IIGCC’s Banks Working Group was formed in April 2021, following the publication of an ambitious set of investor expectations that was supported by investors and their stewardship representatives with a combined US$11 trillion in assets/advice.
The expectations were sent to 27 banks and members of the working group have since used them to guide climate related engagement with banks. IIGCC now supports investor engagement with a focus list of 20 banks in Europe, Canada and Asia.
Following investor consultation and the publication of apilot report, IIGCC has worked with the Transition Pathway Initiative Global Climate Transition Centre (TPI Centre) to refine and evolve the investor expectations into a Net Zero Standard for Banks. In parallel, the TPI Centre in consultation with IIGCC, has developed a Net Zero Banking Assessment Framework for Banks which assesses banks for alignment against 72 indicators based on expectations in the Standard.
The Standard is built around the 10 areas: bank commitments; targets; exposure and emissions disclosure; emissions performance; decarbonisation strategy; climate solutions; policy engagement (lobbying); climate governance; just transition; and annual reporting and accounting disclosures; and complements theNet Zero Investment Framework(NZIF).
As publicly available resources, the Standard and Net Zero Banking Framework may be used by all investors to support engagement with banks on the transition to net zero.
The following IIGCC members are members of the IIGCC Net Zero Banks Working Group, as of June 2023. These members are either involved in bank engagements and/or contribute to research on how banks might transition to net zero.
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This material was developed in collaboration with a number of IIGCC members but does not represent the views of all members, either individually or collectively.