Achmea (Netherlands) is undertaking significant steps to transition towards sustainability. Their journey, influenced by national agreements and regulatory mandates, highlights their dedication to addressing climate change comprehensively. As part of their sustainability journey, Achmea is subject to the Corporate Sustainability Reporting Directive (CSRD) and, in the near future, the Corporate Sustainability Due Diligence Directive (CS3D). These regulations necessitate rigorous sustainability practices and reporting. Achmea’s proactive stance is evident as they align with these directives, ensuring all sustainability-related activities are meticulously addressed.

Achmea’s climate plan, initiated in 2019, focuses on disclosing greenhouse gas emissions and establishing concrete reduction targets. By 2020, they had begun disclosing these emissions, setting the stage for the comprehensive climate plan released in 2022. This plan serves as a blueprint for Achmea’s sustainability initiatives, outlining strategies to mitigate their environmental impact.

Recognising the importance of internal engagement, Achmea has implemented extensive education programmes for their employees. These programmes aim to foster a deep understanding of sustainability issues, ensuring that all staff members are aligned with the company’s goals. By embedding sustainability into their corporate culture, Achmea ensures a cohesive approach towards achieving their climate objectives.

Moreover, Achmea emphasises the importance of stakeholder engagement. They actively collaborate with various stakeholders, including customers, investors, and regulatory bodies, to ensure transparency and accountability. This collaborative approach enhances the credibility of their sustainability efforts, fostering trust and confidence among all parties involved.

Looking ahead, Achmea is poised to further enhance its sustainability initiatives. The upcoming compliance with CS3D will introduce additional responsibilities, particularly in due diligence processes. Achmea is preparing to meet these challenges by refining their strategies and reinforcing their commitment to sustainability.

NFU Mutual (UK) has embarked on a significant journey towards sustainability, taking comprehensive steps to address climate change and transition towards a more sustainable future. In 2019, NFU Mutual began formulating its climate transition plan, prompted by the Prudential Regulation Authority’s recognition of climate change as a significant financial risk. By mid-2021, a formal climate change strategy was presented to the board, outlining the company’s approach to managing climate risks and opportunities. This evolved into a comprehensive climate change transition strategy by the end of 2021, detailing the company’s net-zero ambitions and pathways to achieve them.

NFU Mutual’s climate strategy is built around four key ESG pillars: protecting rural lives and livelihoods, building healthy communities, ensuring sensible governance, and caring for the environment. Engaging stakeholders, including employees, management teams, and farming customers, was crucial in shaping the strategy. The feedback overwhelmingly prioritised climate change, positioning it as the top focus in NFU Mutual’s ESG strategy.

Developing the climate transition plan involved significant collaboration across all business divisions, emphasising the need to break down silos and create a unified strategy. NFU Mutual faced challenges in ensuring consistency across various disclosures, particularly the Task Force on Climate-related Financial Disclosures (TCFD) requirements. The process also highlighted the importance of governance, balancing transparency with commercial sensitivity, and addressing potential risks of greenwashing.

NFU Mutual’s strategy includes specific targets for reducing emissions within their control, such as buildings, vehicles, and business travel. The company has set ambitious goals: a 25% reduction in emissions by 2025 and a 50% reduction by 2030. Additionally, the investment portfolios aim for a 50% reduction by 2030, with a focus on engaging with firms to encourage sustainable actions rather than divestment.

Looking ahead, NFU Mutual plans to launch its transition plan publicly, both internally and externally, and continue refining the plan based on feedback and evolving regulations. The commitment to supporting a low-carbon economy and maintaining resilience is central to their strategy, aligning with the UK government’s net-zero by 2050 legislation.

Session speakers:

• Mathieu Filippo, Senior Manager, Prudential Supervision, Achmea (Netherlands)
• Helen McKee, Climate Risk Specialist, NFU Mutual (UK)