PIC publishes TCFD report

Pension Insurance Corporation plc (‘PIC’), a specialist insurer of defined benefit pension schemes, today publishes its report “Taking action on Climate Change”, which sets out the firm’s climate-related disclosures, building on our commitment to be net zero across our own emissions by 2025 and across all sources of carbon emissions by 2050.

In 2021 PIC made strong progress, as well as establishing clear targets, in reducing its corporate impact on the environment, as well as the impact deriving from its investments:

• PIC committed to be carbon neutral as a business by 2025 and across our investment portfolio by 2050
• PIC became members of the Net Zero Asset Owners Alliance
• PIC reduced its Scope 1 & 2 emissions1 by 16% during the year and the company’s office uses 100% renewable energy for its electricity consumption
• PIC committed to a temperature alignment2 of 60% of corporate exposure at 2oC or below
• PIC committed to decreasing investment carbon intensity by 50% by 2030

PIC’s approach to climate risk is incorporated into the Group’s ESG strategy and overseen by the Board-level ESG Committee. The report contains insights into PIC’s governance and strategy of ESG areas, including oversight of climate risk and how ESG is integrated within the PIC portfolio, including the weighted average carbon intensity of PIC’s investment portfolio3, which is 204 tCO2e.

Tracy Blackwell, CEO of PIC, said: “Climate change is an issue that is of real importance to us all. Reporting against TCFD, while voluntary, is in line with our purpose as we seek to manage climate risk ever more closely.

“This report brings transparency to our strategy, governance, risk management processes and key metrics for managing the impact of climate change on the business and our investment portfolio and we welcome the chance to present this report and look forward to continuing to play a key role helping shape the debate about the transition as we all seek to manage this risk.”

Download the report

Taking action on climate risk: TCFD Report 2021

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Notes to Editors:

 1)      Greenhouse gas emissions are categorised into three groups or 'Scopes' by the most widely-used international accounting tool, the Greenhouse Gas (GHG) Protocol. Scope 1 covers direct emissions from owned or controlled sources. Scope 2 covers indirect emissions from the generation of purchased electricity, steam, heating and cooling consumed by the reporting company. Scope 3 includes all other indirect emissions that occur in a company’s value chain. Source: The Carbon Trust.

2)      Temperature alignment is the projected temperature rise by 2100 from pre-industrial levels within PIC’s publicly listed credit investments.

3)      The weighted average carbon intensity of PIC’s portfolio is a measure of tCO2/$mm revenue and represents 83% of investments.

For further information please contact:

Pension Insurance Corporation      

Jeremy Apfel                          
+44 (0)20 7105 2140 

apfel@pensioncorporation.com

ApellaAdvisors                                 

Andrew Brown                       
+44 (0)7721 513777               
Janelle Romano                      
+44 (0)7792 173071                       

PIC@apellaadvisors.com

About Pension Insurance Corporation plc

The purpose of PIC is to pay the pensions of its current and future policyholders. PIC provides secure and stable retirement incomes through leading customer service, comprehensive risk management and excellence in asset and liability management. At half-year 2021, PIC had insured 270,800 pension scheme members and had £47.6 billion in financial investments, accumulated through the provision of tailored pension insurance buyouts and buy-ins to the trustees and sponsors of U.K. defined benefit pension schemes. Clients include FTSE 100 companies, multinationals and the public sector. PIC is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and Prudential Regulation Authority (FRN 454345). For further information please visit www.pensioncorporation.com