Barclays: Climate Action Programme

National Sponsors of the The Prince of Wales's May Day Business Summit on Climate Change

Through its Climate Action Programme set up to reduce its environmental impact, Barclays has introduced initiatives for both its business and its customers.

Challenges

Barclays PLC is a major global financial services provider. Operating in over 50 countries and employing 123,000 people, Barclays moves, lends, invests and protects money for over 27 million customers and clients worldwide. Climate change has a significant impact on Barclays business. Reducing its environmental impact is therefore a business priority and for this purpose, Barclays has set up a Climate Action Programme.

Process

The Climate Action Programme has five key objectives:

  • Reduce CO2 emissions by improving energy efficiency. Barclays has committed to a multi-million pound investment in energy efficiency over the next five years.
  • Buy renewable energy. In January 2007, Barclays announced its biggest ever purchase of renewable energy.
  • Make UK operations carbon neutral by offsetting remaining emissions. Paying for offsetting is an additional cost borne by the company so it provides an additional financial incentive for investing in emissions reductions. Offsetting has been achieved in two ways: by buying Certified Emissions Reductions (CERs) under the Clean Development Mechanism, and investing in community-based energy efficiency and renewable energy projects in Africa, China and India.  These projects have real social and economic benefits for local communities.
  • Develop products and services that help customers reduce their own climate change impacts. Barclays Capital is the largest intermediary in the carbon market, having traded over 300 million tonnes of carbon credits. Barclays Natural Resources team provides long-term finance for projects including onshore windfarms, landfill gas extraction plants and small-scale hydroelectric projects.
  • Engage with key stakeholders and contribute to the debate on climate change action. Barclays engagement programme includes government, NGOs, employees, media and investors. Sixty thousand employees recently received a guide to help them save energy at home and reduce their carbon footprint.

Impact

  • In the UK in 2006, CO2 emissions from offices and buildings were reduced by three per cent per full-time equivalent employee (FTE). Overall carbon intensity was also reduced by four per cent in 2006.
  • Half of Barclays UK electricity consumption now comes from renewable sources, compared to three per cent previously. EDF Energy will provide Barclays with 300 GWh of renewable energy each year for the next three years, reducing Barclays carbon footprint by up to 125,000 tonnes per year.
  • Barclays has offset 223,000 tonnes of CO2 emissions, making its UK operations carbon neutral for 2006.
  • Barclaycard’s recently announced Barclaycard Breathe credit card is the only UK credit card to donate 50% of profit after tax to support carbon reduction projects in the UK and abroad. Customers can take advantage of low interest rates on public transport (rail and bus tickets) as well as selected environmentally friendly products and services.

See also

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