Currently, we are facing various major challenges –such as the need to fight climate change and create a more sustainable world based on equal opportunities– that require everyone’s involvement. The financial sector plays an essential role in rebuilding a decarbonized and fully inclusive economy; mobilizing resources, identifying technological solutions and generating opportunities; and also minimizing environmental risks and financing a large part of the investments necessary to comply with the Paris Agreement, the European Green Pact and the 2030 Agenda. Banco Sabadell has managed to fully integrate this vision into its purpose and strategy.
For this reason, it has decided to undertake a transformation process in all areas, which has allowed it to create an action framework called Sabadell Sustainable Commitment, with a series of environmental, social and governance (ESG) commitments that serve to align compliance with their business objectives to the Sustainable Development Goals (SDG), with specific goals for the period 2021-2025.
Although the bank is willing to contribute to all the SDGs, it has especially focused on those in which it can have the greatest influence or that cause a more positive impact on society, such as the 7th (the use of affordable energy and not pollution), 8th (on decent work and economic growth), 9th (on industry, innovation and infrastructure), 13th (on climate action) and 16th (on peace, justice and strong institutions).
Likewise, within its framework of action, Sabadell Compromiso Sostenible has decided to focus on 4 strategic axes: advancing as a sustainable entity, accompanying clients during their transition, offering ESG investment opportunities and working for a sustainable and cohesive society.
The commitments assumed for the first axis involve achieving neutrality in CO2 emissions and reducing consumption, as well as aligning the governance framework with sustainability, working with committed suppliers and participating in global alliances. To this end, they have developed a series of actions that have allowed a 60% decrease in the carbon footprint compared to 2019 in Spain and the United Kingdom, compensating with reforestation projects since 2021.
At the moment, they have already achieved neutrality in their own CO2 emissions. Since 2005, they have opted for the contracting of electricity with a Guarantee of Renewable Origin (GDO) for 100% of their consumption; it has incorporated photovoltaic solar energy installations at the corporate headquarters and is promoting more efficient management with the establishment of a power purchase agreement (PPA), with a long-term agreed price and guarantee of renewable origin.
Likewise, the bank is promoting sustainable mobility, with recharging points, in logistics and business trips; and they have reduced the consumption of materials such as plastic and paper, optimizing waste management and the reuse of technology. Its Environmental Management System (SGA) follows the ISO 14001 world standard, with six certified corporate headquarters. They also monitor the ESG ranking of their suppliers. And it has joined forces with the start-up CO2 Revolution to reforest 20.6 hectares of forest lost due to the fires in Galicia. At the end of 2022, the entity acquired 5,542 tons of CO2, which means the planting of a total of 23,580 trees.
Banco Sabadell collaborates with its clients in the transition towards a sustainable economy, mobilizing resources, generating business opportunities and offering solutions that cover all market segments in energy efficiency, renewable energy, circular economy, mobility and sustainable infrastructure.
From 2021 to 2025, they will mobilize 65,000 million euros for sustainable finance solutions (of which they have already allocated 25,000 million in the 2021-2022 period and more than 30,000 million in the first tranche of 2023, covering 47% of the objective). They have also made progress in adherence to global commitments such as the Net-Zero Banking Alliance (NZBA) so that their client portfolio is neutral by 2050 and have set the first intermediate targets for 2030 in 4 emission-intensive sectors: electricity, oil and gas , cement and coal. They also advise their clients with a sector vision, and with special attention to SMEs, helping to identify subsidies and specific solutions, as well as reaching agreements with partners from various sectors. To this we must add the constant conversation with customers and the organization of specific dissemination and awareness days.
The entity invests in technologies that help decarbonise and promotes capital investment in renewable energy projects, through Sinia Renovables, its division specialized in investments in sustainability that offers comprehensive solutions from the beginning to the start-up of a project . It also issues bonds linked to the SDGs and contributes to the issuance of sustainable customer bonds, with more than 8,500 million accumulated in own and customer bonds since 2021 (the goal is to exceed 17,000 million).
In addition, it reinforces the participation in ESG impact funds and creates its own programs to promote entrepreneurship that are key to investing in the development of green technologies such as BStartup Green. It also promotes the offer of sustainable investment funds and discloses and informs the market on ESG matters to minimize risks and facilitate the best choice.
To build a sustainable and cohesive society, the interrelation of multiple actors and the establishment of various synergies and alliances are necessary. For this reason, the entity has developed proposals such as the Banco Sabadell Foundation Award for Marine Sustainability, which recognizes research work focused on this area.
In addition, the Banco Sabadell Foundation forms part of the Steering Committee of Foundations for the Climate, a philanthropic coalition that promotes action and awareness in the face of the climate emergency. On the other hand, actions related to the environment are also being developed in the field of culture and the arts, such as the Banco Sabadell – Hangar research group: “Poetics and policies of storage and circular use”, or its collaboration with RCR Bunka Fundació in the Summer Workshop Architecture and Landscape, which combines art, architecture, environment, philosophy, audiovisual, among other disciplines.
In addition to all of the above, the bank continues to advance in global challenges that require the participation of all economic agents, anticipating actions against climate change risks, progressing in the knowledge of new technologies, quantifying and adopting solutions for decarbonization in order to meet the intermediate objectives of 2030 and achieve full neutrality by 2050, and incorporating financing solutions for the transformation of the economy, in order, ultimately, to help build a future in which we can reconcile economic growth with the safeguarding our planet.
