Climate Change Data

ESAF Small Finance Bank Ltd.

Climate Impact & Sustainability Data (2019-04 to 2020-09, 2023-04 to 2024-03)

Reporting Period: 2019-04 to 2020-09

Environmental Metrics

Total Carbon Emissions:430445 tonnes CO2 reduction

ESG Focus Areas

  • Financial Inclusion
  • Sustainable Development Goals (UN SDGs)
  • Clean Energy
  • Livelihood Development
  • Environmental Protection
  • Community Development
  • Women Empowerment
  • Corporate Governance

Environmental Achievements

  • Financing of 479,191 clean energy products, resulting in a 430,445-tonne CO2 emission reduction.
  • Promotion of Greenway cookstoves, reducing fuel consumption and smoke emissions.
  • Distribution of solar lamps in unelectrified rural areas.

Social Achievements

  • Reaching 42.5 lakh customers.
  • Providing doorstep banking services.
  • Implementation of Vayojyoti (senior citizen support) and Balajyothi (children's development) programs.
  • Financial literacy programs for various demographic segments.
  • Livelihood development initiatives impacting thousands of women.
  • Support for Farmer Producer Organizations (FPOs).
  • Community development projects in various states.

Governance Achievements

  • Adherence to GRI Standards.
  • Robust code of conduct and risk management framework.
  • Establishment of various Board committees for oversight.
  • Whistleblower policy and vigil mechanism.

Climate Goals & Targets

Environmental Challenges

  • Serving underserved and unserved segments of the population.
  • Cost of serving small-value customers.
  • Low levels of financial literacy.
  • ESG risks related to vulnerable populations and micro/small enterprises.
Mitigation Strategies
  • Leveraging technology for greater financial inclusion.
  • Financial literacy programs.
  • Hand-holding, nurturing, and risk-sharing approach to ESG risk management.
  • Doorstep service delivery.
  • Holistic financial coverage through various lending products.

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Standards

UN Sustainable Development Goals

  • Goal 1: No Poverty
  • Goal 3: Good Health and Well-being
  • Goal 4: Quality Education
  • Goal 5: Gender Equality
  • Goal 7: Affordable and Clean Energy
  • Goal 8: Decent Work and Economic Growth
  • Goal 9: Industry, Innovation and Infrastructure
  • Goal 10: Reduced Inequalities

ESAF's initiatives are aligned with various SDGs through financial products, services, and community development projects.

Sustainable Products & Innovation

  • Clean Energy Loans
  • Greenway Cookstoves
  • Solar Lamps
  • Water Purifiers

Awards & Recognition

  • Energy & Environment Foundation Global Sustainability Award 2020

Reporting Period: 2023-04 to 2024-03

Environmental Metrics

Total Carbon Emissions:36730.80 tCO2e/year (Scope 2) + 15.88 tCO2e/year (Scope 1)
Scope 1 Emissions:15.88 tCO2e/year
Scope 2 Emissions:36730.80 tCO2e/year
Renewable Energy Share:0%
Total Energy Consumption:184,932.41 GJ/year
Water Consumption:77,332 m3/year
Waste Generated:34.4 tons/year
Carbon Intensity:0.000001519 tCO2e/rupee of turnover (Scope 1 & 2)

ESG Focus Areas

  • Financial Inclusion
  • Sustainability
  • Long-term Value Creation
  • Gender Diversity
  • Environmental Stewardship
  • Ethical Governance

Environmental Achievements

  • Launched impactful measures, including financing clean energy projects and reducing carbon footprint through energy-efficient practices.
  • Ambitious goal to install 200,000 renewable energy systems by 2027 (1 GW capacity).

Social Achievements

  • Financial inclusion initiatives empowered lakhs of women and households.
  • 81% of customers are women.
  • 92% of loan book is Priority Sector Lending (PSL).
  • ESAF Dhansree and ESAF Utthan reached thousands, empowering them with tools for financial independence.

Governance Achievements

  • Reinforced governance frameworks to align with international best practices.
  • ESG Rating governance score of 73.9 (top quartile of industry).
  • Governance transparency score of 88.2.
  • Zero reported data breaches over the past two years and ISO 27001 certification.

Climate Goals & Targets

Medium-term Goals:
  • Impacting 10 million direct customers through SDGs by 2027
  • Fostering local sustainable economic growth through 1 million JLGs by 2027
  • Fostering food security through financial services to 5 million farmers by 2027
  • Fostering energy security through 200,000 renewable energy installations (1 GW) by 2027

Environmental Challenges

  • Deposit mobilisation and cost management challenges.
  • Increased share of bulk deposits and premium interest rates.
  • Scope 3 emissions and energy efficiency improvements needed.
Mitigation Strategies
  • Focus on alternative funding strategies, including securitization and refinancing lines.
  • Paperless initiatives, energy conservation measures, and annual "Green Protocol" audit across branches.

Supply Chain Management

Responsible Procurement
  • Prioritises procurement from local and vulnerable groups.

Climate-Related Risks & Opportunities

Opportunities
  • Development of energy-efficient products and services

Reporting Standards

Frameworks Used: BRSR, GRI

Certifications: ISO 26000:2010, ISO 27001, ISO 9001:2015

UN Sustainable Development Goals

  • SDG 1
  • SDG 5
  • SDG 8
  • SDG 9
  • SDG 10
  • SDG 12
  • SDG 13
  • SDG 15
  • SDG 16

ESAF Bank integrates its operations with the Sustainable Development Goals, ensuring that its growth and success contribute to creating an equitable and inclusive society.

Sustainable Products & Innovation

  • Go Green Vehicle Loans
  • Clean Energy Loans

Awards & Recognition

  • Bronze at Cannes Lions in the SDG category (Dabba Savings Account campaign)