Building Business Resilience through Climate Strategy in the Philippines
The Aboitiz Group is building its capacity to build resilience on climate change impacts to assets and its employees. In our goal to be climate change-resilient, we developed a system to identify and assess risks, and to provide our stakeholders with relevant and updated information.
Description
Guided by the value of Integrity, the Aboitiz Group aims to build business resilience to the impacts of climate change from policy, market and environmental drivers of transition and physical risks through: better adaptation to climate change by adding climate lens to our risk management and strategy processes and stress testing the stability of our businesses for the long term; establishing a governance framework on climate related issues of the business; communicate to stakeholders information of our actions on managing climate related risks. To manifest this strong commitment to sustainability, the Aboitiz Group, through Aboitiz Equity Ventures, Inc. (AEV), became the first Philippine company to signify support for the Task Force on Climate-Related Financial Disclosures or TCFD, the organization that developed the framework for climate-related financial risk disclosures to be adopted by companies globally.
This project aims to create value for internal and external stakeholders by developing a defined governance structure to address climate-related risks, define strategies, targets, and metrics on climate action, and improve our disclosures to provide clear and reliable information to our stakeholders.
Through financial investments and technical expertise of partners, the project has so far helped to take decisive steps to prepare for the escalating regulations of governments and financial institutions to assess climate risk and opportunities. The governance, processes and outcomes that were adopted and realized as a result of the project is now providing a higher level of integrity, credibility and regard for our climate-related disclosures to our financial stakeholders and regulators.
Overall, this project brings the company's climate disclosures to global standards and increases our ESG performance. But most importantly, it demonstrates a clear resolve and strong momentum to align with global initiatives and shows to local and international equity and debt investors that the business is part of the solution, and remain a highly investible company.
Did the Sendai Framework change or contribute to changes in your activities/organization? If so, how?
Aboitiz Equity Ventures' sustainability and corporate social responsibility track both contribute to and are guided by several global agendas including the the Paris Agreement, the Sendai Framework, and the Sustainable Development Goals. The Sendai Framework for Disaster Risk Reduction guides this work ensuring that the Aboitiz Group considers climate and disaster risks and impacts in their long-term strategies.
Aboitiz Equity Ventures is part of ARISE, the Private Sector Alliance for Disaster the Private Sector Alliance for Disaster Resilient Societies. This project is one of the good practices gathered by ARISE that raises awareness, shares knowledge, and implements in relation to disaster risk reduction.
What led you to make this commitment/initiative?
What was your position before making this Voluntary Commitment / prior to the Sendai Framework?
Aboitiz Equity Ventures, being the first Philippine company to express support for the Task Force on Climate-related Financial Disclosures, is committed to strengthening its sustainability track and enhancing its ESG integration practices.
As part of the Aboitiz Group’s brand promise of advancing business and communities, our long-term strategies include a defined governance structure on addressing climate-related risks and improving our disclosures to provide clear and reliable information to our stakeholders.
Deliverables and Progress report
Deliverables
Deliverables are the end-products of the initiative/commitment, which can include issuance of publications or knowledge products, outcomes of workshops, training programs, videos, links, photographs, etc.
The 2021 Aboitiz Equity Ventures (AEV) Consolidated Annual and Sustainability Report provides information on financial, operational, governance, social, and environmental performance that are material to AEV’s business and stakeholders.
It gathers report from several focus areas and those relevant to the DRR are the focus areas on corporate social responsibility, disaster resilience, carbon emissions reduction, resource efficiency, renewable energy and waste management. For disaster resilience, the report includes the number of individuals trained in capacity-building training and stakeholders served in disaster relief and recovery efforts.
The 2022 Aboitiz Equity Ventures (AEV) Consolidated Annual and Sustainability Report provides information on financial, operational, governance, social, and environmental performance that are material to AEV’s business and stakeholders.
Organizations and focal points
Implementing Organization(s)
Focal points
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