RCBC, first to join global greenhouse gas accounting partnership
The Rizal Commercial Banking Corporation (RCBC) is the first Philippine bank to join the Partnership for Carbon Accounting Financials (PCAF) as part of its commitment towards sustainable growth and environmental protection.
As a PCAF participant, RCBC commits to disclose the greenhouse gas (GHG) emissions of its portfolio within three years from joining the organization. PCAF is an initiative among financial institutions worldwide to enable harmonized assessments and disclosures of GHG emissions financed by loans and investments.
“The disclosure of GHG emissions is a decisive step for us to understand the climate impact of the businesses that we support. The lower the GHG emissions, the better for the environment,” said RCBC President and CEO Eugene S. Acevedo.
With more than 150 banks and investors from five continents, 20 of which are from Asia Pacific, PCAF is rapidly expanding in North America, Latin America, Europe, Africa and Asia-Pacific. Some of the other PCAF participants are Bank of America, Barclays, Citi, and Deutsche Bank AG.
Acevedo said that the PCAF methodology will enable the Yuchengco-led bank to measure and generate baseline data on the GHG emissions of its portfolio and monitor it over time. This data can eventually be used as the foundation for emission reduction targets for a proper portfolio mix that is low-carbon and climate-resilient.
“This complements our goal to make a positive contribution to society by offering less financing to environmentally harmful enterprises and increasing support for cleaner businesses with less GHG emissions,” Acevedo further said.
RCBC’s participation in PCAF connects the bank to a global network of 150+ financial institutions that are practicing a uniform standard of reporting financed GHG emissions. By being a PCAF participant and committing to measure and disclose its financed emissions, the bank also contributes toward achieving the objectives of the Paris Agreement.
In December last year, RCBC declared that it will no longer finance coal-fired power projects, making it one of the first few banks in the Philippines to formally turn its back on environmentally adverse projects. RCBC also committed to financing renewable energy projects in the country, in line with its Sustainable Finance Framework and in support of the government’s move toward cleaner energy.
About Rizal Commercial Banking Corporation (RCBC)
RCBC is a leading financial services provider in the Philippines offering a wide range of banking and financial products and services. RCBC is engaged in all aspects of traditional banking, investment banking, microfinance, retail financing (auto, mortgage and housing loans, and credit cards), remittance, leasing, foreign exchange, and stock brokering. RCBC is a member of the Yuchengco Group of Companies (YGC), one of the oldest and largest conglomerates in South East Asia. For more information, please visit https://www.rcbc.com
About the Partnership for Carbon Accounting Financials (PCAF)
The Partnership for Carbon Accounting Financials (PCAF) was created in 2015 by Dutch financial institutions and then launched globally in September 2019. PCAF participants work together to jointly develop the Global GHG Accounting and Reporting Standard for the Financial Industry to measure and disclose the greenhouse gas emissions of their loans and investments. By doing so, PCAF participants take an important step to assess climate-related risks, set targets in line with the Paris Climate Agreement and develop effective strategies to decarbonize society.