The impacts of climate change and climate-related policy are having a growing effect on our business, our customers and the communities in which we operate. That's why we're taking action.
We recognise the direct contribution our operations can have to climate change and the impact climate change can have on our business, customers and suppliers.
We recognise increased competition for scarce natural resources has the potential to limit economic growth and business operations.
Why is this important?
Taking a strategic and sustainable approach to managing our business is not just important for the environment, it’s essential for the long-term growth and resilience of our organisation. We understand that our economy depends on a healthy environment. That’s why we’re committed to understanding and managing the environmental aspects and impacts (PDF, 309KB) and the dependency of our business on the environment and natural capital.
What we do?
We recognise that addressing environmental challenges like climate change, resource scarcity and natural capital loss and degradation is crucial. As regulations evolve and markets change, we understand our relationships with customers, suppliers and other stakeholders, as well as our growth as an organisation, will partially depend on how we manage the environmental aspects, impacts and dependencies of our business.
Our Environmental Agenda
Our Environmental Agenda incorporates strategies covering:
- Climate Change – increasing impact of climate change and climate-related policy on our business, our customers and the communities in which we operate.
- Resource Scarcity – increasing competition for finite resources has the potential to limit economic growth and business operations.
- Natural Value – increasing pressure on the natural capital (environmental assets and services) that underpins our economic system could impact future asset and business value.
Download our Environmental Agenda (PDF, 301KB) .
Our commitment to managing our environmental impact is guided by our Group Environmental Management Policy (PDF, 182KB) and Group Environment Reporting and Offset Management Policy (PDF, 158KB). We recognise that a sustainable approach to the way we do business isn't only good for the environment, but it also makes us more resilient as a business. It's part of our strategy and plan for long-term growth.
Our environmental management practices are aligned to the ISO14001 Environmental Management System standard, and provide a consistent framework across our business. We implement environmental management practices in each region giving due regard to differences in regulatory requirements and operating practices.
In 2018, our NZ subsidiary BNZ achieved Enviro-Mark Bronze level certification for its environmental management system. Enviro-Mark is aligned to ISO14001.
Our Group Non-Financial Risk Committee (GNFRC) supports the CEO and Group Chief Risk Officer to oversee the management of operational, regulatory and compliance risk, which includes conduct and prudential based regulatory risks, and oversight of the Group’s Environmental Agenda and performance (including our climate change strategy).
Environmental sustainability is a core part of our business supported by environmental specialists working in our Risk, Social Impact, Sustainable Finance & Financial Equity & Advisory, Specialised Finance, Agribusiness, Equipment Finance, Property and Procurement functions.
Environmental sustainability requirements are also embedded into our policies, standards and management frameworks, including our building design and operating standards, and our risk management framework.
Having the big conversations
We believe that business has a role to play in advocating on environmental issues.
From providing advisory services, information sessions and workshops, to taking part in consultation on policy developments and joining industry initiatives, we’re committed to engaging in meaningful conversations about environmental issues with our employees, customers, Government, industry peers, business and the broader community.
For example, internationally we participate in a number of working groups as part of membership of the United Nations Environment Programme Finance Initiative (UNEP FI). We commenced phase two of a UNEP FI pilot project with other UNEP FI member banks to test recommendations made by the Financial Stability Board’s (FSB) Taskforce on Climate-related Financial Disclosures (TCFD). We are also active members of the Natural Capital Finance Alliance and supported the Australian consultation process for the Finance Sector Supplement to the Natural Capital Coalition's Natural Capital Protocol which launched in April 2018.
NAB Group is also a member of a range of global finance sector and industry-led initiatives, and we’re signatories to, or have committed to, a number of voluntary corporate standards and principles. You can read more about this in memberships and recognitions.
Engaging our people
Our ongoing carbon neutral commitment continues to inspire and engage our people as we work towards creating a more environmentally sustainable workplace. We’re continually working to increase the environmental awareness of our employees and embed it throughout the business.
As part of this awareness, we’ve incorporated Environmental, Social and Governance risk (ESG) into our internal risk compliance training. And we use a range of channels, like our internal social media, intranet, email updates and video, to communicate with our people about our environmental initiatives.
We also assist our employees in reducing their own environmental impact through initiatives like interest-free loans for annual/season public transport tickets in Australia and the UK.
Across the Group, our employees are involved in a variety of environmental initiatives, like Earth Hour, tree planting and World Environment Day events.
We have set environmental targets and report annually on our progress against these annually as part of our environmental performance and in our Sustainability Report (PDF, 2MB) and Sustainability Data Pack (XLSX, 866 KB). Aspects of our environmental performance and reporting is subject to independent assurance and third party certification.
We’re integrating natural capital considerations into our day-to-day decision making and risk assessment processes.