Greenhouse gas accounting at project and portfolio level

Paris alignmentReasoning
UnalignedThere is no GHG accounting at project or portfolio level (with the exception of renewables projects financed by green bonds). This is despite being a signatory of the Equator Principles  and accredited to the Green Climate Fund.
Year startedInclusion threshold (CO2e/ year)Sectors  
No GHG measurement (except green bonds).No inclusion threshold as no GHG measurement.Renewables
(green bonds only).
No target as
no GHG measurement.


In the sustainability section of its website, KDB states that it will “build on its experience […] in the development of GHG accounting and approaches to climate change risk assessment.”

KDB does not estimate the greenhouse gas emissions generated or avoided from its portfolio as a whole. KDB does, however, track CO2 emissions avoided by green bond projects  in the renewable energy sector. Reports commissioned by the KDB about its green bonds estimate the GHG emissions reductions of each bond. The KDB annual report 2019 also reports on the CO2 emissions avoided by KDB’s renewable energy investments.

There appears to be no publicly available information indicating a minimum project emissions inclusion threshold for GHG accounting. As GHG emissions are not calculated for KDB projects, other than green bonds, there cannot therefore be a target for reducing these emissions.

KDB has signed up to the Equator Principles on minimum environmental and social standards and risk management. The Equator Principles III state that “the client will publicly report GHG emission levels (combined Scope 1 and Scope 2 emissions) during the operational phase for projects emitting over 100,000 tonnes of CO2 equivalent annually”. The KDB’s statement that it does not measure GHG emissions appears therefore to be in contravention with its commitment to the Equator Principles.

Recommendation: KDB should start providing project-level and portfolio data, including GHG emissions, to increase its transparency. Publishing GHG data would bring it into line with the Equator Principles to which it has committed.

Last Update: July 2021

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