Climate Change Data

IFM Investors Pty Ltd

Climate Impact & Sustainability Data (2023-07 to 2024-06)

Reporting Period: 2023-07 to 2024-06

Environmental Metrics

ESG Focus Areas

  • Net Zero transition
  • Efficient use of resources
  • Biodiversity protection and nature restoration
  • Human rights
  • Labour rights
  • Inclusive workplace culture
  • Community engagement and Indigenous people

Environmental Achievements

  • ERG completed two onshore wind repowering projects in Italy in 2023, doubling production.
  • 100% of existing wind turbines and masts at Partinico-Monreale and Camporeale wind farms were recycled or sold for reuse.
  • Naturgy achieved a 41% reduction of its scope 1 and 2 emissions compared to the 2017 baseline as of the end of 2023.

Social Achievements

  • Partnership with industry superannuation funds to explore opportunities to invest in social and affordable housing at scale.
  • Memorandum of Understanding (MoU) with the International Trade Union Confederation (ITUC) to respect labour rights.
  • Development of sectoral charters for Seaports and Airports to facilitate mutually beneficial engagement between IFM and the ACTU.

Governance Achievements

  • Updated Sustainable Investing Guidelines detail seven focus themes and principles.
  • Refreshed core values: Prioritise Client Outcomes, Achieve Together, Value Everyone, and Embrace Growth.
  • Commenced a review of proxy voting guidelines with an updated version expected in FY25.

Climate Goals & Targets

Long-term Goals:
  • Reduce greenhouse gas emissions, targeting net zero across our asset classes (scope 1 and scope 2 emissions) by 2050.
Medium-term Goals:
  • Achieve a 45% reduction in scope 1 and scope 2 emissions by 2030 (from a 2020 baseline) for our private equity portfolio.
Short-term Goals:
  • Reduce scope 1 and scope 2 emissions by at least 1.97 mtCO2e across our infrastructure equity portfolio by 2030 (against the adjusted 2019 baseline of 6.0 mtCO2e).

Environmental Challenges

  • Modest economic growth and persistent inflation.
  • Data challenges (availability, accuracy, verifiability, and data gaps).
  • Evolving sustainability-related metrics and methodologies.
  • New and evolving regulatory requirements.
Mitigation Strategies
  • Refined sustainable investing approach.
  • Updated Sustainable Investing Guidelines.
  • Collaboration with academics and industry stakeholders.
  • Regular updates to due diligence toolkits and risk matrices.
  • Enhanced information requests to support analysis of climate risks.

Supply Chain Management

Responsible Procurement
  • Supplier Code of Conduct (under development)
  • Prioritising First Nations suppliers

Climate-Related Risks & Opportunities

Physical Risks
  • Extreme weather events
Transition Risks
  • Policy changes
  • Technological shifts
Opportunities
  • Investment in renewable energy and green technologies

Reporting Standards

Frameworks Used: GRI, TCFD, UN PRI, UK Stewardship Code

Certifications: Climate Active