Letter from the President

We aim through our activities to contribute to the socio-economic development of the areas where we operate.

Dear readers,

I would like to begin this letter highlighting an important change that has taken place in November 2017, when the company “Gestamp Wind” has been renamed to “Elawan Energy S.L.”.

In order to present our economic, social and environmental performance, we have taken into account the guidelines established in the Global Reporting Initiative, for the first time in version G4, while the information was subjected to an external review by an independent body. This year we likewise renewed our support for and adhesion to the United Nations Global Compact.

Although initially our activity englobed developing projects focused on wind energy sector, we have now evolved and diversified our portfolio with new energy projects in such areas as hydraulic and solar. Therefore, we believe that this change will set forth a reliable and true company visión to our clients, suppliers, investors and society as a whole.

The new brand will allow us to segregate different energy projects under the names of ¨Elawan Wind¨, ¨Elawan Solar¨ and ¨Elawan Hydro¨ as well as portray the present and future situation of the company.

Within this framework, It is with pride that I present the Elawan Sustainability Report corresponding to 2016, setting out the most significant and notable information for the period.

It is here that we present our performance in accordance with three aspects, economic, social and environmental, in accordance with the guidelines of version G4 of the Global Reporting Initiative (GRI), reviewed by an independent body. We have likewise once again renewed our commitment to the United Nations Global Compact.

The Sustainability Report is a response to the concerns of the company’s various stakeholders as regards priority aspects that could have an impact, established in accordance with the materiality study conducted.

In 2016 we reached a figure of 893 MW in operation, with the commissioning of new wind farms located in Spain, Turkey, Brazil and Belgium, along with our first mini-hydraulic plant in Mexico.

As a company, we focus on a responsible management model in which value creation plays a fundamental role. Renewable energies, and specifically wind, provide a guarantee sustainability given their non-polluting properties. They are inexhaustible and globally accessible sources of energy. Meanwhile, they reduce the consumption of fossil fuels, helping to combat climate change and avoid the production of greenhouse gases and pollutant emissions.

This is reflected in our commitment to the Sustainable Development Goals (SDG), with a focus above all on the following:

-Goal 7: Guarantee access to affordable, safe, sustainable and modern energy for all.

-Goal 13: Adopt urgent measures to combat climate change and its effects.

Within this context, we should emphasise that we have avoided the emission of 578,856 tonnes of CO2, as a result of the generation of 7,728,930 GJ of renewable energy.

Through our daily operations we likewise aim to enhance the socio-economic development of the regions where we operate, generating value in local communities. Particular emphasis should be placed in this regard on the projects undertaken in Brazil, mainly connected with education, health and infrastructure, and the projects in South Africa, which focus on the development of small enterprises, job creation and education, with the aim of fostering the talent of groups that have historically suffered discrimination, along with the creation of employment opportunities.

At Elawan we believe that in order to continue growing we need committed and competitive people, and it is therefore our duty to provide safe working environments and to train our employees in the required skills. That is why during the year we delivered 3,127.5 hours of training, representing an average of 35.9 hours per employee.

In the sphere of health and safety, we have implemented substantial improvements in our “Risk Assessment” methodology, with a focus more tailored to the type of activity performed. We have likewise staged training days in partnership with local organisations, underpinning dialogue and commitment to the community. During the year we would also highlight the fact that no accidents were suffered by our own workforce, whether involving absence from work or not.

I lastly encourage all our stakeholders to read this report and to pass their opinions on to us, while also thanking all of them for their commitment to and trust in Elawan.

-Jon Riberas


Letter from the CEOs

Gestamp Wind wants to contribute to change the current polluting and unsustainable energy model through the development of renewable energy as inexhaustible and clean energy source.

It is with pleasure that we present the fourth Elawan Energy Sustainability Report corresponding to the year 2016 and summarising the achievements and challenges overcome in the economic, social and environmental spheres. The report has been drawn up in accordance with the guidelines of Global Reporting Initiative (GRI) version G4, and audited by an independent body.

The world is making progress towards the elimination of fossil fuels. Within this context, there can be no doubt that renewable energies account for the bulk of new electrical generation capacity installed worldwide, despite the fact that are incapable of seeing beyond their “time in office”.

By the end of 2016, 486,749 MW of wind power were installed worldwide, of which 54,600 MW were installed during the year. This represents an increase of 12.4%, which goes to show the outstanding future prospects for wind and photovoltaic energy. The IEA forecasts that within 15 years, more than 60% of new electrical generation power installed will employ renewable sources. According to Bloomberg, renewables will account for 72% of new electrical generation capacity installed, which will entail an investment of 7.4 trillion dollars by 2040.

This growth is underpinned, among other factors, by the numerous technological advances and the globalisation of markets that have led to a reduction in the LCOE (Levelised Cost of Energy) at around 40% over the period 2009-2015. This effect has in fact been less pronounced in the wind energy market than with other renewables.

As for technological advances, particular mention should be made of the considerable evolution in batteries and storage systems, which will represent a revolution not only for renewable energies, but the whole energy sector. Thanks to these systems, renewable energies will no longer need to be backed up by conventional energy generation to cover gaps in production.

As for prices, if one today compares new energy generation models, wind and solar are probably the cheapest sources per kWh produced. Which means that in an open and deregulated marketplace, they would be unbeatable. Meanwhile, a curious effect is being seen worldwide, which some go so far as to dub “cannibalistic”: as the market penetration of renewables increases, the prices on wholesale markets decline. Specifically, while we have seen European markets committing for years to greater renewable energy penetration, prices have dropped from a range of around €80/MWh to around €40/MWh over the last 8 years. According to the OECD, this means that we now have lower wholesale electricity prices tan in 2002. Those systems that still have prices set by fossil fuels will be unable to operate once renewables have really taken hold.

All these prospects mean that the potential market for Elawan will be even greater. On the one hand, we continue to install new wind farms in our traditional markets, and on the other are also analysing potential new markets that fulfil appropriate technical and regulatory conditions.

Our forecasts are optimistic. We expect to continue with our strategy focused on constant and sustainable growth. We furthermore intend to maintain the same investment policy, operating in stable markets with sufficient scale and reasonable regulation for the development of renewables, allowing us to maintain an efficient structure. All by focusing on projects with high wind resource quality, installing at all times firstclass Tier 1 equipment and technology with moderate costs, guaranteeing profitability and the future value of our investments.

This year we exceeded the financial forecast that we had set, as indicated by our economic results, with a turnover of more than 132 million euros, an EBITDA of 106, and a pre-tax profit of 27.3 million euros, corresponding to a 23% improvement on the previous year.

By 31 December 2016 we had 893 MW in operation, of which 132.5 MW corresponds to the commissioning of the new wind farms at Beaumont in Belgium, Yahali in Turkey, the Macambira complex in Brazil, the expansion of the Rondavino facility in Spain, and the Trigomil mini-hydraulic plant in Mexico.

In 2017 we will begin construction of the wind farms at Copperton in South Africa, with 102 MW, Hannut in Belgium, with 24 MW, Pedras Rajadas and Vermellos in Brazil, with a total of 6 MW, Persimon Creek in the United States, with 200 MW, and the Tacotán mini-hydraulic plant in Mexico, with a power capacity of 6.9 MW. All of which will add a total of 378.9 MW to the company’s portfolio.

We meanwhile have a portfolio of projects at the development stage amounting to some 3,500 MW, spread across Brazil, Spain, South Africa, Belgium, Poland, Mexico, Turkey and the USA, our intention being to undertake further developments in France, Russia and other countries.

Nonetheless, both for the development of the project portfolio and our investment funding needs, the plan is to perform a number of sales of operational assets, mainly in those markets where we have the largest presence, so as to allow us to capture resources to return to our shareholders and to continue constructing new projects.

As for our commitment to the environment and climate change, we would emphasise Elawan’s dedication to the achievement of the Sustainable Development Goals (SDGs), and more specifically those initiatives connected with energy and climate change. (SDGs 7.3 and 13.2).

Lastly, so as to fulfil all these challenges, we have in place an outstanding professional team with extensive experience and first-class skills, along with a sound and sustainable management model that will allow us successfully to address the futuret.

We do not wish to pass over this opportunity to thank our whole team for their effort and dedication, as well as our clients, suppliers and financial backers, for the trust they place in Elawan.

-Dionisio Fernández Auray


-Javier Mateache Sacristán


Download this Chapter here:

Download this Report's Chapter

Part I:General Standard disclosures

  • Strategy and Analysis
  • Organizational profile
  • Identified material aspects and boundaries
  • Stakeholders' engagement
  • Report profile
  • Governance
  • Ethics and integrity

Download this Chapter here:

Download this Report's Chapter

Part II: Specific Standard Disclosures

  • Economic Dimension
  • Social Dimension
  • Environmental Dimension

Download this Chapter here:

Download this Report's Chapter

Part III: Annex

  • Independent Review Report
  • GRI G4 Content Index
  • Content related to the Principles United of the Nations Global Compact
  • List of consolidated subsidiaries companies