2020 Responsible Investment and Stewardship Outcomes - For the year ending 31 December 2019
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2020
Responsible Investment and
Stewardship Outcomes
For the year ending 31 December 2019
Delivering stronger investment returns over the long term, protecting our Clients’ interests through contributing to a more sustainable and resilient financial system, which supports sustainable economic growth and a thriving society. Brunel Pension Partnership Limited (Brunel) is one of eight national Local Government Pension Scheme (LGPS) Pools, bringing together circa £30 billion investments of 10 likeminded pension funds: Avon, Buckinghamshire, Cornwall, Devon, Dorset, Environment Agency, Gloucestershire, Oxfordshire, Somerset, and Wiltshire. We are here to protect the Brunel is authorised and regulated by interests of our Clients and their the Financial Conduct authority as beneficiaries. We therefore believe a full-service MiFID firm. We use the in making long-term, sustainable name ‘Brunel’ to refer to the FCA- investments supported by robust and authorised and regulated company. transparent processes. We would like to acknowledge the significant support and contribution of our Clients to our work on responsible investment, climate change and stewardship underpinning our mutual commitment to investing for a world worth living in. Company registration number 10429110 Authorised and regulated by the Financial Conduct Authority No. 790168
Brunel Pension Partnership Ltd Responsible Investment and Stewardship Outcomes 3
Executive Summary
All Active Brunel
Currently over portfolios have
70% 7%
of holdings assessed by TPI within All active portfolios have a
Lower
than benchmark
exposure fossil fuel revenues
Brunel’s Active Equity Portfolios are lower carbon intensity than their and emissions from reserves.
TPI Level 4 or above. respective benchmarks, many
substantially lower – all achieve at
least 7% below their benchmark.
At least ...Achieving
35% 867
of our cycle 1 infrastructure The number of companies we
1081
milestones.
investments are in engaged with in 2019, across
renewable energy. 2,537 issues...
In aggregate, Brunel’s
active portfolios have
98% 100%
of votes were cast at AGMs of our appointed listed market
Higher
(better) scores against each of the
and other meetings. fund managers are currently Ranking Digital Rights indicators.
achieving or committed to
cost transparency.
Brunel Pension Partnership Ltd Responsible Investment and Stewardship Outcomes 4 Message from our Chair Welcome to our 2020 Responsible Investment and Stewardship Outcomes Report for the year 2019. This report, the first ever of its kind for the Brunel Pension Partnership, documents a big year for Responsible Investment for us and our Clients. I am particularly proud of our progress and ambitions around tackling climate change in our portfolios. We have increased the level of transparency and reporting that is now available Denise Le Gal for our Clients by way of our quarterly ESG and Carbon Chair Metric Reports. The year culminated with the launch of our Climate Change Policy, clearly setting out how we look to achieve the ambitions of our Clients. Our influence and work spans geographies and issues; from tackling plastics pollutions and antimicrobial resistance (AMR) through to diversity and tax and cost transparency. We see this report as a first of many and look forward to reporting on the successes of 2020. Denise Le Gal Chair, Brunel Pension Partnership
Brunel Pension Partnership Ltd Responsible Investment and Stewardship Outcomes 5
Introduction from our CEO
We are publishing our first Responsible Investment and Stewardship
Outcomes Report at a time when portfolio resilience and responsible
investment management have never been more relevant. COVID-19
has created changes, challenges, and innovations that we could
not have anticipated when setting our priorities for 2020. The speed
of its arrival, its universal nature and the severity of its impact on
society are testing all the assumptions one can make about risk. It will
undoubtedly influence our stewardship activities and shape our work
on human capital, tax, and climate amongst other issues.
Laura Chappell
Chief Executive Officer
We are active in working with our Building on these foundations, in the work of the Diversity Project,
Clients, managers and material early 2020 we published the most which aims to accelerate progress
holdings to understand, assess and ambitious climate policy of any major towards an inclusive culture within
develop evidence-based response to UK asset owner, detailing a five-point investment and savings industry and
the crisis. At the same time maintain plan to build a financial system fit the 30% Club which seeks to support
our focus on the long-term investment for a carbon-zero future. The policy gender diversity in industry.
horizon, which is at the heart of our was the culmination of months of
Responsibility and sustainability
risk management process in order collaboration and engagement by
are also critical factors in our own
to protect the future interests of our the Brunel team, strongly supported
operations. 100% of our electricity
Clients and their beneficiaries. and shaped by our Clients and we
is derived from renewable sources
were overwhelmed at the support
We have built our responsible and we place a strong emphasis on
and positive feedback we received
investment (RI) approach on three diversity and inclusion, as a result of
from all our stakeholders.
pillars: to integrate sustainability which our 2019 staff survey indicated
criteria into our operations and I am delighted by our progress in such that over 91% of employees are
investment activities, to collaborate a short time and our ambition to go proud to work for Brunel.
with others across the industry and further to give support to our clients
With issues spanning the whole
support effective policymaking; and in future reviews. The next significant
spectrum of responsibility as we
to be transparent in our activities. review will take place in 2022 –
see it, from cyber security to farm
We are confident this provides a following our Climate Stocktake. The
animal welfare, there are many more
firm footing for our team, our Clients stocktake provides a clear focus of
factors in our inaugural report. The
and our managers through these our team, managers and underlying
key is that all these topics have been
uncertain times. companies to deliver real change
addressed with client needs and
and support for our Clients in fulfilling
2019 was a critical year for Brunel future outcomes in mind: to reduce
our mutual commitment to building a
and our Clients. We continued to investment risk and support our
financial system which is fit for a low
search for and launch investment objective to deliver strong investment
carbon future.
portfolios while our Clients were returns over the long-term.
undertaking detailed reviews of their Brunel’s manager selection
We see real opportunities right now
investment strategies. We supported process is central to the effective
to influence and implement change
these reviews through the provision of implementation of our RI, Stewardship
in the financial system to ensure we
workshops and training sessions, by and Climate policies. Our managers
have a world worth living in.
engaging both internal and external must be able to clearly demonstrate
stakeholders and being able to bring how ESG is embedded into their
deeper insights on climate change investment process. We also examine
and how being a responsible investor a manager’s organisational culture
and steward can support long term and approach to teams, challenge
financial performance. and risks. A key focus area here
is diversity and inclusion. We are Laura Chappell
delighted to have actively supported Chief Executive Officer, Brunel
Pension Partnership
Brunel Pension Partnership Ltd Responsible Investment and Stewardship Outcomes 6
Contents
Climate Change Human Capital
Page 14 Page 37
We aim to reduce the carbon We promote strong HR and
intensity of our portfolios by 7% each sustainable renumeration policies.
year until 2022. This report sets a 2019
463 engagements were related
baseline.
to inappropriate executive
All active portfolios have achieved renumeration.
more than 7% carbon intensity
Through our engagement provider,
improvements against their
Federated Hermes, we support the
benchmarks, and our low carbon
Workforce Disclosure Initiative, to
index has a carbon intensity of less
encourage greater transparency on
than half that of the standard index.
human capital risks.
Tax and Cost Responsible
Transparency Stewardship
Page 31 Page 40
We promote fair and transparent tax
We believe that through responsible,
and cost systems.
active ownership, we can contribute
We engage on corporate tax to the care, and ultimately long-term
transparency in collaboration with success of all assets in our remit.
the PRI.
During 2019, Federated Hermes
100% of our appointed listed market engaged with 867 Brunel held
fund managers are currently companies across 1,081 milestones.
achieving or committed to becoming
98% of votes were cast at AGMs and
LGPS/FCA CTI compliant.
other meetings.
Diversity and Inclusion Cyber
Page 33 Page 45
We promote fair, diverse and inclusive
We promote corporate awareness
business environments and practices.
and action across a range of cyber
35% of Board members are issues such as cyber security, the use
female within the Brunel UK Active of personal data and the use of AI.
Equity Portfolio.
We use the Ranking Digital Rights
Corporate Accountability Index
to assess Brunel Portfolios and to
prioritise engagements.
Our investment managers are
increasingly identifying cyber
security as an engagement priority.
Brunel Pension Partnership Ltd Responsible Investment and Stewardship Outcomes 7
Supply Chains
Page 49
Tailings dams
Brunel joined the Investor Mining and Tailings Safety Initiative calling for greater
transparency and minimum standards around tailings dam management.
Plastics pollution and ghost gear
We are a member of the Principles for Responsible Investment (PRI) Plastic Working
Group focused on identifying the risks and opportunities associated with plastics.
Palm oil
We fed into the Roundtable on Sustainable Palm Oil (RSPO) Principle’s and Criteria
Review Task Force and encourage fund managers to support and adopt the RSPO
standard as part of their engagement with companies.
Water
We engaged with companies in the fast food sector around water risks in their dairy and
meat sourcing.
Antimicrobial Resistance (AMR)
We are part of a Global Investor Collaboration on Farm Animal Welfare led by the
Business Benchmark for Farm Animal Welfare (BBFAW). We have supported academic
evidence into the AMR from an investor perspective.
Biodiversity
We co-signed an investor statement urging companies to eliminate deforestation from
their supply chains.
Modern Human Slavery
We encourage companies to adopt and to increase use of appropriate technology to
improve transparency on end-to-end supply chains.
Our engagement work spans the globe
Antimicrobial
Resistance in
China
Biodiversity
in California
Tackling Plastics Palm Oil in
Pollution in South East
the World’s
Asia
Oceans
Brunel Pension Partnership Ltd Responsible Investment and Stewardship Outcomes 8
Brunel aims to deliver stronger Establishing our priorities
investment returns over the long Responsible investment (RI) is central We have identified seven priority
term, protecting our Clients’ to how Brunel fulfils its fiduciary duty. themes which are informed by
interests through contributing to As responsible investors, we recognise our investment beliefs, our Clients’
a more sustainable and resilient that every company or asset we invest policies and priorities together with
financial system, which supports in operates interdependently with stakeholder views, regulatory and
the economy, civil society and the statutory guidance and are aligned
sustainable economic growth
physical environment. with best practice.
and a thriving society.
Brunel’s seven priority themes as
part of an integrated responsible
investment process are illustrated in
the diagram below:
Brunel RI & Stewardship Priorities
Top down
• Investment risks
• Client priorities
Climate change
Annual Brunel RI &
Stewardship
Policy & UK policy framework Outcomes Report
Brunel RI
regulation
Strategy
Diversity & inclusion delivered by Quarterly RI &
• Brunel Team Stewardship updates,
Human capital • Asset Managers portfolio dashboards,
Best
• Engagement voting records and
practice engagement highlights
providers
Cost and tax transparency • Partnerships and
Collaborations
Presentations, workshops,
Cyber training, podcasts,
Stakeholder
blogs and articles
views
Supply chain
management
Bottom up from
Brunel portfolios
• Asset specific risks
• Event risk
Brunel Pension Partnership Ltd Responsible Investment and Stewardship Outcomes 9
Integrating Responsible Investment into our
Manager Selection
Integrating Responsible Investment into manager selection is a core
part of our work. Mandate design and a risk appraisal process prior to
Analysing ESG risks launching a search for a manager is therefore critical in ensuring that we
focus on the right things.
We recognise that ESG data is a
developing discipline and we are The asset class, geography and risk objectives will have a bearing on
strong advocates for improved which Responsible Investment and ESG risks will be most relevant to focus
disclosure from companies and on when making an appointment, thus our manager selection criteria
assets in which we invest. This theme are determined for each search.
cuts across every one of the priority The examples below show some of the key issue we address when we
areas. In addition to our own and appoint managers.
our asset managers’ analysis of ESG
risks within our portfolios, we also
use certain third party proprietary Philosophy Policies People
and public data sources. Where we
have used third party data to set our Board-level leadership Commitment Diversity and Inclusion
objectives and targets, we have been
clear on the source of the data. To Corporate culture Policy framework Human Capital
make the reporting investment risk
relevant, where possible we have Investment Pricing and transparency Numbers & retention
used weighted average but for
transparency simple averages are
included in the appendix. Processes Participation Partnership
Our investment principles provide the
Investment Thought-leadership In it together
framework of our evaluation of risks.
We seek to stimulate market-wide
Reporting Innovation Culture fit
improvements in ESG risk analysis
and commit to continue to innovate, Contribution to
Stewardship
adapt and improve to ensure we investment industry
have robust, independent and
M
ore information about the selection and monitoring of
effective data to work collegiately
managers is on our website
with our external asset managers
on the management of the whole
spectrum of investment risks.
Breakdown of Brunel Assets Under Management
We are members of the Sustainability
Accounting Standards Board (SASB) 5% 5%
Alliance and Investor Advisory Group
as part of our work to promote 2%
on better quality reporting on
material ESG risks. We are also vocal 8%
supporters of the adoption of the
Taskforce for Climate-related Finance
L isted equity - As at 31
Disclosure (TCFD).
developed markets December 2019 80%
L isted equity -
emerging markets
Private equity
Infrastructure
Property
Brunel has a transition plan. We have started on our Fixed Income work in 2020.
Infrastructure and Private Equity are included as committed amounts.
Brunel Pension Partnership Ltd Responsible Investment and Stewardship Outcomes 10
Leading by example
The scope of our RI Strategy includes Throughout this report we have In addition, the Responsible
all our own operations (such as included insights into our business Investment Subgroup meets monthly
buildings, travel and people), as operations and aim to build on these and acts as a forum for further
well as portfolio implementation during 2020. discussions on Responsible Investment
and responsible stewardship. This topics. Workshops are conducted
Brunel believes in the importance
ensures our own practices align with where a deeper awareness or
of regular and in-depth shareholder
our expectation of the companies education on a particular topic is
and stakeholder engagement. The
and assets in which we invest. This useful. For example, from October
Board regularly scrutinise Brunel’s
approach is embedded in everyday to December 2019, we conducted
Responsible Investment strategy
activities and enables everyone to a series of workshops around our
which is overseen operationally by
contribute to forging better futures by Climate Change Policy prior to
the Executive Committee.
investing for a world worth living in. publicly launching in January 2020.
Brunel’s Client Group is made up
This report aims to cover all aspects Further detail on our governance
of Client Fund Officers, this group
of our strategy. We have aimed to structure can be found in our Annual
provides oversight through monthly
provide examples and evidence to Report and Financial Statements.
Responsible Investment updates,
support it in order to provide assurance
providing input on their committee
to our Clients, their beneficiaries and
and beneficiaries emerging needs
their wider stakeholders.
and concerns.
Board and Sub-committees Shareholder Group
Brunel Oversight
Board
Board
5 6
Audit, Risk & Compliance
Remuneration Committee
Committee
2 4
Executive Committee Client Group
8 12
Responsible
Operations Risk & Compliance Investment
Investment
Committee Committee Committee
Sub-Group
6 5 12 12
Operational
x Numbers of
Committees Investment Risk Committee meetings a year
4Brunel Pension Partnership Ltd Responsible Investment and Stewardship Outcomes 11
Managing Conflicts of Interests
Brunel is required by the Financial Conduct Authority to maintain and operate effective organisational
arrangements to ensure all reasonable steps are taken to prevent conflicts of interest from adversely affecting
the interests of Clients, as well as the Clients’ members and their Administering Authorities.
Our Conflict of Interest policy describes the circumstances that could give rise to a conflict of interest and the
principles to be followed in order to identify, avoid, manage or in the event the other routes are not possible, to
disclose clearly to our Clients.
Conflict of Interest management is embedded in a number of Brunel policies and processes. In 2019 there were
no conflicts of interest in relation to our engagement activity.
Brunel places our Clients’ interests ahead of our own.
Elsewhere, through our partnership As of January 2019, when our initial Over the following pages, we examine
with Future-Fit, a-not-for-profit Future Fit assessment was conducted, our seven priority themes in detail, the
organisation that aims to encourage of the 16 goals deemed applicable action we have taken and where we
business alignment with the to Brunel, seven were ‘already on are focussing our next steps.
Sustainable Development Goals course’ to reaching ‘future fitness’
(SDGs), we have benchmarked our and nine required only ‘minor action’.
business operations against its 23 We continue to develop our Future
‘Break Even’ goals, to ensure that as Fit programme and will seek to set
an organisation we are meeting the objectives and in some cases targets
highest possible standards. Examples for our company operations.
include achieving a 100% renewable
energy tariff and developing positive
and flexible employee policies.
High-level reflections on Brunel Pension Partnership’s current performance
Alignment with the 23 Future-Fit Break-Even Goals
Our analysis suggests that…
◉◉◉◉ 7 goals: not applicable to company operations
◉◉◉◉ 7 goals: already on course to reaching future-fitness
◉◉◉◉ 9 goals: minor action is needed to get on a path to future-fitness
◉◉◉◉ 0 goals: more significant action may be required
◉◉◉◉ 0 goals: major action is needed, perhaps over many years
Source: Future-Fit Business Benchmark Brunel Pension Partnership Assessment, January 2019Brunel Pension Partnership Ltd Responsible Investment and Stewardship Outcomes 12
Timeline
April 2019
Quarterly Portfolio dashboard
reporting for ESG and
carbon metrics
July 2017 May 2019
Brunel Pension Climate Position Statement
Partnership formed
Brunel joins the Sustainability
Accounting Standards
November 2017 Board (SASB’s) Investor
Joined The Institutional Investors Advisory Group
Group on Climate Change (IIGCC)
and registered as Task Force for
Climate related Disclosures (TCFD)
September 2019
signatory and supporter Published our Tax
Position Statement
December 2017
Board supports joining Diversity
Project and 30% Club 2019
2018
2017 March 2018
First LGPS pool to become a signatory of UN
backed Principles of Responsible Investment
May 2018
Five Year Responsible Investment Policy
October 2018
Launch of our Stewardship Policy
End of 2018
Brunel’s First Annual Report and Financial
Statements including TCFD & paygap reportBrunel Pension Partnership Ltd Responsible Investment and Stewardship Outcomes 13
January 2020
Public launch of Climate
Change Policy
March 2020
UN PRI Transparency Report
May 2020
First Responsible Investment October 2022
and Stewardship Outcomes Climate Change Stocktake
Report published
2020
2021
2022
2021
Second Responsible
Investment and Stewardship
Outcomes ReportBrunel Pension Partnership Ltd Responsible Investment and Stewardship Outcomes 14
Climate Change
Using our strengths and our position in the market to
systematically change the investment industry so that it is fit
for purpose for a world where temperature rise needs to be
kept to well below 2°C compared to pre-industrial levels.
Climate change presents a systemic What action have What followed was the creation of
and material risk to the ecological, a ground-breaking climate change
we taken?
societal and financial stability of policy, a “Five Point Plan to build a
every economy and country on the We issued a climate change position zero-carbon future”.
planet, and therefore will impact statement in May 2019 and adopted
Our framework for assessing
our Clients, their beneficiaries and our full Climate Change Policy
the impacts of climate change
all portfolios. which was published publicly in
encompasses adaptation and
January 2020. This policy sets out our
For example, rising temperatures physical risks (the risks posed by the
climate change beliefs and explains
are linked to an increase in natural consequences of climatic change) as
that, in the medium and long-term
disasters, which currently cost c.$18 well as those risks and opportunities
we expect to deliver sustainable
billion a year in ‘low’ and ‘middle arising from the transition to a
investment returns by investing in
income’ countries alone, as well as low carbon economy (risks from
companies and assets that effectively
wider household and business costs addressing the root causes of
manage the risks and opportunities
of c.$390 billion a year1. climate change).
presented by climate change.
We believe that investing to support Brunel is a member of the Institutional
We actively listened to our Clients
the Paris goals that deliver a below Investors Group on Climate Change
and their stakeholders, undertaking
2°C temperature increase is entirely (IIGCC), PRI and a supporter of the
workshops, training sessions and
consistent with securing long-term Transition Pathway Initiative (TPI)
roadshows, engaging multi times and
financial returns and is aligned which will support our ability to
with over a hundred stakeholders.
with the best long-term interests of apply best practice due diligence
our Clients. We consulted together to arrive at and engage with the companies in
a point of consensus – which was which we invest. Brunel advocates
For society to achieve a net zero
not a given across ten LGPS Funds strongly for improved transparency
carbon future by 2050 (or before)
– with different investment policies, and will disclose in line with the
requires systemic change in the
strategies and previous knowledge recommendations of the Task
investment industry, and equipping
and training on climate change. Force on Climate-related Financial
and empowering our Clients
Disclosure (TCFD), including the
(and other investors) is central to We built our approach on insights
publication of annual carbon
this change. gained in the course of procuring
footprints and fossil fuel exposure,
new asset managers for our ten LGPS
alongside the development of other
Clients in order to achieve the most
carbon metrics.
challenging of practical implications
of our framework quickly: between
now and 2022.
1 The World Bank Group, Climate Change, October 2019Brunel Pension Partnership Ltd Responsible Investment and Stewardship Outcomes 15
Our analysis of the investment market and of the investment system, and of our role within that
market and that system, has led us to identify five areas where we believe there is a critical
need for action and where we believe we can make a significant difference. These are:
Policy Advocacy
We want policy makers to establish
comprehensive and robust climate
change policy frameworks that deliver
Product Governance
significant reductions in greenhouse gas We want to increase the number
emissions, accelerate progress towards and range of products available to
the low carbon economy, and enable our Clients and the wider investment
effective adaptation to the unavoidable market that deliver substantial
impacts of climate change. climate change benefits.
Persuasion Designing
Making
We want the companies and markets climate
work transition
other entities in which we invest
solutions
and contract with to support
Pro
the transition to the low carbon icy du
ol C Portfolio
economy, and to ensure that they ATE HA
P
N
ct
LIM
Management
s
are resilient to the unavoidable
G
C
Systemic
E
impacts of climate change.
change in the We want our investment
P e rs u a s
investment
li o s
portfolios to be resilient
Convincing industry Investing
rtf o
under a range of climate
others to where it
Po
ion
matters change scenarios
change
Po (both mitigation and
sitive Impact adaptation). We want to
Positive Impact adopt best practices on
We want to enable investments in climate risk management
activities that directly support the low Delivering & and to work with our
carbon transition and that enable evidencing managers to further
effective adaptation to the unavoidable progress improve and develop
impacts of climate change. our processes.Brunel Pension Partnership Ltd Responsible Investment and Stewardship Outcomes 16
We expect companies and fund • should disclose climate related
managers to effectively identify and risks and actions to mitigate these
manage the financially material
physical, adaptation and mitigation
in line with latest best practice
guidelines, such as those of
Policy in action
risks and opportunities arising from the Financial Stability Board’s The Brunel Climate Change
climate change as it relates to entire Taskforce on Climate-related policy was launched in early
business models. Financial Disclosures (TCFD). 2020 and its impact is already
being felt. Engaging with our
We have an expectation that • should include an assessment
investment managers and
companies: and scenario analysis of possible
on how they invest and what
future climate change risks in
• should put in place specific policies investment products they bring
addition to those that have
and actions, both in their own to market in future is central to
already emerged.
operations and across its supply our approach.
chain, to mitigate the risks of As part of our manager selection
“We greatly value the active
transition to a low carbon economy and ongoing monitoring we use data
engagement and thought
and to contribute to limiting from the Transition Pathway Initiative
leadership from the Brunel
climate change to below 2°C. (TPI) and carbon foot printing. Both
investment team. Brunel’s
these tools greatly informed our
proactive and collaborative
portfolio construction and design
approach to partnership,
as illustrated by the case studies
combined with their expertise
throughout this section of the report.
in sustainability, has greatly
contributed to the industry’s
growing recognition of the
importance of climate risk.
Sustainability is the new
standard for investing at
BlackRock and we look forward
to our ongoing partnership
with Brunel and leading further
change across the industry
for the benefit of pension
scheme members”.
Sarah Melvin, Head of UK,
BlackrockBrunel Pension Partnership Ltd Responsible Investment and Stewardship Outcomes 17
Carbon Metrics Reporting
We have been actively working to
report on a variety of carbon metrics,
including the carbon intensity, Overview of the Brunel Aggregate Portfolio
energy mix and disclosure rates for
• Looking at the Weighted Average Carbon Intensity (WACI), the
each of the Brunel Portfolios. For the
Brunel Aggregate Portfolio is less carbon intensive than its custom
purpose of this report we report on
benchmark, with a relative efficiency of 15.4%
a Brunel Aggregate Portfolio using
a customised portfolio composed • The Brunel Aggregate Portfolio has lower exposure to both fossil fuel
in the same proportions as the revenues (9.4% vs 12.4%) and disclosed reserves (5.2% vs 7.4%)
investments that we hold2. Full details • Looking at the energy mix of the Brunel Aggregate Portfolio:
of each of the Sub-Portfolios can
be found in the Climate Change • It has a lower share from fossil fuels, in particularly coal (25% vs 30%)
Baseline Report published on the • It has a higher share from renewables, in particularly biomass
Brunel website. (9% vs 2%)
Our carbon foot printing includes • Disclosure is a key focus area for our engagement programme.
scope 1, scope 2 and first tier scope Currently more than half of companies in the Brunel Aggregate
3 emissions, alongside how the Brunel Portfolio fully disclose their carbon data on a carbon weighted
aggregate benchmark is composed. measure. On an investment weighted measure 64% of companies
We use carbon foot printing, fully disclose.
alongside other tools to provide • Looking at the Brunel Aggregate sub-portfolios, the highest intensity
essential analysis on the carbon is the Passive Smart Beta (554 tCO2e/mGBP), while the lowest was the
performance of Brunel Portfolios Passive Low Carbon (150 tCO2e/mGBP)
and appointed managers. It is useful
in order to determine the carbon
performance of holdings within
a sector and identify any large
contributors and outliers as well as
identify engagement opportunities.
Case Study: Portfolio Management
Researching the portfolio implications of Paris Alignment
An increasing number of investors have ambitions to launched by the Institutional Investors Group on
move their portfolios towards 2°C alignment as we Climate Change (IIGCC). This initiative aims to help
look to transition to a low carbon future. However, it develop a common understanding of the concepts
is unknown what a 2°C portfolio looks like in practice, relating to alignment with the Paris Agreement, and
whether it could meet its financial objectives explore options for approaches and methods that can
(the needs of the underlying beneficiaries) and be used by investors who wish to align their portfolios
how such a portfolio may perform under different to the Paris Agreement.
market scenarios.
We hope this project will enable asset owners and
To support the research and modelling that is needed managers to better assess and manage both climate
for investors to progress towards Paris Alignment, we risks and opportunities and to report on their actions
are part of the steering committee of a new initiative more effectively.
2 9.24% MSCI Emerging Markets, 33.08% MSCI World, 4.47% MSCI ACWI, 13.66% FTSE AllShare, 7.71% Passive Smart Beta, 10.03% Passive UK,
21.83% Passive World DevelopedBrunel Pension Partnership Ltd Responsible Investment and Stewardship Outcomes 18
Scope 1, 2 and 3 definitions
CO2 SF4 CH4 N2O HFCs PFCs
Employee
Business Travel
Company
Owned
Vehicles
Purchased
Product
Electricity for Use
Own Use
Waste Fuel
Disposal Combustion Production
of Purchased
Materials
Outsourced Contractor Owned Investments
Activities Vehicles
SCOPE 2 SCOPE 1 SCOPE 3
INDIRECT DIRECT INDIRECT
Scope 2 emissions are indirect Scope 1 emissions account Scope 3 emissions are all other
emissions from electricity for all direct greenhouse gas indirect emissions with the
purchased and used by the emissions from the activities of exclusion of scope 2 (see left).
organisation. These emissions are an organisation. This includes These emissions occur from
created during the production of activities on site such as the activities or sources that the
the energy. use of gas boilers for heating organisation do not directly own
buildings, emissions from or control. These include activities
company vehicles, leaks from air- such as business travel, employee
conditioning units and emissions commuting, waste and water
from any onsite processes such as services and investments.
cement manufacturing.Brunel Pension Partnership Ltd Responsible Investment and Stewardship Outcomes 19
Weighted average carbon intensity
We illustrate the Weighted Average this is a useful indicator of potential
Carbon Intensity (WACI) of each of exposure to transition risks such as
the Brunel Portfolios below, as well as policy intervention and changing
the associated disclosure rates for consumer behaviour.
the respective portfolios.
Each of the Brunel Sub-Portfolios
The WACI shows a portfolio’s have a WACI below their respective
exposure to carbon intensive benchmarks. Passive Smart Beta,
companies. Because carbon Passive UK and Passive World
intensive companies are more likely Developed track their respective
to be exposed to potential carbon benchmarks.
regulations and carbon pricing,
WACI and Disclosure Rates for the Brunel Aggregate and Brunel Sub-Portfolios
Portfolio Benchmark
600
500
570
554 554 Full Disclosure
Carbon Intensity (tCO2e/mGBP)
523
400
Companies reporting their own
carbon data (eg financial reports,
300 334
301
334
301 303 303
CDP disclosures etc).
282 282 281 281
259 259
200
Partial Disclosure
158 150
100
The data disclosed by companies
0 has been adjusted to match
Brunel Brunel Brunel Brunel Brunel Brunel Brunel Brunel Brunel
Aggregate Active UK Active Active Active Low Passive Low Passive Passive UK Passive the reporting scope required by
Global Emerging Volatility Carbon Smart Beta World
High Alpha Markets Developed the research process. This may
Full disclosure Partial Disclosure Modelled include using data from previous
100%
14%
2%
18% 13% 15%
2%
13% years’ disclosures as well as
21%
24%
80% 34%
30%
16% 16%
changes in business activities and
22% 16%
17%
19% consolidated revenues.
Disclosure rate by VOH
60%
45% Modelled
40%
66% 71% 69% 74% 71%
63% 64% 60% In the absence of usable or
20% up to date disclosures, the
24%
data has been estimated by
0%
Brunel
Aggregate
Brunel
Active UK
Brunel
Active
Brunel
Active
Brunel Brunel Brunel
Active Low Passive Low Passive
Brunel
Passive UK
Brunel
Passive
Trucost models.
Global Emerging Volatility Carbon Smart Beta World
High Alpha Markets Developed
Bar totals may not sum to 100% due to rounding.
We aim to reduce the carbon intensity of our portfolios by
7% each year until 2022 (relative to the benchmark)Brunel Pension Partnership Ltd Responsible Investment and Stewardship Outcomes 20
Weighted Average Carbon Intensity (tCO2 e/mGBP) Relative to Benchmark
Portfolio WACI Relative
Portfolio Name Portfolio WACI Benchmark WACI to Benchmark
Brunel Active UK Equity 259 282 -8.2%
Brunel Active Global High Alpha 158 301 -47.5%
Brunel Active Emerging Markets 523 570 -8.2%
Brunel Active Low Volatility 259 334 -22.5%
Brunel Passive Low Carbon 150 301 -50.1%
Brunel Passive Smart Beta 554 554 In line
Brunel Passive UK 281 281 In line
Brunel Passive World Developed 303 303 In line
Progress Already Made in reducing Carbon Risks
Brunel Active Equity UK Portfolio Weighted Average Carbon Intensity (WACI)
We continue to work extensively on
Relative Efficiency (%) reducing the carbon footprint of our
-20% -15% -10% -5% 0% 5% 10%
Portfolios. In 2019 we worked with
one of the appointed managers in
362
Mar the Brunel Active UK Equity Portfolio in
2019 order to reduce the carbon intensity
316
of investments. The implementation
happened after 31 December 2019,
Dec 259 so there have been further carbon
2019 intensity reductions in this portfolio.
282
The Brunel Active UK Equity Portfolio
0 50 100 150 200 250 300 350 400 reduced its Weighted Average
Carbon Intensity (tCO2e/mGBP) Carbon Intensity from 362 tCO2e/
mGBP in March 2018 to 259 tCO2e/
Portfolio Benchmark Relative Efficiency
mGBP in December 2019. This
resulted in the Portfolio improving its
efficiency both overall and relative
Exposure to Extractives Industries to its benchmark, the FTSE All Share
It is important to identify exposure We can identify the exposure to Index.
to business activities in extractives extraction-related activities by Similar work has been conducted
industries in order to assess the analysing the Reserves Exposure and with the Brunel Active Low Volatility
potential risk of ‘stranded assets’. Emissions from Reserves for each Portfolio that has improved its
‘Stranded assets’ are assets that may Portfolio. These metrics highlight Weighted Average Carbon Intensity
suffer from premature write-downs companies with business activities from being 12.1% more efficient than
and may even become obsolete due in extractives industries, as well as its benchmark to over 22.4% more
to changes in policy or consumer companies that have disclosed efficient.
behaviour. This is a real potential risk proven3 and probable4 fossil fuel
Full analysis of each of the Brunel
for assets in extractives industries as reserves in the portfolio.
Sub Portfolios can be found on the
we transition to a lower carbon future.
Brunel Website.
3 Proven reserves are defined as the reserves having 90% or more probability of being extracted
4 Probable reserves are defined as the reserves having a 50% probability of being extractedBrunel Pension Partnership Ltd Responsible Investment and Stewardship Outcomes 21
Case Study: Persuasion
Empowering our Clients
It is vitally important for us to support and empower In 2019 we co-filed a shareholder resolution at the
our Clients across issues that are important to them. Barclays AGM requesting that the bank, who are
the largest financier of fossil fuels in Europe, publish
The Environment Agency has always been at the
a plan to gradually stop the provision of finance to
forefront of making sure that their investments factor in
companies in the energy, gas and utility sectors that
the risks of climate change. With the climate change
are not aligned with the goals of the Paris climate
situation getting more pressing and implications more
agreement. The proposal also encourages Barclays
severe, the Environment Agency Pension Fund (EAPF)
to consider the social dimension of the transition to
has started to send representatives of their pensions
a resilient and low-carbon economy, as per the Paris
committee to Annual General Meetings (AGMs) of some
Agreement. This makes it the first climate change
of the companies they invest in. The EAPF have started
resolution to include a so-called ‘just transition’ ask
to ask Boards directly what they are doing to address
in its supporting statement. We will continue our
climate change. To date they have focused on the
conversations with Barclays in collaboration with other
financial sector, with a specific focus on how banks and
investors and look forward to reporting on progress
insurance companies are assessing the climate risks of
later in 2020.
who they are lending to or insuring. Brunel are keen to
work closely with its Clients and others in the investment
community to ensure assets deliver both strong financial
and environmental returns.
Craig Martin, Chief Pensions Officer, Environment
Agency Pension Fund attended the Barclays 2019 AGM.Brunel Pension Partnership Ltd Responsible Investment and Stewardship Outcomes 22
Exposure to Extractives Industries - Brunel Aggregate and Brunel Sub-Portfolios
Emissions from Reserves per million Invested
Portfolio Benchmark
14k
12k
11,956
The Brunel Aggregate and
Reserve Intensity (tCO2e/mGBP)
10k
Brunel Sub-Portfolios have lower
Emissions from Reserves and
8k
7,406 7,452 7,452
Reserves Exposure than their
6k
5,795
respective benchmarks.
5,278
4k
4,092 The exceptions are the Passive
3,049
2k 2,839
Smart Beta, Passive UK and
1,651 1,802 493 1,802 1,436 1,436
1,815 1,815
0k
60
Passive World Developed that
Brunel Brunel Brunel Brunel Brunel Brunel Brunel Brunel Brunel
Aggregate Active UK Active Active Active Low Passive Low Passive Passive UK Passive track their benchmarks.
Global Emerging Volatility Carbon Smart Beta World
High Alpha Markets Developed
Reserves Exposure
Portfolio Benchmark
18%
16%
16.2% 16.3% 16.3%
14%
Weight by value of holdings
12%
11.7%
10%
8%
7.4%
6% 7.1%
4% 5.2%
4.7% 4.6%
4.2% 4.2% 4.2% 4.2%
3.6% 3.6%
2% 0.7%
1.8% 1.6%
0%
Brunel Brunel Brunel Brunel Brunel Brunel Brunel Brunel Brunel
Aggregate Active UK Active Active Active Low Passive Low Passive Passive UK Passive
Global Emerging Volatility Carbon Smart Beta World
High Alpha Markets Developed
Extraction-related activities: Fossil fuel reserves:
The definition of
• Crude petroleum and natural gas • Coal (metallurgical, thermal
extractive-related extraction or other)
industries and • Tar sands extraction • Oil (conventional or
fossil fuel reserves • Natural gas liquid extraction unconventional)
for the purpose of • Bituminous coal underground mining • Gas (natural and shale)
this report: • Bituminous coal and lignite • Oil and/or gas (where no
surface mining further information)
• Drilling oil and gas wells
• Support activities for oil and
gas operationsBrunel Pension Partnership Ltd Responsible Investment and Stewardship Outcomes 23
Case Study: Portfolio Management
Engaging with fund managers on portfolio construction
In 2019, we were searching for investment managers When we analysed the prospective manager’s
for a Global High Alpha strategy. Essentially this holdings, we found that 70% of the carbon intensity
involved finding a blend of asset managers allowing was attributable to a single holding – LafargeHolcim,
us to balance risk through using a mix of style biases. one of the world’s largest cement producers. We
The selection of managers is shown in the figure below, used TPI data as part of this analysis and found
and the managers chosen are circled. that LafargeHolcim was a Level 4 performer on
management quality.
As can be seen, the carbon footprint of most was
significantly below the reference benchmark. While the company was not 2°c aligned at present,
The exception was in Value; this is a particularly it had a strategy that would see it aligned with 2°c.
challenging category from a climate change We discussed this holding with the manager and
perspective. Most carbon intensive sectors often were reassured that it was both aware of the climate-
trigger the features sought by value managers and related risks associated with LafargeHolcim and
they currently tend to have a higher than standard the cement sector and was also aware of Lafarge’s
market benchmark carbon intensity. strategy for managing these risks. It is also relevant
to note that LafargeHolcim subsequently had some
slippage in its performance and in its targets, and both
we and our investment manager are engaging with
them on this issue.
450
400
350
300
tCO2e/£m
250
200
150
100
50
1
0
Benchmark
(Selected)
Growth 2
(Selected)
Cyclical 1
Cyclical 2
Cyclical 3
Cyclical 4
(Selected)
Defensive 2
Defensive 3
Defensive 1
Defensive 2
Value Quality 1
Value Quality 2
(Selected)
Value Deep 2
Momentum 1
Momentum 2
Style Blend 1
(Selected)
Growth 1
Growth 3
Quality Growth
Quality Growth
Quality Growth
Quality Growth
Quality Growth
Defensive 1
Quality Growth
Quality Growth
Quality
Quality
Value Deep 1
Style Blend 2
1Brunel Pension Partnership Ltd Responsible Investment and Stewardship Outcomes 24
The Brunel Aggregate Portfolio in more detail
Exposure to Extractives
Weighted Average Carbon Intensity (WACI)
Relative Efficiency (%)
0% 2% 4% 6% 8% 10% 12% 14% 16% 18%
Relative Efficiency (%) Last year Brunel had insufficient
-20% -15% -10% -5% 0% 3625% 10% portfolios to create a meaningful
Mar
Mar aggregate. Going forwards we
2019 362
2018 will continue to report on the
316
Brunel Aggregate Portfolio in order
282 to show progress over time.
Dec 259
Dec
2019 282
2019 334
0 50 100 150 200 250 300 350 400
The Brunel Aggregate Portfolio
0 50 100 150 Intensity
Carbon 200 250
(tCO2e/mGBP) 300 350 400
has more than 15% ‘efficiency’
Carbon Intensity (tCO2e/mGBP)
Portfolio Benchmark Relative Efficiency
Fossil Fuel Revenue or Reserves Exposure compared to the custom
Portfolio Benchmark Relative Efficiency benchmark.
Extraction 6.4%
Revenues Extraction Revenues (6.4%) and
Only 8.2%
Fossil Fuel Reserves (5.2%) account
for the majority of the fossil fuel
Extraction 0.5%
& Energy exposure. Both are below the
Revenues 0.7% custom benchmark.
Energy 2.5% BP, Glencore and Royal Dutch
Revenues Shell are the largest contributors
Only 3.3%
to emissions from reserves.
5.2%
Reserves
7.4%
362
0 1 2 3 4 5 6 7 8 9
Carbon Intensity (tCO2e/mGBP)
Portfolio Benchmark
Name Carbon-to-revenue Weight Contr.
intensity (tCO2e/mGBP) % %
PT Semen Indonesia (Persero) Tbk 15,818 0.06 -3.44
Royal Dutch Shell PLC 668 1.76 -2.44
Rio Tinto Group 1,141 0.71 -2.18
Anhui Conch Cement Company Limited 13,817 0.04 -1.84
LafargeHolcim Ltd 7,633 0.07 -1.73
Name Apportioned reserve Weight
emissions (MtCO2) %
Glencore 6.94 0.29
BP p.l.c 5.44 0.84
Roayl Dutch Shell PLC 3.94 1.76
Anglo American Plc 2.77 0.50
Public Joint Stock Company Gazprom 2.73 0.04Brunel Pension Partnership Ltd Responsible Investment and Stewardship Outcomes 25
Power Generation Mix and Disclosure Rates
We can also illustrate the power generation mix of the Brunel Aggregate Portfolio
against its custom benchmark. The level of fossil fuels, namely Coal is lower (25%
vs 30%), whereas the proportion of renewables, in particular biomass, is higher.
Power Generation Mix and Disclosure Rates
1% 2% 1%
The Full Disclosure rates within
9% 7%
30% the Brunel Aggregate Portfolio
34% are 56.3% and 63.3% on a Green
9%
9% House Gas and Investment
Weighted basis.
9%
Portfolio Benchmark Company disclosures remain an
area of engagement focus for
16% Brunel. This is important so that
the investment industry is better
17% 30%
25% able to analyse and monitor its
exposure to carbon risk.
Natural Gas Nuclear Other renewables Petroleum
Coal Hydroelectric BioMass
5.17%
GHG - Greenhouse Gas
GHG 56.33% 38.50% 5.17% Greenhouse Gases are gases
that trap heat in the atmosphere.
These include carbon dioxide,
methane, nitrous oxide and
fluorinated gases.
VOH 63.32% 22.43% 14.25%
VOH - Value of Holdings
The Value of Holdings is the
0% 20% 40% 60% 80% 100%
financial value of the holdings
within the Portfolio
Full Discosure Partial Discolsure Modelled
15Brunel Pension Partnership Ltd Responsible Investment and Stewardship Outcomes 26
Transition Pathway Initiative (TPI) Assessment of Our
Active Equity Portfolios The TPI Tool
We aim to have all our material holdings on TPI level 4 or above by 2022. The Transition Pathway Initiative
(TPI) is a global, asset-owner
As of December 2019, within Brunel’s Active Equity Portfolios there were
led initiative which assesses
68 companies covered by the TPI tool. Of these, 40 holdings (59%) are
companies’ preparedness for
categorised as Level 4 or above.
the transition to a low carbon
Brunel Active Equity Holdings by TPI Level economy. The TPI tool uses
publicly available company
Level 0 information to assess:
1
14.25% 40 Management quality
Level 1 6
The quality of companies’
Level 2 8 management of their greenhouse
gas emissions and of risks and
Level 3 13 301 opportunities related to the low-
Level 4 & 4*
carbon transition
40
0 5 10 15 20 25 30 35 40
Carbon performance
How companies’ carbon
performance now and in the
Brunel Active Equity Market Value by TPI Level
future might compare to the
9% international targets and national
pledges made as part of the Paris
0 4% Agreement.
1
Companies management quality
2 16% is assessed annually across 17
3 indicators.
4 and 4*
Companies are placed on one of
70%
five levels:
Level 0 - Unaware of, or not
acknowledging climate change
as a business issue
Looking at the breakdown from a market value perspective, 70.2% of holdings Level 1 – Acknowledging climate
within Brunel’s Active Equity Portfolios are assessed as Level 4 or above. change as a business issue
Level 2 – Building capacity
Level 3 – Integrated into
operational decision-making
Level 4 – Strategic assessment
Of those companies assessed as Level 3 or below, we are:
For more information see
• engaging with all that have either fallen or have not www.transitionpathwayinitiative.org
improved their TPI Level year-on-year
• considering voting against company management that
have not improved at least a TPI Level over the course of
a yearBrunel Pension Partnership Ltd Responsible Investment and Stewardship Outcomes 27
Persuasion
Turning to our appointed managers, exposures and to be able to justify
we expect our managers to think any climate controversial holding. If
deeply about all aspects of how they investment managers are not able Next steps
invest and how they engage with to robustly and credibly explain
• Deliver our commitments in
the companies and other entities their investment strategies and how
our Climate Policy
in which they invest. We challenge they have integrated climate risk,
them to provide investment products we will look to replace them with • Develop our climate and
that deliver on our investment and investment managers that do. If we carbon metrics reporting to
our climate change objectives. find that our investment managers’ demonstrate progress and
Furthermore, we press them to think engagement with companies is real-world outcomes
carefully and critically about the ineffective (i.e. these efforts do not
• Support our Clients in the
companies and other entities that deliver real change in corporate
development of their work on
they invest in, and to justify their strategies on climate change so that
addressing the risks arising
investments in companies with higher these companies are on a trajectory
from climate change
greenhouse gas emissions. to be aligned with the transition to
a 2°C or below economy), we will • Reflect on the lessons learnt
Portfolio Management consider whether we should remove from the ongoing Covid-19
While we do not instruct managers certain investment managers and/or crisis in addressing our work
to exclude certain stocks, we introduce specific exclusion criteria on climate change.
expect managers to have portfolios to be applied to companies.
with materially reduced climate
Case Study: Portfolio Management
Engaging with fund managers on carbon intensive holdings
As part of our review of the holdings in one of Our review of the companies’ reporting confirmed
our global equity portfolios, we noted that the these differences. Company 1 reported all of its Scope
portfolio had holdings in two companies exposed to 1, 2 and 3 emissions and had set targets on reductions.
extractive revenues. It was assessed as Level 4 by TPI. While Company
2 acknowledged climate change as a risk to the
Our analysis suggested that the companies were
business and had a climate change policy, it had yet
quite different in their strategic approaches to climate
to report on its Scope 2 greenhouse gas emissions. It
change. Over half of Company 1’s revenues were from
was only assessed as Level 2 by TPI.
oil products and a quarter from renewable sources (its
diesel product which could be made raw materials Using the insights from our analysis and from TPI,
such as rapeseed oil, rape oil or soybean). Company we engaged with the investment manager who
1’s aspiration was to grow the renewables part of the concluded that Company 2 no longer fell within
business to 50% of the company’s revenues in 2020. In their investment thesis (where exposed to extractive
contrast, Company 2’s business was almost exclusively revenues, companies should evidence of strong
based on fossil fuels and its strategic response seemed transition objectives) and therefore should no longer
primarily focused on improving operational energy be held within the proposed portfolio.
efficiency and reducing methane leakage from
its operations.Brunel Pension Partnership Ltd Responsible Investment and Stewardship Outcomes 28
Case Study: Persuasion
Driving change in company behaviour through Royal Dutch Shell
investor coalitions Engagement with Royal Dutch Shell through CA100+
We support Climate Action 100+, the world’s largest has led to the company releasing the first ever
investor coalition on climate change. The investor investor-company joint statement on climate change
initiative, supported by 373 investor signatories, from an oil and gas company. Shell has committed
represents c. $35 trillion assets under management to setting carbon reduction targets, including scope
globally. Established in 2017 it engages with the 3 emissions (emissions created by the end use of
largest 100 greenhouse gas emitters globally who the products). Shell set net carbon reduction targets
account for two-thirds of annual global industrial to reduce emissions by around half by 2050 and by
emissions and 60 other companies with significant around 20% by 2035. As part of their commitment the
opportunity to drive the clean energy transition. The company also agreed to link executive remuneration
initiative has led to public commitments from a large to its achievement of its energy transition goals (details
number of companies around their greenhouse gas of which are due to be voted at in the 2020 AGM),
emission reductions. align with TCFD recommendations, and review its
approach to corporate lobbying.
Glencore
We support all the positive steps that Glencore
Following engagement with CA100+, Glencore
and Shell have taken but will continue working
published an investor statement in their annual report.
collaboratively with other institutional investors
In 2019 we co-signed a letter to Glencore calling
through CA100+ to hold companies accountable in
for support of the statement to ensure investors
delivering on their climate ambitions and move them
can legally hold Glencore to the commitments it
further forward.
made as part of its recent announcement. The lead
investors plan to set up a meeting with the company
ahead of their 2020 disclosures. We see this letter
as a key foundational document for the next phase
of dialogue.Brunel Pension Partnership Ltd Responsible Investment and Stewardship Outcomes 29
Positive Impact in Private Markets
When assessing potential private market managers, we pay particular attention to
sustainability and climate change. We assess how managers incorporate both the risks and
opportunities into their due diligence. Notably, we challenge managers to stress test their
base case assumptions and to factor in resilience to flood, drought and storms into capital
expenditure and cash flows of financial models.
Whilst wind, solar and biomass batteries and solar panels, and how As well as in the due diligence
generation are very much part of the they are working to make this more phase, we also engage regularly
solution to tackle climate change sustainable going forwards. with our existing managers on
and move to a low carbon future, ongoing ESG issues. We encourage
Renewable energy investments are
these investments are not without our managers to sign up to TCFD, PRI
a core component in our private
issues. Like any other real assets, and GRESB (where appropriate) and
market investments within excess of
they are at risk during the transition to increase the transparency around
35% of cycle 1 commitments and at
phase. Our due diligence extends their reporting.
least 50% of cycle 2 commitments
to the full life cycle of these assets,
within our infrastructure portfolios. Our objective for 2020 is to capture
including which Original Equipment
more of the great work of the team
Manufacturers (OEM) they use, how The Just Transition is a vital component
and our managers and provide
they engage with communities of the low carbon transition, ensuring
insights into the real-world positive
where they intend to build solar/wind a low carbon future does not leave
impacts being delivered by the
farms, and once decommissioned communities behind. Through our due
investments in our portfolios.
what will happen to the equipment. diligence we have seen some great
For example, we recently engaged examples of best practice by our
with our managers on how they managers and we are using this to
are recycling the components develop our thinking and to amplify
and blades from wind farm assets, this across the industry.You can also read
