RC3: Sector and Geography

Intent

Describe the sectors and locations of the facility or facilities that comprise the asset. Select the lifecycle stage and reporting boundaries applicable to each facility. This information is used for materiality-based scoring and to determine peers for benchmarking and reporting purposes. It is also used in combination with the Ancillary Activities (RC4) and Reporting Year (EC4) descriptions to describe the entity’s reporting boundary. Exceptions to the described reporting boundary must be described in the Performance Component indicators. Clear understanding of reporting boundaries will provide for their standardisation in future and therefore accurate like for like comparisons to be made. This information is for reporting purposes only.

Requirements

It is up to the participant to determine the best structure for reporting of facilities since they have the best understanding of their facilities. Multiple small facilities may be grouped into a facility network or similar, particularly if the core sector is the same for the grouped facilities. For example, a network of water pipelines and pumping stations might be grouped into a single sewerage pipeline network. Another grouped facility might be a group of rooftop solar installations within a certain region or country. Please note that the selected structure may affect your peer grouping based on the outcome of the primary sector and location.

List all significant facilities that comprise the asset and complete details for each as follows:

• Weight GAV: Assign a relative weight for each facility based on the actual or estimated proportion it comprises of the total asset GAV. The total weights of facilities must sum to 100%.
• Country: The full list of countries aligns to the UN Standard Country or Area Codes for Statistical Use.
• Address Coordinates: Type the address of the facility. Suggestions will appear in a drop-down. Select the relevant address. Latitude and longitude coordinates will be automatically prefilled if the address is valid. In the case the typed address is not found, please provide the latitude and longitude coordinates in the appropriate fields or provide an approximate location (e.g: street name).
• Latitude and Longitude Coordinates: Type in the latitude and longitude of the facility in the relevant fields. The address coordinates will automatically prefill based on the coordinates reported. Coordinates should be provided in decimal degrees.
• Sector: Sector: Select the appropriate sector by clicking on the drop-down list or by typing in a keyword. Only list the facility’s core sector (its main infrastructure service). If there is more than one core sector for the facility then consider splitting it up into multiple facilities with one core sector per facility. The full list of sectors aligns to the EDHECInfra TICCS™ standard Industrial Classifications and is provided in Appendix 3.

The asset’s primary sector and primary location will be determined from, and shown below, the facility table.

• The primary sector is determined based on the mix of facility sectors, using a three-tier system as follows:
• Sub-class: If 75% or more of the facilities belong to a single sub-class then the primary sector will be that sub-class, otherwise move to the class level;
• Class: If 75% or more of the facilities belong to a single class then the primary sector will be that class, otherwise move to the super-class level;
• Super-class If 75% or more of the facilities belong to a single super-class then the primary sector will be that super-class, otherwise the primary sector is ‘Diversified’.
• Similarly, the primary location is determined based on the mix of facility locations, using a three-tier system as follows:
• Country: If 59% or more of the facilities are located in a single country, then the primary location is that country, otherwise move to the sub-region level;
• Sub-region: If 59% or more of the facilities are located in a single sub-region, then the primary location is that sub-region, otherwise move to the region level;
• Region: If 59% or more of the facilities are located in a single region, then the primary location is that region, otherwise the location is ‘globally diversified’

This information will be used to identify peers from the same or similar sectors and locations, and also are factors in the materiality -based scoring for the asset (see RC7 for more details). Select the appropriate lifecycle stage, whether in operation or development, and select whether the data provided in the performance component is included or not in the reporting boundaries.

Note: The country, subregion, region are defined using the UN country classification guidelines available here. The only Super-region used is Asia Pacific, grouped from Asia (code 142 in the UN classification) and Oceania (code 142 in the UN classification).

Prefill: This indicator is similar to the one included in the 2019 assessment and some sections have been prefilled from the 2019 assessment. Review the response and/or evidence carefully.

2020 changes: Added lifecycle stage of facility i.e. whether in Operation or in Development. Embedded google maps software in the address bar for facility locations.

Other: For sectors that do not appear in the drop-down list, “Other” can be selected.

Terminology

Address: The address should include the number, street, town/city, and region/state.

Facility: A site, structure or installation for engaging in an activity that provides infrastructure services.

GPS coordinates: Location based on the latitude and longitude in decimal degrees DD. eg: Latitude (“52.336424”) - Longitude (“4.884971”). Coordinates can be generated using GPS Coordinates.org

Gross Asset Value (GAV): The gross infrastructure value owned by the entity being the 'tangible fixed assets' or 'property, plant and equipment' associated with the infrastructure asset.

In development: The facility is under development and is not yet ‘in operation’.

In operation: The facility is providing its core service (output) and has commenced earning revenue.

Sector: A group of specific industrial activities and types of physical assets and technologies.

References

EDHECInfra - The Infrastructure Company Classification Standards (TICCS™), 2018

UN - Standard Country or Area Codes for Statistical Use (M49)

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