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SUSTAINABILITY

REPORT
2018
CONTENT

STATEMENT FROM THE CEO 4 HOW TELENOR IMPACT SOCIETIES 29


Economic contribution to society 30
SUMMARY OF THE YEAR 5

SUSTAINABILITY AT TELENOR 7 SDG IMPACT ASSESSMENT 32


Responsible business conduct 7 Mapping Telenor’s SDG Impact 33

Strategic focus on reducing inequalities 7 SUSTAINABILITY ANALYTICS /


NON-FINANCIAL DATA 36
About the report 8
Corporate governance 9 ASSURANCE STATEMENT 37

Reporting and stakeholder engagement 9

RESPONSIBLE BUSINESS AT TELENOR 9


Code of Conduct 11
Ethics and Anti-Corruption Programme 11
Employee involvement 13
Developing a diverse workforce 13
Health, safety and people security 14
Supply chain sustainability 15
Human rights 17
Privacy 18
Cyber security 20
Climate risk and environment 21
Child online safety 23
Digital inclusion 25
Social innovation 26
Wireless communications
and health 28
Tax contribution 29
In December 2018, Telenor gathered 16 exceptional
young talents from an estimated 5,000 applicants in
eight countries to the Telenor Youth Forum in Oslo
4 TELENOR SUSTAINABILITY REPORT 2018 STATEMENT FROM THE CEO

STATEMENT FROM THE CEO

CONNECTING THE We are committed to responsible


business conduct and driven by the
SDG 10 is ingrained in our global business
strategy, the way we provide access to
MANY, NOT JUST ambition of empowering societies. That’s services that foster inclusion and

THE FEW. why sustainability is an integrated part of


how we do business.
empowerment, and strive to influence
and raise working and operating
Whether you’re a rice farmer in Myanmar, standards in the markets we serve. Our
a high school kid in Pakistan or a senior We fully support the UN Global Compact people and our culture are instrumental
citizen in Norway, being connected is Principles, and together with our in safeguarding the responsible and
critical in our everyday lives. Communi- customers and partners we are well sustainable business we’re committed to
ties, businesses and societies are more positioned to help deliver on the UN – both in our own operations and in our
open and intertwined today than at any Sustainable Development Goals. We’ve supply chain.
point in the past. We’re exchanging ideas, chosen to focus particularly on SDG 10
products and services online. For Reduced Inequalities. It is one of the
­decades, Telenor has been working global goals that is trending in the wrong
towards the ambition to bring connect­ direction and needs more attention. Sigve Brekke, President & CEO
ivity for the many, not just the few. Telenor Group
5 TELENOR SUSTAINABILITY REPORT 2018 SUMMARY OF THE YEAR

SUMMARY OF THE YEAR

RESPONSIBLE
BUSINESS
Responsible business
and sustainability is
an integral part of SOLAR ENERGY DIVERSE WORKFORCE

Telenor’s business By year-end 2018, Telenor has installed


solar energy solutions for 2,500 base
Telenor Group employed close to 21,000
people as of year-end 2018 of which 37%

strategy. It is about stations in our Asian operations and is


planning to roll-out solar technology to
are women. 28% of senior leadership
positions are held by women.

how we do business. another 1,150 base stations in 2019.

CHILD ONLINE SAFETY MOBILE BIRTH REGISTRATION SUPPLY CHAIN SUSTAINABILITY


During 2018, training on how to be safer In Pakistan, more than 4,200 designated Telenor carried out 3,500 supplier
online has been delivered to 860,000 government facilitators have been trained to inspections resulting in 450 major
children resulting in the education of a total use Telenor’s mobile-based birth registration nonconformities. In addition, the business
of 2.2 million children and young people solution – and by year end 2018, more than units carried out more than 20,000
over recent years. 580,000 children have been registered in five man-hours of capacity-building among our
districts of Pakistan. suppliers.

REDUCED INEQUALITIES CLIMATE FOOTPRINT ETHICS AND COMPLIANCE


We are committed to all UN Sustainable In 2018, Telenor’s CO2 emissions per end In 2018, Telenor logged 558 incoming
Development Goals and believe we in particular customer increased by around 17% due compliance reports – where 70% of these
have an opportunity through our business to to the significant increase in data traffic compliance incidents came through the
advance SDG 10 Reduced Inequalities. volume – still only 6.5 kg of CO2 per Integrity Hotline and 37% of the total reports
customer for full year of 2018. were submitted anonymously.
6 TELENOR SUSTAINABILITY REPORT 2018 SUSTAINABILITY AT TELENOR
7 TELENOR SUSTAINABILITY REPORT 2018 SUSTAINABILITY AT TELENOR

SUSTAINABILITY AT TELENOR

Responsible business conduct business and for the people we serve. We SDG 10 Reduced inequalities is key in
Telenor Group connects its 173 million remain committed to raising standards order to achieve other goals, but is also
customers to what matters most. across our operations and to provide one of the global goals that is trending in
Connecting the world has been Telenor’s greater communications access and the wrong direction and needs more
domain for more than 160 years and we empower societies wherever we are. attention.
currently operate across Scandinavia
and Asia. Telenor is committed to Telenor will contribute to the economic, SDG 10 is embedded in our global
maintain a responsible business conduct environmental and social development in business strategy; in the way we provide
as part of our business strategy. the countries in which it operates, acting access to services that foster inclusion
with accountability, transparency and and empowerment, and strive to
Our business environment will in the focus on security. Telenor will continue to influence and raise working conditions
coming years become increasingly actively engage stakeholders to raise and operating standards wherever we are
complex as the world around us becomes sustainable industry practices and fair present.
digitalized and the demand for competition rules, based on a strong
connectivity proliferates. We are ethical foundation. Access to services means: digital
experiencing increased stakeholder inclusion (extending affordable
expectations for business to eliminate Responsible business conduct is about connectivity, building digital skills and
negative impacts and advance mitigating Telenor’s most critical business resilience, stimulating digital identity
sustainability goals, which is also environment risks, seizing the opportu- projects), financial inclusion (enabling
reflected in consumer behaviour and the nity to generate positive long-term value people with mobile phones to use their
changing legislative landscape. We see and meeting stakeholder expectations. devices to pay, save, build credit history
this as an opportunity to further Strengthening awareness, accountability and buy insurance), health and education
strengthen our relationship with our and transparency are key to securing our (making available life-enhancing
stakeholders, continue to build trust and licence to operate and ensure ethical and services), and making available big data/
successfully drive our business forward in responsible business practices. machine learning/AI solutions to further
a responsible and sustainable manner. enhance and personalize services.
Strategic focus on reducing
Some of the markets in which Telenor inequalities Furthermore, we will raise standards for
operates are emerging economies with Telenor was built on a belief in connecting our employees and in our supply chain.
potentially complex and sensitive the many, not just the few. This will cover areas such as: Health &
political and social contexts. We face safety, working conditions, human rights,
challenges that involve ethnic and Responsible business and sustainability is anti-corruption, but also global parental
religious conflicts in many societies. Our an integral part of Telenor’s business leave policies, gender and diversity
business spans across cultural, political strategy. It is about how we do business. policies.
and physical borders, where risks of We are committed to all UN Sustainable
human rights abuses do exist. Development Goals and believe we in Telenor has set ambitious targets to help
particular have an opportunity through advance SDG 10 by 2020: enabling 7
At Telenor we are convinced that more our business to advance SDG 10 on million mobile birth registrations in Asia,
equality in the world is good for our Reduced Inequalities. providing online safety training for
8 TELENOR SUSTAINABILITY REPORT 2018 SUSTAINABILITY AT TELENOR

4 million children and delivering 100,000 Norwegian Minister


hours of training for employees working in of International
Development Nikolai
the supply chain. Astrup, Anne-Birgitte
Albrectsen, CEO of
To achieve impact and to scale our Plan International,
and Sigve Brekke,
sustainability efforts we are engaging
Telenor Group
with two international partners with a President & CEO
special focus on SDG 10. These met in New York in
partnerships will be activated in countries September 2018
during the United
where both parties are present: Nations General
Assembly, to discuss
• UNICEF – has a robust commitment to the importance
of partnerships
leverage mobile technology and and digitalising
operates a strong innovation unit. development to reach
Main target audiences are children, the SDGs and create
shared value.
mothers and young people.
• Plan International – has a wide
network of local partners in Asian
markets. ICT is a key element of their
strategy and they focus mainly on
girls. deemed to be most important to both
Telenor and its stakeholders. Details on
Telenor’s materiality assessment can be
About the report viewed at www.telenor.com/
Telenor publishes this Sustainability sustainability/reporting/scope-and-
Report in accordance with reporting principles.
requirements mandated by the
Norwegian Accounting Act §3-3c, which DNV GL has been commissioned to carry
requires large enterprises to account for out an independent review of the
what the company is doing to integrate Sustainability Report, in particular to
respect for human rights, labour rights assess the accuracy of claims. DNV GL’s
and social issues, the environment and independent review can be found at the
anti-corruption into their business end of this report.
strategies, daily operations and
relationship with stakeholders. The report On 21 March 2018, Telenor announced
shall at a minimum contain information the signing of an agreement to sell its
on policies, principles, procedures and assets in Central and Eastern Europe
standards the company uses to integrate (CEE) to PPF Group. The transaction
the above considerations. included Telenor’s wholly-owned mobile
operations in Hungary, Bulgaria,
In addition to these requirements of the Montenegro and Serbia and the
Norwegian Accounting Act, Telenor’s technology service provider Telenor
Sustainability Report includes other Common Operation. The transaction
material issues in line with stakeholder required necessary regulatory approval
expectations as well as Oslo Stock and the transaction was completed on 31
Exchange’s guidance on the reporting of July 2018. Hence, Telenor’s sustainability
corporate responsibility. These material report for 2018 does not include
issues in the report have been identified performance data from our previous CEE
through a materiality assessment based operations.
on the Consolidated Set of GRI
Sustainability Reporting Standards, and
we have included issues which are
9 TELENOR SUSTAINABILITY REPORT 2018 RESPONSIBLE BUSINESS AT TELENOR

RESPONSIBLE BUSINESS AT TELENOR

Corporate governance addressing sustainability and compliance company drive continuous improvement
Telenor Group’s corporate governance issues. In its work, the Committee is based on an active dialogue with
principles and practices define a guided by international conventions and stakeholders.
framework of rules and procedures for recommendations, the Telenor Code of
the way business is governed and Conduct, and policies and manuals Reporting
controlled in all Telenor business units. relevant to the scope of the SCC. The Expectations related to sustainability
Each business unit adopts the relevant Committee also supports the Board in reporting from major stakeholders
governing documents. The governance fulfilling its responsibilities to specifically continue to increase. Telenor firmly
framework is used as a platform to address climate & environment, human believes that reporting will contribute to
integrate material sustainability issues rights, labour standards, and anti- open discussions and to building
into its business strategies, daily corruption. knowledge to help address challenging
operations and relationship with issues. In order to ensure structured,
stakeholders. More information on Telenor’s principles transparent and relevant reporting of
and practices for corporate governance sustainability performance, Telenor
Telenor’s corporate values and ethical can be read in Telenor’s Report on Group reports to various external
standards represent an important Corporate Governance in the Annual organisations including UN Global
foundation for articulating and Report of 2018 and at www.telenor.com/ Compact, the international reporting
implementing the governance framework. about-us/corporate-governance. standard GRI, and CDP regarding climate
Telenor’s commitment to integrity and change disclosure.
transparency is clearly stated in Telenor’s Reporting and stakeholder
Code of Conduct – which is owned and engagement Telenor uses a - materiality assessment
approved by the Board, and must be Telenor believes good corporate process, based on the Consolidated Set
signed by all employees. governance involves accountability, of GRI Sustainability Reporting
responsibility, transparency, fairness and Standards, to involve a range of external
Telenor works continuously to improve its effective engagement between all and internal stakeholders to help identify
governance regime. In 2018, Telenor has internal and external stakeholders. social, economic and environmental
conducted a thorough revision of its Code topics that matter most both to them and
of Conduct to reflect the evolving risks Telenor’s commitment to integrity and Telenor’s business. The scope of the
that Telenor faces. In addition Telenor has transparency is clearly stated in Telenor’s current materiality assessment and
initiated a process to improve its policy Code of Conduct. The Code of Conduct is engagement process can be found here:
framework related to business partner owned and approved by the Board, and www.telenor.com/sustainability/
risk. must be signed by all employees. reporting/scope-and-principles.

The Sustainability and Compliance The principles of transparency at Telenor In 2018, both Telenor Group and many of
Committee (the “Committee” or “SCC”) is are part of the corporate governance Telenor’s business units reported locally
a preparatory committee of the Board of framework and are implemented within on their sustainability performance,
Directors of Telenor ASA (the “Board”) company operations. Transparency and which can be found at www.telenor.com/
that supports the Board in fulfilling the openness around sustainability-related sustainability/reporting.
Board’s responsibilities with respect to dilemmas and challenges will help the
10 TELENOR SUSTAINABILITY REPORT 2018 RESPONSIBLE BUSINESS AT TELENOR

Telenor continues to focus on human Big data for social good and how Telenor
rights transparency and reporting, has focused on SDG 10 Reduced
REALISING
including issuing an updated Authority Inequalities with a two-pronged DIGITAL
Request access report and reporting on approach on access to services and MYANMAR
Leapfrogging to an
alignment with the guiding principles from raising local standards. inclusive digital economy

the Telecommunications Industry


Dialogue on Freedom of Expression and In March, Telenor in Myanmar held its
Privacy (ID). 5th annual sustainability briefing since
2014. At this session the Telenor
The new reports for 2018 will be available Myanmar CEO Lars Erik Tellmann
here www.telenor.com/sustainability/ expressed the company’s commitment
responsible-business/privacy-and-data- to be open and transparent on our
protection/handling-access-requests- business, challenges, and how we face
from-authorities. key issues. Telenor also presented its
new Digital Myanmar report, which
Telenor’s annual Communication on includes a series of recommendations to
Progress to the UN Global Compact help develop a competitive digital
qualifies for the Advanced Level. The economy. The report can be downloaded
global climate reporting organisation here: www.telenor.com/the-journey-to- In 2018, Telenor presented its new Digital
CDP (formerly Carbon Disclosure Project) a-digital-myanmar. Myanmar report, which includes a series
of recommendations to help develop a
has for 2018 rated Telenor Group in their
competitive digital economy in Myanmar.
reporting category B (the third highest In October, Telenor Group’s President and
level) which is down one scoring level CEO Sigve Brekke joined a group of
from last year. Telenor is the telecom Nordic-based CEOs to announce a joint Commission on Rakhine State. Telenor
company headquartered in Scandinavia initiative in an effort to accelerate the has also expressed these concerns to
with the highest CDP score - realisation of the UN Sustainable Myanmar authorities.
demonstrating good climate Development Goals (SDGs).
management. Representatives from the group The Telenor Youth Forum, driven in
presented their shared ambitions to collaboration with the Nobel Peace
Stakeholder engagement Norwegian Prime Minister Erna Solberg Center is a is a global platform that is
As part of Telenor’s strategic focus on during the 70th Nordic Council session in built upon the idea of engaging bright
responsible business conduct, the Oslo. Sigve Brekke stated that young minds to reduce inequalities. In
company will actively engage its “technology creates new opportunities to December 2018, Telenor gathered 16
stakeholders and continue strengthening solve massive challenges connected to exceptional young talents from an
its relations as a long-term owner and health, education and inequality. estimated 5,000 applicants in eight
business partner, true to its Businesses and the public sector play a countries for the Telenor Youth Forum in
commitments, values and the purpose of key role in facilitating positive impact on Oslo. The participants worked in teams to
empowering societies. The company society – that’s why we need close and develop solutions aimed to reduce
applies business standards that may be constructive collaboration across sectors inequalities within global health. These
higher than what is decreed by law in its and industries”. health-related challenges are to optimise
respective markets. agriculture, ensure clean water, reduce
The Rohingya situation in Myanmar the rise of non-communicable diseases
Selected stakeholder engagement continued to be high on the international and support a growing elderly population.
events focused on sustainability in 2018: agenda in 2018. Telenor Group is
committed to respect human rights, and In 2019, Telenor will continue its
In September, Telenor Group’s President has on several occasions expressed that stakeholder engagement as part of our
and CEO Sigve Brekke attended the UN we view with grave concern the findings effort to promote responsible business
General Assembly in New York to present of the Independent International Fact- conduct and advance sustainability:
Telenor’s commitment to the Sustainable Finding Mission on Myanmar, and support
Development Goals (SDGs) and to the call to immediately implement the • Arrange meetings and broader
discuss how our industry can contribute recommendations in the previously communication activities to engage
to Digital inclusion, Financial inclusion, released Final Report of the Advisory with investors and relevant
11 TELENOR SUSTAINABILITY REPORT 2018 RESPONSIBLE BUSINESS AT TELENOR

stakeholders in the company’s current Third Party Risk Policy. directly or indirectly controlled by Telenor
sustainability challenges and ASA, and where we are not a controlling
opportunities. The Chief Compliance Officer meets at owner we require these companies to
• Demonstrate how Telenor can least quarterly with the Sustainability & comply with an ethical standard which is
empower societies through its Compliance Committee of the Board. The in line with Telenor’s own, and to operate
business impacts and how we Sustainability and Compliance within a risk based governance and
contribute to the UN Sustainable Committee of the Board supports the ­compliance framework.
Development Goal of Reduced Board in fulfilling its responsibilities with
Inequalities. respect to ensuring that Telenor builds The Anti-Corruption Programme is part
and maintains an effective ethics and of Telenor’s Governance model which
Code of Conduct compliance programme, maximizes the clearly defines roles and responsibility for
The Telenor Code of Conduct is owned inherent benefits of such a programme, the implementation of Telenor’s Anti-
and approved by the Group Board of and consistently promotes a culture that Corruption Compliance Programme and
Directors. The Code of Conduct embodies demands ethical business conduct and the integration of ethics and anti-
our commitment to high ethical compliance with the Code of Conduct, our corruption considerations into all
standards. We strive to be a trusted policies and procedures, and responsible business activities. Our global network of
partner – to our customers, shareholders business practices. Heads of Compliance, consisting of
and colleagues, and to the communities business unit policy managers or experts
where we operate. Our business depends Correspondingly, the Telenor Business appointed by local policy owners,
on this trust and we are committed to Unit Head of Compliance reports directly contributes to best practice-sharing
conducting our business in a responsible, to the Business Unit CEO. The Business across the Group.
ethical and lawful manner. Unit Head of Compliance also reports
regularly to the Business Unit Board of Status and ambition
The Code is applicable to all Telenor Directors on compliance matters. Telenor seeks to work with partners who
employees, board members and hired share our commitment to ethics and
personnel. This year the Code was In order to ensure alignment of strategy, compliance. In 2018, we prioritized
strengthened to reflect the evolving prioritization and implementation of strengthening our processes to do
standards and obligations within our compliance and governance related background checking and monitor
business environments and the risks that matters, the Business Unit Heads of business partners including suppliers and
Telenor is facing. Clear guidance was Compliance have dotted functional vendors. Telenor’s integrity due diligence
included to make Code requirements reporting to the Group Chief Compliance process enables us to identify and
more easily accessible and easy to follow. Officer. This year, we have worked to mitigate compliance risks related not
The Code was also made available on establish a network of Heads of only to anti-corruption, but other
digital platforms and all devices, with Compliance across the Group in order to important compliance areas. In 2019 we
links and drill-down functionalities which share best practice. Next year, we will will focus on the implementation of a
provide immediate access to Telenor’s further develop and strengthen the Group wide third party vetting and
governing document framework. network in order to create stronger monitoring process through a specially
synergies and cooperation. designed digital platform.
In late 2018, the Group Chief Compliance
Officer began reporting administratively Ethics and Anti-Corruption We will not make gifts, donations or
to the Chief Corporate Affairs Officer, Programme otherwise support political parties or
while continuing to report functionally to Policy and actions individual politicians.
the Group President and CEO. The Group Telenor has zero tolerance for corruption.
Chief Compliance Officer heads the Our ethical standards promote proper A description of Telenor’s Anti-Corruption
group-wide Compliance function and business practices and reflect relevant Programme and the Ethics and
supports the President and CEO as well laws, regulations and internationally rec- Compliance function is publicly available
as the Group Board to ensure that the ognized standards. These standards are on the web sites: www.telenor.com/
Code sets the appropriate standards, and set out in our Code of Conduct, the Group about-us/corporate-governance/ethics-
that these standards are implemented Policy on Anti-Corruption, Group Policy compliance and www.telenor.com/
and enforced. Starting in 2018, the Chief on Third Party Risk, and other guidance about-us/corporate-governance/anti-
Compliance Officer is also responsible for and governing documents. These stand- corruption.
the Anti-Corruption Programme and the ards are implemented in all subsidiaries
12 TELENOR SUSTAINABILITY REPORT 2018 RESPONSIBLE BUSINESS AT TELENOR

Intergrity Hotline and internal As of 2018, Integrity Hotline investigation process. Group Internal
investigations management, fact finding and Audit and Investigation is independent
In Telenor, each employee has a personal investigation of compliance cases are from the business to ensure objectivity
responsibility to act with integrity and handled by Group Internal Audit & and facts-only based reporting.
speak up if they become aware of Investigation whereas resolutions which
potential breaches. Leaders have a include both disciplinary and corrective It is generally viewed as a sign of
particular responsibility to act as good actions are handled by the Compliance openness and trust that employees and
role models and to build a safe, trustful function. Investigated cases are reported other stakeholders speak up about their
and transparent culture in their teams. to the Risk and Audit Committee by the concerns. This allows the organisation to
Managing breaches of the Code of Head of Group Internal Audit and address the issues, investigate and take
Conduct and Governing Documents is an Investigation. Regular reporting in this disciplinary action when needed, and
important pillar of Telenor’s ethics and area is also provided to the Business especially to learn from and prevent
compliance work. Employee confidence Unit`s Board of Directors. The new issues from recurring. The reporting
in reporting incidents is central to organisational model established in early volume per 100 employees in 2018
ensuring an ethical corporate culture. 2018 has helped ensure independence in amounted to 2.8 which is approximately
how matters are handled. Reports that on the same level as in 2017.
To encourage individuals such as em­ploy- are brought to Group Investigations via
ees, suppliers and other stake­holders to e-mail or personal contact are logged in In 2018, Group Investigations logged 558
voice their concerns, Telenor has the system. incoming reports. Around 70 per cent of
­established a global external reporting all incoming reports in 2018 came in
hotline and website (Integrity Hotline). through the Integrity Hotline. All
incoming reports are assessed by the
The Integrity Hotline is a confidential Group Investigation organisation. The
channel where anyone can ask questions reports that are assessed to meet the
and raise concerns about possible criteria for further investigations are
breaches of Telenor’s Code of Conduct, handled further by the Group
including relevant laws, regulations and Investigation. About 46 per cent of the
governing documents. The complainant incoming reports were concerns
can follow the status of the incident pertaining to other parts of the
reported, and establish a confidential organisation, such as line management or
dialogue with Telenor’s Investigation In 2018, Telenor logged HR. Out of all the incoming reports, 37
team through this channel. 558 incoming compliance per cent were submitted anonymously. In
reports – where 70% of these addition, 4 per cent were questions that
In late 2018, an Integrity Hotline compliance incidents came were routed to and answered by Group
awareness campaign was launched which through the Integrity Hotline and Compliance.
will cover all business units in the first half 37% of the total reports were
of 2019. The purpose of the interactive submitted anonymously. All incoming reports shall receive an
campaign is to build trust and increase answer from Group Investigations - either
awareness and knowledge of the whistle through the confidential and anonymous
blower channel, including information on communication channel or via an
how cases are handled and of the The Integrity Hotline, new case alternative preferred means of
employees’ rights and duties. The management system and investigation communication. The compliance
purpose is also to increase understanding working methodology were revitalized in incidents mainly fall within the following
of which cases should be reported in the 2018 and have enabled stronger global categories; Business Integrity, Theft &
Integrity Hotline, and which should be oversight for Telenor. Group Investigation Embezzlement and Working Environment.
addressed elsewhere. uses a methodology based on the
Association of Certified Fraud Examiners’ Looking ahead:
The Integrity Hotline is also made framework, which is the internationally Integrity is a vital part of Telenor’s
available to external parties and recognized “gold standard” for corporate business. Telenor’s management is
available on the web site: investigations. Group Investigation committed to sending clear,
secure.ethicspoint.eu/domain/media/ ensures that all employees and their unambiguous and regular messages to all
en/gui/102575/index.html. rights are protected during the entire staff and business partners that all forms
13 TELENOR SUSTAINABILITY REPORT 2018 RESPONSIBLE BUSINESS AT TELENOR

of corruption and bribery are All workforce restructuring in Telenor Director General of Labour filed a request
unacceptable. Telenor’s governing shall be done with the aim of creating and for clarifications of the verdict. We are
documents establish one single standard sustaining long-term business value. awaiting how the court will address the
which shall govern all business activities, Workforce restructuring shall be done in request and the follow-up from the
regardless of where such activities take a responsible manner, through verifiable Director General of Labour paving the
place. processes and in accordance with Telenor way for union registration in the
Purpose and Behaviours and applicable Bangladeshi service sector.
Nevertheless, some markets in which legal requirements and legislation.
Telenor operates are emerging While Telenor is waiting for the court’s
economies with potentially complex and Status and ambition clarification and the Labour Minister’s
sensitive political and social contexts, In 2018 the Telenor Works Council – next step we are preparing for
including markets associated with high Europe (TWC-E) held six meetings, unionisation in Grameenphone. In
corruption risks. This creates challenges including two where European employee cooperation with management in
that require robust, targeted measures to representatives met with the Telenor Grameenphone and in understanding
mitigate such risks. All Telenor business Group Management. The objective was to with UNI Global Union we have completed
units have a responsibility to conduct enhance information exchange and several training sessions and workshops
regular risk assessments and risk-based discussions in relation to transnational for management and employee
reviews of their anti-corruption issues impacting employees. The CEE representatives on topics such as
procedures, and implement remediating sales process was one of the main focus collaboration, information sharing and
measures to mitigate risks. Telenor is areas this year in addition to ongoing understanding the different roles.
focused on continuous improvement of transformational changes in Telenor
risk management processes. Group. Looking ahead:
Whilst undergoing business
Employee involvement Additionally, Telenor has continued its transformation, Telenor Group will
Policy and actions commitment to promoting employee continue promoting employee
Telenor is committed to respecting labour involvement in operations throughout the involvement throughout Telenor Group,
rights principles as laid down in the UN Group. In 2018 the People Council in and maintenance of good labour
Global Compact and ILO’s fundamental Myanmar was established. As a standards in the company’s operations.
conventions. These principles relate to consequence all of Telenor’s operations
respecting the rights to freedom of in Europe and Asia are providing for Developing a diverse workforce
association and collective bargaining, the employee involvement through dialogue Policy and actions
elimination of forced labour, child labour between management and recognised At Telenor, attracting and retaining the
and discrimination in the workplace, and employee representatives, e.g. in relation best talent through learning and
are reflected in Telenor’s Code of to acknowledged unions or through the development opportunities as well as
Conduct, Group People Policy and People Council as a local cooperation career prospects is fundamental to
Supplier Conduct Principles. body. continued competitiveness and growth.
Telenor also strives for diversity, inclusion
Telenor believes in empowering The Frame Agreement between Telenor and equal employment opportunities in
employees through management Group and UNI Global Union expired in accordance with the People Policy.
dialogue with employees or their May 2017. In November 2017 Telenor and
recognised employee representatives, UNI Global Union met and agreed upon a Telenor is an equal opportunity employer
and by utilising the employees’ pause in the re-negotiation process due and diversity is imperative to the way we
experience and insight to influence to Telenor exiting the CEE market and the do business. It is about ‘creating
working conditions and contribute to situation in Grameenphone. There has together’ services and solutions that
sustainable business growth. Telenor been an ongoing court case filed by include different perspectives from our
Group is, throughout its operations, employees of Grameenphone related to employees, customers, stakeholders and
promoting partnerships based on good union registration. In January 2018, the partners.
and trusting dialogue, e.g. in relation to written verdict was announced by the
acknowledged unions or through local court, directing the case to the Director Discrimination is against our Code of
cooperation bodies such as the People General of Labour. Telenor acknowledged Conduct and it is interpreted that no
Council. the verdict and are pleased to see direct or indirect negative discrimination
movement in the case. In February the shall take place based on race, colour,
14 TELENOR SUSTAINABILITY REPORT 2018 RESPONSIBLE BUSINESS AT TELENOR

gender, sexual orientation, age, disability, Internationalism experience and continuously improve its
language, religion, employee • Numbers of employees are 33 per cent efforts within HS&S and is currently
representation, political or other opinions, in Scandinavia, 29 per cent in reviewing the systematic efforts within
national or social origin, property, birth or Emerging Asia, 28 per cent in this area in order to be positioned among
other status. Human beings are entitled Developed Asia and approximately 10 the leaders of our industry.
to be treated with respect, care and per cent in Group units and Global
dignity. Telenor’s business practices are holdings (working in multiple locations Status and ambition
not sustainable unless we base globally). In 2018, the Sickness Absence Rate
relationships on basic human rights with (SAR) for the entire Telenor Group was
and between employees and appreciate Open Mind Programme 1.82 per cent. The SAR is lower than the
diversity, cultural and other differences. Telenor’s Open Mind programme Telenor Group SAR in Asian countries and
contributes to providing meaningful work higher in the Scandinavian countries. This
Status and ambition for everyone, regardless of ability. By number is reported with the
Telenor continues to work towards a more achieving this outcome, we can promote acknowledgement of variations in
diverse and inclusive workplace, in social, economic and political inclusion, reported data based on different local
accordance with its People Policy. In and ensure equal opportunity for all. In and national procedures and regulations
2018, Telenor experienced improvements Norway alone, more than 240 people related to sickness reporting. The total
in its gender balance. The company have successfully graduated from the Lost Time Injury Frequency (LTIF) for
reported 28 per cent women in senior programme. In Pakistan, 73 people have Telenor Group was 0.22 injuries per
leadership, up from 26 per cent in 2017. graduated from the programme since its million worked hours.
The percentage of women in the total inception in the country
workforce remains stable at 37 per cent. In Asia, road-related accidents continue
The nationality split amongst senior Looking ahead: to be among the leading causes of
leaders at year end 2018 was Telenor will continue to invest in on-the-job injuries and fatalities. Telenor
approximately 74 per cent Scandinavians, programmes and initiatives to promote Group’s footprint in Asia covers more
19 per cent from Asia and 7 per cent from greater diversity and inclusion in the than sixteen thousand employees and
other geographies. workplace and has outlined a thorough approximately six hundred thousand
action plan towards 2020 that outlines a supply chain employees. With such large
continued commitment to diversity and numbers of people working for and with
Telenor’s continued diversity is inclusion, ensuring 30 per cent women in Telenor, and with an extensive network
reflected in the following facts senior leadership roles, nurturing our spreading over huge areas of land, the
about gender balance: internationalism through placements, company holds a major stake in
and exploring opportunities for everyone’s safety. In 2018 Telenor has
Gender balance (per cent of women) differently-abled persons (similar to continued to implement road safety
per business unit is as follows: Open Mind Programme). initiatives aimed at increasing awareness
of road safety and reducing road
• Developed Asia Health, safety and people accidents.
- Thailand: 62% security
- Malaysia: 50% Policy and actions There were zero work-related employee
• Emerging Asia Telenor sets high standards in health, or in-house contractor fatalities reported
- Bangladesh: 17% safety and people security (HS&S). in Telenor Group for 2018. We
- Pakistan: 21% Maintaining a working environment and a experienced however four fatal incidents
- Myanmar: 39% culture that nurture HS&S is important at in Pakistan and Myanmar in our supply
- Financial Services & Health Telenor. The HS&S approach covers chain. It is with great regret that these
business units: 48% employees as well as in-house resulted in eight fatalities, four involving
• Scandinavia contractors, vendors and suppliers. 1st and 2nd tier suppliers and four
- Denmark: 36% Telenor believes that the HS&S of involving third parties. Three of the fatal
- Sweden: 34% employees is vital to its business and incidents were associated with traffic and
- Norway: 30% makes a difference in employee one with working at heights.
- Group Units: 35% engagement.
- Group Holdings: 29% All incidents were managed according to
Telenor is committed to learn from our reporting, investigation and follow up
15 TELENOR SUSTAINABILITY REPORT 2018 RESPONSIBLE BUSINESS AT TELENOR

procedures. Corrective and preventative mandatory for all Telenor contracting conduct. Our key risks include health and
measures to avoid reoccurrence were parties to agree to the Supplier Conduct safety issues such as road accidents and
implemented. Employees’ families have Principles (SCP). The SCPs are based on risks related to tower climbing, other
been followed up and given internationally recognised standards, working conditions deficits related to
compensation. Please refer to Supply including requirements on the respect for hours and wages, existence of child or
Chain Sustainability for further human rights, health and safety, labour underage labour, and risks to business
information about how Telenor manages rights and working conditions, conflict ethics. The majority of these risks exist in
its suppliers. minerals, environment, privacy and our Asia operations. Further information
freedom of expressions and prohibited on child/underage labour can be found
Looking ahead: business practices. below. Further information on health and
As Telenor Group operates in markets safety in the supply chain is provided in
with differences in risk and regulation and the Health and Safety section of this
also differences related to the local report.
infrastructure, which to a high degree
steers the OHS&S risks, we will focus on Fatalities:
continued identification and mitigation of During 2018, we have experienced four
the local risks, combined with increasing fatal incidents in Pakistan and Myanmar
group collaboration and secure local in our supply chain. It is with great regret
management attention and follow up. that these resulted in eight fatalities, four
involving 1st and 2nd tier suppliers and
In 2018, the business units
The focus on road safety will remain in four involving third parties. Three of the
organised more than 20,000
2019; Telenor will continue implementing fatal incidents were associated with
man-hours of capacity-building
road safety awareness campaigns, traffic and one with working at heights.
in our supply chain.
revising and improving our processes and More information in chapter Health,
practices associated with road Safety and People Security
transportation and vehicle management.
Our practices associated with working at Telenor’s approach to supply chain Child labour/ underage labour:
heights will also be revised. sustainability is to legally oblige the During 2018, Telenor recorded two
supplier to uphold responsible business incidents in Bangladesh, two incidents in
In 2019 Telenor will continue to practice, monitor compliance with Pakistan and one incident in Thailand of
implement its systematic work to manage Telenor’s requirements and to undertake underage labour (15-18 years) involving
HS&S risks. The ISO 45001 standard capacity-building among its suppliers. All hazardous work. No incidents of child
(Occupational health and safety suppliers are obliged to extend the labour (12-14 years) were identified. In
management systems - Requirement,) supplier requirements to their own 2018 and 2017, the numbers of child
will be applied as our reference and the suppliers to help ensure that the labour/underage labour findings were
ambition is to be compliant with the requirements are applied throughout the significantly reduced from previous years
standard in all business units. These whole supply chain. In addition, Telenor where the number of incidents of
efforts will enable a systematic and believes that partnership and underage labour in 2015 included 34
aligned risk based approach for cooperation with suppliers and industry people, and the number of incidents of
managing health, safety and people peers is vital to achieving a responsible child labour in 2015 included 13 children.
security risks. Systematic learning across supply chain. Telenor has over many A similar number of incidents of underage
the company from past incidents, our years been an active member of the Joint labour in 2016 included 16 people and
experiences and best practices will be in Audit Cooperation (JAC) and Global the number of incidents of child labour in
focus in 2019. e-Sustainability Initiative (GeSI). 2016 included 4 children.

Supply chain sustainability Status and ambition Other potential risks:


Policy and actions Key supply chain risks: Conflict minerals is an indirect risk area
Telenor strives for high sustainability The supply chain responsibility focus in for Telenor and the company is actively
standards and continuous improvement 2018 remained on mitigation of supply monitoring that its suppliers have a
in its operations throughout the supply chain risk, capacity-building and written policy and procedures in place to
chain, and works to ensure that its monitoring compliance with Telenor’s avoid knowingly acquiring conflict
suppliers take a similar approach. It is requirements on responsible business minerals. Based on recent years’ global
16 TELENOR SUSTAINABILITY REPORT 2018 RESPONSIBLE BUSINESS AT TELENOR

audits and local inspection we have no waived for a supplier, in which case other Some business units have also worked in
specific follow-up issues with either of restrictions and monitoring will be industry and cross-industry
our major suppliers of smartphones and imposed. A procedural review and risk collaborations to synergise efforts in
tablets. assessment should be undertaken before capacity-building.
an ABC agreement may be adjusted or
Modern slavery is also a potential risk in waived for a supplier. Monitoring compliance:
Telenor’s supply chain – both in Asia and Telenor carries out local inspections in all
in Scandinavia. Telenor is therefore Capacity-building: our markets in order to monitor
actively monitoring that its suppliers do The business units organised more than compliance with the requirements on
not employ or use any form of forced, 20,000 man-hours of various capacity- responsible business conduct. In 2018,
bonded or compulsory labour and that its building initiatives in 2018. The capacity- Telenor carried out more than 3,500
suppliers strictly prohibit any form of building involved various efforts to supplier inspections (ranging from simple
slavery or human trafficking. proactively build the local capacity of site visits to more comprehensive
suppliers and sub-suppliers in order to inspections or audits) across the Group.
Mitigating supply chain risks: drive continuous improvement in the 87 per cent of the inspections were
All suppliers and partners that have a supply chain. The activities vary from carried out unannounced. More than 450
direct contractual relationship with supplier to supplier depending on the major non-conformities were identified
Telenor must comply with Telenor’s most relevant and salient risk of the during the inspections across the
Supplier Conduct Principles (SCP). An business unit. Typical activities include business units and have been followed up
Agreement on Responsible Business on-site briefings, awareness sessions, with mitigation plans and processes
Conduct (ABC) legally obliges the workshops, forums, process support, aiming to address these non-
supplier to comply with the SCP and online portals and resource guides, etc. conformities until they are resolved and
certain requirements set out in the ABCs. The capacity-building is adapted to the can be closed.
As at year-end 2018, we have signed practical situation and according to the
approximately 7,800 ABCs with almost all real need of the supplier, focusing on Through Telenor’s participation in the
our active suppliers that we have defined awareness of Telenor SCP issues as well Joint Audit Cooperation (JAC) together
as in-scope for ABC (based on risk as specific activities related to skills with other telecommunications operators
assessments). In instances where a development (e.g. tower climbing). (16 members in 2018), we gained access
supplier is not willing to sign our standard Typical topics are; labour rights, health to the results of 91 sustainability audits
ABC agreement, adjustments to the and safety, anti-corruption, sustainability of global suppliers in 2018. A standard
agreement may be considered. In some requirements as well as green telecom, JAC audit focuses mainly on preventive
cases the ABC agreement may also be empowerment of women and diversity. anti-corruption programmes, labour
rights and working conditions including
In 2018, Telenor health & safety, and the environment.
carried out more Telenor performed five of these audits of
than 3,500 supplier global suppliers on behalf of JAC in 2018.
inspections across
After carrying out an audit, a Corrective
the Group – and 87%
of these inspections Action Plan (CAP) listing all findings is
were carried out agreed upon between the auditee and
unannounced.
the auditor. Over time, JAC has carried
out 487 audits in 33 countries, covering
close to 1 million workers. Going forward,
the number of yearly audits carried out
by JAC will increase and the focus will
mainly be on tier 2, tier 3 suppliers and
tier 4 suppliers.

Looking ahead:
Effective risk management in Telenor’s
supply chain will remain a priority,
building its competitive advantage
through risk mitigation, capacity-building
17 TELENOR SUSTAINABILITY REPORT 2018 RESPONSIBLE BUSINESS AT TELENOR

and monitoring compliance. The focus in UN Guiding Principles on Business and


2019 will be to optimize supply chain Human Rights and other international Telenor has a three-pronged
sustainability practices by building frameworks including the Universal approach to human rights:
further alignment and collaboration Declaration on Human Rights and the ILO
across business units and functions and Core Conventions. We also find it helpful 1. Addressing actual and potential
help bring the responsible business to view human rights through the risks and impacts of our business
agenda to scale. Further, Telenor will work perspectives of the key roles we have as through
to ensure its supply chain sustainability a company – as an employer, a provider i. Policies and processes – the
efforts go beyond compliance and have a of telecom and digital solutions, a principle of ‘respecting human
positive impact on the business as a purchaser of goods and services, and as rights’ is anchored in our Code
whole and in the societies in which it an investor. For this reason issues of Conduct (CoC) and Supplier
operates. including labour rights, privacy and Conduct Principles (SCP), and
freedom of expression (see text box to due diligence is a policy
Human rights the right and Privacy chapter), supply requirement
Policy and actions chain sustainability and due diligence pre ii. Guidance – dedicated tools
Telenor’s business is about enabling investment are all important to us. drawing on the UN Guiding
people to communicate, and the Principles on Business and
company’s operations and services do Human Rights
have an impact on human rights. We see iii. Training and awareness –
that we can positively impact rights, e.g. specialist training, as well as
through digital birth registration (see management and board
chapter Social Innovation) and improving discussions
gender equality through digital inclusion. 2. Collaborating with others, for
But we also recognise the risk that our example through
business may have to negatively impact i. Stakeholder dialogue - with
human rights e.g. through potential peers, civil society, investors,
misuse of our services (see chapter Child academia, government
Online Safety). Telenor is also present in ii. Industry/multi-stakeholder
markets with significant human rights initiatives – member of e.g.
challenges. Telenor takes seriously its Global Network Initiative (GNI)
responsibility to identify the potential and Joint Audit Cooperation
human rights impacts it may have, (JAC) (see SCS chapter)
preventing or mitigating these impacts 3. Being transparent on challenges
and being accountable for its actions. and company practices to the
extent possible in
Human rights are governed internally as i. Annual reporting – this report
described in the chapter on Corporate and the UN Global Compact’s
Governance, and reporting of grievances Communication on Progress
through the Integrity Hotline to ii. Issue-specific reporting -
Compliance is described in the chapter Including our ‘transparency
Ethics and Anti-Corruption. Finally, report’ on the number of
Telenor’s approach to enterprise risk authority requests in our
management is described in Sustaina­ markets as well as a bi-annual
bility and Compliance in the Board of ‘legal overview’ of key laws
Directors’ report. related to authority requests in
our markets
To help us navigate and identify the most iii. Sustainability updates/
salient human rights impacts, we conduct presentations – e.g. annual
human rights due diligence both at Group updates by Telenor Myanmar to
and business unit (BU) levels. Human stakeholders on key human
rights are also included in our materiality rights issues
matrix. Our activities are guided by the
18 TELENOR SUSTAINABILITY REPORT 2018 RESPONSIBLE BUSINESS AT TELENOR

Status and ambition chapter. As a member of the multi- internet connectivity, respect for the
2018 was a challenging year with respect stakeholder Global Network Initiative rights to privacy and freedom of
to human rights in some of our markets. (GNI) we continued to work with peers, expression is central to Telenor’s core
The Independent Fact Finding Mission’s academics, civil society and investors to business. The company approaches
report in September 2018 described address challenges related to authority these issues from a privacy point of view
severe human rights abuses towards the requests that may limit privacy and/or as well as a security angle, with policies
Rohingya in Northern Rakhine. Telenor freedom of expression. and manuals that set out mandatory
reiterated our grave concern in a requirements applying across all
statement in August 2018 www.telenor. Telenor continued its collaboration with operations.
com/situation-in-rakhine-state. This has industry peers in the Joint Audit
also been communicated to the Myanmar Cooperation (JAC), an industry initiative As the Internet of Things (IoT) is
authorities. In terms of our own on Supply Chain Sustainability where becoming more important, and privacy
operations in Northern Rakhine, focus members conduct audits on major and security challenges are growing,
has been on providing telecommuni­ suppliers they have in common and share connected units are no longer isolated
cations services to all, regardless of the findings amongst them, thus from public access and Telenor must
background. We have sought to be increasing efficiency and leverage in make it easy for end users to safely
diligent in our own operations and supply terms of rectifying human rights risks at connect additional sensors or units to
chain follow-up. We are also concerned suppliers (see Supply Chain Sustainability their current solutions. Telenor will
by the claims in a Kaladan Press Network chapter). continue to adapt to these challenges
Report that a tower operated by a tower and provide secure solutions related
vendor to Telenor Myanmar was broken Transparency: to IoT.
into and scaled by military snipers during Telenor continued its annual reporting on
the 2017 unrest. authority requests in the access report Since 2015, Telenor has had a clear
for 2017 www.telenor.com/sustainability/ privacy position: being open and
Addressing risks: responsible-business/privacy-and-data- transparent about how personal data is
Human rights due diligence is our main protection/handling-access-requests- collected and used, committed to using
tool for understanding and mitigating from-authorities, as well as the annual personal data to provide better and more
human rights risks. Telenor regularly report on the alignment with the Industry relevant services, and thorough in
conducts this kind of analysis both at Dialogue Guiding Principles keeping personal data safe.
Group and BU levels. Following up on our www.telecomindustrydialogue.org/
pilot initiated in Q4 2017, we updated our about/guiding-principles. Telenor recognises that while
tools and processes for human rights due telecommunications generally
diligence in the first half of 2018. In the Telenor also continued to develop its contributes to freedom of expression,
second half, all BUs were trained in how transparency efforts related to its there may be challenges related to the
to use the tools and set out to conduct operations in Myanmar with a local business. In many situations, authorities
their second round of BU-level human seminar in February 2018. may have a legitimate need to require
rights due diligence (first round was in telecommunications companies to
2013–14). The process has been Looking ahead: Building on the BU level comply with requests that limit privacy or
supported by sustainability experts/ due diligence, an update of the Group- free communication. For Telenor, it is
service providers BSR to ensure tools and level human rights due diligence will be important to seek to limit the risks of
guidance is aligned with international initiated in 2019. Telenor will also priori- unlawful restrictions on privacy and
good practice. As we start 2019, the tise the multi-stakeholder efforts of the freedom of expression to the extent that
output from this process is being collated GNI and undergo our first independent we can. We therefore have strict policies
and will feed into an updated Group-level assessment of our efforts to implement that govern Telenor’s approach in
due diligence to be initiated in the first the GNI principles. responding to such requests.
half of the year.
Privacy Telenor continues to prioritise
Collaboration: Policy and actions transparency and introduces safeguards
Privacy and freedom of expression Customers expect not only real-time, against potential abuse. As described in
remained priority focus areas for 2018. relevant and individualised services, they the Human Rights chapter, Telenor
For more in-depth information on our also expect that their privacy is actively engages in the Global Network
internal efforts, please see the Privacy safeguarded. As a provider of mobile and Initiative (GNI) on freedom of expression
19 TELENOR SUSTAINABILITY REPORT 2018 RESPONSIBLE BUSINESS AT TELENOR

In 2017 and 2018, complete general privacy training.


Telenor conducted
an extensive GDPR
Readiness Project In 2018, the internal privacy governance
with the purpose of Telenor was further strengthened. As
of strengthening part of preparing for GDPR, several new
internal processes
processes to strengthen privacy work in
and preparing for the
new regulation. Telenor were introduced. Also, a central
privacy management system was
deployed to assist business units with the
required tasks.

Finally, Telenor is in the final stage of


getting its Binding Corporate Rules
approved by the European Data
Protection Board after having achieved a
consolidated text that was approved by
the Scandinavian Data Protection
Authorities in December 2018. The
central privacy team in Telenor has been
strengthened with an increase in
and privacy, as well as bilaterally with a Building a strong privacy culture in headcounts. Training has focused on
range of stakeholders as part of our Telenor is important. The business general privacy upskilling and on
collaborative effort to protect and strategy of Telenor identifies the trust of implementing improved processes to
advance freedom of association and our customers as one of the critical handle data breaches and requests from
privacy. strategic enablers. At the same time, authorities. In addition, Telenor has
Telenor believes that, going forward, our produced new internal guidelines and
Although national requirements vary dedication to privacy can develop into a tools to assist privacy and commercial
throughout Telenor’s markets, Telenor differentiator in relevant markets. The professionals in their daily work relating
strives to be transparent about how aforementioned business strategy to privacy matters.
personal data is handled. Telenor believes addresses the growing concern among
this is the best approach to ensure and customers regarding privacy by early Centralised approach to privacy
build the trust of customers and consideration of privacy in Telenor’s management:
employees. business processes and strategic In 2017, it was decided to establish a
activities. The current key objective of central privacy unit that could provide
Status and ambition this exercise is to ensure a strong level of expert privacy advice to the business
A value-driven approach to privacy: protection of Telenor customers’ data units of Telenor. This model has been
An internal project to strengthen and, in Europe, to ensure compliance with successfully implemented, and the
Telenor’s position on privacy was the European General Data Protection central privacy team today provides
concluded in 2015, which addressed both Regulation (GDPR). direct support to a number of business
how the company handles existing units. The central approach has allowed
customer data and how products are Building privacy readiness: Telenor to achieve synergies of both
designed going forward. Telenor has In 2018, Telenor has continued to scale and scope by having the
decided to take a customer value-driven strengthen its privacy function in terms opportunity to deploy privacy enhancing
approach to privacy. Customers shall get of people, processes and systems. Data initiatives on a group-wide basis
as much value as possible when they Protection Officers for all larger efficiently, and through having the
share their data with Telenor. Therefore, business units in Telenor were appointed possibility to provide support to where
whenever the company processes data prior to GDPR entering into force. All the need is the highest.
on behalf of customers, Telenor strives to privacy resources have undergone
add value to the current experience and extensive training and most Data Preparation for GDPR:
deliver more personalised and relevant Protection Officers have become CIPP In 2017 and 2018, Telenor has conducted
services. certified. In addition, in 2018 all an extensive GDPR Readiness Project
employees of Telenor were required to with the purpose of strengthening
20 TELENOR SUSTAINABILITY REPORT 2018 RESPONSIBLE BUSINESS AT TELENOR

internal processes and preparing for the constant risk of cyber-attacks. Advanced Manuals within Information Security,
new regulation. The project was threat actors are increasingly aiming to Physical Security and Services Fraud are
coordinated by the central privacy team, steal information, modify customer data regularly being updated with the
but involved resources in all relevant or make our services unavailable. As a objective of maintaining strong
European business units. The programme consequence of this, cyber security has governance related to security. With the
was closely managed by an executive become a vital part of our business. vision of protecting our customers and
steering committee that followed up on society, we work actively to further
progress in the business units towards the We now see a trend in which attackers strengthen security both strategically
centrally defined business requirements. attempt to find open doors through and operationally on Group level and in
applications and lower level the business units.
Strengthening handling of authority infrastructure to gain access. Other
requests: relevant threats are identity theft or Status and ambition
During 2018, we further strengthened our privacy breaches, ransomware, insider Telenor is committed to providing secure,
internal governance by refining threats and attacks to either alter well-functioning networks and services,
requirements for how to handle requests systems or information, or bring services and has a strong interest in doing so. Our
from authorities that may impact privacy down (denial-of-service attacks). In this customers and society in general must
and/or freedom of expression. We also context, we are increasing our efforts to have confidence in Telenor as a
developed an e-learning programme to actively protect our networks, products trustworthy supplier of safe, reliable and
accompany the updated requirements, and customer data. secure telecommunications and digital
and conducted training and workshops services.
with BU personnel. Telenor is continuously implementing
security capabilities to prevent and As we detect and prevent thousands of
Looking ahead: reduce the effect of a range of threats, attempts of cyber-attacks every year, we
Governments and regulators across including the ability to swiftly detect and are constantly developing our security
Telenor’s markets are taking new steps to respond to unwanted activities. This efforts, in line with the external and
strengthen privacy and national security includes a number of actions related to internal threat picture. We realize that
regulations and to introduce new preventive controls, including monitoring advanced security solutions are needed
measures that directly or indirectly affect and detection, vulnerability assessments to handle a wide range of cyber threats.
Telenor’s ability to manage customer and incident management and response Our foremost task is to protect our
data. This trend is expected to continue across all our business units. customers’ data in compliance with
and Telenor will also step up its focused relevant authorities and legal
work on privacy, freedom of expression The Telenor Group Security Policy and frameworks.
and security to meet both regulatory
requirements and the expectations of Telenor detects and
customers. prevents thousands
of attempts of cyber-
attacks every year,
In order to meet privacy and security
and we are constantly
challenges, the following areas will be developing our
prioritised in 2019: compliance with security efforts, in
line with the external
changes in the European General Data
and internal threat
Protection Regulation (GDPR), picture.
strengthened responsiveness to data
breaches, implementation of Privacy by
Design and Default, security operations,
vulnerability management, security
architecture, security culture, security
intelligence and physical security.

Cyber security
Policy and actions
As a network operator and a global
provider of digital services, Telenor is at
21 TELENOR SUSTAINABILITY REPORT 2018 RESPONSIBLE BUSINESS AT TELENOR

Below we set out our view on how we The global Security Training Programme employee at Telenor. A number of key
responded to the global cyber security for all employees at Telenor which started actions will be prioritised to meet the
challenge during 2018 with some of the in 2017 continued during all of 2018. The security and privacy challenges. Among
key initiatives. aim of the programme is to raise them are:
awareness related to a broad range of
In 2018, Telenor established a global security topics, such as phishing, secure • Further develop the global security
function for monitoring and incident passwords, and encryption, through a set organization across Telenor
response with the purpose of meeting the of short and interactive lessons. In • Strengthened monitoring of and
challenge of handling potential security addition, cyber security exercises have responsiveness to cyber attacks
breaches and protecting customer data, been arranged in several business units • Further integrate security into
enabling active security monitoring and to raise security awareness and strategic programmes/ projects and
incident response for all business units. awareness with top management. BU strategy roadmaps with clear
deliverables
The global function for monitoring and Externally, Telenor in 2018 actively • Further upgrade our capabilities within
incident response builds on the contributed to strategic, international the area of security operations,
capabilities of the Telenor Norway security arenas, such as the GSMA Fraud vulnerability management, security
Security Operations Centre (TSOC) and and Security Group, the Information architecture, security intelligence and
the Telenor Computer Emergency Security Forum (ISF), “Arendalsuka” in physical security
Response Team (TCERT). Through our Norway and through active membership • Further develop global delivery
global and local efforts, we continuously in the Europol Cyber Crime Centre centres, with a professionalized and
monitor our systems, analyse potential Advisory Group for Communication sustainable set-up and a demand-
findings, and implement appropriate Providers. driven operating model
mitigation and countermeasures. • Building a strong security culture,
Looking ahead: ensuring that security is integrated
During 2018, we have established a The current challenges in the cyber into everything we do
framework for defendable architecture security domain are expected to increase
enabling the majority of our business and play an even more crucial role going Climate risk and environment
units to complete technical uplifts. In forward. The industry and society will Policy and actions
order to meet increasingly global security become more digital and interconnected. Telenor is committed to protecting the
challenges, we further developed a global For Telenor, this means we continuously environment and contributing to the
operating model for security. need to strengthen our critical security prevention of climate change. We shall
capabilities and competencies and comply with local laws and internationally
Furthermore, to also protect other establish a well-functioning, global recognized environmental standards. We
customers and contribute to protecting security operating model. support environmentally friendly and
society in general at a larger scale, we energy efficient technologies and we
piloted and launched a portfolio of At the end of 2018, we recognize that seek to minimize carbon emissions from
security products and services in the Telenor has taken a big step in all parts of our operations. We recognize
Norwegian business market (Smart strengthening our cybersecurity that offering eco-efficient solutions can
Security), which has further strengthened capabilities. Our security strategy has create business opportunities.
our security position and developed new been revised to define focus and setting
revenue streams. priorities for the years 2019-23. In 2019 Climate change is today one of the
we will be working with the local business greatest challenges facing people,
In 2018, we also continued to work closely security officers to set the security businesses and governments. Climate
with our suppliers to prevent loss, misuse agenda in the business units to further related risks include potential damage
or unauthorised disclosure of confidential strengthen the security culture across all to vital infrastructure and utilities
information. This includes placing high of Telenor, and to support Telenor’s through the impact of more extreme
security requirements on suppliers, who strategic initiatives. weather events. At the same time, the
must ensure adequate levels of privacy ICT industry’s technology and smart
and security to stay in business. Telenor Going into 2019, we will explore different services through the Internet of Things
conducts a high degree of network concepts to not only create general (IoT) have the potential to cut global
monitoring. awareness regarding security, but to carbon emissions, reduce resource
enable a security culture for every intensity, stimulate economic growth
22 TELENOR SUSTAINABILITY REPORT 2018 RESPONSIBLE BUSINESS AT TELENOR

and deliver substantial social benefits. In Myanmar, Telenor


has continued its
scaling up with solar/
Telenor has over the years engaged with battery technology
the industry organisations and industry and has by year-end
partners to embrace these opportunities. 2018 more than
450 base stations in
The SMARTer 2030 report (co-financed
operation and plan
and supported by Telenor) identified a to roll-out solar/
number of sectors where the enabling battery technology to
potential of ICT can deliver significant another 1,000 base
stations in 2019.
carbon emissions reduction – up to 20
per cent by 2030 and close to ten times
the ICT industry’s own direct emissions.
This places ICT as one of the key
instruments for the achievement of the
climate commitments undertaken in Paris
and the implementation of related
national action plans.

The mobile industry will risk a continued


increase of total energy consumption and
carbon footprint as mobile operators All electronic waste is to be reused or estimated to be a total of around 1.1
continue to expand their coverage, recycled according to internationally million tonnes of CO2 when using
acquire more customers and develop recognised standards and regulations. location-based electricity emission
more mobile broadband services due to factors for the indirect scope 2 emissions
market needs. This requires significant Status and ambition - an increase of 17 per cent from 2017
amounts of electricity in the operators’ The global climate reporting organisation when comparing without our CEE
network operation which normally is CDP (formerly Carbon Disclosure Project) operations. This increase is mainly due to
supplied on-grid by national power has for 2018 rated Telenor Group in their significant increase in data traffic volume
generation companies. reporting category B (the third highest in Asia and also the significant increase in
level) which is down one scoring level network operations (58 per cent more
In Telenor’s Asian operations, the from last year. Telenor is still rated as the energy consumption compared to 2017)
company also relies heavily on diesel best telecom company with headquarters in Thailand. Further, Telenor Group’s total
used in its on-site generators to power in Scandinavia. GHG emissions in 2018 was close to 1.3
off-grid infrastructures in remote million tonnes of CO2 when using market-
locations or in areas with unreliable Energy consumption and CO2 emissions: based electricity emission factors for
on-grid power. Changing regulations, In 2018, the total data traffic volume in indirect scope 2 emissions – an increase
significant reductions in renewable Telenor’s mobile network was approxi- of 15 per cent from 2017 when comparing
energy costs and concerns about energy mately 3,700 petabytes - an increase of without our CEE operations. The market-
security will impact global energy more than 40 per cent from 2017 and based method reflects the CO2 emissions
markets. Several of Telenor’s’ Asian representing 80 per cent average annual from the electricity that a company is
operations have started to replace growth rate since 2013. In 2018, Telenor’s purchasing, which may be different from
traditional diesel-based on-site total energy consumption was approxi- the electricity that is generated locally in
generators with solar/battery based mately 3,300 GWh – an increase of 11 the country.
energy technology. per cent from 2017 when comparing
without our CEE operations. In 2018, our In the period 2012-15, Telenor’s energy
The growing demand for ICT products Asian operations consumed around 70 consumption per end customer dropped
and mobile devices, and their increasingly million litres of diesel to power base by approximately 18 per cent and the
short lifespans, has resulted in e-waste ­stations in off-grid areas or areas with associated CO2 emissions per end
becoming a significant concern and risk unreliable on-grid power. customer dropped 24 per cent in the
for the ICT industry. In this regard, all same period. In the period 2015-2018,
Telenor business units are mandated to The associated emissions of greenhouse Telenor’s CO2 emissions per end customer
secure sustainable waste management. gases in 2018 for Telenor Group has been increased by around 17 per cent due to
23 TELENOR SUSTAINABILITY REPORT 2018 RESPONSIBLE BUSINESS AT TELENOR

the significant increase in data traffic E-waste initiatives: Child online safety
volume – still representing only Mobile handset recycling initiatives have Policy and actions
approximately 6.5 kg of CO2 per customer been ongoing for several years in our Children are picking up digital devices at
per year in 2018. business units. Across Telenor, a total of ever younger ages. Faced with new
more than 315,000 mobile handsets and technologies and services, children and
Renewable energy solutions: mobile batteries were collected and young people have fewer barriers than
By year-end 2018, Telenor Pakistan has recycled in 2018. During 2018 our adults. As a result they are among those
installed solar energy solutions for more business units have reported a total of that benefit the most from connectivity.
than 850 of its base stations and is 4,100 tonnes of obsolete electrical and The technology helps children stay in
planning for an additional 160 sites in electronic equipment waste (e-waste) touch with their friends and it helps them
2019. Grameenphone in Bangladesh has that has been removed from active make new acquaintances. But in their
1,200 solar powered base stations in operations, whereas 86 per cent of this exploring, they are also often over-
place, and similarly Digi in Malaysia has e-waste has been resold or recycled in an trusting and sometimes vulnerable.
more than 40 base stations powered by environmentally sound manner. Children’s right to safety – online as well
solar solutions. Also in Myanmar, Telenor as offline – has firm backing in every
has continued its scaling up with solar/ Water consumption: society. But existing child rights
battery technology and has by year-end Compared with other industries, the mechanisms and organisations often
2018 more than 450 base stations in telecom sector does not use water struggle to deliver the support they need.
operation and plan to roll-out solar/ intensively and Telenor’s core
battery technology to another 1,000 organisation is mainly using water for Telenor does not have a direct customer
base stations in 2019. office purposes. In 2018, Telenor’s total relationship with children. But Telenor’s
water consumption was reported to be services are used extensively by children
Low carbon solutions: 0.5 million cubic meters- an increase of and young people. Every Telenor business
In 2018, Telenor Group passed more than 15 per cent compared to 2017. unit is therefore involved in efforts to
13 million SIM connected devices globally grow the resilience of young people
on its IoT platforms. Telenor Connexion, Looking ahead: online, and by 2020, Telenor Group
Telenor’s dedicated IoT company, designs Going forward, Telenor plan to scale-up companies will deliver training on how to
and operates IoT solutions for the global the use of renewable energy combined be safer online to four million children.
market that can enable smart services with continued focus on energy efficiency
with potential to cut global carbon initiatives in all of its network operations, Status and ambition
emissions. resulting in both savings in operating During 2018, training on how to be safer
expenses and reduced CO2 emissions. online has been delivered to 860,000
Environmental management: children resulting in a total of 2.2 million
More than 82 per cent of Telenor’s children and young people over recent
procurement processes with a contract years. A further goal is to contribute to
Energy and CO2 per customer
value greater than USD 250,000 used a growing a comprehensive ecosystem that
specified set of environmental criteria in kWh Kilo CO2
takes a 360° view of risks, resilience and
2018. In addition, more than 146,000 roads to recovery.
20 8
meetings were carried out in Telenor’s
15 6 During 2018, Telenor continued to
global organisation using video
conferencing and virtual meeting 10 4 develop its portfolio of initiatives
solutions in order to help reduce physical 5 2 designed to improve child online safety
travel. All business units, with the 0 0 across every country in the Telenor
2014 2015 2016 2017 2018
exception of Myanmar, have implemented footprint. Telenor entered into a new
Environmental Management Systems n Energy use per customer global partnership with Plan International
n CO2 emissions per customer
(EMS) in line with ISO 14001 and they and extended its long-standing
were all followed up in 2018. In the case partnership with UNICEF.
of Myanmar the implementation of In 2018, Telenor’s CO2 emissions per end
customer increased by around 17% due
Environmental Management System has At the local level Telenor business units
to the significant increase in data traffic
been initiated with the aim of completion volume – still only 6.5 kg of CO2 per continued to work with a range of
in 2019. customer for full year of 2018. dedicated NGOs and government
agencies, as well as specialists from law
24 TELENOR SUSTAINABILITY REPORT 2018 RESPONSIBLE BUSINESS AT TELENOR

enforcement and health. New online Since the outset


resources were completed and deployed in 2016, Telenor
Myanmar has trained
at several business units. All business over 242,000
units have worked systematically to children and young
deliver on the ambitious targets that will people to become
victims of child online
enable the company to meet the group-
threats.
wide goal of offering meaningful training
to four million children by 2020.

Curriculum:
Telenor is confident that the best way to
keep children safe is to make them aware
of the risks they are most likely to
encounter and to encourage them to
make the right choices. Finding the right
way of communicating with children is
important. Nearly all Telenor business
units are part of interactive outreach
programmes in schools. Additional to this,
Telenor also makes a range of digital
resources available, mainly to parents recognised specialists such as the opportunities while simultaneously
and children. In 2018, Telenor took Snapchat school nurse “Helsesista”. addressing economic and gender
delivery of a new interactive and The Foreldreskolen portal received inequality. It also directly addresses
progressive curriculum from Parentzone 60,778 visits in 2018. At the same time, threats associated with cyberbullying.
in the UK. Telenor Norway continued the ‘Bruk
Hue’ school outreach tour, reaching The programme, run from July to
Helplines: 21,295 students and 4,265 parents. In December 2018, was especially designed
Children will not always make the right the autumn of 2018, Telenor Norway to facilitate a safer cyberspace. It
decisions online, and many children who developed a new concept for Bruk Hue, included school outreach programmes,
face risk or harm don’t tell anyone. developed in partnership with four pilot sensitizing sessions for parents,
Telenor business units take an eco- municipalities. As at December 2018, guardians & teachers, access to online
system approach to child online safety 1,200 students had tested the new support through the Child Helpline 1098,
and it is important that children have digital ‘Bruk Hue’. a social advocacy campaign and policy
somewhere to turn when they are faced dialogue with key stakeholders.
with difficulties online, and that DiGi:
mechanisms for recovery are in place. DiGi in Malaysia continued to build their During 2018 more than 400,000 students
Child helplines play an important role in safe internet capacity-building from 209 schools were educated. The
this respect and Telenor Group has, in programme in 2018. Through its Yellow campaign also sensitized over 73,000
2018 continued to offer support to Heart Digital Resilience pillar, DiGi teachers, parents and guardians,
helplines in several countries. continued to drive solid momentum in enabling them to better children with
keeping children safe through responsible online issues. Grameenphone’s social
Telenor Norway: and resilient digital citizenship advocacy campaign had more than 10
Norwegian parents continue to express throughout the year. Over 165,000 million views and 25,000 shares.
concern for the safety of their children meaningful engagements with young
when online. Reaching out to those people across the country were initiated Telenor Myanmar:
parents, Telenor Norway continued to in 2018 via nationwide and online As a country where widespread internet
develop and post new resources at the campaigns to improve online safety and access only recently became a reality,
Foreldreskolen.no portal. Four new films reduce inequalities on the internet. low awareness of digital citizenship
were made available during 2018, causes a range of challenges. Online hate
covering such issues as sharing of nudes Grameenphone: speech and fake news have contributed
and deleting unwanted personal Grameenphone’s Child Online Safety to create mistrust in various communities.
information. These films feature initiative aims to create safe learning Telenor Myanmar’s nationwide child
25 TELENOR SUSTAINABILITY REPORT 2018 RESPONSIBLE BUSINESS AT TELENOR

online safety initiative aims to educate guidance that is made available and to Status and ambition
children and young people and to prevent ensure that the content is current and By year-end 2018 Telenor had rolled out
the digitally disadvantaged from engaging.   4G mobile technologies in all our markets.
becoming victims of online threats. Since We also engaged in 5G pilot in Norway,
the outset in 2016, Telenor Myanmar has and provided services such as fixed
trained over 242,000 students through a broadband, Internet of Things and
range of channels using Telenor Myanmar enterprise solutions in several markets.
staff volunteers, its State Liaison Officers, Aligned with the shift of customer base
the Telenor Digital School network and and traffic demand to 4G, we are
the Telenor Lighthouse Digital Literacy gradually reducing relative frequency
Training centres. In-house animated spectrum allocated to 3G and 2G. This is
video content is used extensively in the to optimally improve customer
communication with children. experience, which we do in combination
with enhancing capacity and coverage.
Telenor Pakistan: During 2018, training on how
Telenor Pakistan’s safe internet and to be safer online has been Telenor Pakistan:
school outreach programme was delivered to 860,000 children Khushaal Zamindar, which is a free-of-
extended to every province of the resulting in a total of 2.2 million charge Interactive Voice Response,
country during 2018. The training children and young people over robot-call and SMS-based service for
materials in use were designed to recent years. Pakistani farmers, continued to be further
empower beneficiaries to make safer developed and expanded in 2018. This is
choices when online. The campaign also a service that provides localised,
aimed to build awareness relating to Digital inclusion contextualised and customised weather
online abuse through play-based Policy and actions forecasts and actionable agriculture
interactive sessions and modules, A range of key services in society are now advice, including information on a range
delivered in English as well as local becoming available online. This is a of cash crops, fruits and vegetables,
languages. development that significantly reduces fodder and livestock. Khushaal Zamindar
time and cost for providers as well as was formally extended to Sindh province
The comprehensive day long training consumers of these services. At the same in December 2018. In the three first
module includes base and end line time it is noticeable how some services weeks since the formal introduction of
assessment. There was special focus on are becoming increasingly hard to access the service, 42,000 new users were
reaching the female students of the in the offline world. In this scenario the added.
cohort. Building on Telenor Pakistan’s gap between those who have quality
commitment to inclusion deaf kids were internet access and those who do not is Khushaal Zamindar partnered with IBM in
also reached through the programme in widening. April 2018 in an effort to provide farmers
2018. across the country with localized and
The importance of ensuring access for all accurate weather forecasting data. At
100,000 children received meaningful is essential to Telenor’s effort to empower year-end 2018, almost 6,000 unique
training in online safety so far during the societies. Telenor sees this development messages were sent out on a daily basis,
year. as integral with the company’s compared to less than 50 in 2017.
commitment to reduce inequalities in the
Looking ahead: societies where it operates. Clearly the Building on the success of Khushaal
During 2019, Telenor’s business units will greatest challenges relating to access Zamindar, a separate service for
continue to work towards the group-wide are in the emerging markets in South Pakistan’s female farmers was introduced
target of offering meaningful training in Asia, but the challenge of ensuring an in December 2017, called Khushaal
how to be safe online to four million inclusive internet is relevant everywhere. Aangan. The service was launched in
children. This target is to be achieved by Telenor remains committed to deliver the partnership with the Punjab Livestock
year-end 2020. benefits of digital access and outreach to and Dairy Development Board. Given the
all. cultural sensitivities in the rural setting of
As part of this effort Telenor will also draw Pakistan, which inhibit access to phones
on specialist partners, both to ensure the by females and interacting with male
quality of resources, materials and voices on the other side, this dedicated
26 TELENOR SUSTAINABILITY REPORT 2018 RESPONSIBLE BUSINESS AT TELENOR

information service aims for greater lecturers. This currently covers rice, Telenor is committed to help world
digital inclusion of smallholder female maize, cassava, sugarcane, rubber, palm leaders achieve the 2030 Agenda for
farmers. During the first year since launch oil and durian. Sustainable Development. Harnessing
of Khushaal Aangan, six million call mobile for sustainable development
minutes were consumed. Telenor Myanmar: involves applying innovation, resources
Telenor Myanmar’s digital literacy and expertise to pursue the business
dtac: ­centres, the Lighthouses, are multi-pur- opportunities inherent in building a
During 2018, dtac in Thailand continued pose online hubs for local communities in greener, more equitable and inclusive
to develop its SMART farmer project, Myanmar. They serve as digital literacy society.
which provides farmers with relevant and centres, they host child online safety
timely agricultural information straight to sessions as part of Telenor Myanmar’s At Telenor, research is instrumental in
their mobile phones. In partnership with outreach work, they are part of the com- helping the company gain insights and
the Thai Ministry of Agriculture and pany’s point of sale network and they are competencies to help connect its
Cooperatives, dtac has run extended often local printing hubs. Since customers to what matters most in their
marketing training courses nationwide to ­November 2015, more than 144,000 lives. This ambition also has a
help farmers successfully present and ­students have received digital literacy sustainability dimension. Research into
sell their products online. In 2018, 20,000 training and online safety training. Some using big datasets – the information flow
farmers were trained in online marketing. Lighthouses were discontinued, as they from digital communications analysis –
were not successful in fulfilling their role has the potential to provide important
In October 2018, dtac launched its “Farm in the local community. Other centres insights that can help tackle socio-
Man Yum” service, which is a Precision were established in the same period and economic challenges, such as the early
Farming Application. One of this 60 Lighthouses were in operation at identification and prevention of diseases.
application’s functions is to help analyse ­year-end 2018.
various datasets from the farms in order Status and ambition
to resolve any issues in a timely manner. Social innovation Digital birth registration in Pakistan:
The service was designed to meet the Digital services carry huge potential to There are approximately 60 million
needs of farmers who are reliant on improve people’s lives, with solutions that people in Pakistan who are “invisible”.
precise weather forecasts to manage and can address social, economic and They were not registered at birth and lack
plan their cultivation, increase yields and environmental problems, increase an official form of identification. The
cut costs. efficiency, contribute to close the problem of low birth registration rates in
inequality gap and empower societies. Pakistan is due to a combination of social
The service incorporates personalized and economic factors. In many areas,
weather forecasts, which show area-
specific data on an hourly basis, including In Pakistan, more than
temperature, likelihood and amount of 4,200 designated
rainfall. It can also give a seven-day government
facilitators have
forecast with the highest plot-specific
been trained to
precision available in Thailand. use Telenor’s
mobile-based birth
registration solution –
With the help of satellite imagery the
and by year end 2018,
feature also helps farmers see overall, more than 580,000
aerial shots of their plots to locate children have been
irregularities and unhealthy plants, using registered in five
districts of Pakistan.
images from an EU Sentinel and a NASA
Landsat.

Finally, a Personal Assistant Service


helps farmers understand and efficiently
plan cultivation in each crop year with
easy-to-understand infographics based
on academic data from Kasetsart
University’s Faculty of Agriculture
27 TELENOR SUSTAINABILITY REPORT 2018 RESPONSIBLE BUSINESS AT TELENOR

registering a birth can be difficult, in coverage, improve data confidentiality Bank, Wave Money began enabling
some cases nearly impossible – and security, and reduce the use of pension payments via mobile money in
especially for children born at home, in additional resources to fill, print and the first quarter of 2018. Previously,
remote locations, or in displacement. transport paper forms. The aim is to pensioners would need to be present in
reduce time taken to receive a birth person and wait for long hours to receive
Telenor, UNICEF and government registration certificate from 3–6 months their pensions in the banking hall, a
authorities have been working together down to around one month. challenge for those who are elderly and
to improve the birth registration rates sometimes sickly and weak. Wave Money
using mobile technology in Pakistan. Financial inclusion: also worked with the bank to educate
Registered children have a better chance Telenor has financial services operations pensioners on digital financial services,
of school enrolment, being immunized, in Pakistan and Myanmar, Easypaisa and assisting them to open accounts and
not being trafficked, and to be saved from Wave Money, both of them servicing the training them on usage. The pensioners
child labour and child marriage. This also mass markets. In Malaysia, Valyou serves now receive their pensions into their
means authentic and timely data for the niche segment of migrants. Wave Money wallets while in the comfort
better planning and access to public of their homes.
services. Easypaisa is supporting the Benazir
Income Support Programme that In January 2018, at the World Economic
The project was scaled up in 2018 to five provides income support to Forum in Davos, an influential group of
districts with significant investment in underprivileged families. The female CEOs from a diverse set of leading
project design and digitization of recipients are provided with a monthly multinational companies, among them
infrastructure. More than 4,200 disbursement and the beneficiaries use Telenor, formed a partnership to
designated government facilitators have mobile phones to cash out their benefits accelerate financial inclusion around the
been trained and equipped to report via a mobile money agent. The world. The programme is convened by the
births via Telenor’s mobile-based programme focuses on empowerment of United Nations Secretary-General’s
solution. By December 2018, the project women to ensure provision and family Special Advocate for Inclusive Finance
has registered 587,000 girls and boys in subsistence. Easypaisa currently for Development, Queen Máxima of the
five districts of Pakistan. The project distributes funds to approximately 1.2 Netherlands. As part of this effort Telenor
could not meet the target of 700,000 million beneficiaries under this has launched a partnership project to
registrations, given difficulties programme. provide unbanked grocery shops in
experienced in capacity building, network Pakistan with access to digital working
availability in government selected areas According to a report from Frontier capital loans.
and process delays. Learnings from 2018 Economics, Wave Money in Myanmar
have been assessed and the teams are reached over seven million people by the Telenor Health:
working to address these challenges. end of 2018. This amounts to 35 per cent Tonic is a subscription healthcare service
of the adult population, the majority of in Bangladesh that leverages mobile
Scaling birth registration to Myanmar: who were previously financially excluded. technology to help make quality
A mobile app in the hands of registering In 2018 the total volume transferred healthcare more accessible. It has three
staff can help reduce inequalities through trough Wave Money equalled appro­ main components, bundled together into
universal birth registration. That is the imately 2 per cent of the country’s GDP. an integrated offering: health insurance,
aim of Telenor and UNICEF Myanmar’s primary care, and health information. The
Mobile Birth and Death Registration Wave Money is leveraging its mobile service was launched by Grameenphone
initiative which was launched in August money platform to facilitate and Telenor Health in June 2016 and now
2018. Endorsed by the Government of humanitarian aid disbursements from has more than five million customers.
Myanmar, the pilot in Mon State, will allow World Food Programme (WFP) to
midwives to enter birth and death Internally Displaced Persons in the north Globally, 120 million families are pushed
registration on a smartphone application. of Myanmar. Not only does this massively into poverty each year due to healthcare
increase efficiencies for the WFP, it costs, with low income people having the
Although Myanmar already uses an enables access to formal and regulated most to lose from a lack of social
electronic platform to archive birth and financial services that the beneficiaries protection for health. According to a
death records, registration in townships is would otherwise not have. report from Frontier Economics, Telenor
completed on paper forms. The pilot will in Bangladesh has through Tonic Cash
use this platform to increase registration In collaboration with Myanmar Economic helped to triple the number of people
28 TELENOR SUSTAINABILITY REPORT 2018 RESPONSIBLE BUSINESS AT TELENOR

with exposure to basic health insurance. provide sufficient coverage, signal the WHO has concluded that
Even when they can pay for care, strength and data capacity to maintain ‘Considering the very low exposure levels
marginalized groups like women, the poor, the quality of service that customers now and research results collected to date,
and people in remote areas often receive expect. there is no convincing scientific evidence
lower quality health services. Tonic that the weak radiofrequency signals
Doctor has helped to address this by At all its base stations and antenna from base stations and wireless networks
providing over 300,000 quality primary installations, Telenor is committed to cause adverse health effects’.
care consultations since the start in 2016 adhering strictly to national and
– using mobile technology to reach the international guidelines for health and The WHO further states that ‘research
disadvantaged segments. safety. Across Telenor, our business units has not been able to provide support for
work in accordance with the guidelines a causal relationship between exposure
Telenor’s mobile platform is a critical provided by national regulations and the to electromagnetic fields and self-
enabler of Tonic, and all features of the International Commission on Non- reported symptoms, or “electromagnetic
service are accessed through a handset. Ionizing Radiation Protection (ICNIRP). hypersensitivity”’. However, as mobile
Tonic members receive medical advice These guidelines are endorsed by the and wireless solutions become ever more
over the phone from a licensed doctor, World Health Organisation (WHO) and ubiquitous, concerns about possible
who is able to send a prescription, book represent the basis for all our planning, health risks from the long-term use of
an appointment with a specialist, and installation work and safety measures at mobile communication solutions or from
open an insurance claim via SMS. For antenna sites. living near mobile communication towers
millions of people, the mobile phone are voiced in all the countries in which
becomes the “front door” to health. With 5G emerging, there has been an Telenor companies operate.
increase in public requests on health risks
Big data for social good: related to EMF and 5G. It should be noted A well-planned, dense grid of
In 2015, Telenor published a study from that 5G is not fundamentally different communication towers is a good way of
Pakistan in which big datasets were used than previous generations of mobile securing as low EMF emissions as possible
to map the spread of dengue fever and networks; the emitted radio signals will from customers’ mobile phones. Even
the impact of human mobility. Building on use same or similar frequencies as 4G though no harmful effects have so far
this work of mining big data for social (700-3,700 MHz) or existing micro wave been proven in research, users may take
good, Telenor Group has extended its radio connections (26,000 MHz). Hence, further precautions to limit their
collaboration with Harvard’s TH Chan existing research and safety limits are exposure, such as using hands-free
School of Public Health. Throughout fully valid also for 5G. Supplementary equipment when talking in mobile phones
2018 research has continued on our 4G/5G services like Internet of Things or use text based communication. For
three-country malaria study of the (IoT) are expected to be abundant. Such further information: www.telenor.com/
spread of malaria using mobility data. connected devices are typically sustainability/responsible-business/
Progress has been made on the transmitting very limited data volume, safe-services/mobile-phones-and-
Bangladesh and Thailand studies, whilst and with batteries expected to work for health.
work on the Myanmar study is yet to more than 10 years without charging it is
begin. a prerequisite that IoT signal emissions
will be extremely low.
Wireless communications
and health Telenor is committed to recognising and
Policy and actions respecting the public’s interest in
Mobile communications are delivered via acquiring environmental information
radiofrequency signals that are about electromagnetic fields, and striving
electromagnetic fields (EMFs). Radio to provide stakeholders with accurate
base stations are the essential part of the and relevant information relating to
infrastructure which transmit and receive installations, services and products.
those signals, and the base stations need
to be located where people use their Status and ambitions
mobile devices. A number of base As far as EMFs in the frequency ranges
stations are required, from macro sites to used for mobile communications are
small cells or in-building systems, to concerned, it is important to note that
29 TELENOR SUSTAINABILITY REPORT 2018 HOW TELENOR IMPACT SOCIETIES

HOW TELENOR IMPACT SOCIETIES

Telenor contributes to society by inequalities in at least two critical ways: taxation matters, including OECD
­innovating vital digital services, providing by providing low-cost communication to measures for country-by-country
modern infrastructure, creating jobs, pur- the poorest, and by raising social and reporting and automatic exchange of
chasing local goods and services, and by work standards across the value chain. information.
being a responsible taxpayer. Our digital
solutions empower individuals, and Our business impacts social standards Governance
enhance the productivity of other comp­ positively when we exercise good Telenor Group has an internal Policy on
anies. Information and communication corporate governance with sustainable Tax, approved by the Group President &
industries have been engines of growth business conduct that influences social CEO. The Policy is owned by the Group
and transformation since digital services work conditions across the national Chief Financial Officer (CFO), who is
took off three decades ago. Improved economy. responsible for the tax strategy, the
productivity has induced price reductions supporting governance framework, and
on digital equipment and services, to the Tax contribution for managing tax risk. Day-to-day
benefit of consumers and business. Our commitment responsibility in these areas rests with
Across the globe, digital services have Telenor Group aspires to be a trusted the Group Head of Tax, who reports to the
become more standardized, more acces- company, recognised for strong business CFO and communicates our tax strategy
sible, and better. The digital revolution ethics. It is our ambition to contribute to throughout the group. Furthermore,
brings all on a more equal footing. economic, environmental and social Telenor´s Code of Conduct is the
development in countries where we are backbone that sets ethical standards for
Investments in digital infrastructure lay present, acting with accountability and how we all conduct our business,
the foundation for innovation and growth transparency. We understand the including our tax obligations.
in the future. Mobile networks and importance of taxes supporting this
services are a key contributor to the development, and take a responsible Transparency
development of new industries and jobs in approach respecting our tax obligations. We shall be open and transparent with
our markets. In 2018, Telenor took tax authorities about our tax affairs, and
decisive steps to expand innovation We recognise the sovereign right of all provide the information that is necessary
within the Internet of Things (IoT) and States to amend existing or introduce for those authorities to perform their
Artificial Intelligence (AI) with external new tax legislation, and we support a work in a collaborative, courteous and
partners. Norway initiated trial 5G stable and transparent fiscal timely manner.
network testing and rolled out nationwide environment that is based on universal
4G connectivity for Internet of Things tax principles, levying taxes based on We support initiatives to improve
(IoT) devices. Telenor took direct part in predictable legislation applied by international tax transparency, including
Artificial Intelligence (AI) labs in Norway objective authority, and tested by OECD initiatives and country-by-country
(Trondheim) and Thailand (Bangkok). Our independent court systems. Our aim is to reporting and exchange of information.
companies facilitated start-up engage constructively in dialogue with Since 2014, Telenor Group has communi­
accelerators for local innovators and relevant authorities on tax legislation, cated a sincere commitment to corporate
entrepreneurs in all our Asian markets. such as reviews of tax rules and the need responsibility by voluntarily reporting
for changes. We support initiatives to country-by-country incomes and tax
The mobile industry can help reduce improve international transparency in contributions.
30 TELENOR SUSTAINABILITY REPORT 2018 HOW TELENOR IMPACT SOCIETIES

In 2015 Telenor published an external Telenor supports


public position paper titled “A fiscal governments in
their efforts to forge
environment for digital inclusion and national digital
economic growth through fiscal stability”, programmes and
and in 2017 we published a “Tax strategy” telecom frameworks.
During 2018, we
in order to be in compliance with UK law.
supported such
efforts in the
Ambitions European Union,
Telenor Group shall be a prudent Bangladesh and
Myanmar.
taxpayer worldwide, and is committed to
ensure compliance with all relevant legal
tax filing, reporting and payment
obligations globally. We recognise a
responsibility to pay the correct amount
of tax in each of the jurisdictions in which
we operate.

Telenor Group aims to apply diligent


professional care and judgement,
including ensuring that decisions are
taken at an appropriate level and owner on any subsequent with substantial local value creation
supported by documentation that developments. through domestic distribution networks,
evidences the judgements involved. vendor contracts, and civil works. We
External advice may be sought in relation Economic contribution to society engage in domestic innovation in the
to areas of complexity or uncertainty to This chapter summarizes Telenor’s digital ecosystem, support the
support the Group in complying with its economic contribution to society, our development of domestic services and
tax strategy. country-by-country tax contributions, apps, and assist entrepreneurship from
and our specific contribution to reduced below.
In international matters, we shall follow inequalities. Our economic impact
the terms of the relevant Double Taxation includes our own direct value creation, We support governments in their efforts
Treaties and relevant OECD guidelines in demand for goods and services from to forge national digital programmes and
dealing with such issues as transfer vendors and civil works, contributions to telecom frameworks. During 2018, we
pricing and establishing taxable growth in the digital ecosystem, services supported such efforts in the European
presence. We may respond to tax that enhance the productivity of other Union, Bangladesh and Myanmar, and
incentives and exemptions, and aim to companies and industries, and fiscal engaged in dialogue on digitalization and
avoid double taxation. contributions to the national treasury via reform with governments in all our
taxes and fees. Last but not least, we markets. We believe data is essential for
Contracts entered into between separate believe that the mobile industry the global economy, and there should be
legal entities within Telenor Group shall contributes to reduce inequalities in maximum free flow of data across borders
be documented and be in accordance society. with due provision for privacy and
with the arm’s length principle. national security. Over the last two years,
Policy and actions we have launched public policy positions
We aim to manage tax risk in the same Telenor is dedicated to enhance that make public our views and advocacy
way as any other operational risk across infrastructure and services that support pillars on mobile spectrum management,
the Group. Business heads will generally economic development and welfare. We 5G, taxation, net neutrality, and free flow
take the lead role in identifying, are a long-term investor, employer and of data.
managing and monitoring tax risks taxpayer. Telenor supports the
within the business. Business heads are sustainable and competitive award and Telenor has reported on country-by-
required to immediately notify the Tax use of radio spectrum resources to country earnings, investments, taxation
Policy owner regarding matters that support the increasing demands for and employment since 2014. We engage
may represent a tax exposure, and mobile broadband capacity. We devise a with authorities in a transparent manner,
continuously update the Tax Policy local approach to infrastructure rollout providing information on our business in
31 TELENOR SUSTAINABILITY REPORT 2018 HOW TELENOR IMPACT SOCIETIES

line with national legislation and reduced in some countries over the last
international convention. In the same few years, which will have an impact on
manner, we encourage national our payable taxes. Entering 2018, Norway
governments to promote transparency again reduced the corporate income tax
and openness on economic legislation, rate, now from 24 per cent to 23 per cent.
fiscal and market regulation, and to take In Pakistan, the government started a
administrative decisions that enhance a gradual reduction of the “Super Tax” on
level playing-field and safeguard the rule profits by reducing the rate from 3 per
of law. cent to 2 per cent. But taxes on
production such as Corporate Income Tax
Status and ambitions (CIT), Super Tax, Minimum Tax, etc, are
A company contributes directly to the only a part of our total tax contributions
economy through investments, wages, – we also pay substantial taxes on
taxes and fees. Mobile communication products. These include several
makes up a vibrant and increasingly regulatory taxes and fees, Value Added
complex ecosystem that employs millions Tax (VAT), General Sales Tax (GST), and
in our markets and our technology customs duties. In addition, several
supports productivity increases across countries levy various Withholding Taxes,
many industries as well as the public Service Taxes, Revenue Sharing, etc. In
sector. In 2018, Telenor invested NOK the Nordic countries there is hardly any
31.4 billion (NOK 22.6 billion in 2017) sector-specific taxation, while in Asia
from a total revenue of NOK 110.4 billion sector taxation often exceeds the
(NOK 112.1 billion in 2017), adding up to magnitude of universal taxes that pertain
an investment ratio of 28.4 per cent (20.2 to all industries.
per cent in 2017).

For Telenor Group as a whole, corporate


income tax is paid in those countries
where we have our operations. The
corporate income tax rate has been

COUNTRY-BY-COUNTRY REPORTING
Financial Year 2018

Corporate
Profit income tax Employees
*NOK in millions Revenues* EBITDA* Capex* before taxes* (CIT) paid* total per 31.12

Norway 31,310 10,025 4,981 3,032 1,370 5,164

Sweden 14,551 5,489 2,000 4,200 684 1,842

Denmark 5,546 1,258 444 483 111 1,547

Pakistan 7,394 4,369 1,159 2,111 832 2,321

Bangladesh 12,909 8,026 3,300 5,673 2,010 2,769

Myanmar 5,814 2,209 1,085 661 147 963

Thailand 18,835 5,232 16,562 (1,094) (268) 4,245

Malaysia 13,296 6,297 1,651 4,491 1,086 1,803

Telenor Group 110,362 42,247 31,245 18,847 6,180 20,832

This table specifies the most important elements of Telenor’s direct economic contribution country-by-country. It includes Telenor’s
revenues, EBITDA, capital expenditure, the corporate income taxes paid in 2018 and the number of employees. The table does not specify
all taxes and fiscal levies – only Corporate Income Tax (CIT) is included.
32 TELENOR SUSTAINABILITY REPORT 2018 SDG IMPACT ASSESSMENT

SDG IMPACT ASSESSMENT

United Nations Sustainable inequalities (SDG 10). These include utilise the power of mobile connectivity
Development Goals providing access to health (SDG 3) and to improve the lives of children, women,
Mobile technology can play a key role in education (SDG 4), ensuring women’s full and young people. Plan International is
achieving the United Nations Sustainable and effective participation and equal helping to maximise the benefits of ICT,
Development Goals (SDGs). When used opportunities (SDG 5), raising standards with a particular focus on empowering
responsibly, mobile technology can be in our supply chain (SDG 8), and providing girls.
used as a tool to promote human rights, a legal identity for all (SDG 16). The
create new opportunities, and enable recognition of the capacity for Our partners elevate our impacts on the
sustainable development. However, connectivity to reduce inequalities SDGs, through initiatives such as mobile
connecting people to social and through multi-SDG impact initiatives is birth registration, improving children’s
economic resources for sustainable reflected in our purpose statement: online resilience, protecting workers in
development isn’t just the right thing to Connecting you to what matters most. our supply chains, supporting farmers,
do, it’s good business. Empowering societies. and creating equal opportunities in a
diverse workforce.
Telenor is committed to all 17 of the UN Telenor also systematically monitors its
SDGs, but has a strategic focus on operational risks – such as network We are pleased to share our progress on
"Reduced Inequalities" (SDG 10) which energy consumption, proper handling of many of our initiatives in this
has concerningly been trending in the electronic waste, children’s online safety, sustainability report.
wrong direction. Our approach to and more which can be read throughout
In 2016, we set ambitions to meet by 2020
reducing inequality rests on two pillars: this sustainability report and online at
Seven million digital birth registrations
delivering wider access to our services; telenor.com/sustainability.
Achievement by year-end 2018: 587,239 8%
and raising standards across our
Four million children receive training in online safety
operations. Through this approach, we Partnerships for the goals
Achievement by year-end 2018: 2,200,000 55 %
are determined to connect the many, not Telenor believes strongly that
100,000 hours of capacity building
the few. partnerships are fundamental in
Achievement by year-end 2018: 110,000 >100%
maximising impact in the spirit of SDG 17,
Recognising the interconnectedness of ‘Partnerships for the Goals’. Amongst Telenor is not on track to meet the birth registration
target. This is due to challenges in 2018 with the Digital
all 17 SDGs, Telenor has initiated numerous strong relationships globally Birth Registration project in Pakistan, including difficul-
programmes that address multiple goals with governments, businesses, and civil ties with training, network availability in government
selected areas, and process delays. Learnings will be
and targets.Through this range of society, Telenor has two long-term incorporated going forward and discussions with global
partners will help determine how to proceed the project
initiatives, Telenor is inducing positive partners who support and motivate our in Pakistan.
impacts on societies and reducing efforts on SDG 10: UNICEF seeks to

TELENOR’S POSITIVE IMPACT ON THE SDGS

Low High
33 TELENOR SUSTAINABILITY REPORT 2018 SDG IMPACT ASSESSMENT

MAPPING TELENOR’S SDG IMPACT

The graphic below describes a number of Telenor’s sustainability initiatives towards the SDGs, indicating
how each of the initiatives impacts specific goals and targets within the SDG framework (Telenor’s impact
proportional with size of the SDG boxes below). Telenor aims to reduce inequalities through all initiatives
that are implemented. You can read more about sustainability at Telenor at telenor.com/sustainability.

Decent work and economic growth


Telenor strives for continuous improvement in its operations throughout the
supply chain. It is mandatory for all Telenor contracting parties to agree to
the Supplier Conduct Principles which include requirements on the respect
for human rights, health and safety, labour rights and working conditions,
conflict minerals, environment, privacy and freedom of expressions and
prohibited business practices. Read more on page 15.

Responsible consumption and production


Recognising the growing impacts of electronic waste, Telenor’s
business units have continued to offer consumer recycling
services, with 315,000 mobile handsets and batteries recycled in
2018. Read more on page 23.

Reduced inequalities
Reducing inequalities is fundamental to Climate action
our core business strategy and purpose. We Telenor has a strong commitment to protecting the
believe connectivity is key to closing the environment and mitigating climate change, and
inequality gap. continued to seek low-carbon alternatives in our
operations throughout 2018. Read more on page 22.

Affordable and clean energy


Connecting the world requires a lot of energy - in 2018, total energy
consumption reached 3,300 GWh - an increase of 11 per cent from
2017 when comparing without our CEE operations. Telenor is exploring
energy-efficient technologies and renewable energy systems to reduce
the climate impact of our operations. Read more on page 22.

Good health and well-being Gender equality


Telenor is committed to improving gender equality
Via subscription healthcare services like Grameenphone’s
throughout the company, ensuring that 30% of leadership
Tonic, Telenor is leveraging digital services to expand access
positions are filled by women by 2020. Telenor’s Khushaal
to fundamental rights such as medical care and health
Aangan initiative in Pakistan aims to empower Pakistan’s
insurance. Read more on page 27.
female farmers with an Interactive Voice Response informa­
tion service which provided six million call minutes in its
first year. Read more on page 25. Wave Money’s financial
Quality education education mobile gaming application ‘Shwe Toe’ was also
In Myanmar, Telenor’s 60 Lighthouse Digital Literacy launched in 2018, and has been downloaded 4,000 times.
Centres teach internet skills to community members The application aims to address gender equality by educating
of all ages, and educate children on safe online women on complex financial concepts in a simple, fun and
behavior. Read more on page 26.. memorable way.
34 TELENOR SUSTAINABILITY REPORT 2018 SDG IMPACT ASSESSMENT

LEVERAGING DIGITAL SERVICES TO EMPOWER SOCIETIES


Digital connectivity enables opportunities for financial inclusion,
empowered societies and promotion of human rights.

FINANCIAL INCLUSION SDGs addressed


Telenor’s financial inclusion initiatives, such as Wave Money Telenor’s financial inclusion initiatives impro-
in Myanmar and Easypaisa in Pakistan, use widespread mobile ve access to convenient and secure financial
technology to connect people to secure and accessible banking. services (1.4, 8.10, 10.5) and facilitate secure
In 2018, Wave Money served over seven million customers - or transfers of migrant remittances (10.C). Wave
roughly one-third of the adult population - many of whom have Money is collaborating with the World Food
not previously had access to banking services. Easypaisa distri- Programme and Easypaisa is collaborating
butes funds to around 1.2 million beneficiaries as a supporting with Tameer Microfinance Bank to form part-
initiative of the Benazir Income Support Programme which nerships for financial services (17.16).
provides income support to underprivileged families.

MOBILE BIRTH REGISTRATION SDGs addressed


In Pakistan, nearly 10 million children under the age of five have Mobile Birth Registration provides a legal
no legal identity. In partnership with UNICEF and local autho- identity for all (16.9) which drives inclusion
rities, Telenor Pakistan has developed an app that allows for and reduced inequality (10.2, 10.3). It also
children and babies to have their birth formally registered using affords access to education (4.1), social
mobile technology. By the end of 2018, 580,000 children had security (1.4), and protection from traffick-
been registered in Pakistan, and the initiative has been piloted in ing (16.2). Telenor contributes to SDG 17 in
Myanmar since August 2018. partnership with UNICEF and the government
of Pakistan (17.16).

Challenges Increased access does not always ensure more equal outcomes. Vigilance and proactive measures are needed to protect vulnerable groups and help them
maximise benefits of connectivity. Read more about how Telenor addresses digital inclusion and social innovation on pages 25 and 26.

REDUCING INEQUALITIES BY RAISING STANDARDS


Raising standards is an opportunity to protect and promote human rights,
improve working conditions, and create inclusive societies.

OPEN MIND SDGs addressed


Telenor’s Open Mind programme gives people with disabilities a Telenor’s Open Mind programme contributes
pathway into diverse and inclusive workplaces through a year- to providing meaningful work for everyone,
long placement at Telenor. In Norway, Sweden and Pakistan, regardless of ability. By achieving this out-
Open Mind provides workplace training and capacity building for come, we can promote social, economic and
individuals with physical and/or mental disabilities, with the aim of political inclusion, and ensure equal oppor-
helping them secure paid work. Roughly three-quarters of partici- tunity for all. In Norway alone, more than 240
pants have gone on to full-time work at Telenor or a similar com- people have successfully graduated from the
pany. Open Mind in Norway is unique in that it also incorporates a programme. In, Pakistan 73 have graduated
work-integration programme for non-EU immigrants in Norway. from the programme since its inception in the
country

RAISING STANDARDS IN SUPPLY CHAINS SDGs addressed


Telenor is working to raise standards throughout the entire supply Supply chain capacity building helps to
chain of 1.2 million employees in Scandinavia and Asia, and Telenor protect workers throughout the supply chain
organised over 20,000 hours of capacity-building initiatives in (8.8) and achieve higher levels of productivity
2018. Training sessions inform workers about labour rights, health per person (8.2) while also empowering all
and safety, sustainability requirements, and empowerment of workers (10.2) irrespective of gender or other
women in the workforce. Compliance is also monitored, and Telenor status.
carried out approximately 3,500 inspections in 2018, mostly unan-
nounced. Telenor also works collaboratively with other telecom-
munications operators in the Joint Audit Cooperation (JAC) to raise
standards of global suppliers.

Challenges The supply chain holds internal and external risks. As with all workplace training plans, there is a risk that advice and training will not be followed. The decent
workplace extends to employee transportation, where road safety poses a challenge. See pages 14 and 16 for what Telenor is doing with compliance monitoring and road safety
capacity building.
35 TELENOR SUSTAINABILITY REPORT 2018 SDG IMPACT ASSESSMENT

SKILLS FOR A DIGITAL FUTURE


Dedicated to supporting digital citizenship, Telenor is equipping children and adults with
the skills and knowledge to manage the benefits and risks that come with being online.

CHILDREN’S ONLINE RESILIENCE SDGs addressed


To protect children from online bullying, Telenor initiated Bruk Telenor educates children and adults on safely
Hue in 2009. As of 2018, Bruk Hue has reached 21,000 students navigating the internet, combatting digital
and 4,000 parents in Norway about bullying and netiquette. abuse and online violence against children
Bruk Hue was the first initiative under Be Smart Use Heart, the (16.2), and making sure that they acquire the
group-wide brand supporting online child safety. Initiatives in all knowledge and skills to promote a digital cul-
other business units have since followed. By year-end 2018, trai- ture of peace and non-violence (4.7). Be Smart
ning had been delivered to more than 2.2 million young people. Use Heart contributes to making the internet a
safe and inclusive environment for all (10.2).

DIGITAL ACCESS AND OUTREACH SDGs addressed


Telenor Myanmar’s digital literacy centres, the Lighthouses, are Telenor trains young people and adults,
multi-purpose online hubs for local communities in Myanmar. helping to achieving digital literacy (4.6). The
They provide smartphone and computer-based literacy training Lighthouses contribute to safe, inclusive on-
and online education to communities in rural areas, in addition line environments (10.2) and support positive
to hosting child online safety sessions as part of Telenor Myan- economic, social, and environmental links
mar’s outreach work. Since 2015, more than 144,000 students between urban, per-urban and rural areas.
have received digital literacy and online safety training. At year-
end 2018, 60 Lighthouses were in operation.

Challenges Skills for a digital future for all require tailor-made and targeted efforts for specific groups. Children are particularly vulnerable because they are picking up
technology at ever-younger ages, and can also be over-trusting. Read more on page 24.

USING DATASETS FOR SOCIAL AND ENVIRONMENTAL GOOD


Data generation and management is increasing in scale and scope, making it
possible to predict disease spread, optimise farming, and much more.

BIG DATA FOR DISEASE FORECASTING SDGs addressed


In 2015, Telenor used anonymised datasets from more than 30 Telenor converts digital data into tangible
million mobile subscribers to map the spread of dengue fever disaster management tools for limiting the
and the impact of human mobility, which can help local autho- spread of diseases (3.3), with projects in
rities predict and decrease fatalities. Telenor is now working on Thailand, Myanmar and Bangladesh. This use
a study to map the spread of MDR malaria using anonymised of data supports statistical capacity building
mobility data. Progress has been made on the Bangladesh and in developing countries (17.8, 17.19).
Thailand studies, whilst work on the Myanmar study will begin in
due course.

SUPPORTING SMART FARMERS SDGs addressed


Telenor is strengthening farmers’ resilience towards global The initiatives drive productivity and entrepre-
challenges such as climate change. Dtac’s SMART Farmer project neurship in small-scale farming enterprises
provides farmers with real-time agricultural information straight (8.2, 8.3), promote the adoption of ICT in less
to their mobile phones. In 2018 dtac launched “Farm Man Yum”, developed countries (9.c), and help to build
a precision farming application, and also trained 20,000 farmers resilience against a changing climate (13.1,
in online marketing. Telenor Pakistan’s Khushaal Zamindar 13.3). These initiatives arose from partnerships
provides farmers with hyper-localised weather information via between the government, businesses, civil
SMS, and has 5 million monthly active users. Khushaal Aangan, society and Telenor. (17.16).
for female farmers, has 150,000 active monthly users.

Challenges With increasing quantities of data comes an increasing responsibility to store the data in energy efficient and secure data storage centres. See page 22 for how
Telenor is addressing carbon emissions.
36 TELENOR SUSTAINABILITY REPORT 2018 SUSTAINABILITY ANALYTICS / NON-FINANCIAL DATA

SUSTAINABILITY ANALYTICS / NON-FINANCIAL DATA

Analytical tool with a new and improved structure and review of the Sustainability Report 2018,
A deep dive into Telenor’s sustainability format. The standards are issued by the in particular to assess the accuracy of
performance figures is available by Global Sustainability Standards Board claims. The engagement has been
downloading the Telenor Group (GSSB), and we use them to report undertaken in accordance with the
Sustainability Performance Analytical publicly on our impacts on the economy, requirements in the ISAE 3000 standard
tool 2018 where figures are separated per the environment and society. GRI as well as DNV GL’s general method for
business unit and covers 2012–2018 represents a universally applicable, assessments of sustainability reporting.
www.telenor.com/sustainability- comparable framework which facilitates
performance-analytical-tool. transparency and accountability.
Telenor’s GRI index can be found here:
GRI index www.telenor.com/sustainability/
Telenor reports its sustainability reporting/gri-index.
performance in accordance with the GRI
Sustainable Reporting Standards. These Verification statement
standards incorporate the key concepts DNV GL has been commissioned by
and disclosures from GRI G4 guidelines Telenor to carry out an independent

Fornebu, 19 March 2019

Gunn Wærsted Jørgen Kildahl


Chair Vice Chair of the Board

Jon Erik Reinhardsen Jacob Aqraou Grethe Viksaas Sally Davis Roger Rønning
Board member Board member Board member Board member Board member

René Richard Obermann Sabah Qayyum Harald Stavn Sigve Brekke


Board member Board member Board member President & CEO
37 TELENOR SUSTAINABILITY REPORT 2018 ASSURANCE STATEMENT

ASSURANCE STATEMENT

Independent Limited Assurance Report


to the Directors of Telenor ASA

Scope of engagement
Telenor ASA (“Telenor”) commissioned DNV GL Business Assurance Norway AS (“DNV GL”, “us” or “we”) to conduct a limited assurance
engagement over selected information presented in their 2018 Sustainability Report (the “Report”) for the reporting year ended 31st
December 2018.

Selected Information
The scope and boundary of our work is restricted to a review of claims within the Report sections (the “Selected Information”) listed
below:

 Statement from the CEO o Cyber Security


o Statement from the CEO o Climate Risk and Environment
 Sustainability at Telenor o Child Online Safety
o Responsible Business Conduct o Digital Inclusion
o Strategic Focus on Reducing Inequalities o Social Innovation
o About the Report o Mobile Phones & Health
 Responsible Business at Telenor  How Telenor Impact Societies
o Corporate Governance o SDG Impact Assessment
o Reporting and Stakeholder Engagement o Tax Contribution
o Code of Conduct o Economic Contribution to Society
o Ethics and Anti-Corruption Programme  Other
o Employee Involvement o Sustainability analytics/non-financial data
o Developing a Diverse Workforce with the exception of:
o Health, Safety and People Security
o Supply Chain Sustainability  any financial claims in the section “Economic contribution
o Human Rights to society”.
o Privacy
Please see : https://www.telenor.com/wp-content/uploads/2019/03/Claims-assured-by-DNV-GL-20190320.pdf for a detailed list of all
claims that have been reviewed.

Relevant data and activities between 1st January 2018 and 31st December 2018 were sampled to check for consistency between claims
and actual performance. To assess the claims, which includes an assessment of the risk of material misstatement in the Report, we
have used Telenor’s reporting criteria (the “Criteria”), which can be found here https://www.telenor.com/wp-
content/uploads/2018/03/Telenor-non-financial-reporting-criteria.pdf

We have not performed any work, and do not express any conclusion, on any other information that may be published in the Report or
on Telenor’s website for the current reporting period or for previous periods.

Our conclusion
Based on the procedures we have performed and the evidence we have obtained, nothing has come to our attention that causes us to
believe that the Selected Information presented in the Report is not fairly stated and has not been prepared, in all material respects, in
accordance with the Criteria.

This conclusion relates only to the selected information and is to be read in the context of this Assurance Report, in particular the
inherent limitations explained below.

Standard and level of assurance


We performed a limited assurance engagement in accordance with the International Standard on Assurance Engagements (ISAE) 3000
revised – ‘Assurance Engagements other than Audits and Reviews of Historical Financial Information’ (revised), issued by the
International Auditing and Assurance Standards Board. This standard requires that we comply with ethical requirements and plan and
perform the assurance engagement to obtain limited assurance.

1
38 TELENOR SUSTAINABILITY REPORT 2018 ASSURANCE STATEMENT

DNV GL applies its own management standards and compliance policies for quality control, in accordance with ISO/IEC 17021:2011 -
Conformity Assessment Requirements for bodies providing audit and certification of management systems, and accordingly maintains a
comprehensive system of quality control including documented policies and procedures regarding compliance with ethical
requirements, professional standards and applicable legal and regulatory requirements.

The procedures performed in a limited assurance engagement vary in nature and timing from, and are less in extent than for, a
reasonable assurance engagement; and the level of assurance obtained is substantially lower than the assurance that would have been
obtained had a reasonable assurance engagement been performed. We planned and performed our work to obtain the evidence we
considered sufficient to provide a basis for our opinion, so that the risk of this conclusion being in error is reduced but not reduced to
very low.

Basis of our conclusion


We are required to plan and perform our work in order to consider the risk of material misstatement of the Selected Information; our
work included, but was not restricted to:
˃ Assessing the appropriateness of the Criteria for the Selected Information;
˃ Conducting interviews with Telenor’s management to obtain an understanding of the key processes, systems and controls in
place to generate, aggregate and report the Selected Information;
˃ Several visits to Telenor’s head office in Oslo to review processes and systems for preparing market-level data consolidated at
group level;
˃ Performing limited sample testing of the Selected Information to check that data had been appropriately measured, recorded,
collated and reported; and
˃ Reviewing that the evidence, measurements and their scope provided to us by Telenor for the Selected Information are prepared
in line with the Criteria.

Inherent limitations
All assurance engagements are subject to inherent limitations as selective testing (sampling) may not detect errors, fraud or other
irregularities. Non-financial data may be subject to greater inherent uncertainty than financial data, given the nature and methods
used for calculating, estimating and determining such data. The selection of different, but acceptable, measurement techniques may
result in different quantifications between different entities.

Our assurance relies on the premise that the data and information provided to us by Telenor have been provided in good faith. DNV GL
expressly disclaims any liability or co-responsibility for any decision a person or an entity may make based on this Assurance Report.

Our competence, independence and quality control


DNV GL established policies and procedures are designed to ensure that DNV GL, its personnel and, where applicable, others are
subject to independence requirements (including personnel of other entities of DNV GL) and maintain independence where required by
relevant ethical requirements. This engagement work was carried out by an independent team of sustainability assurance
professionals. Our multi-disciplinary team consisted of professionals with a combination of environmental and sustainability assurance
experience.

Responsibilities of the Directors of Telenor and DNV GL


The Directors of Telenor have sole responsibility for:
- Preparing and presenting the claims in accordance with the Criteria;
- Designing, implementing and maintaining effective internal controls over the information and data, resulting in the
preparation of the claims that is free from material misstatements;
- Measuring and reporting the claims based on their established Criteria; and
- Contents and statements contained within the Report and the Criteria.
Our responsibility is to plan and perform our work to obtain limited assurance about whether the Selected Information has been
prepared in accordance with the Criteria and to report to Telenor in the form of an independent limited assurance conclusion, based on
the work performed and the evidence obtained. We have not been responsible for the preparation of the Report.

DNV GL Business Assurance Norway AS


Oslo, Norway
25th March 2019

2
www.telenor.com

2191041 • Bolt Communication AS • boltcommunication.no

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