Climate: on a path towards carbon neutrality by 2050

Tuesday, 21 september 2021

Le Groupe BPCE mène d’importants travaux d’évaluation de ses portefeuilles afin de piloter leur alignement sur une trajectoire de température en ligne avec l’Accord de Paris.

During the European Sustainable Development Week running until October 8, Groupe BPCE is reviewing its climate-related ambitions and actions taken in this area. The fight against climate change is a core element of the Group’s new strategic plan: “BPCE 2024.” The importance of this issue for the Group was underscored nearly two years ago when it signed the Principles for Responsible Banking (PRB) and, more recently in July 2021, when it joined the Net Zero Banking Alliance, an international initiative aimed at achieving carbon neutrality by 2050. To meet its commitments in this area, it has mobilized all its business lines and companies around gradually aligning their financing portfolios with a trajectory capable of meeting the temperature goals of the Paris Agreement: 1.5°C by 2050, (with two intermediate steps for its Corporate & Investment Banking portfolios: 2.5°C in 2024 and 2.2°C in 2030). 

To attain these objectives, the Group is developing assessment methodologies, known as Green Evaluation Models, and will be in a position to gauge and manage the alignment of its portfolios by supporting its customers as fully as possible as they respond to their own energy transition challenges (come back next week for further details!). The tools being developed are tailored to the specific nature of the portfolios under appraisal: for example, the Green Weighting Factor enables us to analyze and rate the climate impact of the assets, clients or projects financed by the Corporate & Investment Banking division. 

Similarly, Groupe BPCE is committed to aligning the general fund investments of Natixis Assurances with trajectories that limit global warming to 1.5°C as of 2030 (and to 2°C by 2024) and is carrying out major work to analyze the climate impact of its investment portfolios and to identify the carbon footprint, temperature trajectory, physical risk and exposure to transition risk for each of the companies in its portfolios. 

Are national and international policies up to the challenges posed by the climate emergency, the seriousness of which was highlighted once again by the Intergovernmental Panel on Climate Change (IPCC) when it published its latest climate report in August earlier this year? Discover the analysis provided by Philippe Waechter, Chief Economist at Ostrum Asset Management.