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Sustainability
Our net zero roadmap
We aim to be net zero in our financed emissions by 2050 and in our own operations by 2025.
We are working across our business and functions to deliver on our net zero commitments. We prioritise measurement and decarbonisation efforts in the highest-emitting and most carbon-intensive sectors of our portfolio, demonstrating our commitment to supporting the transition of the real-world economy, alongside working to reduce emissions from our own operations and supply chain.
Key milestones
Our net zero roadmap
2021
Launched our roadmap to net zero by 2050, including interim targets and a supporting methodology.
Announced plans to mobilise USD 300 billion in Sustainable Finance by 2030.
Published our inaugural Transition Finance Framework.
2022
Developed financed emissions baselines and interim 2030 targets for the Aviation, Shipping and Automotive Manufacturers sectors.
Joined the Partnership for Carbon Accounting Financials (PCAF).
2023
Announced our enhanced Oil and Gas absolute financed emissions target.
Updated our Power and Steel sector baselines and targets, moving from a revenue-based intensity metric to a production-based intensity metric.
2024
We will develop an interim 2030 financed emissions target for the Agriculture sector, planned to be communicated in our 2024 Annual Report, which will be published in Q1 2025.
Committed to set a baseline and identify a science-based target for sector-specific methane emissions by 2025.
2025
Aim to be net zero in our own operations.
2030
We will have substantially reduced our exposure to the Thermal Coal Mining sector in line with our Position Statements.
Aim to meet the Group’s financed emissions interim targets for high-emitting sectors.
2032
Targeted end date for legacy direct Thermal Coal Mining financing globally.
2050
Aim to become net zero in our financed emissions.
Our science-based approach
We have consciously chosen a science-based approach to our net zero programme.
Our second Net Zero Methodological White Paper provides clarity on how we plan to manage and measure our progress through our commitment to sector-specific science-based methodologies for defined high-emitting sectors.
We engaged EY to check that our targets are science-based, meet the long term temperature goal of the Paris Agreement and are mathematically accurate in reference to the third party scientific scenarios. This makes us the first Global Systemically Important Bank (GSIB) to have such external confirmation.
Read EY’s public report to view its findings.
Our emissions profile
We focus on three areas to reduce direct and financed greenhouse gas emissions.
Our approach to managing our emissions
Explore how we’re delivering in each area and see our recent progress.
We aim to be net zero in our financed emissions by 2050
The vast majority of our emissions are linked to our investment and lending activities, known as financed emissions.
We have prioritised our measurement and decarbonisation efforts in the highest-emitting and most carbon-intensive sectors of our portfolio, and are continuing to work with our clients where we can have the greatest impact.
Recent progress
We have:
- Set interim targets for 11 of the 12 NZBA high carbon emitting sectors, with our interim 2030 target for the agriculture sector to be communicated in our 2024 Annual Report. We engaged EY to check that our targets are science-based and aligned to the temperature goal of the Paris Agreement.
- Published an absolute emissions reduction target for oil and gas and set 2032 as an end date for legacy direct thermal coal financing.
- Committed to set a baseline and reduction target for sector-specific methane emissions by 2025.
- Aimed to set targets for facilitated emissions.
We have set long-term targets to reduce emissions in our supply chain
In line with the Group’s sustainability agenda, we are managing impacts in our supply chain.
- By 2028, we plan to direct 70 per cent of our total spending to suppliers (excluding air travel suppliers) who have set, or committed to setting, science-based emission reduction targets.
- By 2030, we aim to reduce our logistics and air travel emissions by 46 per cent from a 2019 baseline.
Recent progress
In 2023, we:
- Reduced our supply chain emissions (excluding air travel) by an estimated 17 per cent.
- Reduced our air travel emissions by 36 per cent from our 2019 baseline, and offset 100 per cent of our flight emissions by including a carbon credit fee in our travel booking process.
- Improved the accuracy of our supply chain emissions calculations by increasing engagement with suppliers for direct emissions data.
- Began measuring our spend with suppliers who have either set a science-based emissions reduction target or committed to setting one.
- Achieved 42 per cent of our highest spend with suppliers who have science-based net zero targets.
We aim to be net zero in our own operations by 2025
We’re working hard to cut our emissions and minimise our environmental impact.
- In 2018, we set a target to be net zero in our operational emissions by 2025. We define this in accordance with the ISO IWA 42 definition of Net Zero.
- In 2022 we joined RE100, a global corporate initiative for businesses committed to achieving 100 per cent renewable electricity.
- We aim for 90 per cent of our waste to avoid landfill by 2030.
Recent progress
In 2023:
- We reached 80 per cent reduction in our Scopes 1 and 2 emissions compared with our 2018 baseline.
- 66 per cent of our electricity came from renewable sources across our portfolio.
- We reduced our overall waste by 37 per cent and achieved 52 per cent avoidance of landfill.
Latest news
A new methane commitment
We’ve enhanced our net zero roadmap with a commitment to deliver a methane emissions reduction target by 2025.
Three principles that guide us
Grounded by three principles, we plan to manage and measure our progress against our net zero commitments.
Absolute emissions target
We’ve provided an update to our net zero roadmap, committing to an absolute emissions target and trajectory for the oil and gas sector.
Standard Chartered has an important role to play in supporting our clients, sectors and markets to deliver net zero, but to do so in a manner that supports livelihoods and promotes sustainable economic growth. We currently provide financial services to clients, sectors and markets that contribute to greenhouse gas emissions however we’re committed to net zero in our own operations by 2025 and in our financed emissions by 2050.
Learn more about our approach.
* See our Annual Report 2023 for full details on our emissions reporting and targets.