By Oliver Smith on Tuesday 2 November 2021
Forget 2050, the Dutch bank is pulling its target for net zero forward by 15 years.
Sustainable bank Triodos is hoping to leapfrog its fellow challenger banks by reaching net zero ahead of the widely accepted 2050 target that many of its peers are aiming for.
In particular Triodos Bank is planning a significant reduction in its business lending emissions even while it plans to boost its loan book.
“In setting out a target by 2035 we are challenging the financial sector,” said Triodos Bank UK CEO Bevis Watts.
“As a bank that has led the way on carbon disclosure and already has a low carbon emitting portfolio—we already know our starting point and can see the realities of how difficult achieving net zero will be.”
Watts said the plan includes shifting more of its residential mortgage customers to make their homes more energy efficient, increasing its lending for green energy infrastructure projects, and natural capital—supporting organic agriculture and biodiversity.
“We need to see much faster action by the financial sector with disclosure of current emissions, targets and transition plans verified by the Science Based Targets Initiative and regulation mandating this. The financial sector has to lead the economic transition to net zero and ensure everyone is included in a just transition,” he added.
As well as aiming for the target, Triodos will also get its plans reviewed by an external auditor and have its targets validated by the Science Based Targets initiative.
In 2025 Triodos will review its plans to ensure that it’s on track to meet its new 2035 target.