While we are revisiting net-zero we have sharpened our reduction targets
In 2021, we published our target to achieve net-zero emission by 2035, also factoring in greenhouse gas emissions of all Triodos Bank's loans and funds’ investments. Between the base year of our climate targets 2020 and 2024, these financed emissions reduced significantly (by 28%), and we have been at the forefront of financing real climate solutions such as Nature-based Solutions that not only capture carbon but also restore biodiversity.
Because of these conscious choices, we already have a lower emission intensity (emissions per euro of financing) than many other banks. However, we believe more climate action is needed in the short-term.
That’s why we have sharpened our emissions reduction targets and intensified our financing of real solutions. For 2030, we aim to reduce our emissions by at least 42% instead of the 32% we previously announced. Moreover, we have committed to financing €500 million in Nature-based Solutions by the end of 2030. Finally, we will be stepping up our game towards 2030 in financing more innovative solutions to accelerate the energy transition.
However, due to new insights and stricter guidelines, we can no longer claim to be aiming to achieve net-zero by 2035, assuming this would require a 90% reduction in our emissions by 2035 and permanent neutralisation of the remaining 10% of emissions. In our original climate action plan, we had assumed that neutralisation with natural carbon sequestration could play a larger role in reaching net-zero.
No longer making this claim does not change anything about the actions to tackle climate change that we have already committed to. We will continue to refuse to finance fossil fuels, and we will keep directing our resources towards climate solutions such as renewable energy and Nature-based Solutions. We will also continue to reduce emissions together with our customers, borrowers, investees, co-workers and other stakeholders.
In 2025, we will further evaluate our climate strategy and targets and publish an updated climate strategy.
