Environment Agency Pension Fund
Portfolio level – Portfolio decarbonisation reference target
Baseline: 30 December 2010
Target Year(s): 2025, 2030, 2045
Target(s): tC02e absolute emissions scopes 1 & 2:
- 2025 = 35,318 (87% reduction)
- 2030 = 14,580 (95% reduction)
- 2045 = net zero
Baseline performance: 276,485 tC02e (absolute emissions, scopes 1 & 2)
GHG scopes included: Scope 1 & 2 for all equities. Scope 3 to be included in due course.
Asset classes in scope: The above reductions are for our listed equity portfolio. Across all asset classes, we have a target of halving emissions by 2030 and getting to net zero by 2045.
Portfolio level – Investment in climate solutions target
Target year: 2025
Target: 17% of our investments across the portfolio will directly tackle climate change by helping to reduce emissions or build resilience.
Baseline: No baseline – target is a relative % of total investments.
Methodology: Those assets in the FTSE Sustainable classifications of renewable & alternative energy and energy efficiency and those private market funds from our Targeted Opportunities Portfolio (TOP) which directly tackle climate change through providing lower carbon alternatives.
Asset level – Portfolio coverage target
Approach: EAPF is currently undertaking a transition alignment analysis of its listed equity portfolio. Further to this, we will consider what further targets we may set and over which timescale.
Asset level – Engagement threshold target
Approach: The collective engagement baseline across the whole Brunel Pension Partnership is 47.3% of financed emissions. Further to the outcome of our transition alignment analysis, the EAPF will agree with the Brunel Pension Partnership on future engagement priorities and thresholds for action.
Scenario(s) used: IPCC scenario decarbonisation curve consistent with a 1.5C scenario (2010 baseline).