Climate and environment

• Net Zero Banking Alliance
• 100% renewable electricity sources in Italy
• Reduction of direct emissions from 2019

In September 2022 we published our first climate reporting based on the recommendations of the Task Force on Climate-Related Financial Disclosures (“TCFD”), based on four pillars – Governance, Strategy, Risk Management, and Metrics and Targets – to provide a full overview of the Group’s approach to the risks and opportunities deriving from climate-related issues. The report also contains the Group’s first decarbonization objectives per sector (to 2030), in line with the requirements of the Net-Zero Banking Alliance, to which Mediobanca became a signatory in 2021.

By joining the Net Zero Banking Alliance (NZBA), we acknowledge our responsibility and bolster our willingness to contribute to the climate transition of the international banking sector.

The NZBA brings together banks that are committed to aligning their lending and investment portfolios with goals of achieving net zero emissions by 2050, in line with those set by the Paris Climate Agreement.

As a financial group, our commitment to environmental protection is focused on direct and indirect impacts. For both impact areas, specific objectives have been identified, some of which have been integrated into the 2019-2023 strategic plan, and initiatives have commenced to reach them.

Reducing direct impacts

We are striving to reach the target of zero emissions (Scope 1, 2 and 3) by 2050. Targets to 2023 94% energy from renewable resources; Emissions reduced by 111%; Hybrid cars covering 722% of the Mediobanca Group fleet in Italy Initiatives Activities to reduce energy consumption and CO2 emissions.

<sup>1. Target adjusted from the original (15%) because of delays in the delivery of hybrid vehicles and the use of fuel cards being extended to the entire commercial segment and car fleet.
2. Target adjusted from the original figure of 90% due to delays in the delivery of electric and hybrid vehicles as a result of first the pandemic then the war</sup>

Reducing indirect impacts

Targets to 2023 Issue of a €500bn green bond; Issue of a carbon neutral fund (RAM); +50% of 'green' mortgages by CheBanca! Initiatives Joining the Net Zero Bank Alliance, projects supporting energy transition and issuing new financial instruments in the ESG area.

 

NZBA targets for 2030 and 2050

Sector	Target metric	Baseline 2021	Intermediate target 2030	Net zero target	Net zero target year
Power	tCO2 /MWH	0,24	0,08	0	2040
Automotive	gCO2/KM	208	115	4	2050

As a member of the Net Zero Banking Alliance, the Group has set climate objectives for its proprietary credit exposure in the Power and Automotive sectors, for both Mediobanca S.p.A. and Mediobanca International (Luxembourg) SA.

Although we do not have the same reach as some large commercial banks, we do have a significant national presence that requires us to seriously address the reduction of our consumption (water and paper) and the proper management and treatment of waste.