• Introduction
    • OVERVIEW
    • THE STANDARD BANK GROUP
    • OUR REPORTING SUITE
    • OUR SEE JOURNEY
    • ASSURANCE STATEMENT
     
     
     
     
     
  • SEE impact areas
    • OVERVIEW
    • 1.
      FINANCIAL INCLUSION
    • 2.
      JOB CREATION AND ENTERPRISE GROWTH
    • 3.
      INFRASTRUCTURE
    • 4.
      AFRICA TRADE AND INVESTMENT
    • 5.
      CLIMATE CHANGE AND SUSTAINABLE FINANCE
    • 6.
      EDUCATION
    • 7.
      HEALTH
     
  • ESG
    • OVERVIEW
    • OUR REPORTING SUITE
    • MESSAGE FROM SIM TSHABALALA
    • ESG GOVERNANCE
    • MATERIAL ISSUES DURING THE REPORTING PERIOD
    • ENGAGING OUR STAKEHOLDERS
    • HOW WE DO BUSINESS
    • MANAGING OUR ENVIRONMENTAL AND SOCIAL RISKS
    • SUSTAINABLE FINANCE
    • OUR PEOPLE
    • CORPORATE SOCIAL INVESTMENT
    • ESG METRICS AND POLICIES
     
     
     
     
     
     
     
     
     
     
     
     
  • Transformation
    • OVERVIEW
    • INTRODUCTION
    • A MESSAGE FROM LUNGISA FUZILE
    • THE ROLE OF A BANK IN GROWING THE ECONOMY
    • STANDARD BANK’S BEE SCORECARD 2019
    • WHERE TO FIND MORE INFORMATION
    • B-BBEE CERTIFICATE
     
     
     
     
     
     
     
  • Downloads
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Climate change and sustainable finance

SEE IMPACT AREA FIVE
Financial inclusion - SEE IMPACT AREA ONE
Managing climate-related risk

Standard Bank is committed to prudent management of the risks arising from climate change, as they relate to our direct operational footprint and our lending activities, and to improving our climate-related disclosures over time.

Climate risk is recognised as one of material risks facing the group. We’re strengthening our ESG governance to ensure adequate oversight and improve our ESG risk management systems, which will embed climate-related risk into risk identification, classification, evaluation, analysis, monitoring and reporting.

Sustainable finance

There are increasing opportunities to deliver sustainable and impactful investment expertise to our clients and stakeholders across a broad range of growth themes.

As a first step in that effort, we have established a sustainable finance business unit, the first of its kind in Africa. The unit is responsible for partnering with our businesses to better serve our clients, drive innovation and capture emerging opportunities as sustainable growth becomes increasingly important for investors, institutions and companies globally.

Working with businesses and households to implement small-scale green energy solutions

We recognise our obligation to respond strategically to the risks which global environmental and social pressures have on our ability to create sustainable value for our stakeholders.

We work with our clients to adopt greener solutions for their homes and businesses. For example:

In South Africa, our VAF Solar Asset Solution enables our business and commercial banking clients to apply for finance to install small-scale renewable energy solutions at their businesses. In 2019, we financed 103 small-scale solar PV projects in South Africa, totalling 9.5MW. In doing so, we helped improve energy and price security for businesses across the commercial, industrial and agricultural sectors. Projects included installations at Nelson Mandela University in Port Elizabeth, and the Central University of Technology in Bloemfontein. In both cases, the arrangement includes long-term Power Purchase Agreements (PPAs) with the universities, enabling the universities to purchase electricity generated by the solar PV system at beneficial tariffs. The Nelson Mandela University system is a 1MW dual-axis system, which allows the solar panels to track the movement of the sun, thereby maximising effectiveness.
Effective fleet management provides a major opportunity to reduce a company’s carbon footprint. SBSA offers our clients access to ECO2₂Fleet, a web-based fleet management data collection and reporting service that enables users to accurately measure the carbon dioxide (CO2) emissions and other gases emitted by each vehicle in their fleet. It includes online monitoring and vehicle emission reporting, aligned to the principles of the Greenhouse Gas Protocol, a globally recognised accounting tool used to measure carbon emissions. ECO2₂Fleet compares the actual carbon emissions of each vehicle in a fleet to a manufacturer-specified or default carbon emissions rating. This provides fleet managers with a clear indication of how each vehicle is performing, and can help to identify trends and set objectives to reduce carbon emissions. This in turn supports savings on total fuel expenditure, thereby reducing operating costs. Fleet managers can use the data to make drivers more aware of their driving habits and how these could be improved. It can also inform improved maintenance practices – a vehicle that runs well has lower emissions. For more information, visit: https://eco2fleet.standardbank.co.za/
Sustainable bond framework

Standard Bank’s Sustainable Bond Framework allows us to issue sustainable, green and social bonds that support Standard Bank's lending to green projects aimed at mitigating climate change, and social projects reducing economic and social inequality. The framework will be reviewed by an independent party, with experience and track record in issuing Second Party opinions. This opinion will be made available to investors on the group's investor relations website.

Standard Bank will allocate the net proceeds of the sustainability bonds issued under this framework to an eligible loan/asset portfolio of new and/or existing loans/assets within categories aligned to our SEE impact areas. The eligible loans/assets will be funded in whole or in part by an allocation of the bond proceeds.

Sustainable trade finance

Banks and corporates face a growing demand from shareholders, customers, investors and other stakeholders, for their trade finance transactions to actively support the production of goods or services in a manner that minimises adverse environmental and social impacts and promotes environmental and social benefits.

Standard Bank has been working with the International Chamber of Commerce (ICC) Banking Commission, co-leading a working group tasked with equipping banks to encourage sustainable finance trade practices by:
  • Providing clarity to banks on the implementation of sustainability policy and standards through the development of guidelines on sustainable trade finance, with a focus on short-term trade finance. Initiatives are also underway to support a better understanding of the applicable voluntary standards, certification schemes and other approaches that can mitigate ESG risks. Educational and training programmes for trade finance professionals are being developed.
UN Principles for Responsible Banking

Standard Bank is a founding signatory of the UN Principles for Responsible Banking. More than 100 banks from five continents launched the Principles at the annual UN General Assembly in New York in September 2019. The Principles set the global benchmark for what it means to be a responsible bank.