Climate and
environment
Disclosure to the extent specified by the Principle Adverse Impacts under the SFDR
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- Climate and environment
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- Disclosures
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- Disclosure to the extent specified by the Principle Adverse Impacts under the SFDR
Disclosure to the extent specified by the Principle Adverse Impacts under the SFDR Regulation for Pekao Group as an investee*
Principle Adverse Impacts indicators – in accordance with the Regulation of the European Parliament and of the Council (EU) 2019/2088
Statement concerning key adverse effects of investment decisions on sustainable development factors
| INDICATOR OF ADVERSE IMPACTS ON SUSTAINABILITY FACTORS | 2023 | |
|---|---|---|
| Greenhouse gas emissions | Greenhouse gas emissions scope 1 | 8,121 t CO2e according to GHG Protocol methodology |
| Greenhouse gas emissions scope 2 | 33,529 t CO2e according to GHG Protocol methodology | |
| Greenhouse gas emissions scope 3 | Calculation of greenhouse gas emissions for scope 3 GHG Protocol (subcategory 15) will be made in 2024. | |
| Total greenhouse gas emissions | 41,650 t CO2e (scope 1+2) | |
| Exposure towards fossil fuel companies | Pekao Group companies do not operate in the fossil fuel sector and do not generate revenues from fossil fuel activities (as defined in Article 2, item 62 of Regulation (EU) 2018/1999 of the European Parliament and of the Council of December 11, 2018 on the Governance of the Energy Union and Climate Action). | |
| Share of consumed and produced energy from non-renewable sources | Share of non-renewable energy consumed and produced in relation to renewable energy resources, expressed as a percentage of total energy resources | 62% |
| Energy intensity per sector with significant climate impact | Energy consumption expressed in GWh | Pekao Group companies do not operate in sectors with a significant impact on the climate, i.e. those listed in Sections A through H in Appendix 1 to Regulation (EC) No. 1893/2006 of the European Parliament and of the Council of December 20, 2006 establishing the statistical classification of economic activities NACE Revision 2 |
| Activities that adversely affect biodiversity-sensitive areas | Companies with facilities/operations in or near biodiversity-sensitive areas, where the activities of such companies have an adverse impact on such areas | Pekao Group companies do not conduct activities in or near biodiversity-sensitive areas that would adversely affect such areas (as defined by SFDR ‘biodiversity-sensitive areas: are Natura 2000 areas, UNESCO World Heritage Areas and so-called Key Biodiversity Areas, and others listed in Appendix D of Annex No. 2 to Commission Delegated Regulation (EU) 2021/2139 of June 4, 2021 |
| Emissions of substances into the water | Tons of emissions of substances into the water | Pekao Group companies do not generate emissions of priority substances and certain other pollutants to water, as listed in Part A of Annex I to Directive 2008/105/EC of the European Parliament and of the Council of December 16, 2008 on environmental quality standards in the field of water policy. |
| Indicator of hazardous waste and radioactive waste | Tons of hazardous waste and radioactive waste | Pekao Group companies do not generate hazardous waste, i.e. waste that exhibits one or more of the hazardous properties listed in Annex III of Directive 2008/98/EC of the European Parliament and of the Council of November 19, 2008 on waste; and radioactive waste as defined in Article 3(7) of Council Directive 2011/70/Euroatom of July 19, 2011 establishing a Community framework for the responsible and safe management of spent nuclear fuel and radioactive waste. |
| INDICATORS ON SOCIAL AND LABOR ISSUES, HUMAN RIGHTS ISSUES AND ANTI-CORRUPTION AND ANTI-BRIBERY ISSUES |
2023 | |
| Violations of initiative rules Global Compact and the Organization for Economic Cooperation and Development (OECD) Guidelines for Multinational Enterprises | Currently, Pekao Group companies do not have processes and controls in place to oversee compliance with the Global Compact principles. The planned start of work in this area: 2024. | |
| Lack of processes and controls to oversee compliance with the principles of the Global Compact and the OECD Guidelines for Multinational Enterprises | Currently, Pekao Group companies do not have processes and controls in place to oversee compliance with the Global Compact principles. The planned start of work in this area: 2024. | |
| Unadjusted pay gap between men and women | Gender wage gap, defined as the difference between men’s and women’s average gross hourly earnings, expressed as a percentage of men’s average gross hourly earnings | 32% |
| Gender diversity of Management Board members | Average ratio of women to men on management boards of companies, expressed as a percentage of all management board members | 18% |
| Exposure towards controversial weapons (anti-personnel mines, cluster munitions, chemical weapons and biological weapons) | Pekao Group companies are not involved in the production or sale of the controversial weapons mentioned in: (1) the Convention on the Prohibition of the Use, Stockpiling, Production and Transfer of Anti-Personnel Mines and on their Destruction of September 18, 1997; (2) the Convention on the Prohibition of Cluster Munitions, which entered into force on August 1, 2008; and (3) the Chemical Weapons Convention, which entered into force on April 29, 1997. | |
Revision of the disclosure to the extent specified by the Principle Adverse Impacts in accordance with the SFDR Regulation for the Pekao Group as an investee presented in the Statement of Non-Financial Information of the Bank Pekao S.A. Group for 2022.
In the Statement of Non-Financial Information of the Bank Pekao S.A. Group for 2022, an incorrect value of the indicator presenting greenhouse gas emissions was disclosed in error. The following table presents the correct values of all indicators in Table 1 for 2022.
Statement concerning key adverse effects of investment decisions on sustainable development factors
| INDICATOR OF ADVERSE IMPACTS ON SUSTAINABILITY FACTORS | 2022 | |
|---|---|---|
| Greenhouse gas emissions | Greenhouse gas emissions scope 1 | 8,797 t CO2e according to GHG Protocol methodology |
| Greenhouse gas emissions scope 2 | 36,332 t CO2e according to GHG Protocol methodology | |
| Greenhouse gas emissions scope 3 | Calculation of greenhouse gas emissions for scope 3 GHG Protocol (subcategory 15) will be made in 2023. | |
| Total greenhouse gas emissions | 45,129 t CO2e (scope 1+2) | |
| Exposure towards fossil fuel companies | Pekao Group companies do not operate in the fossil fuel sector and do not generate revenues from fossil fuel activities (as defined in Article 2, item 62 of Regulation (EU) 2018/1999 of the European Parliament and of the Council of December 11, 2018 on the Governance of the Energy Union and Climate Action). | |
| Share of consumed and produced energy from non-renewable sources | Share of non-renewable energy consumed and produced in relation to renewable energy resources, expressed as a percentage of total energy resources | 63% |
| Energy intensity per sector with significant climate impact | Energy consumption expressed in GWh | Pekao Group companies do not operate in sectors with a significant impact on the climate, i.e. those listed in Sections A through H in Appendix 1 to Regulation (EC) No. 1893/2006 of the European Parliament and of the Council of December 20, 2006 establishing the statistical classification of economic activities NACE Revision 2 |
| Activities that adversely affect biodiversity-sensitive areas | Companies with facilities/operations in or near biodiversity-sensitive areas, where the activities of such companies have an adverse impact on such areas | Pekao Group companies do not conduct activities in or near biodiversity-sensitive areas that would adversely affect such areas (as defined by SFDR ‘biodiversity-sensitive areas: are Natura 2000 areas, UNESCO World Heritage Areas and so-called Key Biodiversity Areas, and others listed in Appendix D of Annex No. 2 to Commission Delegated Regulation (EU) 2021/2139 of June 4, 2021 |
| Emissions of substances into the water | Tons of emissions of substances into the water | Pekao Group companies do not generate emissions of priority substances and certain other pollutants to water, as listed in Part A of Annex I to Directive 2008/105/EC of the European Parliament and of the Council of December 16, 2008 on environmental quality standards in the field of water policy. |
| Indicator of hazardous waste and radioactive waste | Tons of hazardous waste and radioactive waste | Pekao Group companies do not generate hazardous waste, i.e. waste that exhibits one or more of the hazardous properties listed in Annex III of Directive 2008/98/EC of the European Parliament and of the Council of November 19, 2008 on waste; and radioactive waste as defined in Article 3(7) of Council Directive 2011/70/Euroatom of July 19, 2011 establishing a Community framework for the responsible and safe management of spent nuclear fuel and radioactive waste. |
| INDICATORS ON SOCIAL AND LABOR ISSUES, HUMAN RIGHTS ISSUES AND ANTI-CORRUPTION AND ANTI-BRIBERY ISSUES | 2022 | |
| Violations of initiative rules Global Compact and the Organization for Economic Cooperation and Development (OECD) Guidelines for Multinational Enterprises | Currently, Pekao Group companies do not have processes and controls in place to oversee compliance with the Global Compact principles. The planned start of work in this area: 2024. | |
| Lack of processes and controls to oversee compliance with the principles of the Global Compact and the OECD Guidelines for Multinational Enterprises | Currently, Pekao Group companies do not have processes and controls in place to oversee compliance with the Global Compact principles. The planned start of work in this area: 2024. | |
| Unadjusted pay gap between men and women | Gender wage gap, defined as the difference between men’s and women’s average gross hourly earnings, expressed as a percentage of men’s average gross hourly earnings | 34% |
| Gender diversity of Management Board members | Average ratio of women to men on management boards of companies, expressed as a percentage of all management board members | 18% |
| Exposure towards controversial weapons (anti-personnel mines, cluster munitions, chemical weapons and biological weapons) | Pekao Group companies are not involved in the production or sale of the controversial weapons mentioned in: (1) the Convention on the Prohibition of the Use, Stockpiling, Production and Transfer of Anti-Personnel Mines and on their Destruction of September 18, 1997; (2) the Convention on the Prohibition of Cluster Munitions, which entered into force on August 1, 2008; and (3) the Chemical Weapons Convention, which entered into force on April 29, 1997. | |
Additional climate and other environmental indicators
| INDICATOR OF ADVERSE IMPACTS ON SUSTAINABILITY FACTORS | 2023 |
|---|---|
| Emissions of inorganic pollutants | Pekao Group companies do not emit inorganic pollutants in accordance with the definitions contained in Article 3(13) of Directive 2010/75/EU of the European Parliament and of the Council of November 24, 2010 on industrial emissions (integrated pollution prevention and control) |
| Emissions of air pollutants | Due to the nature of their operations, Pekao Group companies do not calculate emissions of anthropogenic air pollutants such as sulfur dioxide, nitrogen oxides, non-methane volatile organic compounds, ammonia and PM 2.5 fine particulate matter. |
| Emissions of ozone-depleting substances | Due to the nature of their operations, Pekao Group companies do not calculate the ozone-depleting emissions listed in the Montreal Protocol. Pekao Group companies have data on the consumption of refrigerants used in air-conditioning equipment, expressed in kilograms for the purpose of calculating GHG Protocol Scope 1 and 2 carbon dioxide emissions. |
| Investments in companies not implementing carbon reduction initiatives | Bank Pekao is implementing initiatives to reduce carbon emissions, as mentioned in the “Climate and Environment” section of this report. |
| Distribution of energy consumption by type of non-renewable energy sources | Consumption of fuel from coal and coal products: 0 Consumption of fuel derived from oil and petroleum products): 21,499 MWh Consumption of fuel derived from natural gas: 64 MWh Consumption of fuel from other non-renewable sources: 0 Consumption of nuclear products: 0 |
| Water reuse and recycling | Estimated water consumption: 11,785.11 cubic meters. Pekao Group companies do not calculate the share of recycled and reused water. |
| Investments in companies without water policies | Pekao Group companies do not have water management policies. |
| Exposure towards areas of significant water scarcity | Pekao Group companies do not have facilities located in areas of significant water scarcity according to the Aqueduct Water Risk Atlas methodology, i.e. risk areas: “High” (3-4) and “Extremely High” (4-5) |
| Investments in chemical manufacturing companies | The activities of Pekao Group companies are not covered by Chapter 20.2 in Appendix 1 to Regulation (EC) No. 1893/2006 of the European Parliament and of the Council of December 20, 2006 establishing the statistical classification of economic activities NACE Revision 2 |
| Land degradation, desertification, soil sealing | Pekao Group companies are not engaged in activities that affect land degradation, desertification or soil sealing. |
| Investments in companies that do not use sustainable agricultural practices/sustainable land management practices | Pekao Group companies do not operate in the agricultural sector and do not manage land and are not obligated to use sustainable agricultural practices or strategies/practices or strategies for sustainable land management. |
| Investments in companies that do not follow sustainable marine and ocean practices | Pekao Group companies do not operate in the marine and ocean sector and are not obligated to follow sustainable marine and ocean practices. |
| Non-recycled waste indicator | Pekao Group companies do not calculate non-recycled waste. |
| Natural species and protected areas | Pekao Group companies do not carry out activities that affect endangered species included in the Red Book of Threatened Species (IUCN).
Pekao Group companies do not have a biodiversity conservation policy covering operational sites owned, leased or managed in or adjacent to a protected area or an area of high biodiversity outside protected areas. |
| Deforestation | Pekao Group companies do not have a policy to prevent deforestation. |
Additional indicators on social and labor issues, human rights issues, and anti-corruption and anti-bribery issues
| INDICATOR OF ADVERSE IMPACTS ON SUSTAINABILITY FACTORS | 2023 |
|---|---|
| Investments in companies that do not have an occupational accident prevention policy |
Bank Pekao Group companies have a Bank Pekao S.A. Group Policy on Occupational Health and Safety. |
| Accident incidence rate | 38 |
| Number of days lost due to injuries, accidents, fatalities or illnesses | 1,153 |
| No supplier code of conduct | Bank Pekao has the Code of Ethics for Suppliers of Bank Pekao S.A. (in the context of hazardous working conditions, precarious employment, child labor and forced labor) |
| Lack of a mechanism for handling complaints regarding employee issues | The mechanism for handling complaints regarding employee issues is included in the Mobbing Prevention Policy of Bank Polska Kasa Opieki Spółka Akcyjna and relevant separate regulations developed by subsidiaries. |
| Inadequate protection of whistleblowers | No occurrence of such cases. Whistleblower protection issues are covered in Bank Pekao S.A.’s Whistleblowing Policy. |
| Instances of discrimination | Number of instances of discrimination: 1 Number of incidences of discrimination leading to sanctions: 1 |
| Remuneration of the CEO | Value of the indicator for the Bank: 16.0 The Bank has a regulation called Remuneration policy for members of the Supervisory Board and Management Board of Bank Polska Kasa Opieki Spółka Akcyjna. |
| No policy on respect for human rights | Pekao Group companies do not have a comprehensive policy on respect for human rights. |
| No due diligence process | Pekao Group companies do not conduct due diligence to identify, mitigate or eliminate adverse human rights impacts. |
| Lack of procedures and measures to prevent human trafficking | Pekao Group companies do not have procedures and measures in place to prevent human trafficking. |
| Activities and suppliers at significant risk of child labor incidents | Bank Pekao has internal policies in this area, including in particular the Bank’s Compliance Policy, the Pekao Group Code of Conduct, the Code of Ethics for Suppliers of Bank Pekao S.A. The HR Strategy Division carries out activities to ensure compliance with generally applicable laws. |
| Activities and suppliers at significant risk of forced labor incidents | Bank Pekao has internal policies in this area, including in particular the Bank’s Compliance Policy, the Pekao Group Code of Conduct. The HR Strategy Division carries out activities to ensure compliance with generally applicable laws. |
| Number of identified cases of serious human rights issues and incidents | No cases of serious human rights issues or incidents have been identified in Pekao Group companies. |
| No policy against corruption and bribery | Bank Pekao Group companies are bound by the Bank Pekao Group’s Corruption Prevention Policy. |
| Cases of not taking sufficient action on violations of anti-corruption and bribery standards | No cases of violations of anti-corruption and anti-bribery procedures and standards have been reported in Pekao Group companies. |
| Number of convictions and amount of fines for violations of anti-corruption and anti-bribery laws |
No convictions for violations of anti-corruption and anti-bribery laws were recorded at Pekao Group companies. The amount of fines for violations of anti-corruption and anti-bribery laws is PLN 0. |
Revision of the disclosure to the extent specified by the Principle Adverse Impacts in accordance with the SFDR Regulation for the Pekao Group as an investee presented in the Statement of Non-Financial Information of the Bank Pekao S.A. Group for 2022.
In the Statement of Non-Financial Information of the Bank Pekao S.A. Group for 2022, as a result of an obvious mistake, an incorrect value of the indicator presenting the level of remuneration of the CEO was disclosed. The value presented in the disclosure was 21.4 while the actual value of the indicator was 18.2. The following table presents the correct values of all indicators in Table 3 for 2022.
Additional indicators on social and labor issues, human rights issues, and anti-corruption and anti-bribery issues
| INDICATOR OF ADVERSE IMPACTS ON SUSTAINABILITY FACTORS | 2022 |
|---|---|
| Investments in companies that do not have an occupational accident prevention policy | Bank Pekao Group companies have a Bank Pekao S.A. Group Policy on Occupational Health and Safety. |
| Accident incidence rate | 23 |
| Number of days lost due to injuries, accidents, fatalities or illnesses | 547 |
| No supplier code of conduct | Pekao Group companies do not have a code of conduct for suppliers (in the context of hazardous working conditions, precarious employment, child labor and forced labor). |
| Lack of a mechanism for handling complaints regarding employee issues | The mechanism for handling complaints regarding employee issues is included in the Mobbing Prevention Policy of Bank Polska Kasa Opieki Spółka Akcyjna and relevant separate regulations developed by subsidiaries. |
| Inadequate protection of whistleblowers | No occurrence of such cases. Whistleblower protection issues are covered in Bank Pekao S.A.’s Whistleblowing Policy. |
| Instances of discrimination | Number of instances of discrimination: 0 Number of incidences of discrimination leading to sanctions: 0 |
| Remuneration of the CEO | Value of the indicator for the Bank: 18.2. The Bank has a regulation called Remuneration policy for members of the Supervisory Board and Management Board of Bank Polska Kasa Opieki Spółka Akcyjna. |
| No policy on respect for human rights | Pekao Group companies do not have a comprehensive policy on respect for human rights. |
| No due diligence process | Pekao Group companies do not conduct due diligence to identify, mitigate or eliminate adverse human rights impacts. |
| Lack of procedures and measures to prevent human trafficking | Pekao Group companies do not have procedures and measures in place to prevent human trafficking. |
| Activities and suppliers at significant risk of child labor incidents | Bank Pekao has internal policies in this area, including in particular the Bank’s Compliance Policy, the Pekao Group Code of Conduct. The HR Strategy Division carries out activities to ensure compliance with generally applicable laws. |
| Activities and suppliers at significant risk of child labor incidents | Bank Pekao has internal policies in this area, including in particular the Bank’s Compliance Policy, the Pekao Group Code of Conduct. The HR Strategy Division carries out activities to ensure compliance with generally applicable laws. |
| Number of identified cases of serious human rights issues and incidents | No cases of serious human rights issues or incidents have been identified in Pekao Group companies. |
| No policy against corruption and bribery | Bank Pekao Group companies are bound by the Bank Pekao S.A. Group’s Corruption Prevention Policy |
| Cases of not taking sufficient action on violations of anti-corruption and bribery standards | No cases of violations of anti-corruption and anti-bribery procedures and standards have been reported in Pekao Group companies. |
| Number of convictions and amount of fines for violations of anti-corruption and anti-bribery laws |
No convictions for violations of anti-corruption and anti-bribery laws were recorded at Pekao Group companies. The amount of fines for violations of anti-corruption and anti-bribery laws is PLN 0. |
* Regulation (EU) No. 2019/2088 of the European Parliament and of the Council of November 27, 2019 on sustainability‐related disclosures in the financial services sector.