Environment

Green and Sustainable Financing

The Bank continues to pursue sustainable financing activities including green and social projects and supports the issuance of ESG bonds of its customers in line with the 2021 ESG strategy. The Bank’s superior intention is to significantly reduce the financing of carbon-intensive projects in its loan portfolio.

FInancing sustainable projects (PLN million)




Supporting the issuance of customer ESG bonds (PLN million)




Share of green financing (PLN million)



Share of carbon-intensive financing (PLN million)

Sustainable Finance Framework

In 2023, Bank Pekao published the Sustainable Finance Framework. It defines the eligibility of investments financed with the proceeds of EMTN bonds issued by Bank Pekao. In order to be fully transparent, it also includes a description of the process of review and selection of projects, management of funds and allocations of resources, and rules for reporting allocations and environmental and social impacts.

Projects funded under the Sustainable Finance Framework include the following categories:
Renewable energy
Renewable energy
Sustainable construction
Sustainable construction
Clean transportation
Clean transportation
Energy efficiency
Energy efficiency
Sustainable water and wastewater management
Sustainable water and wastewater management
Pollution prevention and control
Pollution prevention and control
Accessible basic infrastructure
Accessible basic infrastructure
Access to basic services
Access to basic services
Health care
Health care

The document was prepared in accordance with applicable international standards published by ICMA and LMA. The framework has also received an independent party’s opinion (SPO) issued by Sustainalytics, which confirms its credibility and positive impact.






ESG Risks in the Credit Business

In the ESG risk assessment, the Bank takes into account:


Due to ESG risks, the Bank, as a rule, does not finance:

New coal and lignite mining projects, and new energy projects based on coal and lignite, excluding projects supporting the transformation of the Polish energy sector
New coal and lignite mining projects, and new energy projects based on coal and lignite, excluding projects supporting the transformation of the Polish energy sector
Activities generating a material threat to the natural environment and social issues
Activities generating a material threat to the natural environment and social issues

In 2023, the Bank continued its special Express Loan offer for individual customers, supporting the financing of consumer investments for environmental purposes.

Funds granted on promotional terms could be used for expenses associated with the purchase or installation of:

renewable energy sources (solar collectors, solar panels/cells)
renewable energy sources (solar collectors, solar panels/cells)
central heating boilers (excluding coal and eco-pea boilers)
central heating boilers (excluding coal and eco-pea boilers)
heat pumps and using geothermal heating
heat pumps and using geothermal heating
roofs, windows, doors, and home insulation materials
roofs, windows, doors, and home insulation materials
electric or hybrid passenger cars and electric motorcycles and scooters
electric or hybrid passenger cars and electric motorcycles and scooters
electric bicycles
electric bicycles
domestic bio-treatment plants
domestic bio-treatment plants
ventilation with heat recovery
ventilation with heat recovery
domestic water treatment plants from own intakes
domestic water treatment plants from own intakes
rainwater recovery system
rainwater recovery system

Code of Ethics for Suppliers

In 2023, the Bank adopted the Code of Ethics for suppliers of Bank Pekao S.A. According to its provisions, conducting business in a responsible, transparent and sustainable manner, taking into account ESG criteria, is one of the most important principles for operating in the market environment.

Bank Pekao expects that in terms of environmental protection, the suppliers:


Follow the applicable environmental laws, in particular, by: Strive to minimize the negative effects of their activities on the environment and in particular:

- holding current permits, approvals, notifications, declarations, agreements and decisions in in the field of environmental protection in connection with their activities and comply with the requirements arising therefrom,

- paying on time environmental fees for the use of the environment,

- complying with relevant environmental reporting requirements.

- effectively manage resources,

- reduce consumption of materials and raw materials,

- conduct waste management in accordance with the requirements of applicable law,

- conduct activities aimed at, among other things, reducing greenhouse gas emissions in the organization and its supply chain, and make disclosures in this regard,

- promote environmental protection activities.

Reduction of the Consumption of Materials and Resources

In its day-to-day operations, Bank Pekao is guided by a desire to reduce its negative impact on the climate. Both at the Bank’s head office, branches and other premises used, measures are being taken to reduce the consumption of raw materials and resources, such as paper, water and electricity.

 

In 2023, the Bank reduced paper consumption by:

 

combining correspondence sent to the same address
combining correspondence sent to the same address
actions aimed at reducing paper correspondence
actions aimed at reducing paper correspondence
only paper with certificates, among others FSC, EU Ecolabel, PEFC, is used in daily work, including printouts to customers
only paper with certificates, among others FSC, EU Ecolabel, PEFC, is used in daily work, including printouts to customers
promoting electronic receipt of information such as bank statements and regulations
promoting electronic receipt of information such as bank statements and regulations


Results in 2023:
 
  • Reduction in the number of customers using traditional correspondence by 160 thousand (y/y)
  • Reduction in the number of letters sent to customers by 2 million (y/y)
  • Decrease in paper consumption in mass correspondence by 23% (y/y)
  • Decrease in the use of envelopes in mass correspondence by 27% (y/y)


In 2023, the Pekao Group reduced energy consumption by nearly 15% compared to 2022 and by 26% compared to 2021.

Key Initiatives in 2023:

Renovations of retail outlets

23 full renovations of retail outlets were carried out. Energy-efficient electrical solutions were used in the renovated premises, LED lighting was installed, and ventilation and air conditioning equipment was replaced with equipment having, among other things, controls that reduce electricity consumption.

ENERGA certificate

The Bank received Certificate RGP_ENERGAOB_2023-11-16_0010 for the first half of 2023, certifying the introduction of 16,500 MWh of electricity generated from wind sources in a renewable energy facility into the grid.

Multi-Branch branches

The Bank launched 5 Multi-Branch branches (Gdańsk, Katowice, Kraków, Lublin and Łódź) in place of 31 previous branches, in which modern energy-saving solutions were used, such as low-emission light sources, green energy supply or maximum use of daylight. These branches (apart from the one in Lublin) have a BREEAM certificate at the Excellent level.

Pekao Tower

In April 2023, the Bank's headquarters moved to the Pekao Tower in the Forest complex at 1 Żubra Street in Warsaw. The new headquarters are located in a modern building that was designed to consume as little energy as possible. The building has the appropriate ecological and energy efficiency certificates: BREEAM at the Excellent level, as well as the WELL certificate.

Carbon Footprint Calculation

In 2023, the Bank calculated the Pekao Group’s greenhouse gas emissions in accordance with the GHG Protocol methodology. Calculations concerned Scope 1, i.e., direct emissions generated at facilities owned or supervised by the Group, and Scope 2, i.e. indirect emissions from purchased electricity, steam, heat and cooling from third-party suppliers. The calculation of emissions in the value chain (GHG Protocol Scope 3) is planned to be carried out in 2024.

 

The Pekao Group, through its activities aimed at, among others, reducing energy consumption, managed to reduce its carbon footprint in scope 1 and 2 by 7.7% compared to 2022.