Science & Technology

Triodos Bank’s 2035 Emission Reduction Targets Validates as Science-Based

The Initiative to Achieve Science-Based Targets (SBTi) confirmed that Triodos Bank’s intentions to reduce the level of harmful emissions to zero have sufficient arguments to recognize this plan as justified.

Triodos Bank’s 2035 Emission Reduction Targets Validates as Science-Based

Source: Pixabay.com

Emission reduction targets apply to a significant portion of Triodos Bank’s loan and investment portfolio, as well as to the financial institution’s operations. The Bank has set itself a maximum goal, which stipulates that all emissions arising from its activities must be consistent with a scenario limiting global warming to 1.5°C no later than 2030.

Emissions resulting from Triodos Bank’s lending and investment activities should be reduced to zero by 2035.

Compliance with the goals of certain companies to reduce emissions with scientifically sound indicators means that the firm is moving along the path that will ensure sustainable business growth while following environmental trends in the future and eliminating the risk of the worst-case scenario of climate change.

Jakko Minnaar, Commercial director of Triodos Bank, says that against the background of warnings about the high probability of a climate catastrophe, representatives of the financial industry should approve an activity concept that coordinates doing business with measures to limit global warming. He also noted that the confirmation of the financial institution’s goals as scientifically sound indicates that the bank’s approach to reducing greenhouse gas emissions complies with the Paris Agreement.

Triodos Bank adheres to a holistic approach in the fight against climate change. The financial institution seeks to contribute to the support of an acceptable state of the global ecosystem and the social integration of the entire population of the Earth.

As part of the implementation of measures to achieve the goals, the bank carries out activities, the concept of which includes four aspects. A financial institution strives to reduce emissions associated with business lending. Particular attention in the context of this aspect is paid to real estate lending. The Bank plans to apply a method of stimulating customers to more conscious environmental behavior.

Also, the financial institution intends to maximize its contribution to the energy transition of the built environment and reduce the carbon intensity of its portfolio. The Bank will provide financial resources to create a green energy infrastructure.

The remaining aspects of emission reduction activities involve investing in carbon intensity reduction projects and transforming the updated portfolio of a financial institution with a focus on carbon sequestration and biodiversity support initiatives.

As we have reported earlier, Danske Bank Releases Climate Action Plan.

Serhii Mikhailov

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Serhii’s track record of study and work spans six years at the Faculty of Philology and eight years in the media, during which he has developed a deep understanding of various aspects of the industry and honed his writing skills; his areas of expertise include fintech, payments, cryptocurrency, and financial services, and he is constantly keeping a close eye on the latest developments and innovations in these fields, as he believes that they will have a significant impact on the future direction of the economy as a whole.