Climate Change Data

Environmental Metrics

ESG Focus Areas

• Economic
• Environmental
• Social
• Governance

Environmental Achievements

• Reduced paper consumption by 6% compared to the previous year (57,009 reams vs 60,898 reams)
• Reduced energy consumption by 20.85% compared to the previous year (111,908.63 GJ vs 141,379.69 GJ)
• BTPN Tower (head office) designed as a green building, minimizing energy use and CO2 emissions

Social Achievements

• Daya program empowered customers and communities through competence development, personal financial health, business growth capacity building, and sustainable living initiatives.
• Provided pre-retirement training to 5,608 participants.
• Provided training to 156,307 BTPN Wow! (Laku Pandai) agents.
• Increased green financing portfolio by 115% from the previous year.

Governance Achievements

• Implemented a comprehensive risk management system to mitigate challenges in implementing sustainable finance.
• Conducted training on sustainable finance for employees and capacity building for leaders.
• Established a whistleblowing system for reporting violations.

Climate Goals & Targets

Environmental Challenges

• Limited knowledge of employees and customers regarding sustainable finance.
• The COVID-19 pandemic impacted the community’s economy, resulting in a decline in income and national economic sluggishness.
• Assessment process of sustainability risks may entail considerable expense.

Mitigation Strategies

• Continuously conducted training on sustainable finance for employees and capacity building for leaders.
• Provided education for customers to promote relevant sustainability practices.
• Formulated policies and strategies to address the economic impact of the pandemic.
• Prepared the required budget for the audit and risk management process.

Supply Chain Management

Supplier Audits: 259 suppliers audited

Responsible Procurement

• Prioritizes local suppliers (98.97% of procurement from local suppliers)

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Standards: Comprehensive Option, Financial Services Authority Regulation No. 51/POJK.03/2017

Third-party Assurance: PT Moores Rowland Indonesia

UN Sustainable Development Goals

• Goal 1
• Goal 2
• Goal 3
• Goal 4
• Goal 5
• Goal 7
• Goal 8
• Goal 9
• Goal 10
• Goal 13
• Goal 17

Daya program and other initiatives contribute to these goals.

Sustainable Products & Innovation

• BTPN Wow!
• Jenius

Awards & Recognition

• D'FRONTRUNNER Retail banking Awards 2021
• World's Best Banks 2021 – Forbes
• Top CSR Awards 2021 – Top Business Magazine
• Top Leader on CSR Commitment – Top Business Magazine
• Digital Brand Awards 2021
• The Asset Triple A Infrastructure Awards 2021
• Investor Awards: Special award Best Bank 2021
• HR Asia Best Companies to Work for in Asia 2021
• Top Digital Public Relation Award 2021
• CNBC Indonesia Awards 2021
• Investor Awards: Best Bank 2021
• Environment, Social, and Governance Disclosure Awards 2021
• Indonesia Contact Center Association - The Best Contact Center Indonesia 2021
• NCSR - Asia Sustainability Reporting Rating 2021
• Taiwan Institute for Sustainability Energy Global Corporate Sustainability Award, Bank BTPN 2021
• Her Story - Best Women Empowerment Awards 2021
• The Finance - Best CFO Award

Environmental Metrics

ESG Focus Areas

• Climate Change
• Sustainable Finance
• Social Empowerment
• Good Corporate Governance

Environmental Achievements

• Reduced paper consumption by 6,161 reams
• Reduced emissions by 993,118.45 Kg CO2e
• 7.40% reduction in energy consumption

Social Achievements

• Empowered 558,185 individuals through financial literacy programs
• Provided training to 152,752 Laku Pandai agents
• Launched Daya program for community empowerment

Governance Achievements

• Established a Sustainability Committee in September 2022
• Received the Best Disclosure & Transparency award from The 13th IICD Corporate Governance Award 2022
• Implemented a comprehensive anti-fraud system

Climate Goals & Targets

Environmental Challenges

• Lack of understanding of sustainability issues among some employees, customers, and partners
• Unstable global and national economic conditions

Mitigation Strategies

• Conducted various training and education programs on sustainability
• Integrated ESG aspects into its risk management system
• Provided capacity building for senior leaders in sustainable finance

Supply Chain Management

Supplier Audits: 40 suppliers

Responsible Procurement

• Prioritizing local suppliers (99% of expenditure)

Climate-Related Risks & Opportunities

Transition Risks

• Transition risks
• Reputational risks

Opportunities

• Development of green products and portfolios

Reporting Standards

Frameworks Used: GRI, SASB, TCFD

Certifications: FSC

Third-party Assurance: PT. Moores Rowland Indonesia

UN Sustainable Development Goals

• Goal 1
• Goal 2
• Goal 3
• Goal 4
• Goal 5
• Goal 7
• Goal 8
• Goal 10
• Goal 11
• Goal 12
• Goal 13
• Goal 17

Daya program, sustainable finance initiatives, employee training, community engagement

Sustainable Products & Innovation

• Green Loans
• Sustainability-Linked Loans
• Philanthropy Mutual Funds
• BTPN Wow!
• Jenius

Awards & Recognition

• Best Creditor Partner (National & Global Private Categories)
• Best Disclosure & Transparency
• ESG Disclosure Awards
• Indonesian Sustainable Development Awards
• Platinum Rating (ASRRAT)
• LPS Banking Awards

Environmental Metrics

ESG Focus Areas

• Green Economy
• Sustainable Finance
• Community Empowerment
• Climate Change
• Human Resources
• Governance

Environmental Achievements

• Reduced paper usage by 3.2% compared to the previous year.
• Installed a 20 kWp solar panel at the Gunung Sahari branch.
• Achieved a 1% energy saving from the previous year through energy-saving competitions.
• BTPN Tower (headquarters) achieved Greenship Gold certification.

Social Achievements

• Daya program reached 2,705,138 people through financial literacy initiatives.
• Provided training to 7,700 MSME entrepreneurs.
• Sahabat Daya program involved 415 volunteers in various community empowerment activities.
• Employee engagement survey score of 4.06.

Governance Achievements

• Established a Sustainability Committee in 2022.
• Issued a Sustainability Policy in 2023.
• Achieved Platinum Rank at the Asia Sustainability Reporting Rating (ASRRAT) 2023.
• Achieved Platinum Award from the Indonesian Sustainable Development Goals Award 2023.

Climate Goals & Targets

Environmental Challenges

• Uncertainty of risks related to sustainable finance (government policies, energy prices, etc.).
• Lack of awareness among stakeholders about sustainable finance.
• Need for collaboration and partnerships to implement sustainable finance.
• Balancing long-term sustainable finance goals with short-term performance pressures.
• Managing climate-related risks (transition and physical risks).

Mitigation Strategies

• Effective risk management system.
• Educational initiatives (seminars, webinars).
• Collaborations with various parties.
• Promoting sustainability education and launching innovative products.
• Developing sustainable products (Green Loan, Social Loan, etc.), adjusting credit policy, and implementing energy-saving measures.

Supply Chain Management

Supplier Audits: 100% of suppliers underwent social criteria assessment.

Responsible Procurement

• Human Rights compliance screening for vendors and suppliers.
• Annual sustainability seminars for vendors.

Climate-Related Risks & Opportunities

Physical Risks

• Increasing natural disasters at debtor’s business locations.
• Rising temperatures and sea levels.

Transition Risks

• Changes in government policies and regulations.
• Increasing costs of low-emission technology.
• Rising carbon prices.
• Stranded assets.
• Changes in customer behavior.
• Changes in stakeholder and shareholder preferences.
• Reputational damage.

Opportunities

• Expansion of sustainable financing services portfolio.
• Development of sustainable products.

Reporting Standards

Frameworks Used: GRI, OJK Circular Letter No. 16/SEOJK.04/2021, SASB, TCFD

Certifications: Greenship Gold

Third-party Assurance: PT. Sucofindo

UN Sustainable Development Goals

• Goal 1
• Goal 3
• Goal 4
• Goal 5
• Goal 7
• Goal 8
• Goal 10
• Goal 13
• Goal 17

Bank BTPN's strategy and contributions to the SDGs are detailed on pages 42-45.

Sustainable Products & Innovation

• Green Loan
• Social Loan
• Sustainability-Linked Loans
• ESG Mutual Fund
• ESG Deposit

Awards & Recognition

• 4th Anniversary Indonesia’s Popular Digital Products Awards 2023
• Triple A Country Awards 2022
• Indonesia Public Relations Award (IPRA) 2023
• PR INDONESIA AWARDS (PRIA) 2023
• Top 100 Most Outstanding Women 2023
• 12th Infobank Digital Brand Awards 2023
• PPKM Award 2023
• 20th Infobank-MRI Banking Service Excellence 2023
• Best Companies to Work for in Asia 2023
• Indonesia Most Powerful Women Awards 2023
• Indonesia Digital Customer Engagement Champion 2023
• 28th Infobank Award 2023
• Top 20 Financial Institution Awards 2023
• Infobank Top 100 CEO & The Next 200 Leaders 2023
• Detikcom Awards 2023
• Asia Sustainability Reporting Rating (ASRRAT) 2023
• Indonesian Sustainable Development Goals Award 2023