S USTAINABILITY REPORT 2024 | EXECUTIVE SUMMARY

Stepping up
Sustainability is our businessCEO message
For over a decade, we have reported formally on oursustainability performance, in line with international
standards and best practice and we are proud to be a
Global Reporting Initiative community member.
The theme of this year’s report is “Stepping Up”. Why?
For the simple reason that the sustainability challenges
facing society today continue to grow in scale, pace andcomplexity. This requires organizations everywhere to
do two things: step up on ambition and double-down on
impact. As the countdown to 2030 continues, we must
all aim higher and work harder to maximize our positive
impact by continuing to implement the ten principlesof the UN Global Compact and contributing to the UN
Sustainable Development Goals.
Tom Reichert

At ERM, that means stepping up our progress across thethree macro sustainability issues of our time—climate,nature and water and social inequality.

I’m delighted to present ERM’s

For example, we have sustained our greenhouse gas
emission reductions, and our updated Decarbonization
Strategy includes our new emission reductions targets,
validated by the Science Based Targets initiative as inalignment with the Net-Zero Standard, which will see
us deliver net-zero by 2040.

ERM Group CEO

Sustainability Report 2024, whichshowcases the progress we have madeacross our sustainability priorities andtargets over the last financial year.

Sustainability Report 2024

EXECUTIVE SUMMARY

We have delivered nature projects in over 100 countries
and our new Nature Strategy sets out our contribution
to halting and reversing biodiversity loss by 2030 andworking towards a nature positive future, which includes
being an early adopter of the Taskforce for NatureRelated Financial Disclosures.

And with over 50 million people estimated to be subject
to modern slavery, our new Human Rights Strategy setsout how we at ERM are committed to addressing the riskof modern slavery across our value chain, consistent withour commitment to the UN Declaration of Human Rights,
UN Guiding Principles on Business and Human Rights
and the International Labor Organization Principles
and Fundamental Rights at Work.
As the world’s largest specialist sustainability
consultancy, the greatest impact we can have is throughthe work delivered for our clients by our 8,000 people.
This year’s report contains a wealth of data and stories
about how this work delivers real change on the ground.
For example, supporting projects contributing to inexcess of 200 GW of renewable energy capacity; treating
2.4+ billion liters of water; and treating, destroying or
removing 12.8+ million kilograms of contaminants. It is
inspiring to reflect on these numbers and also exciting
to consider how much more we can do in the future.
Thank you to everyone who has helped contribute to
the progress detailed in this report. ERM’s purpose is
to shape a sustainable future with the world’s leadingorganizations, which requires close collaboration
across our clients, people, partners, suppliers andwider stakeholders.
I look forward to working with all of you as we step up to
the challenges of the future and deliver the opportunityof a sustainable future for us all.

2

Foreword from our Global Leader of Sustainability & Risk
When ERM started reporting on our sustainability
performance 12 years ago, such disclosures were
voluntary and undertaken as a matter of corporate
commitment to best practice. Fast forward to 2024
and reporting on sustainability topics has become amandatory requirement for many companies acrossthe globe, as regulators seek to instill greater rigor inreporting practices.

Sabine Hoefnagel
Global Leader of Sustainability & Risk

The proliferation of disclosure regulations andstandards presents a challenge for organizations
seeking to harmonize reporting across geographies andthe interoperability of requirements remains a pressing
need. ERM is currently supporting clients across the globe
to navigate this rapidly changing and complex disclosure
landscape.

we deliver to clients and the contribution that ourthought leadership and collaborations with partners
make to the global sustainability agenda.
We are a business whose purpose is to shape a sustainable
future with the world’s leading organizations. Together,
we are stepping up to create that future.
We hope you find this report informative and welcome
your feedback which can be emailed tosustainability@erm.com.

This report sets out our performance for our fiscal
year 2024 (FY24) but also provides a lookahead toour priorities throughout FY25 and beyond, which
includes our preparation for disclosing under the
Corporate Sustainability Reporting Directive (CSRD)
and International Financial Reporting Standards (IFRS)
among others.
What drives our disclosure however is not regulation but
responding to stakeholder interests through our ongoingcommitment to be a credible leader in sustainability,
demonstrating by example the advice that we provide
to our clients and wider stakeholders.
We have structured this report to set out how we asa business strive to maximize our impact throughoperationalizing sustainability, alongside the work

Sustainability Report 2024

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FY24 highlights
OPERATIONS$1 billion+
annual revenue

28%

COLLABORATIONSSupported renewable energy projects contributing

Over

200+GW 10+ GW
installed capacity

2.4+ billion
litres of water

Treated, destroyed or removed

Validated

updated SBTi
strategies Net-Zeroacross Human Rights
Standard
and Naturealigned targets

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global strategic
partnerships
with the world's leading organizations

8commercial partnerships
announced

insights and thought
leadership reports

published by ERM SustainAbility Instituteof all projects
tech enabled

employee promotions

20

25
12.8+ million

60%

1,000

storage

Treatedgrowth in energy
transition sales

Over

Launched

CLIENTS

kilograms of contaminants

EngagedWorked on

1,800+ 81
executives
to drive safety
leadershipsites
within21 of the 100 priority
water-stressed basins
globally

ERM Foundation supported

across29
49 organizations
NGO

countries$600,000+ disbursed
through grant funding and pro bono support4

Awards and recognition in FY24

LeaderBest

in the 2024 ESG andsustainability consulting Green
Quadrant by Verdantix

ESG Advisory Firm in Private
Equity Wire’s European Awards.

#1

ERM and EESI Remediation
Limited UK were awarded the“Remediation Project of theYear” by Environmental
Analyst Global in the
Sustainability Delivery
Awards 2024.

technical advisor by deal
value in Europe in Infralogic’s
Technical Advisor rankings.

Gold Medal for sustainability
achievement by EcoVadis,
placing ERM in the top 5%of companies assessed.

A top performer inWorld Business Council for
Sustainable Development(WBCSD) annual review ofcompanies’ sustainability
reporting, Reporting Mattersfor the 5th year running.

Sustainability Report 2024

Royal Society for the Prevention of
Accidents (RoSPA) President’s Awardafter achieving 10 consecutive
Gold Awards.

Visvesh Sridharan, ESG Integration
Lead at ERM, named a sustainability
rising star in by GreenBiz 30 Under 30.

Platinum
score in the Highwire
safety awards.

Best Technical Adviser – New
Technologies as part of Inspiratia'sEurope Energy Transition Awards.

EXECUTIVE SUMMARY

Best
outreachaward in the Clean Hydrogen
Partnership Awards.

IJGlobal ESG Technology Award in
Energy for ERM emissions.AI.

5

Our value chain
We adopt a value chain approach to our management ofsustainability-related risks, opportunities and impacts.
Upstream our value chain includes employees, partners and investors who areshareholders in the business, our offices and the materials required to support them.
Our supply chain is diverse, spanning the breadth of our global offices and countries
within which we deliver our services. It encompasses many services and activities,
from site investigation to translation services.
Downstream, our value chain encompasses our clients, the communities they operate
in and their own supply chains, alongside partner organizations, global society and theenvironment. Across our value chain, we seek to work with organizations who share our
purpose and values in working towards a nature positive future.

Photo credit: Will France, United Kingdom

Supply chain
and suppliers'
value chains ​Sustainability Report 2024

Direct operations​
Employees,
offices, investors

EXECUTIVE SUMMARY

Clients
and theirvalue chains

Partnerships
and the ERM
Foundation

Impact onsociety and theenvironment

6

Our purpose & strategy
We put our purpose, beliefs and behaviors at the core

OUR PURPOSE

of everything we do. They serve as the compass to guideTo shape a sustainable futurewith the world’s leadingorganizations. ​decision-making and wider stakeholder value to maximize
our impact, drive value for clients and foster engagement
and meaning for our employees.
We deliver our purpose through our business strategy of operationalizing
sustainability, working with clients to support sustainable transformation,and through our partnerships and collaborations, in line with our commitment
to support the United Nations Sustainable Development Goals (SDGs).
As we grow and respond to market need, we will focus on long-term value creationand extending our impact on the environment and society. To sustain this growth,
we continue to enhance our platforms, systems, internal structures and capacity
to ensure we are resilient in the face of increasing client demand.

OUR BELIEFS

Together wechallenge
We foster genuine
trust and collaboration
to address theworld’s sustainability
challenges. ​​Expertise is
our superpower
We operationalize
sustainability for ourclients with leading
technical depth fromend-to-end. ​Impactignites us
We are results-driven
and impact-obsessed
while always actingwith the highest
integrity andaccountability.​

HELP US TO DELIVER FOR

Our clients

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Our people

Our investors

The planet and society

7Operationalizing sustainability
Operationalizing sustainability is a business imperative for

ERM's Sustainability operational programs

ERM that is integral to our long-term strategy, operational
planning and management.
It provides a framework that enables us to effectively manage our sustainability-relatedrisks and opportunities, drive continual improvement and deliver upon our positioning
as a leader in sustainability advisory services. Our Sustainability Policy, Sustainability
Approach and the contents of this Sustainability Report 2024 reflect the strategic
priority which we place on integrating sustainability within our own operations.
Implementation of our operational programs is led by the Group Sustainability
team working in conjunction with key global functional teams including Operations,
Finance, Legal, Risk, People, Clients and Services, and supported by senior leadership
across our operations.
We have four key operational programs, comprising:• Climate: Decarbonizing our value chain in line with our science-based targets.

Supply chain

Direct operations

GOVERNANCEDISCLOSURE

POLICIESAND
PROCESSES• Nature: Progressing our operations towards a nature positive future.
• Human rights: Respecting and promoting human rights across our value chain.

PERFORMANCE• Supply chain: Enhancing supplier sustainability performance.
Supporting the delivery of these operational programs are ERM’s suite of sustainability
strategies which set out our objectives, governance, management systems and targets.
Further information on the respective strategies, programs and latest performancedata is included in this report and can be found at erm.com.

Clients

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Partnerships

8Supporting the Sustainable Development Goals
The United Nations adopted the SDGs in September 2015, with the objective of ending
poverty, fighting inequality and injustice, and tackling climate change by 2030.
Reaching these goals will require unprecedented effort by governments, civil society
and businesses and we remain committed to doing our part.
ERM supports the SDGs in the following ways:• In our operations. ERM strives to operate sustainably in support of the SDGs
through our sustainability operational programs.

We contribute to the Sustainable Development Goals in three ways

• Through our work for clients. We use the SDGs to help our clients develop andimplement their own operational strategies for contributing to sustainable
development.
• In collaboration with others. Through our partnerships with leading organizations,
we are committed to making a meaningful contribution to the SDGs. ERM also
provides thought leadership through the ERM Sustainability Institute and actively
participates in panels, workshops and webinars across the globe, sharing our own
experience of contributing to the SDGs. Our technical experts also support industry,scientific and academic bodies who are committed to the delivery of the SDGs.

In our own
operations ​Through our workwith clients​

Collaboration
with other leadingorganizations• The ERM Foundation. The work of the ERM Foundation seeks to make a measurable
contribution to the SDGs, and we have identified 12 intersecting SDGs where theFoundation can have the greatest impact.

Learn more about ERM's impact in Supporting the SDGs

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9Our impact
Our material topics represent the key issues which we have assessed will give rise to
the most significant impacts for our business.
We seek to measure and manage these impacts through three points of our value chain:• Our operations: We create and manage our impact through the footprint of ouroffice-based operations, our people and the delivery of our services to our clients.
• Our client work: We create the greatest impact through partnering with our clientsto support them in enhancing their own sustainability performance and in turn,their impact on environment and society.
• Our collaborations: We also create and seek to maximize the impact we can generate
through our partnerships and collaborations with leading organizations.

“Every day, our teams deliver on our
purpose through working with ourclients to address sustainable businesschallenges. We also partner with leadingorganizations to drive change while
ensuring we enhance our own
operational performance”
Linden Edgell, Global Sustainability Director, ERM

Impact mindset
In all that we do

Sustainability Report 2024

Operations& Supply chain
Leading by example

EXECUTIVE SUMMARY

Clients​
What ignites
and unites us

Collaboration
Accelerating
pace and scale

Impact onsociety and theenvironment10Performance against targets
Consistent with our commitment
to report openly and transparently
to our stakeholders.
The following pages summarize ERM's performanceagainst our FY24 targets. ERM has a Sustainability
Linked Loan as part of the amendment to its debt
facility, which we report on annually. The loan
is aligned to performance against our annual
sustainability targets, which are established on
the basis of the topics assessed to be material
to our overall business performance.
Key
Target achieved

Performance against FY24 targets

DIGITAL INNOVATIONPEOPLEFY24 target
Achieve year-on-year
improvement in learning
effectiveness.

Achieve global
diversity, equity, inclusion
and belonging (DEIB)
annual targets.

Performance
ACHIEVED
Learning effectiveness program
delivered with measurable
improvements in effectivenessof training reported.

ACHIEVED
Five global DEIB targets
successfully delivered.

FY24 target

Performance

Achieve annual targets
for digital enablement ofcore service offerings.

ACHIEVEDNo reportable breaches
of privacy regulations.

NOT ACHIEVED

Targets for digital
enablement of core service
offerings exceeded.

ERM reported a breach to theUnited Kingdom Information
Commissioners Officein July 2023.

Target not achieved

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Maintain net engagementscore above industry
average.

NOT ACHIEVED

Achieve workforce growthand strengthen community
within ERM to meet clientneeds and enhance oursocial impact.

NOT ACHIEVED

Overall engagement score
fluctuated during the year but
ended below our target and theindustry average.

Reviewing our resource
needs we pivoted away fromrecuritment and focusedon retention and skills
development in our
exisiting employee base.

11Performance against FY24 targets, continued

CLIMATE, NATURE & SOCIAL CHALLENGES
FY24 target

Performance

Increase sales supporting
the low-carbon economy
transition by 20%
over FY23.

ACHIEVED
Client demand to support
their transition to a lowcarbon economy seescontinued growth insales for ERM.

Remain on track tomeet SBTi targets.

ACHIEVED

Finalize and implement
ERM's updated
decarbonization, nature,social and supplierengagement programs.

ACHIEVED

Sustainability Report 2024

We updated our SBTi targets
which have been validated by
SBTi to align with the NetZero Standard and we remain
on track to meet these.

Our updated Climate,
Nature, Human Rights andSustainable Supply Chain
strategies have been
published alongside
this report.

EXECUTIVE SUMMARY

IMPACT & INFLUENCE
FY24 target

GOVERNANCE & ACCOUNTABILITY

PerformanceContribute 1% ofprior year profits to
support sustainability
initiatives globally.

ACHIEVED

Publish initial
Impact Report.

ACHIEVED

More than 1% of prior year
profits contributed.

Impact data isincorporated within thisreport in preparation for
CSRD reporting.

FY24 target

Performance

Formalize quarterly
reporting of
ESG/Sustainability
metrics to the Board.

ACHIEVED

100% of eligible fulltime employees complete
Contribution Statements.

ACHIEVED

Implement
refreshed enterprise risk
management approach.

ACHIEVED

Quarterly reporting of
ESG performance to Board,
formalized and operational.

100% of all permanent
employees received acontribution statement
which was completed aspart of their annual
performance review.

Our updated enterprise risk
management register was
implemented, alongsideenhanced risk management
protocols including enhanced
due diligence procedures.

12Progress towards longer-term goals
Performance

Based on our
FY22 materiality

Material topic

Longer-term goal

PeopleAchieve workforce growth to meet client needs.

Maintain net engagement score about industry average.

launched a set of

Achieve year-on-year improvement in ERM's total wellbeing metrics.

longer-term goals
by the end of
FY26. These
multi-year goals
are reviewed
annually andmodified only ifthey are no longer

Achieve DEIB goals.
Digitalinnovation

Deliver roadmap for digital enablement of core service offerings.

Climate,nature& social
challenges

40% of total revenue from projects supporting the low-carbon economy transition.

No reportable breaches of privacy regulations.

Remain on track to deliver SBTi targets (Scope 1, 2 and 3).
Implement a roadmap for nature-positive action.
100% of ERM's offset projects have demonstrated livelihood benefits.

Impact &influence

relevant or due

Outperform industry benchmarks for thought leadership.
Quantify and report on sustainability impacts across all elements of ERM's business.
Contribute 1% of prior year profits to support sustainability initiatives globally,
with a minimum of 0.5% to ERM Foundation grants.

to data sourcechanges.

Year 2 (FY24)

Achieve year-on-year improvement in learning effectiveness.

assessment, weto be achievedYear 1 (FY23)

Governance &accountability

Key

Increase transparency of Board ESG metrics.
Integrate ESG criteria into performance management system for all line managers.
Assess all clients and projects in alignment with ERM's purpose.

On track

Maintain leadership position for sustainability and ESG reporting requirements
in all jurisdictions in which we operate.

Not on track
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Outcome of our double materiality assessment
Based on analysis from our double materiality assessment
process, we identified six key material topics for ourbusiness, these comprising:• Governance: Including business conduct, leadershipand accountability, risk management and digital ethics.
• People: Including talent development, diversity,
equity, inclusion and belonging, health and safety
and wellbeing.
• Human rights: The respect and promotion of humanrights, including addressing the risk of modern slavery.
• Climate: Addressing climate-related risks andopportunities, including our transition to net-zero.
• Nature: Focusing on the management of nature-relatedrisks and opportunities.
• Supply chain: Addressing the operation andsustainability performance of our suppliers.
Our list of material topics is consistent with thosepreviously included in our Sustainability Report 2023
but reflects the terminology and presentation of topics
set out in the ESRS. As per previous years, based on thereview and approval of functional leads, the Executive
Committee and the Board, we have established targets
to support the management of our material topics during
the course of FY25 and in fullfilment of our longer-term
FY26 goals.

Photo credit: Nico Vermylen, Belgium

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FY24 Material topic*

FY25 Material topic

Aligned to ESRSFY25 target• Deliver quarterly reporting of Sustainability metrics to the Board ESG Risk and Sustainability Committee

Governance &accountability

Governance

ESRS G1• Undertake 3 ESG risk country-level due diligence assessments

ESRS S2ESRS S3• Achieve 100% of Key Accounts assessed against ERM's sustainably transparent assessment of risk andreward (STARR) process

ESRS S4• Develop 3 additional societal impact measures and hold impact conversations with 100% of Key Accounts• Achieve no reportable breaches of data privacy• Implement ‘Security to Thrive’ Program

PeoplePeopleESRS S1• Increase participation in ERG groups by 10% from FY24

ESRS S2• Achieve combined voluntary and involuntary turnover rates below FY24

ESRS S3• Improve talent brand as measured by brand awareness metrics• Increase representation of women and minorities at Partner and Director levels from FY24

ClimateNatureESRS E1• Remain on track to meet SBTi targets for Scope 1, 2 and 3

ESRS E2• Engage top tier of suppliers on decarbonization

ESRS E2• Publish Taskforce for Nature-related Financial Disclosure report

ESRS E3• Engage top tier of suppliers on nature

ESRS E4

Climate, nature& social challenges
Human rights

ESRS S1• Ensure no unpaid workers, no material and unpremeditated pay equity issues

ESRS S2• Engage top tier spend of suppliers on human rights

ESRS S3ESRS S4

Supply chain

ESRS S2• Expand sustainable supply chain governance program across top tier spend of suppliers*Digital innovation and Impact and influence are no longer standalone material topics. From FY25, they are both part of Governance.

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GovernanceWhy this topic is material for ERM
Governance controls the functioning of our company, supports
the delivery of our purpose and our strategy and ensures checks
and balances across our operations. Good governance relies onstrong accountability structures throughout our strategic andoperational leadership, including clear performance metrics
and transparent reporting.
As with previous years, Governance remains a key material topic
in terms of the delivery of our own operations but also in respectof the contribution that our governance and leadership can maketo responsible business. Included within this topic is an overview
of our leadership structure and accountability, approach toenterprise risk management and digital governance.

Learn more here

Photo credit: ERM

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PeopleWhy this topic is material for ERM
At ERM, our people are at the heart of everything we do. Our
people form a global network of specialists whose work with ourclients and collaborations with wider stakeholders form the basisof our business. We take pride in our strong community, united byour shared purpose and the impact of our work. We support andlearn from each other, creating an inclusive and cooperative spacethat respects every individual and empowers all to thrive.
Under the framework of people management, we address three key
material topics for our business: attracting, retaining and nurturing
talent, promoting diversity, equity, inclusion and belonging, andensuring the health, safety and wellbeing of our employees.

Learn more here

Photo credit: ERM

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Human Rights
Why this topic is material for ERM
The respect and promotion of human rights is of fundamental
importance to ERM and is at the core of our purpose. It informs
all aspects of our operations, including whom we employ and,how we manage our people, where we work and our selection ofcommercial opportunities, the services we provide to clients andour supply chain and the organizations we partner with.
Since our initial materiality assessment in 2012, ERM has
integrated consideration of human rights into our core material
topics. In FY24, we have made the respect and promotion of humanrights a standalone material topic after detailed consideration of
the impact that human rights has on us as a business and theimpact we can generate through our value chain.

Learn more here

Photo credit: Thien Nguyen, Vietnam

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Climate
Why this topic is material for ERM
ERM leverages our technical and business capabilities to help
clients navigate the challenges of transitioning to a low-carbon
economy. These challenges affect every organization, including
ERM and require a thorough understanding and assessment of
the risks and opportunities which climate change poses tobusiness operations and how to adapt accordingly.  
As with previous years, climate remains one of our mostmaterial topics, reflecting the impact we can generate throughdecarbonizing our own operations, supporting our clients to do
the same, and the contribution we make through working in
partnership with organizations to support wider societal efforts
to move towards a net-zero future.

Learn more here

Photo credit: Uswah Aziz, Canada

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NatureWhy this topic is material for ERM
With six of the nine planetary boundaries now exceeded, theimportance of halting and reversing biodiversity loss by 2030,
as set out in the Global Biodiversity Framework, could not begreater. According to United Nations estimates, 2.3 billion people
now live in water-stressed countries and climate change is making
water scarcity worse, with socio-economically disadvantaged andmarginalized sections of society most impacted. The inter-related
challenge of protecting nature, addressing climate change andprotecting human rights is critical to our sustainable future.
The responsible management of nature has always informed ourconsideration of material risks and opportunities. In recognitionof the importance of managing nature-related risks andopportunities to our own operations and the importance ascribedto this by our clients and wider stakeholders, we have elevatednature to become a standalone material topic.

Learn more here

Photo credit Alma Chen, Hong Kong

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20Supply Chain
Why this topic is material for ERM
The nature of ERM’s business as a professional services company
means that we subcontract services to support the delivery of ourwork and procure goods and services to support our operations.
Our supply chain is diverse, spanning the breadth of our global
offices and countries within which we deliver our services.
In line with our purpose, we seek to work with those organizations
who share our values and commitment to shape a sustainable
future. ERM like many companies, is engaging our supply chain
to support the delivery of our sustainability operational programs
such as decarbonization, reflecting the key role which it assumes
in delivery of our strategy and targets.
While the issue of supply chain has informed our material topics,
this year we have decided to make supply chain a standalone
key material topic, in recognition of the increasing importanceit assumes for us as a business, and to our stakeholders.

Learn more here

Photo credit: Liza Acevedo, Colombia

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Sustainability is our business© Copyright 2024 by the ERM International Group Limited and/or its affiliates (‘ERM’). All rights reserved.
No part of this work may be reproduced or transmitted in any form or by any means, without prior written permission of ERM.