CSR Report 2018

Boskalis at a glance CSR 2018 – BOSKALIS 12 Growing energy consumption Climate change

OUR BUSINESS IN A CHANGING WORLD

We live in an increasingly dynamic and interconnected world. In order for businesses to generate long-term sustainable profitability, they need to account for the effect of global megatrends. To ensure we can continue to deliver in this context, our corporate business plan is drawn up with a clear eye on those long-term megatrends that offer both challenges and opportunities for our business.

FOR BOSKALIS THE MOST RELEVANT MEGATRENDS ARE:

CLIMATE CHANGE ADAPTATION AND PROTECTION FROM RISING SEAS With half the population living within 60 km of the coast and with 75% of major cities worldwide located on the coast, the pressure on available land is huge. Furthermore, many of these coastal regions are at risk from the effects of climate change. The World Bank and the Intergovernmental Panel on Climate Change (IPCC) have warned that large investments are needed to mitigate climate change, with adaptation costs estimated at a startling USD 85 billion per year. Our core business, including coastal defense and riverbank protection activities, enables us to provide innovative, adaptive and mitigating solutions to combat the impact of climate change. In 2018 we were active in numerous projects related to climate change adaptation. Our work included the reinforcement of large sections of the dikes along the Wadden Sea, and the Markermeer and Houtrib dikes in the Netherlands. We worked on a number of innovative projects including a mangrove restoration project in Central Java, Indonesia, to protect communities from rising sea levels, an extensive polder creation in Pulau Tekong, Singapore and the construction of a natural sandbar breakwater at Lekki in Nigeria. We research and develop innovative modelling processes, as well as infrastructural solutions that respond to a changing natural environment. Our Building with Nature approach facilitates the design of adaptive and flexible solutions. Already used in the realization of several projects, Building with Nature enables us to build cost-effective, sustainable infrastructures, including natural barriers to rising sea levels. Furthermore, we are proud to utilize our assets and expertise to build areas of value to biodiversity, such as in the Marker Wadden. Read more about Building with Nature on page 16.

‚ ‚ Climate change – Climate change issues have risen up the agenda, partly as a result of the Paris Agreement (COP21). These issues are compelling governments on several continents to take steps to protect their populations against flooding and rising sea levels as well as to reduce greenhouse gas emissions. ‚ ‚ Growing energy consumption – As energy demand continues to rise, new investments are needed to meet future demand and driven by climate change a transition to renewable energy sources is accelerating. ‚ ‚ Growing world trade – Structural growth and rising prosperity of the global population is driving a growth in global trade and increasing the need for associated infrastructure and development. ‚ ‚ Population growth – Underpinning the above, in particular growth of the world trade and energy consumption, is the growth in global population which is projected to rise to 8.5 billion by 2030.

Dredging & Inland Infra

Offshore Energy

Towage & Salvage

Growing world trade

Population growth

Figure1: Boskalis business drivers and related activities

Boskalis business drivers and related activities