Commercial, Energy Efficiency, GHG Emissions - October 21, 2022
Deutsche Bank Sets 2030 Targets
Deutsche Bank announced net zero aligned targets for 2030 and 2050 in four carbon-intensive sectors.
The bank’s goal is to reduce the amount of financed emissions (Scope 3) significantly by 2030. The targets represent a core element of Deutsche Bank’s sustainability strategy and reflect the bank’s commitments as a founding member of the Net Zero Banking Alliance (NZBA).
Deutsche Bank’s methodology aims to support a progressive and orderly phase-out of fossil fuel usage while incentivizing the financing of lower carbon-intensity technologies and clients with credible transition plans.
Deutsche Bank’s targets cover sectors accounting for a significant proportion of financed emissions of its €250 billion corporate loan book as well as key sources of global Scope 3 emissions of clients. The goals for each sector are as follows:
- Oil & Gas (Upstream): 23% reduction in Scope 3 upstream financed emissions by 2030, and 90% reduction by 2050, in millions of tons of CO2
- Power generation: 69% reduction in Scope 1 physical emission intensity by 2030 and 100% reduction by 2050, in kilograms of CO2 equivalent per megawatt hour
- Automotive (light duty vehicles): 59% reduction in tailpipe emission intensity by 2030 and 100% reduction by 2050, in grams of CO2 per vehicle kilometer
- Steel: 33% reduction in Scope 1 and 2 physical emission intensity by 2030 and 90% reduction by 2050, in kilograms of CO2 equivalent per ton
The bank aims to achieve these targets by advising clients in carbon-intensive industries and financing their transition strategies/efforts on the path to achieving net zero emissions by 2050.
“This is an important step to reduce the carbon footprint of our loan book progressively”, said Chief Sustainability Officer Jörg Eigendorf in a statement. “We are focusing on supporting our clients on their net zero journey. This is a crucial element of our sustainability strategy.”