Cutting GHG Emissions by 13% While Adding 1.5 Million Subscribers

How iliad Group combined climate targets, stronger governance and circular design to support a more structured transition approach

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1. Company at a Glance

This case study shows how the iliad Group, a European telecommunications operator, is coupling telecom growth with a more structured climate transition approach. Facing rising data traffic, expanding infrastructure and increasing scrutiny over value-chain emissions, the Group has combined science-based targets with stronger governance, climate-risk analysis, renewable electricity sourcing, circular design and green financing.

Telecommunications

Industry

1907

Founded

France

Headquarters

17,700

Number of Employees

France, Italy, Poland

Global presence

2. The Challenge

The expansion of fixed and mobile networks, data centers and customer equipment has increased electricity use and greenhouse gas emissions across both iliad’s operations and its value chain. In its Double Materiality Assessment, the Group identified two core climate impacts - its contribution to climate change through GHG emissions and the use of energy- intensive processes - together with three major risks: exposure to energy price volatility and efficiency upgrade costs, exposure to climate-related physical risks, and reputational and regulatory risk linked to its carbon footprint.

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3. The Action

1

CLIMATE STRATEGY, TARGETS AND TRANSITION PLANNING

In 2021, iliad launched a Climate Strategy built around ten climate pledges. In February 2024, the Science Based Targets initiative (SBTi) validated the Group’s pathway, with commitments to reduce absolute Scope 1 and 2 emissions by 60% by 2030 and 90% by 2050, and absolute Scope 3 emissions by 46% by 2030 and 90% by 2050, from a 2022 base year. In 2025, iliad further strengthened the building blocks of its climate transition plan, including decarbonization levers, resilience work, transition risk and opportunity analysis, and implementation trajectories.

2

GOVERNANCE AND ACCOUNTABILITY

Climate oversight is embedded in governance. The Board of Directors, Audit Committee, CSR Committee and Compensation Committee oversee sustainability strategy, reporting, risk management and incentives, while General Management and the ComEx ESG steer implementation. Sustainability performance is also linked to free-share plans: extra-financial criteria carried 50% weight in the 2023 and 2024 plans and 20% in the 2025 plan.

3

ENERGY-EFFICIENT NETWORKS AND LOW-CARBON INFRASTRUCTURE

Networks account for most of iliad’s electricity use and 93% of direct emissions (Scope 1 and 2, location-based) in 2025. The Group is accelerating copper-to-fiber migration, deploying more efficient 4G and 5G equipment, modernizing infrastructure and using smart energy management to limit electricity growth despite higher data traffic. Data centers also use advanced cooling solutions that reduce electricity demand and avoid refrigerant gases.

4

RENEWABLE ELECTRICITY SOURCING

Alongside efficiency, iliad is expanding renewable electricity sourcing through Power Purchase Agreements (PPAs) and other procurement tools. The share of renewable electricity in total electricity consumption rose to 66% in 2025, and PPAs covered 11% of direct electricity consumption.

5

CIRCULAR DESIGN AND PRODUCT USE

To tackle Scope 3, iliad applies circular-economy principles to flagship customer equipment. Freeboxes are designed for long life, repair and refurbishment, and newer generations consume less energy in use. The Group also supports refurbishment, remanufacturing and reuse of products and components.

6

SUPPLY CHAIN, LOGISTICS AND PROCUREMENT

iliad is reducing value-chain emissions by redesigning logistics, limiting air freight to exceptional circumstances, optimizing loads and flows, and strengthening supplier engagement. A responsible procurement policy integrating ESG and due diligence considerations was drafted in 2025 and is scheduled for formal validation in 2026.

7

FLEET DECARBONIZATION AND MOBILITY

The vehicle fleet is the main Scope 1 lever. iliad is optimizing travel distances, improving fleet management and progressively electrifying vehicles across France, Italy and Poland.

8

FINANCING AND PERFORMANCE TRACKING

Since 2021, iliad has committed €1 billion over 15 years to meet its climate objectives. In 2024, it established a Green Financing Framework and issued its inaugural €500 million Green Bond, reinforcing the financing of network energy efficiency, circular economy and other eligible climate investments. Climate performance is tracked through defined indicators and disclosed transparently.

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2025 CLIMATE SNAPSHOT

Indicator

  • Total GHG emissions (market-based) 
  • Scope 1 + 2 vs 2022 baseline
  • Scope 3 vs 2022 baseline
  • Renewable electricity share
  • Direct electricity covered by PPAs
  • Fleet electrification

2025 headline result

  • 1,218,830 tCO2e; -13% year on year
  • -7%; ahead of the 2025 trajectory target of -2%
  • +5%; better than the 2025 trajectory of +12%
  • 66% of total electricity consumption
  • 11%; PPAs increased from 18 GWh to 127 GWh
  • 17% electric vehicles in 2025; 944 EVs

4. Overcoming Barriers

1

Decarbonizing a value-chain-heavy footprint:

A significant share of emissions comes from capital goods, purchased goods and services, and the use of sold products. iliad’s response combines circular design, supplier engagement, logistics redesign and more efficient customer equipment.

2

Moving from pledges to an integrated transition approach:

iliad supplemented long-term targets with Board oversight, ESG-linked incentives, a Double Materiality Assessment, green finance and a climate resilience analysis covering sites in France, Italy and Poland against 28 hazards.

3

Maintaining growth while lowering emissions:

In 2025 the Group welcomed more than 1.5 million new subscribers across its markets, yet still reduced total market-based GHG emissions by 13%. This required continuous efficiency gains in networks and energy sourcing. Moving from pledges to an integrated transition approach: iliad supplemented long-term targets with Board oversight, ESG-linked incentives, a Double Materiality Assessment, green finance and a climate resilience analysis covering sites in France, Italy and Poland against 28 hazards.

5. Impacts & Results

SBTi-approved 1.5°C-aligned near- term pathway and Net-Zero Standard validation in February 2024.

Total market-based GHG emissions fell to 1,218,830 tCO2e in 2025, down 13% year on year.

Market-based Scope 1 and 2 emissions fell 28% year on year and stood 7% below the 2022 baseline, ahead of the 2025 trajectory.

Market-based Scope 3 emissions fell 9% year on year; at +5% versus the 2022 baseline, they remained challenging but still outperformed the 2025 trajectory of +12%.

Renewable electricity share reached 66%, while PPAs expanded from 18 GWh to 127 GWh and covered 11% of direct electricity consumption.

The share of electric vehicles more than tripled from 5% in 2024 to 17% in 2025, representing 944 electric vehicles.

Market-based GHG intensity fell 15% to 118 tCO2e per € million of net revenue.

6. Key Lessons Learned

1

In telecoms, decarbonization depends on both technology levers and enterprise governance.

2

Efficiency gains must outpace the growth in data traffic and subscriber demand.

3

Scope 3 improvement is slower and requires product, procurement, supplier and logistics action.

4

Climate transition planning should combine mitigation, financing and physical resilience.

5

Transparent metrics and incentive schemes help turn strategy into execution.

Flavio Iervini, Environmental Officer & Sustainability Coordinator, iliad Italia

"We seek to make everyone aware of the importance of becoming actively involved in our climate strategy so that together, we can build a more sustainable future.”

 

Flavio Iervini, Environmental Officer & Sustainability Coordinator, iliad Italia

7. Company Commitment

iliad Group has been a committed participant in several UN Global Compact initiatives since 2021

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Recommended UN Global Compact Resources

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Climate Ambition Accelerator

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E-learning: Science-Based Targets Collection

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E-learning: Taking action on greenhouse gas emissions: Scopes 1, 2 and 3

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Cutting GHG Emissions by 13% While Adding 1.5 Million Subscribers

Disclaimer: This case example is intended strictly for learning purposes and does not constitute an endorsement of the individual companies by the UN Global Compact.