ANZ 2022 Full Year Debt Investor Presentation slide image

ANZ 2022 Full Year Debt Investor Presentation

ANZ 2022 Full Year Debt Investor Presentation ALIGNING OUR LENDING TO THE PARIS AGREEMENT GOALS • First Australian bank to sign up to the Net Zero Banking Alliance (NZBA) On track to set 2030 targets for nine priority sectors in line with our NZBA commitment, aimed at ensuring at least 75% of our portfolio emissions are on a Net Zero pathway by end 2024 In 2021, set emissions intensity pathways and targets for power generation and large-scale commercial real estate Will release pathways and targets for oil and gas and building products this year prior to our Annual General Meeting (AGM) in December Our targets, pathways and disclosures demonstrate how we are aligning our lending to the Paris Agreement goals Our disclosure is TCFD¹ aligned, and our target setting guided by the Partnership for Carbon Accounting Financials (PCAF) standard Our 2022 Climate-related Financial Disclosures will be released prior to our AGM ANZ Climate Change Commitment Supporting our customers in the net zero transition To meet the Paris Agreement goals, significant greenhouse gas emission reductions are required across all sectors of the economy. Trillions of dollars are needed to invest in new and existing technologies for clean energy and sustainable infrastructure. The many financing opportunities linked to our business strategy will contribute to the achievement of the Paris Agreement goals and the transition to a net zero economy. The opportunities will also deliver appropriate returns for our shareholders. We want to be the leading Australia- and New Zealand-based bank in supporting customers' transition to net zero emissions by 2050. Our environmental sustainability strategy identifies priority sectors, technologies and financing opportunities to help achieve our ambition. ANZ has also joined the Net-Zero Banking Alliance (NZBA) reflecting our commitment with other leading banks globally to enable the transition by aligning our lending portfolio with net zero emissions. This commitment summarises our climate change approach and respective targets. Additional disclosures and policies are available at anz.com.au/about-us/esg! The opportunity: Society is responding to the shared task of creating a pathway to net zero emissions. To achieve the Paris Agreement goals, historic levels of investment and lending will be needed from businesses, governments and financial institutions. This creates significant financing opportunities for ANZ, which we will realize together with our customers. By anticipating changes to financial markets and financial systems we will seek to better manage climate risks and opportunities These changes include: regulatory expectations, including disclosure; + customer, shareholder and civil society expectations; and how climate risk is assessed managed and priced. We are responding to these changes and opportunities in four key areas: 1. SUPPORTING OUR CUSTOMERS AND INDUSTRIES TO TRANSITION The most important role we can play in enabling the transition to net zero is to support our customers to reduce emissions and enhance their resilience to a changing climate. We will achieve this by executing our environmental sustainability strategy and providing finance, services and advice that support customers to shift to low carbon business models and operations that put them on a path to net zero emissions. ANZ We support an orderly transition that recognises and responds to social, economic and environmental impacts of a net zero transition. This aligns with our purpose to shape a world in which people and communities thrive. To achieve this, we are: • Funding and facilitating AU$50 billion to support our customers to achieve improved environmental outcomes, including the reduction of their greenhouse gas emissions. This includes supporting increased energy efficiency, low-emissions transport, green buildings', reforestation, indigenous land management practices, renewable energy and battery storage, emerging technologies (such as carbon capture and storage, and hydrogen-based technology), disaster resilience and climate change adaptation measures Equipping our employees with a deeper understanding of climate risks and opportunities, including the potential of emerging technologies, focussing on our institutional bankers in key customer segments. This expertise will help us develop products and services to meet our customers' needs, for example in: -green, social and sustainability-linked loans and bonds - lending and advisory services to help our customers buy, sell and raise capital for renewable energy and other low- emissions projects - project finance to support the development of long-term sustainable infrastructure. 1. Not in this statement relates to net human-made amissions Includes facilitating concessional leam for business customers to buy energy-efficient equipment. Further details on that criteria and standards was qualifying activitiis sa tinu ESG Supplement: http://www.an.com.au/about-us/sg/reporting/ssg-reparting 32 will only finance the construction of new large-scale office buildings if they are highly energy efficient, and being built toether at least a NABERS (National Australian Built Envament Rating System) 5-linergy rating or Salar Green Star Dignaling (quivalent international raling. This is the same standard we apply for inclusion inout A550blon ang 4. A has allocated AUS billion of AUSSO billion large to supporting customer and commander secovery andninlerce. This may include encenative for weather-elated events or non-weather-related d 23 November 2021 1. Taskforce on Climate-related Financial Disclosures 44
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