Natural capital declaration
In June 2012, UniCredit was among the first 37 financial institutions to endorse the Natural Capital Declaration (NCD), which was officially launched at the United Nations Conference on Sustainable Development, also known as Rio+20.
The NCD is in step with our Group's approach to assessing the full social and economic impacts of pollution.
By way of example, UniCredit has already developed special credit policies that are designed to minimize the environmental impacts associated with providing financing for nuclear power plants, mines and water infrastructure. We are now also drafting a credit policy for coal-fired power plants and are developing a pilot project to improve our understanding of the secondary consequences of these power plants.
The NCD takes the form of a commitment made by chief executive officers from the financial sector. It is managed by a team of organizations consisting of the United Nations Environment Programme Finance (UNEP FI), the Global Canopy Programme, and the Center for Sustainability Studies at the Getúlio Vargas Foundation's School of Business Administration.
The NCD emerged from the belief that financial institutions would benefit from guidance on how to consider environmental factors in the context of risk management, due diligence, loan, investment and insurance activities.
Our four commitments at the RIO+20 earth summit
- To understand the impact and dependence of financial institutions on natural capital (both directly and through customers) and how they may result in significant risks and opportunities
- To include considerations of natural capital in financial products and services
- To work toward a global consensus on integrated reporting and disclosure
- To work toward a global consensus on the integration of natural capital into private-sector accounting and decision-making
The goals established for our working groups are as follows:
- Understanding the impacts and dependencies described above
- Embedding the concept of natural capital (NC) in our financial products
- NC accounting
- NC reporting