2015.

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216
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
10
THE
ENVIRONMENT
Corporate Responsibility Report 2016
Environmental expenditure and investment    
/ G4-EN31
€
	
2014	
2015	
2016
Investment	
2,651,609	
3,856,802	
2,983,757
Engineering and construction of facilities (1)	
2,651,609	
3,856,802	
2,983,757
Expenditure	
19,795,259	
18,848,972	
19,665,125
Development of methodologies and systems (2)	
50,082	
47,145	
116,854
Environmental studies and analyses  	
125,502	
201,743	
108,435
Environmental actions regarding in-service facilities 	
17,502,652	
16,722,722	
17,679,436
Contamination prevention (3)	
1,376,552	
1,268,565	
1,376,552
Protection of biodiversity. Landscape (4)	
14,914,991	
14,593,765	
14,820,439
Climate change (5)	
771,487	
635,143	
974,994
Waste reduction and management 	
439,622	
225,250	
488,409
Research and development 	
363,316	
339,554	
440,739
Training and communication 	
256,722	
176,595	
48,862
Environmental training and awareness 	
54,310	
41,067	
15,125
Communication (6)	
202,412	
135,528	
33,737
Environmental taxes and fees 	
280,223	
92,906	
51,360
Cost of personnel involved in environmental activities	
1,216,762	
1,268,307	
1,219,440
Total expenditure	
22,446,868	
22,705,774	
22,648,882
(1) Environmental impact studies carried out on all projects, application of preventive and corrective measures, environmental supervision at electricity facilities under construction and 
application of environmental improvement measures.
(2) Environmental certifications, audits and consultancy.
(3) Adaptation of facilities, repair of equipment, analysis, etc.
(4) Fire prevention (inspection of facilities, felling, pruning and clearing of vegetation for the maintenance of the safety distances, projects related to the prevention and fight against 
forest fires), line marking with bird flight diverters, bird-nesting deterrents, management of nests, landscaping adaptation, biodiversity conservation projects, etc. 
(5) The section on climate change and energy efficiency has been unified. It includes costs of: meter installation, energy audits, activities to improve energy efficiency, projects to reduce 
emissions (improvement in SF6 management) and offsetting of emissions (REE Forest, purchase of carbon credits). 
(6) Affiliations, congresses, brochures and reports, stands at fairs, publicity in magazines, collaboration and sponsorship agreements.

www.ree.es
217
LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
10
THE
ENVIRONMENT
Corporate Responsibility Report 2016
	
2014	
2015	
2016
Electromagnetic fields	
1	
1	
0
Impact on the landscape	
1	
0	
0
Facilities	
0	
0	
7
Waste	
2	
0	
0
Noise	
0	
1	
1
Flora	
11	
19	
17
Total	
15	
21	
25
Note: Environmental cases reported are managed through the DÍGAME service. Reported cases are classified and handled 
according to their nature (including complaints, enquiries, suggestions, requests for information and recognition) or 
grievances. In 2016, 72 environmental cases were handled, 25 of which have been grievances. (Only those deemed 
applicable in accordance with the criteria established in REE’s internal procedure are accounted for).
All grievances from previous years were closed in 2015. Of the grievances filed in 2016, 19 were closed in the year,  
leaving 6 pending.
Number of environmental grievances 
/ G4-EN34
/

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
ANNEXES
/ A N N E X E S

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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219
ANNEXES
Corporate Responsibility Report 2016
Red Eléctrica carried out the latest materiality analysis in 2014, information regarding its elaboration process and results are shown below.
MATERIALITY  
ANALYSIS
Internal and external information sources of reference were analysed to identify trends, 
demands and requirements in sustainability matters and those specific to the electricity 
sector. The preliminary list of relevant issues was obtained as a result. (1)
The preliminary list of relevant issues was validated by an internal dialogue panel 
composed of a representative sample of managers and experts of 14 management areas 
of the Company, chosen according to their relevance regarding sustainability. Said panel 
was moderated by an external expert in the field of sustainability and dialogue with 
stakeholders. The prioritised list of relevant issues, internally assessed and validated  
was obtained as a result.
In order to include the perspective of external stakeholders in the analysis, an external 
dialogue panel was assembled composed of a representative sample of the different 
stakeholder groups and moderated by the same person as in the case of the internal 
dialogue panel. The prioritised list of relevant issues, externally assessed and validated 
was obtained as a result. In addition, several proposals were collected to enhance  
the appreciation of the actions regarding sustainability.
The results derived from the internal and external evaluation phases were assessed, 
this lead to a final list of 22 relevant issues being obtained that were prioritised according 
to two variables: Influence on the success of the business and the importance to the 
stakeholders of the Company.
Attainment of a relevant issues matrix (future trends) vs. maturity (degree of 
implementation) and identification of opportunities. This phase was planned  to be carried 
out during 2015. However, it has been considered more convenient to carry out this phase 
coinciding with the revision and the update of the 2014-2016 multi-annual corporate 
responsibility plan.
Identification
Evaluation
Internal
prioritisation
and validation 
Analysis 
of opportunities
External
validation 
M A T E R I A L I T Y  I D E N T I F I C A T I O N  P R O C E S S  / G4-18
2a
2b
3
4
1
(1) 
SOURCES CONSULTED
External
• Global Reporting Initiative: topics set out  
in the G4 Guide, Electric Utility Supplement 
and the Sustainability Topics for Sectors 
document.
• Energy trends: Planning of the electricity  
and gas sectors 2008-2016, 2030 Framework 
for climate and energy policies, Ten-Year 
Network Development Plan 2014.
• Concerns collected by external international 
organisations of repute in this field: 
sustainability agencies, ISO26000, European 
Directive on non-financial information.
• Concerns raised in public debates: National  
CSR Plan, Global Compact.
• Topics considered by peer companies.
• Analysis of the media.
• Concerns raised by stakeholders.
Internal
• Policies and commitments.
• The Company’s Strategic Plan.
• The Company’s corporate reports.
• 2013 Materiality study performed within  
the framework of the International Integrated 
Reporting Council (IIRC).
• 2011 Materiality study.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
220
ANNEXES
Corporate Responsibility Report 2016
   Ethics and transparency
   Commitment to society
   Governance practices
   Technological innovation
   Quality and stable employment
   Financial strength and soundness
   Dialogue with stakeholders
   Integration of facilities into  
the landscape
   Risk control
   Well-being, security and  
health & safety
   Talent management
   Climate change
   Equal opportunities and 
diversity
   Biodiversity
   Quality and transparency in the 
management of system operation
   Grid planning, development and 
maintenance
   Energy efficiency and demand-side 
management
   Responsible management  
of the supply chain
   Regulatory framework
   Efficient management  
of resources
   Integration of renewable 
energies
   Respect for human rights
   Waste and discharges
M A T E R I A L I T Y  M A T R I X  / G4-19
  Governance and Ethics       Business       Employees       Society       The Environment
I n f l u e n c e  o n  t h e  s u c c e s s  o f  t h e  b u s i n e s s
I m p o r t a n c e  t o  S t a k e h o l d e r s

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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221
ANNEXES
Corporate Responsibility Report 2016
R E L E V A N T  M A T E R I A L  A S P E C T S / G4-19 / G4-20 / G4-21
Corporate governance practices  
Ethics and transparency
Risk control
Respect for human rights
Financial strength and soundness 
Regulatory framework 
Technological innovation
Responsible management of the supply chain
Quality and transparency in the management  
of system operation
Grid planning, development   
and maintenance
Governance
Diversity and Equal Opportunity  
Ethics and Integrity
Anti-corruption
Compliance
Governance
Strategy and Analysis
Organizational Profile
Economic Performance
Assessment Human Rights 
Human Rights Grievance Mechanisms
Economic Performance
Procurement Practices
Description of the organization’s supply chain
Supplier Assessment for Labor Practices
Supplier Environmental Assessment
Supplier Assessment for Impacts on Society
Supplier Human Rights Assessment
Supplier Environmental Assessment
Ethics and Integrity
Availability and Reliability  
System Efficiency
Access to electricity
G4-34 to G4-44 / G4-49 to G4-55
G4-LA12
G4-56 to G4-58
G4-SO3 / G4-SO4 / G4-SO5 
G4-SO8
G4-45 to G4-47 
G4-2
G4-14
G4-EC2
G4-HR9
G4-HR12
G4-EC1 / G4-EC3 / G4-EC4
Aspect specific to Red Eléctrica. No GRI indicators.
Sectorial management approach.
G4-EC9 
G4-12
G4-LA14 / G4-LA15
G4-EN32 / G4-EN33
G4-SO9 / G4-SO10
G4-HR10 / G4-HR11
G4-EN32 / G4-EN33
G4-56
EU10
EU12
EU28 / EU29
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
GRI 
ASPECTS
IMPACT 
INT / EXT
STANDARD DISCLOSURES
Continued on next page

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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222
ANNEXES
Corporate Responsibility Report 2016
R E L E V A N T  M A T E R I A L  A S P E C T S  / continuation
Integration of renewable energies
Energy efficiency and demand-side management 
Efficient management of resources
Quality and stable employment
Equal opportunities and diversity
Well-being, security and health & safety
Talent management
Commitment to society
Dialogue with stakeholders
Integration of facilities into the landscape
Climate change
Biodiversity
Waste and discharges
-
-
-
Employment
Labor/Management Relations 
Labor Practices Grievance Mechanisms 
Diversity and Equal Opportunity 
Equal Remuneration for Women and Men
Employment
Occupational Health and Safety 
Training and Education 
Local Communities 
Stakeholder Engagement
Grievance Mechanisms for Impacts on Society
Local Communities
Compliance
Supplier Environmental Assessment
Environmental Grievance Mechanisms
Customer Health and Safety
Energy
Emissions
Biodiversity 
Effluents and Waste 
Aspect specific to Red Eléctrica. No GRI indicators.
Sectorial management approach.
Aspect specific to Red Eléctrica. No GRI indicators.
G4-LA1 / G4-LA2 / G4-LA3 / EU15
G4-LA4
G4-LA16
G4-LA12
G4-LA13
EU17 / EU18
G4-LA5 / G4-LA6 / G4-LA7 / G4-LA8
G4-LA9 / G4-LA10 / G4-LA11
G4-SO1
G4-24 to G4-27 
G4-SO11 
G4-SO1 / G4-SO2
G4-EN29 / G4-EN31
G4-EN33
G4-EN34
G4-PR1
G4-EN3 to G4-EN7
G4-EN15 to G4-EN21
G4-EN11 to G4-EN14
G4-EN22 to G4-EN-26
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
∫
GRI 
ASPECTS
IMPACT 
INT / EXT
STANDARD DISCLOSURES

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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223
ANNEXES
Corporate Responsibility Report 2016
G R I  C O N T E N T  I N D E X  F O R  ' I N  A C C O R D A N C E ' - C O M P R E H E N S I V E (1) 
P a r t  1 .  G e n e r a l  S t a n d a r d  D i s c l o s u r e s  / G4-32
GENERAL
STANDARD 
DISCLOSURES
PAGE NUMBER 
LINK 
DIRECT ANSWER
EXTERNAL 
ASSURANCE
PAGE
OMISSIONS
DESCRIPTION
G4-1
G4-2
Statement from the Chairman.
Key impacts, risks and opportunities.
-
-
243
243
G4-3
G4-4
G4-5 
G4-6
G4-7
G4-8
G4-9
G4-10*
G4-11* 
 
G4-12
G4-13 
G4-14
G4-15 
G4-16 
EU1*
Name of the organization.
Primary brands, products and services.
Location of the organization’s headquarters. 
Countries of operation.
Nature of ownership and legal form.
Markets served.
Scale of the organization.
Number of employees.
Employees covered by collective bargaining 
agreements. 
Organization’s supply chain.
Significant changes to the organization’s size, 
structure, ownership, or its supply chain.
Precautionary approach.
Economic, environmental and social charters, 
principles, or other initiatives.
Memberships of associations and national 
or international advocacy organizations.
Installed capacity, broken down by primary energy 
source and by regulatory regime.
-
-
- 
-
-
-
-
-
- 
 
-
- 
-
- 
- 
Not applicable. All the activities of the Group are related to the 
transmission of electricity and the operation of the electricity  
systems, but not to the generation of electricity.
243
243
243 
243
243
243
243
243
243 
 
243
243 
243
243 
243
STRATEGY AND ANALYSIS
(1) This index includes aspects and indicators from the Electric Utility Supplement in accordance with the publication ‘G4 Sector disclosures’ (Electric Utilities).  
The symbol (*) indicates those indicators where sector-specific information is included.
ORGANIZATIONAL PROFILE
4
46, 48
12
13
Red Eléctrica - Paseo Conde de los Gaitanes, 177 
Alcobendas (Madrid) - Spain.
13
12
13
9, 103
112, 138, 144
128, 138 
Percentage of contractors covered by collective 
bargaining agreements is not available.
170
3, 15 
43, 180
71 
154 
-

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
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224
ANNEXES
Corporate Responsibility Report 2016
G R I  C O N T E N T  I N D E X  F O R  ' I N  A C C O R D A N C E ' - C O M P R E H E N S I V E (1) 
P a r t  1 .  G e n e r a l  S t a n d a r d  D i s c l o s u r e s  / continuation
EU2*  
 
EU3* 
EU4* 
 
EU5*
G4-17 
G4-18 
G4-19 
G4-20
G4-21
G4-22
G4-23
Net energy output broken down by primary energy 
source and by regulatory regime. 
Number of residential, industrial, institutional  
and commercial customer accounts.
Length of above and underground  
transmission and distribution lines by  
regulatory regime.
Allocation of CO2 emissions allowances or equivalent, 
broken down by carbon trading framework.
Entities included in the organization’s consolidated 
financial statements or equivalent documents.
Process for defining the report content  
and the Aspect Boundaries.
Material Aspects identified in the process 
for defining report content.
Aspect Boundary within the organization.
Aspect Boundary outside the organization.
Restatements of information.
Significant changes from previous reporting periods 
in the Scope and Aspect Boundaries.
Not applicable. All the activities of the Group are related to the transmission 
of electricity and the operation of the electricity systems, but not to the 
generation of electricity.
- 
- 
 
Not applicable. The rights regarding CO2 Equivalent Emission  
Allowances do not apply to power transmission activities.
- 
- 
- 
-
-
-
-
 
 
243 
243 
 
243 
243 
243 
243
243
243
243
(1) This index includes aspects and indicators from the Electric Utility Supplement in accordance with the publication ‘G4 Sector disclosures’ (Electric Utilities).  
The symbol (*) indicates those indicators where sector-specific information is included.
ORGANIZATIONAL PROFILE / continuation
IDENTIFIED MATERIAL ASPECTS AND BOUNDARIES 
GENERAL
STANDARD 
DISCLOSURES
PAGE NUMBER 
LINK 
DIRECT ANSWER
EXTERNAL 
ASSURANCE
PAGE
OMISSIONS
DESCRIPTION
- 
 
166 
83, 86 
 
-
3, 12 
219 
220, 221 
221
221
3
2

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
225
ANNEXES
Corporate Responsibility Report 2016
G R I  C O N T E N T  I N D E X  F O R  ' I N  A C C O R D A N C E ' - C O M P R E H E N S I V E (1) 
P a r t  1 .  G e n e r a l  S t a n d a r d  D i s c l o s u r e s  / continuation
G4-24
G4-25 
G4-26
G4-27
G4-28
G4-29
G4-30
G4-31 
G4-32 
G4-33
G4-34
G4-35 
G4-36 
G4-37
Stakeholder groups engaged by the organization.
Basis for identification and selection  
of stakeholders with whom to engage.
Approach to stakeholder engagement.
Key topics and concerns raised through 
stakeholder engagement.
Reporting period.
Date of most recent previous report.
Reporting cycle.
Contact point for questions regarding  
the report or its contents.
Index with respect to the ‘in accordance’  
option chosen.
External assurance for the report.
Governance structure of the organization.
Delegating authority from the highest governance 
body to senior executives and other employees.
Executive-level positions with responsibility  
for economic, social and environmental topics.
Processes for consultation between stakeholders 
and the Board of Directors.
-
- 
-
-
-
-
-
- 
- 
-
-
- 
- 
-
243
243 
243
243
243
243
243
243 
243 
243
243
243  
243 
243
STAKEHOLDER ENGAGEMENT	
	
	
(1) This index includes aspects and indicators from the Electric Utility Supplement in accordance with the publication ‘G4 Sector disclosures’ (Electric Utilities).  
The symbol (*) indicates those indicators where sector-specific information is included.
REPORT PROFILE
GOVERNANCE
GENERAL
STANDARD 
DISCLOSURES
PAGE NUMBER 
LINK 
DIRECT ANSWER
EXTERNAL 
ASSURANCE
PAGE
OMISSIONS
DESCRIPTION
77, 78
73 
76
2, 76
2
2
2
3 
2, 223 
3, 243
18, 30
37 
37 
38

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
226
ANNEXES
Corporate Responsibility Report 2016
G R I  C O N T E N T  I N D E X  F O R  ' I N  A C C O R D A N C E ' - C O M P R E H E N S I V E (1) 
P a r t  1 .  G e n e r a l  S t a n d a r d  D i s c l o s u r e s  / continuation
G4-38 
G4-39 
 
G4-40 
G4-41 
G4-42 
 
 
G4-43 
 
G4-44
G4-45 
 
 
 
 
G4-46 
 
G4-47
Composition of the highest governance body  
and its committees.
State whether the chair of the highest governance 
body is also an executive officer and the reasons  
for this arrangement.
Selection and nomination of the members 
of the highest governance body.
Processes for the highest governance body  
to ensure conflicts are avoided.
Roles of highest governance body and senior 
executives in the development, approval and 
updating of the organization’s vision, mission, 
values, strategies, policies and goals.
Highest governance body’s knowledge  
of economic, environmental and  
social topics.
Highest governance body’s performance.
Processes of the highest governance body  
to supervise the identification and management  
of economic, environmental and social 
performance, as well as its role in the 
implementation of due diligence processes  
and in stakeholder consultations.
Highest governance body’s role in reviewing the 
effectiveness of the management of economic, 
environmental and social risks and opportunities.
Frequency of the highest governance body’s  
review of economic, environmental and social 
impacts, risks and opportunities.
- 
- 
 
- 
- 
- 
 
 
- 
 
-
- 
 
 
 
 
- 
 
-
243 
243 
 
243 
243 
243 
 
 
243 
 
243 
 
243 
 
 
243 
 
243
(1) This index includes aspects and indicators from the Electric Utility Supplement in accordance with the publication ‘G4 Sector disclosures’ (Electric Utilities).  
The symbol (*) indicates those indicators where sector-specific information is included.
GOVERNANCE / continuation
GENERAL
STANDARD 
DISCLOSURES
PAGE NUMBER 
LINK 
DIRECT ANSWER
EXTERNAL 
ASSURANCE
PAGE
OMISSIONS
DESCRIPTION
30, 34 
35 
 
39 
39 
37 
 
 
39 
 
39
45, 50, 76 
 
 
 
 
45 
 
45

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
227
ANNEXES
Corporate Responsibility Report 2016
G R I  C O N T E N T  I N D E X  F O R  ' I N  A C C O R D A N C E ' - C O M P R E H E N S I V E (1) 
P a r t  1 .  G e n e r a l  S t a n d a r d  D i s c l o s u r e s  / continuation
G4-48 
 
 
 
G4-49 
G4-50 
G4-51 
 
 
G4-52 
 
 
G4-53 
G4-54 
 
 
G4-55
Highest body that reviews and approves  
the report. 
 
 
Process for communicating critical concerns  
to the highest governance body.
Critical concerns communicated to the 
highest governance body.
Remuneration policies for the highest  
governance body and senior executives,  
as well as the relationship to economic, 
environmental and social performance.
Process for determining remuneration  
of the highest governance body and senior 
executives, stating whether independent  
consultants are involved.
Report how stakeholders’ views are sought  
and taken into account regarding remuneration.
Ratio of the annual total compensation for the 
organization’s highest-paid individual in each 
country of significant operations to the median 
annual total compensation for all employees.
Ratio of percentage increase in annual total 
compensation for the organization’s highest-paid 
individual in each country of significant operations 
to the median percentage increase in annual total 
compensation for all employees.
- 
 
 
 
- 
- 
- 
 
 
- 
 
 
- 
- 
 
 
-
243 
 
 
 
243 
243 
243 
 
 
243 
 
 
243 
243 
 
 
243
GOVERNANCE / continuation
(1) This index includes the aspects and indicators of the electric utilities sector supplement, according to the GRI G4 Sector disclosures (Electric Utilities) publication. The symbol (*) indicates those indicators 
where specific information regarding the sector is included. (2) Total remuneration accrued of the highest-paid individual (CEO): 806,000 euros. Includes both the fixed and variable remuneration corresponding to 
his role as top executive of the Company, as well as the fixed remuneration corresponding to his role as a member of the Board of Directors and other remunerations. Information available in note 23 of the Annual 
Consolidated Accounts of ‘Red Eléctrica Corporación S.A. and Dependent Companies’ and in the Annual Corporate Governance Report. (3) The average total remuneration of the workforce excluding the highest-paid 
individual: 68,510 euros (personnel cost excluding social security costs). Information available in note 21c of the Annual Consolidated Accounts of ‘Red Eléctrica Corporación S.A. and Dependent Companies’. (4) Total 
remuneration accrued of the highest-paid individual: 806,000 euros (2016) and 707,000 euros (2015). Details in note 23 of the Consolidated Annual Accounts and in the Annual Corporate Governance Report. (5) 
Average total remuneration of the workforce: 68,510 euros (2016) and 65,893 euros (2015). Details in note 21c of the Annual Consolidated Accounts.
GENERAL
STANDARD 
DISCLOSURES
PAGE NUMBER 
LINK 
DIRECT ANSWER
EXTERNAL 
ASSURANCE
PAGE
OMISSIONS
DESCRIPTION
The Corporate Responsibility Report is 
submitted for approval to the Appointments and 
Remuneration Committee, which is the competent 
authority regarding corporate responsibility 
matters.
38 
38 
40 
 
 
40 
 
 
40 
The ratio between the total remuneration of the 
highest-paid individual of the organisation (2) and the 
average total remuneration of the entire workforce (3) 
(excluding the highest-paid individual) was 11.8 times.
Ratio of percentage increase in total remuneration 
of the highest-paid individual (2016/2015) (4) (14%)/
Ratio of percentage increase in the average total 
remuneration of the workforce (2016/2015) (5) (4%).

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
228
ANNEXES
Corporate Responsibility Report 2016
G R I  C O N T E N T  I N D E X  F O R  ' I N  A C C O R D A N C E ' - C O M P R E H E N S I V E (1) 
P a r t  1 .  G e n e r a l  S t a n d a r d  D i s c l o s u r e s  / continuation
G4-56  
 
G4-57  
G4-58
Organization’s values, principles, standards 
and norms of behaviour such as codes  
of conduct and codes of ethics.
Internal and external mechanisms for seeking 
advice on ethical and lawful behaviour.
Internal and external mechanisms  
for whistleblowing.
- 
 
- 
-
243 
 
243 
243
ETHICS AND INTEGRITY
55 
 
55, 58 
58
(1) This index includes aspects and indicators from the Electric Utility Supplement in accordance with the publication ‘G4 Sector disclosures’ (Electric Utilities).  
The symbol (*) indicates those indicators where sector-specific information is included.
GENERAL
STANDARD 
DISCLOSURES
PAGE NUMBER 
LINK 
DIRECT ANSWER
EXTERNAL 
ASSURANCE
PAGE
OMISSIONS
DESCRIPTION

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
229
ANNEXES
Corporate Responsibility Report 2016
G R I  C O N T E N T  I N D E X  F O R  ' I N  A C C O R D A N C E ' - C O M P R E H E N S I V E (1) 
P a r t  2 .  S p e c i f i c  S t a n d a r d  D i s c l o s u r e s
(1) This index includes aspects and indicators from the Electric Utility Supplement in accordance with the publication ‘G4 Sector disclosures’ (Electric Utilities).
The symbol (*) indicates those indicators where sector-specific information is included.
G4-DMA
G4-EC1
G4-EC2 
 
G4-EC3 
G4-EC4
G4-DMA
G4-EC9
G4-DMA*
EU10
G4-DMA*
-
-
- 
 
- 
-
-
-
-
-
-
DMA AND
INDICATORS
PAGE NUMBER
LINK
DIRECT ANSWER
OMISSIONS
EXTERNAL
ASSURANCE
PAGE
DESCRIPTION
Disclosures on management approach.
Direct economic value generated and distributed.
Financial implications and other risks and 
opportunities for the organization’s activities  
due to climate change.
Coverage of the organization’s defined benefit  
plan obligations.
Financial assistance received from government.
Disclosures on management approach.
Proportion of spending on local suppliers 
at significant locations of operation.
Disclosures on management approach.
Planned capacity against projected electricity 
demand over the long term, broken down  
by energy source and regulatory regime.
Disclosures on management approach.
243
243
243 
 
243 
243
243
243
243
243
243
Material aspect: Economic performance
Material aspect: Procurement Practices
Material aspect of the electric utility sector: Availability and Reliability	
	
Material aspect of the electric utility sector: Demand-Side Management	
	
CATEGORY: ECONOMIC
103
104
52, 200 
 
Consolidated Annual Accounts Report 2016 
Note 4-1
104
170
170
81
82
96
G4-DMA*
-
Disclosures on management approach.
243
Material aspect of the electric utility sector: Research and Development
99

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
230
ANNEXES
Corporate Responsibility Report 2016
G R I  C O N T E N T  I N D E X  F O R  ' I N  A C C O R D A N C E ' - C O M P R E H E N S I V E (1) 
P a r t  2 .  S p e c i f i c  S t a n d a r d  D i s c l o s u r e s  / continuation
(1) This index includes aspects and indicators from the Electric Utility Supplement in accordance with the publication ‘G4 Sector disclosures’ (Electric Utilities).
The symbol (*) indicates those indicators where sector-specific information is included.
G4-DMA
G4-EN3
G4-EN4
G4-EN5
G4-EN6
G4-EN7
G4-DMA*
G4-DMA
EU11* 
 
EU12*
-
-
-
-
Not applicable. Red Eléctrica, as system operator, performs various  
initiatives on demand management to improve energy efficiency  
of the electricity system as a whole, but it does not produce or market 
products nor services, whereby it is not possible to quantify the energy 
reductions that may result from them.
Not applicable. The activities of the Group are related to the  
transmission of electricity and the operation of the electricity  
systems, but not to the generation of electricity.
-
Not applicable. The activities of the Group are related to the  
transmission of electricity and the operation of the electricity  
systems, but not to the generation of electricity.
-
Disclosures on management approach.
Energy consumption within the organization.
Energy consumption outside of the organization.
Energy intensity.
Reduction of energy consumption.
Reductions in energy requirements of products  
and services.
Disclosures on management approach.
Disclosures on management approach.
Average generation efficiency of thermal plants  
by energy source and regulatory regime. 
Transmission and distribution losses  
as a percentage of total energy.
243
243
243
243
243
243
 
 
243
Material aspect: Energy
Material aspect of the electric utility sector: Plant Decommissioning
Material aspect of the electric utility sector: System Efficiency
CATEGORY: ENVIRONMENTAL
198
208
209
209
209
-
-
91
- 
 
91
DMA AND
INDICATORS
PAGE NUMBER
LINK
DIRECT ANSWER
OMISSIONS
EXTERNAL
ASSURANCE
PAGE
DESCRIPTION

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
231
ANNEXES
Corporate Responsibility Report 2016
G R I  C O N T E N T  I N D E X  F O R  ' I N  A C C O R D A N C E ' - C O M P R E H E N S I V E (1) 
P a r t  2 .  S p e c i f i c  S t a n d a r d  D i s c l o s u r e s  / continuation
G4-DMA
G4-EN8* 
G4-EN9 
 
G4-EN10
-
Not applicable to the sector aspect, Red Eléctrica does not have  
electricity generation.
Not applicable. The water consumed is obtained from authorised  
water withdrawal points (municipal mains and wells) or from cisterns.  
Therefore, no direct effect exists on ecosystems.
-
Disclosures on management approach.
Total water withdrawal by source. 
Water sources significantly affected by  
withdrawal of water. 
Percentage and total volume of water  
recycled and reused.
243
243
 
 
 
243
Material aspect: Water (2)
(1) This index includes aspects and indicators from the Electric Utility Supplement in accordance with the publication ‘G4 Sector disclosures’ (Electric Utilities). The symbol (*) indicates those  
indicators where sector-specific information is included. (2) Although water has not been a material issue in the materiality study conducted by the Company, Red Eléctrica has decided 
to include it and verify it as it is a matter demanded by some sustainability indexes.
DMA AND
INDICATORS
PAGE NUMBER
LINK
DIRECT ANSWER
OMISSIONS
EXTERNAL
ASSURANCE
PAGE
DESCRIPTION
G4-DMA*
G4-EN11 
 
 
 
G4-EN12* 
 
 
 
G4-EN13
G4-EN14
-
- 
 
 
 
- 
 
 
 
-
-
Disclosures on management approach.
Operational sites owned, leased, 
managed in, or adjacent to,  
protected areas and areas of high  
biodiversity value outside protected  
areas.
Description of significant impacts  
of activities, products, and services on  
biodiversity in protected areas and areas 
of high biodiversity value outside 
protected areas.
Habitats protected or restored.
Total number of IUCN Red List species  
and national conservation list species with  
habitats in areas affected by operations,  
by level of extinction risk.
243
243 
 
 
 
243 
 
 
 
243
243
Material aspect: Biodiversity
189
210 
 
 
 
191, 193, 210 
 
 
 
195, 196, 197
196, 210, 211
Note (2)
209 
- 
 
209

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
232
ANNEXES
Corporate Responsibility Report 2016
EU13*
G4-DMA
G4-EN15* 
G4-EN16* 
G4-EN17 
G4-EN18 
G4-EN19 
G4-EN20
The comparison of the offset habitat with the affected area  
is not applicable, as the effects on the original habitat are minimal. 
‘Thanks to the preventive and corrective measures implemented,  
Red Eléctrica facilities do not entail a loss of biodiversity that is significant 
enough so as to require the establishment of offset areas. The impacts 
generated are one-off situations, having established in some cases 
very specific offsetting measures such as planting woodland or the 
restoration of habitats.’ 
-
- 
- 
- 
- 
- 
Not applicable. These can be considered to be irrelevant, with  
the exception of those associated with the use of air conditioning  
systems containing R22. Losses are minimal owing to the fact  
that they undergo adequate maintenance. Equipment with R22  
has been replaced. There's only 165.4 kg of gas R22 left in operating 
equipment, however, this will be progressively replaced.
Biodiversity of offset habitats compared  
to the biodiversity of the affected areas.
Disclosures on management approach.
Direct greenhouse gas (GHG) emissions  
(Scope 1).
Energy indirect greenhouse gas (GHG)  
emissions (Scope 2).
Other indirect greenhouse gas (GHG)  
emissions (Scope 3).
Greenhouse gas (GHG) emissions 
intensity.
Reduction of greenhouse gas (GHG)  
emissions.
Emissions of ozone-depleting  
substances (ODS).
243
243 
243 
243 
243 
243 
Material aspect: Biodiversity / continuation
Material aspect: Emissions
G R I  C O N T E N T  I N D E X  F O R  ' I N  A C C O R D A N C E ' - C O M P R E H E N S I V E (1) 
P a r t  2 .  S p e c i f i c  S t a n d a r d  D i s c l o s u r e s  / continuation
(1) This index includes aspects and indicators from the Electric Utility Supplement in accordance with the publication ‘G4 Sector disclosures’ (Electric Utilities).
The symbol (*) indicates those indicators where sector-specific information is included.
DMA AND
INDICATORS
PAGE NUMBER
LINK
DIRECT ANSWER
OMISSIONS
EXTERNAL
ASSURANCE
PAGE
DESCRIPTION
-
201
212 
212 
212 
213 
213 
-

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
233
ANNEXES
Corporate Responsibility Report 2016
G4-EN21*
G4-DMA*
G4-EN22* 
 
G4-EN23* 
G4-EN24 
G4-EN25 
 
 
 
G4-EN26
Not applicable. The activities of the Company do not give rise  
to these emissions as they do not involve the burning of fossil  
fuels – REE does not generate electricity - except for fuel used 
in vehicles and diesel generator sets and whose emissions 
are not considered relevant under this aspect. 
-
Not applicable. The activities of the Company do not give  
rise to these discharges. Rainwater discharges only occur  
in substations.
- 
- 
- 
 
 
 
Not applicable. Rainwater discharges from substations  
(which is the only water dumping associated with the activities  
of REE that takes place) do not affect water resources nor  
the associated habitats.
NOX, SOX, and other significant air emissions.
Disclosures on management approach.
Total water discharge by quality 
and destination. 
Total weight of waste by type and disposal  
method.
Total number and volume  
of significant spills.
Weight of transported, imported, exported,  
or treated waste deemed hazardous under the 
terms of the Basel Convention2 Annex I, II, III,  
and VIII, and percentage of transported waste 
shipped internationally.
Identity, size, protected status, and biodiversity 
value of water bodies and related habitats 
significantly affected by the organization’s 
discharges of water and runoff.
243
 
 
243 
243 
243 
 
 
 
Material aspect: Emissions / continuation
Material aspect: Effluents and Waste
G R I  C O N T E N T  I N D E X  F O R  ' I N  A C C O R D A N C E ' - C O M P R E H E N S I V E (1) 
P a r t  2 .  S p e c i f i c  S t a n d a r d  D i s c l o s u r e s  / continuation
(1) This index includes aspects and indicators from the Electric Utility Supplement in accordance with the publication ‘G4 Sector disclosures’ (Electric Utilities).
The symbol (*) indicates those indicators where sector-specific information is included.
DMA AND
INDICATORS
PAGE NUMBER
LINK
DIRECT ANSWER
OMISSIONS
EXTERNAL
ASSURANCE
PAGE
DESCRIPTION
-
206
- 
 
214 
210, 214 
214 
 
 
 
-

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
234
ANNEXES
Corporate Responsibility Report 2016
G4-DMA
G4-EN29
G4-DMA
G4-EN31
G4-DMA
G4-EN32 
 
G4-EN33
G4-DMA
G4-EN34
-
-
-
-
-
- 
 
-
-
-
Disclosures on management approach.
Monetary value of significant fines and  
total number of non-monetary sanctions  
for non-compliance with environmental 
laws and regulations.
Disclosures on management approach.
Total environmental protection expenditures  
and investments by type.
Disclosures on management approach.
Percentage of new suppliers that  
were screened using environmental  
criteria.
Significant actual and potential negative 
environmental impacts in the supply  
chain and actions taken.
Disclosures on management approach.
Number of grievances about environmental 
impacts filed, addressed, and resolved through 
formal grievance mechanism.
243
243
243
243
243
243 
 
243
243
243
Material aspect: Compliance 
Material aspect: Overall
Material aspect: Supplier Environmental Assessment
Material aspect: Environmental Grievance Mechanisms
G R I  C O N T E N T  I N D E X  F O R  ' I N  A C C O R D A N C E ' - C O M P R E H E N S I V E (1) 
P a r t  2 .  S p e c i f i c  S t a n d a r d  D i s c l o s u r e s  / continuation
(1) This index includes aspects and indicators from the Electric Utility Supplement in accordance with the publication ‘G4 Sector disclosures’ (Electric Utilities).
The symbol (*) indicates those indicators where sector-specific information is included.
DMA AND
INDICATORS
PAGE NUMBER
LINK
DIRECT ANSWER
OMISSIONS
EXTERNAL
ASSURANCE
PAGE
DESCRIPTION
180
215
180
216
174, 181
174 
 
172, 174, 181 
75
75, 217

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
235
ANNEXES
Corporate Responsibility Report 2016
G R I  C O N T E N T  I N D E X  F O R  ' I N  A C C O R D A N C E ' - C O M P R E H E N S I V E (1) 
P a r t  2 .  S p e c i f i c  S t a n d a r d  D i s c l o s u r e s  / continuation
(1) This index includes aspects and indicators from the Electric Utility Supplement in accordance with the publication ‘G4 Sector disclosures’ (Electric Utilities).
The symbol (*) indicates those indicators where sector-specific information is included.
G4-DMA*
G4-LA1* 
 
G4-LA2 
 
 
 
G4-LA3 
 
EU15* 
 
 
EU17* 
 
EU18*
G4-DMA
-
- 
 
- 
 
 
 
- 
 
- 
 
 
- 
 
-
-
CATEGORY: SOCIAL
 Labour practices and decent work
Disclosures on management approach.
Total number and rates of new employee  
hires and employee turnover by age group, 
gender, and region.
Benefits provided to full-time employees 
that are not provided to temporary  
or part-time employees, by significant  
locations of operation. 
Return to work and retention rates  
after parental leave, by gender. 
Percentage of employees eligible to retire  
in the next 5 and 10 years broken down  
by job category and by region. 
Days worked by contractor and subcontractor 
employees that participate in construction, 
operation and maintenance activities.
Percentage of contractor and subcontractor 
employees that have undergone relevant health  
and safety training.
Disclosures on management approach.
243
243 
 
243 
 
 
 
243 
 
243 
 
 
243 
 
243
243
Material aspect: Employment
Material aspect: Labour/Management Relations
DMA AND
INDICATORS
PAGE NUMBER
LINK
DIRECT ANSWER
OMISSIONS
EXTERNAL
ASSURANCE
PAGE
DESCRIPTION
111
112, 139 
 
136 
 
 
 
140 
 
127 
 
 
134, 144 
 
134
127

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
236
ANNEXES
Corporate Responsibility Report 2016
G R I  C O N T E N T  I N D E X  F O R  ' I N  A C C O R D A N C E ' - C O M P R E H E N S I V E (1) 
P a r t  2 .  S p e c i f i c  S t a n d a r d  D i s c l o s u r e s  / continuation
(1) This index includes aspects and indicators from the Electric Utility Supplement in accordance with the publication ‘G4 Sector disclosures’ (Electric Utilities).
The symbol (*) indicates those indicators where sector-specific information is included.
G4-LA4
G4-DMA
G4-LA9 
 
G4-LA10
G4-DMA
G4-LA5 
 
 
 
G4-LA6* 
 
 
G4-LA7 
G4-LA8
-
-
- 
 
-
-
- 
 
 
 
- 
 
 
- 
-
Minimum notice periods regarding operational 
changes, including whether these are specified  
in collective agreements.
Disclosures on management approach.
Average hours of training per year per  
employee by gender, and by employee 
category.
Programs for skills management and lifelong 
learning that support the continued employability  
of employees and assist them in managing 
career endings.
Disclosures on management approach.
Percentage of total workforce represented  
in formal joint management–worker  
health and safety committees that help  
monitor and advice on occupational health  
and safety programs.
Type of injury and rates of injury, occupational 
diseases, lost days, and absenteeism, and total 
number of work related fatalities, by region  
and by gender.
Workers with high incidence or high risk  
of diseases related to their occupation.
Health and safety topics covered in formal 
agreements with trade unions.
243
243
243 
 
243
243
243 
 
 
 
243 
 
 
243 
243
Material aspect: Labour/Management Relations / continuation
Material aspect: Training and Education
Material aspect: Occupational Health and Safety
DMA AND
INDICATORS
PAGE NUMBER
LINK
DIRECT ANSWER
OMISSIONS
EXTERNAL
ASSURANCE
PAGE
DESCRIPTION
127
118
110, 133, 141 
 
110, 118, 122
129
133 
 
 
 
132, 134, 140, 144 
 
 
131 
133

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
237
ANNEXES
Corporate Responsibility Report 2016
G R I  C O N T E N T  I N D E X  F O R  ' I N  A C C O R D A N C E ' - C O M P R E H E N S I V E (1) 
P a r t  2 .  S p e c i f i c  S t a n d a r d  D i s c l o s u r e s  / continuation
(1) This index includes aspects and indicators from the Electric Utility Supplement in accordance with the publication ‘G4 Sector disclosures’ (Electric Utilities).
The symbol (*) indicates those indicators where sector-specific information is included.
G4-LA11
G4-DMA
G4-LA12
G4-DMA
G4-LA13
G4-DMA
G4-LA14 
 
G4-LA15
-
-
-
-
-
-
- 
 
-
Percentage of employees receiving  
regular performance and career  
development reviews, by gender  
and by employee category. 
Disclosures on management approach.
Composition of governance bodies and breakdown 
of employees per employee category according  
to gender, age group, minority group membership, 
and other indicators of diversity.
Disclosures on management approach.
Ratio of basic salary and remuneration  
of women to men by employee category,  
by significant locations of operation. 
Disclosures on management approach.
Percentage of new suppliers that  
were screened using labour practices  
criteria.
Significant actual and potential negative  
impacts for labour practices in the supply  
chain and actions taken.
243
243
243
243
243
243
243 
 
243
Material aspect: Training and Education / continuation
Material aspect: Diversity and Equal Opportunity
Material aspect: Equal Remuneration for Women and Men
Material aspect: Supplier Assessment for Labour Practices
DMA AND
INDICATORS
PAGE NUMBER
LINK
DIRECT ANSWER
OMISSIONS
EXTERNAL
ASSURANCE
PAGE
DESCRIPTION
121, 141
114
112, 141, 142, 143
115
143
174
174 
 
172, 174

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
238
ANNEXES
Corporate Responsibility Report 2016
G R I  C O N T E N T  I N D E X  F O R  ' I N  A C C O R D A N C E ' - C O M P R E H E N S I V E (1) 
P a r t  2 .  S p e c i f i c  S t a n d a r d  D i s c l o s u r e s  / continuation
(1) This index includes aspects and indicators from the Electric Utility Supplement in accordance with the publication ‘G4 Sector disclosures’ (Electric Utilities).
The symbol (*) indicates those indicators where sector-specific information is included.
G4-DMA 
G4-LA16
-
-
Disclosures on management approach.
Number of grievances about labour practices  
filed, addressed, and resolved through formal 
grievance mechanisms.
243
243
Material aspect: Labour Practices Grievance Mechanisms
G4-DMA
G4-HR9
G4-DMA
G4-HR10 
 
G4-HR11
-
-
-
- 
 
-
Disclosures on management approach.
Total number and percentage of operations  
that have been subject to human rights reviews 
or impact assessments.
Disclosures on management approach.
Percentage of new suppliers 
that were screened using human 
rights criteria.
Significant actual and potential negative  
human rights impacts in the supply chain  
and actions taken.
243
243
243
243 
 
243
Material aspect: Assessment
Material aspect: Supplier Human Rights Assessment
HUMAN RIGHTS
G4-DMA
G4-HR12
-
-
Disclosures on management approach.
Number of grievances about human rights 
impacts filed, addressed, and resolved through 
formal grievance mechanisms.
243
243
Material aspect: Human Rights Grievance Mechanisms
58
58, 61
DMA AND
INDICATORS
PAGE NUMBER
LINK
DIRECT ANSWER
OMISSIONS
EXTERNAL
ASSURANCE
PAGE
DESCRIPTION
58, 127
58, 128
61
62
58, 170
174 
 
172, 174

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
239
ANNEXES
Corporate Responsibility Report 2016
G R I  C O N T E N T  I N D E X  F O R  ' I N  A C C O R D A N C E ' - C O M P R E H E N S I V E (1) 
P a r t  2 .  S p e c i f i c  S t a n d a r d  D i s c l o s u r e s  / continuation
(1) This index includes aspects and indicators from the Electric Utility Supplement in accordance with the publication ‘G4 Sector disclosures’ (Electric Utilities).
The symbol (*) indicates those indicators where sector-specific information is included.
G4-DMA*
G4-SO1 
 
G4-SO2 
 
EU22*
G4-DMA
G4-DMA
G4-SO3 
 
G4-SO4 
G4-SO5
-
- 
 
- 
 
Not applicable. Red Eléctrica facilities do not produce  
any form of displacement.
-
-
- 
 
- 
-
Disclosures on management approach.
Percentage of operations with implemented  
local community engagement, impact  
assessments, and development programs.
Operations with significant actual  
or potential negative impacts on local 
communities.
Number of people physically or economically 
displaced and compensation, broken down  
by type of project.
Disclosures on management approach.
Disclosures on management approach.
Total number and percentage of operations 
assessed for risks related to corruption  
and the significant risks identified.
Communication and training on anti-corruption 
policies and procedures.
Confirmed incidents of corruption and  
actions taken.
243
243 
 
243 
 
243
243
243 
 
243 
243
Material aspect: Local Communities
Material aspect of the electric utility sector: Disaster/ Emergency Planning and Response
Material aspect: Anti-corruption
SOCIETY
148, 182
148, 183 
 
184 
 
-
89
60
60 
 
56, 60 
58, 60
DMA AND
INDICATORS
PAGE NUMBER
LINK
DIRECT ANSWER
OMISSIONS
EXTERNAL
ASSURANCE
PAGE
DESCRIPTION

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
240
ANNEXES
Corporate Responsibility Report 2016
G R I  C O N T E N T  I N D E X  F O R  ' I N  A C C O R D A N C E ' - C O M P R E H E N S I V E (1) 
P a r t  2 .  S p e c i f i c  S t a n d a r d  D i s c l o s u r e s  / continuation
(1) This index includes aspects and indicators from the Electric Utility Supplement in accordance with the publication ‘G4 Sector disclosures’ (Electric Utilities).
The symbol (*) indicates those indicators where sector-specific information is included.
G4-DMA
G4-SO8
-
-
Disclosures on management approach.
Monetary value of significant fines and total  
number of non-monetary sanctions for 
non-compliance with laws and regulations.
243
243
Material aspect: Regulatory compliance
55
Significant fines or sanctions are those whose 
financial value exceeds 500,000 euros or those 
that, due to their nature, may have a special 
impact on the Company as a result of its 
connection to the Electricity Sector. Similarly, 
it has been taken as a reference criteria that 
the sanction be final, at least via administrative 
proceedings. Regarding the aforementioned, 
we consider that no significant fines have been 
imposed on the Company for non-compliance  
with laws and regulations.
G4-DMA
G4-SO9 
 
G4-SO10
-
- 
 
-
Disclosures on management approach.
Percentage of new suppliers that  
were screened using criteria for impacts  
on society.
Significant actual and potential negative  
impacts on society in the supply chain 
and actions taken.
243
243 
 
243
Material aspect: Supplier Assessment for Impacts on Society
174
174 
 
172, 174
G4-DMA
G4-SO11
-
Disclosures on management approach.
Number of grievances about impacts on society 
filed, addressed, and resolved through formal 
grievance mechanisms.
243
243
Material aspect: Grievance Mechanisms for Impacts on Society 
75
58, 75
DMA AND
INDICATORS
PAGE NUMBER
LINK
DIRECT ANSWER
OMISSIONS
EXTERNAL
ASSURANCE
PAGE
DESCRIPTION

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
241
ANNEXES
Corporate Responsibility Report 2016
G R I  C O N T E N T  I N D E X  F O R  ' I N  A C C O R D A N C E ' - C O M P R E H E N S I V E (1) 
P a r t  2 .  S p e c i f i c  S t a n d a r d  D i s c l o s u r e s  / continuation
(1) This index includes aspects and indicators from the Electric Utility Supplement in accordance with the publication ‘G4 Sector disclosures’ (Electric Utilities).
The symbol (*) indicates those indicators where sector-specific information is included.
G4-DMA
G4-PR1 
 
 
G4-PR2 
 
 
 
 
EU25*
-
- 
 
 
- 
 
 
 
 
-
Disclosures on management approach.
Percentage of significant product 
and service categories for which health  
and safety impacts are assessed for  
improvement.
Total number of incidents of non-compliance  
with regulations and voluntary codes  
concerning the health and safety impacts 
of products and services during their life 
cycle, by type of outcomes. 
Number of injuries and fatalities to the 
public involving company assets, including 
legal judgments, settlements, and pending  
legal cases of diseases.
243
243 
 
 
243 
 
 
 
 
243
Material aspect: Customer Health and Safety
PRODUCT RESPONSIBILITY
187
187, 188 
 
 
188 
 
 
 
 
For 2016, we are not aware of the lodging  
of any formal civil, administrative or penal 
grievances by third parties regarding injuries,  
deaths or illnesses of any citizen caused  
by Company assets.
G4-DMA*
EU26* 
EU27*
-
Not applicable. Red Eléctrica, as high voltage  
transmission agent, does not reach the final consumer.
Not applicable. Red Eléctrica does not carry out  
distribution activity, only high voltage transmission.  
The quality indicators of the transmission activity are  
shown in the following link. 
Disclosures on management approach.
Percentage of population unserved in  
licensed distribution or service areas.
Number of residential disconnections  
for non-payment, broken down by duration 
of disconnection and by regulatory regime.
243
 
Material aspect of the electric utility sector: Access
81
- 
-
DMA AND
INDICATORS
PAGE NUMBER
LINK
DIRECT ANSWER
OMISSIONS
EXTERNAL
ASSURANCE
PAGE
DESCRIPTION

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
242
ANNEXES
Corporate Responsibility Report 2016
G R I  C O N T E N T  I N D E X  F O R  ' I N  A C C O R D A N C E ' - C O M P R E H E N S I V E (1) 
P a r t  2 .  S p e c i f i c  S t a n d a r d  D i s c l o s u r e s  / continuation
(1) This index includes aspects and indicators from the Electric Utility Supplement in accordance with the publication ‘G4 Sector disclosures’ (Electric Utilities).
The symbol (*) indicates those indicators where sector-specific information is included.
G4-DMA
G4-PR9
G4-DMA*
-
-
Not applicable. Red Eléctrica, as high voltage transmission agent,  
does not reach the final consumer.
Disclosures on management approach.
Monetary value of significant fines for  
non-compliance with laws and regulations 
concerning the provision and use of products  
and services.
Disclosures on management approach.
243
243
Material aspect: Compliance
Material aspect of the electric utility sector: Provision of Information
EU28*
EU29*
EU30*
-
-
Not applicable. All the activities of the Group are related to the 
transmission of electricity and the operation of the electricity 
systems, but not to the generation of electricity.
Power outage frequency.
Average power outage duration.
Average plant availability factor by energy  
source and by regulatory regime.
243
243
Material aspect of the electric utility sector: Access / continuation
88
88
-
55
On 07/03/16 a sanctioning resolution was 
issued by the Economy, Industry, Commerce  
and Knowledge Advisory Board of the Government 
of the Canary Islands, in which it is agreed to 
impose a fine of 6,000,001 euros on Red Eléctrica 
de España, due to incidents in the electricity 
system of Gran Canaria, on 03/12/12 and 
12/12/12, which caused a loss of supply (220kv 
Barranco de Tirajana substation). Red Eléctrica 
de España, considering that it did not commit 
said infringement, has lodged a contentious-
administrative appeal against the aforementioned 
administrative act, before the Contentious-
Administrative courtroom of the Superior Court 
of Las Palmas, which is in the administrative 
process. This fine is the only one considered 
significant, according to the parameters  
indicated above for the G4-SO8 indicator.
-
DMA AND
INDICATORS
PAGE NUMBER
LINK
DIRECT ANSWER
OMISSIONS
EXTERNAL
ASSURANCE
PAGE
DESCRIPTION

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
243
ANNEXES
Corporate Responsibility Report 2016
R E P O R T  O N
I n d e p e n d e n t  r e v i e w  / G4-33

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
244
ANNEXES
Corporate Responsibility Report 2016
R E P O R T  O N  I N D E P E N D E N T  R E V I E W
o f  g r e e n h o u s e  g a s  e m i s s i o n s  i n v e n t o r y

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
245
ANNEXES
Corporate Responsibility Report 2016

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
246
ANNEXES
Corporate Responsibility Report 2016
Board of Directors of its parent 
company on 28 May 2013, 
undertaking the requirements 
demanded by stakeholders and the 
recommendations of organisations 
of repute with influence in this area.
The Code of Ethics is incumbent 
on all persons in the Group, 
understood as its Board of 
Directors, its directors and 
employees, in the performance  
of their duties and responsibilities. 
It is applied in the companies of 
the Group, i.e. in those in which the 
Group has majority of shareholding, 
regardless of their geographical 
location and in those countries 
where they are temporarily 
performing activities, providing 
professional services or any other 
activity related to the Group.
Ethics manager and 
stakeholder ombudsman
To ensure understanding, 
implementation and enforcement 
of the Code of Ethics, Red Eléctrica 
appointed Rafael García de Diego, 
General Counsel and Secretary 
of the Board of Directors, as 
Ethics Manager and Stakeholder 
Ombudsman. The responsibilities 
of the Ethics Manager are the 
following:
• Resolve enquiries and advise all 
stakeholders regarding any doubts 
in relation to the values and 
commitments contained in the 
Code of Ethics.
• Institute proceedings regarding 
grievances through the verification 
and investigation of the conduct of 
those employees or organisational 
units reported.
• Develop action plans to resolve 
the grievances reported and 
submit them for approval by 
the Chairman of Red Eléctrica 
Group or the Chairperson of the 
Audit Committee if it affects any 
member of the Management 
Committee.
• Keep an updated record on the 
process (enquiries, grievances, 
procedures and communications 
with interested parties).
Introduction
The Annual Report on the 
Management of the Code of Ethics 
sets out the circumstances arising 
in relation to the corporate system 
for the management of ethics 
of the Red Eléctrica Group within 
the 2016 fiscal year.
The Code of Ethics of the Company 
seeks to provide an ethical guide 
for the people of the companies 
of the Red Eléctrica Group, 
establishing the values and 
commitments that should govern 
their activity within the Company.
The current edition of the Code 
of Ethics of the Red Eléctrica 
Group was approved by the 
ANNUAL EXECUTIVE REPORT ON THE 
MANAGEMENT OF THE CODE OF ETHICS 2016
The Code of Ethics is the professional ethical 
guide incumbent on all employees of the Group 
and the Board of Directors and its members in the 
performance of their duties and responsibilities.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
247
ANNEXES
Corporate Responsibility Report 2016
which enquiries, grievances  
or suggestions can be conveyed 
to the Ethics Manager. 
In addition, Red Eléctrica has 
another channel for reporting non-
compliance, grievances, enquiries 
and suggestions regarding ethical 
matters through its Stakeholder 
Attention Centre DÍGAME, in order  
to provide a reporting channel  
for requests from external 
stakeholders who are not aware  
of the whistle-blowing channel.  
This service will transfer to the 
Ethics Manager the requests 
received, preserving their 
confidentiality.
Regarding the whistle-blowing 
channel for the detection  
and handling of possible  
non-compliances, complaints,  
queries and suggestions,  
in 2016, 29 queries were made  
to the Ethics Manager, all with  
a maximum resolution time of 10 
days or less. The enquiries made 
have referred to the following 
patterns of business behaviour:
• Responsible monitoring of the 
management of suppliers,
• Adequate handling of confidential 
information.
• Protection and use of facilities  
and equipment of the 
Organisation.
• Limitation on the acceptance  
of gifts, loans or invitations.
• Respect, integrity, accountability 
and transparency within the 
organisation.
In 2016, three grievances were 
received regarding compliance  
with the Code of Ethics.
The first one of them, formulated 
from within the organisation itself, 
concerned issues related to the 
rational use of computer power. 
Once the grievance was analysed, 
and the information and evidence 
obtained during the processing 
of the case, it was filed because 
there was no breach of the values 
included in the Code of Ethics  
of the Red Eléctrica Group, and 
after having verified that the  
control criteria and energy 
efficiency information in the use 
of computer equipment of the 
Company is being applied.
The second of the grievances, 
reported by a private individual, 
referred to the corporate value 
‘responsibility’ and was motivated 
by slight damages caused on a farm 
as a result of the maintenance work 
on one of Red Eléctrica's facilities. 
At the request of the Ethics 
Manager, an action plan for the 
repair of the damages, object of the 
complaint, was designed, which was 
carried out by the unit responsible 
in the Company with the agreement 
of the landowner.
• Keep claimants abreast of the 
status and resolution of enquiries 
or grievances reported, when such 
information is requested.
• Draft a periodic report on  
the review of the system and 
propose actions to improve  
the management system.
• Maintain at all times the 
confidentiality of the claimant, 
unless legally required to disclose 
this information.
• Carry out the duties and functions 
assigned under the principles of 
independence, rigour and fairness.
Whistle-blowing channel 
To promote the application of the 
Code of Ethics, Red Eléctrica has  
a whistle-blowing channel, available 
on the corporate website, through 
The role of the Ethics Manager is to ensure the 
dissemination, application and compliance of  
the Code of Ethics while dealing with the requests, 
grievances and suggestions of stakeholder groups.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
248
ANNEXES
Corporate Responsibility Report 2016
Among the functions undertaken 
by the Ethics Manager is the 
obligation to communicate  
the grievances that could lead 
to a criminal risk for the companies 
of the Red Eléctrica Group, for  
which the Control and Monitoring 
body of the Criminal Risk Prevention 
Programme of the Group, of which 
the Ethics Manager is a member, 
can assess the aforementioned 
grievances and, where appropriate, 
initiate an investigation into the 
event until it is resolved. 
In 2016, as occurred in previous 
years, the Ethics Manager  
received no complaint about  
non-compliances related to 
criminal risk, and none of the 
companies of the Red Eléctrica 
Group have been investigated, 
or convicted by any law court for 
infringements related to criminal 
risks of the organisation.
Integrity 
and transparency
The Code of Ethics and the 
corresponding management system 
for enquiries and grievances, which 
include aspects related to the fight 
against corruption, constitutes 
an effective mechanism for the 
detection and handling of possible 
cases of corruption and fraud.  
The governing bodies, managers 
and other employees of Red 
Eléctrica must accept the content 
of the Code of Ethics and, the 
suppliers, the Code of Conduct 
for suppliers of the organisation.
As a result of the commitment 
undertaken by Red Eléctrica  
to prevent any practices related 
to corruption, bribery or facilitation 
payments, the Board of Directors 
of the parent company approved 
on 22 December 2015 the ‘Guide 
for the Prevention of Corruption: 
zero tolerance’ as a fundamental 
element of the integrity model  
of the Red Eléctrica Group. It aims 
to provide a guide regarding the 
prevention of corruption for all 
professionals in the companies  
of the Red Eléctrica Group, setting 
out the commitments and action 
criteria, thereto, that should govern 
their professional activities within 
the same. Its purpose is to provide 
members of the Red Eléctrica Group 
an analysis of the circumstances 
and the risks they face regarding 
corruption, and advance the 
dissemination of the criteria and 
the instruments available to the 
Company for its eradication.
Over the last year, no grievance 
has been registered through the 
whistle-blowing channel regarding 
possible cases of corruption.  
No company of the Red Eléctrica 
Group has been accused of or 
convicted by any court of law on 
non-compliances related to cases 
of corruption, in the same way 
as in previous years.
Awareness actions
Within the Awareness Plan on 
ethical management, approved 
by the Corporate Responsibility 
The third of the grievances 
reported refers to the corporate 
value ‘environmental conscience’, 
made by a private individual, 
was motivated due to the noise 
emission of one of the Company’s 
facilities. From the study, it was 
shown that the levels emitted were 
in accordance with legal standards 
and recommended practices. 
Notwithstanding this, the Ethics 
Manager proposed that a series of 
improvements were carried out in 
the screening of the facility in order 
to increase the absorption of noise 
and at the same time improve the 
landscape impact of the facility. 
The implementation of this action 
plan is expected to be completed 
during the first half of 2017.
The ‘Guide for the Prevention of Corruption: zero 
tolerance’ provides all the professionals of the 
companies of the Group with general guidelines  
on the prevention of corruption.

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
249
ANNEXES
Corporate Responsibility Report 2016
of Red Eléctrica’ project, which 
was undertaken during 2016, 
was approved as a leadership 
objective. The aim of the process 
is to communicate the values 
of the Company to all members 
and generate internal debate 
about its application within each 
unit, taking into account its 
peculiarities. This communication 
and debate has been undertaken 
with all the employees and with the 
involvement of those responsible 
for the different units of the 
Company. In these sessions, the 
current values were presented and 
the most significant in the opinion 
of its members were discussed 
within each unit, and proposals 
were made on possible areas  
for improvement.
Recognitions
In the area of external recognition, 
noteworthy is the leadership 
achieved by Red Eléctrica in the 
Ethics / Compliance / Corruption 
and Bribery section of the Dow 
Jones Sustainability Index 2016. 
For the second consecutive year, 
Red Eléctrica obtained the highest 
score (100 out of 100 points) 
in that section, 28 points above 
the average of the companies  
in its sector participating in said 
index, having also reached the 
maximum percentage (100) in the 
assessment.
Noteworthy is the inclusion of Red 
Eléctrica in the Euronext-Vigeo 
Sustainability Indexes (Eurozone 
120, Europe 120, Global 120) 
which selects the companies that 
stand out for their performance 
in areas such as environmental 
protection, ethics or contribution 
to economic and social 
development of the communities 
in which they operate. 
Lastly, noteworthy is the continued 
presence of Red Eléctrica in the 
business ethics indexes, such  
as the Ethibel Sustainability Index 
(ESI) Excellence Europe for the 
second year running, as well  
as its inclusion in the Ethibel 
Excellence since 2009.
Alliances
Among the initiatives in which 
Red Eléctrica has participated in 
the promotion of business ethics 
noteworthy is the establishment 
of the Integrity Forum of the 
non-governmental organisation 
Transparency International España. 
The Forum is a reflection platform 
facilitated by Transparency 
International España for the 
improvement of compliance and 
ethical management in Spanish 
companies, which is structured 
through various working groups 
and periodic thematic sessions  
on business ethics. 
On the other hand, Red Eléctrica 
has joined the group of large 
companies that are part of the 
recently constituted Transparency, 
Good Governance and Integrity 
Cluster. It is a platform of 
companies coordinated by the 
Spanish association for the 
promotion of the culture of 
ethical and socially responsible 
management, Forética, with the 
aim of serving as a business 
meeting point in leadership, 
knowledge, exchange and  
dialogue in this area.
Committee of the Company 
(currently the Sustainability 
Management Committee), 
a number of forums were held 
during the 2014-2016 period at 
all work centres of the Group’s 
companies, with the aim of 
improving knowledge regarding 
the ethics management 
system, reflecting the values 
and commitments made by the 
organisation, and strengthening 
the figure and functions of the 
Ethics Manager. These sessions 
include the participation of the 
Ethics Manager and the Red 
Eléctrica Stakeholder Ombudsman.
From outset of the awareness 
campaign in November 2014,  
and until its conclusion in June 
2016, 25 awareness training 
sessions were held, with a 
total of 1,589 people attending, 
representing 89.8% of the 
workforce.
In this process of bringing 
the values and commitments, 
encompassed within the Code 
of Ethics, to its members, the 
accomplishment of the ‘Values

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
250
ANNEXES
Corporate Responsibility Report 2016
KPMG Auditores, S.L. 
Paseo de la Castellana, 259 C 
28046 Madrid
KPMG Auditores S.L., a limited liability Spanish company and a 
member firm of the KPMG network of independent member firms 
affiliated with KPMG International Cooperative (“KPMG 
International”), a Swiss entity. 
Reg. Mer Madrid, T. 11.961, F. 90, 
Sec. 8, H. M -188.007, Inscrip. 9 
N.I.F. B-78510153 
Independent Auditor's Report on 
the System of Internal Control over Financial Reporting 
(Translation from the original in Spanish. In the event of discrepancy, the Spanish-language version prevails.) 
To the Directors of 
    Red Eléctrica Corporación, S.A. 
Further to your request, and in accordance with our engagement letter dated 26 October 2015, we 
have examined the information concerning the System of Internal Control over Financial Reporting 
(Sistema de Control Interno sobre la Información Financiera, hereinafter “SCIIF”) of Red Eléctrica 
Corporación, S.A. (the Parent) and subsidiaries (the Red Electrica consolidated Group or the Group) 
described in note F of the accompanying Annual Corporate Governance Report at 31 December 2016. 
This system is based on the criteria established in the Internal Control - Integrated Framework issued 
by the Committee of Sponsoring Organizations (COSO) of the Treadway Commission. The Board of 
Directors of the Company and Senior Management of the Group are responsible for adopting 
appropriate measures to reasonably ensure the implementation, maintenance and oversight of an 
adequate system of internal control over financial reporting, evaluating its effectiveness and developing 
improvements to that system, and defining the content of and preparing the accompanying information 
concerning SCIIF.  Our responsibility is to express an opinion on the effectiveness of the Group's 
System of Internal Control over Financial Reporting based on our examination. 
An entity's internal control over financial reporting is designed to provide reasonable assurance that its 
annual financial reporting complies with the applicable financial reporting framework. It includes 
policies and procedures that (i) pertain to the maintenance of records that, in reasonable detail, 
accurately and fairly reflect the transactions and assets of the Group; (ii) provide reasonable assurance 
that transactions are recorded as necessary to permit preparation of the Group's consolidated annual 
accounts in accordance with the applicable financial reporting framework; and (iii) provide reasonable 
assurance regarding prevention or timely detection of unauthorised acquisition, use or disposal of the 
Group's assets that could have a material effect on the consolidated annual accounts. In this respect 
it should be borne in mind that, irrespective of the quality of the design and operation of the internal 
control system adopted in relation to annual financial reporting, the system may only provide 
reasonable, but not absolute assurance in relation to the objectives pursued, due to the limitations 
inherent in any internal control system.  
We conducted our examination in accordance with ISAE 3000 (International Standard on Assurance 
Engagements 3000: Assurance Engagements other than Audits or Reviews of Historical Financial 
Information), issued by the International Auditing and Assurance Standards Board (IAASB) of the 
International Federation of Accountants (IFAC) for the issue of reasonable assurance reports.  This 
standard requires that we plan and perform our work to obtain reasonable assurance about whether 
the Group maintains, in all material respects, effective internal control over financial reporting. Our 
work included obtaining an understanding of the Group's System of Internal Control over Financial 
Reporting, testing and evaluating the design and operating effectiveness of that system, and 
performing such other procedures as were considered necessary in the circumstances. We consider 
that our examination provides a reasonable basis for our opinion.
2
We apply International Standard on Quality Control 1 and accordingly maintain a comprehensive 
system of quality control including documented policies and procedures regarding compliance with 
ethical requirements, professional standards and applicable legal and regulatory requirements. 
We have complied with the independence and other ethical requirements of the Code of Ethics for 
Professional Accountants issued by the International Ethics Standards Board for Accountants, which 
is founded on fundamental principles of integrity, objectivity, professional competence and due care, 
confidentiality and professional behaviour. 
Due to the limitations inherent in any internal control system, there is always a possibility that SCIIF 
may not prevent or detect misstatements or irregularities that may arise as a result of errors of 
judgement, human error, fraud or misconduct. Moreover, projections of any evaluation of effectiveness 
to future periods are subject to the risk that controls may become inadequate because of changes in 
conditions or that the degree of compliance with the policies or procedures may deteriorate. 
In our opinion, the Group maintained, in all material respects, effective internal control over financial 
reporting at 31 December 2016, in accordance with the criteria established in the Internal Control - 
Integrated Framework issued by the Committee of Sponsoring Organizations (COSO) of the Treadway 
Commission. Furthermore, the disclosures contained in the information concerning SCIIF included in 
note F of the Group's Annual Corporate Governance Report at 31 December 2016 have been 
prepared, in all material respects, in accordance with the requirements set forth in article 540 of the 
Revised Spanish Companies Act and in Spanish National Securities Market Commission (CNMV) 
Circular 7/2015 of 22 December 2015, with respect to the description of the System of Internal Control 
over Financial Reporting in Annual Corporate Governance Reports. 
Our examination did not constitute an audit of accounts and is not subject to the legislation regulating 
the audit of accounts in Spain. As such, in this report we do not express an audit opinion on the 
accounts under the terms provided in the above-mentioned legislation. However, on 23 February 2017 
we issued our unqualified audit report on the consolidated annual accounts of the Group for 2016, in 
accordance with the legislation regulating the audit of accounts in Spain. 
KPMG Auditores, S.L. 
(Signed on original in Spanish)
Ana Fernández Poderós 
23 February 2017 
I N D E P E N D E N T  A U D I T O R ' S  R E P O R T
o n  t h e  S y s t e m  o f  I n t e r n a l  C o n t r o l  o v e r  F i n a n c i a l  R e p o r t i n g

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
www.ree.es
251
ANNEXES
Corporate Responsibility Report 2016
E X E C U T I V E  S U M M A R Y 
o f  t h e  i n t e r n a l  a u d i t

LETTER FROM THE CHAIRMAN AND 
THE CHIEF EXECUTIVE OFFICER
KEY PERFORMANCE 
INDICATORS
01. THE COMPANY
02. STRATEGY
03. CORPORATE 
GOVERNANCE
04. MANAGEMENT 
APPROACH
05. SUSTAINABLE 
ENERGY
06. CREATION 
OF VALUE
07. EMPLOYEES
10. THE 
ENVIRONMENT
ANNEXES
08. SOCIETY
09. DIALOGUE WITH 
STAKEHOLDERS
ABOUT THIS REPORT
Corporate Responsibility Report 2016
P u b l i s h e d  b y
RED ELÉCTRICA
Paseo del Conde de los Gaitanes, 177
28109 Alcobendas (Madrid)
www.ree.es
E d i t i o n  a n d  C o - o r d i n a t i o n
Departamento de Comunicación  
e Imagen Corporativa
G r a p h i c  d e s i g n  a n d  l a y o u t
dis_ñ
estudio@dis-n.es
E n g l i s h  t r a n s l a t i o n  b y
Wayman English International  
www.waymanenglish.com
This English version is a translation 
of the original and authentic  
Spanish text found in the 'INFORME 
DE RESPONSABILIDAD CORPORATIVA 
2016', originally issued in Spanish.  
In the event of discrepancy, 
the Spanish language version 
shall prevail.