unepfi-资源效率和循环经济目标设定指南（英）-2021.12-93页_2mb

Summary of Guidance for Banks on Resource Efficiency and Circular Economy Target Setting

Core Content

This document provides guidance for banks that are signatories of the Principles for Responsible Banking (PRB) on how to set targets for resource efficiency and circular economy financing. It outlines a practical, progressive approach that aligns with global, regional, and national frameworks, particularly the UN Sustainable Development Goals (SDGs) and the Paris Agreement on Climate Change.

The guidance supports banks in identifying and prioritizing their significant impact areas, such as resource efficiency, waste, water, or energy, and in developing a strategy to finance projects and clients that contribute to a more sustainable and circular economy. It emphasizes the importance of integrating circular economy principles into business models to enhance resource efficiency, reduce environmental and social risks, and create new financial opportunities.

Main Views

• Circular Economy and Resource Efficiency are Key: The circular economy is a comprehensive approach that builds upon resource efficiency by focusing on value retention loops and addressing root causes of environmental challenges.
• Alignment with Global Frameworks: Banks should align their strategies with the SDGs and the Paris Agreement to ensure their efforts contribute to global sustainability goals.
• Progressive Target Setting: The guidance proposes a multi-tier approach, starting with beginners (Tier 3), moving to intermediates (Tier 2), and eventually reaching advanced (Tier 1) banks, with increasing scope and ambition in target setting.
• Baseline as a Foundation: Establishing a baseline is essential to measure progress and inform future target setting. It involves assessing the current state of the bank's portfolio in relation to circular economy and resource efficiency.
• Inclusive Stakeholder Engagement: The process of setting targets involves a wide range of stakeholders, including internal teams and external clients, to ensure comprehensive and effective implementation.

Key Information

• Purpose: To guide banks in setting targets for financing resource efficient and circular economy activities.
• Target Setting Process: The guidance outlines a five-step operational process: Alignment, Baseline, Targets, Implementation, and Monitoring and KPIs.
• Baseline Determination: A six-step methodology is recommended, including self-assessment, portfolio screening, and data gathering.
• Sector Agnostic Approach: While a general approach is suggested, banks are encouraged to consider sector-specific frameworks and policies where relevant.
• Annexes: The document includes annexes that provide a case study, explain the circular economy, outline steps for Tier 3 banks, and list useful resources.

Steps to Set Targets and Scope of Targets

The guidance proposes the following steps to set targets:

1. Alignment: Understand and align with relevant international, national, and regional frameworks, including the SDGs and Paris Agreement.
2. Baseline: Establish a baseline to measure current performance and identify areas for improvement.
3. Set SMART Targets: Define Specific, Measurable, Achievable, Relevant, and Time-bound targets based on the baseline.
4. Implementation Measures: Develop and implement strategies to achieve the set targets.
5. Monitoring and KPIs: Establish monitoring mechanisms and key performance indicators (KPIs) to track progress.

A Progressive Approach

• Tier 3 (Beginners): Just getting started, focusing on a high-impact portion of the portfolio.
• Tier 2 (Intermediates): Taken some action, expanding the scope of baseline and targets.
• Tier 1 (Advanced): Well-established on the journey, with comprehensive baseline and targets across the entire portfolio.

Alignment with SDGs and Other Frameworks

• SDGs Relevant to Resource Efficiency and Circular Economy:

  • SDG 8.4: Improve global resource efficiency and decouple economic growth from environmental degradation.
  • SDG 12: Achieve sustainable management of natural resources, reduce food waste, and encourage sustainable practices.
  • SDG 3.9: Reduce deaths and illnesses from pollution.
  • SDG 6.3 and 6.4: Improve water quality and increase water-use efficiency.
  • SDG 7.2 and 7.3: Increase renewable energy share and improve energy efficiency.
  • SDG 13: Combat climate change.
  • SDG 14.2 and 15.1: Protect marine and terrestrial ecosystems.

• National and Regional Frameworks: Examples include Peru’s roadmap for the agricultural sector, Kenya’s solid waste management bill, and the EU taxonomy for circular economy.

Case Study: National Bank of Canada

• The National Bank of Canada (NBC) aligns its investment strategies with the SDGs, particularly SDG 7 and SDG 12.
• NBC uses a sector-agnostic approach, with a focus on sustainable investment solutions that support resource efficiency and the circular economy.
• The bank's approach includes actively managed ETFs and mutual funds, with a portion of the portfolio allocated to companies that contribute to these goals.

Conclusion

This guidance supports banks in developing a structured and progressive approach to target setting for resource efficiency and circular economy financing. It encourages alignment with global and local frameworks, baseline assessment, and stakeholder engagement to ensure effective and sustainable implementation.