Climate change commitments

Downer is committed to reducing our contribution of greenhouse gases to net zero by 2050. We are committed to optimise our environmental sustainability performance and to help shape the industry towards a sustainable future for Aotearoa’s next generation.

Environmental sustainability governance

Our environmental sustainability governance strategy underpins our approach to protecting the environment and is integrated within our business strategy, which aims to shift investment toward lower-carbon activities.

Our priority is to achieve outcomes aligned with government and international sustainability initiatives. This includes actions that support the NZ Government’s broader outcomes and zero carbon bill. We are also a signatory to the Climate Leaders Coalition and align our corporate sustainability approach to the United Nations (UN) Sustainability Development Goals (SDGs).

Understanding our impact on climate change and taking action

We carried out materiality assessments based on global reporting initiative (GRI) standards, to identify the sustainability issues that have the most impact for our business and the customers and communities we serve.

Downer considers climate change to be one of its priority areas of focus and has responded to the recommendations of the taskforce on climate-related financial disclosures (TCFD).

We have been measuring our GHG emissions since 2009 and have established Science-Based Targets to reduce our GHG emission reductions and decarbonise our organisation. Our GHG reduction targets are considerable and include:

• Decarbonisation of our absolute scope 1 (direct) and scope 2 (indirect) GHG emissions by 45-50 % by 2035 from a FY18 base year.
• Achieve net zero emissions in the second half of this century.

To monitor and measure our performance against these GHG emission reduction targets, we use the following Key Performance Indicators (KPIs), set for FY21 and with stretch targets through to FY26 that focus GHG emissions reduction efforts:

• KPI 1: Science based targets for scope 1 (direct) & 2 (indirect) greenhouse gas emissions intensity (Tonnes CO2-e/AU$m).
• KPI 2: Science based targets validated with the science based targets initiative (SBTi). The SBTi provide clear pathways to reduce emissions in line with the Paris agreement goals to limit global warming below 1.5°C. Downer are part of the global community of companies working with SBTi to reduce GHG emissions in line with climate science and commits to having its GHG emission reduction target validated by the SBTi

Local commitment and industry participation

In New Zealand, we participate in communities of knowledge to ensure that our environmental sustainability efforts are purposeful and aligned to national and international best practice and approaches:

• The Climate Leaders Coalition membership, where we join a community of practice to help Aotearoa to transition to a low emissions economy that will create a positive future legacy.
• The science based targets Initiative membership, where we join a community of businesses working with science based targets to reduce GHG emission in line with climate science.
• Professional communities such as the Green Building Council (where we have board membership) and the Sustainable Business Council of New Zealand. As an invited member of the Sustainable Business Council, (a CEO-led group of blue-chip companies).