PKA will develop a concrete plan to remove CO2 emissions from investments

23 March 2021

PKA is taking a big step towards creating a CO2-neutral investment portfolio by becoming part of the UN-supported collaboration Net Zero Asset Owner Alliance.

This means that PKA is committed to achieving a net CO2 emission from all the pension fund’s investments of zero by 2050. At the same time, PKA will set a number of clear reduction targets on the way to a CO2-neutral portfolio.

“We have been working for a number of years to get all our investments in line with the goals of the Paris Agreement. This means, among other things, that in the long run they must be CO2-neutral. It is an ambitious goal, and if it is to succeed, we will need to have a concrete plan for how we will achieve our goals. We get that now, and we do it in collaboration with a large number of other ambitious investors, ”says CEO of PKA, Jon Johnsen.

Net Zero Asset Owner Alliance is an association of 34 institutional investors with a total of DKK 35 trillion under management. Together, the participants commit to each other on the goal of CO2 neutrality, while at the same time working together to create the framework for how an investor can make their investment portfolio CO2-neutral. The alliance is supported by both the UN and the World Wide Fund for Nature (WWF).

Two initiatives – a clear goal

Recently, PKA was also part of the launch of the Net Zero Investment Framework. It is a tool developed by the international organization The Institutional Investors Group on Climate Change (IIGCC), of which PKA has been an active member for a number of years, and of which Jon Johnsen currently sits on the board.

Here too, PKA, together with a number of large international investors, undertakes to develop a concrete path towards how to hit a net CO2 emission of zero from the investments by 2050 at the latest.

The first step is to set a number of more short-term goals for how, for example, PKA will reduce CO2 emissions in investments over the coming years.

“If we are to achieve the long-term goal, we must first set the short-term ones. It’s about daring to get started. Once we do that, we will also learn from it, and then we will be better at taking the big steps towards CO2 neutrality in the long run, ”says Jon Johnsen, who among other things points out that together with the other investors in the two initiatives will develop better methods for measuring CO2 emissions from the investment portfolio.

Source: PKA