Climate change, as the effects of which we feel more and more as a result of global warming, increases the frequency of unusual weather events. This process also seriously affects water resources. As Tofaş, we focus on reducing our water use and water footprint with a conscious perspective of our resources. We try to reduce the amount of water we use by efficiently managing our water and wastewater systems.

We are working on various solutions and applications to improve our water use continuously. We aim to ensure the sustainability of our water resources by conducting regular analysis studies.

Tofaş Sustainability Committee determines and monitors all water-related strategies. At the same time, our Sustainability Working Group is responsible for strategic decision-making processes regarding sustainability management, and reports directly to the Sustainability Committee, which is led by the CEO.

The Environmental Health and Safety Manager is a member of the Sustainability Committee and the Sustainability Working Group leader. They manage all water-related issues, including risks and opportunities at the operational level. The Environmental Health and Safety Manager also closely monitors issues such as water consumption and wastewater treatment and ensures that they are managed in the best way possible.

We benefit from treated underground water resources in all our production processes. Our water use, which was 788,444 m3 in 2020, decreased to 776,732 m3 in 2021.

Our water management approach is shaped in line with our principle of efficient water usage.

Due to its potential negative effect on biodiversity, wastewater management is critical to understanding water management. Wastewater generated as a result of our activities is recycled at the maximum level in our modern treatment facilities. We discharge our wastewater to receiving environments with amounts below the limit values specified in the discharge permits.

The amount of freshwater used by each vehicle, which was 2.98 m3 in 2020, was reduced to 2.91 m3 in 2021. We aim to reduce this level to 2.86 m3 by 2024 with the recycling studies we have carried out.

In line with our principle of responsible use of water resources, we ensure that the freshly drawn water is reused in various processes. We continue to use the wastewater generated by an industrial process to meet our water needs in other processes.

As a part of these efforts, we ensure reusing 60 million m3 of water in 2021, thanks to the in-plant circulation system.

In addition to enacting the Convention on Biological Diversity, to which Turkey is a party, we also identify potential hazards and take necessary measures through frequent inspections. In this context, we constantly monitor our biological impact. We highly regard the environmental impact assessment studies in order not to have a harmful effect on natural areas and wildlife around our operations. Wastewater treatment is an essential component of our responsible water management, as wastewater has the potential to impact biodiversity negatively.

Water and Supply Chain  

At Tofaş, we closely monitor our direct material suppliers regarding freshwater resources, water consumption, wastewater amounts, discharge points, wastewater management systems, and action plans by location.

Freshwater is a critical requirement for our suppliers’ processes. We are also affected by any water stress in all our processes indirectly. Resource availability is related to both physical and regulatory conditions. We send surveys to our suppliers about their water consumption, water resources, water treatment processes, and wastewater quality.

In line with the data, we collect from our suppliers, we have created a risk profile and matrix that shows the assessment of risks that might arise from possible legislative changes or ongoing processes. As a result of the evaluation, no risk was observed, but we continued our follow-up activities. We also conduct environmental impact assessments in line with an EIA matrix that includes water-related issues, through data. With this matrix, we are designing and launching a development program to properly use environmental aspects, including water resources, thereby reducing the environmental impact of suppliers.

Stakeholder-related Water Risk Assessment 

	Eligibility & Scope	Statement
Customers	Not relevant, included.	As Tofaş, we take essential steps to reduce water consumption. We continue to listen to customer demands to make production processes sustainable. In this context, as Tofaş, we report the water issue as a priority in our Sustainability Reports.
Employees	Relevant, always included.	We consider the needs of our employees in risk assessments. In addition to providing sufficient drinking water for our employees, we also provide water conservation training.
Investors	Relevant, always included.	Borsa Istanbul Stock Exchange has launched a Sustainability Index, in which water-related issues are included in the evaluation criteria. Water-related problems are one of the priority issues communicated to all stakeholders in Tofaş's Sustainability Report.
Local communities	Relevant, always included.	We actively contribute to the development of local communities and try to minimize any negative impact we have on the environment. We work to reduce water withdrawal and improve the quality of discharged water at facilities located in areas with water shortages. We collaborate with local authorities and suppliers in these areas to run projects and initiatives that positively impact local communities.
NGOs	Relevant, always included.	We include NGOs in Tofaş's risk assessment for reputation and benchmarking purposes. We also listen to their suggestions and support cooperation with NGOs.
Other water users at the basin/ basin level	Relevant, always included	DOSAB Industrial Zone has underground water extraction wells and a treatment plant in the same basin.
Regulators	Relevant, always included.	While pressure on water suppliers is expected to continue, government officials are mandating that they provide zero fluid discharge in their operations to encourage producers to reuse water and reduce their overall water use.
River basin management officials	Relevant, always included.	State authorities are preparing a watershed plan to reduce the purified water outflow limits as well as zero discharge to the Nilüfer River in the future.
Legal special interest groups at the local level	Relevant, always included	We are members of OSD and TÜSİAD working groups and the leader of Koç Holding's water management and risk assessment working group.
Suppliers	Relevant, always included.	Water scarcity in suppliers will directly affect Tofaş’s production. As Tofaş, we conduct WCM audits on suppliers to improve water management.
Local water services	Relevant, always included.	DOSAB Industrial Zone provides services for water facilities. We consider DOSAB services as an alternative that we can use in any future arrangement.
University	Relevant, always included.	We cooperate with Uludağ University Environmental Engineering Department on water management and wastewater quality.