A new major investment from PKA will help to provide Danes with more climate-friendly public transport. The pension fund has invested over DKK 700 million in the Danish State Railways’ work to become greener.
The investment takes place through a so-called green bond. The money will be used, among other things, to replace DSB’s diesel-powered trains with electric ones and to build new workshops where the electric trains can be serviced. It must help to reduce DSB’s overall footprint on the climate.
For PKA, it is both a good investment for the members’ pensions and an important contribution to a more efficient and climate-friendly Danish infrastructure. This is according to deputy director Mads Skaaning, who is responsible for the pension fund’s bond investments and ESG work.
“A well-functioning, modern and green public transport infrastructure is an important contribution to lowering Denmark’s overall CO2 footprint, and therefore we are pleased to be able to help finance a greener DSB. When it also ensures a good return for our members, overall it is an investment that fits our profile very well.” Mads Skaaning, Deputy Director Bonds, Credit and ESG
PKA’s investment is part of a larger issue in which DSB has sent so-called green bonds on the market for DKK 500 million. euros corresponding to more than 3.7 billion DKK.
DSB has committed to reducing its own emissions by 98 per cent. between 2019 and 2030. By 2050, emissions from external suppliers must be zero. In total, DSB has provisionally invested DKK 7.1 billion. DKK in the area.
As far as PKA is concerned, the pension fund has, with the latest investment, made a total of approx. 15 billion kroner. It covers both green government bonds and corporate bonds. According to Mads Skaaning, they are a central element in achieving the pension fund’s green objectives.
“We ourselves have a goal that our investments must be CO2-neutral by 2050, and an important step on the way is that we must reduce the footprint from our portfolio by 50 per cent. in 2030 compared to 2019. If we are to succeed, we must think of green opportunities for all asset classes, and therefore it makes very good sense to contribute to financing the green transition for both states and companies through our bond investments,” says Mads Skaaning.
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