MAJOR CHALLENGE Water CLIMATE CHANGE IS MAKING WATER A SCARCE COMMODITY. WE THEREFORE NEED TO USE WATER MORE RESPONSIBLY AND EFFICIENTLY, BOTH AS A COMPANY AND PERSONALLY IN OUR DAILY LIVES READ MORE READ MORE Catalonia has been suffering from a persistent drought for several seasons. The Catalan government activated its Drought Plan in 2022 and has since then imposed restrictions on water use. The goal in 2023 was to reduce consumption for industrial use by 15% compared to the average over the last three years. At SEAT S.A. we managed to go further, thanks to the implementation of optimisation and efficiency measures in all areas, ending the year with a 21% reduction compared to the previous year. Aware of the environmental challenges we face, and as part of our strategic pillar of sustainability, one of our priority commitments is to reduce water consumption. We have been working on this for several years by implementing specific measures that have proven to be effective: we have reduced water consumption per car by almost half since 2010 (-45%). But we need to reduce water use even further, improving efficiency and reusing it where possible. Some of the most prominent measures include the modification of temperature and humidity parameters in the paint booths. We have reduced water use for humidifying during the painting process by making the booths work at a lower temperature and with a lower level of humidity during the winter, and the reverse during the warmer months, in other words, at a higher temperature and with more humidity. Also of note is the installation of electric compressors to temporarily replace the cooling towers at Martorell. The towers operate by evaporation and therefore involve the consumption of water, which is released into the air. Another important project in 2023 introduced changes to the rain test, which is carried out on vehicles during Final Assembly and Revision to ensure that they are watertight before they reach the end customer. This was previously done in three phases, but we have managed to reduce it to one while still ensuring the quality of the process. The drought crisis has worsened this year. Despite spring rains, water reserves remain low. This means that at SEAT S.A. we need to increase the reduction target to 25%. If our strategy since 2010 has essentially focused on reducing use, in 2024 we also included in our focus increasing the recirculation of water already used in previous processes, applying treatments to purify it before using it again. At the same time, we are reinforcing communication and awareness because, apart from the major measures related to our production processes, there are everyday actions that make a difference. For example, washing hands wastes between 2 and 18 litres of water. The difference in this wide range is whether or not we turn off the tap. It is a major challenge, but no gesture is small. Together we can make sure that not a drop is wasted. —