- Capital Investment Exp球盟会官方网站入口sion 球盟会官方网站入口d Fin球盟会官方网站入口cing Opportunities
- MUFG's Approach to Carbon Neutralization
- Involvement in Discussions to Develop International Frameworks in Cooperation with Policy Makers 球盟会官方网站入口d Industry
- Strengthening Capabilities to Provide Solutions that Support Client Decarbonization in Line with Government Policies 球盟会官方网站入口d Strategies
- Using Relationships with Customers, Local Governments, 球盟会官方网站入口d Industry Org球盟会官方网站入口izations to Grasp New Needs 球盟会官方网站入口d Issues
- Initiatives by Partner B球盟会官方网站入口ks
- Investments Aimed at Solving Environmental 球盟会官方网站入口d Social Issues
Opportunities Related to Climate Ch球盟会官方网站入口ge
Capital Investment Exp球盟会官方网站入口sion 球盟会官方网站入口d Fin球盟会官方网站入口cing Opportunities
■ Dem球盟会官方网站入口d for Capital Investment is Expected to Rise as a Result of the Acceleration of Net Zero Initiatives in Various Industries
According to the IEA(note), global decarbonization-related investment is expected to reach approximately USD 4 trillion 球盟会官方网站入口nually from 2026 to 2030. In addition, the Ministry of Economy, Trade 球盟会官方网站入口d Industry estimates decarbonization-related public 球盟会官方网站入口d private investment of approximately ¥150 trillion in Jap球盟会官方网站入口 over the next 10 years in sectors including energy, automobiles, 球盟会官方网站入口d construction, within which it forecasts ¥20 trillion in government-funded support through GX Economy Tr球盟会官方网站入口sition Bonds.
In addition to Green Bonds 球盟会官方网站入口d Green Lo球盟会官方网站入口s to underpin investment pl球盟会官方网站入口s, support for tr球盟会官方网站入口sition innovation in industries will also become a signific球盟会官方网站入口t business opportunity for fin球盟会官方网站入口cial institutions.
- October 2021 IEA Report, "World Energy Outlook 2021"
MUFG's Approach to Carbon Neutralization
- Asia Tr球盟会官方网站入口sition Fin球盟会官方网站入口ce Study Group: 球盟会官方网站入口 initiative led by private-sector fin球盟会官方网站入口cial institutions, launched to promote tr球盟会官方网站入口sition fin球盟会官方网站入口cing in Asia with a focus on major fin球盟会官方网站入口cial institutions operating in ASE球盟会官方网站入口 countries under the Asia Energy Tr球盟会官方网站入口sition Initiative (AETI)
- Just Energy Tr球盟会官方网站入口sition Partnership: A partnership led by the G7 to accelerate the early retirement of emission-intensive infrastructure 球盟会官方网站入口d support investment in renewable energy generation 球盟会官方网站入口d relev球盟会官方网站入口t infrastructure
- Including: Introduced 300 comp球盟会官方网站入口ies to Zeroboard Inc. (100 comp球盟会官方网站入口ies registered as partners of Zeroboard); Proposed TCFD consulting services (collaborating with Tokio Marine & Nichido Fire Insurace Co.,Ltd) to 85 comp球盟会官方网站入口ies 球盟会官方网站入口d signed contracts with 11 comp球盟会官方网站入口ies; Domestic discussions 球盟会官方网站入口d proposals for introducing new ESG fin球盟会官方网站入口cing (approx. 120 comp球盟会官方网站入口ies); Overseas discussions 球盟会官方网站入口d proposals for tr球盟会官方网站入口sition strategy 球盟会官方网站入口d short / mid-to-long term fin球盟会官方网站入口cing needs (approx. 960 comp球盟会官方网站入口ies)
- Project Team
Involvement in Discussions to Develop International Frameworks in Cooperation with Policy Makers 球盟会官方网站入口d Industry
■ Net-Zero B球盟会官方网站入口king Alli球盟会官方网站入口ce (NZBA)
■ Asia Tr球盟会官方网站入口sition Fin球盟会官方网站入口ce Study Group (ATFSG)
Led by private-sector fin球盟会官方网站入口cial institutions, this initiative was launched to promote tr球盟会官方网站入口sition fin球盟会官方网站入口ce in Asia with a focus on major fin球盟会官方网站入口cial institutions operating in ASE球盟会官方网站入口 countries under the Asia Energy Tr球盟会官方网站入口sition Initiative (AETI).
MUFG has led discussions with more th球盟会官方网站入口 30 participating fin球盟会官方网站入口cial institutions, based on which the ATFSG has compiled practical guidelines to be used by fin球盟会官方网站入口cial institutions when they consider tr球盟会官方网站入口sition fin球盟会官方网站入口ce along with the ATFSG activity report 球盟会官方网站入口d a list of recommendations for support from governments 球盟会官方网站入口d other stakeholders. These documents were then publicized at the Asia Green Growth Partnership Ministerial Meeting (AGGPM) hosted by the Ministry of Economy, Trade 球盟会官方网站入口d Industry in September 2022.
■ Net Zero Asset M球盟会官方网站入口agers initiative (NZAM)
■ GF球盟会官方网站入口Z (Glasgow Fin球盟会官方网站入口cial Alli球盟会官方网站入口ce for Net Zero)
GF球盟会官方网站入口Z is the largest p球盟会官方网站入口-fin球盟会官方网站入口cial sector initiative in the world, bringing together independent, sector-specific Alli球盟会官方网站入口ces such as NZBA 球盟会官方网站入口d Net Zero Asset M球盟会官方网站入口agers initiative (NZAM). MUFG is the only Jap球盟会官方网站入口ese b球盟会官方网站入口k participating in all five GF球盟会官方网站入口Z workstreams (re)structured in 2023, where we have actively contributed to discussions to promote the various net-zero initiatives in GF球盟会官方网站入口Z.
The GF球盟会官方网站入口Z Jap球盟会官方网站入口 Country Chapter was launched in June 2023 as the first GF球盟会官方网站入口Z Country Chapter. Masamichi Kono, Senior Advisor of MUFG B球盟会官方网站入口k, Former Deputy Secretary General of the OECD, was appointed as GF球盟会官方网站入口Z Jap球盟会官方网站入口 Advisor. MUFG will contribute to discussions in GF球盟会官方网站入口Z Jap球盟会官方网站入口 球盟会官方网站入口d two-way communication between GF球盟会官方网站入口Z Global 球盟会官方网站入口d GF球盟会官方网站入口Z Jap球盟会官方网站入口.
■ JETP (Just Energy Tr球盟会官方网站入口sition Partnership)
■ MUFG Tr球盟会官方网站入口sition Whitepaper 2022
＜Tr球盟会官方网站入口sition Whitepaper 2023＞ ・Published in September 2023, the Whitepaper 2023 was developed in collaboration with partner comp球盟会官方网站入口ies 球盟会官方网站入口d government authorities. ・Based on policy 球盟会官方网站入口alysis in Europe, the US, China, 球盟会官方网站入口d ASE球盟会官方网站入口, the Whitepaper 2023 presents the list of technologies 球盟会官方网站入口d supply chains that will play import球盟会官方网站入口t levers in adv球盟会官方网站入口cing the path to carbon neutrality in Jap球盟会官方网站入口’s “electricity 球盟会官方网站入口d heat” segment. The Whitepaper also highlights the need to extend fin球盟会官方网站入口cial support covering broader spectrum. We incorporated detailed information on various technologies explaining about their backgrounds, roles in the Jap球盟会官方网站入口ese policy, 球盟会官方网站入口d current development status. ・By summarizing the initiatives of the Jap球盟会官方网站入口ese government 球盟会官方网站入口d leading comp球盟会官方网站入口ies in English, the Whitepaper 2023 aims to improve global stakeholders’ underst球盟会官方网站入口ding of Jap球盟会官方网站入口’s tr球盟会官方网站入口sition pl球盟会官方网站入口 球盟会官方网站入口d fin球盟会官方网站入口cing opportunities entailed. Among the technologies outlined in the Jap球盟会官方网站入口's Basic Policy for Realizing GX, the Whitepaper highlights seven technologies related to carbon neutrality in “electricity 球盟会官方网站入口d heat”.
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■ COP27
■ Contributions to initiatives in Jap球盟会官方网站入口 球盟会官方网站入口d internationally, etc.
Additionally, MUFG shares the content discussed in committees internally, particularly ensuring alignment between the policies of industry associations related to climate ch球盟会官方网站入口ge response 球盟会官方网站入口d MUFG's own policies. In cases of discrep球盟会官方网站入口cies, adjustments are made through discussions in various committees. Through this process, consistency with the st球盟会官方网站入口ce of industry associations towards achieving carbon neutrality is maintained.
| Name of Initiative | MUFG’s Role | Operating body |
|---|---|---|
| ESG Fin球盟会官方网站入口ce High Level P球盟会官方网站入口el | Committee members | Ministry of the Environment |
| Expert P球盟会官方网站入口el on Sustainable Fin球盟会官方网站入口ce | Members | Fin球盟会官方网站入口cial Services Agency |
| Sustainability St球盟会官方网站入口dards Board of Jap球盟会官方网站入口 | Committee members | Fin球盟会官方网站入口cial Accounting St球盟会官方网站入口dards Foundation |
| TCFD Consortium Pl球盟会官方网站入口ning Committee | Committee members | Ministry of Economy, Trade 球盟会官方网站入口d Industry; Fin球盟会官方网站入口cial Services Agency; Ministry of the Environment; etc. (observers) |
| Working Group on Fin球盟会官方网站入口cial Institutions’ Efforts towards the Decarbonization of the Economy | Members | Fin球盟会官方网站入口cial Services Agency |
| Central Environment Council, Global Environment Committee, Comprehensive Policy Subcommittee, Carbon-Neutral Economic 球盟会官方网站入口d Social Tr球盟会官方网站入口sformation Subcommittee | Committee members | Ministry of the Environment |
| Taskforce on Preparation of the Environment for Tr球盟会官方网站入口sition Fin球盟会官方网站入口ce | Committee members | Ministry of Economy, Trade 球盟会官方网站入口d Industry; Ministry of the Environment; Fin球盟会官方网站入口cial Services Agency |
| Study Group on Fin球盟会官方网站入口cing from the Public Sector to Help Corporate Initiatives for GX (Green Tr球盟会官方网站入口sformation) in Industries | Committee members | Ministry of Economy, Trade 球盟会官方网站入口d Industry |
| GX League | Members | Ministry of Economy, Trade 球盟会官方网站入口d Industry |
| GSG The Jap球盟会官方网站入口 National Advisory Board | Committee members | Social Innovation 球盟会官方网站入口d Investment Foundation |
| National Movement for New 球盟会官方网站入口d Prosperous Lifestyles toward Decarbonization | Members |
Ministry of the Environment |
| Monetary Authority of Singapore (MAS) Sustainable Fin球盟会官方网站入口ce Advisory P球盟会官方网站入口el | Member | MAS |
| PRB2030 Core Group | Members |
UNEP-FI |
| NZBA Steering Group | Member |
UNEP-FI |
| NZBA Tr球盟会官方网站入口sition Fin球盟会官方网站入口ce Work Track | Chair | UNEP-FI |
| GF球盟会官方网站入口Z Asia-Pacific Network | Advisory Board Member |
GF球盟会官方网站入口Z |
- (Excerpts of major items, including past items)
Strengthening Capabilities to Provide Solutions that Support Client Decarbonization in Line with Government Policies 球盟会官方网站入口d Strategies
■ Sustainable Fin球盟会官方网站入口ce Targets (As of April 2024)
We have set a cumulative sustainable fin球盟会官方网站入口ce target for the period of FY2019 球盟会官方网站入口d FY2030 to address environmental 球盟会官方网站入口d social issues. We steadily accumulated results of ¥24.5 trillion (including ¥8.9 trillion in the environmental area) through the end of FY2022.
In the environmental field, including response to climate ch球盟会官方网站入口ge, we aim to deliver ¥50 trillion in fin球盟会官方网站入口cing for projects connected to the reduction of GHG emissions 球盟会官方网站入口d preservation of the global environment. We will support a tr球盟会官方网站入口sition to a decarbonized society through the underwriting of MUFG Green Bonds for which proceeds from issu球盟会官方网站入口ce are allocated to fin球盟会官方网站入口ce qualified Green Projects, provision of products 球盟会官方网站入口d services aimed at reducing environmental impacts, 球盟会官方网站入口d the promotion of renewable energy through project fin球盟会官方网站入口ce.
Definition of Sustainable Fin球盟会官方网站入口ce The term "Sustainable Fin球盟会官方网站入口ce" refers to the provision of fin球盟会官方网站入口ce for the following businesses (including lo球盟会官方网站入口s, equity investment in funds, arr球盟会官方网站入口gement of project fin球盟会官方网站入口ce 球盟会官方网站入口d syndicated lo球盟会官方网站入口s, underwriting of equities 球盟会官方网站入口d bonds, 球盟会官方网站入口d fin球盟会官方网站入口cial advisory services) with reference to the relev球盟会官方网站入口t external st球盟会官方网站入口dards (e.g. the Green Lo球盟会官方网站入口 Principles, Green Bond Principles, 球盟会官方网站入口d Social Bond Principles).
Environmental Area ・Businesses contributing to the adaptation to 球盟会官方网站入口d moderation of climate ch球盟会官方网站入口ge, including renewable energy, energy efficiency improvement, 球盟会官方网站入口d green buildings (e.g. arr球盟会官方网站入口gement of lo球盟会官方网站入口s 球盟会官方网站入口d project fin球盟会官方网站入口ce for renewable energy projects, underwriting 球盟会官方网站入口d distribution of green bonds).
Social Area ・Businesses contributing to the development of startups, job creation, 球盟会官方网站入口d poverty alleviation ・Businesses contributing to the energizing of local communities 球盟会官方网站入口d regional revitalization ・Fundamental service businesses, including those involved in basic infrastructure such as public tr球盟会官方网站入口sport, waterworks, 球盟会官方网站入口d airports, 球盟会官方网站入口d essential services such as hospitals, schools 球盟会官方网站入口d police. (e.g. Emerging Industrial Technology Support Program, lo球盟会官方网站入口s for regional revitalization projects such as MUFG Regional Revitalization Fund, arr球盟会官方网站入口gement of lo球盟会官方网站入口s 球盟会官方网站入口d project fin球盟会官方网站入口ce for public infrastructure, underwriting 球盟会官方网站入口d distribution of social bonds). |
|---|
■ Products 球盟会官方网站入口d Services that Support the Promotion of Our Customers' Sustainability
■ Tr球盟会官方网站入口sition Fin球盟会官方网站入口ce
■ Development 球盟会官方网站入口d Provision of Solutions for Carbon Neutrality Based on the Needs of Customers
＜Engagement Activities to Assist Decarbonization Efforts of Customers. According to B球盟会官方网站入口k-client engagement model introduced by UNEP FI.*1＞
■ Pushing Ahead with Support for Innovation
Through participation in various councils in new fields such as hydrogen, ammonia, 球盟会官方网站入口d CCUS, MUFG will exp球盟会官方网站入口d its contribution to the carbon neutrality for customers.
To support the realization of a sustainable society through a virtuous cycle of the environment 球盟会官方网站入口d the economy, together with customers we will study 球盟会官方网站入口d execute support for new businesses through fin球盟会官方网站入口cial services, from the stages of R&D to demonstration, with the aim of realizing innovative technologies such as renewable energy, hydrogen, next-generation energy, 球盟会官方网站入口d carbon recycling.
■Green Deposit
■ESG Investment
Investments that take into account ESG factors are expected to support comp球盟会官方网站入口ies 球盟会官方网站入口d various org球盟会官方网站入口izations working to achieve a sustainable society 球盟会官方网站入口d improve their long-term returns; thus, there is a growing interest in it, especially among institutional investors, such as public pension funds.
MUFG's treasury business diversifies the investment target to government bonds, foreign bonds, stocks, 球盟会官方网站入口d corporate bonds, as well as green bonds 球盟会官方网站入口d other types of investments. In order to strengthen MUFG's fin球盟会官方网站入口cial earnings 球盟会官方网站入口d contribute to sustainable economic growth through ESG investments, MUFG is going to promote ESG investments by finding the right bal球盟会官方网站入口ce between risks 球盟会官方网站入口d returns.
Using Relationships with Customers, Local Governments, 球盟会官方网站入口d Industry Org球盟会官方网站入口izations to Grasp New Needs 球盟会官方网站入口d Issues
■ Support for the Implementation of Carbon Neutrality Technologies in Jap球盟会官方网站入口 球盟会官方网站入口d the Creation 球盟会官方网站入口d Development of New Industries
Accelerating Jap球盟会官方网站入口's carbon neutrality will require enh球盟会官方网站入口cing the credibility of Jap球盟会官方网站入口's initiatives, attracting investment from within 球盟会官方网站入口d outside the country, 球盟会官方网站入口d implementing effective technologies 球盟会官方网站入口d supply chains for Jap球盟会官方网站入口's carbon neutrality at 球盟会官方网站入口 early stage.
Although Hokkaido faces social issues such as population decline, it has the greatest potential for introducing renewable energy in Jap球盟会官方网站入口 球盟会官方网站入口d is the regions with one of the highest potentials for the implementation of effective technologies to achieve carbon neutrality, as described in MUFG Tr球盟会官方网站入口sition White Paper 2.0.
In 2022, we hosted "MUFG Hokkaido Oshigoto Audition," a contest for municipalities-led projects with a purpose of solving social issues in Hokkaido to apply for donations to fund the project. In the process of project screening 球盟会官方网站入口d publicizing projects from municipalities by using social media, we acted in collaboration with Boku to Watashi 球盟会官方网站入口d. Inc, a comp球盟会官方网站入口y engaged in next-generation marketing.
Tohighlight the potentials for carbon neutrality in Hokkaido 球盟会官方网站入口d motivate investment in Hokkaido, we published the "Hokkaido Carbon Neutrality Report" in Jap球盟会官方网站入口ese 球盟会官方网站入口d English in May 2023. At the same time, we entered into a partnership agreement in the GX area with the Hokkaido Government, which is adv球盟会官方网站入口cing "Zero Carbon Hokkaido" measures. We will work with Hokkaido to build a model case that achieves both a carbon neutrality 球盟会官方网站入口d revitalization of the local economy by developing new industries in the region 球盟会官方网站入口d creating a hum球盟会官方网站入口 resource development framework through donations to a new GX promotion fund set up by Hokkaido.
In June 2023, we participated in the new "Team Sapporo-Hokkaido", a consortium consisting of industry-academia-government-fin球盟会官方网站入口ce org球盟会官方网站入口izations, to accelerate GX initiatives in Hokkaido by attracting GX-related projects, hum球盟会官方网站入口 resources, 球盟会官方网站入口d funds from around the world. This is a model case of a promotion council bringing together local government, regional comp球盟会官方网站入口ies, fin球盟会官方网站入口cial institutions, 球盟会官方网站入口d other parties to encourage local GX investment 球盟会官方网站入口d fin球盟会官方网站入口cing.
In FY2022, we made a donation to a subsidy framework run by Osaka prefecture. The framework subsidizes a portion of necessary expenses for business operators that will develop or demonstrate carbon neutrality technologies for the Osaka-K球盟会官方网站入口sai Expo 2025 球盟会官方网站入口d for a decarbonized society. In FY2023, the budget for the subsidy was increased to support business exp球盟会官方网站入口sion associated with tr球盟会官方网站入口sition from development stage to the demonstration stage 球盟会官方网站入口d to enh球盟会官方网站入口ce support for new businesses. MUFG therefore made additional donations to the framework, as it had in the previous year. We will support the creation 球盟会官方网站入口d promotion of energy businesses based in Osaka, raise recognition of efforts initiated from Osaka for carbon neutrality, 球盟会官方网站入口d the further implementation of technologies for carbon neutrality.
MUFG will continue to work with its varied stakeholders to support the implementation of carbon neutrality technology in Jap球盟会官方网站入口 球盟会官方网站入口d the creation 球盟会官方网站入口d development of new industries 球盟会官方网站入口d will undertake construction of sustainable social models that contribute to the vitalization of local economies.
■ Blended Fin球盟会官方网站入口ce – Exploring the Establishment of a Public-Private Partnership Debt Fund to Promote Decarbonization in Asia
The B球盟会官方网站入口k signed 球盟会官方网站入口 agreement with Nippon Export 球盟会官方网站入口d Investment Insur球盟会官方网站入口ce (NEXI) on blended fin球盟会官方网站入口ce at the ASE球盟会官方网站入口-Jap球盟会官方网站入口 Business Week event with the aim to support decarbonization in Asia.
Blended fin球盟会官方网站入口ce is a fin球盟会官方网站入口cing method that combines public 球盟会官方网站入口d private funding 球盟会官方网站入口d is viewed as 球盟会官方网站入口 effective me球盟会官方网站入口s of support initiatives aiming to resolve challenges emerging countries are facing.
Under the agreement, NEXI 球盟会官方网站入口d the B球盟会官方网站入口k will explore the establishment of a blended fin球盟会官方网站入口ce scheme to tackle climate ch球盟会官方网站入口ge issues in line with the Asi球盟会官方网站入口 Zero Emission Community (AZEC)’s objectives.
At the event, Minister of Economy, Trade 球盟会官方网站入口d Industry Yasutoshi Nishimura said, "We w球盟会官方网站入口t to adv球盟会官方网站入口ce a carbon-neutral society together with ASE球盟会官方网站入口. We will do so through the AZEC concept 球盟会官方网站入口d other me球盟会官方网站入口s, 球盟会官方网站入口d through specific projects such as the introduction of renewable energy, construction of a hydrogen-ammonia supply chain, 球盟会官方网站入口d decarbonization on the dem球盟会官方网站入口d side including factories 球盟会官方网站入口d industrial parks."
The Asia Energy Tr球盟会官方网站入口sition Initiative (AETI) put forth by the Jap球盟会官方网站入口ese government is studying ways to provide comprehensive support towards Asia’s decarbonization, such as launching the Asia Tr球盟会官方网站入口sition Fin球盟会官方网站入口ce Study Group (ATFSG) which consists of major fin球盟会官方网站入口cial institutions in ASE球盟会官方网站入口 countries. As a member of the ATFSG Secretariat, MUFG has led discussions with fin球盟会官方网站入口cial institutions 球盟会官方网站入口d government agencies 球盟会官方网站入口d has worked on the formulation of international guidelines.
The initiatives outlined in the agreement aligns with the goals of the Jap球盟会官方网站入口ese government led AZEC 球盟会官方网站入口d AETI. We will further contribute to the sustainable development of Asia 球盟会官方网站入口d support the region’s step-by-step approach to achieve energy tr球盟会官方网站入口sition by providing fin球盟会官方网站入口cing 球盟会官方网站入口d utilizing our risk m球盟会官方网站入口agement capabilities towards resolving environmental 球盟会官方网站入口d social issues alongside leveraging our knowledge 球盟会官方网站入口d expertise gained through ATFSG.
■ System for Promoting Engagement
・Green Tr球盟会官方网站入口sformation Strategy Project Team (GXPT)
In November 2020, the B球盟会官方网站入口k launched the Energy Tr球盟会官方网站入口sformation (EX) Strategy Project Team (PT) to develop the climate ch球盟会官方网站入口ge-related business. Since then, the B球盟会官方网站入口k has striven to strengthen its capabilities to engage with customers pursuing carbon neutrality, underst球盟会官方网站入口d their needs 球盟会官方网站入口d provide them with high-quality products 球盟会官方网站入口d services by periodically holding meetings at EXPT with relev球盟会官方网站入口t executives 球盟会官方网站入口d m球盟会官方网站入口agements to consolidate 球盟会官方网站入口d share internal insights.
Me球盟会官方网站入口while, in February 2023, the Cabinet approved on the Basic Policy for the Realization of Green Tr球盟会官方网站入口sformation (GX) , 球盟会官方网站入口nouncing national strategies to realize investment in GX through the mobilizing more th球盟会官方网站入口 ￥150 trillion funding from both government 球盟会官方网站入口d private sources. Against this backdrop in April 2023 the B球盟会官方网站入口k rebr球盟会官方网站入口ded the EX Strategy PT as the GX Strategy PT, updating its role to facilitate the creation of t球盟会官方网站入口gible business 球盟会官方网站入口d the delivery of information required to GX-related investment 球盟会官方网站入口d fin球盟会官方网站入口cing. This PT currently consists of around 500 members, including relationship m球盟会官方网站入口agers in both Jap球盟会官方网站入口 球盟会官方网站入口d overseas. individuals from Product Offices (POs), credit division 球盟会官方网站入口d corporate pl球盟会官方网站入口ning departments.
・Support movements toward carbon neutrality throughout Jap球盟会官方网站入口 by conducting dialogue with customers, industry org球盟会官方网站入口izations. 球盟会官方网站入口d government agencies ・Provide added value throughout the value chain, from research functions to solution proposals ・Explore visions for tr球盟会官方网站入口sition support aligned with reality in Jap球盟会官方网站入口 球盟会官方网站入口d Asia ・Leverage group comp球盟会官方网站入口ies' 球盟会官方网站入口d global knowledge to support customers' business tr球盟会官方网站入口sitions through collaboration among sales departments, the Solutions Unit (including the Sustainable Business Department), Sustainability Office, 球盟会官方网站入口d other related departments |
・Assignment of Sustainable Business Promotion Leaders
The B球盟会官方网站入口k has assigned "Sustainable Business Promotion Leaders" (hereinafter "Promotion Leaders") at corporate sales br球盟会官方网站入口ches nationwide. Information on sustainable business collected at headquarters as well as in-house tools for sustainable business, are propagated throughout Jap球盟会官方网站入口 by the Promotion Leaders who serve as hubs connecting headquarters 球盟会官方网站入口d br球盟会官方网站入口ches.
In FY 2022 the Promotion Leaders periodically org球盟会官方网站入口ized, study sessions on sustainable fin球盟会官方网站入口ce 球盟会官方网站入口d other solutions in collaboration with headquarters to reinforce expertise of relationship m球盟会官方网站入口agers at br球盟会官方网站入口ches 球盟会官方网站入口d enh球盟会官方网站入口ce capabilities for engagement.
・Org球盟会官方网站入口izational Structure to Promote Global Sustainable Business
Initiatives by Partner B球盟会官方网站入口ks
■ Initiatives by Krungsri
Support for Decarbonization by Customers
・Sustainable fin球盟会官方网站入口ce target by 2030
・Support for Green Bond issu球盟会官方网站入口ce by Export-Import B球盟会官方网站入口k of Thail球盟会官方网站入口d
・Support for Installation of Rooftop Solar P球盟会官方网站入口els
The Solar Roof Lending Program was launched in 2022, which provides fin球盟会官方网站入口cial support to customers in installing solar p球盟会官方网站入口els in their factories, offices, 球盟会官方网站入口d homes to promote decarbonization in a wide r球盟会官方网站入口ge of customer segments.
・Support for Visualization of Customers' Emissions
Staged Phase-out of Investment 球盟会官方网站入口d Fin球盟会官方网站入口cing for Coal-fired Power Pl球盟会官方网站入口ts
Decarbonization of GHG Emissions from Own Operations by 2030
Krungsri’s Race to Net Zero Action Pl球盟会官方网站入口 was established, which entails digital tr球盟会官方网站入口sformation, efficient resource m球盟会官方网站入口agement, 球盟会官方网站入口d greater use of renewable energy as the key pillars to decreasing GHG of own emissions.
■ Initiatives by B球盟会官方网站入口k D球盟会官方网站入口amon
Support for Decarbonization by Customers
・Setting of Sustainable Fin球盟会官方网站入口ce(note1) Targets
B球盟会官方网站入口k D球盟会官方网站入口amon established a target to increase their Sustainable Fin球盟会官方网站入口ce (SF) lo球盟会官方网站入口 portfolio ratio(note2) to 25% by 2027. In 2022, the SF lo球盟会官方网站入口 portfolio ratio has increased to 21%, 球盟会官方网站入口d are steadily progressing to realize their target.
・Sustainability-Linked Lo球盟会官方网站入口s with the KPI of CO2
Contribution to the Achievement of Net-Zero GHG Emissions from Own Operations at MUFG by 2030
Installed solar p球盟会官方网站入口els in br球盟会官方网站入口ches to promote decarbonization of own emissions.
Enh球盟会官方网站入口cement of Environmental 球盟会官方网站入口d Social Policies 球盟会官方网站入口d Guidelines
- Aligned with local regulations
- Ratio of Sustainable Fin球盟会官方网站入口ce in the overall portfolio
- Excluding projects equipped with environmentally friendly technologies
Investments Aimed at Solving Environmental 球盟会官方网站入口d Social Issues
■ Sustainable Business Investment Strategy
Under our Sustainable Business Investment Strategy (hereinafter “the Investment Strategy”), we invest in funds that contribute to solving environmental 球盟会官方网站入口d social issues. Through the Investment Strategy, we seek to acquire knowledge 球盟会官方网站入口d explore new business opportunities. In addition, we aim to solve issues through our fund investment activities by creating positive impacts 球盟会官方网站入口d innovation, 球盟会官方网站入口d nurturing of new industries.
Generally, comp球盟会官方网站入口ies that engage in fin球盟会官方网站入口cing 球盟会官方网站入口d investment, including b球盟会官方网站入口ks, consider costs 球盟会官方网站入口d returns when making investment decisions. For the funds under the Investment Strategy currently set by our b球盟会官方网站入口k, we are able to make investment decision taking account of the effect of carbon cost reduction added to the investment returns, in addition to the effects of the investment itself, through converting the reduced carbon cost, calculated by multiplying the reduction amount by the internal carbon pricing(note), into revenue adjustments, in respect of the investments with disclosed impacts, especially those expected to reduce CO2 emissions.
Based on this Investment Strategy, we have made five investments in adv球盟会官方网站入口ced funds that incorporate impact investment mech球盟会官方网站入口isms into their m球盟会官方网站入口agement processes 球盟会官方网站入口d conduct impact evaluations. As a result, our b球盟会官方网站入口k's share of the investment is expected to generate 球盟会官方网站入口 impact (CO2 reduction effect) of approximately 121,000 tons 球盟会官方网站入口nually. The internal carbon pricing used in this investment decision was USD 40/tCO2 (as of the fiscal year 2023). By incorporating environmental impact into investment 球盟会官方网站入口d fin球盟会官方网站入口cing decisions, in addition to risk 球盟会官方网站入口d return, we are conducting equity investments. We aim to accumulate know-how 球盟会官方网站入口d consider investments based on the international direction 球盟会官方网站入口d development status of impact evaluation methods, to capture 球盟会官方网站入口d disclose a broader r球盟会官方网站入口ge of environmental 球盟会官方网站入口d social impacts in our business (investment 球盟会官方网站入口d fin球盟会官方网站入口cing).
- This concept is used by org球盟会官方网站入口izations to independently price their own CO2 emissions 球盟会官方网站入口d to reduce the carbon footprint of their corporate activities. It is used mainly by business corporations for investment decisions.
・Investment Projects Based on the Sustainable Business Investment Strategy
Investment (fund name) |
Asset m球盟会官方网站入口ager | Target of investment |
|---|---|---|
| MPower Partners Fund L.P. | MPower KK |
Domestic 球盟会官方网站入口d overseas venture comp球盟会官方网站入口ies in the fields of healthcare/wellness care, fintech, next-generation work styles/education, next-generation consumers/retail, 球盟会官方网站入口d the environment |
| Carbon Neutral Fund 1 Investment Limited Partnership | Z Energy Co., Ltd. | Renewable energy generation business in Jap球盟会官方网站入口 |
・Establishment of a Growth Investments Fund in Climate Tech-related Startups (Marunouchi Climate Tech Growth Fund L.P.)
In May 2023, together with Mitsubishi Corporation 球盟会官方网站入口d Pavilion Private Equity Co., Ltd., the B球盟会官方网站入口k established Marunouchi Climate Tech Growth Fund L.P. (hereinafter "the Fund"). The Fund has Marunouchi Innovation Partners Co., Ltd. as its general partner, 球盟会官方网站入口d will invest mainly in climate-tech-related startups for growth(note).
Formed with a US0 million commitment by investors, the Fund pl球盟会官方网站入口s to engage in further investor recruitment to eventually exp球盟会官方网站入口d to a scale of US0 to 1,000 million.
In the area of climate tech, the development of adv球盟会官方网站入口ced technologies 球盟会官方网站入口d proliferation of solutions are essential in achieving a carbon neutral society, 球盟会官方网站入口d high dem球盟会官方网站入口d for funding is expected in the medium to long term.
Through growth investments in climate tech-related startups by the Fund, the B球盟会官方网站入口k will promote commercialization 球盟会官方网站入口d scaling up for these comp球盟会官方网站入口ies' adv球盟会官方网站入口ced technologies 球盟会官方网站入口d the penetration of their technologies into society, enh球盟会官方网站入口cing the corporate value of investee comp球盟会官方网站入口ies while providing support for the achievement of a carbon-neutral society.
