Case studies

Leading financial services companies in the race for net zero 

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Mastercard 

Targets:

  • Mastercard aims to reduce Scope 1 and 2 emissions by 38% by 2025 from a 2016 baseline (achieved and SBTi approved). 
  • It aims to reduce Scope 3 emissions by 20% by 2025 from a 2016 baseline (achieved and SBTi approved). 
  • Net zero year: 2040

Strategy:

  • The company is seeking buildings with green certifications for new leases and adding green lease terms into contracts. 
  • It aims to use less than 10 kilowatt hours per square foot per year. 
  • It plans to develop and implement on-site renewable energy sources (solar panels) at owned facilities; establish long-term renewable energy agreements (five to 12-year contracts with utility providers or third parties); and purchase in-country renewable energy credits (RECs) for sites in locations that are too small for long-term agreements. 
  • For countries without a renewable-energy credit market, it will purchase RECs in neighboring countries that are connected to the same grid. 
  • It will mandate that suppliers disclose their emissions footprint by completing the CDP Climate Change Questionnaire. 
  • It will work with suppliers to set their own science-based emission reduction targets. 
  • It aims to ensure that 100% of its global electronic waste is recycled using responsible partners certified in environmental standards and data destruction. 
  • It strives to achieve TRUE certification for zero waste at all owned facilities and leased sites. 
  • It will require the use of EPA WaterSense-labeled restroom fixtures to reduce overall water use and will use non-potable water for applicable functions. 

Progress:

  • It achieved a 22% reduction in Scope 1 and 2 emissions between 2017 and 2022. 
  • At the end of 2022, 89% of Mastercard’s global workspaces met regional or international green certification requirements. 
  • Mastercard’s owned sites are all green-building certified and fitted with solar panels on-site. 
  • In 2022, 78% of its Tier 1 suppliers responded to the CDP Climate Change Questionnaire, an improvement of 11% from 2021. Of those suppliers, 39%already possess or have submitted science-based targets to the SBTi for review and approval, and 38% have net zero targets. 
  • In 2022, Mastercard diverted 71% of the waste generated by owned sites through recycling, composting, donations, and other forms of landfill diversion. 
  • It received TRUE certification for its San Francisco office in 2022.

JPMorgan Chase 

Targets:

  • It aims to reduce its Scope 1 and 2 emissions by 40% by 2030 from a 2017 baseline (achieved). 
  • Net zero year: 2050 

Strategy:

  • The company contributes capital to developing and deploying new climate technologies and business models. 
  • It offers clients exposure to climate-related risks and opportunities through asset management and global private banking. 
  • It offers climate-related services to clients across corporate advisory and global markets. 
  • It will finance and facilitate $1 trillion to support climate action and sustainable resource management as part of a broader $2.5 trillion sustainable development target. 
  • It aims to transition its vehicle fleet to electric by the end of 2025 and plans to use and support the development of sustainable aviation fuel. 
  • It will source renewable energy for its energy needs. 
  • It aims to satisfy at least 70% of renewable energy with on-site renewable energy and on-site long-term renewable energy contracts by 2025. 
  • It will purchase applicable energy attribution certificates (EACs) such as Green-E certified renewable energy certificates (RECs), international RECs, and carbon credit. 
  • It will commit capital toward sustainable branch design and smart building management. 
  • It will reduce global water use by 20% by 2030 from a 2017 baseline and will reduce office paper use by 90% by 2025 from a 2017 baseline. 
  • It will align key sectors of its financing portfolio with net zero emissions by 2050. 

Progress:

  • It achieved an 89% reduction in Scope 1 and 2 emissions between 2017 and 2022. 
  • It financed emissions reduction targets for energy, oil and gas, power, automotive, iron and steel, cement, and aviation for 2030. 
  • In 2022, JPMorgan Chase financed and facilitated approximately $70 billion in support of its $1 trillion green objective, primarily through green bond underwriting and renewable and clean energy financing. 
  • It maintains carbon neutral operations and sources renewable energy for 100% of its global power needs. 
  • It diverts 100% of e-waste from landfills and purchases 100% of its paper from certified sources. 

Bank of America 

Targets:

  • It aims to reduce location-based Scope 1 and 2 emissions by 75% by 2030. 
  • Net zero year: 2050 

Strategy:

  • Maintain carbon neutrality (Scopes 1 and 2) and 100% zero-carbon electricity. 
  • Reduce energy use by 55% from a 2010 baseline. 
  • Reduce potable water use by 55% from a 2010 baseline. 
  • Achieve LEED certification (or comparable) for 40% of building space. 
  • Responsibly manage waste to reduce the amount sent to landfill. 
  • Divert 75% of construction and demolition waste from landfills. 
  • Dispose of 100% of electronic waste using certified responsible suppliers. 
  • Deploy $1.5 trillion of sustainable finance by 2030—$1 trillion towards the energy transition and $500 billion towards social development. 
  • Transition all plastic credit and debit card products to at least 80% recycled plastic starting in 2023. 
  • Educate clients on EVs and provide financial solutions that help make the transition to electric easier. 
  • Increase the number of financial centers equipped with EV charging stations to more than 350 chargers at over 90 financial centers by the end of 2024. 
  • Offer climate-related services to clients across corporate advisory and global markets. 
  • It is focused on reducing emissions from key carbon-intensive sectors and intends to publish progress on targets annually. 

Progress:

  • It achieved a 68% reduction in Scope 1 and 2 emissions between 2017 and 2022. 
  • It has financed emissions reduction targets set for automotive, cement, aviation, coal, energy, and power for 2030. 
  • Through year-end 2022, Bank of America deployed approximately $410 billion of sustainable finance of which approximately $235 billion was directed toward the energy transition. 
  • Since 2013, Bank of America has issued $13.9 billion across five green, two social, and three sustainability bonds as of year-end 2022. 
  • As of December 31, 2022, Bank of America had $45.5 billion of client balances in sustainable investments. 
  • It has EV chargers installed at more than 35 locations for employee use. 
  • It has had over 12,000 conversations with clients about the business case for net zero and a transition to a low-carbon economy. 

GlobalData, the leading provider of industry intelligence, provided the underlying data, research, and analysis used to produce this article. 

GlobalData’s Thematic Intelligence uses proprietary data, research, and analysis to provide a forward-looking perspective on the key themes that will shape the future of the world’s largest industries and the organisations within them. 

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