Communities & Relationships
Community contribution by motivation for investment
Overall community contributions were $5.2 million in FY21. During FY21, we made improvements to the way in which we account for community contributions, to provide further alignment with the Business for Societal Impact’s (B4Si) framework, a recognised global standard for measuring and managing social impact. The inclusion of the Energy Literacy Program in the FY21 data (following improvements made to the processes for identifying and gathering social investment data across the organisation) contributed to the increases in the commercial initiatives and community investment categories. In addition, many community contributions that were categorised as charitable donations in FY20 have been classified as community investments from FY21.
Data includes the AGL Energy matched component only of donations raised through Employee Giving and fundraising events, and not the donations made by employees. Matched amounts are included in the year in which the employee donations were made (though the matched payment may have been made after the close of the financial year).
The motivation types are based on the Business 4 Societal Impact (formerly LBG) framework, and comprise:
Charitable donation – If the contribution is made out of a sense of moral responsibility or in response to society’s expectations.
Community investment – If the contribution is made out of a belief that companies have a long-term interest in fostering a healthy community in the areas in which they operate. This is often considered enlightened self-interest.
Commercial initiative – If the contribution is part of a program that is designed to provide direct benefits to the company, including stronger brand image, increased profitability, reduced costs and improved customer loyalty.
Prior to FY21, naming rights retail sponsorships were included however from FY21 they are no longer included to provide greater alignment with the B4Si framework.
FY21 data includes management costs in line with B4Si guidance. Management costs have not been included in prior years. In FY21 management costs were approximately $1.6m.
FY21 data includes investments accrued in the financial year.