We’re delighted to announce our validated Science Based Target (SBT), following on from our initial commitment to sign up to the Science Based Target Initiative (SBTi)1 in 20192. Our SBT covers our entire business, with a particular focus on our portfolio emissions.
Science Based TargetsScience Based Targets (SBTs)Provide a defined pathway for companies to reduce greenhouse gas (GHG) emissions, helping prevent the worst impacts of climate change and future-proof business growth. Targets are considered ‘science-based’ if they are in line with what the latest climate science believes is necessary to meet the goals of the Paris Agreement — limiting global warming to below 2°C above pre-industrial levels and pursuing efforts to limit warming to 1.5°C. read more show organizations how much and how quickly they need to reduce their greenhouse gas (GHG)Greenhouse gasThe six main greenhouse gases covered by the Kyoto Protocol: Carbon dioxide (CO2); Methane (CH4); Nitrous oxide (N2O); Hydrofluorocarbons (HFCs); Perfluorocarbons (PFCs); and Sulphur hexafluoride (SF6) read more emissions to prevent the worst effects of climate change. SBTs also bring them in line with the thresholds established under the Paris Climate AgreementThe Paris AgreementThe Paris Agreement is a legally binding international treaty on climate change. Its goal is to limit global warming to below 2°C, preferably to 1.5°C, compared to pre-industrial levels. read more. We now join a growing community of over 2,900 companies around the world in having established a credible science-based target, of which 63 are financial service companies.Tribe’s SBT commits the business to:
Scope 1 and 2: Reduce absolute scope 1Scope 1Direct emissions from all business activities including emissions from any owned facilities and owned transport. read more GHG emissions 70% by 2030 from a 2020 base year. We commit to continue active annual sourcing of 100% renewable electricity through 2030.
Scope 3 categories 1-14: Reduce absolute scope 3Scope 3Other direct emissions from all activities, occurring from sources that aren’t owned or controlled by a business. These are usually the greatest share of any business’s carbon footprint, covering emissions associated with business travel, procurement, waste and water. For Tribe, this includes the investments we make. read more GHG emissions 50% by 2030 from a 2020 base year.
Scope 3 Portfolio Targets
Headline target: Our portfolio targets cover 75% of our total investment and lending by assets under management as of 2020. As of that year, required activities made up 75% of our total investment and lending by assets under management while optional activities made up 14% and out of scope activities made up 11%.
- Real Estate: We have utilised a Sector Decarbonization Approach (SDA) here that commits the business to reduce its real estate portfolio GHG emissions 60% per square meter by 2030 from a 2020 base year.
- Electricity Generation Project Finance: We have utilised an SDA approach here based on maintenance of the business’s current levels of performance and that commits the business to continue providing electricity generation project finance for only renewable electricity through 2030.
- Listed Equity and Corporate Bonds:
- We have utilised a Temperature Rating (TR) approach here that commits the business to align its Scope 1 + 2 portfolio temperature score by invested value within the listed equity and corporate bond portfolio from 2.71°C in 2020 to 2.29°C by 2027; and
- its Scope 1 + 2 + 3 portfolio temperature score by invested value within the listed equity and corporate bond portfolio from 2.89°C in 2020 to 2.39°C by 2027.
More information can be found in our 5th Annual Sustainability Report
