Products of Change


Tue 16 Feb 2021 | by Michelle Urquhart

Bank of America commits to net zero

The company has outlined initial steps to achieve its goal of net zero greenhouse gas (GHG) emissions in its financing activities, operations and supply chain before 2050. As part of its transition to net zero emissions, in July 2020, Bank of America joined the Partnership for Carbon Accounting Financials (PCAF) as a member of the global core team. In collaboration with 15 other financial institutions, Bank of America participated in the development of the Global GHG Accounting and Reporting Standard for the financial industry, providing a consistent methodology to assess and disclose emissions associated with financing activities. Bank of America is committed to disclosing its financed emissions no later than 2023. Bank of America achieved carbon neutrality in its operations in 2019, a year ahead of schedule. It has now established the next set of targets for its operations and supply chain to be achieved by 2030: - Maintain carbon neutrality for operations (Scope 1 and 2). - Purchase 100% zero carbon electricity. - Reduce location-based GHG emissions by 75% (Scope 1 and 2). - Reduce energy use by 55%. - Reduce potable water use by 55%. - Manage facilities responsibly and achieve LEED certification (or comparable) for 40% of building space. - Divert 75% of construction and demolition waste from the landfill. - Dispose 100% of electronic waste using certified responsible vendors. - Ensure 70% of global vendors, by spend, set GHG emissions reduction or renewable energy targets. - Assess 90% of global vendors, by spend, for ESG risks as outlined by the company’s Vendor Code of Conduct. - Continue to reduce paper use and purchase 100% of paper from certified sources. “It is critical that we leverage all parts of our business – beyond our direct operations – in order to accelerate the transition to a net zero global economy,” said Bank of America vice chairman, Anne Finucane, who leads the company’s environmental, social and governance, sustainable finance, capital deployment, and public policy efforts. “We recognise that this will be no easy task, but we believe our commitment will help spur the growth of zero carbon energy and power solutions, sustainable transportation and agriculture, and other sector transformations, while generating more climate resilient and equitable opportunities for our future.”