Financial Performance and Remediation Update
SET A GOAL OF ALIGNING OUR PORTFOLIO TO NET ZERO EMISSIONS BY 2050
NAB HAS SIGNED THE COLLECTIVE COMMITMENT TO CLIMATE ACTION
To meet requirements of CCCA, NAB has set a goal to align our Australian lending portfolio to net zero emissions by 2050, and publish interim
sector-specific decarbonisation targets in our 2022 Reporting Suite
PROGRESSING:
BASELINING GHG
EMISSIONS
COMMENCED:
DECARBONISATON
PATHWAYS
• In 2021, we have expanded the coverage of our estimated
greenhouse gas emissions attributable to NAB's lending, to
cover an additional three segments of our lending. The full
eight segments are shown in the table opposite
•
•
The estimate covers a proportion of our lending book only
(50.7% of Group EAD)
We apply a sector-wide emissions intensity methodology to
estimate emissions for 100% of small to medium sized
businesses, residential mortgages and agriculture exposures
• For the remaining sectors, a bottom-up approach is taken,
based on reported and verified emissions data from customers
where available, leading to variations in sectoral coverage
We are on track to publish, in our 2022 annual reporting suite,
interim sector-specific decarbonisation targets, applying the
following principles:
⚫ Broad portfolio coverage: targets set will account for
substantial majority of Australian lending portfolio
⚫ Science-based: Decarbonisation scenarios will be set for 2030
and 2050 using scenarios that are science-based and aligned
to limit global warning to 1.5C
Sector
Power generation
% of
Sector
EAD
covered¹
Emissions
Absolute
emissions
(tCO2-e)
intensity
(tCO2-e/
AUD$M EAD)
(Power generation,
22%
2,036,484
1,018
gentailers, electricity
transmission and distribution
Heavy manufacturing
(cement, lime, plaster,
concrete, bricks, iron and
steel and aluminium)
69%
185,727
267
Resources
(including coal, oil and gas)
Transport
22%
536,921
261
(road freight, air, rail and
international sea transport)
9%
101,347
135
Agriculture
100%
3,929,316
115
SME
(in commercial and services
sectors²)
100%
990,005
Residential mortgages
100%
3,072,195
8
• Up to date: Targets will be reviewed regularly to ensure
consistency with current climate science, updated data and
available methodologies
Commercial real estate
(office and retail)
19%
33,844
CO
6
• Governance: Targets shall be approved by the Executive
Leadership Team and Board
.
Guided by global best practice: NAB shall be guided by the
UN Environment Programme Finance Initiative's Guidelines for
Climate Target Setting for Banks
24
24
(1) Detailed methodology available in 'How we calculate our carbon emissions' on https://www.nab.com.au/about-us/social-impact/environment/climate-change
(2) Based on Australian Energy Statistics data for Commercial and Services sectors and aligned to 1993 ANZSIC classifications: F, G, H, J, K, L, M, N, O, P and Q.
107
National
Australia
BankView entire presentation