Universal Registration Document 2023

4.1.8 Reduction and offsetting actions

Investments enabling carbon emission reduction and offsetting operations are managed by the Groupe’s CSR Department, in order to focus efforts on projects audited by third parties with recognized certifications such as: Gold Standards for the UN SDGs, VCS (Verified Carbon Standard) and CCBA (Climate, Community & Biodiversity Alliance). These transactions appear publicly in the VERRA registers. Publicis Groupe is supported in these projects by an external firm in order to validate the robustness of the projects selected and to monitor their evolution over time.

4.1.8.1 Reduction of emissions

In terms of renewable energy, the Groupe’s objective is to achieve 100% renewable energy from direct sources. However, some markets are not yet sufficiently mature or sometimes local regulations do not yet allow for the possibility to change energy supplier. In order to accelerate this process, once the progress of renewable energies from direct sources is known, the Groupe purchases RECs (Renewables Energy Certificates) or GOs (Guarantees of Origin) each year to reduce the impact of the volume of energy consumed that does not come from renewable sources. This plan covers the Groupe’s leading countries in terms of workforce on three continents: United States, Canada, United Kingdom, France, Germany, Italy, India, China and Singapore.

With regard to the reduction of scope 3 impacts, the project continued in 2023 with a selection of major suppliers already actively reducing their own impacts. The initial data gathered reveal a significant gap between business sectors and the players within them. As suppliers are not at the same stage of progress, nor subject to the same level of local legal compliance, Publicis Groupe is continuing its preparatory work to trace the progress made by suppliers.

4.1.8.2 Carbon Offsetting

In 2020, Publicis Groupe committed to a five‑year multi‑year project to offset its carbon emissions. This "Plan 1" includes:

• 90% of the Gandhi/Pawan program, by purchasing Voluntary Carbon Credits (VCCs) financing the deployment of wind farms in three regions: Gujarat, Karnataka and Maharashtra, with a strong social impact around the education of children and economic empowerment of women. This project is aligned with the United Nations Sustainable Development Goals (SDGs) 7, 8 and 13;
• 10% of VCCs from the forestry project in Madre de Dios, Peru, protecting the old‑growth forest and its biodiversity. This project is aligned with SDGs 8, 13 and 15.

In 2023, the Groupe canceled the equivalent of 68,602 TeqCO₂ through VCCs. These reduction and offsetting actions enable Publicis Groupe to achieve carbon neutrality for scopes 1+2 in 2023 (as since 2020), in accordance with the requirements of the Paris Agreement. In 2022, Publicis Groupe included scope 3 emissions related to air transportation as part of its business travel in its current offset plan. In 2023, a second five‑year multi‑year project was implemented to build on the first. This "Plan 2" includes:

• 85% the continuation of the Gandhi/Pawan program, which will mean ten years of support for this wind project in the same three regions of Gujarat, Karnataka and Maharashtra, with a strong social impact around the education of children and economic emancipation of women. This project is aligned with the United Nations Sustainable Development Goals (SDGs) 7, 8 and 13;
• 15% of CCVs come from forestry projects in the United States, in the states of Maine and Michigan (Baraga), in the same vein of prioritizing countries where the Groupe has a strong presence. These projects are aligned with SDGs 6, 13 and 15.

In order to anticipate future needs in terms of carbon credits, to offset irreducible residual emissions, Publicis Groupe has joined the Climate Fund for Nature, managed by Mirova/Natixis. It is a pooled fund in which the Groupe has invested euro 20 million, in exchange for carbon credits for the next 15 years see the description in Section 4.1.2.2.