ESG (Environmental, Social and Governance)
Pharming took several important steps during 2023 to embed ESG in its strategy, planning processes and systems to build a sustainable business. A robust ESG strategy will support the Company's sustainable development, have a positive impact on the environment and society, improve the workplace and the health and well-being of employees, enhance our corporate reputation, strengthen stakeholder engagement, help ensure accountability and transparency, and manage risks and opportunities.
The ESG program is led by our ESG program manager and the program team, while working teams have been assembled from all departments across the Company. The internal ESG steering committee, composed of three members of the Executive Committee, provides support, guidance and oversight. A board representative is the ultimate sponsor of the ESG program.
Our ESG approach is centered around the EU Corporate Sustainability Reporting Directive (CSRD). CSRD will be applicable for Pharming Group NV as of the financial year 2025 and we are now implementing a deployable ESG roadmap that was designed to ensure compliance with the prevailing reporting requirements under the European Sustainability Reporting Standards (ESRS).
Click here to read about our ESG journey so far in our 2023 Annual report.
ESG roadmap 2022-2026
The major steps within the context of our ESG Journey, in accordance with CSRD requirements, are listed below.
Our stakeholders
We recognized five main stakeholders that Pharming should engage with closely. These stakeholders have a significant impact on Pharming, and Pharming has a significant impact on these stakeholders.
- Patients
- Healthcare professionals
- Pharming employees
- Pharming management
- Investors
Material topics
Pharming has identified the following material topics under ESG, or Environmental, Social and Governance. For a detailed outline of our existing and planned activities and other initiatives linked to each of the components of ESG, please read our ESG chapter of the 2023 Annual Report here.
In this section, you will also find more details on the double materiality assessment and the outcome of our earlier stakeholder analysis.
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*European Sustainability Reporting Standards (ESRS) | |||
Climate Change
As part of our ESG strategy, and in line with regulatory requirements derived from the Corporate Sustainability Reporting Directive (CSRD), we are setting our climate targets in accordance with the Science Based Targets initiative (SBTi) guidance and the Greenhouse Gas Protocol (GHG protocol) reporting standards. The targets covering greenhouse gas emissions from our company’s operations (Scope 1 and 2) and supply chain (Scope 3) reductions have been approved by our Executive Committee and Board of Directors as follows:
Pharming’s near and long term targets:
Short term targets:
- Reduce 42% Scope 1 & Scope 2 emissions in 2030
- Reduce 25% Scope 3 emissions in 2030
Long term targets:
- Net zero scope 1, 2 and 3 emissions in 2050