The plan reinforces Allianz’s unwavering commitment to achieving net-zero emissions by 2050 within its investment and property and casualty underwriting portfolios, while also setting an ambitious target to achieve net-zero emissions within its own operations by 2030.
The plan, meticulously outlined by Allianz, encompasses specific intermediate targets set for the year 2030. These targets are strategically designed to center on the reduction of greenhouse gas (GHG) emissions across all facets of Allianz’s business operations, investment portfolio, and property and casualty (P&C) insurance business.
Moreover, Allianz has made it clear that its aspirations go beyond its own corporate boundaries. The company has announced a series of comprehensive goals, which include a commitment to strengthening its engagement with customers and investee companies in their respective journeys towards net-zero emissions. Allianz also intends to significantly expand its investments in renewable energy, low-carbon technology, and sustainable mobility solutions. This proactive stance aims to not only drive positive change within Allianz but also to advocate for climate action on a broader scale.
A key highlight of the Allianz transition plan is its commitment to achieving a remarkable 150% profitable growth in revenues from renewable energy and low-carbon technology solutions within the commercial insurance segment by 2030, compared to the baseline year of 2022. This commitment underscores the company’s dedication to contributing to sustainability within the commercial insurance sector.
Furthermore, Allianz is taking notable steps to support emerging hydrogen technologies by providing insurance coverage for these innovations. Hydrogen is widely recognized as a critical component of the transition to a low-carbon economy.
To align with European Union (EU) sustainability regulations, Allianz is also making a substantial financial commitment. The company has pledged to invest an additional €20 billion in climate and cleantech solutions. This sizeable investment further demonstrates Allianz’s proactive approach to supporting clean and sustainable technologies while adhering to EU standards.
Allianz’s net-zero transition plan represents a significant stride towards a more sustainable future, with clear and ambitious targets across various aspects of its business operations. As the world grapples with the urgent need to combat climate change, Allianz’s commitment serves as a notable example of corporate responsibility and climate action within the financial services sector.
Allianz reports net-zero targets businesses, operations and investments
According to reports, Allianz’s corporate insurance business targets are to reduce emission intensity by 45% by 2030. Furthermore, in retail motor insurance, the company is targeting a 30% reduction in carbon emissions in nine key European markets by 2030 compared to 2022.
Emissions Reduction in Investment Portfolio:
- Allianz extends its commitment to its investment portfolio, with targeted reductions in emissions. The company aims to achieve an impressive 50% reduction in absolute owned emissions compared to the 2019 baseline, specifically for listed equity and corporate bonds, by the close of this decade. This commitment signifies Allianz’s unwavering resolve to integrate sustainability into its investment strategies.
- Moreover, Allianz is aligning all directly held real estate assets and joint ventures with the 1.5°C pathway, a significant step toward mitigating climate change.
- Greenhouse gas emissions stemming from investments in corporates, encompassing both listed and non-listed entities, will witness a substantial 50% reduction compared to 2019 levels. These actions underscore Allianz’s commitment to promoting low-carbon investments.
Emissions Reduction in High-Emitting Sectors:
- Allianz places significant emphasis on reducing emissions in sectors known for high emissions, including electricity utilities, oil and gas, steel, and automobiles. These reductions will be accomplished through active engagement with companies and active participation in sector-wide initiatives.
Transparency and Progress Reports:
- Allianz views its net-zero plan as a testament to its commitment to transparency, trustworthiness, and its role as a leader in the pursuit of full decarbonization of its insurance and investment portfolios by 2050.
- To keep stakeholders informed about its environmental goals and achievements, Allianz will provide annual progress reports.
“With extreme weather events, this summer has reinforced the urgency to act on climate change,” said Allianz CEO Oliver Bäte.
He added: “Governments, businesses and individuals must work together to build resilience and limit global warming to 1.5°C. Therefore, at Allianz, we are committed to delivering on our own net-zero targets, as well as partnering with our clients and investee companies in their transition. We believe our intermediate targets will help us realize our growth potential and contribute to a healthier, more secure future for everyone.”
