Information about our work with the transparency act and due diligence assessments

1. Introduction

The Transparency Act came into effect on July 1, 2022, and applies to larger enterprises in Norway.
According to §5 of the Act, companies must publish an annual statement outlining their due diligence assessments.
This document provides an updated overview of how Agder Renovasjon IKS (ARIKS) complies with the Act and the assessments made in 2025.

2. What is the Transparency Act?

The Transparency Act requires companies to:

  • Anchor responsible business practices in management
  • Identify and assess risks related to human rights and working conditions
  • Implement measures to prevent and reduce risks
  • Monitor and evaluate these measures
  • Communicate openly about their efforts, including responding to public information requests

3. Agder Renovasjon IKS – Compliance with the Act

Agder Renovasjon IKS (ARIKS) is subject to the Transparency Act.
The company provides waste services to 74,000 residents and is owned by the municipalities of Arendal, Grimstad, and Froland.
ARIKS manages significant assets and delivers essential services, making ethics and social responsibility a key focus at all levels of the organization.

To fulfill its responsibilities, ARIKS works with a wide range of suppliers across departments:

Department

  1. Household Waste
  2. Operations (Heftingsdalen & Østerhus)
  3. Finance
  4. IT

Dependent on suppliers for

  1. Underground containers, waste bins, plastic bags, biodegradable bags
  2. Machinery, equipment, workwear, lime, electrical services, fuel
  3. Software/services for accounting, payroll, procurement, invoicing
  4. IT solutions, mobile and telecom services, apps, SMS systems, mapping and property data

General approach to due diligence assessments

The Transparency Act applies to a wide range of businesses of different sizes and types.
ARIKS has therefore chosen to perform due diligence assessments at a general level, focusing only on suppliers with the greatest significance to the company.
This decision was made by the management team, and the selected suppliers are:

  • The supplier of household waste collection and transport services, which is ARIKS’s largest supplier
  • The supplier of sludge and septic tank emptying services
  • The supplier responsible for transporting residual waste and other waste fractions, and the main container supplier for both Heftingsdalen and Østerhus

ARIKS requires all suppliers to work toward a more environmentally friendly footprint, uphold human rights, and ensure decent working conditions for all employees in their own and subcontracted operations.
Suppliers are contractually responsible for their subcontractors and any third-party contributors.

ARIKS focus areas for compliance

  • Continued commitment to responsible business practices
  • Integration of the Transparency Act into the company’s quality management system
  • Updating procedures for handling misconduct and whistleblowing (ethical guidelines approved by the corporate assembly and publicly available)
  • Conducting employee surveys to assess internal psychosocial risk factors
  • Updating and standardizing procurement routines
  • Ensuring universal design of the company’s website so that information about goods and services is accessible to as many people as possible, regardless of disability
  • All procurements are carried out in accordance with the Public Procurement Act, with requirements in tenders related to human rights, including wages and working conditions, child labor, forced labor, and discrimination
  • New contracts will include specific terms related to labor and human rights for suppliers and subcontractors
  • ARIKS operates according to a sustainability model, balancing social responsibility, environmental protection, resource efficiency, and sound financial management.
    These goals are anchored in the strategic plan and approved by the corporate assembly

4. Due diligence assessments at ARIKS

The Transparency Act is based on a risk-based approach, prioritizing areas with the highest risk of human rights violations and poor working conditions.

ARIKS assesses the risk as low among its suppliers and partners regarding compliance with the Act.
The internal risk among employees is also considered low.
ARIKS actively works on preventive HSE measures, and employees are familiar with the company’s ethical guidelines, which include procedures for reporting concerns.

5. Next steps

  • Continued integration of the Transparency Act into quality and procurement systems
  • Ongoing supplier follow-up through contract requirements and dialogue
  • Annual updates of due diligence assessments and public reporting
  • Responding to information requests in accordance with §6 of the Act