2022 Approach to Climate Change Investor Reference Pack slide image

2022 Approach to Climate Change Investor Reference Pack

ANZ 2022 Approach to Climate Change Investor Reference Pack MANAGING CLIMATE RISK Actively managing climate risk within our group risk management framework The risks and the opportunities of climate change • Engaging with our largest emitting business customers on the work they're doing to transition to a low carbon future . Understanding significant reductions in the cost of energy • Understanding how the transition to net zero emissions will impact global demand for natural resources and the flow-on effects to prices • Engaging with regulators and industry on climate-related policies and guidance for banks and financial institutions Recent actions to actively manage climate risk We continue to improve our management of climate risks through workstreams focused on regulatory monitoring, policy governance, risk appetite, data and analytics. This year we focused on: . reviewing and assessing current and emerging regulatory requirements across the jurisdictions in which we operate; ⚫ refining our Risk Appetite Statements for Institutional and included climate risk in lending criteria documents in the Australia Retail, Commercial and New Zealand portfolios; and • participating in APRA's Climate Vulnerability Assessment Our next steps involve: • developing a data strategy to help us identify and source reliable data to improve how we manage climate risks; • ensuring we have a consistent approach to meet evolving regulatory requirements across the jurisdictions in which we operate; and • extending our Climate Change Risk Assessment process to Institutional customers in higher emitting sectors including resources and energy – this is currently being piloted in Project Finance.
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