Long-Term Sustainability Indicators
To accelerate the initiatives to achieve sustainable improvement in social and corporate value, in May 2023 we updated the Long-Term Sustainability Targets announced in June 2021 by incorporating additional long-term indicators. We will continue to address issues our customers and society as a whole are confronting to become a company capable of contributing to the enhancement of diverse value for multiple stakeholder groups.
About the New Indicators
Value Creation Capability Indicator | The Value Creation Capability Indicator has been devised to measure our degree of success in the creation and provision of solutions designed to help resolve the increasingly diverse issues requiring ever more sophisticated expertise that our customers and society as a whole are confronting. We aim to double our score under this indicator over the long term. In this way, we will facilitate initiatives to enhance diverse value for customers and society. |
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Well-Being Indicator | Our pursuit of value creation and the development of next-generation management platforms hinge on the dedication of Resona Group employees. Accordingly, we recognize that it is essential to help them enjoy a sense of fulfillment in both work and private lives. We have thus identified and are striving to improve the Well-Being Indicator as one of our Long-Term Sustainability Indicators, with the aim of facilitating initiatives to enhance value for employees. |
Declaration of Net-zero Greenhouse Gas Emissions in the Investment and Financing Portfolio / Interim Target for the Energy Sector |
We have declared our intention to reduce greenhouse gas (GHG) emissions from our investment and financing portfolio to net zero by 2050 in addition to continuously pursuing the Carbon Neutrality Target we have already identified. We have also identified the interim target for the energy sector as a milestone to be achieved in FY2030 in the course of our efforts to live up to this declaration. The energy sector is an infrastructure component supporting all industries as well as people’s daily lives. Accordingly, pursuing the decarbonization of this sector is essential to facilitating decarbonization among our retail customers, who account for a major portion of the Group’s investment and financing portfolio. Therefore, we will strive for the popularization of renewable energy while supporting power generation businesses endeavoring to achieve transition and technological innovation. In these ways, we will contribute to the realization of carbon neutrality in the regional societies in which the Resona Group’s business foundations lie. |
Long-Term Sustainability Targets
- Retail Transition Financing Target
- Carbon Neutrality Target
- Targets for the Empowerment and Promotion of Women
1.Retail Transition Financing Target
- Cumulative total of transition financing from FY2021 to FY2030: 10 trillion yen
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Priority Themes Local Communities, Low Birthrate and Aging Society, Environment, Human Rights (Diversity & Inclusion) Financing Coverage Financing aimed at helping retail customers update their awareness, transform their modes of behavior and stably move forward from their current situation. (Including financing for such green projects as renewable energy generation, as well as large corporate financing involving third-party verification)
FY2022 results: Approximately 1,019.8 billion yen (of this, 303.5 billion yen for environment-related fields)*3
Breakdown of Financing |
Investment and financing aimed at supporting or facilitating initiatives to promote social or business sustainability Investment and financing requiring recipients to use such funds for the resolution of social issues (Main examples)
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Financing in the environment- related fields |
Investment and financing aimed at supporting or facilitating initiatives to address environmental issues (Main examples)
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Promoting In-Depth Dialogue and Enhancing Solutions
The questionnaires conducted in FY2021 targeting approximately 31,000 SME customers revealed that around 80% of the respondents were facing such issues as “lack of employee understanding and insufficient employee awareness” or “No idea what to do.”
With this in mind, in FY2022 we launched ESG-focused business potential assessment, with the aim of helping SME customers visualize various risks and opportunities confronting them from the aspect of sustainability so that they can maintain and enhance business continuity and profitability. At the same time, we focused on delivering such solutions as loan products with conditions linked to ESG target accomplishment and a simplified, charge-free CO2 emission calculation service.
Steps of Our Response Aimed at Helping Customers Update Their Awareness and Transform Their Modes of Behavior
We have taken the various types of organizational action we are able to take to help customers update their awareness and transform their modes of behavior and arranged them as six steps as illustrated in the diagram on the right. Every year, we specify a step for particular focus.
In FY2022, the corporate division positioned “engaging in dialogue“ (step③) as its focus and worked to encourage customers to transform their behavior and utilize the solutions we offer. In line with this positioning, we rallied the Group’s overall strength to promote the initiatives specified in this step.
For FY2023, the two steps we are focusing on are “gathering information” (step④), i.e., helping customers systematically assess their current situation via the use of a broader perspective, and “providing SX-related solutions” (step⑤).
Delivering SX-Related Solutions Appropriate to the Stages of Customer Initiatives
The status of sustainability efforts undertaken by SMEs and the management resources they can afford to allocate to such efforts vary greatly by company. Accordingly, we deliver and continually work to upgrade our diverse solution lineup to best assist each SME seeking to push ahead with sustainability initiatives appropriate to their current situation. For individual customers, we released “Resona SX Housing Loans,” which cover an even broader scope of housing than previous similar loans. Based on the updated definition of eco-friendly housing, borrowers who purchase such housing are eligible to receive a variety of peripheral services under the SX Housing Loan scheme.
2.Carbon Neutrality Target
- Reduce CO2 emissions*6 attributable to energy used by the Group to Net Zero by the end of fiscal 2030 via the proactive switchover to renewable energy
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Priority Themes Environment
FY2022 results: 56% reduction from the FY2013 level (a year-on-year decrease of 11,495 t-CO2)
CO2 Emissions Volume*7
Breakdown of FY2022 Emissions (Provisional)
Since approximately 90% of CO2 emissions from Group operations are attributable to energy use, we initiated a phased switchover to energy procured from renewable energy sources in FY2021, starting with energy-intensive facilities.
In FY2022, we implemented energy-saving activities on a Groupwide basis in light of public concerns regarding the possible worsening of energy demand-supply balance in summer and winter, to this end visualizing the status of energy consumption volumes at each base. Simultaneously, we promoted the introduction of renewable energy at each Group company facility.
As a result, the volume of CO2 emissions attributable to the Resona Group’s operations in FY2022 decreased by 56% (provisional basis) compared with the FY2013 level. This also represented a year-on-year decrease of 11,495 t-CO2.
In FY2023, we became a member of the “GX League” promoted by the Ministry of Economy, Trade and Industry. In line with the GX League concept, we intend to formulate interim emission reduction targets for FY2030.
Going forward, we will continue to promote energy-saving activities across the board to curb the financial impact of the current surge in energy prices and offset costs associated with the switchover to renewable energy to ensure that we can lead the way in the energy transition of our own operations.
Facilities That Introduced Renewable Energy
Initiatives to Reduce the Volume of Greenhouse Gas (GHG) Emissions from Our Investment and Financing Portfolio (Scope 3, Category 15)
In May 2023, we declared our intention to reduce the volume of GHG emissions attributable to our investment and financing portfolio (Scope 3, Category 15) to net zero by 2050. At the same time, we announced interim reduction targets for the energy sector.
Going forward, we will regularly disclose results of financed emissions associated with the energy sector, including our investees in the power generation industry, while assessing financed emissions from and formulating interim targets for other sectors.
- Declaration of Net-zero Greenhouse Gas Emissions in the Investment and Financing Portfolio
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The Resona Group will strive to reduce the volume of GHG emissions from its investment and financing portfolio to net zero by 2050.
●About the interim target for the energy sector
Initiatives being undertaken thus far | New initiatives (identification of interim target) |
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●Taking the above factors into account, we have identified an interim target for the energy sector (targets have not been set for “Oil / Gas” and “Coal” as the number of customers in these fields is very low)
Concepts behind target setting for the energy sector |
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The interim target |
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●Basis for the calculation of financed emissions
- The volume of GHG emissions from each investee/borrower corporation is multiplied by the attribution factor (Balance of investment and financing / Sum of assets and liabilities) and the resulting numerical values for all investee/borrower corporations are aggregated
3.Targets for the Empowerment and Promotion of Women
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Achieve the ratios presented below for the representation of women in various positions, an increase of 10% or more from the current levels, by the end of fiscal 2030
〈Ratio of female directors and executive officers: 30% or more*1〉
〈Ratio of female senior managers: 20% or more*2〉
〈Ratio of female line managers: 40% or more*2〉 -
Priority Themes Local Communities, Low Birthrate and Aging Society, Environment, Human Rights (Diversity & Inclusion)
Ratio of women | 2021*13 | 2023*13 | FY2030 targets |
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Directors and executive officers*1 | 19.2% |
10.3%*14 |
30% or more |
Line managers*2 | 29.7% |
31.4% |
40% or more |
Senior managers*2 | 10.5% |
13.4% |
20% or more |
External Recognitions
- *1Resona Holdings
- *2Sum of Resona Holdings, Resona Bank, Saitama Resona Bank, Kansai Mirai Bank and Minato Bank. The figures of FY2023 and before include those of Kansai Mirai Financial Group.
- *3Results of each Group bank: 1) Resona Bank: 603.0 billion yen, 2) Saitama Resona Bank: 187.4 billion yen, 3) Kansai Mirai Bank: 149.4 billion yen, and 4) Minato Bank: 58.2 billion yen (of this, environment accounts for the following: 165.6billion yen for Resona Bank, 82.9 billion yen for Saitama Resona Bank, 26.7 billion yen for Kansai Mirai Bank, and 29.7 billion yen for Minato Bank)
- *4Investment trusts and investment advisory services run by Resona Asset Management
- *5Private placement SDGs promotion bonds, SDGs Consulting Fund, loan products with conditions linked to ESG target accomplishments, SX Framework Loan, SLL, Green Loans, etc.
- *6Sum of Scope 1 and Scope 2
- *7Scope 1 and Scope 2 CO2 emissions attributable to Group banks are calculated based on methods stipulated by Japan’s Energy Saving Act for statutory periodic reporting. Figures for FY2019 and earlier are calculated by multiplying emissions volumes by the basic emission factors of each electricity supplier. Figures for FY2020 and later are calculated by multiplying emissions volumes by the adjusted emission factors of each electricity supplier. CO2 emissions attributable to fuel consumption by Company-owned cars are determined via a simplified calculation method using the Group’s annual fuel costs and publicized figures for the annual and national average price of gasoline and the emissions coefficient.
- *8The Company’s sector classification consists of Energy, Real estate / Construction, Automotive / Transportation, Material, Agriculture / Food, Pulp / Forestry products, and Banking / Life Insurance.
- *9Calculated with reference to methods developed by the PCAF
- *10Comparison with the 2030 carbon emission intensity (165g CO2e/kWh) envisioned in the NZE2050(WEO2022)
- *11Coverage ratio by sector, a lending-balance basis
- *12Data quality score defined by the PCAF
- *13The ratio of female directors and executive officers is as of June 30, 2023; the ratios of female senior managers and line managers in 2021 and 2023 are as of April 1 and March 31, respectively
- *14Due to the increase in the overall number of executive officers and the appointment of female internal officers to serve as directors at Resona Bank and Saitama Resona Bank
- *15Survey of Workplace Opportunities for Female Workers undertaken by Nikkei WOMAN