Letter from Scott Sewell – President and CEO
Sustainability has never been more vitally important than it is today to both companies and investors who share a growing focus on ESG in evaluating corporate performance. We are pleased to communicate the full story of Charah Solutions’ outstanding environmental leadership in this inaugural ESG Report. Together, Charah Solutions’ management and employees are united in our firm commitment to environmental responsibility, and we demonstrate that commitment daily. As a leading provider of mission-critical environmental remediation and compliance services, byproduct sales, fossil services and Environmental Risk Transfer (ERT) services to the power generation industry, practicing environmental responsibility, investing in employees, and serving our communities are all part of our mission. ESG reporting gives us the opportunity to share our story and demonstrate the sustainability commitment that we practice daily on the job to our customers, partners, and shareholders.
For most companies, sustainability is a byproduct of what they do. At Charah Solutions, sustainability is integral to what we do and who we are. Our work, mission, and Company culture are directly aligned with providing the powerful services and sustainable solutions to solve the power industry’s most complex environmental challenges.
With the new administration kickstarting its tenure by placing climate action at the top of its priority list with multiple executive orders including rejoining the Paris Climate agreement, and by committing to 100% clean electricity by 2035, we expect to see a steady change in the American electric power sector in the immediate future with increased focus on coal ash remediation that provides significant business opportunities for our core service offerings, including remediation services and byproduct recycling, and will positively impact future growth.
Our recovery of coal ash enables environmental recycling, as this coal ash is beneficially used in the production of concrete to satisfy the growing infrastructure demands that utilize millions of tons of coal ash every year, thus preserving natural resources while dramatically reducing the need for landfill space. The beneficial recycling of ash in concrete production replaces Portland cement, a significant contributor to CO2 emissions, thus significantly decreasing CO2 and other greenhouse gases that would otherwise be emitted into the atmosphere. Substituting recycled ash to make “Green Concrete” also makes it a stronger product for use in bridges, highways, and buildings.
We are an industry leader in quality, safety, and compliance, and we are committed to reducing greenhouse gas emissions and preserving our environment for a cleaner energy future. This is what we do at Charah Solutions. We live it. We breathe it. And the purpose of this ESG Report is to demonstrate just that. At Charah Solutions, we know that ESG matters. Our cross-functional ESG Leadership Team has worked intensively to gather the measurement data captured from our field activities to demonstrate our high level of commitment to environmental and community responsibility and employee wellbeing.
We have chosen to structure our ESG Report using the respected and accepted guidelines of the internationally recognized Sustainability Accounting Standards Board (SASB) and UN Sustainable Development Goals (SDGs) due to continued investor focus on acquiring better ESG reporting and better data. The importance of our ESG ranking, and the underlying ESG data, is meaningful as it provides our customers, shareholders, and potential investors with additional information that can impact decisions.
In this ESG Report, we focus on the real differences we are making, with key performance metrics that are relevant business drivers and value creators for our business while enhancing the environment. Our actions and efforts have produced ESG results that highlight this value creation:
- Our proven sustainability efforts conserve virgin resources and water, reduce greenhouse gases, and decrease landfill disposal, all while recycling and providing essential byproducts that contribute to the growth of our national economy.
- Our use of recycled ash in structural fill projects in which we return the land to the community for recreational or commercial use allows thousands of acres of land to be reclaimed each year.
- Our beneficial use of 2.58 million U.S. tons of coal combustion residuals (CCRs), including fly ash and other supplementary cementitious materials (SCMs) in concrete and other products not only eliminates the need to dispose of fly ash in landfills but also reduces the overall carbon footprint and conserves our virgin natural resources by substituting materials that would typically be mined.
- Our innovative industry-leading EnviroSource™ beneficiation technology (formerly MP618®) improves fly ash quality so that significantly more tons of fly ash can be recycled and marketed for reuse. This technology significantly reduces the environmental carbon footprint created by Portland cement and provides a superior product at lower costs for ready mix concrete producers.
- Our Safety Record is all about making sure that our people get home in the same physical condition as they came to work in the morning. In 2020, we accomplished a remarkable 0.36 Total Recordable Incident Rate (TRIR) with no lost time or restricted time injuries in comparison to the most recent Recordable Incident Rate industry average of 3.1.
- Our commitment to employees with a work environment characterized by considerate treatment of others, open and honest communication, personal accountability, trust, and mutual respect to provide superior service and sustainable solutions for our customers.
- Our commitment to diversity in the workforce has grown even stronger, and we have implemented specific diversity initiatives and programs to accelerate this growth for minorities and women at all levels of the Company.
- Our concern for the wellbeing of our communities is genuine, as demonstrated by the number of community and charitable organizations that our Company and employees support.
Going forward, we will continue integrating ESG values into the Company’s strategy at every level, and we continue to set trackable goals to keep improving.
This ESG Report presents an incredible track record that we are justifiably proud of. And yet, we have only begun this journey. There is no finish line.
President Chief Executive Officer
Charah Solutions, Inc.