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 FINANCE TO BACK CUSTOMERS ON THE RIGHT PATH New targets set for four carbon intensive sectors We have set a new emissions intensity reduction target for cement Cement GHG2 Intensity (tCO2-e/t Cement) ANZ vs. target pathway -2.5% Cement¹ NEW TARGET: 20% emissions intensity reduction by 2030 The opportunity for decarbonisation for the cement sector will rely on substituting clinker for alternate cementitious materials • Industry bodies have articulated the need for carbon capture, utilisation and storage becoming commercially viable to capture emissions from the chemical reaction of limestone to achieve net-zero by 2050 for the industry • Our 2021 portfolio baseline of 0.61 tCO2/tonne cement is marginally above the 2021 global average of 0.59 tCO2/tonne cement 0.7 0.6 0.5 0.4 0.3 • Over time we will weight our lending to customers with stronger emissions targets 0.2 0.1 0.0 2020 2025 2030 2035 2040 2045 2050 · Actual Performance -- IEA Net Zero Emissions 2050 Pathway -- - 2030 Target (-20%) Global average IEA tracking report 22 1. 2. We measure the portfolio emissions in the cement sector on an 'emissions intensity' basis. In line with the 2022 SBTI Cement Guidance, when we refer to our intensity target in tCO2-e/t cement, we have actually set an intensity target per tonne of 'cementitious product' rather than per tonne of 'cement'. Refer to ANZ's Financed Emissions Methodology for detail Greenhouse gas emissions (GHG) >10% above the pathway <10% above pathway ●Below pathway 12
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