Sustainability reporting – How Kempower reports on sustainability and why it is important 

Reporting sustainability data is a big undertaking for any company. To do it properly requires money and time, but it’s important to get it right. This is because sustainability reporting is a key way to build relationships between companies and stakeholders – supplying investors with key KPIs, enabling customers to make informed decisions and demonstrating a company’s commitment to ethical values to potential employees. 

Eager to improve transparency between Kempower and our stakeholders, we published our first sustainability report in 2023. This felt natural to us as a company, because sustainability is at the very heart of Kempower’s business. Our fast-charging technology delivers emissions-free mobility on the road toward a cleaner, safer and carbon-neutral society, so it should follow that our operations have a minimal environmental footprint. Our 2023 report adhered to the latest ESRS standards and was made with the intention of increasing transparency and improving our ESG performance. 

Why have we further developed our sustainability reporting? 

In 2024 the EU’s Corporate Sustainability Reporting Directive (CSRD) came into force, making sustainability reporting an obligation. All large companies and listed companies are now required by EU law to assess the impact of their activities on people and the environment. They are also required to disclose information on what they see as the financial risks and opportunities for the company arising from social and environmental issues in what is called a Double Materiality Assessment (DMA). This legislation, which was enforced in January 2024, is part of the European Green Deal and aims to help investors, civil society organizations, consumers and other stakeholders evaluate the sustainability performance of companies that participate. 

At Kempower we celebrated this news, knowing it would spur other companies to embrace sustainability transparency. It also meant we had to alter our sustainability reporting slightly, to comply with the set requirements of the CSRD.  

What have we done already? 

As a large company, we are part of the ‘first wave’ of companies required to submit a CSRD-compliant report in 2025. Having already created our own sustainability report in 2023, we are building on this foundation and putting extra tools in place to comply with the CSRD. For example, we have recently grown our sustainability team to increase knowledge of sustainability practices and resources across the team. Part of their role is to assess Kempower’s readiness to implement the CSRD Directive and ensure we complete it to the highest standard. 

We have also begun highlighting our social responsibility process, by renewing our Labor and Human rights policy. This is important because social responsibility is a key pillar of sustainability. While, as an EV charger company, most of our impact is environmental, it is important to also maintain and report on the social impact of our operations. 

Additionally, we are carrying out a Scope 3 inventory internally to find out more about our Scope 3 emissions. We believe it is important to assess not only the emissions we are directly responsible for but those we are indirectly responsible for across our value chain. In 2023, we sent our first-tier supplier pre-questionnaires to collect reliable emissions-related data and other critical environmental data collection and performance information to help us further enhance our Scope 3 reporting in 2024 and beyond. This data will help us start the process of working more closely with our suppliers to reduce emissions and other negative environmental impacts in the supply chain. Our Scope 3 reporting forms a key part of our DMA. 

The added value of sustainability reporting 

Intensified sustainability reporting will benefit both our customers and investors. We aim to be completely transparent with our stakeholders about Kempower’s impacts, risks and opportunities, and sustainability reporting enables this. Stakeholders can refer to our reports in their decision-making processes and other large companies can use our data as a benchmark for their own sustainability efforts.  

In our value chain, we are a forerunner for sustainability reporting, as exemplified by our in-depth 2023 sustainability report and proactive efforts to gather Scope 3 emissions data. By being a pinnacle of sustainability reporting and improvement, we want to show that large companies can and should be transparent about their efforts to improve the sustainability of operations at every level. 

Written by

Johanna Kilpi-Koski

Sustainability Manager